With innovation seen as critical to Australia's economy, it is worthwhile to ask about the contribution of the Australian vocational education and training (VET) system to innovation. Previous research has highlighted a number of ways VET can contribute to innovation, including through knowledge diffusion, skills development and networks, and training provider-business partnerships. One way by which VET interacts with Australian businesses and organisations is through student work placements. This process involves students based in registered training organisations (RTOs) spending periods of time in host organisations for work experience, allowing them to apply and hone their new skills and knowledge and acquire skills and dispositions that can only be developed in authentic settings. The student-placement process contrasts with apprenticeships and traineeships, whereby students are employed in the workplace while they complete their studies. To date, there has been no research into the possible contribution of VET student placement to innovation in host organisations. The research described in this report represents an initial exploration of this question. The research adopted the Australian Bureau of Statistics (ABS; 2016) definition of innovation: the development or introduction of new or significantly improved goods, services, processes or methods. The research, which was based in south-east Queensland, used a mixed methods approach, which involved interviews with placement students and host organisation and RTO staff. The report presents an exploratory study and four case studies in the industries of early childhood education, nursing, hospitality and community services. Training in these industries often requires students being placed in host organisations for work experience to complement their provider-based learning.