I would like to implement an employee suggestion program and was hoping that I could a few suggestions of what is working for other banks. What kind of a reward program are you using? Do you get a lot of participation?

I'm not quite sure what you mean my employee suggestion program....could you elaborate a bit?

One company I worked for in the past had a suggestion box. It was kept under lock and key. Once a week, a committee would review the suggestions in the box and award the owner of the best suggestion with a $10 gift certificate to a restaurant in the area. This encouraged more people to submit suggestions.

this is -for sure - a cheaper way to get the best out of your staff in terms of suggestions .

I think it should be related to suggestions that reduce cost , increase customer loyality , brings more business to the bank .etc.

Exactly. You can bet that the suggestion box normally be stuffed with suggestions of less work, better pay and more days off!

Years ago I worked for a bank that requested cost-saving suggestions. If your suggestion was implemented you received $50. I remember getting an additional check or two, but that was back in the early 80's.

I have worked for several companies that have had employee suggestion programs of varying intensity. Participation depends on 1. Introduction of the program, 2. Type of reward (cash, points, PTO, etc.), and 3. Extent of management support for the program.

These programs can be very beneficial for the company and for the employees. In one company I worked for, the consumption of paper was decreased by 40% due to employee suggestions. In another, one employee and one suggestion contributed $250,000 directly to the bottom line just by streamlining one procedure.

I used to work for one of the largest banks in the nation. They had a great program, which paid out at least $50 for a suggestion which was implemented and up to $250,000 (or so I'm guessing) for cost savings on the suggestion within the first year. The range in between was something like 10% of the first years costs savings (I'm guessing but I think it was close to that). I know of a mail room person who received the $250,000 and I received a few thousand over the years as well. Typical reward pay out was in the range of $500 to $2,500 but heck if an employee can think of a great idea to save you millions, $250,000 isn't a bad price to pay for it!

They had to be new ideas, and had to be implemented within...umm I think six months of the suggestion (I've forgotten). If it was an old suggestion that didn't make sense when submitted but five years down the line it did, there was no pay out. You also had to work for the bank to receive pay out (no back pay if you leave).

This type of program gets you real cost savings ideas, verses, "less work, more pay" in a lock box (although I am all for that one)

They were well constructed ideas. There was a one page work sheet with a description of the idea, why it was better than what was done now, a cost analysis if possible and any other factors related to the idea. You didn't just jot down a quick thought and run!

The important issue is building a solid foundation (rules & guidelines, eligibility, awards, evaluations, records management, etc.). Structure and management buy-in are extremely important. Limiting awards can kill a good program.

Also, the program needs to get around the "discourager" statements from all the managers. Here are some "discourager" statements managers often make, followed by a more positive suggestions:

I already pay him a salary. He owes me the ideas. A better approach is to accept the fact money and attention are keys that unlock the ideas in your employee's head.

I guess I have to pay him, but I don't like it. Pay the money gladly. Employees who give you good ideas will save you money.

I already know the best way to do things. You don't have all the good ideas. The people who work in the trenches often know best how to improve a job and save money.

We get lots of ideas, but some of them point out problems I don't want to know about. Resist the temptation to kill the messenger. Be grateful the situation will be corrected.

All I need are people to work without thinking; they can hang their brains on the coat rack when they come to work. Discover the power of each worker's brain.

I'll listen to their ideas, but do I have to act on them? Your employees will feel insulted and disrespected if you don't institute the best ideas.

Finally, suggestions should be reviewed by a cross-section of management and employees with equal voting rights.