Innovation and Commercialization

This document discusses the importance of innovation and commercialization in organizations, comparing it to invention. It explores how organization vision, culture, leadership, and teamwork shape commercialization and innovation. The document also covers the 4 P's of innovation and the use of innovation funnel for examining and shaping innovative ideas. Additionally, it discusses the developments in frugal innovation and provides examples of their uses in organizational context.

INNOVATION AND
COMMERCIALIZATION

Table of Contents
INTRODUCTION...........................................................................................................................2
LO1..................................................................................................................................................3
P1 Innovation and it's importance to organization compared to invention..................................3
P2 Organization vision, culture, leadership and teamwork shaping commercialisation and
innovation....................................................................................................................................4
LO2..................................................................................................................................................6
P3 4 P's of innovation along with use of innovation funnel for examining and shaping
innovative ideas...........................................................................................................................6
P4 Developments in frugal innovation and examples of their uses in organizational context. . .7
LO3..................................................................................................................................................8
P5 Importance of commercial funnel along with application of development of new product
processing for innovation of commercial purposes. ...................................................................8
P6 Innovation business case for organization along with practices for raising fund from the
market. ........................................................................................................................................9
LO4..................................................................................................................................................9
P7 Different tools for organization for developing, retaining along with protect knowledge
along with intellectual property. .................................................................................................9
CONCLUSION .............................................................................................................................11
REFERENCES..............................................................................................................................11
1

INTRODUCTION
Innovation and commercialization is the process where innovation state the process of
translation of an invention or an idea for development of further finished goods and services for
the purpose of creating values for the purpose of selling and earning from their customers. Tesco
Plc. is British multinational general merchandise and groceries retailer dealing in supermarkets,
hypermarkets, superstore and convince shops. The study will explain innovation along with it's
importance to the organization comparing with invention. The study will further show
leadership, teamwork, culture and vision of organization shaping commercializing and
innovation thereafter. Further it will discuss 4 P's of innovation along with used to examine and
module innovation as well. Further development in innovation along with examples for
organizational context. The study will also show need of commercial funnel along with
applicability of development of new product processing for commercialising innovation. The
report will also provide innovative business case to access enormous funding. Finally, several
tool's foe development for organization for retention and protection of knowledge along with
protecting intellectual property.
2

LO1
P1 Innovation and it's importance to organization compared to invention.
Innovation is process of making product better and new. The type can also be further
processed for performing actions and services in new ways. At times in business innovation
includes making concepts of involvements. The process goes far beyond research labs for users,
suppliers and further the consumers (Bashmakov and et.al., 2015).
Innovation Invention
Innovation is the process of creating something
new by modifying existing products that can
satisfy market needs.
Invention means creating a new product that
was never used before by anyone.
Innovation is not a new discovery hence it is
not a scientific process (Block and et.al.,
2016).
Invention approach is scientific as it focuses on
developing new original things hence inventor
also requires specific skills
Importance of innovation to organizations.
Economic growth
The process of innovation in Tesco will lead to increase of market value of services and
goods of developed by economy at a particular time. Te type will lead for Tesco to invest and
develop their existing market and ensure better results out of it. The type will lead to effective
production of services and goods and will further help the development of practices leading to
effective and efficient business needs and requirements. The type will hep in the retention of
customers where they focus on attainment of their ultimate organizational objective and generate
extra and surplus income for further growth and expansion purposes (Brown, Gregson and
Mason, 2016).
Increase well being
The type for Tesco will lead to increase of living standards of people for the achievement
of higher satisfaction level where the focus on rise in GDP ensuring wealth inequality and
greater income. Practices of innovation will lead to development and new technologies and
innovation and further will lead to development of their products and services ensuring well
being of individuals (Carayannis, Cherepovitsyn and Ilinova, 2016). The practice will lead to
effective practices that led to the development and efficiencies in the living conditions of human
3

beings for their development and betterment. he process goes far beyond research labs for users,
suppliers and further the consumers.
Environmental sustainability
With increase in consumerism for the modern society from the resources provided and
developed by the environment it can at times lead to deterioration of resources affecting the
environment (Chun and et.al., 2015). Effective practices of innovation by Tesco will lead to
ensure betterment and effective conditions in the environment where they focus on ensuring use
of resources that are not at extinct level and affects the conditions of environment.
Whereas invention for the organization will lead to -
Higher sales and profits
The type of technique by Tesco if implemented will lead to generation of effective and
higher sales as people are concerned and buy new and developed products these days ensuring
effective sales for Tesco and help in generation of profits beneficing the organization Tesco that
ultimately aim on boosting their business activities and operations for further development and
betterment and making the practice effective and efficient for betterment of their business
conditions and effectiveness (Clayton, Feldman and Lowe, 2018).
Advantage over competitors
Tesco with new and developed invention will lead to development of sales and effective
practices for generation of profits and increase advantages of business and their conditions where
they ensure they attain advantage over their competitors such as Aldi, Morrisons and
Sainsburry's where they develop chances of growth and further aim for attainment of practices
where ensuring right practices is necessary. The process will help the organization ensuring they
aim foe the attainment of ensuring the task for the purpose of making the brand effective and
efficient where they ensure they hold competitive advantage and effective practices for such
business conditions (Coventry 2018).
Raising productivity
Innovation plays significant role in order to raise productivity of firm. Tesco can get new
ideas to improve its production by using effective innovative ideas.
Market the organisation
This innovation helps in market products and services, by this way Tesco can serve wide
range of consumers that would be better for raising profitability of Tesco to great extent.
4

Gaining competitive advantage
Innovation is beneficial for company in order to crate competition and gain competitive
advantage as it helps in raising brand image and firm becomes the popular brand among
consumers that help the organisation in raising competitive advantage (Datta, Mukherjee and
Jessup, 2015).
P2 Organization vision, culture, leadership and teamwork shaping commercialisation and
innovation.
The practice of organization vision, culture, leadership along with practices of teamwork
leading to commercialisation and innovation.
Organizational vision
Vision of organization such as Tesco has developed practices where they ensure they
must attain the practices where Tesco is looking and aiming for the practices for the development
of stores where they aim on ensuring Tesco is into the best business practices among their
competitors such as Sainsbarry, Asda where they are aiming to provide services to customers
ensuring their rights and developments are being look upon. The practices and working habits,
conditions and other activities are developed in Tesco based on their ultimate objective they are
seeking to achieve and attain (Eckhardt, Ciuchta and Carpenter, 20180.
Organizational culture
Culture of the organization such as flow of power directions for the purpose of attainment
of practices where they ensure the employees are well satisfied and attain best practices ensuring
their rights and practices are not violated in any means. The practices of values, beliefs and
assumptions in Tesco has lead to the practices where they ensure the attainment of financial
gains for the organizations has led to practices where they try to attain practices foe effective
working conditions for their business operations where they focus on attainment of financial
gains and develop effective and efficient business practices (Henttonen and Lehtimäki, 2017).
These practices include leadership styles and practices that develop positions where employees
are working in effective conditions and aim for attainment of organizational goal for Tesco. The
practices and working habits, conditions and other activities are developed in Tesco based on
their ultimate objective they are seeking to achieve and attain.
Organizational leadership
5

The practices of leadership for the Tesco where employees have the right to get involved
in the activities of business and participate for the activities for assuring attainment of ultimate
goals (Lemley and Feldman, 2016). Tesco with practices of effective and efficient leadership
will lead to the effects where they focus on attainment of activities ensuring the employees are
well informed about their roles and responsibilities and ensure their effective practices leading
them gain competitive advantages. The type will focus on te skills of leader and his knowledge,
skills and ability offer developed of business conditions and practices where they lead motivation
and training to employees for their efficiencies. Leaders assure that practices of organization for
attainment of final and ultimate goals are directed and achieved with the help if their employees
and they must be treated effectively for effective working conditions (Liu, 2016).
Organizational teamwork
Teamwork in business practices of Tesco will lead to achievement of their ultimate goal
where they ensure their business practices and working conditions lead them towards effective
conditions where they ensure they are motivated, guided and further helped for attainment of
business goals and practices. Team working conditions in Tesco will lead to ensure they work
with their effective skills and practices where they gain advantage of innovation inviting new
ideas from their sub ordinates and also the ideas from the members of the team may lead to the
commercialisation where they assure they are directed towards attainment of objectives of the
company. The team in Tesco will also help their sub ordinate and college their goals and booting
their morale in the organization (Maine and Seegopaul, 20160.
LO2
P3 4 P's of innovation along with use of innovation funnel for examining and shaping innovative
ideas.
The practices of 4 P's of innovation for Tesco for the purpose of shaping ideas for
innovation.
Product innovation – The practices involves first thing that comes to mind when talked
about innovation along wit conveying changes in products and services that organization offers.
The idea can be used by Tesco where they ensure the practices of Tesco will lead to innovation
of new services that is online delivery where they provide home delivery of products and
services offered by them for their consumers and customers (Medlin and Törnroos, 2015).
6

Process innovation – The practice of process innovation involve change in the way things
are created and further delivered. The practices of applicability of process for Tesco for online
home delivering of products for grocery will be developed for further efficiency when they focus
on attainment of practices ensuring products such as grocery will be delivered at home and
further places ensuring they are effectively produced and made effective for satisfaction of their
customers (Rasmussen and Eliason, 20170. The type will lead to practices on how Tesco will
focus on delivery of the product and manage practices of delivering the products and services at
home for effective condition and practices by the company for attainment for advantages for the
practices of the organization and practices of their efficiencies along side. Effective processes
will include inventory management and deliver plagiarism where they ensure their rights and
responsibilities are consumed and preserved for effective conditions of their business procedures.
Position innovation – The practice of position innovation will lead to change in context
for products and services targeting for lies and story that has been told behind. The practice of
offering of services by Tesco through channels for online basis will lead to practices by Tesco
where they ensure development their result and further practices for the ensuring effective
position for the brand and leading them towards effective state and positions (Stenard, Thursby
and Fuller, 2016). Tesco will focus on attainment of position where they focus on developing
and attaining of position for effective and efficient working conditions in the organization and
further attainment of their tasks and practices for effective conditions for the organization that is
Tesco. Tesco will develop practices where they will focus on attainment of practices ensuring
their rights,, roles and responsibilities are conserved and used for effective manners and type
which lead them for the attainment of effective working conditions and type for process their
effective business practices and leading to effective and efficient business conditions for
betterment and development of business conditions (Szulczewska-Remi and Foltynowicz, 2016).
Paradigm innovation – The change underlying mental modes along with frame that is
regulated by the organization and it done alternative for company's frame. The type of practice
by Tesco will lead to effective practices where they focus on attainment of task for the purpose
of benefit the organization and leading them toward effective and developed working conditions
for performance of job and their practices thereafter. The type of practice in Tesco will lead to
attainment of practice ensuring the employees and management work in effective conditions and
attain competitive advantage among their rivals such as Sainsburry, Asda and many others.
7

P4 Developments in frugal innovation and examples of their uses in organizational context.
Frugal innovation is the engineering process that ensures right process is being used when
developing a new products by effective utilisation of resources so that production cost can
be minimised (Tanev, Rasmussen and Zijdemans, 20150. Frugal innovation is process for
reducing complexities along with cost for goods and it's production as well. The process
usually refers to ensuring removal of non essential features from durable goods for the
purpose of selling them in developing countries. Tesco will focus on removal of frugal
goods for the purpose of these purposes where they ensure practices for the purpose of
removing of non effective essentials for their goods and products for the purpose of bring
effective conditions and practices in their products and further their practices ensuring
effective use for their processes and development thereafter the fact they are use to for
their activities. The practice will help the organization in removal of further frugal goods
where they focus on ensuring no extra cost is occurred in their process and they are paying
of extra cost for the operational activities (Thakur and et,al., 2018). The practices involve -
Sustainable growth -
With the effect of eliminating of un effective and un efficient substances from the
products of Tesco they are focusing for the attainment of practices where they ensure they are
dealing with the best practices in the organization and help in the development of products and
services as well. Elimination of wastage will also lead for Tesco for removal of un necessy cost
inn cured and further putting impact of effective practices for the organization (Yeo, 20170.
Deduction of problems -
The practice of frugal innovation in Tesco will lead to the practices where they focus on
elimination of problems in busyness means that ae generally developed by to causes such as
economical, political, social, environmental, economic along with technological modifications in
process ad working conditions of Tesco leading them towards effective and efficient work
practices and their kind of working conditions as well (Henttonen and Lehtimäki, 2017).
Cost saving in production
The involvement of frugal practices in Tesco will lead to the practices whereby the term
of elimination of waste they attin the objective of saving cost along with time and further by this
the company aim on saving their operational cost and ensure their practices are effective and
8

efficient for sustaining their position in market ad their condition for effective and efficient
means as well (Brown, Gregson and Mason, 2016).
Elimination of un necessary cost
The applicability of activities of frugal innovation will lead to the happentance of ctivites
by Tesco where they focus on attainment of the task enbsurig the practice will help in
elimination of unnecessary cost involved and they ensure their practices help them gain
competitive advantages among their rival sand help the develop effective and efficient working
conditions for ensuring sustainable and effective working conditions as well (Bashmakov and
et.al., 2015).
LO3
P5 Importance of commercial funnel along with application of development of new product
processing for innovation of commercial purposes.
Commercial funnel can be described as journey that reflects process of producing goods
and final its reaches to end user. Creating awareness among consumers is the first phase of this
process where companies enhances understanding of end users about products and services. For
example: Twilio has first enhances awareness among potential buyers and convey details of new
products to them. They have analysed needs of buyers and then market production the market
that has supported in raising interest of consumers and enhancing sales of company to great
extent (Chun and et.al., 2015). The process of commercial funnel refers to the activities where
companion attain practices and buy products that they may effectively find buyer for and ensure
their profits and further revenue generation form it. Tesco will use effective and efficient
practices for the services where they focus on development of services such as
Ensure reach and estimate sales
The practice and applicability of commercial funnel in Tesco will lead to development of
practices where they ensure practices for the attainment of task developing the interest of people
for their effective and efficient use and methods for their further effective development and
technologies as well.
Identify areas for improvements
The practice and applicability of practices of Tesco where they will aim attainment of
practice ensuring the funnel will identify the areas company is looking to make specify and
justifies self improvement for. These practices ensure of funnel for performing business
9

repartition for Tesco will justify the use for ensuring that they can rectify the areas where
justifies improvements can be made such as sales executives, business procedures, management
staff and further marketing team and other aspects as well (Henttonen and Lehtimäki, 2017). The
practice at the time of development for new product in Tesla will lead to ensure they invest in
right and effective ,kart and ensure their results and outputs from it ensuring their effective and
efficient sustainable environment for their development and other practices for the development.
P6 Innovation business case for organization along with practices for raising fund from the
market.
Strength-
Tesco has successfully established their market so that it ease them to develop something
new into the market and also simplify for the company to bring innovation into the market.
Company follows the strategy of customer relationship management in UK this has helped the
company to gain high level of brand equity in the market.
Weakness-
To expand their operations company needs to work on diversifying their line as there are many
competitors already serving in the market and it is a risky investment to throw a substantial
amount of money in the same line. They need to form a team to diversify their line.
Opportunities-
Companies need to increase their productivity so that they can meet up with the new
opportunities that are existing in the market. They need to grab the opportunity in order to
increase the share. For that they need to make products according to the timeline of trends.
Threats-
Company faces a major threat from their competitors so they need to analyse the buying
pattern of the consumers and analyse the products which are offered by the competitors so that
they can reduce this factor and serve easily in this market.
Tesco for the purpose of managing business operation will imply online delivery system
for their customers where they ensure they are managed effectively and their Custer are having
access to their products and services in effective and efficient means. The process also developed
effective means where practices will lead to development of plan to ensure they use effective
means for implementation of such type of plan (Lemley and Feldman, 20160. This include -
Developing application for accessing online delivery system -
10

The practice by Tesco will lead to practices where they focus on development of
applications for mobile and personal computers and ensure their users ans customers have
benefits for using the application and buy and select the products effectively and efficiently. The
practice will help in attainment of trust from the finances and develop effective practice for the
organization such as Tesco.
Offering discounts and offers on such type of delivery system -
The practices of Tesco will lead to effective practices ensuring that Tesco will develop
the application where the consumers and users will have the benefits for the purpose of ignoring
going to the counter purchasing and wasting their time and can rather have the benefit of getting
services for effective and efficient means and use the purpose effectively (Clayton, Feldman and
Lowe, 2018).
Sources of funding-
Company can raise funds from venture capital, donations, savings and it does not have
direct requirement on the return of investment as it does not come under the aspect of crowd
funding or soft funding.
Competitors-
Competitors of Tesco are ASDA, Sainsburry, Walmart, Amazon, Morrisons, Kroger etc.
LO4
P7 Different tools for organization for developing, retaining along with protect knowledge along
with intellectual property.
The various intellectual property right which can be used by Tesco is copyright, patent
and trade mark. These are as follows:
Copyrights grant the owner the exclusive right to reproduce and distribute copies of the work,
prepare derivative works, and perform, display, and broadcast the work
publicly. Copyright ownership entitles the owner to authorize others to exercise any of these
exclusive rights as well. Tesco is going to bring out its new innovative online service of grocery
items in UK so company can copyright its services so that it cannot be get copied by any other
organization (Bashmakov and et.al., 20150. This will help firm in growing and also it will
establish a unique image of organization. It will also attract more public towards Tesco. Firm can
also file a law suit if their services are being used by any other competitor. As copyright itself
11

means only the company who has innovated the products can use it. But Tesco also will face
some disadvantage related to copyright as it has very limited protection. The services supplied
can only be protected by government for up to 12 years. So after it company needs to be protect
it from getting copied (Thakur and et,al., 2018).
Patent- If Tesco is engage in patenting its new innovative service then it means the company is
not giving any other person the right to copy, manufacture or even use their innovation. If any
other company makes use of it then they can file suit against them. This can protect the
innovative online service for up to 20 years. If company sales will become string then patent can
be one of the most beneficial intellectual property right for Tesco. It can make firms position
unique in market. It can also help them in growing and attracting new consumers towards them.
It can also increase the firms financial productivity. This can make firm better and growing.
There are three types of patent one which is plant patent, design patent and many more. But
patents are basically used by the firm for invention. Copyright is used for innovation. So Tesco
needs to make choice whether they can make use of copyright or patent (Stenard, Thursby and
Fuller, 2016).
Trade mark- Tesco can also make use of Trade mark. In this company can make use of the
creative mark to make people know that these are their product and services. The trade mark
helps in building up the goodwill of society. It can also help consumers realize that what is their
product. It will become better for consumers to identify companies product. It can help them in
growing (Medlin and Törnroos, 2015). The trade mark can also be obtained by Tesco at low cost.
It is beneficial and advantageous for them. Also they can save the innovative invention for up to
10 years. So after 10 years company has to put the cost to save it. This can increase the
operational costing of company. So Tesco needs to think about it. They also need to invest firstly
in obtaining trade mark which is very important for them.
CONCLUSION
The above study concluded that innovation is important for all types of business and their
practices help in economic growth, increase well being, environmental sustainability, higher
sales along with profits and advantages over their customers as well. Further it address the type
where leaders ensure the visions and goals for ensuing secure position in the organization and
12

developed practices of leadership to attain advantages for their businesses. The report also
address importance of commercial funnel for ensuring reach along with estimating sales figure
and further the areas for improvements.
13

REFERENCES
Books and Journals
Bashmakov, A.I. and et.al., 2015. Generic Heurorithm of Innovation Management from
Generating Ideas to Commercialization. European Research Studies. 18(4). p.47.
Block, J.H. and et.al., 2016. Commercializing user innovations by vertical diversification: The
user–manufacturer innovator. Research Policy. 45(1). pp.244-259.
Brown, R., Gregson, G. and Mason, C., 2016. A post-mortem of regional innovation policy
failure: Scotland's Intermediate Technology Initiative (ITI). Regional Studies. 50(7).
pp.1260-1272.
Carayannis, E.G., Cherepovitsyn, A.Y. and Ilinova, A.A., 2016. Technology commercialization
in entrepreneurial universities: the US and Russian experience. The Journal of Technology
Transfer. 41(5). pp.1135-1147.
Chun, D. and et.al., 2015. Labor union effects on innovation and commercialization productivity:
An integrated propensity score matching and two-stage data envelopment analysis.
Sustainability. 7(5). pp.5120-5138.
Clayton, P., Feldman, M. and Lowe, N., 2018. Behind the scenes: Intermediary organizations
that facilitate science commercialization through entrepreneurship. Academy of
Management Perspectives. 32(1). pp.104-124.
Coventry, K., 2018. Regulatory Considerations for Natural Health Product & Functional Food
Commercialization in the North American Health Products Marketplace. Planta Medica
International Open. 5(S 01), p.COM03.
Datta, A., Mukherjee, D. and Jessup, L., 2015. Understanding commercialization of
technological innovation: taking stock and moving forward. R&d Management. 45(3).
pp.215-249.
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.
Henttonen, K. and Lehtimäki, H., 2017. Open innovation in SMEs: Collaboration modes and
strategies for commercialization in technology-intensive companies in forestry industry.
European Journal of Innovation Management. 20(2). pp.329-347.
Lemley, M.A. and Feldman, R., 2016. Patent licensing, technology transfer, and innovation.
American Economic Review. 106(5). pp.188-92.
Liu, H., 2016. Pathway to energy technical innovation and commercialization based on Internet
plus DES. Frontiers in Energy. 10(1). pp.65-78.
Maine, E. and Seegopaul, P., 2016. Accelerating advanced-materials commercialization. Nature
materials. 15(5). p.487.
Medlin, C.J. and Törnroos, J.Å., 2015. Exploring and exploiting network relationships to
commercialize technology: A biofuel case. Industrial Marketing Management. 49. pp.42-
52.
Rasmussen, T.E. and Eliason, J.L., 2017. Military-civilian partnership in device innovation:
Development, commercialization and application of resuscitative endovascular balloon
occlusion of the aorta. Journal of Trauma and Acute Care Surgery. 83(4). pp.732-735.
Stenard, B.S., Thursby, M.C. and Fuller, A., 2016. Commercialization Strategies: Cooperation
versus Competition', Technological Innovation: Generating Economic Results (Advances
in the Study of Entrepreneurship, Innovation and Economic Growth, Volume 26).
14

Szulczewska-Remi, A. and Foltynowicz, Z., 2016. EDUCATION FOR INNOVATIONS AND
THEIR COMMERCIALIZATION. Journal of International Scientific Publications:
Educational Alternatives. 14(1000021). pp.117-124.
Tanev, S., Rasmussen, E.S. and Zijdemans, E., 2015. Product innovation and commercialization
in lean global start-ups: the challenges of turning uncertainties into risks. In 22nd
Innovation and Product Development Management Conference: Improving
Competitiveness with Innovation and Product Development. European Institute for
Advanced Studies in Management.
Thakur, P.C. and et,al., 2018. Innovation and Commercialization Strategies for Three-
Dimensional-Bioprinting Technology: a Lean Business Model Perspective. Journal of
Commercial Biotechnology. 24(1).
Yeo, B., 2017. What Drives University Technological Innovation and Commercialization?.
15

16

17

18