Innovation and Commercialisation: Importance, 4Ps, Frugal Innovation, Commercial Funnel

This document explores the importance of innovation and commercialisation for organizations, the 4Ps of innovation, developments in frugal innovation, and the application of the commercial funnel in the commercialisation of innovation. It also discusses the role of leadership, culture, and teamwork in shaping innovation and commercialisation.

Innovation and
Commercialisation

TABLE OF CONTENT
Innovation and Commercialisation........................................................................................................1
INTRODUCTION.....................................................................................................................................3
MAIN BODY............................................................................................................................................3
LO1........................................................................................................................................................3
P:1Innovation and determine its importance to organisations in comparison with invention..........3
P:2 Organisational vision, leadership, culture and teamwork can shape innovation and
commercialisation.............................................................................................................................5
LO2........................................................................................................................................................6
P:3 The 4Ps of innovation and the use of the innovation funnel to examine and shape innovative
ideas..................................................................................................................................................6
P:4Developments in frugal innovation with an example...................................................................7
LO3........................................................................................................................................................8
P:5 Importance of the commercial funnel and the application of New Product Development (NPD)
processing for commercialisation of innovation................................................................................8
P:6 Build an Innovation Business Case by including ways to access funding.....................................9
LO4......................................................................................................................................................10
P:7 Different tools that organisations can use to develop, retain and protect knowledge and
intellectual property........................................................................................................................10
CONCLUSION.......................................................................................................................................11
REFERENCES ........................................................................................................................................11

INTRODUCTION
Innovation is an iterative method of balancing the needs and preferences of consumers
with technical competencies so that they can fill the holes in the expertise of product design,
design marketing and many other processes. The commercialization relied on the capabilities
of companies such as F-drone in the project so that they could develop and protect the
development and protect the marketplace's propitiatory benefits along with it. The world's
first transition drone has being develop as F-drones that enable aerial deliveries to offshore
platforms and ships. Their unique architecture is an mixture of long-range capabilities and
heavy payload that would bring shame to other current delivery drones (Reyes and et.al.,
2021). Since this report studies innovation and its meaning when comparing innovation with
invention, this research also explores vision, community, leadership and teamwork for
innovation and marketing. The 4P's of innovation and the meaning of commercial funnel and
new product creation processing in innovation and commercialization are explored as the file
by creating a creative business case for the company and also researching the various tools
used by the company as information and intellectual property preservation, development and
security.
MAIN BODY
LO1
P:1Innovation and Its importance for firm in relation with invention
It is an process of translating a new idea into commercial success or common use is
termed as innovation. In order to increase profit for the company and retain customers
towards their brand the creativity places a very much important role for growth of the firm.
Innovation and commercialization is the development of innovations and ideas in business
strategies to formulate a new approach and procedure. Because of the challenges faced by
some small companies, a phase of innovation and commercialization is also seen to be
embraced. Invention is the development of something never before seen. It is to transform
imagination into creativity and sources of creativity (Crilly and Firth., 2019). F drones need
to understand the difference between innovation and invention, create an innovation and
leadership vision, innovation networks, and build entrepreneurial teams.
Comparison between innovation and invention-

Basis Innovation Invention
1. Meaning Innovation is the effective
exploitation of new concepts. This
includes converting an innovation
into a commercial achievement
and facilitating its widespread
use. This is the stage where bold
ideas are brought to the public eye
until properly created. This is
what F drone firm has done, now
that its brand is in use around the
world and helps people
everywhere.
For example:-
 Discover US Bentley
Vehicles. Find Numerous
Sources for Fast Results.
Strong to use and easy to
use.
 Effective goods and
services such as Care of,
Amazon Scout, Impossible
Food, the self-driving
taxis of Google.
 Effective process
innovations such as
predictive orders from
Amazon, or processes in
additive manufacturing.
Inventions can be termed as
finding or identifying of a new
idea. In another words, it is
development of new method or
techniques or even particular
idea regarding the way
particular task can be
completed and end outcome
can be achieved.
For example:-
 Car designs, business
models, or Aston-
martin or any other
automotive industry
working prototypes in
the UK.
 In developing a
powerful and
functioning business
model, BMW launch
Mini-club man vehicle,
on the basis of the ideas
they had developed at
the stage of creation.
2. Concept Practical new concept execution. An original concept and its
theoretical work.
3. Competency
Needed
It required Marketing,
technological and strategic
capabilities kit.
It required Scientific
Competencies
4. Concerned by It focuses towards the
combination of different goods
and procedures.
It concern with a Process or
single product.
5. Activities Innovation Spread around the
department
Restricted to the Department
of R & D.
6. What it is?? Innovation involves adding value
to the same product or making a
transition.
The innovation relates to the
production of new goods.
P:2 The way comapny leadership, vision, culture and teamwork contribute in shaping
innovation and commercialisation
 Vision-

Enterprise vision can be define as aspiration of company to accomplish what they
want to do in the future. This is specifically intended to serve as a guide for selecting current
and potential courses of action. Such as most of the company have an vision to developed
new product or services and gradually sell the new product developed by joining the
commercial & marketing and new products released. The vision of the need to invent a new
idea to offer the best value clients. F-drone vision is to construct the first transition drone in
the world with an main motivate to promote aerial deliveries through offshore platforms and
ships.
 Commercialization-
Commercializing is the method that specific about several process like production,
distribution and marketing, sales and many more activities that are undertaken by manager of
company to launch new products and services.(Powell., 2017). There are various factors that
impact the process of innovation and commercialisation for the promotion or sales of product
to maximum number of individuals and there is no distinction in F-drone terminology.
 Culture
Organizational culture specify about the proper manner in which individual working
in enterprise behave so it include shared values and belief. For example, F-drones is intended
to provide its customers with the best service as they have a combination of long-range
capabilities and heavy payload that lead in other current delivery drones with their unique
design (Salas, Reyes and McDaniel., 2018). Thus, it can be stated that friendly, supportive
and open culture of F-drones contribute in motivating employees to think more and more
innovative ideas which could helps company in retaining its market share.
 Leadership
Leadership can be defined as art of person to infleunce or motivate other individual to
complete task in specific manner so that company can enjoy huge market share and
profitability. There are various leadership styles which are used by leaders to motivate
employees to contribute towards adapting to innovation such as autocratic, democratic,
participator and laisses-faire. F-drone is adopted autocratic leadership style for its
organisation, since the organization leaders are the agile and aggressive ones to obtain values,
so F-drone could be effective using this leadership method. As the organization strives to be
the pioneer in five years of heavy payload drone logistics through industries.

Innovation can be formed by teamwork
In problem solving and completing a specified task according to the schedule, the
teamwork is an concept of working together of several individuals for specific task or
activities. In order to innovate and create strong brand image of F-drone there are numerous
various tasks performed by each team member.(Wang, Wang and Fan ., 2018). If these teams
operate by delivering new ideas and best services to consumers according to organizational
priorities and objectives, the F-drone can easily and effectively achieve its objectives. Team
work also helps to formulate the process of creativity and commercialisation of an enterprise.
LO2
P:3 Detailed related to 4 P's of innovation and the way innovation funnel are used to share
innovative ideas.
Innovation deals with the method or steps that company produces innovative concepts
and thought, "new goods and services’’. The 4Ps of improvement is the innovation mix
which is much adopt by the organisation" The 4Ps of improvement is John Bessant and Joe
Tidd's innovation mix that is commonly used by the business (Akgun and et.al., 2017). The
4Ps have been- Paradigm-It is the expected mechanism by which an F-drone firm experiences shifts
in the implementation of creative concepts and thinking. Thus it helps in
understanding the way organization will complete several activities, resolve problem
and risks that are assocaited with particular job. The transformation could be quickly,
but not all adjustments are optimistic. Thus, it involves improvements to business
model through transition from print media to online channels. Product- It is the object that is sold to the people by company in order to earn profit,
such as F-drone by adding value to the its existing products would able to provide
benefits to organisation. 'Incremental improvement' can be termed as development of
strong brand image by making necessary improvment in product and services. At the
same time, a product must be entirely differentiate from scratch which is known as
'radical transition'. Process- It is specific about several action or activities that are performed by
mananger of company to deliver product to customers for satisfaction of their
respective needs. This encompasses all the phases, such as distribution, workflow,

recruiting staff, and training. Method is something that can be done to enhance F-
drone organization procedures, so they are faster, more efficient (Liu and Chang,
2017). It is new concepts that are added to the current processes in order to enhance
overall profitability and sales volume of company in external environment. Place- It specific about the place at which F-drone firm sold its products or services to
increase its profitability and market share in long run. It is a psychological category,
and promotion is just organizational process which affect innovation portion.
Innovation funnel
It is a Funnel that helps in continously flow of innovative ideas by screening out its
vialibility so that it can be promoted further for better outcome. The Innovation Funnel is a
basic strategy that are used by many enterprise to develop an effective and practical action
plan. The premise of the Innovation Funnel helps in scrutnizing several ideas and selecting a
particular course of action that could be used by business to retained its competitive
advantages (Anzola-Román, and et.al., 2019). Thus, it can be interpretated that innovation
funnel contribute in unlimited brainstroming so that reliable and valid ideas can be used by
organisation in order to launch new products and make customers happy and satisfied.
P4 Developments in frugal innovation with an example
Frugal innovation contributed in finding new business models, modification of supply
chains and redesigns of goods in better and sustainable manner so that it can be delivered to
consumers that are highly concerned about the prices or affordability (Leliveld. and
Knorringa ., 2018). The various development in frugal innovation is creation of new world or
development of better techniques so that changing needs and preferences of customers can be
meet in best possible manner. Frugal innovation is about deliverying of more value to
customers at lower value so that they people are happy and satisfied to work with
organisation. Thereby contributing in reducing or removing unnecessary activities so that
better services or products can be render to customers in minimum prices or cost. Thus F-
drone focused on making best use of limited resources by manufacturing more products so
that needs of several individual can be fulfilled in better manner. There are various names
through which fugal innovation can be termed as reverse innovation, cost reduction and
resources constraintion.
Example-

For its client, F-drones create the world's first transition drones of two distinct states.
This is a process of frugal creativity because one country's clients vary in their needs,
requirements and choices.Since one-state customers are sophisticated and informed about the
latest trends, F-drone firm releases drone with new and complex features and compared to
India's customers, these clients are also willing to pay more. In the case of India, opposed to
other state clients, the customers are weaker. So frugal creativity, by making goods with less
complicated functions and easily accessible to the Indian market's consumption rules and
guidelines, is better for doing business. Frugal creativity is therefore enabling F-drone to
penetrate India's large market.
LO3
P:5 Importance of the commercial funnel and application of NPD in content of
commercialisation of innovation.
Commercial funnel can also be termed as buying process that is used by various
companies in order to influence customers to purchase of specific products and services so
that it can earn maximum market share.
 Consciousness
 Opinion
 Consideration
 Preferential
 Buying
 By reflecting their sales process, which begins from knowledge to action, commercial
funnels are responsible for representing the customer's journey so that right action can
be taken to attract them within firm.
IMPORTANCE OF THE COMMERCIAL FUNNEL
 The main importance of the commercial funnel is the that it helps in
understanding existing need and preferences of consumers and the
way their respective problem can be resolved (Abramov and et.al.,
2019).

 Email and social media ads, are better method to understand
customers problem and the method that can be used to resolve them
so that company can retained its market share.
 Therefore, attempts are made by manager of company to raise the
interests of customers to earn maximum revenues.
 This has resulted in a close understanding of the innovation and
commercialization process thereby contributed company in
maintaining a sustainable advantages in external environment.
 An effective promotion and distribution process has been applied to
multimedia platforms.
 Thus it has made easier for organisation to access financing and
others services, that are important for essentially commercializing.
Some of NPD's significant steps involved are
 Concept
 Feasibility study and desiging planning
 Design and development
 Testing and verification
 Launch
 Improvement
Thus all these steps contribute company in designing effective marketing strategies.
Such as the new products launched are thoroughly evaluated by the various individuals
before behind sold to customers.
So that necessary steps can be taken to imrpove them for better outcome or achievement of
end goals of organisation (Cooper., 2019).
The F-drone firm can easily promote its new products into the market through making use of
New Product Development (NPD) and commercialization funnel.

APPLICATION OF NEW PRODUCT DEVELOPMENT (NPD)
1. Idea generation: It can be stated that it is stage at which company
generate a new idea to launch a new innovative products that could
be helpful firm in enjoying high profit margin. So company first find
innovative idea to meet customers expectancy.
2. Ideas screening: This is stage at which The F-drone screen or
conduct market survey in order to know about existing customers
taste and preferences and alternative method that could be used to
satisfied them. It has helped company in identifying innovative idea
to meet customers expectancy.
3. Concept development and testing: The F-drone test the innovative
products in order to know whether it would be successful or not
Ideas screening: This is stage at which The F-drone screen or
conduct market survey in order to know about existing customers
taste and preferences and alternative method that could be used to
satisfied them. It has helped company in identifying innovative idea
to meet customers expectancy.
4. Marketing strategy development: This is third stage in which
company have develop or plan marketing strategies that could be
used to attract and retained maximum number of individuals in the
enterprise towards the innovative idea.
5. Product development: It is stage at which The F-drone has developed
innovative products with an objective to enjoy high brand image and
market share.
6. Test marketing: In this phase company have given sample of its new
launch of innovative products in order to know customers feedback
and identified best possible method to meet their requirements.

7. Commercialisation: It is last stage at which firm such as The F-drone
commercialise or sales innovative products as awareness has been
generated among maximum individuals that helps firm in enjoy
maximum profitability in longer run.
P:6 Build an Innovation Business Case by including ways to access funding.
Within innovation, one of the hardest things is making the business case. The areas of
clear discussion need to be demonstrated in a good business case for innovation ideas.
Company require sufficient fund in order to perform several task or expense so that end goals
can be achieved. There are various ways through which company can raise fund in order to
promote innovative products so that it can enjoy maximum profitability and sales volume.
Different ways to access of funding related to building of innovation business case are
bootstrapping, crowfunding and friend and family and bank loan. F-drone can make use of
bank loan in order to launch new products in market so that it can infleunce more individual
within firm.
 Firstly, F-drone manager needs to conduct market research in order to identified
existing needs of customers. Thus company needs to invest the fund in new
opportunities in order to make people more happy and satisfied.
 Secondly, manager needs to find alternative method that could be used to fulfill
customers requirement so that end goals of F-drone can be achieved.
 In this stage all strategies will be critically evaluted to identify the best possible
course of action that could helps company in generating more profitability.
 In fourth stage manager needs to create implement plan which specify about the task ,
steps or activities that need to be performed so that F-drone can launch new product.
THE WAYS TO FUNDING
Company can easily raise fund through different sources such as bank loan
and boostrapping.
 Likewise, organization by making use of Boostraping that is self
funding. Each and every individual have its personal saving that

could be used by the F-drone company to introduce the new
innovative products in the market.
 Bank loan is second method that could be used by F-drone as it by
taking loan from business and making repaying through installment
at different period at specific rates will contribute in having the
sufficientamount of capital to promote the innovation that will be
made by the company.
LO4
P:7 Different tools that organisations can use to develop, retain and protect knowledge and
intellectual property.
There are various tool that could be used by firm in order to develop, retained and protect
intellectual property so that company can enjoy maximum market share or differentiate
position in market. Patent, trademark, copyright are some of the instruments that can be used
to create, maintain, and secure information and intellectual property-
 Patent: It is intellectual property that helps holder or company to have excluding
right to make use or sell new products and services to more number of customers or to
retained strong brand image. Moreover it can be stated that it shark innovation and
easily commercialised thereby contributing company in enjoying more market share.
STRENGTH/WEAKNESSES ON EACH IP TOOL

Strength Weakness
Provide exclusive right to individuals
to sell products or servicecs thus other
individuals cannot copy or imitate the
same.
Despite there are some of disadvantages
of patent such as difficult to aquire and
limited time so company faced
challenges in acquiring patent to
protect intellectual property.

 Trademarks: It is type of intellectual property in which company have make use of
specific symbols, design or words that can helps individual in identifying or
differentiating it from others.
STRENGTH/WEAKNESSES ON EACH IP TOOL
STRENGTH WEAKNESS
There are some of advantages of
trademark for company such as
there is no such statutory
constraints for lifetime
trademark and at the same time
it is economical as well as simple
to get registered an trademark.
It can be accommodated for short
financial life as compared to other
intellectual property.
CONCLUSION
It has been interpreted from the above task that there are various enterprise
implementation criteria and ideas for the maturation of a gainful commercial enterprise. In a
role that necessarily confronted in order to build a profitable structure, such obstacles are also
clarified. The above study builds consciousness about the formulation that can be taken by
the F-drone firm in the creative process. In this assignment, the 4p's of invention were also
clarified so that they could acknowledge and work towards the business necessities. The
innovation procedure has many-sides importantly across the commercial enterprise and the
product lines as well. The study also explored the growth of frugal innovation and the value
of commercial funnelling and the application of manufacturing for new product development
to the commercialisation of innovation. In this report, there is also a creative business case
study including ways to access funding as it is beneficial for the company to build a smooth
operating atmosphere and the various tools used by the organisation in this report to acquire,
maintain and protect information and intellectual property.

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