Innovation: Theories and Impact

This assignment delves into the concept of innovation, examining various theoretical perspectives on its nature and drivers. It analyzes how different types of innovation influence business models and explores the role of government policies in promoting sustainable innovation. The focus is on understanding the complex interplay between innovation, economic growth, and societal impact.

Innovation

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Importance of innovation to an organization in comparison with invention.........................1
P2 Organizational vision, leadership, culture and teamwork can shape innovation and
commercialisation.......................................................................................................................3
TASK 2............................................................................................................................................5
P3 4Ps of innovation and use of the innovation funnel to examine and shape innovative ideas 5
P4 Explanation of developments in frugal innovation................................................................6
TASK 3............................................................................................................................................7
P5 Importance of the commercial funnel and the application of New Product Development....7
P6 Innovation business case for 4com company.........................................................................8
TASK 4..........................................................................................................................................10
P7 Tools used by an organization to develop retain and protect intellectual property and
knowledge.................................................................................................................................10
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12
.......................................................................................................................................................12

INTRODUCTION
Innovation is an essential process for every organization in which they define innovative
ideas for their production process. It is more effective concept which helps to organization to
achieve positive results in appropriate manner. In modern era, businesses are rapidly changes in
which owner of the business wants to find society in needs and provide them accordingly. In this
process improvement is more effective to implement in their production activity to reach their
target and achieve organizational goals and objectives (What is innovation?, 2011). In this
context, commercialisation is also a new way in which company easily increase their profitability
in most effective manner. Present report is based on 4Com company, which is UK based that
provide better services in telecommunication field. This company make business phone,
application and developing software and their main aim of doing innovation in their organization
to achieve success. They also focus on their services to satisfy their client needs in appropriate
manner. This report define importance of innovation which comparison with the invention. In
this 4Ps is also a part of the report which helps in improving their performance level. Along with
this, various tools for protecting intellectual proper is also mentioned in this project.
TASK 1
P1 Importance of innovation to an organization in comparison with invention
In modern era, every company understand that technologies are changes rapidly as well
as shiftily. If they want to achieve better goals and objectives then they implement new and
innovative ideas to improve their process. Innovation define new and creative ideas and concept
which helps in execute fresh concept in order to improve the old methods. In organizational
context, innovation define new technologies, methods, strategies, services and various system
which use to enhance their process to increase overall profitability of the company in appropriate
manner. Innovation play important role in build creative organization to get better results.
Importance of innovation to employees:
Innovation define their important role in the organization to build strong goodwill of
organization at market place. It is more used for the company to produce creative products in
which they easily attract large number of customers and also satisfy their needs. Better
innovation help in improving the employees performance because it define better improvement
in overall method and strategies (Anderson, Potočnik and Zhou, 2014). With the help of
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innovation employees hare their new ideas and opinion to discover their business process and
also resolve all the issue within the organization. In this context, CEO of Apple Steve Jobs is
believes that workforce as well as employees are the main assets of the company which helps in
defining innovative ideas to the company in which they easily understand the their organizational
vision and objectives in effective manner (Boons and Lüdeke-Freund, 2013). Imply the better
innovation into the business is possible by group of people in which all the members work
together and implement the new ideas to achieve their target. It also contribute in motivate the
employees towards the team work and get common goals.
Innovation is best mode in which it define new shape for the business in which
employees are the main pillar. Without them implementation of new ideas in not possible
because they need creative ideas to modify their existing process and improve their productive
level which helps in boost up employees confidence in effective manner.
Virgin Group is a popular company in UK which include various areas such as Travel
lifestyle, entertainment and finance. They also include better innovation with their employees in
which they lead their workers to done their task in effective manner and also achieve their target
in minimum time period. Workers has many knowledge about the company and its process in
which they implement the new and creative ideas to reach at target. On the other hand the Apple
is one of the biggest company which provide smartphone in overall world. In this the CEO of the
company provide better training and development programs to their employees in order to
achieve effective innovative process in their production process so that they easily capture large
market share. In 2001, Apple launch iPods and mp3 device which include endless song in the
small device. In this they maintain better employees relation to evaluate as well as explaining
their new strategies to develop their process in systematic manner.
Difference between innovation and invention:
Invention Innovation
It define as well as discovering new ideas,
process, methods and technologies to set
effective aspect in the activities.
It is an effective concept in which
improvement and development can be done in
the exist products services and technologies for
better innovation.
Example of invention such as iPods by Apple Example of innovation is to improvement in I-
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(Breznitz and Murphree, 2011). phone by launching better version and model.
This concept requires various research and
funds to complete the invention in effective
way.
It requires market research, knowledge and
various technique information for better
improvement.
Invention process define new and creative
which never been seen before.
It define better modification in the existing
system.
These define better comparison between invention and innovation which helps in
achieving organizational goals in most effective manner and also get better implementation of
new and existing process in an enterprise (Brown and Osborne, 2012). Both concept play
important role ion developing overall performance of the company to capture larger market share
form its rivals and reach their target.
P2 Organizational vision, leadership, culture and teamwork can shape innovation and
commercialisation
4Com company is a small business enterprise who operate their technology process and
also include innovative process to develop their products. They undertake various researches for
making better products and services. This process helps them in making business phone which is
more popular in business fields. For better improvement, string leadership is more important for
offering quality services to their customers in order to main attain their performance at the
market place. Best example of this process is Steve jobs and Richard Branson both are
impairment new process and also motivate their employees to think different which helps them
achieving better results. For better improvement they provide them freedom so tat they take best
decision on their workplace and produce quality products to their customers. They do not force
to their employees to specific task on their command. They always sportive nature in which
employees get motivated and perform their best. In this context, the Virgin group define various
companies and all the peoples are working under the CEO of the company in which they provide
all the effective resources to their employees for easily converting their ideas into reality. If
company use same strategies in their process then they become a successful organization in
future time and also generate more revenues.
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 Vision of 4Com: It is an written statement in which company hoe their future target in
which they wants to see itself in upcoming time period (Brynjolfsson and McAfee,
2012). With the help of this company easily achieve their target. 4Com wants to improve
their communication and information services in order to achieve all the desirable goals
and objectives in appropriate manner. Leadership: It is an importance activities in which a person of the company who set clear
goals and objectives which is communicate with employees and public in order to
evaluate their activities in effective manner (Cross, 2011). Leaders play important role in
influencing the employees productivity by leading them. In 4Com have experienced and
talented leaders who have ability to motivate their employees towards their work and also
inspire them effectively. With the help of them company easily offer better quality
services to heir customers and achieve their goals and objectives. 4Com get National
Business awards for better leadership in which they easily provide quality services. This
company also focus on their employees productivity so that they provide training and
development programs in which they easily achieve their goals and objectives in most
effective manner.
 Culture: It is important elements for the organization which helps in influencing business
management and decision making process in effective manner. It include organizational
goals, system, values, language and perception tat affect the overall performance of the
company.
In this 4Com follows their culture in which they provide better services according to
customers requirements. In this team work is also effective aspect in which is related to
collective activity of the employees in which all the workers work together for a particular goals
and objectives.
Along with this, innovation is one of the best concept which define new ideas, system
and process in their existing process to get better results. In innovation, commercialisation is also
influence the company mission and team work. For example, Apple launch its products in over
the world. In this they set their various strategies which helps them in making effective
marketing plan to introduce as well as launching new products and services in front of
customers. Apple use innovation and commercialisation techniques in their process to achieve
their vision in minimum time period (De la Mothe and Paquet, 2012). They innovate their
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process according to their vision.; in this the commercialisation techniques are changes
according to the organizational mission and its reputation in which 4com provide effective
technologies to resolve all the organizational troubles and maintain their better performance in
appropriate manner.
TASK 2
P3 4Ps of innovation and use of the innovation funnel to examine and shape innovative ideas
Innovation is an effective and important concept for organization to develop their
operational process in appropriate manner. In this changes are important for the business as per
time requirements which helps in retaining in the market for long time period (Gawer, 2011). As
per this management of the company use effective process and link with the work as per the
customers requirement so that they easily get their faith and achieve its goals and objectives. In
this concept 4Com company use 4Ps of innovation in their activities which helps in maintain
their sustainability in the market and also capture larger market share from its rivals. In
innovation process management formulate various strategies to generating more revenue by
providing better quality services to their customers and satisfying their neds in appropriate time
period. All the 4Ps of innovation are as follows: Product perspective: It is more important for the company in which they needs to
manufacture new and innovative products which helps in attaining large number of
customers without any promotion. In this new products should be defining in regular
basis which increase customers base towards the products. They make attractive business
phone in which they set innovative design, size and shape which helps in increasing
demand of the products. Process perspective: It define various process which include in the business in their
manufacturing and delivery activity of the products. It provide better benefits to the
company and its customers. Automation is best example of innovation which directly
contribute in improving overall performance and effectiveness of the company in
appropriate manner. Position perspective: It include better position of the existing products in the market
place. In this 4Com do not required to identify the new products because they launch
their good in various segments (Gennaioli, Shleifer and Vishny, 2012). For achieve better
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goals and objectives rebranding is best option for the company to maintain their
profitability at the market place.
 Paradigm perspective: It is totally different innovation which connect to mental models
because some time the company ants to define as well as produce something different
which never been seen in before. In which they produce effective products which is best
then the existing products in order to maximize the profitability level of the company.
Along with this, innovation funnel is also important for organization to develop new
products ans service. It also define various steps which helps in completing all the process in
appropriate way. In this create ideas covert into reality as per the marketing demand. It helps in
meet the marketing needs in an economical way (Gunday and et. al., 2011). With the help of the
organization easily capture larger market share and also get positive end results.
P4 Explanation of developments in frugal innovation
Frugal innovation is an effective concept which helps in eliminating all the complexities
within the organization. With the help of this company easily sell their products and services at
developing market as well as countries. It is one of the important concept in which firm easily
take effective and necessary steps so that they can make quality products to their customers.
With the help of frugal innovation company easily reduce product uncertainty and also
fulfil their used demand as per their requirements. It is an effective strategy in which
management of the company easily add some values for making quality products which helps in
generating more revenues in effective manner. Mainly it is an best concept which used by the
company to fill gap between number of products in effective manner. With the help of this
innovation organization easily reach at their target and maintain their positive performance at the
market place. By selecting frugal innovation company easily maximize their productivity as well
as profitability in effective way and also make better goodwill at the market. It helps in
increasing the customers base towards the company. On the other hand Virgin group also use
new and effective technologies in their business operation to expand their activities as per the
time and innovation concept. In this the profit is also increased as compare to its competitors.
Both Apple and Virgin group are best example of frugal innovation because they implement
effective changes in their process to attain higher success in most effective manner.
According to this Apple and Virgin group are important example of this process in which
both organization accomplish their goals and achieve better market growth in appropriate manner
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(Jiménez-Jiménez and Sanz-Valle, 2011). In this context, frugal innovation helps in developing
new and innovative products in order to get better results. There are some effective principle of
frugal innovation are as follows: Engage and iterate: It is one of the important principle of frugal innovation which define
that organization does not need to work on innovation (Kleinknecht, 2016). They easily
implement their same ideas to evaluate the creative process in most effective way to
attain positive results. Flex your assets: In this the company divert their amount in their innovation process
which helps in evaluating the better execution and also develop their performance in
appropriate manner. Sustainable solution: In this 4Com company focus on the problems and its cause in order
to finding the better solution to resolve it effectively. Shape behaviour of customers: In this analysis of buying behaviour of the customers and
attitude the company easily make effective changes in their process which helps in
retaining customers for long time period. Creation of value with customers: It define better and proper communication with their
target customers helps in improving better operational process of the company in
effective manner.
 Innovative stakeholders: It include employees, customers, suppliers and many more. If
all are creative then they easily define innovation for the company.
TASK 3
P5 Importance of the commercial funnel and the application of New Product Development
Innovation is an effective concept in which company easily change their products which
exist in the market and provide less profitability. So that it is more important for management of
the company to use effective tools in which they can easily invite large number of customers and
reach their target. For this reason management use better commercialisation method to develop
their production in effective manager and provide better profits to company. In this commercial
funnel is an effective process in which company focus on in their products quality which were
offer their customers for satisfying their needs and enhancing their profitability level. In this
better quality products in major part of the company to invite as well as attract large number of
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services users so that they easily gain their trust towards their company and products (Lundvall
and et. al., 2011). So that it is important duty of management of the company to maintain their
work performance in lower department and apply better strategies at wide range market. This
process consider in commercial funnel.
Company use various strategies as well as methods for their new product development in
the market. All these methods are define by the company to achieve their goals and objectives in
systematic manner. This process helps in generating larger market share an profitability. New
product development is important aspect for the form in which they frame effective strategies for
taking strong at global level. In this context there are various stages which are implement by the
company are as follows: Generating: It is one of the important step in which the company evaluate their strength
and weakness so that they easily define new and innovative ideas to take string place in
the market for long time duration. Screening the idea: According to this process, management of the company screening
their ideas in which they monitor all the deviation in effective manner. Testing the concept: In this process, company provide sample of the products to the
customers in order to identify the products effectiveness in market and also determine
that is it appropriate or not for the customers. Business analytical: Once a product test and introduce in the market then the
management monitor as well as evaluate the progress of the results which is achieve by
the products and services. Commercials: In this step the firm provide knowledge to customers about their product
which introduce in the market place.
 Launch of new product: Once all the team aware about all the project then the
management lunch new product in the market in which customers easily satisfy their
needs.
All these steps are used by Apple in their process to launching their iPod in the market
place. Firstly they define better perception regarding their products and then they offer their
services in front of customers to get better satisfaction in appropriate manner (Manso, 2011).
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P6 Innovation business case for 4com company
Innovation is an effective concept in which company easily make changes in their
existing products and services and also and some effective features which helps in inviting large
number of customers. It is essential process because the time is rapidly changes so that better
development innovation helps in maintain the better performance at the market by dining better
implementation in their activities (Metcalfe and Miles, 2012). Along with this, it is also
important for an organization to set their target and aim so that they easily provide clear vision
to their employees. With the help of this they easily work and get better results in most effective
manner. For introduce new product in the market fund is prime requirement for company
because it helps in manufacturing and promoting the products in the market. For this
management use effective and best steps in which they use appropriate fund. There is case
preparation of successful business are as follows: Identification of issue or goal: It is one of the important for the management to
formulate as well as evaluate various number of effective strategies, goals and targets in
order to develop new products in most effective manner and get better results. Actual options for resolving problems: It is main duty of the management to measure all
the problems and set best options for resolving the problems in systematic manner. Business mission review: Assessment is more important for the management which helps
in achieving organizational mission as per new innovation process.
 Use effective methods for such thing: It is effective process in which management define
proper tools and methods which helps them to overcome form all the issues in best
manner.
It is more important for the management to find out the better ways to overcome from the
problems in effective way and also set some strategies. For this, fund is more important for
implementing effective process so that organization can arrange funds for various source which
are as follows: Bank: It is most important and common source for rising the fund. If company have good
financials statement from previous year that they can easily take loan for rising the capital
for resolving their issues in effective manner. With the help of this company can rise fund
in minimum time period.
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 Shareholders: It is also important for the company to arrange the funds for issuing share
in the market. This concept is helpful when company have good brand image and also
have various customers base (Rosenbusch, Brinckmann and Bausch, 2011).
Hence, Apple and Virgin Group have better brand image and customers vase so that they
easily arrange funds for their operation process. In this it is more easy for management to rise
their funds as per the requirements of the company.
TASK 4
P7 Tools used by an organization to develop retain and protect intellectual property and
knowledge
It is more important for any organization to secure their property ad rights to develop
their process in effective manner. Intellectual property is more important for the company to
follow their rights in which they set their particular process which is totally differ from other
organization (West and Bogers, 2014). It is related to copyright, trademark and its industrial
design which helps in defining their actual identity. Hence, the competitors is effectively aware
the company process and do not provide harm to any firm and its property rights. In this there are
some effective and major property of the firm which define particular process of the company
are as follows: Copyright: It is also effective and important concept in which the company take
permission form the court for manufacture the particular products and activities. It is
more helpful for the firm as well as its management to save their better inventions. For
example Apple have its own copyrights in which they manufacture all the iPhones.
 Trademark: It define a effective material in helps in identifying the organizational
nature. In this the management of the company also assure about all the symbols and sign
which helps in identifying the company process and also evaluate image of the firm in
front of market. Sign and symbols use by the company to maintain their positive image.
For example Apple have trademark as per its sign which define their particular image at
the market place and also identify their brand image.
All these are more important for the company to achieve their specific target and also able in
competing their competitors in effective way (Gawer, 2011). With the helps of this organization
make their own brand image at market place and identify their positive image in front of their
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customers. As per their trademark and copyright company easily enhance their profitability level
and capture large market share from its rivals.
CONCLUSION
From the above mentioned report, it can be concluded that innovation is most important
concept within the organization to implement new and creative ideas in their existing process. It
helps in achieving the better target in the market place and also take strong place. Better
innovation helps in improving the employees performance at the workplace because in which
workers find creative ideas to improve their operational process. Hence, 4Com company also
implement new and effective strategies in their process to operate their effective process in order
to achieve better results. It also define development of growth in which the company offer
quality service to their customers. In this innovation play important role in achieving their aims
and objectives. This company also follow Apple and Virgin Group to implement effective plan
and procedures to develop their quality services in order to better target. Along with this, change
is also constant which adopt by 4com plc to achieve its organizational target in most effective
manner.
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REFERENCES
Books and journals
Anderson, N., Potočnik, K. and Zhou, J., 2014. Innovation and creativity in organizations: A
state-of-the-science review, prospective commentary, and guiding framework. Journal
of Management. 40(5). pp.1297-1333.
Boons, F. and Lüdeke-Freund, F., 2013. Business models for sustainable innovation: state-of-the-
art and steps towards a research agenda. Journal of Cleaner Production. 45. pp.9-19.
Breznitz, D. and Murphree, M., 2011. Run of the red queen: Government, innovation,
globalization, and economic growth in China. Yale University Press.
Brown, K. and Osborne, S. P., 2012. Managing change and innovation in public service
organizations. Routledge.
Brynjolfsson, E. and McAfee, A., 2012. Race against the machine: How the digital revolution is
accelerating innovation, driving productivity, and irreversibly transforming
employment and the economy. Brynjolfsson and McAfee.
Cross, J., 2011. Informal learning: Rediscovering the natural pathways that inspire innovation
and performance. John Wiley & Sons.
De la Mothe, J. and Paquet, G. eds., 2012. Local and regional systems of innovation (Vol. 14).
Springer Science & Business Media.
Gawer, A. ed., 2011. Platforms, markets and innovation. Edward Elgar Publishing.
Gennaioli, N., Shleifer, A. and Vishny, R., 2012. Neglected risks, financial innovation, and
financial fragility. Journal of Financial Economics. 104(3). pp.452-468.
Gunday, G. and et. al., 2011. Effects of innovation types on firm performance. International
Journal of production economics. 133(2). pp.662-676.
Jiménez-Jiménez, D. and Sanz-Valle, R., 2011. Innovation, organizational learning, and
performance. Journal of business research. 64(4). pp.408-417.
Kleinknecht, A., 2016. Innovation patterns in crisis and prosperity: Schumpeter’s long cycle
reconsidered. Springer.
Lundvall, B. Å. And et. al., 2011. Handbook of innovation systems and developing countries:
building domestic capabilities in a global setting. Edward Elgar Publishing.
Manso, G., 2011. Motivating innovation. The Journal of Finance. 66(5). pp.1823-1860.
Metcalfe, J. S. and Miles, I. eds., 2012. Innovation systems in the service economy: measurement
and case study analysis (Vol. 18). Springer Science & Business Media.
Rosenbusch, N., Brinckmann, J. and Bausch, A., 2011. Is innovation always beneficial? A meta-
analysis of the relationship between innovation and performance in SMEs. Journal of
business Venturing. 26(4). pp.441-457.
West, J. and Bogers, M., 2014. Leveraging external sources of innovation: a review of research
on open innovation. Journal of Product Innovation Management. 31(4). pp.814-831.
Online
What is innovation? 2011. [Online]. Available through:
<http://www.innoviscop.com/en/definitions/process-innovation>.
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