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Knowledge and study of the effect of team work on organizational innovation is still developing and becoming a current issue. This paper aims to explain how Muhammadiyah is a movement of Islamic organizations in todays turbulent business environment, with the work teams efforts having undergone organizational development and transformation as a continuous and progressive organizational innovation. The existence of the organization from the beginning stood up to responding to the challenges of the current era, was explained by the implementation of its business unit to become a Muhammadiyah-Owned Enterprises (MOE). This research used a qualitative approach by investigating 6 Muhammadiyah-Owned Enterprises. The companies studied are presented and discussed with changes experienced by each organization.