When employees leave — especially the good performers — this translates into a higher cost for employers to replace lost staff as well as a loss of talent, knowledge and innovative ideas.
One of the things you can do to retain staff is to develop a culture for innovation in the workplace to enhance employee motivation and enthusiasm that leads to higher productivity and customer satisfaction.
A Staff Suggestion System (SSS) is a means to this end. This is a formalized mechanism that encourages employees to contribute constructive ideas for improving the organization in which they work.
The overall aim is to gather, analyze and implement ideas to create results that have a positive impact on the business, deliver new value to customers or both.
An effective SSS improves your own work and the working environment, creates ownership and trust, builds teamwork and, last but not least, enhances communication between employees and management.
For an SSS to be effective, management needs to create a culture that encourages employees to think and find better ways to do things, including improvements to product and service offerings.
There has to be a culture shift from a “complaining workforce” to a “thinking workforce”.
To achieve a high implementation rate, suggestions have to be job-oriented and implemented in the suggestor’s own department or function.
Implementing the system
Here are some steps employers can take to launch a suggestion system in their workplace:
Form a suggestion committee. Get together a small group of people from different functions. Integrate the suggestion system into existing in-company productivity initiatives, for example, quality circles.
Promoting the system
Consider developing monthly themes (for example, customer service) to focus ideas on an important issue that the company wants to improve.
Create the atmosphere by using more than a single method to promote suggestions. For example, encourage new hires undergoing on-the-job training to think of better ways of doing things.
Make reference materials such as related books and videos available. Disseminate monthly performance metrics on the SSS so that employees are aware of their department’s performance.
Create categories of awards, for instance, awards for increasing revenue, awards for reducing costs, and so on.
Launch an Innovation or Ideas Day. Announce the results achieved and present awards to individuals, groups and departments for contributing their suggestions. You can also share success stories and invite external speakers to give talks on related topics.
As in implementing any continuous improvement initiative, there are challenges in managing and sustaining a suggestion system.
Employees could fear reprimands for making suggestions as their supervisors might perceive their ideas as indications that the department is “not perfect”.
Where ideas are routed to the employees’ supervisors for vetting, there could be a counter-productive filtering of ideas at department level.
Sometimes there could be periods of low participation rates. Possible causes include failure to maintain constant publicity, no target setting, heavy workloads and disillusionment from seeing good ideas that were not implemented.
An effective SSS requires management’s commitment to keep it alive. It is important to involve the middle managers in the idea-generation process as they are a key pillar to sustain the mechanism. Recognize and reward individuals and groups for participation.
To demonstrate credibility to the workforce, management needs to act on the good suggestions and evaluate suggestions fairly and promptly.
As Winston Churchill said: “The only way to have a good idea is to have lots of ideas.” For this to happen, organizations need to implement a mechanism to capture employee ideas and bubble up the good ones.
A healthy suggestion system can bring many tangible and intangible benefits to the organization as well as retain valuable talents in the company.
Article by Allan Ung, Managing Consultant of Operational Excellence Consulting, a Singapore-based management consultancy firm that assists organizations in maximizing customer value and minimizing wastes through adoption of Lean management practices. For more information, please visit www.oeconsulting.com.sg