This invention comprises biological system that generates its own genetic diversity by taking advantage of shufflon, a site-specific recombination system which consists of four DNA segments and seven separate recombination sites. This system was previously reported as a single piece of DNA that has the ability to recombine to create seven different open reading frames, which means that it codes for seven different combinations of proteins. The shufflon system was adapted to generate biological diversity in the pikromycin pathway, a pathway coding for enzymes that modify antibiotic synthesis. Four genes were selected from three different species of bacteria co-synthesized with shufflon in yeast artificial chromosomes. This system is currently being tested for integration into S. coelicolor bacteria, with the ultimate goal of producing new antibiotics.