P3 The 4Ps of innovation and use of the innovation funnel

Innovation and
Commercialisation

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P1 Innovation and its importance to organisation in comparison with invention..................3
P2 Organisation, vision, leadership, culture and teamwork help in shaping innovation and
commercialisation...................................................................................................................4
M1 Sources of innovation......................................................................................................5
P3 The 4Ps of innovation and use of the innovation funnel...................................................5
P4 Developments of frugal innovation...................................................................................6
M2 Analyses and apply innovation funnel in an organizational............................................6
M3 Role of frugal innovation.................................................................................................7
D1 Critically analyses how innovation is developed, embedded and measured in an
organizational context............................................................................................................7
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8

INTRODUCTION
Innovation means developing new idea and creating thought which is cost effective and
unique. Moreover, Commercialisation refers to procedures of developing new products or
method of products which make availability of products in marketplace. Organisation on which
this assignment is based on is Marks and Spencer which is a British retail store who offer their
products worldwide and it was established in year 1884 (Wang, Vanhaverbeke and Roijakkers,
2012). It's headquarter is in London, UK and they are going to launch new product that is
robotic furniture at American market. Topics covered in this assignment is concept of
innovation, importance, difference between invention and innovation. Along with this, it explain
4 P's of innovation and evolution of funnel innovation.
TASK 1
P1 Innovation and its importance to organisation in comparison with invention
Innovation
It refers to procedure by which a company translate a new idea in goods and services
which attract customers and create values for which customers invest their money. An innovation
is seem to be effective when it is cost effective and satisfies need and demand of customers in
appropriate manner (Chun, Chung and Bang, 2015). In context of Marks and Spencer, they are
planning to launch new innovative product which is robotic furniture in American market. It is a
space saving furniture which make an individual life easier.
Importance of Innovation
 Creative development- Innovation help an organisation in developing a new product and
services in effective and appropriate manner which is cost effective and fulfil need and
demand of customers.
 Continuous improvement- It help an organisation in identifying and innovate their
products on continuous basis which leads to growth of business through creativity and
innovation.
Invention
It refers to new ideas, creative thinking or unique imagination and which can be represent
in form of method. It is both procedure as well as result or outcomes. Such as Marks and Spencer
plan to launch robotic furniture which make folding cloth easy and appropriate. For develop this
they do market evaluation in which they analysis customers and their employees face problems
in folding cloths again again so as a solution they plan to introduce this particular product at their
store.
Importance of Invention
 Innovative product- Through invention, an organisation is able to introduce new and
unique products and services which is cost effective and fulfil need and demand of
customers in appropriate manner.
 Attract customers- By making innovative products which satisfy need and demand of
customers company able to attract more and more customers which help them in attaining
more profit.
Comparison:-
Invention Innovation
 It refers to developing a new products,
services or process (Theyel, 2013).
 It refers to launching new products and
services or process within a marketplace.

 It may be or may not be commercialized.  It is result in a commercialization.
 Invention can be in both form autonomous
and induced.
 Whereas innovation is generally in induced
form.
P2 Organisation, vision, leadership, culture and teamwork help in shaping innovation and
commercialisation
Vision
It refers to company's picture or image which can be develop in future. In other word it
means something which inspire and develop framework for strategies or objective which a
company want to achieve in their future (Edison, Bin and Torkar, 2013). It develop a guidelines
for employees as well which help them in conducting their work in effective style through which
they attain their goal and objective in appropriate manner. Vision statement of Marks and
Spencer is to develop products and services which is of high quality and value. They want to
offer quality services and products with innovation which develop trust and loyalty among
customers and employees. The vision statement of a company help in completion of innovation
and commercialisation because a company plan their strategy according to vision statement
which they develop.
Leadership
It refers to research area as well as particular skills of an individual or organisation which
help a company in achieving their objective in appropriate manner (Polzinvon, Flotow and
Klerkx, 2016). It involves various activities such as shared vision with employees and other so
that they accomplish their work in appropriate manner, provide informations or data to staffs,
and many others. The leadership quality of Marks and Spencer employer is very effective which
help them in attaining goal and objective in appropriate manner. The leaders of respective
company involve their employees in decision making process by which they feel connected
toward employer and company and they give their full efforts in attaining goals and in
developing unique products.
Culture
It refers to way of conducting and completing a work of an individual in appropriate
manner. Different group of people or an individual have different culture. A good and
appropriate culture is passed on to the future generation as a learning. Culture is also known as
social behaviour and norms of an individual or human being. It is characteristics and knowledge
of a particular group or an individual. Marks and Spencer develop culture through which
employees feel motivated and achieve future goal in proper manner. If there is proper culture in
an organization it will help in innovation and commercialisation. If there is effective culture
employees feel happy and satisfy with their work which enhance their productivity and thinking.
By which company able to achieve innovation objective in appropriate manner.
Teamwork
It refers to conducting work or activities in a group of peoples in purpose to attain goal
and objective in appropriate ways. An organisation can achieve their goal and objective in
effective manner by delegating work within a team according to individual skills and ability
(Maritz and Donovan, 2015). Through this, a company leader can get variety and various type of
innovative idea form different members of team. When employees of respective company work
in team, they provide various unique ideas which help company in attaining goal in appropriate
manner.

M1 Sources of innovation
Their are various source of innovation which help company in identifying new products
according to need and demand of customers. Some major of them which is use by Marks and
Spencer are:-
 The Unexpected- It refers to type of innovation which is take place unexpectedly in an
organisation. Such as if manager or leader of Marks and Spencer is working on a project
and new idea strick in their mind and seem beneficial. Then leader or manager will
conduct changes and innovation accordingly.
 Market structure- It refers to situation when changes are occurred according to need
and demand of customers and market. When demand of market is new then company has
to introduce new product according to innovation. Such as in Marks and Spencer
Conduct analysis of market and identify need and then design products accordingly.
Marks and Spencer adopt innovation and changes in their working culture or environment
by following ways like they can hire person who is experience and creative so that he/ she
introduce innovate in organization. Along with this they can provide training to their employees
so that they can feel motivated and encouraged to adopt innovation at respective workplace.
P3 The 4Ps of innovation and use of the innovation funnel
Their are 4 P's of innovation which a company can use for evaluating its market and
production process. Marks and Spencer use innovation 4 P's model which is describe below:-
Product Innovation- It refers to innovative and unique products and services which is
offer by an organization to attract customers (Hemphill, 2014). In context of Marks and Spencer
they develop product which is robotic furniture. It is a innovated furniture in which if a person
kept their unfold cloth on its bottom, its internal robotic system will organize and hand cloth in
proper manner. This innovative product of respective company attract many customers of
American market because people of respective area are more attracted to innovation and type of
product that make their life easy.
Process Innovation- It is considered as essential portion of every organized firm. It
refers to ways and changes through which a products and services will deliver or create. In
respect of Marks and Spencer, they develop new and innovative marketing strategy which attract
customers on high basis. Such as they are also using robotic furniture at their store which help in
attracting customers and by this, customers are able to get demo of respective product. That they
are also using robotic furniture for folding and handing cloths.
Position Innovation- It is related to steps or strategy company develop to promote their
products and services so that they attract customers in appropriate manner and encourage them to
purchase it. Marks and Spencer use appropriate positioning or promotion strategies in which they
place robotic furniture at their store for use which help them in providing demo to customers.
Paradigm Innovation- It is last part of innovation model in this an organization conduct
evaluation whether their product satisfy need and demand of their target customers or not (Abdul
Razak, Murray and Roberts, 2014). For this Marks and Spencer conduct market evaluation
before launching the products so that they are able to identify accurate need of customers. They
also conduct analysis after launching the product for identifying whether robotic furniture fulfill
their need or not. This would help in achieving long term sustainability after launching the
robotic furniture.
Innovation Funnel:-
It refers to path or steps which is develop by an organisation for designing or creating a
new innovative products, service or process (Barbaroux, 2014). The main reason of innovation is

to develop products, service or processes which fulfil need and demand of market in appropriate
manner. This help Marks and Spencer in conducting market analysis which help them in
identifying need of customers and market so that they can design or develop products
accordingly. When they conduct evaluation they identify that customer and their employees feel
laziness and problems during folding cloths. So they decide something which make their work
easy for this they develop robotic furniture. P4 Developments of frugal innovation
Frugal innovation refers to process through which a company can reduce its production
cost, product cost and also complexity of products which they are going to manufacture
according to need of customers (AhnMinshall and Mortara, 2015). Generally in this process,
there is reduction or removing of features which is useless from products. Through it, a company
can reduce its cost and able to attract more customers and investors. By manufacturing products
through this process a company also able to launch their products in marketplace which is less
expensive. For conducting respective process an organization first conduct market analysis so
that they able to know demand and need of audiences at target marketplace. For example
Germany created low cost house for those people who belong to moderate income families.
In context of Marks and Spencer, by using frugal innovation method they are able to maximize
their rate of interest. Respective company use this method for identifying its products which help
them in developing Robotic furniture which is little bit expensive but it is considered as long
term investment. For this, they are focusing on all peoples specially on young population who
are living alone and also old age people because both face problems in folding and hanging
cloth. The respective product is easy to use and required small space for keeping it which attract
more customers based in American market. This will help respective company in enhancing their
rate of interest by launching robotic furniture.
M2 Analyses and apply innovation funnel in an organizational
Marks and Spencer develop innovation funnel by conducting market analysis and
evaluation. By evaluation they identify need of customer and develop a innovative product which
is unique and make life of customers easy. They identify that customer and their employees feel
problem in folding cloth and hanging it. So they introduce robotic furniture which make folding
and hanging cloth easier.
M3 Role of frugal innovation
Frugal innovation help respective organization in developing products, method and
services in appropriate manner which help in reducing operational cost, production cost and cost

of product (Mc Manus, 2012). By this Marks and Spencer able to get high rate of interest on the
product which they are offering. It help in removing useless element or features from production
process which reduce cost of manufacturing and by this cost of offering will also reduce.
D1 Critically analyses how innovation is developed, embedded and measured in an
organizational context.
According to view point of Ismail Nor and Sidek (2015), it has evaluated that innovation
is essential for every organization because through this a company can attract more and more
customers. When a company decide to adopt innovation they have to conduct market analysis
and evaluation by which they are able to identify need of customer. It also leads to change in
company's vision, culture, leadership style as well as teamwork. A company can develop
innovation funnel for identifying and analyzing market. For production process they can use
frugal innovation by which they able to reduce manufacturing cost, cost of product and many
others.
CONCLUSION
Form the above report, it can be conclude that innovation and commercialization is very
essential for an organization. Innovation and invention both are different but both are important
for an organization. When an organization adopt innovation and commercialization there is
change occur in organization vision, leadership style, culture and teamwork. There are different
types of innovation which an organization adopt according to the situation. For analyzing market
need and demand of product an organization can use funnel innovation and frugal innovation.
REFERENCES
Books and journals
Abdul Razak, A., Murray, P.A. and Roberts, D., 2014. Open innovation in universities: The
relationship between innovation and commercialisation. Knowledge and Process
Management. 21(4). pp.260-269.

Ahn, J.M., Minshall, T. and Mortara, L., 2015. Open innovation: a new classification and its
impact on firm performance in innovative SMEs.
Barbaroux, P., 2014. From market failures to market opportunities: managing innovation under
asymmetric information. Journal of Innovation and Entrepreneurship. 3(1). p.5.
Chun, D., Chung, Y. and Bang, S., 2015. Impact of firm size and industry type on R&D
efficiency throughout innovation and commercialisation stages: evidence from Korean
manufacturing firms. Technology Analysis & Strategic Management. 27(8). pp.895-909.
Edison, H., Bin Ali, N. and Torkar, R., 2013. Towards innovation measurement in the software
industry. Journal of Systems and Software. 86(5). pp.1390-1407.
Heinonen, T., 2015. Management of innovation in academia: a case study in Tampere. Journal
of technology management & innovation. 10(2). pp.198-210.
Hemphill, T. A., 2014. Patent assertion entities: do they impede innovation and technology
commercialisation?. Technology Analysis & Strategic Management. 26(7). pp.717-731.
Ismail, N., Nor, M.J.M. and Sidek, S., 2015. A framework for a successful research products
commercialisation: a case of Malaysian academic researchers. Procedia-Social and
Behavioral Sciences, 195, pp.283-292.
Maritz, A. and Donovan, J., 2015. Entrepreneurship and innovation: Setting an agenda for
greater discipline contextualisation. Education+ Training. 57(1). pp.74-87.
Mc Manus, J.P., 2012. Intellectual property: From creation to commercialisation: A practical
guide for innovators & researchers. Cork: Oak Tree Press.
Mohannak, K. and Samtani, L.A., 2014. A criteria based approach for evaluating innovation
commercialisation.
Polzin, F., von Flotow, P. and Klerkx, L., 2016. Addressing barriers to eco-innovation:
Exploring the finance mobilisation functions of institutional innovation
intermediaries. Technological Forecasting and Social Change. 103. pp.34-46.
Theyel, N., 2013. Extending open innovation throughout the value chain by small and medium-
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Wang, Y., Vanhaverbeke, W. and Roijakkers, N., 2012. Exploring the impact of open innovation
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Online
Robotic Furniture, 2019. Online. [Available through]
<https://www.dogonews.com/2017/3/16/meet-foldimate-your-laundry-folding-robot>