Innovation and Commercialisation: Role of Organisations Culture, Mission, Vision and Team in Innovation and Commercialisation

INNOVATION INTRODUCTION 1 TASK 11 P1: Importance of innovation and its comparison with invention1 P2: Role of organisations culture, mission, vision and team in innovation and commercialisation 2 TASK 24 P3: 4P's of innovation and contribution of innovation funnel in generation of innovative ideas 4 P4: Developments in Frugal Innovation5 TASK 36 P5: Importance of commercial funnel and role of NPD in innovation and commercialisation6 P6 Innovative business case for an organisation with options for funding

INNOVATION

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1: Importance of innovation and its comparison with invention..............................................1
P2: Role of organisations culture, mission, vision and team in innovation and
commercialisation.......................................................................................................................2
TASK 2............................................................................................................................................4
P3: 4P's of innovation and contribution of innovation funnel in generation of innovative ideas
.....................................................................................................................................................4
P4: Developments in Frugal Innovation.....................................................................................5
TASK 3............................................................................................................................................6
P5: Importance of commercial funnel and role of NPD in innovation and commercialisation. .6
P6 Innovative business case for an organisation with options for funding ...............................7
TASK 4............................................................................................................................................8
P7 Different tools which used to develop, retain and protect intellectual property rights..........8
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
Innovation may be defined as the process of enhancing the value of product through
implementing new and innovative changes according to the needs and preferences of customers.
The main objective of doing such innovative activities is to grab an attention of customers across
worldwide due to which the chances of increasing market share will be more. At present times,
the taste and preferences of customers changes frequently which directs an organisation to
updates their products so as to maximise their satisfaction level. OAK Cash and Carry, small-
sized company of United Kingdom which deals in offering wide variety of grocery products is
chosen for the purpose of preparing this assignment report. Importance of innovation and its
comparison with invention are discussed under this report. The project also includes the role of
mission, vision and team in implementation of innovation along with the 4P's of innovation. All
remaining aspects are also summarised under this report with the context of OAK Cash and
Carry (Biemans, 2018).
TASK 1
P1: Importance of innovation and its comparison with invention
Innovation: It is such a practice which is performed to add value to the something
existing in an organisation with an objective of fulfilling the needs and requirements of targeted
customers. It requires to get help from the experts and experienced professionals in order to bring
beneficial changes in the business structure so as to achieve productivity and profitability.
Therefore, same can be followed by OAK Cash and Carry in order to expand its business
operations to a large scale which results in increasing revenues and profits. Therefore, it is
essentially required to motivate employees to bring new and innovative ideas in execution of
business operations in more effective and efficient manner. For example, adoption of innovative
technologies in manufacturing process help in minimising the wastage of resources and produce
optimum quality products. In addition with this, there are lots of benefits which can be received
by OAK Cash and Carry through adopting innovation some of which are as follows:
Competitive advantage: Every organisation irrespective of the size whether small,
medium or large wants to expand its business across worldwide. Therefore, it can be possible
through making changes in pre-planned changes and decisions (Chiesa and Frattini, 2011). It is
more important to small-sized business such as OAK Cash and Carry which are operated at small
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scale due to which sometimes due to high competitions their existence may comes in danger thus
bringing innovation in existing products for example adding demanded features in existing
products will help ion differentiating products than their rivals and achieving competitive
advantage as well.
Application of best methods: Adoption of innovation in business structure is not easy
task due to which skilled and knowledgable employees are required for successfully
implementation. Therefore, if an organisation has already attained efficient employees who are
more capable to implement ideas into actions will increases the chances of getting profitable
outcomes to company in near future.
Difference between invention and innovation
Innovation and invention are two different aspects which are required to be considered by
every organisation if want to achieve competitive advantage to sustain in market for longer
period of time (Datta, Reed and Jessup, 2013). Innovation means modification of existing into an
effective one so as to satisfy the interest and buying behaviour of customers whereas invention
means introducing something new into market which are not earlier introduced. Such both
concept brings positive outcomes to company. But there are some differences among two which
are given as below:
Innovation Invention
It is a process of enhancing the value of
existing products into effective and innovative
with the purpose of retaining loyal customers.
It means introducing or launching something
new which cannot be launched earlier. Such
invention should be taken to meet current
trends.
Its main aim is to retain loyal customers as
compared to before.
Its main objective is to attract new customers
to make them loyal.
For an illustration, update technologies used in
manufacturing process of grocery items.
For example, introducing new grocery item in
market to compete with rivals.
P2: Role of organisations culture, mission, vision and team in innovation and commercialisation
Every organisation has its own mission, vision, culture etc. which requires the
implementation of innovation in business structure so as to achieve them within pre-determined
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period of time. For this, it is essential for OAK Cash and Carry to maintain healthy environment
at workplace which brings motivation among employees.
Vision and mission are such two goals of an organisation which need to be informed to
the workforce for the purpose of getting adequate support from them in achieving as soon as
possible. This will bring motivation among employees to work hard and search new and
innovative ways of completing allotted task within limited period of time.
Organisational culture is related with beliefs, norms, values which are present in working
environment on the basis of which employees are directed to perform in better way. It is
important for management of OAK Cash and Carry to create a good working atmosphere which
motivates employees to think in different and innovative way (Davila, Epstein and Shelton,
2012).
Team performance is essential factor which gives maximum result to company due to
which desired goals and objectives are clearly achieved. As it is obvious that combined efforts
brings more outcomes as compared to individually efforts. Therefore, the leaders and managers
of OAK Cash and Carry are held responsible to allocate employees into group after identifying
their actual skills and knowledge. It helps in increasing understanding level among employees
which gives support to each other in bringing new and innovative ideas to achieve common
goals.
Leadership plays an important role in increasing the performance level of employees
through providing training and development programs on regular basis. It will make employees
more capable to think different and unique which help them in competing with their competitors
in more effective way.
Therefore, such aspects gives maximum contribution to implement innovation within
OAK Cash and Carry so as to achieve their desired goals and objectives. Such aspects are
defined as below:
Vision: The vision of OAK Cash and Carry is to bring diversification in the grocery
items offered and maximise the experience of customers through using their products.
Culture: It refers to the norms, beliefs and values which must be followed by OAK Cash
and Carry in order to operate business functions more smoothly. Due to this, the company can
give more efforts in achieving desired target.
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Leadership: It is important aspect which gives valuable efforts in maximising the skills
and knowledge of employees through bringing motivation and self confidence among them
which results in increasing efficiency in quality of work (Dmitriev and et. al., 2014).
Team work: Here, managers and leaders should have capability to encourage employees
to work in a team so as to get adequate support from them within shorter period of time. Thus,
OAK Cash and Carry should have such leaders who are capable to lead employees from the front
and set target for their employees.
TASK 2
P3: 4P's of innovation and contribution of innovation funnel in generation of innovative ideas
4P's of innovation:
Process innovation: It is related with innovation which takes place in the process of
execution of business activities with the purpose of maximising the quality of work. As OAK
Cash and Carry is retail organisation thus processing of providing products to the customers
should required to be innovated.
Product innovation: Such innovation is related with product which are offered by OAK
Cash and Carry with the purpose of increasing value of the products through adding extra value
to the existing grocery items. This will help company in increasing sales as well as revenue due
to which the chances of expansion of business are more.
Position innovation: Such innovation is related with the brand position which are
currently attained in market environment due to which the customers can easily attracts towards
the company's products and services. OAK Cash and Carry may required to give efforts in
building strong position in market. This can be possible when the company prepared some tag
line and logo in order to identified by their customers in market (Ebersberger and et. al., 2012).
Paradigm innovation: It includes the process of establishing business structure of
organisation with an objective of providing full freedom to their employees to think freely and
bring out new ideas to make company more stable in competitive environment. Therefore,
healthy working environment should required to be maintained at workplace.
Innovation Funnel:
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It refers to the funnel which directs management to enhance the value to products through
adding some valuable features on existing products according to the needs and preferences of
customers. It includes the three major steps which are as follows:
Wide of mouth: This steps includes the idea which are generated by the management
through using information collected from research. Such information includes competitors,
strategies, buying behaviour and perception of customers, working behaviour of employees etc.
which are required to be considered while generating ideas.
Selection of idea: In this step, the profitable idea will be selected among large number of
ideas due to which the chances of selecting bets idea will be more. It can be done after analysing
the effectiveness of selected ideas while implemented in near future.
Implementation of idea: In this last step, selected idea are implemented after viewing all
above steps and evaluation of market situations (Frishammar, Lichtenthaler and Rundquist,
2012).
P4: Developments in Frugal Innovation
Frugal innovation: It refers to a practice of eliminating unwanted features from the
existing products which are not mainly preferred by customers. As per this concept, the
management need to first analyse the feature which restrict the interest and buying behaviour of
customers and accordingly direct production department to remove such non-essential features
and adding them demanded features in replacement in order to attract large number of customers.
This will increase sales and revenue of company due to which the company can able to attain
strong brand image in competitive market. Due to this, the chances of expansion of business will
be more which is main objective of an organisation. Due to this, there are lots of benefits the
company can achieve competitive advantage which are given as below:
Minimising the production cost: As it is obvious that removing non-essential features
from the existing products will help in reducing cost of production due to which the company
have an opportunity to invest saving amount in adding valuable features in existing products.
Development of new feature: As elimination of unwanted features from existing products saves
cost due to which the management should decide to implement new feature with a motive of
attracting large number of customers of United Kingdom. This will help in maximising the
revenue of company and able to retain loyal customers for longer period of time (George,
McGahan and Prabhu, 2012).
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TASK 3
P5: Importance of commercial funnel and role of NPD in innovation and commercialisation
Commercial funnel: It refers to the process of changing mind and preferences of
customers relating to the products and services offered by OAK Cash and Carry. Therefore, it is
essential for management to conduct research through which the needs and preferences of
customers are easily identified. Due to this, the management are in such a position where they
know what changes need to be implemented in existing products so as to influence the
customer's mind and buying behaviour. It will help company in attaining strong brand position in
market which can easily attracts large number of customers.
Importance of commercial funnel:
The concept of commercial funnel directs the management to develop their products
according to the needs and requirements of targeted customers which result in bringing following
advantages:
Improving quality: In order to manipulate mind of customers, it is essential for OAK
Cash and Carry to enhance the quality of products through adding extra value to the existing
products. This will help company in competing with their rivals in an effective and efficient
manner.
Reduction losses: Increasing revenue from the developed products help in recovering
losses that may faced by company in last years. This will maintain stable financial position of
OAK Cash and Carry in competitive market (Hoerl and Gardner, 2010).
Improvement in goodwill: Making new and innovative changes in existing products and
services help an organisation in building image and goodwill in competitive market due to which
the customers can easily attracted towards the company's products.
New product development:
Launching new product into market will bring help in attracting new customers and
capturing large market share. Thus, in order to manufacture new product following steps must be
followed by OAK Cash and Carry:
Generation of new idea: In this stage, new ideas has been generated in order to
manufacture quality product so as to maximise the satisfaction level of customers.
Screening of idea: In this, the management choose the best ideas on the basis of their
sustainability and profit margin received by them in near future.
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Defining concept: In this, ideas related information should required to be communicate
with employees in order to execute them in an appropriate manner.
Business analysis: At this stage, the management properly evaluate the effectiveness of
new products that will come into market in near future (Howlett, 2010).
Product development: Under this, implementation of tools and techniques used in
production process in order to produce quality products.
Test marketing: Under this stage, information and benefits of new products are spread
into market so as to attain new customers.
Commercialisation: This is the last stage where the above steps ate carefully analysed
and reviewed after which final decision should be taken.
P6 Innovative business case for an organisation with options for funding
It is very crucial for every organisation to make their business case in an innovative
manner because then only it will be helpful for the companies to conduct their operations in more
appropriate manner. Through this case, the expected sales and profits of the company will also
be ascertained. OAK Cash and Carry can also make use of this technique to gather more
customers towards themselves and attain a profitable situation in the marketplace as well. The
steps which will be covered in the business case are as follows:-
Executive summary- The organisation Oak cash and carry is basically providing cash and
carry services and they are also offering wide range of services to the retailers, caterers, offices
etc. They are operating in United Kingdom since a very long time and are providing their
services very effectively as well (Hung and Chou, 2013).
Objectives- Their main objective is to innovate their services in more effective manner so
that the clients which are connected with them get satisfied with the products and services being
received from the company. It is believed that the company is really smart in doing their
operations and that is why they have come such a long way.
Solution- In this, the management of Oak cash & carry will have to try to reduce all the
issues which are coming in their way when they will undertake steps to develop the products and
services of the company in an innovative manner.
Research of customers - It is a very necessary process which assist the company in
providing similar products to their consumers.
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Development and design of plans- This is the step where the whole structure of planning
is designed and it is very important because after this only all the activities will be conducted in
most effective manner (Joly, Livingstone and Dove, 2013).
Necessity of capital- This is also a very necessary step as through this only company will
be able to understand the need of capital in the company and once it is determined then the
company will be able to make use of it in conducting all the operations in a proper manner.
Expectable benefit- It is crucial for the organisation to know that whether the innovation
which is being done is effective or not.
TASK 4
P7 Different tools which used to develop, retain and protect intellectual property rights
Intellectual property rights can be defined as those kind of rights which are being used by
the company to save the creative and innovative work done by the people or an association.
Through this, it is made sure that the work is not copied by another person. The work can be in
any form such as image, art , name etc. This is a very effective step which is necessary to be
followed by every company. These rights are given as follows :-
Trademarks - This is a kind of sigh which is assigned to a particular product so that it
can be differentiated from the other products in the market. In general, a mark is given like
Mercedes is having their sign, Audi is having their own.
Patent: It is an effective tool which the company can secure its innovation so that it
cannot be leaked to outside parties (New Product Development Stages. 2017).
Copyright: It is also another effective tool in which permission has been by one company
to another for using its name for the purpose of increasing sales figure and strong brand name
CONCLUSION
It has been concluded from the above project report that innovation is essential need to
every organisation in order to achieve competitive advantage and attain strong position in
market. For this it must required to recruit employees who have knowledge and skills to bring
new and innovative ideas and implementation of such in an effective and efficient manner. 4P's
of innovation and commercial funnel are required to be focused in order to bring efficiency in
quality of work.
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REFERENCES
Books and Journals
Biemans, W., 2018. Managing innovation within networks. Routledge.
Chiesa, V. and Frattini, F., 2011. Commercializing technological innovation: Learning from
failures in high‐tech markets. Journal of Product Innovation Management. 28(4).
pp.437-454.
Datta, A., Reed, R. and Jessup, L., 2013. Commercialization of innovations: an overarching
framework and research agenda. American Journal of Business. 28(2). pp.147-191.
Davila, T., Epstein, M. and Shelton, R., 2012. Making innovation work: How to manage it,
measure it, and profit from it. FT press.
Dmitriev, V., and et. al., 2014. An exploration of business model development in the
commercialization of technology innovations. R&D Management. 44(3). pp.306-321.
Ebersberger, B., and et. al., 2012. Open innovation practices and their effect on innovation
performance. International Journal of Innovation and Technology Management. 9(06).
p.1250040.
Frishammar, J., Lichtenthaler, U. and Rundquist, J., 2012. Identifying technology
commercialization opportunities: the importance of integrating product development
knowledge. Journal of Product Innovation Management. 29(4). pp.573-589.
George, G., McGahan, A. M. and Prabhu, J., 2012. Innovation for inclusive growth: Towards a
theoretical framework and a research agenda. Journal of management studies. 49(4).
pp.661-683.
Hoerl, R. W. and Gardner, M. M., 2010. Lean Six Sigma, creativity, and innovation.
International Journal of Lean Six Sigma. 1(1). pp.
Howlett, R.J. ed., 2010. Innovation through knowledge transfer (Vol. 5). Springer Science &
Business Media.
Hung, K. P. and Chou, C., 2013. The impact of open innovation on firm performance: The
moderating effects of internal R&D and environmental turbulence. Technovation.
33(10-11). pp.368-380.
Joly, Y., Livingstone, A. and Dove, E.S., 2013. Moving beyond commercialization: strategies to
maximize the economic and social impact of genomics research. Genome Canada.
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Online
New Product Development Stages. 2017.[ONLINE]. Available through:
<http://productlifecyclestages.com/new-product-development-stages/>.
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