These are the advantages of effective idea management
The basic idea of idea management is very simple:
Employees make suggestions for savings, and in return, they receive a percentage of the sum of these savings. Efficient idea management brings measurable economic benefits.
Ideas management stops waste: Employees systematically search for superfluous material consumption and rejects in production.
Ideas management prevents superfluous work: Employee suggestions help implement business processes through process optimization in all areas of the company.
Ideas management leads to more satisfied customers: Employees develop ideas to make customer service faster and of higher quality.
Consistent idea management based on key performance indicators brings clearly measurable economic benefits. In this article, you will learn about the benefits of idea management. In our free e-book, you’ll learn how to get more valuable ideas from the employees in your company. Learn about practical examples of successful idea management.
Idea management stops waste in the company
It doesn’t matter whether you work in a production facility, in the trades, or in retail: Material consumption and the waste of goods are cost factors that should not be underestimated. Here are three examples.
The disposal of unsold goods and the handling of returns are among the major cost drivers in retail. But what exactly is the reason why food is not sold or goods are returned? No one can analyze this better than employees who are on-site every day. This is one of the strengths of idea management in retail: Employees see causes that often remain hidden from management. Employee ideas lead to measurable savings.
Goods that are lost during loading or goods that arrive at the customer with pressure marks produce superfluous waste. In some companies with dramatic effects. The executive of an Innolytics® customer put it succinctly: “If we manage to prevent the waste of just one in a thousand grains of wheat, that already brings a seven-figure change in the annual result.”
In the skilled trades, a lot of material is lost that cannot be billed to customers: due to faulty processing, incorrect handling, or simply errors. Especially experienced employees often have ideas and suggestions to stop the waste. An Innolytics® customer from the skilled trades sector has defined an ambitious goal for his company: To keep costs twenty percent cheaper than the market average by using materials highly efficiently and minimizing waste.
The Innolytics® idea management software helps companies to tap the economic benefits of idea management quickly and easily. With the value calculator, employees can calculate the potential savings with just a few clicks.
Idea management: Using the advantages efficiently
The most successful Innolytics® customers regularly initiate idea competitions on topics that are strategically important to them. Two examples:
Streamlining the sales process
It took two weeks from the first customer inquiry to the final offer. An ideas competition for improvement resulted in a 50 percent increase in inefficiency. Superfluous duplicate work was identified by employees, discussed and solutions developed.
Developing proposals for more efficient processes
Gerolsteiner noticeably increased the efficiency of sales processes through an ideas management competition. The result: Time wasted in sales was drastically reduced. Sales employees were able to focus on developing solutions for better sales together with customers.
These examples show: Effective idea management brings measurable benefits to companies. Use our savings calculator to find out how much your company can save by using effective idea management.
Would you like to learn about the benefits of idea management for your company? Book your personal free web meeting now. We will show you the benefits your company can generate by setting up an idea management system.