Another tool for assessing business process capabilities was developed by members of the Research On Research group of the Industrial Research Institute. It was a Value Innovation Quotient tool based on a survey of 10 elements. These 10 elements were an open culture, value creation passion, articulating compelling business cases, organizational learning processes, catalyze breakthrough options, external focus, address the full company value chain, robust decisions, incentives, implementing in the face of risk and uncertainty. These 10 elements in the value innovation are based on a concept introduced by David and Jim Matheson. In their book The Smart Organization they introduced a self-assessment tool called the organizational IQ test. They provided the content, a format and a methodology and interpretation scheme it was very powerful.
The “Summary Value IQ Score Sheet” figure shows a summary value IQ score sheet used to rate organizations. It is a summary of the 50 questions and statements that rate a company using descriptors on a seven point scale. Like the other tests it highlights areas of strengths and weaknesses for company’s senior management team to address when undertaking new business development projects.
Following and shown in the “Open Culture”, “Value Creation Passion”, “Articulating Compelling Business Cases”, “Organizational Learning Processes”, “Catalyze Breakthrough Options”, “External Focus”, “Address the Full Company Value Chain”, “Robust Decisions”, “Incentives” and “Implementing In The Face Of Risk And Uncertainty” figures are the individual assessment questions associated with the value IQ score sheet. This tool and questions were stimulated by the many papers and books all by W. Chan Kim, Renée Mauborgne, C. K, Prahalad, Gary Hamel, and Constantinos Markides. It was believed by the members of an ROR subcommittee of the Industrial Research Institute that these self-assessment tools were the best way to communicate value innovation best-practices. Its purpose was to allow any organization or company to determine where it is positioned today and to identify those areas were cultural and or process changes are required to increase success rates in catalyzing significant increases to market capitalization.