Increasing innovation through engagement: A critical review of an idea stock market and idea management system

Abstract

Purpose

This paper aims to investigate the phenomenology behind how an idea stock market created employee engagement of 80 per cent+ within the largest telecom company in Portugal. More importantly, this case study investigates the results created using this system, and whether the “investment/betting” process yielded successful and replicable results.

Design/methodology/approach

This critical review took the form of an exploratory-grounded theory study. Initial conversations led to creation of questionnaires regarding the internal workings of Sonaecom’s idea market, implementation methods, incentive structures, necessary cultural adjustments, system outcomes and topics related to idea screening, types of users, herd behavior, idea storage, diffusion, implementation and perceptions of the idea market and its success.

Findings

The idea market produced engagement outcomes nearly twice that of standard industry engagement methodologies and showed promise for increasing corporate innovation outcomes.

Research limitations/implications

This study was limited to a single idea market within one company. As such, the conclusions from the study are limited in their generalizability to other companies implementing idea markets.

Practical implications

Because the challenges faced by Sonaecom are the same challenges faced by any company implementing an idea market, the findings from the study have important practical implications for any organization implementing an idea market.

Social implications

There are behavioral, psychological and leadership implications for organizations implementing an idea market.

Originality/value

Based on a thorough literature review, no other study has been made of Sonaecom’s Idea Market system, nor has a study of this depth and breadth been completed with any idea market system. The findings of the study have broad implications for any organization seeking to implement an idea management system.

Citation

Walton, A.L.J., Glassman, B. and Sandall, D.L. (2016), "Increasing innovation through engagement: A critical review of an idea stock market and idea management system", International Journal of Innovation Science, Vol. 8 No. 4, pp. 293-310. https://doi.org/10.1108/IJIS-10-2016-0044