Employee suggestion scheme: big impact through idea management

Portät Simon Foerster

From

Simon Foerster

Posted on

10.2.2026

Many companies would love to see more practical improvements coming directly from everyday work. But how can this actually happen? By enabling all team members to contribute more actively and take more responsibility.

The big challenge: employees often experience that obvious problems remain unresolved because there is no structured way to collect and implement their ideas. This is exactly where an employee suggestion scheme (ESS) comes in.

An ESS makes improvements systematically visible, assessable, and implementable. Above all, it ensures that good ideas don’t simply fade away. A well-designed idea management system is far more than a suggestion box—it is a core element of living continuous improvement.

What is an employee suggestion scheme?

An ESS is a structured process that allows employees to submit improvement proposals relating to workflows, quality, safety, collaboration, customer service, or costs.

At its core, it is about two things:

  • Removing barriers so that suggestions can be submitted easily
  • Creating reliability so that proposals are reviewed seriously and decisions are transparent

A successful ESS therefore forms an important bridge between day-to-day experience along the value chain and the organization’s ability to actually implement change.

Why an ESS is (almost) always worthwhile

In many organizations, the best improvement ideas already exist—they are simply spread across people, teams, and locations. In addition, many standards require companies to involve employees in continuous improvement.

A well-implemented ESS meets these requirements and makes knowledge usable for:

  • Quality and error prevention – small process adjustments prevent recurring errors and rework
  • Efficiency and lead times – waiting times, search times, coordination loops, and slow reactions become visible
  • Occupational safety and ergonomics – employees often recognize risks earlier than any formal inspection
  • Employee retention – people who see their ideas having an impact identify more strongly with their workplace
  • Collaboration – suggestions frequently reveal interface problems and create a reason to solve them together
  • Sustainability – material usage, energy consumption, and waste can be noticeably reduced

The key point: value is not created by collecting ideas, but by high-quality implementation and consistent feedback.

Typical pitfalls—and how to avoid them

Many suggestion schemes start with enthusiasm and then gradually lose momentum. The reasons are usually very similar:

Formal barriers are too high
Long forms or complicated tools drastically reduce submission rates.
→ Better: integrate the ESS into an existing tool and keep the form as simple as possible.

Responsibilities are unclear
If no one is responsible for reviewing proposals, they circulate endlessly.
→ Better: define clear roles for coordination, expert evaluation, decision, and implementation.

Feedback comes late—or not at all
If employees hear nothing for weeks, they quickly think: “This is pointless.”
→ Better: provide quick feedback on next steps.

Decisions are not transparent
Rejected ideas without explanation lead to frustration.
→ Better: short, respectful, and understandable reasoning.

Reward systems create the wrong incentives
If bonuses are linked only to cost savings, ideas about safety, quality, or culture lose value.
→ Better: think recognition more broadly—visibility, appreciation, small rewards, team budgets, or involvement in implementation.

A pragmatic ESS process that works

A functioning suggestion scheme needs a clear workflow—but not bureaucracy. A proven minimal process consists of five steps:

Step 1: Submit
→ short and low-threshold: observation, idea, expected benefit, optionally a photo or sketch

Step 2: Review and categorize
→ e.g., safety, quality, cost, time, customer, collaboration

Step 3: Evaluate
→ technically and economically, but also considering risk, feasibility, resources, and dependencies

Step 4: Decide and give feedback
→ implement, postpone with a concrete date, or reject with explanation—feedback is mandatory

Step 5: Implement and learn
→ whoever implements documents results and impact briefly and makes successes visible

An additional success factor: realize small improvements as quick wins. This boosts the credibility of the system enormously.

Real participation for real improvement

An ESS becomes strong when it reliably delivers three things: simplicity, speed, and fairness. It doesn’t just collect ideas—it creates a culture in which ideas lead to decisions and decisions lead to visible improvements.

This requires leadership that actively enables participation and sends a clear message:

Your experience matters—even when you point out problems.

This is the foundation of continuous improvement. When employees feel that their suggestions are taken seriously, exactly what many organizations are looking for emerges: involvement, personal responsibility, and continuous improvement in everyday work.

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