Welcome to LANXESS Annual Report 2012!

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Open to ideas

When LANXESS employees have good ideas for improving work procedures, plants and processes, these ideas pay off. Our idea management system fosters the development, processing and implementation of suggestions for improvements to ensure that we continually receive proposals for enhancing cost-effectiveness, occupational safety and environmental protection.

In 2012, employees at LANXESS’s German companies submitted a total of 3,157 new suggestions, a rate of 430 per thousand employees. In the same period, 1,507 ideas were implemented, yielding total savings of €3.1 million. 1,035 of these ideas led to improvements in occupational safety and environmental protection. A total of €1.2 million was paid out to employees whose ideas were put into practice. The highest individual payment of €73,000 was awarded for an improvement in process logistics that led to increased capacity in a production facility.

As a further incentive to attract ideas, the LANXESS Ideas Competition was launched in 2008. Each year, the company’s organizational units can measure themselves in terms of team benefit1). The focus is on identifying further cost-cutting potential, increasing both implementation and participation rates, and shortening processing times. In 2012, the Functional Chemicals business unit won the Ideas Competition for the first time. 104 employees submitted an idea that was implemented and contributed to the business unit’s success. They each received an additional payment of €300. All ideas that are implemented are evaluated in accordance with our _FormulaX criteria. At 66 percent, “Come up with solutions” was the most important component in the creativity process. With its attractive, performance-related bonus system, our idea management system is an essential element of innovation management at LANXESS and will continue to play a key role in our company’s future success.

1) The team benefit is calculated from the proven cost savings yielded by ideas with a financially quantifiable benefit and from the bonuses paid (= benefits) for ideas with no quantifiable benefit and set in relation to the number of eligible employees in an organizational unit.

Grafik: FormulaX

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