Understanding the Science of Evolution to Predict Growth

December 31, 2021
by -
DayEDigital

Do you know which companies are most likely to innovate and grow? Identifying and interpreting the predictors of growth ...

Why We Need Predictable Growth

What if you could feel confident in a company’s likelihood for growth, thus, mitigating your risks? There are, in fact, indicators of growth based on the science of evolution. 

Companies – just like all living entities – share certain fundamental relationship rules. To grow, every relationship has a maximal strategy for growth essentially making both entities stronger together, and a minimal strategy for survival is required to sustain the relationship. These are the relationship rules based on the science of evolution and understanding these rules enables us to better predict the likelihood for an entity to innovate and growth. 

At its core, innovation alters the approach or methods used to address current and future circumstances. In other words, how we are adapting to our changing environments to grow better within them. Most companies want to believe that they’re innovative, but the data often tells a different story. 

In addition to the maximal strategy for growth and minimal strategy for survival relationship rules, to experience substantial growth, companies must adopt a test>reflect>adapt approach to business decisions. This evolutionary approach allows for maximal innovation and growth within the adaptive environment.

By gathering and comparing past data points across a range of growth-related factors and combining the intel with the evolutionary approach of the entity, we are able to determine how likely a company is to innovate and grow.

Facets of Growth-Driven Companies

What happens when you can forecast company growth and pinpoint the facets that promote – or prevent – growth from happening? You can go full steam ahead into innovation without the hesitation that inhibits so many business decisions. 

Using the science of evolution, we’ve identified the critical indicators of adaptive environments that transfer to business entities and matched them to specific measurements. We collected and analyzed the following:

◆ Company culture

◆ Net promoter score

◆ Leadership

◆ Sales trends

◆ Employee sentiment

◆ Minimal survival strategy

◆ Company vision

◆ Maximal growth strategy

Company growth hinges on the above listed measures, how they interact, and to what degree a company embraces adaptability. 

When you further investigate a company, you’ll start to notice distinct relationships — leadership to employees, employees to the company vision, and company culture to customer beliefs, to name a few. The relationships align well and generate momentum toward a shared goal, or they simply co-exist keeping the entity in survival mode, or they don’t align and eventually degrade then dissolve. 

A company culture that encompasses high-degree of empathy is likely to produce better customer satisfaction, employee sentiment and leadership scores, for example. On the other hand, a company with a culture that is rigid, afraid of failure or change, will likely have minimal growth and be in survival or stagnant mode. 

Methodology

The methodology behind the innovation predictor score is based on the impact of the science of evolution on innovation and growth and is generated by pairing the fundamentals-based AI with math-based AI. 


Phase 1: Data Collection

The process begins by gathering relevant company data from an array of publicly available sources. Once the data is collected, an index is calculated for leadership, culture, customer sentiment, net promoter score, and sales growth etc. to calculate a total score. 


Phase 2: Theory Implementation 

The predictive algorithm then pairs the score with the science of evolution based on adaptive environments to generate a company's future likelihood of innovation and growth based.


Phase 3: Aggregate Results 

After all factors are accounted for, an aggregate ranking is established for the company, revealing its likelihood to innovate and experience future, predictable growth — here is our top 10 list:


Top 10 Companies Most Likely to Innovate and Grow - see full report at www.innovationpredictor.com

Fast Enterprises

HubSpot

Paylocity 

Google

Marconet

MathWorks

Stryker

World Wide Tech

Amazon

E&J Gallo Winery

*Based on companies included in the top 250 USA tech employers


Insights 

◆ The more direct a company’s relationship with its customers, the more important customer sentiment becomes to growth.

Past growth is a valid predictor of future growth for well-established companies (barring notable pivots).

◆ As expected, leadership and culture are closely linked. A mismatch in leadership and company vision can stall company progress. 

◆ Embracing maximal growth strategy – or identifying then accepting two entities that perform better together – is the only way to obtain long-term adaptability, and as a result, growth. 


Expectations for the Future

◆ Companies will remain only as innovative as leaders encourage innovation. Growth is capped if leaders aren’t willing to prioritize a test>reflect>adapt strategy. 

◆ Customers must buy in and willingly promote in order for companies to achieve sustainable growth and optimal profit.

◆ Culture is going to define companies more than ever before. Company culture must be explicitly established and abided by to facilitate employee and customer confidence. 

◆ The status quo is no longer an acceptable approach. Companies willing to implement bold innovations that support cohesive relationships will experience the most considerable growth.

Growth Predictions: Where We Go From Here

While company growth and success predictions aren’t new, they’ve been missing a crucial piece of the puzzle – an accurate measure of entity relationship rules based in the science of evolution. 

Historical growth frequently aligns with ongoing growth, but knowing why is the difference between crossing your fingers that it wasn’t just luck and confidence in continued company performance.

Once you understand how to evaluate, manage and influence leadership, employees, and customers toward the same goal, ensure a maximal strategy for growth and minimal strategy for continued survival, your growth can be better predicted. For company leaders and investors, this knowledge and the confidence makes all the difference.

Learn more at www.innovationpredictor.com