Innovation and Commercialization of a Waste/Recycling System

This document discusses the importance of innovation and how vision, leadership, and culture shape it. It also explains the 4 P's of innovation, frugal innovation with examples, and the importance of commercial funnel and NPD in the context of a waste/recycling system. The document provides expert study material and solved assignments for students.

Innovation and
Commercialization of a
waste/recycling system
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Table of Contents
INTRODUCTION...........................................................................................................................3
P1 Explain innovation and its importance as compared to invention..........................................3
P2 How vision and leadership, culture shape innovation............................................................4
P3 4 P’s of innovation..................................................................................................................5
P4 Explain frugal innovation with example................................................................................7
P5 Importance of commercial funnel and NPD...........................................................................7
P6 Innovation case of Big Belly..................................................................................................9
P7 Different tools to retain intellectual property rights...............................................................9
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................12
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INTRODUCTION
In technological era and complex business environment, innovation has become a major
source for companies to grow and develop. It has provided a platform and vast opportunities for
business to innovate new products and services. through this, they are able to attract customers
and compete with rivals in market for long term. Not only products are innovated but also
services as well (Behrns, Gingles and Sarr, 2018). Furthermore, innovation has resulted in
creating value of product. However, firms are relying on it to generate more revenue and profits.
Many new ideas and concepts are applied within business.
The assignment will describe about importance of innovation and how vision, culture,
leadership shape. Also, it will be discussed about 4P’s of innovation and frugal innovation with
some examples. Moreover, importance of innovation funnel and NPD will be explained. Also, a
case of Big Belly and different tools to protect IPR will be described
P1 Explain innovation and its importance as compared to invention
Innovation is process of using and applying new knowledge and concepts in creating new
process, products, etc. It refers transforming new ideas and concepts practically. Innovation
allows companies to gain competitive advantage by developing unique goods to fulfil needs of
customers. Also, it is necessary for organisation to cope up with new market and technological
trends. With help of it, they are able to do things in completely new way (The Difference
Between ‘Invention’ and ‘Innovation’. 2018). It has been evaluated that there is difference
between invention and innovation. this is described below
Basis Innovation Invention
Meaning It is known as execution of
ideas or concepts to create
new process or products
(Deans, Gunter and Forte,
2016).
It is defined as creating of new
idea and concept.
Concept It is a practical concept where
idea or concept is applied
This is only theoretical
approach or theory.
Skills It requires technical,
innovative and strategic skill
Here, it only requires
theoretical skills
Activities Innovation can be applied in The invention is limited to
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any area of business R&D business function.
Concerned with Usually, it is linked with
developing of new product
and services
Here, it is related to specific
product or process.
Refer to Here, value is added to some
thing
In this new product is created.
It is evaluated that innovation and invention are two different terms. Usually innovation
is related to adding value by developing new products and invention means to create new
product. Innovation is applied to area of business but invention can not.
There is high importance of innovation within business which is explained below :-
High quality goods- This is the main importance of innovation as it enables in improving
quality of goods. By changing process or methods product quality is maintained. Furthermore,
redesigning process enable in removing deviations and fastening operational process (Eckhardt,
Ciuchta and Carpenter, 2018). Apart from it, firm productivity and employee performance is
enhanced as well that lead to increase in efficiency. However, organisation is able to attract more
customer by offering them new feature product. In this way, value of product or service is
created and customers are retained.
Building future – innovation provide a platform to company for long term growth. It focusses in
on building future by finding out customer needs. Through that productivity is enhanced as well.
an innovated firm is able to look for long vision. So, innovation is a base on which future is
build. From this they are able to sustain for long term in industry by innovating something new
continuously.
Providing modern tool – Innovation usually means to change process or develop new method.
so, processes are redesigned with help of new and advance tools. This provide new technique for
staff to work on them. for this effective training is provided to them through which they gain
knowledge and skills. The organisation uses modern tools that improve employee efficiency.
Thus, innovation provide a platform for business to grow and expand. It provides a strategic
direction by which business can gain competitive advantage (Gachie and Govender, 2017).
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P2 How vision and leadership, culture shape innovation
In an organisation there is a great role of culture, vision and leadership in innovation. this
is because they all are interrelated with one another. Also, any impact on one directly affect the
another. Alongside, innovation can only be implemented with help of proper leadership and
culture.
Vision
It also plays effective role in shaping innovation. Vision sets a framework of where
organisation want to go in future. Besides, what value they want to bring in society and how it is
done through innovation.
Leadership
It is identified that leadership is based on culture. this is because an effective leadership is
only applied when culture is positive. It allows in encouraging staff to try out new ideas and
work on it. also, leadership provide a vision to business that how innovation will lead them to in
future. Alongside, leader assign roles and task to staff so that goals are attained and innovation is
applied.
Culture
In addition, culture also shape innovation as it reflects ethics, values, etc. on basis of
which innovation has to be applied. Furthermore, positive culture support in implementing
change in less time and performing operations in different way. Moreover, culture depicts that
whether innovation can be implemented or not (Latif, Zahraee and Handley, 2019). Within
culture values and beliefs are modified which makes it easy to deal with changes easily.
Teamwork
In similar way, teamwork also supports in shaping innovation. when working in team each
member is able to contribute towards performing their roles. However, in innovation goals are
allocated to team. so, having highly effective and qualified teams support in implementing
innovation. Innovation requires to have effective teamwork to carry out the things effectively and
efficiently. Teamwork plays effective role in shaping the process of innovation and to build
attractive culture. In enterprise, each employees needs to assign different task and duties. Better
team support within enterprise aids to carry out day to day task effectively.
Thus, it is stated that team, culture and other things shape innovation in efficient way. they
have a direct impact on innovation as activities are performed in efficient way.
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P3 4 P’s of innovation
In every innovation done there are basically 4 P’s followed. This makes it easy to
understand about relevant knowledge that how innovation is done. Also, with help of that it is
easy to apply new ideas and concepts to redesign new process or methods. So, the 4 P’s are :
Process- As name depicts it refer to bringing change or modification in process or ways of
business operation (Libaers, Hicks, and Porter, 2016). The main goal is to increase efficiency
in operations. In this innovation variations are determined and then accordingly changes are
made in it. there are different tools and techniques to make changes within process. Moreover,
new process is redesigned in different way. For this BPR tool is used along with some advance
technology and tools. It enable in bringing change in process in effective way.
Position- It is a type of innovation in which business identify new market or customer at attract
them. in this main objective is to expand into different market to generate more profit and sales.
For this, market research is conducted to find out target market as per needs of customers. it
enables in attracting them by building a strong brand image among people. here, Big Belly can
also implement this innovation to expand into new market. they can do this with help of offering
offers, discount, etc. Furthermore, through effective advertising and promotion as well. this
makes it easy to create awareness about product in new market and gaining competitive
advantage. Moreover, customer base is also increased in this.
Paradigm – it is related to forming short and long term goals that how innovation is to be
applied. From that it is easy to analyse and find out that where innovation is to be done (Maine
and Seegopaul, 2016). Basically, in this business model is innovated that result in developing
new product, process, etc. beside that, policies and procedure are innovated as well that makes
things easy to apply innovation in specific time. thus, business model is also be modified so that
competitive advantage is gained.
Product – As name suggest this innovation refer to developing new product and services.
generally, in this value is added in product by adding new features and specification in it.
However, main goal is to expand and develop in the market through new product development. It
enables company to identify needs of people and then develop new product accordingly.
Furthermore, with help of it business is able to attract new customers as well. Besides it, in this
strategies and plans are developed that how new product will be developed. Apart from it, entire
production process is to be changed in this.
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Innovation funnel provide an approach to how ideas are generated. In this ideas are
filtered and then on basis of its uniqueness and creativity they are selected. Also, there are some
criteria as well through which idea is filtered. Here, different steps are followed
Mouth of funnel- it is first step in which all ideas are gathered. This gives clear view of what
type of innovation is needed either in product or process. hence, Big Belly can gather info about
what new thing is require and customer needs.
Narrowing funnel – in this ideas are filtered on certain criteria and then compared with set goal
and objectives. this make it easy to develop new product to attain goals (Oderanti and Li, 2018).
Narrowed part – here, innovation is applied on basis of certain ideas selected. It is firstly tested
and then implemented. However, on basis of it goals and objectives are achieved.
Therefore, Big Belly can also use innovation funnel to develop new product or service.
Through this, it makes easy to bring development and innovation in their business model.
P4 Explain frugal innovation with example
Innovation not only means to develop product or process but it also refers to reducing
complexity in production process. frugal innovation is process of reducing variation in product.
In this new process, products, etc. are developed that allows in attracting customers. Here,
various strategies are developed and implemented to apply frugal innovation.
It is analysed that there are many companies that has already implemented frugal innovation.
with this they are able to gain competitive advantage and attract more customers. For example –
Apple invented I phone, I pod, etc. as a new and high technological products. A new operating
system was launched in market which provided unique features. This provided a new innovation
for people to use it. also, it created a high awareness within people. through this, Apple was able
to gain competitive advantage (Sutopo, Astuti, and Suryandari, 2019).
Likewise, Samsung also did frugal innovation in their products. they developed advance
smart phones and electronic devices. However, the innovation led to attract people. beside that,
cost of production was reduced as well by product was offered at low prices. Samsung did rapid
innovations in their products and was successful. But on contrary, Nokia tried to do frugal
innovation but they got failed. This is because they did not follow effective plan and design
product properly.
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Similarly, Big Belly need to do innovation by using AI in offering recycling service. they
can implement use of robots as well in recycling services. It will enable in attracting more people
and gaining competitive advantage. Moreover, new application can be developed as well.
P5 Importance of commercial funnel and NPD
Sales funnel is also known as commercial funnel that refers to a buying process which
allow company to identify how customers are buying products and services. Here, a visual way
or process is identified which allows tracking customer sales process. Along with it, the process
reflects on customer awareness and their way of approaching product buying. In this there are 4
strategies applied through which customer perspective is identified. in each one different
approach is followed (Walsh, , Przychodzen and Przychodzen, 2017).
Awareness- here, an awareness is generated within customer mind about product that is been
offered by firm. This is useful in attracting them to buy it.
Interest- in this business has to market or promote products so that customer are able to take an
effective decision.
Decision- in this stage as customer is aware about overall product, he or she decide to buy it.
thus, firm provide attractive offers to them regarding product.
Action – This is last stage where customer finally buys product of company and become a part
of organisation.
Big Belly is a waste and recycling company that provide various services. they must
develop a new product or service to attract people.
Commercialization- It is defined as the process that relates with targeting specific area for
launching new commodity within the market. (Yang, Chen and Lei, 2018)
Business analysis- At the time of conducting the analysis of new product development, the
quoted enterprise needs to assume the cost of product, profit margins and ROI etc.
NPD refer to approach of developing new products in order to remain survive in market
for long term. also, it is applied to achieve organisation growth and development. Moreover,
process is redesigned with new machine and technique. There is also change in way of
performing operations. Firm invest in new technology to get high return. Beside this, there are
other things as well which is as follows
Long term growth – NPD focus on attaining long term growth of company in the market. this
enable in competing in market and creating a large customer base. Alongside, it supports in
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offering unique and variety of products as compared to competitors. Apart from it, business earn
huge revenue and growth which ensure their long term growth in market (Behrns, Gingles and
Sarr, 2018).
Improved life style – NPD allows customer to use variety of products and services in order to
fulfil their needs. So, their needs are fulfilled which result in enhancing their lifestyle. Moreover,
they are able to adapt new product and services in their lifestyle. Thus they start demanding new
product and advance features in it.
Likewise, NPD process is useful for Big Belly to fulfil needs of people. they are able to
retain customer for long term. Moreover, improvement in product or methods are made. This
allows in attracting customers and expanding in new market.
P6 Innovation case of Big Belly
Here, an innovation is been done in which Big Belly can develop AI based smart recycling
systems. For this they can install and configure AI within systems. This will enable in attracting
customers and offering them a new product. Furthermore, AI based system will be different and
unique. Also, it will include some advance and new features which will allow to work in
automatic way. However, in this NPD can be followed which will improve business efficiency.
besides, new AI system is developed to provide flexible and systematic working of it. The
companies can install it to reduce waste. Alongside, for this firm will use borrow capital or loan
from bank or financial company (Deans, Gunter and Forte, 2016). so, it will make it easy for
them to develop and design a new product. The business plan is as:
Executive summary – Big Belly is a company providing smart waste and recycling solution to
communities. They are cloud and web based platform that helps in recycling waste. It has been
analyzed that company has successfully expanded in different areas.
Objective –
To target large manufacturing companies
To increase customer base
Source of funds- in order to do innovation company needs to acquire funds for this they need to
prepare a budget. Thus, Big Belly will acquire funds from bank.
P7 Different tools to retain intellectual property rights
It is necessary for business to retain their property rights, knowledge and info so that they
can not be copied. This allows in restricting any other business to develop similar product or
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apply same knowledge. Besides that, it helps in protecting confidential data and info. However,
using of IP rights makes it easy to protect data. For this there are different tools available which
are defined as
Patent – this is a tool which allows in protecting any invention or innovation done. the patent
restricts other companies to copy, develop or sell similar product or service to people (Eckhardt,
Ciuchta and Carpenter, 2018). with this it becomes easy for business to gain competitive
advantage. However, patent is a legal document which is used for protecting knowledge. The
firm get legal right to protect knowledge. So, if anyone copies their product or process legal
action can be taken against them.
Trade mark- in this knowledge regarding logo, symbol, tag line, etc. is protected and secured.
This is because each business logo, symbol, etc. varies from one another. Therefore, it is easy for
customers to distinguish and identify product and services easily in the market.
Copy rights- this is a tool that is usually used in protecting arts, music, sound, and many other
things. it is not related to business data and information. Generally, by using copyright it
becomes easy to modify, recreate, etc. by taking permission from original copyrighter. For that
an effective process is to be followed and also specific fee is to be paid for using work of
copyrighter.
Trade secret- it is that knowledge of business which consists of formula, process, ingredients,
etc. that are used in developing product. Along with this, it contains algorithms as well which is
used in product as well. so, it enables in differentiating company model as well.
So, it is evaluated that Big Belly can use patent to protect their knowledge and info. This
will be easy for them to restrict other companies not to copy concept, product or service.
Moreover, it will be easy for firm to gain competitive advantage in market. in addition, company
can innovate new product or process which makes aids in growth and development of
organisation (Latif, Zahraee and Handley, 2019). However, new techniques and practices are
applied to improve process and increase efficiency. besides that, if confidential knowledge is
prevented this allows in bringing more changes.
CONCLUSION
By above report it is concluded that innovation is bringing change in many areas of
business. It has allowed in developing new products and services. the importance of innovation is
high quality goods, new tools and techniques, etc. However, there are 4 P’s of innovation such as
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process, paradigm, position and product. Innovation funnel is process of filtering ideas and
selecting best one. there are many firms who have applied frugal innovation. For example-
Apple. Samsung. NPD helps in long term growth and improved life style. Moreover, there are
different tool available to protect knowledge and data such as patent, trademark, etc.
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REFERENCES
Books and journals
Behrns, K.E., Gingles, B. and Sarr, M.G. eds., 2018. Medical Innovation: Concept to
Commercialization. Academic Press.
Deans, R.J., Gunter, K.C. and Forte, M., 2016. Part 5: Unproven cell therapies and the
commercialization of cell-based products. Cytotherapy, 18(1), pp.138-142.
Eckhardt, J.T., Ciuchta, M.P. and Carpenter, M., 2018. Open innovation, information, and
entrepreneurship within platform ecosystems. Strategic entrepreneurship journal, 12(3),
pp.369-391.
Gachie, W. and Govender, D.W., 2017. Commercialization of higher education institutions’
research within the National System of Innovation. African Journal of Science,
Technology, Innovation and Development, 9(4), pp.387-397.
Latif, N., Zahraee, M. and Handley, M., 2019. Concept to Commercialization–fostering
innovation through university resources.”.
Libaers, D., Hicks, D. and Porter, A.L., 2016. A taxonomy of small firm technology
commercialization. Industrial and Corporate Change, 25(3), pp.371-405.
Maine, E. and Seegopaul, P., 2016. Accelerating advanced-materials commercialization. Nature
materials, 15(5), pp.487-491.
Oderanti, F.O. and Li, F., 2018. Commercialization of eHealth innovations in the market of the
UK healthcare sector: A framework for a sustainable business model. Psychology &
Marketing, 35(2), pp.120-137.
Sutopo, W., Astuti, R.W. and Suryandari, R.T., 2019. Accelerating a Technology
Commercialization; with a Discussion on the Relation between Technology Transfer
Efficiency and Open Innovation. Journal of Open Innovation: Technology, Market, and
Complexity, 5(4), p.95.
Walsh, G.S., Przychodzen, J. and Przychodzen, W., 2017. Supporting the SME
commercialization process: The case of 3D printing platforms. Small Enterprise
Research, 24(3), pp.257-273.
Yang, Y., Chen, H. and Lei, J., 2018. The Commercialization of University and Research
Institutes’ Science-Based Innovations: The Four Successful Chinese Cases. Journal of
Industrial Integration and Management, 3(03), p.1850013.
Online
The Difference Between ‘Invention’ and ‘Innovation’. 2018.[online]Available through:<
[http://mediashift.org/2012/03/the-difference-between-invention-and-innovation086/]>.
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