Innovation Funnel and Related Concepts

This assignment delves into the concept of the innovation funnel, a theoretical framework that describes the process of innovation. It examines two distinct parts of the innovation funnel: idea generation and feedback. The study also explores related concepts such as open innovation, innovation patterns, and management techniques. Furthermore, it discusses the impact of Chinese imports on innovation and productivity. The assignment provides a review of research on the topic, including studies on communication for rural innovation, product design, and innovation in crisis and prosperity.

INNOVATION AND
COMMERCIALISATION

INTRODUCTION
In present time period creation using creativity has become key role in the social and
organizational structures. Moreover, technology has supported and made changes in the
industrial society. Now development in the organization needs to altered, they need to adopt
socio-technical changes. In order to achieve the potential improvement and long-term
sustainability development, technological innovation is required (Drucker, 2014). In order to
develop effective brand in the market, excellence in service and fundamental growth in
organisational structure company needs to adopt the innovation. With the help of innovation
company can develop effective product and services which can influence the market and
customer. Through innovation many companies have developed their previous products and
created a brand image in market. Innovation can be defined as the systematic act of developing
the existing product into brand new goods or the procedure for developing new commodity and
services. Through innovation, large firms have made values in the mentality of their customer
and for which they are ready to pay any amount. Following report contains the details regarding
the innovation in small business firms. Report contains the general difference in the innovation
and invention, various types of innovation. Moreover, the report contains the discussion about
the commercialization process necessary for the innovation and how organisation can be
benefited from it. At last, evaluation of various tools and methods for protecting the ideas in the
organization for the developments.
LO1
P1 Innovation and its importance to firm.
According the Wichman (1998) innovation can be described as the process of delivering
the goods and services in new and innovative way, adopting brand-new ways to promote and
inform to the customers, developing new to maintain the firm and adopting new methods for the
operational management. There are various impact which can be seen through innovation in the
development of the small business (Union, 2014). Through the creativity and ideas, existing
product can be cast into new novel and with the help of the commercialization the product can be
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launched to the market. Commercialization in small business is process which is completed in
stages; it includes the manufacture, statistical distribution, marketing, sales and consumer
support which are necessary for gaining the commercial success in the market. All this process
are required to develop marketing strategies, product launching and anticipate issues which are
coming in the organizational success. Large firms like Apple Inc. and Virgin group uses only
two ways to sell their product; they are innovation and invention. Using the innovation and
invention the stakeholders in the firm can gain efficacious outcomes and can create brand image
for the firm. Being a CEO of small business, Amtek Plastics UK Ltd., innovation, invention and
commercialization must be adopted and followed by me as done by Apple Inc.
Every one knows Apple Inc., it's an American International technology company Firm is
famous for the electronic gadgets, software and hardware. The design and creativity of the
company is different from the existing firms which made it number 1 brand. For strategic
development of the company has innovative business models and terrific new products. The
combination of the outstanding software in fab hardware creates beautiful combination which is
delivered to the consumer to achieve success (Johnston and Marshall, 2016). In the product list
of Apple iPod, iPhones, iPad, MacBook and iTunes are the game changing innovation. Great
leader in Apple believes that innovation is pace for the firm and this the company focus on the
great innovators. For the consumer's, the brand name is enough to purchase the product. The
company comes on number 1 position in market value, most valuable brand in the world, having
a market cap of $752 Billion and sales of over $217.18 B. Company believes that in order to
develop the long lasting innovative product there is great discipline required. Company uses the
combination of innovation, invention and commercialization to launch the product and reach the
market.
In terms of the innovation, Apple Inc has developed the first successful innovation which
was iPod. Small in size and sleek looking device which can store 1000 songs and weighed 6.5
ounces. Though there were many MP3 players available in the market having lot of music space
but the great innovators in the company developed the iPod with largest number of song and
smallest physical space. Company was able to sell more than 1.4 million iPods and had been the
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No. 1 product in July and August. The equation made by Steve Job come to correct and the
product become the highest-volume product. Amtek Plastic UK Ltd. requires new innovation and
invention in order to make more effective business image in the market just like Apple Inc. This
will support in adopting the dynamic, changing environment. Innovation and invention plays a
great role in developing the professionalism and personality development. Being manufacturer
company, it needs to develop the new product and services which can directly influence the
customer through the innovation, invention and commercialization. Company needs to adopt the
innovative business models, product innovation and terrific new product just like Apple Inc. to
make their brand a great success.
For the small company innovation is process which can change the existing product and
added new values to it. This completely differ from the invention as is related to creation of the
new product through original ideas. Innovation has the practical implementation, invention is
related to theoretical ideas. Invention can be related to single process while innovation can relate
to various combination. Invention can be related to R & D development while innovation
involves role of every organization members. Innovation comprise of intentional application of
information, vision and initiation in developing the values from the resources. Innovation can be
comprised of two categories which are evolutionary and revolutionary innovation. The former is
related to the increment in advance technology and latter involves the development of new and
disruptive process ( Bain and Kleinknecht, 2016). But innovation also involves the risk, and for
the imitators have less risk. Innovation can be supported by the invention can make the market
growth. This can also help in the development of the company employees as they will get the
opportunity.
Amtek Plastic UK has the vision to spread its business all over the world and through the
innovation they want to develop the organization. The Company wants to develop the product
which has both the market and brand value. They want to combine the innovation, invention and
commercialization in order to expand the business. Through the Apple Inc. the company has
learned many new things which company will use as the opportunity.
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P2 Employees role in Innovation, and support of other team members in the organization in
innovation and commercialization.
Innovation and commercializations plays great role in the business development ans
expansion. Adopting this company can use their previous resources and can launch them in the
market. Moreover, it provides the great amount of profitability and productivity to the company.
Customer and stakeholders are largely influenced due to the innovation made by the
organisation. Further, the development in the organisational structure and effective leadership
can be seen in the organization ( Mowery and et.al., 2015). The concept can be largely used by
cited firm in order to make the development. For illustration, Apple has launched the same
product i.e. iPod which existed in the market but they modernized it through the reducing the
size and increasing the memory. This small idea has changes the product price and brand image.
Moreover, the support from the organization members can also help in developing the
innovation. As previously said, that innovation can be done by the involvement of the whole
group. The role of the team leader is to develop or identify the new innovation which can help
the organization to make the brand image and develop the business. Through the support from
the other team members, and collective working the organization can use it to complete their task
effectively and can use the remaining time in the development or innovating things. When all the
employees ability, knowledge, capability and skills are combined then through their effective
contribution company can develop the new product. In Apple Inc. due to the support of the entire
members the company was able to develop the new product. As the employees are also the
customer or can promote to the customer so using their ideas in the innovation purpose can help
the organization to develop new things. This will help the organization and will support the
employees also. Moreover, through this ways the company can easily commercialize their
product to the market.
In the organization commercialization is based on the culture factors of the society. It
involves the attitude, belief and values of others towards the organization and its members.
Company can use this methods and make approach to the consumer in the market. Further,
dividing the role in the organization will help in reducing the work load which can help the
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employees to develop something new. Such ideas which comes from the practical world helps in
developing and providing that product a new look. Entrepreneurial team are more focused in
getting those ideas and with the collaboration with such team company can make effective
growth. This also generates the innovation network which helps to gain more fame and name.
LO2
P3 Innovation along with utilisation of innovation fuel.
Innovation helps to develop and build the powerful product image on the customer.
Innovation ca be more understood through the 4 Ps which are involved in the innovation. These
categories are also used by companies like Apple Inc. They are:
Product Innovation : The development in the existing product, renovating it, improving
it and developing an innovative and unique product is the main aim of most of the organization.
There is wide range of ideas and strategies are required in order to develop the product. Most of
the firms uses this innovation in order to develop (Bloom, Draca and Van Reenen, 2016). Using
creativity and new design the product can be upgraded or modified. Moreover, joining the new
product with the existing product or enhancing the quality can help in improving the overall
performance of the product. As the company is the manufacture firm so they too are involved in
improving the quality, product appearance and design which can help them to achieve the market
success and withstand the competitors. This provides the shape to the product.
Process Innovation: Focusing on the process innovation involves the developing of
those resources which makes the task or process easy. Through this easily more product and
services can be provided in less time. In order to improve the process, technology and techniques
can be used. Through this packaging, delivering and production all three can be increased.
Moreover, using this quality and quantity can be assured to the customer.
Position Innovation: Shifting or relocating the innovation process. Here the new
methods are developed in order to launch the existing product which can influence more product.
For method was used by the firm and they have launched their new product in the Malls and
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shopping complex. Here creativity and ideas can be used to launch the new product. Moreover, it
can be supported through advertisement and promotion (Wooten and Ulrich, 2016).
Paradigm Innovation: Paradigm is related to the belief, methodology and values which
is used to influence and attract the customer. Through this the perception of the individual can
be changed. It can be used where the belief and society are given more priority.
Innovation funnel can be defined as the aggregation, examine, utilize and refine the ideas
from the society or environment. Amtek Plastic UK involves the new development plan process
which is examining and sifting down, then designing the concept and testing the product finally
until it is launched. This helps in various ways as it provides the opportunity to analyse the
product directly from market, it scope or what improvement are required. Then comes the
insights based ideation in which ways for marketing and targeting the customer is focused. Next
is Conceptualization which regard to the ideation stage. After this evaluation and benchmarking
which concern to new ideas adopted to launch the product. After which the go/no go process in
which cost, margins and other things are accessed and product is launched.
P4 Development through the Frugal Innovation
Developing the organization through the frugal innovation uses the commercialization
process with sustainability development. Amtek Plastic UK used it in order to use the less
resources and produce the quality of the product which are affordable to customer. Customer
prefer to purchase the product which are cheaper, having good quality and can be easily re
changeable. Many company uses billions in the process of R&D department to find the
innovation product. Moreover they are focused to large group of people and the process needs to
be fast (Goldberg, 2013). Amtek Plastic UK has developed the techniques and used the
technology which helps the organization in developing the product faster and cost effective with
better quality. This helps the customer to buy the product inn bulk and in reduce cost with better
quality. This way company and customer both can easily manage to earn the profit. As company
uses the new methods so their cost of production is reduced and for the customer the price and
quality of the product is maintained. Amtek Plastic UK also support the recycling of the plastic
product which helps them to reduce the cost of manufacturing. The development team in the
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organisation is finding the new ways by which more price can be reduced along with increase in
quality and service. This has also increased the number of customer and market value.
LO3
P5 Importance of commercial funnel and the application of NDP process in commercialization
For commercialization of innovation and other new products in market, commercial fuel
is required. Amtek Plastic UK thought to apply the commercial funnel for the recruiting new
candidates in IT, engineering fields, finance and other senior posts of the Amtek Plastic Group,
with the help of latest technology they can easily acquire market information
Importance of commercial funnel:
Through this, the company can gain the ideas where they are lacking in customer
experience and can improve them. They can easily gain the opportunities where firm wants to
make progress. There are two things included in it, things that the firm has implemented and
things they are going to apply. There are 4 steps to carry out commercial funnel which starts
from Action, Desire, Interest and Attention. Moreover, commercialisation can be made through
promotion of the new product, promoting vacancy in the organisation. Through this
organisational performance increases and they easily achieve success.
As mentioned above that NDP supports in the process of commercialization. Through
this way the existing product is used and redeveloped in an innovative ways and launched to the
customer. Amtek Plastic UK uses this methods for the development and launching of their
innovative product. This also involves various process which are mentioned above. Through this
the company can get the ideas of different people and their views regarding the launching the
new product in the market. The company gain the idea of the innovation funnel from the Apple
Inc. In the organization it is used in two distinct sides. The left side is where we are focused on
the main areas and where less time is spend on the focal. In the starting the development of the
new ideas, then comes the gathering of the information and alignment of internal and external
sources. Next involves the connecting point where raw material are combined. Then product is
analyse by stakeholders and customers (Huberman and Miles, 2013). At last, product testing is
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done. For Amtek Plastic UK the quality of the plastic and its durability is checked. Now the right
part starts where which comes after completing all the internal process. Here the product is
designed and a portfolio is developed which involves the strategies related to launching the
product. After which, the product is send for the feedback, if changes are required then they are
made and again with the new concept and methods the product is launched in the market. Role of
every department comes into it and commercialization of the product is done successfully.
NPD is a process under which business organisation individual getting new idea about
product and services. Amtek Plastic Ltd. manger can gain the idea and action in the mind
through which he/she try to develop goods and serivces for expand the business.
There are various stages of new product development which are as follows-
 In beginning of new product development, Amtek Plastic Ltd. organisation manager get
the idea about the development of new product. In this stage, manger of Amtek Plastic
Ltd. takes the reviews of employees and customer related to new product development.
 In the second stage, manager of Amtek Plastic Ltd. ensure the new idea about new
product development.
 Concept development and testing- Amtek Plastic Ltd. manager test the information about
new product development.
 In this stage, manager of company systematically analyse the business environment and
assess the strength, weakness, opportunity and threat. Further in this stage, manger also
assess how many competitor are available in the market.
 In the last stage, manager of Amtek Plastic Ltd. organisation will develop final product
for innovation.
P6 Develop Innovation business plan for the Amtek Plastic UK
For the Amtek Plastic UK following innovation plan was developed which involved the
launching of the new product which involved the funding of various sources like bank, personal
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saving and other business partners, etc. without the fund the business can't be run. The product
which was launched involved various business activities and functions. Company has used the
Funnel and frugal innovation in order to develop the product. Plastic product with high
durability and environment friendly which was made from the recycling process (Rice, 2013).
Addition of some chemicals in the process increased the strength and quality of the product.
Moreover, the support from the stakeholders helps to develop and analyse the product quality
and strength. All this factors supports the organization in developing the new product.
For developing the business plan Innovation Matrix can be used:
1. It is required to build new business: In the Amtek Plastic UK innovation is the continuous
process which is accomplished by their employees.
2. The employees are provided new scope of development and training program so that they can
be innovative.
3. Though, innovation requires long time but the scope of improvement is always made in the
company.
4. For being innovative every employees is given chance so that they can think of new ideas.
Other than this, HR and operation team also helping to enhance the employees to be innovative.
Without financial support firm market and business activities cannot completed. They
maintain the finance figure through sales and revenue generated. As Amtek Plastic comes under
the private sector so they arrange their fund through banks and personal savings which comes
after excluding all the expenses.
LO4
P7 Methods and techniques for protecting and secureing data
In order to develop, retain, protect knowledge and intellectual property there are certain
tools which are used by the Amtek Plastic UK. Such tools support to enhance the knowledge and
various learning which are required in the organization.
Employee's and managers must be properly educated before handing over any major
responsibility, which will enable them to protect firm's trade ideas and policies. The company is
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further seen to implement the innovation, such as in the appearance and design, by means of an
account and system password, enabling them to protect the audited information in safe and
secure manner. Installing firewall and the latest version of antivirus protection software into
their system. Human resource must update their ideas and important data, keeping backups
with them. Preservation of ideas should be always as losing important information, as there can
be sustainability loss in the market.
Preservation and protection can also be done through trade concealed, patents and utility
models the product can be kept protected from the other competitors. Government has provided
many supportive action to protect the ideas such as copyrights, trade secrets and design can help
the company to store their information more precisely. Besides this, firm culture and structure
can help the company to store their data to themselves which can overviewed through
monitoring. Moreover, there are some other methods also such as industrial design registration,
geographical indications, service mark, undisclosed information and contractual licences can be
used to protect the IP.
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Following are the tools which help in the organization:
1. Training and development: development programs are provided in order to increase the
knowledge, performance and ability of the employee. This also helps employee to
develop the team work in the firm. Moreover, it supports the employee to understand the
organizational function and operation. Proper training and from time to time it must be
provided in order to achieve the firm objectives (Leeuwis, 2013).
2. Continuous Learning: employees through this ways can learn new things which help
them to develop their quality (Kutvonen, 2011). This also help them to adopt the changes
in the environment. It increases various skills and offers more opportunity to the
employee.
3. Knowledge management strategy: the use of the tactical methods and strategic approach
are required in the management in order to maintain the complete process. Such strategies
are more required in the business world. Through this company can achieve their goals
and objectives.
4. Leadership and management: Experienced and knowledge leadership is required in order
to develop and innovate the new product. This helps the organization to develop the ideas
and strategies which can help them to withstand the market and competitors.
5. Technologies: Advancement of the technology helps to generate more product in less
time. Through this the quality and strength can be increased of the product. New practical
application fulfil the demand of organisation (Mowery and et. al., 2015).
CONCLUSION
From above cited report it has been concluded that Innovation-and-commercialization is
a creativity by which company develops the new product and services and launch to the market.
Creativity is the cognition to evaluate and develop new product from the existing ones.
Commercialization is the process which helps to launch the product. Along with all this
innovation, invention and commercialization can can gain success and achieve market growth.
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The report contains the innovation methods used by the Amtek Plastic UK and their references
from the Apple Inc.
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REFERENCES
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Online:
There are two distinct parts to any Innovation Funnel. 2017. [Online]. Accessed through
<https://paul4innovating.com/2011/08/19/there-are-two-distinct-parts-to-any-innovation-
funnel/>
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