Learn the key takeaways from my knowledge session on Measuring What Matters — all in just 7 minutes.
In my work with global innovation teams, I often come across the same question, phrased a dozen different ways: How do we measure innovation in a way that actually means something to leadership?
It’s one of the most persistent challenges in our field. And it’s easy to see why.
Innovation doesn’t move at the same pace as quarterly results. It’s unpredictable by nature. Yet more and more, leaders are asking innovation teams to justify their existence—not by effort or engagement, but by outcomes.
To meet this demand, innovation leaders need to rethink how they measure, communicate, and structure their activities. It's not just about tracking what’s been done—it’s about showing where things are headed, and why it matters.
Many innovation teams are tracking the wrong things. They’re measuring how many ideas were submitted or how many people got involved. While those stats may show activity, they don’t help leaders make decisions about resources, priorities, or strategic direction.
What causes this disconnect?
The result is a frustrating misalignment. Innovators feel they’re working on meaningful things. Leaders don’t see the value. And programs stagnate.
To close this gap, it helps to flip the perspective. Rather than asking what metrics matter to you as an innovation team, ask: What information would help leadership make better decisions about innovation?
In most cases, they want clarity on:
This shift—from tracking activity to demonstrating value—is at the heart of credible innovation measurement.
One of the most effective ways to measure innovation impact is to treat it as a portfolio. Just like a financial portfolio, your innovation portfolio should be diversified, managed, and continuously assessed.
You’ll want to categorize initiatives by time horizon:
Then, layer in meaningful metrics:
This kind of structure enables leadership to see not just what’s happening—but why it matters.
If you're unsure which KPIs or KRIs to focus on, start with this list—based on innovation accounting principles and what I’ve seen work across organizations:
Engagement & Culture
Portfolio Health
Business Impact
Not all of these need to be adopted at once. But even a few well-chosen metrics—tracked consistently—can make innovation efforts more visible and valuable.
| Input | Throughput | Output |
| # of ideas or generic submission types | Speed of testing hypotheses (in days, months, years) | # or ration of triages, evaluated and/or implemented ideas to total ideas |
| # of innovation activities or initiatives (per category, if it applies) | Speed of new capability acquisition (in days, months, years) | Quantifiable growth (ROI, profit, market share, etc.) |
| # of new outside-in data and knowledge sources (including tacit and explicit; free or subscription-based) | # or ratio of total employees and leaders well-versed in ideation, strategy, partnering, or innovation project development | Quantifiable change in behavior or attitude (as per culture survey) |
| # of new internal insights, resources, and competencies (can also be measured for suppliers, collaborators, etc.) | New tools and methods adopted | Number of new partners or collaborators; number of new internal users |
| Present value of ideas | Time to profit or to market (in days, months, years) | Rate of innovation diffusion, rate of transformation and renewal, IP created |
| Engagement cycle analysis (Awareness, Understanding, Action, Reaction, Advocacy) | Sustainability impact or benefits | |
| Brand awareness (for external programs) | Cost savings |
These indicators become even more actionable when you organize them around the innovation journey itself: from early inputs to tangible business outcomes.
Even with the right metrics in place, you still need a way to bring them together in a clear, digestible format. That’s where a well-structured innovation dashboard comes in.
Think of it as a single slide or screen that tells your innovation story. It doesn’t need to be complex—but it should clearly communicate the following:
Key elements to include:
By visualizing these components, you help leadership:
A clear dashboard doesn’t just inform—it builds confidence.
If your metrics aren’t helping you build credibility, it might be time to rethink what you're reporting.
Watch out for these common pitfalls:
One common mistake innovation teams make is focusing too much on the end result. But in most cases, leadership doesn’t need final outcomes—they need evidence that progress is being made.
To communicate this, it’s helpful to visualize the journey:
Even if many initiatives are pre-revenue, showing how they align with long-term goals helps build belief and secure support.
If you’re not measuring innovation impact effectively today, the good news is: you don’t need to fix everything at once.
Here’s a practical starting point:
Measuring innovation is never one-size-fits-all. But if there’s one principle I’ve seen work again and again, it’s this: make innovation visible in a way that matters to your stakeholders.
That means showing direction, not just results. It means structuring innovation as a portfolio, not a patchwork of projects. And it means helping leadership see innovation not as a cost—but as a source of long-term value.
The more clearly you can make that case, the more room you’ll have to innovate.
Watch the full webinar replay or get in touch to explore how HYPE Innovation can support your organization in measuring what matters.