The selection process to making the most cost-effective and employee-friendly decision Striking a desirable balance between cost and employee health benefits can be a difficult task for most employers. Indeed, it is often difficult to ascertain the correct healthcare package that addresses employee concerns, healthcare concerns and employer concerns. However, the most effective criteria for selecting a cost-effective and employee-friendly decision is to search for a healthcare insurance program that effectively meets employee needs at the best cost (GFIQ, 2012, p. 1). Employee needs are often at the center of this analysis because they dictate what the employer will look for (in the health insurance scheme). As a manager of a medium organization, employee needs will greatly inform the selection process for the right healthcare program. Unlike many large-scale organizations which prefer a group insurance program, a medium-sized organization would be best suited to take a health insurance policy that offers flexible benefits. Some crucial parameters to include in this process are the average age of the employees, the implication of work conditions on employees’ health and the basic needs of the employees. Another important factor that has a significant bearing on the right type of health insurance program to take is the ‘cost’ element. It is important to ensure employees at the right cost because the welfare of the company (that pays for the healthcare program) also needs to be taken care of in the scheme. There is therefore no need to enroll in a very expensive health insurance program that will be difficult to finance. Several cost aspects need to be included in this analysis. For example, taxation dynamics play an important role in the determination of the right medical financing program. Comprehensively, the cost and benefit balance needs to be achieved throughout the selection process to find the right health insurance program that suits the organization. Identification the information to make decision Making the right decision for selecting the right health insurance program needs to be done, based on the right information. Having the right information ensures that the selection process is considerate to all stakeholders. Among the most important stakeholders are the employees and the organization that pays for the insurance. Ascertaining the right number of employees is an important piece of information to consider during the selection process. This information is ordinarily useful when determining the type of health insurance policies to consider (GFIQ, 2012, p. 1). For example, an organization with many employees would prefer a group policy while an organization with few employees would not. The cost of health insurance would also be a useful piece of information for determining the right health insurance policy to take. The importance of this information is seen when determining the type of payment method to adopt. For example, if the cost of the health insurance program is cheap, the company can opt to pay for the scheme fully. However, if the costs are high, the company may opt to pay for the scheme partially (Berkowitz, 2010). Information regar