Importance of Innovation in Comparison with Invention

This report explores the importance of innovation in comparison with invention and its impact on organizational success and growth. It covers the difference between innovation and invention, the 4P's of innovation, frugal innovation, application of new product development, and intellectual property rights tools. The case study focuses on Unicorn Grocery, a UK-based small corporative store.

INNOVATION

Contents
INTRODUCTION.....................................................................................................................................3
TASK 1.......................................................................................................................................................3
P1 Explain the term innovation and its importance in comparison with invention..................................3
TASK 2.......................................................................................................................................................4
P3 State 4P’s of innovation and importance of innovation funnel...........................................................4
P4 Development Stages of Frugal Innovation..........................................................................................5
TASK 3.......................................................................................................................................................6
P5 Importance of commercial funnel and application of new product development................................6
P6 Building an Innovation Case..............................................................................................................6
TASK 4.......................................................................................................................................................7
P7 Various intellectual property rights tools that protect and retain rights of intellectual property.........7
CONCLUSION..........................................................................................................................................8
REFERENCES..........................................................................................................................................9

INTRODUCTION
Innovation can be defined as converting an idea into reality that satisfies diverse needs
and wants of customers in an effective and efficient manner. For organizational success and
growth, innovation act as a catalyst. In terms of business, it means changing workflow or
business processes. Innovation is directly connected with organizational effectiveness, quality,
profitability and market share. It implies making more successful item, work process or
administrations. The selected organization for this report is Unicorn Grocery which is UK-based
small corporative store. The given report covers the difference between innovation and
invention, 4P’s of innovation, frugal innovation, application of new product development,
sources of funding and various intellectual property rights tools for retaining and protecting
discoveries.
TASK 1
P1 Explain the term innovation and its importance in comparison with invention
The idea of innovation deals with developing new thought, product, strategy or process
that viably meets client necessity. It alludes to the way toward changing over a thought into
reality. Fundamentally it refers to new item or idea that arises from person's thought or from
logical research. In simple word, it implies something new or distinctive presented in the market
that gives high upper hand to the organization over their adversaries.
Unicorn Grocery is a UK-based small scale corporative store which is primarily
controlled by its individuals. The organization was established in 1996 for the most part bargains
in offering fresh, dried and processes food and drink and other general basic supply, family unit
our body mind things. By innovating organizational culture they can enhance overall profitability
of the company. Hence the organization has chosen to begin rooftop meeting, masterminding
yoga classes for specialists, boundless excursions for them (Manyika and et. al., 2011). This
assistance in building solid relationship among representatives and more they begin believing
each other aimlessly. As the organization works by set number of worker, the prime obligation of
organization is to fulfill their representative first this is the motivation behind why they have
chosen to place development in their hierarchical culture. Notwithstanding that, they have
additionally chosen to dispatch its online versatile application makes them the first among
different SMEs who will have portable application. Following are the significance of
development in setting of workers:
Development of Skill: Company experience innovation in order to expand the ability and
proficiency of workers that further advantages them both by and by and professionally. They can
perform assignment all the more successfully and effectively (Rosenbusch, Brinckmann and
Bausch, 2011). All specialists can without much of a stretch achieve their coveted goals and
target. It likewise prompts development and improvement of representatives. Because of
development in authoritative culture, representatives came to find out going to manage
distinctive circumstance and how to co-work with other collaborator. For instance: Unicorn
Grocery is chosen from now onwards they will direct housetop meeting and advance open and
neighborly condition in the organization. This empower laborers to regard different workers as
their partners not as opponents
Efficiency of work: Innovation fundamentally deals in changing existing highlights of a specific
item or make a completely new item that fulfills client needs and needs in a successful and
proficient way. Along these lines, it prompts upgrade the proficiency and profitability of

representatives. For instance: Unicorn Grocery installed change inside its hierarchical culture it
decidedly influence representatives execution as they began feeling more enlivened and
propelled which eventually prompts enhance their nature of work.
Invention Innovation
It basically manages making something
particularly new
It manages either enhancing existing item or
present new item.
It can be evaluated or felt by clients It can be connected on existing item or
circumstance
It is connected with single item,
administration or process
It is connected amalgamation of differing
items or administrations
P2 How company’s vision, administration, collaboration, culture can shape development and
commercialization
Vision: The vision of Unicorn Grocery is "to offer high valued items to customers at an
economical cost that fulfill and hold them for longer period". According to vision statement, it
can simply be stated that the respective association is more concentration towards satisfying
client needs and needs in a financially savvy and auspicious way. In the advanced time, where
different preferences of potential purchasers are changing quickly turns out to be fundamentally
essential for the organization to give such great or administrations that frequently make an
incentive for clients.
Leadership: Earlier the leadership style followed by members of Unicorn Grocery autocratic but
now organization has transformed it to participative in which they include different
representatives too in their basic leadership process which influences them to feel esteemed and
imperative like others (Strayer, 2012). It help them in attaining high competitive edge in the
market.
Culture and team work: As the organization is completely controlled, run and oversaw by its
individuals which implies that whole working of the business is taken care of by its
representatives. The organization's having just 70 representatives yet figured out how to rank
them self as best local food merchant and best independent retailer.
TASK 2
P3 State 4P’s of innovation and importance of innovation funnel
The idea of four P's of innovation was proposed by John Bessant and Joe Tidd. The
framework is predominantly considered by organizations to evaluate innovation in product,
process, position and paradigm. Following are the detailed analysis of all P's of innovation:
Product: It primarily deals with inserting change in product or services that is offered by
organizations to target client (Wolin, 2016). It implies changing the current highlights of the

product and including or enhancing the better and brighter one that fulfill client needs more
adequately and effectively. For instance: Unicorn Grocery has identified the need for launching
own mobile application that enable client to altogether experience all fundamental item subtle
features.
Process: It characterize the way by which for product or services are actually offered to
customer. From ancient days, business firms are pitching products or services to potential buyers
through their stores or outlets. But in today’s era, with change in innovation and expanded
market rivalry, the organization needs to build up its own mobile application. Through this
development, it end up less demanding for the organization to meet client necessity enough and
high upper hand in the market over adversaries.
Position: It depict the manner by which changed products or administrations are conveyed to
clients. Essentially, characterizes the way in which items are really get a handle on by potential
purchasers. Prior, the firm was chiefly offering their item through their outlets organization has
chosen to offer it through online too.
Paradigm: It characterizes the change in plan of action that offers shape to organization's vision
and goal. Furthermore, amalgamation of all P's of development blend. Unicorn Grocery has
decided need to dispatch its online versatile application which at last change client viewpoint as
far as acquiring.
Innovation Funnel: It characterizes the arrangement of steps required for building up another
item, administrations or procedures. The principle reason for this channel is to viably meet client
necessity by giving them such products and ventures that makes an incentive for them.
Utilization of innovation funnel: It is basically considered for breaking down imaginative
thoughts and items. Expansion to that it likewise associate appropriately dealing with the
procedure of new item improvement and its application too. Client needs and desires can be
effortlessly recognized and important advances are taken in order to satisfy them enough.
P4 Development Stages of Frugal Innovation
Frugal Innovation alludes to the procedure by which organization tries to limit the
complexities related with cost of goods sold and production. Innovators are required to consider
accessible assets as an open door as opposed to regarding as a risk. The idea of frugal innovation
does not related with offering modern products or services but rather it manages giving better
quality answer for client that conveyances high quality product requiring available at low or
minimal cost. (Boudreau and Lakhani, 2013). There are number of organizations who change
their plan of action as well as change their mental model too. Following are different stages of
frugal innovation:
Find opportunity in adversity: At this stage, workers reframe the current issue prevailing in the
organization or in market. Employees of unicorn grocery are effective enough to convert threat
into best possible opportunity.
Do more with less: At this stage, employees first need to survey accessible assets and tries to use
it in an ideal and effective way.
Think and act flexibly: According to this stage, it is smarter to be improvisational as opposed to
being adamant.
Keep it simple: There are number of complexities occur in the market that may disturb general
working and task of business (Drucker, 2014). In this way, it is constantly better to have less and

great options as opposed to having number of decisions. It makes the procedure of advancement
substantially less demanding and less difficult.
Include the margin: It is basic for each organization to be very much aware of differing needs
and needs of target group of onlookers they can quickly satisfy them. Likewise they are required
to take proposal and criticism from clients which can help in future help.
TASK 3
P5 Importance of commercial funnel and application of new product development
Commercial Funnel: It refers to the cost effective process through which company distinguishes
the different wellsprings of funding sources that assist them in inserting innovation inside an
association in a structure and exhaustive way. Managers and employees are required to select
suitable source of funding through which they can effectively carried out other business
operation and activities. In the given report, Unicorn Grocery has decided to embed innovation in
their organizational culture and product. In this manner, they turn into the first to launch its own
online mobile application which makes much easier for clients to purchase item basically by
sitting at home. With the assistance of commercial funnel, particular firm can meet client
necessity in a practical and auspicious way.
Discussed below are the main steps used in application of new product development:
1. Idea Generation: This is the above all else step, where thought or idea is really started or
created. It can be started or originated from anyplace and can be accessible in any sources.
2. Idea Screening: Plethora of thought created in an association however among them not very
many are practical. Essentially at this stage, organization's supervisor screen or break down the
thought and select the most appropriate among them.
3. Concept Testing and Development: This stage manages testing and improvement in which
chose thoughts will really convert into idea or item for additionally testing and advancement.
Actually a portion of the thoughts is tried on target assemble in order to make sense of whether it
will be effectively satisfactory by client or not.
4. Analysis of business financials: At this stage, association will quantify the real offers of the
item subsequent to implanting advancement and further think about it pre-decided deals
destinations or objectives.
5. Commercialization: At this stage, organization finally introduce the product in the market
place.
P6 Building an Innovation Case
Organization builds Business Case so as to determine the probability of risk factor
associated with investing in innovation. It guarantee that organization needs to think sensibly and
for all intents and purposes and cover all angle related with that so to efficiently investigations or
process cost and hazard factors identified with it. In the given report, the picked organization i.e.
Unicorn Grocery experience organizational change and they turned into the first one among
other UK-based SME’s to launch its online mobile application through which clients can get
their item online also (Goldberg, 2013). Following are steps of building an effective Business
case:
•Executive Summary: This is generally the last stage, in which for the most part organization
gives brief about the whole business case.
•The Need: This decide the real need of innovation in organization and this must be conceivable
if administration of the respective association is very much aware of their current issue or

problem. For instance: Unicorn Grocery decide the need of buyer that the greater part of them
want to purchase item through online mode instead of going to store outlet and purchases item.
Therefore, organization turn into the main SME in UK to introduce its own mobile application.
•Your Solution: Once the organization is finished with recognizing the requirement for change,
the following is connected with growing better answer for the same. If case of Unicorn Grocery,
their members have collectively decide to launch its online mobile application that gives them
high competitive edge in the market place.
•Why it is creative: The solution find by organization must be innovative that gives them high
competitiveness level in the market over its rivals. Also the arrangement create by the
organization must be simple and reasonable so workers can without much of a stretch actualize
them. Unicorn Grocery turn into the first among other SME's in UK to dispatch its first online
mobile application (Huizingh, 2011).
•Ways of Funding: Generally there are two sources of funding one is Internal and other is
External. Internal Funding implies that funds are accessible inside the organization only for
example, retained earnings, long term assets that are no longer in use, ploughing back of profits.
External Sources of funding implies reserves are accessible outside the business mainly in the
form of bank, leasers, angel investors, individual donor etc.
•Expected Benefit: At this stage, organization needs to make sense of the effect of advancement
on society, clients and environment.
•The Ask: This is the last stage, at which business takes criticism from its clients in order to
decide if the advancement presented by them is effective in addressing their necessities and
prerequisite.
TASK 4
P7 Various intellectual property rights tools that protect and retain rights of intellectual property
Intellectual property rights tool is primarily used by owner or maker of property in order to
secure and their development, imaginative or literary work, pictures, images made by the mind.
These device help in promoting innovation inside an association. Regularly, a business manage
plenty of thoughts that help them in their development and improvement however fear is joined
with all thoughts in regards to it is being stolen by different contenders. Along these lines, it is
essentially vital for the organizations to ensure their thoughts or creation by different licensed
innovation device (Jain and et. al., 2013). A portion of the prominent licensed innovation device
are talked about beneath:
Trademark: It is a sign by which an organization recognizes its item or benefits and recognize
them from their rivals who are additionally offering comparative products. It can be as
unmistakable imprints, words, image or some other component. Its fundamental target is to build
up the picture of specific item in client mind with the goal that they can without much of a
stretch recognize them from those provided by rivals. It might comprise of any sign that is fit for
being graphically spoken to fundamentally in words, including logos, images, state of the item.
Copyright: It is legal term that predominantly portrays rights given to proprietor or maker for
their unique melodic, actually or masterful work which enable them to adequately control their
ensuing use. With the assistance of this licensed innovation apparatus, the holder gets the select
ideal to circulate, perform, make show and duplicate the work. It is principally utilized for PC
programming, drawing, maps, models, engineering work, movies and photos, writing and sound
recording.

Patent: A patent allow is much the same as other property rights that is providing for proprietor
for its development. This protected innovation instrument enable the patent holder to avoid
others from offering, utilizing and making their development without their insight or assent. It
enables numerous business to be fruitful on the grounds that they grow better or new procedures
or merchandise that offers high upper hand in the commercial center. Patent this ordered into
three classifications to be specific; utility, design and plant (Jiménez-Jiménez and Sanz-Valle,
2011).
CONCLUSION
According to the above mentioned report, it can be concluded that long term
sustainability of any company depend upon how rapidly they innovate their product or services
so as to beat prevailing competition exist in the marketplace in an effective manner. With the
help of innovation, association can fulfil customer needs and requirement in a proper way which
results in yielding higher profitability ratio. For successfully embedding innovation, firm needs
to analyze all P’s of innovation first and then take necessary steps to achieving pre-defined goals
and objectives. Additionally, various intellectual property tools are used by companies for
protecting and retaining their creation or discoveries.

REFERENCES
Books and Journal
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user and open collaborative innovation. Organization Science. 22(6). pp.1399-1417.
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business review. 91(4). pp.60-9.
Drucker, P., 2014. Innovation and entrepreneurship. Routledge.
Goldberg, D.E., 2013. The design of innovation: Lessons from and for competent genetic
algorithms (Vol. 7). Springer Science & Business Media.
Huizingh, E.K., 2011. Open innovation: State of the art and future perspectives. Technovation.
31(1). pp.2-9.
Jain, A., and et. al., 2013. Commentary: The Materials Project: A materials genome approach to
accelerating materials innovation. Apl Materials. 1(1). p.011002.
Jiménez-Jiménez, D. and Sanz-Valle, R., 2011. Innovation, organizational learning, and
performance. Journal of business research. 64(4). pp.408-417.
Manyika, J., and et. al., 2011. Big data: The next frontier for innovation, competition, and
productivity.
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.
Strayer, J.F., 2012. How learning in an inverted classroom influences cooperation, innovation
and task orientation. Learning environments research. 15(2). pp.171-193.
Wolin, S.S., 2016. Politics and vision: Continuity and innovation in Western political thought.
Princeton University Press.