Innovation and Commercialisation

This document discusses the concept of innovation, the difference between invention and innovation, and the procedures for commercialising innovation in an organization. It also explores the various types of innovation and the benefits of commercial funnel and new product development processing for commercialisation.

INNOVATION AND COMMERCIALISATION
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Table of Contents
Introduction................................................................................................................................3
Task 1.........................................................................................................................................3
LO1 Describing the concept of innovation along with mentioning the difference between
invention and innovation............................................................................................................3
P1. Explaining the term innovation along with its significance to the employees of the
organisations. Also provide examples from the case studies in contrast to invention 386.......3
P2. Explaining how vision of the organisation, leadership, culture and working in a team can
configure innovation along with commercialisation..................................................................4
Task 2.........................................................................................................................................5
LO 2 Explaining the various types of innovation to the professionals of the organisation.......5
P3. Describing 4Ps of the innovation and with the help of innovation funnel scrutinize
innovative ideas for the employees of the firm..........................................................................5
P4. Explaining the process by which the organisation develops frugal innovation...................6
Task 3.........................................................................................................................................7
LO 3 Discussing the procedures that are required for commercialising innovation in the
organisation................................................................................................................................7
P5. Mentioning the benefits of commercial funnel and the implementation of the New
Product Development processing for commercialisation to the employees of the firm............7
P6. Building an Business case for Innovation for the organisation that includes numerous
ways for assessing funding.........................................................................................................8
Task 4.........................................................................................................................................9
LO 4 Evaluating the range of techniques in order to protect the ideologies along with proper
understanding about the advantages and disadvantages of those...............................................9
P7. Assessing the processes that help to develop the organisation to preserve knowledge and
also the intellectual property of the organisation.......................................................................9
Conclusion................................................................................................................................10
Bibliography.............................................................................................................................11
Appendices:..............................................................................................................................14
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Introduction
Innovation is the basic requirement of every organisation of the world in order to survive in
the present business conditions that are prevailing everywhere. Commercialisation can be
considered as the next process of innovation because it helps in running the business properly
in order to increase the profit of the organisations. Nowadays, in the fast growing world,
every person is behind using innovative products so that they can make their work easier.
Clarkwood Enterprise is taken as an example to elaborate the importance of the innovation
and commercialisation. Clarkwood Enterprise is a British small sized enterprise that is
contributing the local people of UK with mobile phones and computers since 2011. The
company is trying to make strong technology collaborating with the big enterprises of UK.
Clarkwood Enterprise provides good service to the local people and tries to enhance their
business across the borders. The organisation tries to train their staffs properly so that good
and innovative services can be provided to the people of UK.
Task 1
LO1 Describing the concept of innovation along with mentioning the
difference between invention and innovation
P1. Explaining the term innovation along with its significance to the
employees of the organisations. Also provide examples from the case
studies in contrast to invention 386
According to Ab Aziz et al. (2011, p.180), innovation can be stated as the procedures of
incorporating good ideas into the existing services or products of the organisations so that the
value is created in front of the customers all over the world. Innovation needs to be done in
such a way that the organisation is not bankrupted after incorporating those ideas into the
services of the organisation. Being the CEO of Clarkwood Enterprise, the learner needs to
make the employees understand that innovation has to be done at every level of the
organisation so that the firm can enhance their business like that of Apple or Virgin Media.
Innovation is of huge importance in the present technological world because innovative
products attract large numbers of buyers and thus, the business growth is seen in every
organisation (Abdul Razak et al. 2014, p.265). The employees of Clarkwood Enterprise have
to be hard working because the organisations’ objective is to satisfy the users along with
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spreading the business more. For example, Apple is one of the leading traders of the cell
phones and came up with new innovative technologies that gained the attention of a huge
number of people. Apple is the first organisation to launch iPod in the global market that
stored a large number of audio tracks in a small device. The innovative ways of thinking of
Apple are praise-worthy and Clarkwood Enterprise needs to undertake these innovative ways
of thinking about their business so that they can expand their business further.
Innovation is the creation of something new for the business organization in this context of
topic provided herewith. This is the new ideas that are for the surprisingly new
implementation to any matter or fact that were not present from early times. As per
Amponsah and Adams (2017, p.200), innovation is the implementation of the ideas into the
existing products or services to make that product more appealing to the world whereas
invention is the phenomenon of the new idea to launch completely new product or services to
the people of the world. Clarkwood can try to bring new ideas for their existing technology so
that they can gain good market share and start inventing new products as that of Apple. Apple
is seen to launch the new product that is iPod in 2001 because, before that, there were small
devices like CDs and DVDs that stored less number of tracks for the people. People that
helped the organisation to gain popularity all over the world immensely liked the new
invention of Apple and their creative way of thinking. Similarly, Clarkwood Enterprise can
try to make some changes in their technology in order to gain popularity among people in the
local market.
P2. Explaining how vision of the organisation, leadership, culture and
working in a team can configure innovation along with commercialisation
Bastalich (2010, p.845) commented that organisational vision and leadership helps greatly in
bringing innovation along with commercialisation in business because the leaders help in
motivating the employees to work hard for achieving the vision of the organisation in an
innovative way. When innovation is done, the business firms guarantee commercialisation.
Clarkwood Enterprise has the vision of serving a huge number of people equally and that is
why; the organisation is trying to improve their leadership styles so that the employees are
encouraged more for the betterment of the organisation. For example, Virgin Group has such
employees that are dedicated towards the working for the betterment of the organisation. The
employees of Virgin Group try to evaluate their huge business more so that innovation can be
done at every level of their business. The employees provide great effort in their working
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techniques due to which Virgin Group can explore their business more. Clarkwood Enterprise
has to undertake this process so that the vision can be achieved properly.
Teamwork and organisational structure help the employees to work collectively in the
prevailing structure of the organisation in order to bring innovation in the business (Brem,
2011, p.10). The organization does require to make new ideas that are innovative for them as
well as within the competition market. Clarkwood Enterprise employees work collectively
but the structure of the organisation is the little bit weak that is why; the employees cannot
bring out their skills for doing innovative works for the organisation. For example, Virgin
Group has a structure where employees are allowed to present new ideas for their business
enterprises. That is why; the employees work collectively in a team and try to incorporate
various ideas for the betterment of the organisation. Chun et al. (2015, p.900) stated that
commercialisation of the new ideas of the organisation helps in making the firm bring the
great change in their business patterns. Thus, Clarkwood Enterprise can study the Virgin
Group’s innovative techniques so that the firm can be able to bring innovation and creativity
in their business.
Task 2
LO 2 Explaining the various types of innovation to the professionals of the
organisation
P3. Describing 4Ps of the innovation and with the help of innovation funnel
scrutinise innovative ideas for the employees of the firm
4 Ps of innovation includes Innovation of the Product, innovating the Process, Innovating the
position and innovation of the Paradigm (Clausen and Rasmussen, 2011, p.80). Products
innovation refers to the innovating new techniques in the existing products of the
organisation so that new changes can be done in the products. Innovating the process will
help to understand the innovative processes of delivery of the products of the organisation.
Positioning the products means repositioning the products of the organisation in the market
that helps in gaining huge profit for the organisation. Cosh and Hughes (2010, p.70)
mentioned that paradigm innovation helps in changing the entire product or service because it
helps in gaining more profit for the organisation. Clarkwood Enterprise needs to renovate
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their existing technological services or products so that they can gain huge market share after
placing it in the market.
Innovation funnel helps to understand about the products, broadcasting of the products and
understanding what type of process of delivery can help the firms to gain success (Fiedler and
Welpe, 2011, p.420). For example, Virgin Group understands the situation of the market
along with the requirement of the users in the market. Based on that, Virgin Group tries to
screen their services properly so that the growth of the organisation is guaranteed. Finally,
this group makes various models that help in understanding the product delivery processes.
Clarkwood Enterprise can try to incorporate these strategies into their business so that
business growth is easily done along with the technological growth. New innovative
technologies would help the organization expand their business as well as this can enhance
their business and make better profit along with better strategies implemented within the
business organization. In innovation funnel, the wider mouth of the funnel helps to gather
knowledge about the products of the firm and narrower segment helps to identify whether the
product is equivalent to the goals of the firm or not. Finally, the last part of the funnel
demonstrates the ideologies that help in the better delivery of the products in the market
(Greenaway and Rudd, 2014, p.336). Clarkwood can incorporate these strategies so that
innovation along with commercialisation can be brought for the products. Virgin Group
always tries to encourage their employees to work harder for bringing higher performance for
the organisation. All these strategies have to be understood by Clarkwood properly for
bringing innovation in their technology.
P4. Explaining the process by which the organisation develops frugal
innovation
Harman (2010, p.80) opined that Frugal innovation helps in producing new products or
services at very low-cost so that the product bring good revenue from the market. Frugal
innovation reduces the complications in the products and removes the unnecessary features.
Clarkwood Enterprise is a small sized enterprise where the organisation has to develop
innovative products at very less cost so that the economy of the organisation is properly
maintained. Not only, small sized enterprises use frugal innovation but also the large-scale
enterprise like Apple uses this innovation technique so that profit along with brand image can
be maintained. For example, Apple invented new product named iPod in the market that
holds large numbers of music tracks. IPod was manufactured when the user's used MP3
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players and Apple tried to use the concept of MP3 player in iPod but in an innovative way.
Apple made the size of the device very small because there was no necessity of making
bigger size instrument.
Thus, the organisation used frugal innovation technique in their products so that benefits can
be assured. The anticipation of Apple came true when billions of iPods were sold in the local
as well as global markets. Clarkwood enterprise has to understand this strategy so that they
can make prepare small-sized devices, which can help the firm to use fewer resources for the
more production. Hughes (2011, p.412) demonstrated that employees need to be trained with
new technological ideas that will help the employees to take the proper step for bringing
commercialisation in the products of the organisation.
Employee must be skilled and should able to meet the organization’s business criteria. The
unskilled employee must be provided with the training which can enhance their working
skills. Clarkwood Enterprise has to train their employees as that done by big enterprises so
that innovative ideas can be incorporated into the business of the firm. Moreover, frugal
innovation can help in meeting the targets of the organisation by assuring that fewer funds are
used for innovating new products. Every organisation should try to do frugal innovation
because it helps to bring better commercialisation in less time at less funding processes
(Johannessen, 2017, p.160). Clarkwood Enterprise can make good market share with
incorporating frugal innovation in their business. With the help of limited resources, magical
changes can be done in the business if Clarkwood Enterprise implements this type of
innovation in their business. That is why; it is necessary that Clarkwood Enterprise
understands the techniques used by Apple for performing better in business.
Task 3
LO 3 Discussing the procedures that are required for commercialising
innovation in the organisation
P5. Mentioning the benefits of commercial funnel and the implementation
of the New Product Development processing for commercialisation to the
employees of the firm
Commercial funnel comprises of the marketing campaigns, awareness among people
regarding the products, understanding the interest of the people, evaluating the products along
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with committing to serve properly and refer the products to the people (Kianto, 2011, p.115).
The commercial funnel is very important because the organisations measure their own
performance regarding any services or products so that people can be served in a much better
way.
Clarkwood Enterprise has to understand the people’s interest and demands before launching
any new products. This will help the firm to develop new products and serve the buyers
according to their interest. That is why; commercial funnel is considered as the best process
of evaluating the services before doing any campaigns for marketing the products or services.
For example, HubSpot is a sale software organisation that uses the commercial funnel to
understand the people’s need so that new apps can be developed for the people. Apple
maintains the commercial funnel for their new products so that the organisation can
understand about the user's experience and then develop better products for the buyers.
Clarkwood Enterprise needs to maintain a commercial funnel for serving the people in a
better way, therefore, assuring the brand image in front of the people. (Refer to Appendix 1)
As stated by Kutvonen et al. (2010, p.210), New Product Development is the process by
which new products are introduced into the market so that people can encounter the products.
From the generation of the idea to the commercialisation process, the new product
development process continues for bringing better outcomes for the organisation. Clarkwood
has to generate the new idea, broadcast the idea, develop the concepts that are required for
implementation of the idea, develop a strategy for the market along with doing the product
development and test the market conditions before commercialising the products. For
example, Virgin Group analyses the ideas that are given the different employees so that the
efficiency of the ideas can be measured. This helps the organisation to explore more for the
enhancement in the business of Virgin Group. That is why; Clarkwood can undertake the
ideas and methodologies that will help the enterprise to expand their growth in the
technological sector.
P6. Building an Business case for Innovation for the organisation that
includes numerous ways for assessing funding
Clarkwood Enterprise can start a new technology on the computers that will contain a
detector machine so that if the computer is lost, then it could be easily detected with the help
of detectors present in the computer. This is a very innovative technique of reaching the
people so that the customers get attracted towards the new product of Clarkwood Enterprise.
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Clarkwood Enterprise is a small sized enterprise that has fewer funds that are why; the
technology should be prepared in such a way that the entire business plan is incorporated
within the resources that the organisation has. Lee et al. (2010, p.295) mentioned that
collection of funds is the major requirement for developing new and innovative ideas in the
business firm so that proper execution of the plan is done by the organisations. Clarkwood
Enterprise has to be very sure about their funds and resources so that the detector device can
be easily manufactured and installed in the hardware of the computers.
For example, Apple invented iPod for bringing a change in the music player system and it
really worked in the market. Apple had performed various market researches so that the
business plan becomes successful for the business of Apple. Proper planning of the work
processes and the projects would deliver better results from the outcomes of the business
organization. Similarly, Clarkwood Enterprise has to understand these business processes so
that the business plan can be executed in a better way. In order to assess the funding, the
organisations have to undergo internal research about the budget, employees and the
resources so that the funds can be easily distributed among all the categories for developing
good plan (Lin et al. 2014, p.170). Clarkwood Enterprise has to conduct the research properly
so that the funds can be assessed properly for the organisation. For example, Virgin group has
expanded their business over the years with the service provided by them to the people in the
global market. Clarkwood enterprise can gain the huge attention of customers by launching
this new product for the local market. If the organisation starts to earn the huge market share,
then it can start expanding their business across the borders. That is why; Clarkwood
Enterprise needs to execute the plans properly so that fewer funds are invested and more gain
is assured from the plan.
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Task 4
LO 4 Evaluating the range of techniques in order to protect the ideologies
along with proper understanding about the advantages and disadvantages
of those
P7. Assessing the processes that help to develop the organisation to
preserve knowledge and also the intellectual property of the organisation
Love et al. (2011, p.1440) commented that Innovation process needs to be executed properly
so that no issue can obstruct the path of innovation and commercialisation. The most
important tool of preserving the knowledge and retaining the knowledge along with
intellectual property is reducing the risks of the peers by developing the strategy for
innovation. Clarkwood Enterprise has to understand the importance of the return from the
innovative products so that competition can be increased in the market. The second tool that
will help the organisations to benefit is to make the proper invention of new products that
might involve the use of technology so that the product is valued in the market. Clarkwood
Enterprise has existing technology that needs to renovate or entirely changed so that value is
given to the products thus ensuring higher productivity. In order to retain the knowledge, the
organisation can conduct the market research in what way other big organisations are
working hard to bring innovation in their products (Myoken, 2010, p.200). Clarkwood
Enterprise will be hugely benefited if the organisation undertakes this process for gaining
knowledge about the products. This firm has to remove their difficulty in their licensed
system so that the organisation can protect their intellectual property.
The main advantages of protecting and retaining the knowledge along with intellectual
property are the buyers can come across the products of the organisation that will have the
trademark of the organisation, thus increasing the brand image and there is no requirement of
official registration, therefore, less cost is required for the copywriting the products (Perks
and Moxey, 2011, p.1225). Clarkwood Enterprise will get the benefits from protecting these
and the organisation can attain profits in their business. There is a disadvantage that money is
spent in preparing a patent system for the organisations and thus, the entirely tasks becomes a
bit problematic for the small sized enterprises. Clarkwood Enterprise has to take the risk and
then start protecting their business so that the organisation can find the rise in their business
as that of Apple or Virgin group.
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Conclusion
The above study of innovation and commercialisation helped to understand how innovation
could be brought and in what way commercialisation can be reinforced in the business
organisations. The large-scale enterprises try to develop various strategies that help them to
bring out new products or services for the customers thus, gaining the customer loyalty from
the. Small-scale enterprise can take the help of the strategies used by the big enterprises so
that they too can bring new products or services for the users. Advantages and disadvantages
are also discussed so that the small scale can understand the entire innovation and
commercialisation properly so that they can undertake risk. Moreover, the importance of
frugal innovation for every business sectors is discussed so that commercialisation can be
done at less cost. It is recommended that the small sized enterprise undergo research within
their organisation for better understanding about the resources so that they can incorporate
new ideas as that of big enterprises for growth in business.
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Appendices:
Appendix 1: (Commercial Funnel)
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