Innovation: From Invention to Commercialization

This assignment delves into the multifaceted process of innovation, examining the distinction between invention and innovation. It explores various stages of the innovation funnel, including idea generation, development, testing, and commercialization. The assignment analyzes relevant research and case studies to highlight successful commercialization strategies employed by firms in different industries.

INNOVATION AND
COMMERCIALISATION

Table of Contents
INTRODUCTION...........................................................................................................................2
TASK 1............................................................................................................................................2
P1. Importance of innovation to an organisation in comparison with invention........................2
P2. Organisation vision, leadership, culture and teamwork can shape innovation and
commercialisation.......................................................................................................................4
TASK 2............................................................................................................................................5
P3. 4Ps of innovation and use of the innovation funnel to examine and shape innovative ideas
.....................................................................................................................................................5
P4. Explanation of development in the frugal innovation...........................................................6
TASK 3............................................................................................................................................7
P5. Importance of the commercial funnel and the application of new product development.....7
P6. Innovation business case for 4com.......................................................................................8
TASK4.............................................................................................................................................9
P7. Tools used by an organisation to develop, retain and protect intellectual property and
knowledge...................................................................................................................................9
CONCLUSION..............................................................................................................................10
.......................................................................................................................................................12
1

INTRODUCTION
It is necessary for every business enterprise to identify the needs and wants of customers and
according to their tastes, they provide better quality products. It is necessary for organisation to
largely works for innovation. Innovation is defined as to some modification of existing product
and services that can help to attain goal and objectives. Business uses latest technology software
that can help to innovate various new products. The main objective of every organisation is to
make large profits. Customer is the blood for every business enterprise. Without this element,
company is not able to achieve profitability and productivity in the long run. Innovation and
commercialisation plays a crucial role that helps to maintain organisation’s goodwill in the
market. It is necessary for the business to make optimum utilisation of resources that help to gain
better productivity and profitability. 4Com is telecommunication company that are located in
UK. They largely manufacture the business phones, application software and generate various
sites on Internet. The main aim of this cited organisation is to do innovation and invention on
continuous basis. Difference between innovation and invention is mentioned in this report. This
project also describes the tools and techniques that help to protect intellectual property of
business enterprise.
TASK 1
P1. Importance of innovation to an organisation in comparison with invention
Today, it is necessary for every organisation to largely focus on innovation factor. They
produce innovative products on continuous basis. Company needs innovation that helps to
maintain their goodwill and profitability (Snow And et.al, 2011). Variosu sources of innovation
that are described below:
 The unexpected: Company has focus for various innovation and invention technique that
helps to achieve their goals and objectives in long run. It is not necessary that innovation
always give better profits and productivity as sometimes, so this will adverse affect
company goodwill. Through innovation and invention, company earns high profitability
in the long run.
 Process need: Sometimes, organisation is not satisfied with their present product and
process method then they made significant alteration in their innovation process, so this

method help to achieve better profitability and productivity in long run (Lindič and et.al,
2011).
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 Change in perception: Companies largely manufacture innovative products and services
according to the needs and wants of customers because their taste and preferences are
changing over time.
 New technology: With the help of technology software, an organisation isa ble to
produce variosu innoavte products. If individual develop any idea and thought this can
help to their innovation process and are able to make attractive product and service.
Cited company has establish positive environment in their workplace so it can help
worker to give their best effort for make large productivity in near future. So, with the help of
innovation, company is able to generate better products and services that can help to attract large
number of customers. They also provide various perquisites and benefits to their workers so that
this will help to encourage motivation and efficiency level of employees. so they are able to
produce quality products and services (Kim And et.al, 2011). Company generate training and
development programme that can aid to increase knowledge and skill competence of workers.
The term innovation and invention are differ from each other. Innovation is define as to
make some addition in their existing product or process that can produce new product while
invention means to manufacture totally new product which are not made earlier. This cited
company is adopted the concept of apple and virgin group (Rafine jad 2010). Steve job is
introduced the apple iPod and mobile phones. The difference between innovation and invention
are as follows:
INNOVATION INVENTION
It involves some modification of existing
products or processes.
It totally produce new product
Innovation process si largely completed by
group members.
It is done by individual personnel
Mainly focus on resolving all conflicts. In this method, company analyse problems and
issue and focus for made appropriate solution
It is essential for business to have technical
knowledge and skills related to market
operations.
If company made any invention then it is
necessary to have full knowledge about the
same.
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P2. Organisation vision, leadership, culture and teamwork can shape innovation and
commercialisation
It is necessary for cited company to largely focus on the latest technology software that
helps to make better innovative products and services. 4Com is able to achieve their goals and
profits with the help of innovation and invention factor. They mainly focus to participate in
research and development programme that helps to make new innovation. So they are able to
produce various new phones, business phones that can helpful to large business enterprise.
Leader play an important role for organisation success and profitability, so they can deliver
better innovative products and services to their large target customers. This cited company has
mainly focus for Steve job and Richard Branson concepts. They create their positive working
environment so workers largely participate in new innovation method and technique. They
identify the need and want of customer according to this taste, they manufacture products and
deliver better quality services to their potential clients. Steve job is not interested to share their
ideas and messages in front of large workforce whereas Richard Branson established the various
business enterprise where they are able to allocated resources that can help to complete their
goals and objectives.
4 COM is made their vision and mission statement and according to this factor so they
can easily achieve their goals and objectives. They mainly produce those products and services
that are helpful for society. This is done only for innovation process. Cited company adopted the
concept of commercialisation that can help to gain competitive advantage over other challenger.
If company has not able to modify or change their existing product or process then they are not
able to expand their business enterprise and deliver better quality products and services.
Innovation process is done by the group members, an individual are not able to complete whole
innovation process. Today many organisation spend more resources in research and development
programme but their team are not worked with proper efficiency, this is main reason that
company are not achieve their goals and objectives in a given period of time (Schoon maker and
Carayannis, 2010).
Process of commercialisation: Company has firstly identify those problem area that
require much attention. They establish various necessary resources that can help to resolving
these problems. With help of research and development programme, they collect various data
and information that can help to produce innovate product and deliver better services to target
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customer. 4Com has use pro-type component, this will help to produce price and quantity of
information. Organisation mainly focus for those sites that produce large products and
commodities. Compnay has acquire rights like aptent right and tardemark thai will help to gain
competitive advantade over other challenger. Company also work for various marketing
strategies that can help for commercialism or promote their particular product. So company has
give much attention in innovation process so it help to get more productivity and profitability in
long run. (Aarikka-Stenroos and Sandberg, 2012).
TASK 2
P3. 4Ps of innovation and use of the innovation funnel to examine and shape innovative ideas
Company has mainly focus for research and development programme. This helps to
identify the needs and wants of large number of customers. They know the strategies that are
prevailing in large segment of market. It is necessary for the workers to have basic knowledge
and skill competence to complete the research process effectively. This procedure is very
complex in nature. There are 4p of innovation such as product, process, position and paradigm.
 Product innovation: 4Com has main focus for innovation that helps to generate better
products and services to a large number of customers. They are not use the promotion
tool and techniques. They always works for modify their existing products or goods and
add some attractive feature in their product packaging and processing. Company has
design attractive business phones so more customersr are interested to purchase it.
 Process innovation: Company has adopted various process that can help to their
manufacturing and delivering process. They largely consider the automation factor in
production of business phones that will help to gain productivity and profitability in long
run.
 Position innovation: Cited company mainly focus for modification of their existing
product or service. Company has not wasted their time and money fcator for production
of new product. This can help to achieve better goals and objectives in short period of
time (Teece, 2010).
 Paradigm innovation: Sometime organisation innovate those products which society are
not able to expected. One of the author Henry ford said that If he ask person what they
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want then people told him, I want horse who has five legs'. Cited company worker
establish various new products that can help to fulfil the demand of target customer.
Innovation funnel plays an important role for development and improvement of products.
Worker has develop their own ideas and thought that can help for innovation process. They
mainly focus to demand and want of customer and works them to converting into reality.
Basically there are three method that involved in whole procedure. If more workers are work for
this process so more ideas are generated that can help for company to collect various data and
information. If Worker has give any advice it will helpful for fulfil l the vision and mission of
company. Now company has scan all ideas and information in advance so the risk and return
factors are easily assess in a given time (Ettlie and Rosenthal, 2012).
4Com is small medium enterprise so they have not enough resource to accomplish large
goals and objectives. They largely focus for optimum utilisation of resources which helps
company to gain huge productivity and profitability in the long run. 4Com has adopted the
concept of Virgin Group (Thore, 2012). This group largely considers their worker’s opinions and
ideas. Company has largely adopted the innoavtion procedures
P4. Explanation of development in the frugal innovation
Frugal innovation is defined as where company is not able to generate new products and
valuable services. Cited company largely focus for those production process where conflict and
risk is less arise. They generate product with reasonable price that help to gain competitive
advantage over competitors. 4Com has largely manufacture the business phone which helps to
achieve goals and objectives effectually. It is necessary for this cited organisation to use the
latest technology software that helps to innovate various products and deliver valuable services
to a large number of target customers. They mainly works for modification their existing
products rather than introduce new commodities. They add various features in their products and
remove unnecessary elements that exist in phone. Now this cited organisation made business
phones that are small in size because today people do not like those phones that occupy much
space. They have worked according to need and want of customer because without client,
business enterprise does not exist in long run. Company has largely use automation factor that
can help to minimise wastage of resource. This will help to get large productivity and
profitability in near future. (Walsh, 2012).
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In past year, apple has largely use the frugal innovation technique. Steve job has launched
iPods in large segment of market. They add various feature in their product. They produce large
storage capacity in their phones that can help for customer to store more music in music player.
They launched their product as small in size as compared to other competitor product, this is
main reason that their prices are more competitor as compared to other rival producer. With the
help of frugal innovation technique, apple stands in market approx 50% share this can help to get
high profitability and success in near future. This cited company get more profitability as
compared to other rival firms because of less cost of production. Apple operate their stores in
various location that are nearer to their production department so their distribution cost laid
down.
TASK 3
P5. Importance of the commercial funnel and the application of new product development
There are various sources available that provide financial assistance to a large number of
organisation. Commercial funnel is one of the source that mainly helps to this cited company.
Company has established various policies and procedures, so it help to increase the efficiecy and
motivation level of employee. This technique helps company to achieve better profitability and
growth in the long run. Every business organisation exists for making large profits and so, they
examine those factors that earn higher profitability and turnover. 4Com has also established
research and development programme this will help to company are easily identify the customer
need and want. Thus, they are able to produce better products and deliver services to a large
number of target customers. Company also focuses on expansion and diversification of their
business. It is necessary for the business enterprise to work in an appropriate manner so it can
help to achieve profitability and growth in near future (Huizingh, 2011). They also focus to
maintain strong relationship between employer and employee so worker motivation and
efficiency level are increase.
Now a days, it is necessary for organisation to modify their existing products and services
with the help of latest technology software. There are some techniques of product development
process which are as follows:
 Idea generation: Employees play an important role for organisation’s success and
profitability. They develop ideas and thoughts that help to expand their business in large
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segment of market. It is necessary for every business enterprise to identify needs and
wants of customers and according to this taste they manufacture products and deliver
services.
 Idea screening: Company has largely consider various resources that can help to make
planning decision. Withour finance, it is difficult for company to get stable in long run.
Proper utilisation of resources is the most important for every organisation’s growth and
success in the near future.
 Testing and development: Organisation recruits professionals that are expert in their
particular work. Employees mainly work for development and improvement of products
(Godin, 2012).
 Product development: Company has generated various products and commodities
according to the tastes and preferences of customers. So this can help to earn more
profitability and success in near future. After testing and development method, company
has able to produce various new products that will attarct more customers.
 Commercialisation: Company usesvarious promotional tools to promote and advertise
their products. With the help of this tool, it can easily promote their products so more
customer are interested to purchase this products.
 Launching: Company has launched their products in large segment of market so
consumers can easily purchase it.
P6. Innovation business case for 4com
4com is small and medium enterprise that mainly works for telecommunication industry
and located in united kingdom (Gambardella and McGahan, 2010.). They facilitate the internet
facilities across country. They generate application software and business phones that help to
achieve more profitability and productivity in the long run. This company largely focuses for
business equipment that helps to attain greater success in long term.
 Executive summary: Company uses various technology software that helps to produce
business phones and other equipment that fulfil the need and demand of customers.
Today, large number of organisations focus on innovation and so, this helps to maintain
their goodwill and profitability in the long run.
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 Target: Main aim and target of this company is to provide their products mainly to
corporate clients. The main aim of this company is to improve and develop the
communication process between all business workers (Bagchi-Sen, 2010).
 Solution: Company designs those features in their products that are helpful for large
number of customers. Costumer are not face any difficulty relate to any particular item. It
is necessary for organisation to firstly assess the needs and want of customer and
according to this taste they manufacture various innovative products and deliver valuable
services.
 Why product is innovative: Now a days, customer are paid lot only for get better
product and service. This cited company works for modification their existing products
and invent new goods that can help to meet the demand and satisfaction level of
customers.
 Funding: Small scale enterprise are not able to work in large resources because it include
various conflicts factor. There are various financial institution that can help to increase
productivity and profiatbility of company.
 Expected benefit: Company determine tehir future, this will come on this step. Large
number of information and data are used in this step.
TASK4
P7. Tools used by an organisation to develop, retain and protect intellectual property and
knowledge
Today, many organisations are doing various types of innovation. The two companies are
able to produce similar products and commodities but there is little difference in their feature
quality (Bogers and West, 2010). Various tools and techniques that are helpful for protecting and
retaining intellectual property and knowledge are as follows:
 Help from professional: Professional gives proper advices or suggestions to an
organisation relate to retaining and potential intellectual property and knowledge. These
experts have a lot of knowledge in various areas. Company acquire various information
and data related to market segment.
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 Know your right: Company mainly acquire rights such as patent right and trademark
this will helpful for business to gain competitive advantage over other rival. This helps
top attain goals and objectives in long run.
 Trade mark: This factor is the most beneficial for company’s productivity and
profitability. Various benefits are provided in terms of legal power, reputation, etc. If
company has found any discrepancies is any of their products then they mainly work for
removing this effect. Cited company focus for innovation that can help to modify or
produce existing and new product so it attarcts large number of customers.
CONCLUSION
From the above mentioned report, it can be concluded that it is necessary for every
business organisation to focus on innovation that help to produce better products and deliver
services to large number of target customers. Today commercialisation is the most important for
every organisation. With this technique, company is able to generate higher revenue and
profitability in the long run. 4Ps of innovation are essential for company’s production process
and it can help to develop and improve the existing and new products.
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REFERENCES
Books and Journals
Aarikka-Stenroos, L. and Sandberg, B., 2012. From new-product development to
commercialization through networks. Journal of Business Research. 65(2). pp.198-206.
Bagchi-Sen, S., 2010. Strategic considerations for innovation and commercialization in the US
biotechnology sector. European Planning Studies. 15(6). pp.753-766.
Bogers, M. and West, J., 2010. Contrasting innovation creation and commercialization within
open, user and cumulative innovation.
Bogers, M. and West, J., 2012. Managing distributed innovation: Strategic utilization of open
and user innovation. Creativity and innovation management. 21(1). pp.61-75.
Ettlie, J.E. and Rosenthal, S.R., 2012. Service innovation in manufacturing. Journal of Service
Management. 23(3). pp.440-454.
Gambardella, A. and McGahan, A.M., 2010. Business-model innovation: General purpose
technologies and their implications for industry structure. Long range planning. 43(2).
pp.262-271.
Godin, B., 2012. “Innovation Studies”: The Invention of a Specialty. Minerva. 50(4). pp.397-
421.
Huizingh, E.K., 2011. Open innovation: State of the art and future perspectives. Technovation.
31(1). pp.2-9.
Kim, S.K. And et.al., 2011. The effect of R&D, technology commercialization capabilities and
innovation performance. Technological and Economic Development of Economy. (4).
pp.563-578.
Lindič, J., and et.al., 2011. Deploying information technologies for organizational innovation:
Lessons from case studies. International Journal of Information Management. 31(2).
pp.183-188.
Rafinejad, D., 2010. Innovation, product development and commercialization: Case studies and
key practices for market leadership. J. Ross Publishing.
Schoonmaker, M.G. and Carayannis, E.G., 2010. Assessing the value of regional innovation
networks. Journal of the Knowledge Economy. 1(1). pp.48-66.
Snow, C.C. And et.al., 2011. Organizing continuous product development and
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Innovation Management. 28(1). pp.3-16.
Teece, D.J., 2010. Business models, business strategy and innovation. Long range planning.
43(2). pp.172-194.
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Thore, S.A. ed., 2012. Technology commercialization: DEA and related analytical methods for
evaluating the use and implementation of technical innovation. Springer Science &
Business Media.
Walsh, P.R., 2012. Innovation nirvana or innovation wasteland? Identifying commercialization
strategies for small and medium renewable energy enterprises. Technovation. 32(1).
pp.32-42.
Wonglimpiyarat, J., 2010. Commercialization strategies of technology: lessons from Silicon
Valley. The Journal of Technology Transfer. 35(2). pp.225-236.
Online
Difference Between Invention and Innovation. 2016. [Online]. Available through:
<http://keydifferences.com/difference-between-invention-and-innovation.html>.
[Accessed on 22nd August 2017].
Innovation Funnel. 2016. [Online]. Available through:
<https://www.cleverism.com/lexicon/innovation-funnel-definition/>. [Accessed on 22nd
August 2017].
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