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THE INNOVATION GENOME ASSESSMENT:

AN OVERVIEW
INTRODUCTION 4 QUADRANTS SOLUTIONS NEXT STEPS

INTRODUCTION
Innovation Genome
The Innovation Genome (iGenome) is a strategic blueprint developed from over 25 years of academic
research that identifies and solves particular innovative challenges. By identifying and analyzing four
different types of innovation, the iGenome helps you understand how you can use the tension between
competing forces—like the simultaneous pursuit of standardization and customization—to create
positive movement. The iGenome is a practical way to help organizations develop, implement, and
sustain change and innovation.

Every individual has some qualities of each quadrant, but some are stronger than others. The key
insight here is to understand how each of these kinds of innovative approaches can work together to
form an organic view of change. By attending to the ways that these profiles interact, you can build an
organizational culture that benefits from the advantages of all these approaches without inheriting their
downsides. The result is an organization that is perpetually growing and adapting to the challenges
that come its way.

COLLABORATE CREATE
DO THINGS THAT LAST DO NEW THINGS

CONTROL COMPETE
DO THINGS RIGHT DO THINGS NOW

Constructive Conflict
The thinkers in each quadrant often disagree. But this clash is a good thing. People with different
views of innovation can come together and teach each other things that they wouldn’t have picked
up on otherwise. This is a productive tension—a conflict that is constructive. The goal here is to use
the advantages of each quadrant at the right time. What happens when pragmatic thinkers work with
big-picture thinkers? What happens when the goal-oriented thinkers meet the patient thinkers?
This is exactly how and where innovation happens: you need to surround yourself with people who
are not like you. The key here is to know your blind spots and to use those blind spots—to know who
and what can help you make up for the skills that your dominant logic may not necessarily give you.
The goal is not to try to become a different kind of thinker but to embrace your dominant logic and
learn how to complement it by surrounding yourself with thinkers of all kinds.

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INTRODUCTION 4 QUADRANTS SOLUTIONS NEXT STEPS

Personal, Practices, Purposes


In the iGenome, the term ‘whole’ is always only comparative, because everything is both a whole thing
and a part of a greater system. There are three interrelated levels of innovation that both enhance and
detract from each other. The iGenome integrates these three parts by looking at how they function
individually and how they function together:

Personal = Individuals in the organization, including leaders


Practices = Culture, competency, and key processes of the organization
Purposes = Outcome, or the value the organization intends to create

Think of the three parts as a Russian Nesting Doll. You are the smallest doll. You—the individual or
the personal doll—are contained within the medium sized doll: the organizational or the communal
doll. This level is your co-workers and the other parts of your organization—the circle of people who
create culture and competency. This represents the current practices of your organization and how
or what your organization is doing now. The communal doll is contained within the largest of the dolls,
the universal doll, or the strategic doll. This level contains everyone. The universal doll represents the
purposes or outcomes of your organization—what it wants to be in the future. It is crucial to remain
aware of the personal, communal, and universal realms simultaneously: look up, look down, look
around.

RUSSIAN NESTING DOLL PERSONAL PRACTICES PURPOSES


With You in the Center You Current System Goals

Here is a simplified way of


thinking about the three levels
of the Innovation Genome
from a bird’s-eye view:

PERSONAL PRACTICES PURPOSES


You Current System Goals

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INTRODUCTION 4 QUADRANTS SOLUTIONS NEXT STEPS

Sometimes you want these things to align with each other—and sometimes you want to embrace
constructive conflict.

1ST 2ND 3RD


The first kind of alignment The second kind of alignment The third kind of alignment
is between Practices and is between Personal and is between Personal and
Purposes: The only way to Practices: Do you feel like you, Purposes: To reach their goals
reach your targets is to make as an individual, have the same successfully, organizations
sure that the way you actually practices as your organization? must employ people with the
run things matches up with the Individuals need to feel like right skills and leadership styles
way you want them to be. In they belong in the organization, that can lead the way. Hiring
other words, your practices must which thrives on including a practices need to be refined
align with your purposes (goals). variety of people with diverse to identify the right innovation
interests and talents. leaders. Current effective
leaders need to be identified,
supported, and developed.

2ND 1ST
Aligned Not aligned

YOU & YOUR VIEW PERSONAL PRACTICES PURPOSES


OF YOUR CURRENT
Not aligned
ORGANIZATION 3RD

Here are even simpler


diagrams highlighting the
main profiles in each level
of the Innovation Genome:

PERSONAL PRACTICES PURPOSES

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INTRODUCTION 4 QUADRANTS SOLUTIONS NEXT STEPS

THE FOUR QUADRANTS

Yellow (COLLABORATE) Quadrant

Individual: teachers, communicators, counselors, listeners, conflict mediators, community builders


Workplace: service-oriented, long-term growth, interconnected communities

Pros: building generations of future leaders, expression of emotion, putting people at ease
Cons: groupthink, irrational enthusiasm, isolation from external pressures

If you are a If your team is If your business unit is If your firm is


“Yellow” “Yellow” “Yellow” “Yellow”

Then… You will create value Value is created through Value is created through Value is created when
through your commitment the team’s commitment to commitment to fostering human capital and
to teaching and mentoring nurturing learning among organizational learning. organizational knowledge
others. team members. are nurtured to create
sustainable competitive
advantage.

And you Your relationship with Your team will create Your business unit will Your firm will create value
work with these individuals will value with other teams successfully create with other firms through
“Reds” succeed when you place when best practices for value with other units the nurturing of long-term
(Control), a collective emphasis on doing things the right way when structured learning and trusting relationships
then… learning to do things the are shared. systems are built and that build industry specific
right way. shared. knowledge and practices.

And you Your relationship with Your team will successfully Your business unit will Your firm will create value
work with these individuals will create value with other successfully create value with other firms through
“Greens” succeed when you teams by collaborating on with other units when innovative, long-term
(Create), collectively try new things, creative projects in order large-scale innovation joint ventures when the
then… generate new ideas, and to learn about things that projects are launched and objective of the venture is
mutually learn what works work and things that don’t nurtured for long-term to generate new industry
and what doesn’t work in work as well as ways to success. knowledge.
a supportive manner. improve.

And you The difficulties in Your team will have a Your business unit will Your firm will find it difficult
work with your relationship with difficult time agreeing on have a difficult time with to establish deep trust with
“Blues” these individuals will mutual objectives with other units because of a other firms because of a
(Compete), center on matters of other teams. Your team’s disconnect over matters of disconnect over the speed
then… individual deadlines objectives might seem speed toward completion at which collaboration
and responsibilities. vague to the other team, as well as specific project should occur and the
Make sure to let the and the other team’s objectives. Keep your time it takes to establish
others set deadlines, objectives might appear business unit focused on trust. To overcome this,
but take a leading role to be doing too much. setting realistic objectives focus the relationship
in clarifying details and Push your own team to be that balance the need toward a specific project.
encouraging positive more concrete, and use for speed with the need Set realistic project
communication about the language of the other to learn what works deadlines and use the
mutual responsibilities. team’s objectives in the and what doesn’t work various project steps as
articulation of your own while maintaining strong checkpoints for issues of
objectives. communication. trust.

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INTRODUCTION 4 QUADRANTS SOLUTIONS NEXT STEPS

Green (CREATE) Quadrant

Individual: dreamers, visionaries, trend-setters, big-picture thinkers, energizers


Workplace: take bold risks, high-energy atmosphere, run experiments

Pros: dynamic and exciting environment, look towards the future, understand how the pieces fit together
Cons: unrealistic vision, poor methodology, lack of discipline

If you are a If your team is If your business unit is If your firm is


“Green” “Green” “Green” “Green”

Then… You will create value Value is created through Value is created Value is created through
through your ability to turn the team’s support of through the creation of systems and cultures of
creative risk into growth playfulness, divergent idea spaces and idea risk-taking and divergence.
projects. thinking, and risk. structures that support Free-thinking projects are
creativity and divergence. nurtured and provide a
channel for growth.

And you Your relationship with Your team will successfully Your business unit will Your firm will create value
work with these individuals will create value with other successfully create value with other firms through
“Yellows” succeed when there is an teams by collaborating on with other units when innovative, long-term
(Collaborate), emphasis on trying new creative projects in order large-scale innovation joint ventures when the
then… things, coming up with to learn about things that projects are launched and objective of the venture is
new ideas, and learning work and things that don’t nurtured for long-term to generate new industry
from them in a supportive work as well as ways to success. knowledge.
manner. improve.

And you Your relationship with Your team will create Your business unit will Your firm will create
work with these individuals will value with other teams successfully create value with other firms
“Blues” succeed when there is when there is a mutual value with other units when such a partnership
(Compete), a mutual emphasis on enthusiasm for launching when knowledge about generates capital for
then… generating attention new projects. stagegating profitable, large, visible, and highly
(or cheerleading) for a visible, growth-oriented innovative, growth
common visible project. projects is shared. projects.

And you The difficulties in your Your team will have a Your business unit will Your firm might find it
work with relationship with these difficult time working with have a difficult time with challenging to partner with
“Reds” individuals will center other teams because of other units because of Control quadrant firms on
(Control), on matters of risk. Your disagreements about conflicting perspectives a macro-level. Instead,
then… big ideas will likely be the nature of new ideas. on the ways in which the look to these firms as
perceived as “risky” if Reds will challenge the company should pursue a potential resource for
they are not carefully functional feasibility of new growth ideas. Both specific capabilities, and
shared. All projects have these ideas. In order to sides will have a difficult try to form smaller scale
some degree of risk, so overcome this, make sure time balancing and alliances rather than larger
you must direct your your team develops a evaluating functional risk scale joint ventures.
efforts toward outlining proof of concept for the and reward. Your business
reasonable risks and idea that addresses any unit must recognize that
reasonably foreseeable issues of feasibility. risk is inevitable and
rewards in an analytical present some creative
way. ways in which it might be
mitigated.

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INTRODUCTION 4 QUADRANTS SOLUTIONS NEXT STEPS

Blue (COMPETE) Quadrant

Individual: competitors, decision-makers, goal-oriented achievers, sprinters, deal-makers


Workplace: fast-paced, cutthroat environment, consistently produce revenue

Pros: logical and analytical, to-the-point, action-oriented


Cons: over-emphasis on competition, short-term focus, autocratic decision-making

If you are a If your team is If your business unit is If your firm is


“Blue” “Blue” “Blue” “Blue”

Then… You will create value Value is created when a Value is created when Value is created through
through your ability to get team acts as a filtering it performs well enough systems that position the
things done quickly and mechanism for leaders against other business firm to provide superior
by meeting prescribed and winners. units in order to justify returns to shareholders
metrics. its existence within the relative to other
organization. competitors.

And you Your relationship with Your team will create Your business unit will Your firm will create
work with these individuals will value with other teams successfully create value with other firms
“Greens” succeed when there is when there is a mutual value with other units when such a partnership
(Create), a mutual emphasis on enthusiasm for launching when knowledge about generates capital for
then… generating attention new projects. stagegating profitable, large, visible, and highly
(or cheerleading) for a visible, growth-oriented innovative, growth
common visible project. projects is shared. projects.

And you Your relationship with Your team will create value Your business unit will Your firm will create value
work with these individuals will with other teams when successfully create with other firms when there
“Reds” succeed when there there is a mutually specific value with other units are clear objectives for
(Control), is a mutual interest in goal that minimizes risk through key projects with and resources available to
then… minimizing some sort of and maximizes return on clear goals, timelines, mutual ventures. Ventures
risk. investment. responsibilities, and will be transaction based
outcomes. and will focus more on the
outcome of the exchange
rather than the exchange
itself.

And you The difficulties in Your team will have a Your business unit will Your firm will find it difficult
work with your relationship with difficult time agreeing on have a difficult time with to make things happen
“Yellows” these individuals will mutual objectives with other units because of a quickly because of a
(Collaborate), center on matters of other teams. Your team’s disconnect over matters of disconnect over the speed
then… individual deadlines and objectives might seem too speed toward completion at which collaboration
responsibilities. Make sure aggressive and unrealistic as well as specific project should occur and the
to allow adequate time for to the other team, and the objectives. Keep your time it takes to establish
positive communication other team’s objectives business unit focused on trust. To overcome this,
and the discussion of might seem too vague. setting realistic objectives focus the relationship
responsibilities, but take Push your own team to that balance the need toward a specific project.
a leading role in setting set more realistic goals for speed with the need Set realistic project
reasonable targets and that allow some room for to learn what works deadlines and use the
deliverables. a reasonable amount of and what doesn’t work various project steps as
failure and learning. while maintaining strong checkpoints for issues of
communication. trust.

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INTRODUCTION 4 QUADRANTS SOLUTIONS NEXT STEPS

Red (CONTROL) Quadrant

Individual: planners, organizers, analysts, technicians, methodological problem-solvers


Workplace: by-the-book, scalable growth, values order and structure

Pros: strong sense of professionalism and expertise, ambitious, reliable procedures


Cons: too much right-way and wrong-way thinking, bureaucratic, control-freaks

If you are a If your team is If your business unit is If your firm is


“Red” “Red” “Red” “Red”

Then… You will create value Value is created when the Value is created when Value is created when
through your attention team’s long-term reliability it connects practices, it connects practices,
to detail and your ability and consistency are processes, and systems processes, and systems
to recognize incremental institutionalized as best with growth objectives. with growth objectives.
opportunities. practices or processes.

And you Your relationship with Your team will create Your business unit will Your firm will create value
work with these individuals will value with other teams successfully create with other firms through
“Yellows” succeed when you place when best practices for value with other units the nurturing of long-term
(Collaborate), a collective emphasis on doing things the right way when structured learning and trusting relationships
then… learning to do things the are shared. systems are built and that build industry specific
right way. shared. knowledge and practices.

And you Your relationship with Your team will create value Your business unit will Your firm will create value
work with these individuals will with other teams when successfully create with other firms when there
“Blues” succeed when there there is a mutually specific value with other units are clear objectives for
(Compete), is a mutual interest in goal that minimizes risk through key projects with and resources available to
then… minimizing some sort of and maximizes return on clear goals, timelines, mutual ventures. Ventures
risk. investment. responsibilities, and will be transaction based
outcomes. and will focus more on the
outcome of the exchange
rather than the exchange
itself.

And you The difficulties in your Your team will have a Your business unit will have Your firm might find it
work with relationship with these difficult time working with a difficult time with other challenging to partner with
“Greens” individuals will center on other teams because of units because of conflicting Create quadrant firms on
(Create), matters of risk. Others will disagreements about views on the ways in a macro-level. Instead,
then… perceive your assessment the nature of new ideas. which the company should look to these firms as
of risk and caution as an Greens will appear to pursue growth. Both sides a potential resource for
obstruction of ideas and disrespect the practicality will have a difficult time ideas. A formal partnership
progress. Make sure your and feasibility of these balancing and evaluating might not work, but
concerns are reasonable ideas. Your team should risk and reward. Your consulting, solutions-
and look for ways to use its expertise to help unit must recognize that oriented, or technology
turn these concerns into the other team develop some risk is necessary for transfer arrangements
opportunities for new a proof of concept of growth. Look for common might be more appropriate.
ideas. the actual idea while ground that represents
recognizing that some reasonable risk but
degree of failure is normal yields significant growth
during this stage. potential.

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INTRODUCTION 4 QUADRANTS SOLUTIONS NEXT STEPS

SOLUTIONS IF YOU NEED TO BE MORE…

Community Knowledge

Examples of • Involve people who will be affected by change in the • When planning change, ensure that objective,
actions you planning and implementation. responsibilities, time frame, etc. are defined and
can take that • Allow people to talk about their reactions and clearly communicated to people and then give them
impact… feelings, especially when they feel that they are losing freedom to experiment.
something due to change. • Tell people what you think the change will mean for
• Identify a change champion in your organization, and them and then request and listen to their feedback
work with them to support and initiate change. and reactions.
• Hold feedback meetings in order to give employees • Ask for a lot of advice in a change situation.
the opportunity to express their feelings about how the • Meet with someone who has successfully
change is going. implemented change. Discuss the steps that were
taken throughout the change process. Review your
own plans for change with this person.

Examples • Creating a sense of cohesion in the organization • Training, mentoring, and coaching
of priorities • Establishing shared values among people • Develop a learning organization
that your • Facilitating conflict resolution • Building cross-functional teams
team can • Integrating personal and professional goals • Nurturing communities of practice
determine • Encouraging commitment • Organizational competency and culture development
that impact…

Innovation Growth

Examples of • Hold idea-sharing events in your work setting such • Establish goals, and hold people accountable for
actions you as cross-functional task forces, focus groups, and producing innovative ideas. Make it part of everyone’s
can take that book reviews. The idea is to address questions such job description.
impact… as—What is new? What problems do we have that we • Establish a “practice field” that is separated from
don’t expect anyone to solve? normal daily work where new ideas can be tried and
• Encourage action learning. Try things first. Then low-cost experimentation can occur. This could be
analyze what you have learned from success or failure. an actual physical location with time off and some
Don’t wait until you are certain of success before you resources.
take action. • Create a climate in which people feel free to fail and
• Purposefully take a risk in your decisions by trying a admit it. Remember that the best baseball hitters
new alternative solution or a different process. succeed only 33% of the time.
• Create a file of new ideas. Each time you think of • Generate as many options as you can during problem
something innovative related to your work, write it identification and the generation of alternatives in a
down, and file it. problem-solving process.

Examples • Jumpstarting breakthrough experiments • Forecasting the future


of priorities • Launching radical change programs • Launching entrepreneurial ventures and spin-offs
that your • Stimulating people to think creatively • Developing new products and services
team can • Destroy the old way of doing things • Speculating emerging opportunities
determine • Hiring and staffing for diversity
that impact… • Creating a flexible and open workplace

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Speed Profits

Examples of • Give customers what they want the first time, every • Identify cutting-edge organizations that establish
actions you time, then work toward exceeding those expectations, trends in their businesses. Based on what you
can take that and surprise them with levels of service they would observe, project a future for your organization. What
impact… never expect or request. will you have to do in order to achieve world-class
• Keep track of trends and predictions of the future of status?
your industry or sector. Monitor what is happening • Acknowledge and legitimize improvements that save
demographically with your competitors, foreign and as little as one cent.
domestic. • Make continuous improvements a key feature of the
• Acknowledge and legitimize improvements that save vision that was articulated for your unit.
as little as one second. • Make it easy for employees as well as customers to
• Never let 24 hours pass without asking at least one complain and give suggestions. Make the assumption
customer what they want. Constant inquiry will that more input is better. Actively seek improvements
produce a constant flow of ideas. from employees and customers.

Examples • Deploying small elite troubleshooting project teams • Driving for superior returns on investments
of priorities • Quickly eliminating underperforming initiatives • Focusing on a few quantifiable performance objects
that your • Confronting problems as soon as they occur • Rewarding high performance disproportionately from
team can • Making real time decisions in a fast moving workplace others
determine • Driving through barriers • Maximizing value through project portfolio management
that impact… • Initiating mergers and acquisitions

Efficiency Quality

Examples of • Learn to use computer software packages to forecast • Measure improvement, not just task or goal
actions you and monitor work (e.g., budget, human resources). accomplishment.
can take that • Use computer software packages to monitor and • Institute regular audits of each unit in your organization
impact… measure work processes and outcomes. in order to find ways to improve it.
• Break problems and issues apart into smaller • Establish past performance as the standard against
components in order to thoroughly understand details which to measure success.
• Repeatedly ask “why” questions regarding unclear • Critically analyze the key reports that are produced
processes. by and for your unit in order to assure accuracy and
• Refuse to be intimidated by confusing processes. Ask, usefulness.
probe, and discuss until you do.

Examples • Conserving fiscal resources • Applying quality control systems to prevent costly
of priorities • Implementing systems to control complex tasks mistakes
that your • Making internal work processes routine • Complying with regulations.
team can • Employing technology on a large scale • Adhering to professional standards.
determine • Compelling suppliers to reduce costs • Using continuous improvement processes
that impact… • Establishing clear roles and responsibilities

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WHAT TO DO NEXT?

Actions Dates

Collaborate

Compete

Create

Control

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INNOVATRIUM
INSTITUTE OF INNOVATION
601 E. University Ave, Ann Arbor, MI 48104

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JeffDeGraff.com

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