New Product Development and Innovation Strategies

This assignment discusses various aspects of new product development and innovation strategies. It covers different models and frameworks such as the 4P's of Innovation, open innovation, and business model innovation. The assignment also touches on organizational innovation, learning, and performance, as well as communication for rural innovation. Additionally, it explores the relationship between cooperation networks and innovation performance in SMEs.

INNOVATION

Table of Contents
INTRODUCTION ..........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Innovation and its importance................................................................................................1
P2 Organisational vision, leadership and team work shape innovation or commercialisation...3
TASK 2............................................................................................................................................4
P3 4P's of innovation and use of funnel .....................................................................................4
P4 Development in Frugal innovation .......................................................................................6
TASK 3............................................................................................................................................7
P5 Importance of commercial funnel and new product development process ...........................7
P6 Different ways of funding .....................................................................................................8
TASK 4............................................................................................................................................9
P7 Various tools that organisation use to develop knowledge and intellectual property ...........9
CONCLUSION .............................................................................................................................10
REFERENCES..............................................................................................................................11
.......................................................................................................................................................12

INTRODUCTION
Innovation is a process of translating new plan or invention into products and services
that generate high value. It will also viewed better application to solution that meets innovative
requirements, existing market and unarticulated needs. It is a best term that identify something is
new and more effective into the society and market. It includes many processes by which
original ideas are converted and created into useful items. It is very important and necessary for
many enterprises to generate some new modification in their goods which they are providing to
their buyers in order to develop better quality.
This file is based on topic “INNOVATION” and telecommunication industry. The best
examples of this sector is Narwich Telecoms Limited in UK. Main purpose of this business is to
provide new products and services to the clients. In this report innovation is very important in
comparison invention. Organisational culture, vision, and team work shape commercialisation.
4Ps of innovation and funnel is significant because it shape innovative plan and new product
development process also described here. At the last there are several tools which is use by
organisation to develop knowledge which is also analysed in this assignment.

TASK 1
P1 Innovation and its importance
Innovation: It is defined as the activity in which all changes are made by the company in
particular service and goods. In the cited industry innovation is best way to make changes in its
products in order to achieve goals and targets in the competitive surrounding (Amit and Zott,
2012). Narwich Ltd. sustain their culture with the support of variation. There are several
importance of innovation which are as follows:
Importance:
Support in necessary resource utilisation: Innovation is very important in every enterprises to
utilize needed factors. It includes technology, finance, and human resources. Modernization also
assist in the appropriate resources utilisation and process of worker appointment.
Enhance productivity: In the production process many new plans are implemented into goods
and services. So, it will support in increasing team members productivity as they are using
innovative methods in order to achieve high profit (Boudreau and Lakhani, 2013).
Assists in developing communication: Newness assists in the correct coordination and
management. It maximise workers morels and improves works with the help of team member. It
also support in information which is significant to assist in operating several functions in decent
manner. Narwich Telecom Limited manger are capable to communicate their workers with the
help of innovation. It is essentials for the industry in understanding needs and demands of the
buyers.
Increase health and safety: Modernization also very essentials in the services and products
because it support to decrease mischance possibility at the place. It helps mentioned firm to make
different tools one is robots which is moving large things (Brown and Wyatt, 2010). It provides
safety environment to the employees and give security from injuries. Innovative plan also assist
in giving better working surrounding to the clients.
Apple and virgin group case study both are telecommunication industry apply innovation.
From the same mentioned business also choose newness to grow their product quality such as
new PC& Laptops, components, Printers & inks, mobile and telephones etc. They launch
innovative mobile phones in new features.
Differences between innovation and invention

Innovation Invention
It is define as a new product, services and
process information into market.
It is a creation of a innovative service, process
and products etc.
Innovation is normally induced. Invention can be both induced and autonomous
(Chesbrough, 2010).
Outputs into commercialisation Innovation may not be commercialized.
Modernization is commonly for economic
motive.
It may be for economic and non-economic
motive.
Applications and activities spread around the
enterprises.
Activities normally restricted to research and
development centre.
Innovation = invention + commercial
exploitation.
Invention = innovation – commercial
exploitation
P2 Organisational vision, leadership and team work shape innovation or commercialisation
Both innovation and commercialisation are very essentials in order to develop business
growth and success in an effective way. It is not manageable without the business vision, culture,
leadership and culture support.
Vision:
Narwich Telecom limited vision to provide best product quality and creative
communication services to the buyers in UK. Mentioned firm vision supports in implementing
commercialisation and innovation in their items (Chesbrough, 2010). So, in this way they
required to develop their transmission services to made several innovations in laptop and
personal computer. Both are supported by cited industry. This thing assist to rise the both
products demand among the international customers.
Leadership:
It is a term which influence workers personal or professional characteristic in an
enterprises. Leadership is essentials way to motivate their employees in order to attain long term
targets and goals of the business. In Narwich Telecom Limited leader play important role in
commercialisation and modernization of the services and goods by motivating workers. It is also

important in enhancing employees skills and knowledge by providing proper communication,
training & development program etc. Above both elements are important in solving different
issues which are present in business. Company leader play critical role and they has many
responsibility to coordinated employees productivity and make innovative plan with the support
of them.
Team work:
It is define as the organisation member in the organisation and their main aim is to attain
company objectives and values in an essentials manner. Mentioned telecommunication business
have positive group work which supports in the process successful implementation of
commercialisation and reorganization at the workplace to make better features in their phones
and laptop. Which highly supports to give more fulfilment to the clients (Crossan and Apaydin,
2010). During the process of commercialisation, cited business offers various variety in their
service and goods in order to achieve high profit. Apple is foremost firm in telecommunication
industry and they made innovation in their music player that is old. Modernization in giving little
size music player which is essentials for the organisation to get monetary advantages. Above all
this are successful with the assist of team work.
Organisation culture:
Narwich Telecom culture is very simple in the telecommunication industry. They are
liable for implementing and formulating commercialisation and variation in the organisation.
Culture is basically transmitted and learned by staffs members; it provides the regulations
behaviour within enterprises. In this way they can guide their members in knowing different
activities which considering values, assumptions and practices regarding their work. It supports
business to attain high profit and revenues. This type of hard working as well as helpful
enterprises supports in the execution process of commercialisation and innovation.
TASK 2
P3 4P's of innovation and use of funnel
Innovation is very important for every organisation to produce high product quality and
creative services to the clients. Mentioned company try to improve their mobile phone and laptop
feature in order to fulfil buyers demand and need in marketplace (Gassmann, 2010). There are
4P's which are essentials for the cited business to make new products and improve their quality.

As per the Apple and Virgin group case study both are successful industry in organisation with
the support of innovation 4P's by giving new phones and other equipments in market. Cited firm
capable to attain high profit which results is success and growth.
Innovation 4P's are as follows:
Product: It is identified as a goods which is provide by the company in order to achieve their
long as well short term goals in organisation (4P's of innovation, 2016). Mentioned industry give
various products such as mobile phone, laptop and other equipments to the clients. They always
try to launch innovative products and creative services in their tools. Features such as chat, video
clips and more games etc. They are capable to provide on the move important information
related to services.
Process: Modernization is highly focus on procedure through which goods are delivered or
produced to buyers. By developing the activity into new process an enterprises mostly enhance
their effectiveness and efficiency. It define the new product development process which is apply
by the mentioned organisation in their goods (Jiménez-Jiménez and Sanz-Valle, 2011). In the
Narwich Telecom Limited company have necessary resources which is acquire by the industry.
There are several factors such as finance, human resource and technological factors (Leeuwis,
2013). With the support of these factor business improve their manufacturing activity in mobile
phones. This will support of new tools, techniques and methods in the production process.

(HENDERSON, 2015)
Position: It is also known as promotion which is very important for every business to introduce
their product in marketplace (Lee and et. al., 2010). Apple and virgin group use different
communication channel in their goods such as advertisement, publicity and sales promotion.
From the same Narwich Telecom Limited also use various promotional mix in an innovative
which includes digital and print media. Both are essentials elements for the publicity of mobile
phones.
Paradigm: It is define as a process which supports company in making faithful products which is
produce to the clients. It assist in examining difference in invention as well as innovation. In
addition of modern things and plan in order to develop high product quality and creative
services in mobile phones features.
Use of funnel:
Innovation funnel is very important because it supports every business to focus on wide
mouth. In this way they maximise their skills and knowledge. Cited company has many
capability to complete customers basic needs and wants regarding to phones, personal computer
and other equipments. It is identify the firm position in the organisation as well as market. With
Illustration 1: 4P's of Innovation

the use of funnel business ensures their plans to select best product in order to achieve goals and
objectives.
P4 Development in Frugal innovation
Frugal innovation is the process of decreasing cost and complexity of products and its
production. Main use of these to removing non-essentials characteristic from a serviceable
goods, such as phone or car in order to produce it in developing states (Leiponen and Helfat,
2010). They also support in improving innovative models, redesign different goods and assemble
value chain etc. These are severe to the buyers who are facing affordability restriction in a
scalable way. Narwich Telecom Limited business also use this kind of innovation which support
them in different way which are as follows:
Assist in the innovating additional features: It is one of the essentials part of the innovation
which is used by the mentioned industry in order to fulfil customers needs and demand related to
the new product and services. It also support in increasing revenue as well as share in market.
Modification in the goods which assist in giving better experience of convenience to the clients.
Example: Cited firm can provide different types of friendly software to their buyers, which is
very supportive to maintain their market position and achieve high and success.
Reduce production cost: Frugal innovation is very necessary because every company use it to
reduce the non-essentials production cost. It also help in the use of innovative techniques and
tools in order to maximise sales. Reduction process of production when business will be capable
to receive raw material at the affordable price.
Growing product line: Narwich is a telecommunication business that has been introduced their
new technology (Lundvall, 2010). They are capable to view specific merchandise to reach its
target market and customers. The term of frugal innovation is very useful for every business
because with the help of this cited industry maximise their product line and increase sales in
order to achieve long and short term goals and objectives.
TASK 3
P5 Importance of commercial funnel and new product development process
Commercial funnel is very important in the selling process which is apply by all
company. Mentioned industry dealing with new technical such as phone system, application

software, internet, board brand and business call and line. It is identify as a process when cited
firm analysing their buyers needs and wants with the help of marketing and promotional channel.
In this company research the all requirement and current trends of market as well as customers
that they can select new product development process in marketplace. Give case study of Apple
and Virgin group, both are supporting in increasing their market position with the help by new
technology. Latest innovation in product of Apple is I-Pad in the old equipments (Rosenbusch,
and et. al., 2011). From the same, Narwich is also develop innovative technology in Mobil phone
and laptop. Which play essentials role and responsibility in newness firm and give latest
characteristic in their product features such as calling, chat and video calling etc.
Commercialisation also important way which define the product development process which is
made by the company in market. There are may stages which are as follows:1. Idea generation: In this phase company identify the customers needs and wants as well
as market trends with the help of research. So investigation process is complete company
develop their new product.2. Idea screening: With the help of this an industry screen their idea which is based on
product demand in market place. In this they also know its market potential and
affordability.3. Testing and development concept: In this stage idea is developed with the help of
research. It will be tried that whether in order to fulfil buyers needs and wants as well as
not.4. Business analysis: Above complete all phase that company analysis the where new
product beneficial (Sawyer, 2011). In this it considered market strategies as well as
highlighting target and potential market , market mix, product positioning etc.5. Product development: Existent product processing will be complete in this phase, that
means firm is capable to analyse perfect design in the manufacturing process.6. Test marketing: It is different to consumer tasting and other concept, in this phase an
industry analysis the prototype goods following the marketing plan (Eight Simple Steps
For New Product Development, 2013).
7. Commercialisation: Marketing plan as well as pricing strategies which should be done so
as to company make new product which are available in this stage.

(Source: Gaurav, 2012)
8 . Launch: It is define as the last stage where company launch their product in marketplace with
the help of above all phase. It should consider judgements surrounding where and when to
launch their goods to consumer.
P6 Different ways of funding
Narwich Telecom Limited is a telecommunication company which provide different
products like, mobile phone, laptop, and other equipments (Yoo and et. al., 2010). Business case
is define the several risk in investing term. Innovation case that mentioned company follows
several steps which are as below:
Executive summary: Mentioned company give new technology services to its buyers in every
country. Innovative product and service both are highly attract the customers to achieve personal
and professional goal. Business is very supportive to give better satisfaction and maximise their
market reputation.
Illustration 2: New Product Development Process

Want and need: One of the main required of the business to manage all corporate customers
needs in an effective and efficient manner. They make and develop their additional phone
feature, internet facility and other.
Problem to solution: Company face many difficult problems related to the financial and latest
trends. From the same company manager are capable to reduce every issues which are present in
here (Zeng and et. al., 2010). They also solve customers basic needs and wants related to the new
product.
Buyers research: In this phase cited firm can make proper research, it consider different buyers
where they highly focusing. Narwich is generally centring on international customers who use to
make mobile phones and laptop.
Development plan: In this step, all marketing research are done, product development and
designing is also complete. In this company earn high profit and increase their sale in
marketplace.
Needs of investments: Finance is an important and necessary part of every business without
money company can not achieve high growth and success. It is required for the organisation to
make product development in an essentials way.
Expected advantages: In this step, different advantages which is achieve by the Narwich with
the support of innovation and invention. Both are very important in order to attain goals and
objectives of the enterprises.
TASK 4
P7 Various tools that organisation use to develop knowledge and intellectual property
Knowledge and manageable acquisition are significant for every enterprises. With the
help of new product development process. Apple limited use innovative technology in their iPad
making activity (Chesbrough, 2010). The next is Virgin Group which also make different
approaches in protect rational property. For the similar mentioned company also use several
techniques in gain high profit. Business must analyse whole factors to get firm knowledge in the
achieving the aggressive advantage.
Buyers knowledge: Primary information about buyers taste and expectation which support in
researching requirement and wants of the clients (Boudreau and Lakhani, 2013). With the help of
this company collect all important information.

Workers & Suppliers: By examine the enterprises culture as well as taking comments and
information about the workers and suppliers etc. These are collected by the Narwich in order to
maximise and control overall performance.
Knowledge about resent trends: It is necessary and essential to identified recent trends in
market. This concept is very supportive for the mentioned organisation to collect all information
about challengers and innovative technology in market. Market knowledge assist in knowing
4P's of marketing mix.
Macro environment knowledge : These are determined a the outside sources, which is highly
influence company in different form. These factor includes such as PESTEL analysis. This is
consider political, social, legal, environmental, economical etc.
Research or Development: This factor is very important to identify proper R&D programs in
order to fulfil buyers needs and market trends. With the help of these all necessary information
are collected (Brown and Wyatt, 2010). Company is capable to develop innovative plans and
ides in the product development process. Apple also use development and research process in
their product such as music player.
CONCLUSION
From the above detailed it can be define the importance of innovation and invention in
business and organisation. Organisation culture, vision, leadership and team work are essential
because it shape the modernization and commercialisation. In this report various tools are used to
develop company position in marketplace. 4P's of innovation and funnel use that define the
company product, price, promotion and process can help business in growing success. The
process of new product development which assist firm in increase sales as well as attracting large
number of the buyers. There are various tools and techniques then organisation can develop
intellectual property and knowledge with the support of research & development and basic
information regarding buyers, suppliers etc.

REFERENCES
Books and Journals
Amit, R. and Zott, C., 2012. Creating value through business model innovation. MIT Sloan
Management Review. 53(3). pp .41.
Boudreau, K.J. and Lakhani, K.R., 2013. Using the crowd as an innovation partner. Harvard
business review. 91(4). pp .60-9.
Brown, T. and Wyatt, J., 2010. Design thinking for social innovation IDEO. Development
Outreach. 12(1). pp .29-31.
Chesbrough, H., 2010. Business model innovation: opportunities and barriers. Long range
planning, 43(2). pp .354-363.
Crossan, M.M. and Apaydin, M., 2010. A multi‐dimensional framework of organizational
innovation: A systematic review of the literature. Journal of management studies.
47(6) . pp .1154-1191.
Gassmann, O., Enkel, E. and Chesbrough, H., 2010. The future of open innovation. R&d
Management. 40(3). pp .213-221.
Jiménez-Jiménez, D. and Sanz-Valle, R., 2011. Innovation, organizational learning, and
performance. Journal of business research. 64(4). pp .408-417.
Lee, S., Park, G., Yoon, B. and Park, J., 2010. Open innovation in SMEs—An intermediated
network model. Research policy. 39(2). pp .290-300.
Leeuwis, C., 2013. Communication for rural innovation: rethinking agricultural extension. John
Wiley & Sons.
Leiponen, A. and Helfat, C.E., 2010. Innovation objectives, knowledge sources, and the benefits
of breadth. Strategic Management Journal. 31(2). pp .224-236.
Lundvall, B.Å. ed., 2010. National systems of innovation: Toward a theory of innovation and
interactive learning (Vol. 2). Anthem Press.
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.
Sawyer, R.K., 2011. Explaining creativity: The science of human innovation. Oxford University
Press.
Yoo, Y., Henfridsson, O. and Lyytinen, K., 2010. Research commentary—the new organizing
logic of digital innovation: an agenda for information systems research. Information
systems research. 21(4). pp .724-735.
Zeng, S.X., Xie, X.M. and Tam, C.M., 2010. Relationship between cooperation networks and
innovation performance of SMEs. Technovation. 30(3). pp .181-194.
Online

Eight Simple Steps For New Product Development. 2013. [online]. Available
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steps-for-new-product-development-0560298#viABllgqXFcsYp6H.97>. [Accessed on
20th September 2017].
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