Process Innovation by working miners : a case of user innovation in copper mining industry

Abstract

Employees are known to develop and use key process improvements. In this thesis, I explore innovation by mining employees working in Codelco, a Chilean mining company. The data on these innovations come from a contest sponsored by mine management at the Andina division of Codelco. This contest encourages workers to come forward and reveal the improvements they have made. The research method used for this case study is based on data and information collected from interviews with managers, workers and members of the contest organizing committee. In addition, a survey was given to more than 50 workers involved in the current version of the contest, to evaluate and analyze their interests and motivation drivers to participate in the contest. One of the main findings is that more than 85% of total workers do behave as user innovators, and 85% of the survey's participants have created at least two innovations at Andina. For the workers, the main reasons to participate in the contest are making a contribution to the company, to develop a deeper knowledge in a specific topic, and also to be recognized by family, colleagues and managers. The key lessons of this case study are that user innovations in the copper mining industry do happen, and creating the right incentives for workers to innovate and share their innovations, can increase their motivation, performance evaluation and add value to their company and the industry.