There are numerous researchers studying the substance of innovation in an organisation. Teamwork is always the essential part of innovation in organisation; in other words, good teamwork is an important ingredient in achieving innovation. In higher education institutions, many strategies have been implemented to achieve innovation. This paper uses the Team Quality Construct (TWQ) from Hoegl and Gemuenden (2001), which highlights several factors namely, communication, mutual support and balance between member contributions, coordination, effort and cohesion as being other essential qualities for the generation of innovation. In addition, this paper examines the relationship between teamwork and innovation by using TWQ and the Innovation Competency Development (INCODE) assessment at BINUS University International. INCODE is a form of assessment that has been implemented in BINUS' Project Hatchery classes for first-semester students from diverse academic backgrounds. The results of the study have signified the role of teamwork as a construct that influences innovation significantly. The study showed that there were no differences in respondents' perception of teamwork among students enrolled in different programmes included in the sample population. This proved that teamwork can be considered as the main contributing factor in innovation generation.