Innovation and Commercialisation

This report discusses the importance of innovation and commercialisation in business organizations. It explains the difference between innovation and invention and how organizational vision, culture, and leadership can shape innovation and commercialisation. The report also explores the 4P's of innovation and the use of innovation funnel. It discusses the development of frugal innovation and the significance of commercial funnel and new product development. Finally, it provides insights on how to build a business case for innovation and commercialisation.

INNOVATION AND
COMMERCIALISATION

Contents
INTRODUCTION.....................................................................................................................................3
TASK 1.......................................................................................................................................................3
P1 Explain the term “Innovation” and its importance in comparison with invention...............................3
P2 How organizational vision, culture, leadership can shape innovation and commercialization............4
TASK 2.......................................................................................................................................................4
P3 Explain 4P’s of innovation and use of innovation funnel...................................................................4
P4 State the development of Frugal Innovation.......................................................................................5
TASK 3.......................................................................................................................................................6
P5 Significance of commercial funnel and application of new product development..............................6
P6 Build Business case............................................................................................................................6
TASK 4.......................................................................................................................................................7
P7 Different tools that help in protecting, developing and retaining intellectual property rights.............7
CONCLUSION..........................................................................................................................................8
REFERENCES................................................................................................................................................9

INTRODUCTION
Innovation can be described as a process in which an idea is translate into reality by
researchers and these ideas are mainly concerned with preference and choices of customer. In
context of business, it means bringing change in product, workflow, processes or services. It act
as a catalyst for organizational growth and success (Aarikka-Stenroos and Sandberg, 2012). With
the help of innovation, company can gain high competitive advantage in the market over its
rivals. The selected organization for this report is Wiser which is a UK based creative and
recruitment company. The main aim of this report is to signify the difference between innovation
and invention, application of new product development, building business case, framework of
innovation and different intellectual property tools used for protecting and retaining intellectual
rights.
TASK 1
P1 Explain the term “Innovation” and its importance in comparison with invention
Innovation can be defined as an activity that is normally performed by people who have
great knowledge about the subject in which they are bringing something creative or new. It can
be applied either on old or existing product or services are creating the new one in the market
that gives high competitive edge. Thus, for successfully embedding innovation it is important
that employees must be intelligent and creative. It has been believed that if employees are
creative then only they will take active participation in sharing their innovative ideas with the
company. Moreover, if the idea is been like by the company then it will ultimately increase the
morale of worker. Management of Wiser have decided to bring innovation in there
organizational policy which enables them to interact effectively with target customer. If they will
innovate their business activity, chance of attracting more potential buyer increases and it will be
profitable for the company as well.
Invention:
It can be termed as an activity in which something exceptionally new has been created for the
first time. It is mainly related with technical and scientific skills that makes it more attractive
(Bogers and West, 2012). It is normally undertake by company losing their market base and to
get back in market, firms usually invent new product or services that provide them high
competitive edge over their rivals.
Difference between Innovation and Invention
INNOVATION INVENTION
Idea is generated in the mind of people and
then they translate into final goods or
services.
In invention, idea is originated for the first
time in the mind of inventor and then after
long research it is finally taken into
consideration.
Essential skills needed for innovation include
management, marketing and research and
development skill.
Scientific and technical skills are required for
invention
With the help of innovation, changes are
brought in company.
Sometimes invention bring change and
sometimes it may not.
It is a combination of various products or It only deals with single product or process.

processes.
Importance of innovation for Wiser employees:
1. Through innovation, the company is able to acquire new skill and knowledge that help their
employees in both personal and professional growth and development.
2. Innovation leads to develop a sense of creativity in the mind of workers which further assist
them in producing effective and unique ideas (Chesbrough, 2010).
3. It also help in making market and customer base stronger.
4. It leads to improve the overall productivity and efficiency of employees.
Importance of innovation in business organization:
1. With the help of innovation, business activities can be carried out in a structured and thorough
manner.
2. It help in improving the brand image and goodwill of the company.
3. Goods that are made after innovation is according to the needs and wants, thus satisfying
customer requirement in an appropriate manner.
Thus, Wiser can use this process for enhancing their business activities and yielding higher
profitability ratio in the market.
P2 How organizational vision, culture, leadership can shape innovation and commercialization
Vision: - It is generally made for long purpose on the basis of which all the objectives and
policies are established. This will help in developing new ideas in respect to their working
culture that leads to growth and development. At the time of setting vision Wiser Ltd. must
ensure the creative ideas in their organization structure. For example Apple having the vision on
motivating all the employees which help in bringing modification in business practices.
Mission: - these are generally made for short term purposes and after considering the vision of
organization. It also help the enterprise in accomplishing the target of organization. Therefore in
order to achieved long term goals it will work with focus
Culture: - In order to maintain the ethical practices in organization they need to adopt good
corporate culture in their business environment. In case of Wiser Ltd. Company engaged in
providing recruitment to individuals so there is need to set such beliefs, moral and good ethical
practices in their operations which ensure smooth running of daily targets. Apple Inc. and Virgin
group maintaining good culture by ensuring effective communication among staff members that
help in accomplishing long term objectives of company (Chun and et. al., 2015).
Leadership: - It is a way of influencing the behaviour of individual by act of some other person.
Effective leader is one who bring all the people in team which assist in achieving daily targets on
time. Both Apple and Virgin Ltd. Must use creative methods in order to give training to
employees.
TASK 2
P3 Explain 4P’s of innovation and use of innovation funnel
4P's of Innovation was given by Joe Tidd and John Bessant. This instrument is regularly
utilized by association with a specific end goal to examine development in process, item,
paradigm and position. Following are the brief description of all 4 P's:
Product: In this sort of development, center is around acquiring changes the current items and
administrations and after that offering to the end clients in new frame. These developments are

being completed by each organization when they believe that their item has lost its appeal in the
market. Wiser being the best enrolling organization will likewise need to change their strategies
for offering direction to their clients about their ability (Cui and Wu, 2016). Along these lines,
they can attempt to expedite their classes the advanced stage as this will be extremely viable
advance for the organization and also the clients.
Process: This sort of advancement is done in the process which is utilized to make a specific item
or administration. In the event that the procedure will be advanced then the products and
enterprises will be made in considerably less time and will likewise expand productivity in the
organization. Along these lines, more astute can make utilization of this procedure while offering
preparing to the representatives. On the off chance that the strategies for preparing will be
compelling then they will have the capacity to enhance the aptitudes of the customers in more
powerful way and hence enhancing their ability as well.
Paradigm: In this sort of development, items and administrations are modified according to the
necessities and requests of the clients. The advertising group helps the organization in ID of the
necessities of the clients. If there should arise an occurrence of Wiser, the administrator group
will choose the best thought out of all which was endorsed (Cunningham and Porter, 2011). At
that point the chose thought will get actualized in the organization and changes will be found out
too. Subsequently, it is required for better than apply new contemplations as this will help to
expand deals.
Position: It is said that situation of market is required to be great with the goal that the
merchandise and enterprises can be sold in a viable way. For this, administrators can make
utilization of limited time instruments and systems as through this they will have the capacity to
advance their item in the market. It will likewise help them in assemble consideration of
numerous people. On the off chance that they will think of new and inventive thoughts then it
will help them in making great picture in the brains of the clients too.
Innovation Funnel: An Innovation Funnel is utilized to characterize the arrangement of steps that
considered while building up another item or procedures. The primary reason for this
development is to address the issue of market and their individuals in a successful way.
Utilization of Innovation Funnel: It is basically utilized by business ventures to assess their
imaginative thoughts and items. Alongside this, it likewise help in successfully dealing with the
procedure of new item advancement. It has turned out to be significantly less demanding for the
organization to evaluate different promoting openings that are accessible in the market for future
item. In addition, it additionally help with leading exploration in order to recognize customer
needs and desire.
P4 State the development of Frugal Innovation
The idea of Frugal Innovation manages the procedure through which association tries to
diminish or limit the complexities of cost of goods sold and production. Innovators considers
accessible assets as an open door not as a risk. It isn't connected with the idea of offering
advanced items, rather it bargains in making better quality answer for clients that conveys high
an incentive at negligible cost (Dahlander and Gann, 2010). There numerous association who

change their plan of action drastically yet in addition transforms it mental model too. Following
are the stages of Frugal development:
1. Find opportunity in adversity: At this level, specialists reframe the present or existing
issue. Individuals from Wiser have successfully make an interpretation of the danger into
circumstance with a specific end goal to increase high aggressive edge.
2. Do more with less: At this workers will initially survey the accessible assets and tries to
utilize it in an ideal way.
3. Think and act flexibility: At this stage, it has been trusted that it is smarter to be
improvisational as opposed to being unbending
4. Keep it simple: Any unpredictability may upset the whole working of business which
isn't a decent sign. Subsequently, it has dependably been prescribed to have less options that are
best as opposed to having various options (Drucker, 2014).
5. Include the margin: It is critical for an association to be very much aware about the
requirements and desire for end-customer. They can take input and recommendation from client
at this stage.
TASK 3
P5 Significance of commercial funnel and application of new product development
Commercial Funnel: It can be termed as cost effective process through which alluded association
tries to recognize precise sources that help them in offering their innovative goods to end clients
in an organized and through way. Individuals are in charge of picking proper channel of
conveyance which help in returning higher incomes and benefits. Thus, Wiser organization can
make utilization of this idea in particular and advance their administrations which will help them
in social affair an ever increasing number of clients for their business. The means which are led
in New Product Development process are as per the following:-
•Idea Generation - Here, fundamentally a thought is first created in the psyches of a man who
introduce it before its management. This is an extremely inventive process which is required to
be directed in each organization to include the representatives in its basic leadership process.
•Idea Screening – In this progression, out of each one of those thoughts which were introduced
before the administration just those which are imaginative and appealing may be chosen by
them. Those thoughts must be coordinated with the objectives and goals of the organization and
on the off chance that it is coordinating and is gainful then it is picked.
•Concept development and Testing – The thought which has been picked by the administration is
screened here and dialog is made about changing over that thought into an item. For this the item
will be sent for testing and after this the view of clients is known (Edquist, 2010).
•Market strategy and development – Here, a system is made by the task chiefs in order to build
up the item in the objective market. Likewise, how to assemble an ever increasing number of
clients and how the items and administrations will be situated in the market will be portrayed.
•Business analysis – It is the progression in which the deals and volume identified with the item
will be resolved. In this total examination is done identified with the business, benefits and cost
will be assessed so they can fulfill the clients.

Test Marketing – In this, the item is at long last presented in the market to test it with the clients
and know their responses. This will likewise influence them to realize that the techniques which
is made about the item will be viable or not.
•Commercialization - In this last stage, innovative product is finally launched in the market and
being sold. It executes an aggregate showcasing plan and confronting high costa for assembling,
publicizing and advancement (Eesley, Hsu and Roberts, 2014).
P6 Build Business case
Setting up a business case is an extremely powerful technique to become familiar with
respective product or services in a superior way and think about its future sales and benefits also.
It can be effectively used by Wiser that help them to attract large number of clients and earn
higher profits as well. Following are the steps that needs to be taken into account while preparing
business case are as follows:
Executive Summary: Wiser is an innovative and selecting organization framed in 2014 in
London. They are acting like a home to youngsters who are having enormous dreams and
expects more from their life. They are giving different sorts of administrations like ability
procurement, boss marking and site building. They are having organization with such a large
number of different firms like Worldpay, Expedia, sky betting etc.
Objectives: Their principle objective is to give creative administrations to their customers and
helping them in making their vocation all the more splendid and successful. The organization is
based on values just like genuine, backing yourself, being shrewd and so forth.
Solution: The management of Wiser are attempting to eliminate all problems or issues every
which are coming in their direction while building up their items and services and presenting
innovation as well.
Research of clients - It is extremely basic process which help in giving similar items to their
buyers (Hoque, Chishty and Halloway, 2011).
Design and Development of plans-It is an exceptionally fundamental advance while doing
arranging since every one of the exercises which will be required to be directed while building
up the innovative plans id considered. This will help them in huge no. of purchasers at the
commercial center.
Need of capital requirement-In this the capital which will be required to direct every one of the
exercises is resolved. This will help them in dealing with every one of the tasks in a viable way.
Normally there are two source of funding through which company can generate adequate fund
one is Internal and other is External. Internal means when funds are available within the
company only such as profits can be used for expanding business operation, retained earnings,
long term assets that are no longer in use. On the other hand, External source of funding means
when company arrange sufficient amount of funding through outside the company such as bank,
creditors, individual donor, angel investors etc.
Expected Benefit: It is essential for the organization to realize that whether the development
which is being done is successful or not (Huizingh, 2011).

TASK 4
P7 Different tools that help in protecting, developing and retaining intellectual property rights
Intellectual Property rights are those rights which are being utilized as a part to protect
and retain the inventive work done by individuals of an organization. It ensures that the work
isn't duplicated by any other third person without the consent or approval of inventor. It is
essentially identified with law and help the individual in getting acknowledgment about the
remarkable work done by them (Kutvonen, 2011). It is an exceptionally successful framework
which is required to be embraced by each organization. Some of the common intellectual
property rights are listed below:
• Trademarks – It is a sort of sign which is given to the item keeping in mind the end goal to
separate them from alternate rival’s products accessible in the market. For the most part a stamp
is given like Mercedes is having their sign, Audi is having their own. It could in the form of
word, design, symbol or image. Keeping in mind the end goal to get the product trademarked
approx. a half year is required to be taken. It will be re-established following 10 years.
• Copyrights – It is a sort of work which is utilized to protect the original work done by creators.
In this, individuals who are doing any sort of artistic work like painting, composing, dancing and
so on then they can get their work copyright so that no can compose or paint anything like them.
For promoting these, UK is putting forth enrolments to individuals on online bases. It took
approx. 2 ½ to more them 5 ½ month after filing all legal formalities and procedure.
• Patents - It alludes to the right which is given to the inventor at the time of development. It
gives legitimate right to owner which enable them to choose that who will utilize their work. On
the off chance that anybody needs to influence utilization of this then they too should take earlier
consent of inventor (Aarikka-Stenroos and Sandberg, 2012).
•Trade Secrets - Here, a private information or data which organization does not desire to reveal
to get advantage over their rivals. These can be a procedure, recipe, different business subtle
elements. It incorporates list of clients, calculation, or survey outcomes.
CONCLUSION
According to the given report it can be reasoned that, to support for longer period in the market,
it is critical for each association to continue refreshing their current item or grow new item
according to the necessity of customer's. There are different devices and methods that guide
business element in development and commercialization. With the assistance of Innovation
Funnel, organization can without much of a stretch decide the necessities of potential purchasers
in a viable way.

REFERENCES
Books and Journals
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innovation. Creativity and innovation management. 21(1).pp.61-75.
Chesbrough, H., 2010. Business model innovation: opportunities and barriers. Long range planning.
43(2). pp.354-363.
Chun, D. and et. al., 2015. Labor union effects on innovation and commercialization productivity: An
integrated propensity score matching and two-stage data envelopment analysis. Sustainability.
7(5).pp.5120-5138.
Cui, A. S. and Wu, F., 2016. Utilizing customer knowledge in innovation: antecedents and
impact of customer involvement on new product performance. Journal of the academy
of marketing science. 44(4). pp.516-538.
Cunningham, S. W. and Porter, A. L., 2011, July. Bibliometric discovery of innovation and
commercialization pathways in nanotechnology. In Technology Management in the Energy
Smart World (PICMET), 2011 Proceedings of PICMET'11: (pp. 1-11). IEEE.
Dahlander, L. and Gann, D. M., 2010. How open is innovation?. Research policy. 39(6). pp.699-709.
Drucker, P., 2014. Innovation and entrepreneurship. Routledge.
Edquist, C., 2010. Systems of innovation perspectives and challenges. African Journal of
Science, Technology, Innovation and Development. 2(3). pp.14-45.
Eesley, C. E., Hsu, D. H. and Roberts, E. B., 2014. The contingent effects of top management teams on
venture performance: Aligning founding team composition with innovation strategy and
commercialization environment. Strategic Management Journal. 35(12).pp.1798-1817.
Herath, D., Cranfield, J. and Henson, S., 2010. Understanding the financing of innovation and
commercialization: the case of the Canadian functional food and nutraceutical sector. Applied
Economics. 42(21).pp.2667-2682.
Hoque, M., Chishty, M. and Halloway, R., 2011. Commercialization and changes in capital structure in
microfinance institutions: An innovation or wrong turn?. Managerial finance.
37(5).pp.414-425.
Huizingh, E. K., 2011. Open innovation: State of the art and future perspectives. Technovation.
31(1).pp.2-9.
Jagoda, K. and et. al., 2011. Development and commercialization of renewable energy technologies in
Canada: An innovation system perspective. Renewable Energy. 36(4).pp.1266-1271.
Kutvonen, A., 2011. Strategic application of outbound open innovation. European Journal of Innovation
Management.14(4).pp.460-474.