Innovation and Commercialization

This document discusses the difference between innovation and invention, the importance of innovation to organizations, and the contribution of organizational vision, leadership, culture, and teamwork in innovation and commercialization. It also explores the 4 P's of innovation and the use of innovation funnel to develop innovative ideas. Additionally, it covers the development in frugal innovation and its uses, the importance of commercial funnel and the application of NPD for commercialization and innovation, and different tools that organizations can use to develop, retain, and protect knowledge and intellectual property rights.

Innovation and
Commercialization

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P1 Difference between innovation and invention and importance of innovation to organisation
.....................................................................................................................................................3
P2 Contribution of organisational vision, leadership, culture and teamwork in innovation and
commercialization........................................................................................................................5
TASK 2............................................................................................................................................6
P3 4P's of innovation and use of innovation funnel to develop innovative ideas.......................6
P4 Development in frugal innovation and its uses......................................................................7
TASK 3............................................................................................................................................8
P5 Importance of commercial funnel and application of NPD for commercialization and
innovation....................................................................................................................................8
P6) Innovation business case for an enterprise..........................................................................10
TASK 4..........................................................................................................................................10
P7 Different tools that organisations can use to develop, retain and protect knowledge and
intellectual property rights.........................................................................................................10
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Innovation is a vast concept which play crucial role in the growth and development of
firm. Innovation is a process of translating an idea, thought, plan into proper action as to
attaining high growth and success. Innovation is considered as an key element which is widely
used by each small as well as large business enterprises as to making an effective and good
image at market place. Innovation and commercialization’s are the two contrary aspect which
helps in making an organisational product and service more attractive in nature (Ambec and et.
al., 2013). Essence drink is a chosen company for this particular report; the company runs its
business operations and activities within the geographical area of United Kingdom. The major
purpose of Essence drink is to developing their performance and productivity through
implementing innovative ideas and thoughts at work place. This report contents the study about
the importance of innovation and commercialization, difference between invention and
innovation, the huge contribution of organisational vision, mission, leadership, and team work, 4
P’s of innovation which is widely applied by organizational management as to making the
product of firm more familiar with the people, importance of innovation funnel and application
of new product development and different tools which are applied by an organization as to
managing their intellectual property.
TASK 1
P1 Difference between innovation and invention and importance of innovation to organisation
Innovations is an important element for each business firm as it helps in implementing new ideas
and thoughts into proper action. In the world full of competition the major purpose of each
business enterprises is to making their self stand out among their rivals in respect to providing
high competition to their competitors. Organizations are concern on implementing innovation
within work place in respect to gaining attention of people towards the firm or its offered goods
and services (Battistella and Nonino, 2012). In this modern business environment the major
purpose of each business organisation is to satisfying the desires of people through offering
variety of products and services to them as innovation plays effective role in developing more
effective and satisfactory products and services for their significant buyers. Innovation and

invention are different element and have their on importance and effectiveness in the functions
and operations of firm. Both the elements refers to the effective aspect that is focused on
developing the ability and efficiency of organisational performance and productivity. As small
business enterprises Essence Drink has its small ventures through company attain small amount
of profit and in order to enhancing its operations and sales the higher authority and management
department of firm are concern on implementing innovation within work place so that sales can
be enhanced at market area. There are various importance of Innovation within an organisation
in which some are described as under:
 Innovation is mainly based on developing the feature and quality of available products in
respect to making them more attractive in nature so that buyers can easily be attracted
towards the product and service (Yoo and et. al., 2012).
 Innovation also helps the company Essence drink in developing more energetic and
innovative drinks as to satisfying the needs and wants of people at market place. The
another essential purpose of firm for implementing innovation at work place is that it
create value in development of profitability through increasing the sales of firm.
 Innovation is also effective in attaining competitive edge through producing more
innovative products and services as per the changing need and demand of customers at
market place.
Innovation and invention is different from each other and has comparatively different benefits
for firm. The difference between innovation and invention is described as below:
Innovation Invention
Innovation and Development encourages the
business to enhance the attractiveness of their items
and increment the benefit of company. Innovation
incorporates about the way toward enhancing the
current items and administrations of organization.
For this reason administration of firm utilizes
different advances, forms which expands the
current highlights of their item which contributes in
fulfillment of upper hand in showcase.
Innovation is the procedure which incorporates
about making of item, process or innovation for
first time. It adds to organization to finishes their
assignments all the more viably and effectively by
utilization of these new advances and procedures
(Boudreau, Lacetera and Lakhani, 2011).

Innovation is also considered as the process of
providing effective and appropriate solutions to
the problems and issues which are faced by
organisation or its employees. This helps the
management of company to compete with their
rivals through producing more effective
products and services.
Invention is effective in implementing the ideas
into proper action through applying any theory and
practice.
P2 Contribution of organisational vision, leadership, culture and teamwork in innovation and
commercialization
In a business organisation management and its higher authority plays effective in setting
up some goals, objective and vision as it is essential for firm to implement all business
operations in appropriate manner. Organisational objectives are considered to be the
predetermined statement which plays effective role in providing a significant direction to the
firm or its operations as to completing work in effective way. The management department of
firm is concern on creating some specified vision and mission statement in respect to attaining
organizational targets and objectives in appropriate manner (Breznitz and Murphree, 2011). The
elements of culture, vision, leadership and teamwork plays vast role in development of business
activities. As a small business organisation Essence Drink is concern on implementing these
elements in appropriate manner in respect to attaining their desired goals and objectives. These
elements are briefly explained as below:
Vision: vision is consist to be an effective element which can be described in the form of
statement in which the major motive of firm is mentioned. Vision statement is future forecasting
in nature as it is based on the objectives and plans which are focused to be achieved by firm in
future. The vision of Essence drink is to expand their business operations in large area through
offering variety of products and services to their significant buyers. For this reason
administration of organization makes the arrangements to utilize the imaginative plans to add
new features and advancement in their items and utilization of new innovations to create them
which spares the cost of tasks.

Culture: This is also an another essential element of firm as culture helps in providing an
appropriate environment to organisational employees as to establishing collaboration and
coordination so that work can be done with more passion and effectiveness. In this area
management of firm plays vast role in reduce the culture differences in respect to attaining
targeted goals and objectives. The Essence Drink has its business operations within UK and its
based on the culture and norms of UK and it is essential for firm to remove culture differences as
to providing equality to the employees who are belongs to different geographical area.
Teamwork: This is most effective aspect of attaining organisational objectives in appropriate
manner. In this competitive era each business organisation is concern on creating teams as to
completion of organisational task with the collaboration and coordination of employees at work
place. Team work helps in completing the task with appropriate efforts of employees. Essence
Drink is concern on implementing teams in which they appoint people with similar set of
knowledge and skills in order to performing a task with ore collaboration and knowledge.
Leadership: Leadership is consisting to be a process of commanding other for attempting
assigned duty and tasks in effective manner. Essence drink is a small company which is focused
on delivers new creative drink in showcase which is conceivable if the group pioneer has
authority quality to propel the workers to utilize their new plans to involve some extra
component in drink which adds to expand the deals and achieve upper hand.
TASK 2
P3 4P's of innovation and use of innovation funnel to develop innovative ideas
Innovation is determined as the significant element which is needs to be applied by each
business fir as to attaining competitive edge at market place. Innovation is also effective in
maintaining the advancement and uniqueness in the products and services which are offered by
firm to their buyers (De la Mothe and Paquet, 2012). The 4 P’s of innovation is based on
different elements which create value in introducing new and innovative products at market
place. 4 P’s of innovation helps in motivating employees to work with more coordination and
collaboration. The elements of 4 P’s of innovation are described as below:

 Process innovation: This include about the improvement of technologies and the
procedure which is applied by the management of company to produce more effective
product of company which are offered to their buyers. Essence drink wants to increase
the sales of their products and increase the profitability through developing more
effective and attractive products at market place. This will be possible if company
reduces the cost of operations.
 Product Innovation: This is the key element of innovation process as innovation has to
be done in the existing products and services of firm in respect to enhancing the demand
of products at market place. As a small beverage company the administration department
of firm is concern on introducing variety of drinks as to gaining attention of people which
create benefit in reaching at targeted goals. Position Innovation: It is also important for an organisation to positioned their products
and services at significant market in which the demand of product is high as it create
benefits in enhancing the profitability of firm. The management of Essence Drink is
concern on setting up the stores and outlets near to the institutional area and colleges as in
this area the demand of product is high. Paradigm Innovation: This element is based on the shape of company as it encourage
the employees t work place as to putting their vast efforts In the growth and development
of firm. The company Essence Drink is concern on implementing changes in the structure
of firm as to providing opportunities to the employees to apply their own set of
knowledge and skills at work place (Gawer, 2011).
Innovation Funnel: This is also an effective process which is based on the development of
new technologies, ideas and thought to perform organisational activity with more easy and
smooth manner. This process has include three major steps which are described as below:
Wide of Mouth: This incorporates about gathering of data and thoughts from the market.
Essence drink organization gathers the information from the market about the perspective of
client for their items.
Selection of idea: In this idea has to be selected in order to developing the performance of
firm at market place.
Implementation of Idea: In this section the selected idea has to be taken into proper action in
respect to providing a significant direction to firm as to attaining higher profitability.

P4 Development in frugal innovation and its uses
The process of frugal innovation is mainly connected with the activities of firm as frugal
innovation and frugal engineering is consisting to be a process of reducing conflicts and
complexities within the business operations (Díaz-García, González-Moreno and Sáez-Martínez,
2015). Frugal innovation is effective in attaining high growth for firm without facing any kind of
issue and complexity. The needs and wants of people are changed as per the change arises in the
market trend so frugal innovation is effective in producing goods and services which are having
significant features to satisfying the desires of customers. As a small business organisation
Essence Drink is applying this method in order to expanding their business operations in large
area trough offering more attractive and effective products to their buyers. There are different
usage of frugal innovation within an organisation in which some are described as below:
Implementing Advancement in products: Innovation is directly connected with implementing
some advance features in the existing goods and services of firm as to attaining attraction of
people which create benefits for higher profitability and productivity.
Adoption of new technologies: In this competitive era the major purpose of each small as well as
large business organisation is to adopting new and advance technologies within work place
which has a huge influence of the productivity of firm. New and advance tools are effective in
producing more innovative and effective products at market place.
Reduction of cost: This is the fundamental objective of firm as it is the major focused area of
firm as to producing more effective products without emerging any kind of extra cost as this
helps in removing the expenses and cost upon the production.
TASK 3
P5 Importance of commercial funnel and application of NPD for commercialization and
innovation
Goods and services are the representative of firm as the appropriateness of products is
helpful in increasing the sales and revenue of firm at market place. Commercial funnel is
considered as a vast concept which performs vast role in influencing the decision making of
customers at market place (Gennaioli, Shleifer and Vishny, 2012). This is a significant process

which provides advantage to the firm as to retaining employees for long run of business
activities. Essence Drink company is concern on producing new drinks as per the demand and
needs of buyers which create value in satisfying their needs and wants in effective manner. There
are various importance of commercial funnel in which some are described as below:
Improve the quality of product: This provides a significant direction to the firm as to producing
more qualitative products as to satisfying the desires of people at market place.
Research: This incorporates about the examination of market and client inclinations. It gives the
helpful data to the administration of organization. Essence drink requires directing the
exploration about the market to think about the contenders, their methodologies and the
assortment of beverages which are givens by them, so make their arrangements as indicated by
that.
In this modern and competitive era the major purpose of each business organization is to
fulfilling the needs and wants of people at market place through offering them new products and
services at market place. The process of new product development is significantly applied by
each business firm as to attaining a higher competitive edge at market place. The process has
involved various elements which are described as below:
Idea Generation: This is the primary stage of new product development as in this an effective
idea about product has to be generated by the management of fir as per the new needs and
demand of people. The company Essence drink is concern about the choice of people while
introducing new product at market era.
Idea Screening: In this generated idea has to be analyzed as in this suitability of has to be
measured.
Define concept: This stage involves about testing of the methods and techniques of new idea
before production of goods. This helps in identification of the viability of new idea.
Marketing Strategy: In this an effective strategy has to be generated as to providing benefits to
the generated idea of firm. The strategy needs to be effective in nature as it covers about the
distribution channels and all marketing strategies use by company for ultimate sale of the product
(Lee, Olso and Trimi, 2012).

Business analysis: Determining the effectiveness of company at market place as in this strength
and weakens of firm are analyzed.
Product development: In this stage the final stage feature and design of the product has to be
selected as per the needs and wants of people at market places.
P6) Innovation business case for an enterprise
Essence Drink is a small beverage company which is established in UK and very much
concern on offering variety of products and services to their customers. The major focused area
of firm is to attaining high growth and success at market place through gaining attention of
various buyers and customers who are very much willing to taking benefits of offered products
and services of firm. Management of firm plays effective role in analyzing the current market
situation and produce more effective goods and services which are helpful in satisfying the basic
desires of people at market place (Metcalfe and Miles, 2012). New inventive item encourages
the organization to build their picture between the clients and hold them for longer timeframe.
Such new advancement business instance of Quintessence drink isn't just incorporate about the
improvement of new item however it additionally incorporates about the utilization of new
advances and procedures which lessens the task cost and enhances the execution of
representatives. As a small business enterprises Essence Drink provides variety of drinks within
the UK market and also concern on expanding their business activities at large scale as it is
effective in attaining huge amount of profitability and growth. It is also essential for firm to
maintain proper flow of resources as well as funds in order to invest in introducing new and
variety of products at market place as to sustaining a competitive position at market era.
TASK 4
P7 Different tools that organisations can use to develop, retain and protect knowledge and
intellectual property rights
In an organisation management is responsible for all activities and operations that are
held at work place. It is the major responsibility of organisational authority to sustain skilled
employees at work place in respect to implementing more innovative features and ideas at work
place (Owen, Macnaghten and Stilgoe, 2012). Management needs to providing assurance about
the safety and security of innovative ideas of an organisation as to protect them from the outsider

users. There are various measures that are adopted by Essence Drink as to maintain their
intellectual property more safe and secure in nature some measures are described as under:
Patent: This spares the development of organization from not being utilized by some other
individual or organizations. To accomplish the patent, organization needs to apply to government
with respect to qualification of patent for their advancement.
Copyright: these apparatuses causes in offering help to securing the licensed innovation for a
predefined timeframe. In this it is basic for firm to refresh their copyright in regard to
accomplishing long haul development and benefit (Schaltegger and Wagner, 2011). It can be
denoted by the sign on'©'.
Trademark: It is a basic identity of any business firm, it can be as pictures, logo, get-together of
words that are used through manufactures as to picking up consideration of individuals. It helps
in perceiving a specific brand. The picture of trade stamp is "TM".
CONCLUSION
As per the above mentioned report it has been concluded that advancement and
development expect differing part in every business firm. These two rely upon each other
anyway they are differing terms. Development are regularly investigated as the execution of
proper arrangement that aides in achieving unstated necessities, existing prerequisite of market,
needs and needs of clients.

REFERENCES
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Online
INNOVATION AND 4Ps OF INNOVATION. 2016. [Online]. Available through
<http://www.bizexcell.com/innovation-and-4ps-of-innovation/>

Innovation Funnel. 2016. [Online]. Available through
<https://www.cleverism.com/lexicon/innovation-funnel-definition/>
Commercial Funnel. 2016. [Online]. Available through
<http://www.cloverleafinnovation.com/blog/winning-the-new-popularity-contest/>
(Ambec and et. al., 2013) (Battistella and Nonino, 2012) (Boudreau, Lacetera and Lakhani,
2011) (Breznitz and Murphree, 2011) (De la Mothe and Paquet, 2012) (Díaz-García, González-
Moreno and Sáez-Martínez, 2015) (Gawer, 2011) (Gennaioli, Shleifer and Vishny, 2012) (Lee,
Olso and Trimi, 2012) (Metcalfe and Miles, 2012) (Owen, Macnaghten and Stilgoe, 2012)
(Schaltegger and Wagner, 2011) (Yoo and et. al., 2012)