[Journal:] Zeitschrift für ArbeitsmarktForschung – Journal for Labour Market Research [ISSN:] 2510-5027 [Volume:] 41 [Year:] 2008 [Issue:] 2/3 [Pages:] 245-258
We discuss the determinants of a successful implementation of an employee suggestion scheme and other measures to stimulate innovation success. Subsequently the effects of the employee suggestion schemes are investigated empirically. We analyse the realisation of cost reductions and alternatively sales expansion due to quality improvements. It turns out that employee suggestion schemes have a positive effect on cost efficiency and sales growth. Delegation of decision authority reduces production costs and organisational innovations contribute positively to sales expansions, which are the result of quality improvements.