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Stages of the suggestion system
1) Encouragement: in the first stage management should make every effort to help the workers provide suggestion no matter how primitive for the betterment of the workers job and the workshop. This will helps the workers look at the way they are doing their jobs.
2) Education: in the second stage management should stress employee education so that employee can given better suggestions they should be equipped to examine problems and the environment. This needs education.
3) Efficiency: only in the third stage after the workers are both interested and education should management be concerned with the economic impact of the suggestion.
The difficulties may arise if we try to skip stages one and two and more straight toe third stage.
Ask question #MinimumYears Purchase Costs Running cost discount factor 8% Running cost Savings PVS 0 -7000 -7000 1 2000 0.926 1852 5556 3704 2 2500 0.857 2142.5 5999 3856.5
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