The organization has no innovation purpose or reason. Innovation is not considered important or relevant by the business unit or function. There is no vision, mission, or goal for innovation. There is no alignment or coordination among different innovation initiatives or projects. Innovation is seen as a random and optional activity.

The organization has a vague or generic innovation purpose or reason. Innovation is defined and considered important by the business unit or function, but it is not linked to the strategic objectives or customer needs. There is a broad vision, mission, or goal for innovation, but it is not specific or measurable. There is some alignment or coordination among different innovation initiatives or projects, but they are not consistent or integrated. Innovation is seen as a desirable and expected activity.

The organization has a clear and relevant innovation purpose or reason. Innovation is embedded in key growth imperatives within the business strategy. There is a clear vision, mission, and goal for innovation that are specific and measurable. There is a high degree of alignment and coordination among different innovation initiatives and projects that are consistent and integrated. Innovation is seen as a necessary and strategic activity.

The organization has a compelling and inspiring innovation purpose or reason. The link between innovation and business strategy is clearly communicated across and beyond the organization. There is a shared vision, mission, and goal for innovation that are ambitious and challenging. There is a strong degree of commitment and engagement among different stakeholders, such as employees, customers, partners, etc., who support and contribute to the innovation efforts. Innovation is seen as a meaningful and motivational activity.

The organization has a distinctive and transformative innovation purpose or reason. The organization sets the direction and pace for innovation in its industry and beyond. There is a bold vision, mission, and goal for innovation that are visionary and aspirational. There is a widespread degree of ownership and empowerment among different stakeholders, who co-create and co-deliver the innovation outcomes. Innovation is seen as a purposeful and impactful activity.

The organization has no focus area for innovation. There is no clear direction or guidance for where to invest or allocate the innovation resources or activities. The organization pursues any and all innovation opportunities or challenges without a clear rationale or criteria. Innovation is seen as a scattered and unfocused activity.

The organization has a vague or generic focus area for innovation, such as increasing revenue, reducing costs, improving quality, etc. However, this focus area does not yield substantial new business opportunities or value propositions for the customers or stakeholders. The organization lacks a deep understanding of the market needs, trends, and opportunities. Innovation is seen as a reactive and incremental activity.

The organization has multiple focus areas for innovation that leverage its capabilities and have the potential to generate significant new business opportunities for the future. These focus areas are based on some market research and analysis, but they are not validated or tested with the customers or stakeholders. The organization has some clarity and alignment on the innovation objectives and priorities. Innovation is seen as a proactive and exploratory activity.

The organization has focus areas that leverage both its capabilities and partners, and its understanding of the customer value proposition, to win significant new business opportunities in the future. These focus areas are based on extensive market research and validation, and they are aligned with the strategic objectives and customer needs. The organization has a high degree of clarity and alignment on the innovation objectives and priorities. Innovation is seen as a strategic and customer-centric activity.

The organization has focus areas that are constantly updated and refined based on the market feedback and learning. The organization proactively acquires new competencies and resources that are critical for the success of future projects in these focus areas. The organization also manages a balanced and risk-adjusted portfolio of projects for each focus area, providing confidence about the value that could be generated for the organization and its partners. Innovation is seen as a dynamic and adaptive activity.

The organization has no innovation pipeline or portfolio. Innovation projects are managed in an ad-hoc manner and are siloed within different functions or departments. There is no visibility or oversight of the innovation activities or outcomes. There is no alignment or coordination among different innovation projects or initiatives. Innovation is seen as a chaotic and fragmented activity.

The organization has a basic innovation pipeline or portfolio. All innovation initiatives and projects are in a centralized list that provides some visibility and oversight of the innovation activities and outcomes. However, this list is not updated or reviewed regularly. It does not include any criteria or metrics to evaluate or prioritize the innovation projects or initiatives. It does not reflect the strategic objectives or customer needs. Innovation is seen as a static and generic activity.

The organization has an intermediate innovation pipeline or portfolio. The innovation portfolio encompasses new products, services, processes, technologies, channels, and/or business models. These innovations are aligned with the strategic objectives and customer needs. The organization has some criteria and metrics to evaluate and prioritize the innovation projects or initiatives, but they are not consistent or transparent. The organization has some processes and tools to manage and monitor the innovation pipeline or portfolio, but they are not efficient or effective. Innovation is seen as a diverse and relevant activity.

The organization has an advanced innovation pipeline or portfolio. The innovation projects or initiatives are time-sequenced and are proactively slowed down or accelerated to shifting market conditions and investments to meet growth targets. The organization has clear and transparent criteria and metrics to evaluate and prioritize the innovation projects or initiatives, based on their potential value and risk. The organization has efficient and effective processes and tools to manage and monitor the innovation pipeline or portfolio, such as stage-gate models, agile methods, dashboards, etc. Innovation is seen as a dynamic and optimized activity.

The organization has a dynamic innovation pipeline or portfolio. The portfolio has a diverse set of projects to meet a range of organizational targets regarding time horizons, differentiation, barriers to entry, and impact. The organization uses advanced methods and techniques to manage and optimize the innovation pipeline or portfolio, such as risk-adjusted net present value and option value. The organization also balances its own innovation pipeline or portfolio with those of its partners and networks in the ecosystem, creating synergies and opportunities for collaboration and co-creation. Innovation is seen as a strategic and systemic activity.

The organization has no concept-to-commercialization process for innovation. There is no systematic or consistent way to source, generate, evaluate, prioritize, develop, and execute new ideas. The organization relies on ad hoc and opportunistic innovation activities that are not aligned with the strategic objectives or customer needs. Innovation is seen as a random and unpredictable phenomenon.

The organization has a vague process to drive ideas to commercialization that at the very least includes idea generation and market validation. However, this process is not well-defined or documented. It is not widely adopted or followed by different functions or departments. It is not supported by adequate tools or resources. Innovation is seen as a linear and sequential process.

The organization has a structured innovation process with specific phases to source insights, and generate, evaluate, prioritize, develop, and execute new ideas within the organization. This process is well-defined and documented. It is widely adopted and followed by different functions and departments. It is supported by adequate tools and resources. Innovation is seen as a cyclical and iterative process.

The organization has a structured innovation process that also sources insights and ideas from customers, suppliers, partners, and other external sources beyond the organization. This process leverages open innovation and co-creation methods to tap into the collective intelligence and creativity of the ecosystem. This process also incorporates feedback and learning loops to improve the quality and relevance of the ideas and solutions. Innovation is seen as a collaborative and adaptive process.

The organization has a clear criteria for selecting and advancing ideas/projects that are defined and communicated across the organization. These criteria provide direction and guidance for teams and partners to manage and execute innovation projects effectively and efficiently. The organization also considers multiple channels for launching and scaling up the innovations to maximize customer-pull and market spread. The organization continuously monitors and evaluates the innovation process and performance and implements best practices and improvements. Innovation is seen as a scalable and sustainable process.

Innovation teams are composed of members from a single function with no collaboration beyond this function. There is no diversity or complementarity of skills, knowledge, or perspectives in the teams. There is no interaction or engagement with external entities or stakeholders. Innovation is seen as a siloed and isolated activity.

Some innovation teams are comprised of cross-functional members and maintain contract relationships with external entities at arm’s length. There is some diversity or complementarity of skills, knowledge, or perspectives in the teams, but they are not well integrated or leveraged. There is some interaction or engagement with external entities or stakeholders, but they are not well aligned or coordinated. Innovation is seen as a transactional and contractual activity.

Innovation teams are well trained on innovation tools and methods, and work with multidisciplinary teams from both inside and outside the organization. There is a high degree of diversity and complementarity of skills, knowledge, and perspectives in the teams, and they are well integrated and leveraged. There is a high degree of interaction and engagement with external entities or stakeholders, and they are well aligned and coordinated. Innovation is seen as a relational and collaborative activity.

Innovation teams have strong, fluid networks to informally access new competences, resources, and assets. They use social media and other platforms to connect and communicate with internal and external experts, influencers, and communities. They share information and knowledge freely and openly. They seek feedback and input from diverse sources. Innovation is seen as a networked and social activity.

Innovation teams develop external partnerships across the value chain to formally access new competences, resources, and assets, thereby reducing risk and cost, and driving accelerated win-win results. They use formal agreements and contracts to establish clear roles, responsibilities, expectations, and benefits for each partner. They co-create value propositions and solutions with their partners. They measure and improve their partnership performance and impact. Innovation is seen as a strategic and systemic activity.

The organization has no budget or resources for innovation. There is no investment or support for innovation activities or projects. The organization relies on external funding or donations to pursue innovation opportunities or challenges. Innovation is seen as a costly and risky activity.

The organization has a nominal budget and some resources for certain innovation activities and projects. However, these resources are not sufficient or adequate to meet the innovation needs or goals. They are not consistent or predictable. They are not allocated or distributed in a transparent or fair way. Innovation is seen as a nice-to-have activity.

The organization has a dedicated budget and adequate resources for innovation activities, projects, and specific objectives. These resources are sufficient and adequate to meet the innovation needs and goals. They are consistent and predictable. They are allocated and distributed in a transparent and fair way. Innovation is seen as a must-have activity.

The organization has a formal budget and an inventory of tangible and intangible resources from across the organization for innovation. These resources include equipment, lab spaces, trade secrets, licenses, customer lists, relational assets, etc. These resources are well documented and managed. They are leveraged and optimized to maximize the innovation potential and impact. Innovation is seen as a value-adding activity.

The organization has a formal budget and an inventory of tangible and intangible resources from across the organization and key partners for innovation. These resources include those from the external ecosystem of customers, suppliers, competitors, academia, government, etc. These resources are well documented and managed. They are leveraged and optimized to maximize the innovation potential and impact. They are also shared and exchanged with the partners to foster collaboration and co-creation. Innovation is seen as a value-creating activity.

The leadership does not believe in innovation or see it as a strategic priority. There is no clear vision, strategy, or goals for innovation. The organization lacks a culture of innovation and does not reward or recognize innovative efforts. There is no structure, process, or resources for innovation. Innovation is seen as risky, costly, and disruptive.

Some individuals in the organization are committed to innovation and have some roles and responsibilities related to it. However, they have limited authority, influence, and support from the leadership. There is no alignment or coordination among different innovation initiatives or projects. The organization has some sporadic and ad hoc innovation activities, but they are not aligned with the strategic objectives or customer needs. Innovation is seen as an extra activity or a nice-to-have.

The leadership has a clear vision, strategy, and goals for innovation and communicates them to the organization. There is a structure within the organization with roles, responsibilities, and targets for individuals to build innovation capacity and drive innovation results. The organization has a formal process and methodology for managing innovation projects and portfolios. The organization has a culture of innovation that encourages creativity, collaboration, experimentation, and learning. Innovation is seen as a core competency and a competitive advantage.

The leadership has established a formal innovation team comprised by individuals from different business areas and fields of expertise. The team has a dedicated budget, resources, and autonomy to pursue innovation opportunities and challenges. The team works closely with internal and external stakeholders to identify customer needs, generate ideas, test solutions, and implement innovations. The team uses advanced tools and techniques to measure and improve innovation performance and impact. Innovation is seen as a systematic and disciplined process that delivers value to customers and stakeholders.

The leadership is recognized as an innovation leader in its industry and beyond. The leadership promotes a comfortable, top-down and bottom-up environment involving a wide range of leaders who talk about innovation and share best practices. The leadership connects the organization with the external ecosystem of partners, customers, suppliers, competitors, academia, government, etc. to foster collaboration and co-creation. The leadership continuously monitors the trends and changes in the market and society and anticipates future opportunities and threats. Innovation is seen as a way of life and a source of inspiration for everyone.

Employees are unwilling to work on ambiguous or uncertain initiatives. They prefer to follow the status quo and avoid taking risks or challenging assumptions. The organization does not value or reward innovation or creativity. There is no communication or collaboration among different functions or departments. Innovation is seen as a threat or a distraction.

There are a few small innovation projects and teams scattered across the organization. They are driven by individual passion and motivation, but they have limited support and resources from the leadership. They face many barriers and obstacles to implement their ideas or scale their solutions. There is no common language or framework for innovation. Innovation is seen as an extra activity or a hobby.

There is an innovation agenda embedded in the regular activities of key innovation leaders, but it is optional for the rest of the employees. There are some guidelines and best practices for managing innovation projects and portfolios, but they are not widely adopted or enforced. There are some incentives and recognition for innovation efforts, but they are not consistent or transparent. Innovation is seen as a core competency and a competitive advantage.

Employees take advantage of the time and space allocated to innovation and collaborate across functions. They are empowered and accountable to pursue innovation opportunities and challenges. They use customer-centric and agile methods to generate, test, and implement solutions. They measure and improve their innovation performance and impact. Innovation is seen as a systematic and disciplined process that delivers value to customers and stakeholders.

Leaders create a safe environment to develop skills and confidence for employees to innovate by encouraging them to experiment, learn from failures, and course correct. They provide coaching and mentoring to foster a growth mindset and a learning culture. They continuously monitor the trends and changes in the market and society and anticipate future opportunities and threats. They connect the organization with the external ecosystem of partners, customers, suppliers, competitors, academia, government, etc. to foster collaboration and co-creation. Innovation is seen as a way of life and a source of inspiration for everyone.

The organization has no innovation metrics or indicators. There is no data or evidence to support or validate the innovation efforts or outcomes. There is no feedback or learning from the innovation process or performance. There is no accountability or transparency for innovation results. Innovation is seen as an intangible and subjective concept.

The organization has some metrics to measure innovation activities and outputs, such as the number of ideas generated, the number of projects launched, the number of patents filed, etc. However, these metrics are not aligned with the strategic objectives or customer needs. They are not consistent or comparable across different functions or departments. They are not communicated or reported to the relevant stakeholders. Innovation is seen as an activity or an output.

The organization measures individual innovation activities, outputs, and results through specific metrics, such as the time to market, the customer satisfaction, the revenue growth, the cost reduction, etc. These metrics are aligned with the strategic objectives and customer needs. They are consistent and comparable across different functions and departments. They are communicated and reported to the relevant stakeholders. Innovation is seen as a result or an outcome.

The organization acknowledges individuals who deliver innovation activities, outputs, and results through some reward and recognition mechanisms, such as bonuses, promotions, awards, recognition events, etc. These mechanisms are based on the innovation metrics and indicators. They are fair and transparent. They motivate and inspire employees to innovate more and better. Innovation is seen as a behavior or a competency.

The organization has a formal evaluation process that identifies, rewards, and recognizes individuals and teams who deliver outstanding innovation results. This process involves multiple stakeholders, such as customers, peers, managers, leaders, etc. who provide feedback and testimonials. This process also identifies and shares best practices and lessons learned from the innovation process and performance. This process fosters a culture of excellence and continuous improvement for innovation. Innovation is seen as a value or a culture.