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Is a concept that encourages employees and managers to look constantly for ways of making changes to any system or process that will improve performance. This idea stems from Japanese production systems, in particular those of the motor giants such as Toyota. Once an improvement has been suggested, it is evaluated and, if found to be of benefit, standardized across the operations. Critics sometimes argue that such a system is exploitative, since it captures the ideas of shop-floor employees, adopts them across the organization, and leads to performance improvements, but does not reward those who came up with the idea in the first place. Defenders of the system argue that employees experience the intrinsic reward of seeing their ideas put into practice and feeling a sense of pride or achievement and in some cases it can lead to extrinsic rewards such as favourable appraisals or one-off bonuses.

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