Employees are every company’s greatest asset. But their innovativeness and creative drive are often not taken advantage of. That’s why LGT is taking a new approach. Simon Gomez, Head Advisory Switzerland at LGT, provides some insights.

Simon Gomez, is there a lack of entrepreneurship and creativity at LGT?

No, what makes you think that?

Then why did you launch an intrapreneurship program?

Like any larger company, we employ many specialists who have clearly assigned responsibilities. That’s normal and there is nothing wrong with that per se – on the contrary. However, it means that creativity can potentially suffer as a result, because we can sometimes lose sight of the big picture.

In the past, if someone had a good idea, they might have presented it to their line manager, or they might not. Despite efficient lines of communication and a flat hierarchy, we lacked a structured process that fostered our employees’ innovativeness. With the introduction of the LGT Kickbox intrapreneurship program a year ago, we have changed that.

What exactly is LGT Kickbox?

LGT Kickbox is a platform for all employees who have innovative business ideas. It is based on the «Shark Tank» concept, whereby motivated employees are given the opportunity to develop, validate, test and finally implement their own ideas in a three-stage process.

And they do this without having to relinquish responsibility for their own idea or having to hand it over to others. Employees are actively supported throughout the process – they have access to internal and external coaches, a network of experts and other resources to bring their idea to life.

In each case, a jury decides whether an idea moves on to the next phase and is given additional resources.

How did you come up with this solution?

We are working with the Swiss startup ‹rready›, which offers a white-label platform for an «intrapreneurship program». Together we have adapted the process, the idea platform and the offering to our LGT needs.

How does the Kickbox process work? What does an employee have to do if they have a good idea?

Employees can outline their idea in a few short sentences and submit it on an online platform. After we receive the submission, we contact the person in question and initiate the next steps. LGT Kickbox consists of three phases.

The first is the so-called RedBox phase, during which the idea is validated. This ends with a pitch, where a decision is reached about whether to further pursue the idea. If the idea advances to the next round, the BlueBox phase, it is piloted within clearly defined parameters and with a limited budget and tested in terms of feasibility.

At the end of this second round, they pitch their idea to the CEO of LGT and the entire Executive Board.

Do the employees present their idea to the Executive Board?

Exactly. While we strive to allow people to be as innovative as possible, reaching the GoldBox phase requires a valid and solid business case. During the pitch, the Executive Board decides whether the idea will be implemented.
You have to think of the process as a funnel where only selected ideas to make it as far as the Executive Board. The Kickbox approach increases the quality of validation, while the associated online platform makes it possible to create the necessary scalability and visibility for many ideas.

So, it’s about developing new business ideas?

Yes, that is one of the primary goals. We want to develop new business ideas that will help us to advance. But at the same time, we have also seen positive knock-on effects. For example, LGT Kickbox encourages a transformative mindset and increases awareness of the digital transformation among our employees.

We also see the program as a form of talent development. As part of this process, everyone who participates creates a complete business plan and presents it internally. For many people, this is a new and exciting learning experience, a form of hands-on further training.

What is the most common reason that an idea is rejected in the end?

It’s important to us that the hurdles for submitting an idea are kept low and that many ideas are brought forward. As a result, it’s inevitable that an idea is sometimes rejected. This can happen for a number of reasons.

For example, an idea might not quite be the right fit for the LGT Kickbox program. This is the case, for example, for proposals relating to local process adjustments. Another reason that we see often is that an idea that has been submitted is already being implemented elsewhere. If the idea is rejected, we pass it on to the appropriate person with a view to fostering dialog and strengthening the internal network.

You recently celebrated the one-year anniversary of Kickbox at LGT. How would you summarize its success so far?

We are extremely satisfied with how it has developed. Not just in terms of the number of ideas that have been submitted, but also the variety. We have received ideas from all LGT locations around the world. And we are seeing employees further develop their ideas with great commitment and passion.

The internal and external network of experts is also being actively taken advantage of. The feedback we have received from participating employees has been positive across the board. The intrapreneurial spirit is palpable. Not only that, but in the first year, two of the ideas submitted won over the Executive Board and received a Gold Box.

They are now being implemented. And it goes without saying that we hope many more will follow.