Innovation Diffusion Models in Policy Research

This assignment, based on F.S. and Berry's work 'Innovation and Diffusion Models in Policy Research', requires students to delve into the theoretical foundations and practical applications of innovation diffusion models within policy research. Students will analyze various models such as the Innovation Funnel and Commercial Funnel, evaluate their applicability through case studies like Bloom et al.'s study on Chinese imports' impact on innovation, and assess the political and economic implications using Wolin's 'Politics and Vision'. The assignment encourages students to consider real-world examples, theoretical frameworks, and policy interventions to foster innovation diffusion.

Innovation

Table of Contents
IINTRDUCTION.............................................................................................................................3
TASK 1............................................................................................................................................3
P1Explanation about innovation and its importance to organisations in comparison with
invention......................................................................................................................................3
P2Explanation about how organisational vision, leadership, culture and teamwork can shape
innovation and commercialisation..............................................................................................5
TASK 2............................................................................................................................................6
P3Explanation about the 4Ps of innovation and use of the innovation funnel to examine and
shape innovative ideas.................................................................................................................6
P4Explanation about the developments in frugal innovation and examples of how it is used in
an organisational ........................................................................................................................8
TASK 3............................................................................................................................................9
P5Explanation about the importance of the commercial funnel and the application of New
Product Development (NPD) processing for commercialisation of innovation.........................9
P6Building of an Innovation Business Case for an organisation, including ways to access
funding......................................................................................................................................11
TASK 4..........................................................................................................................................12
P7Evaluation of the different tools that organisations can use to develop, retain and protect
knowledge and intellectual property.........................................................................................12
CONCLUSION..............................................................................................................................14
REFERENCES..............................................................................................................................14

IINTRDUCTION
Innovation is all about the transferring of idea or invention into new products or services
so as to create value for which the customers will pay. In addition to this it consists of deliberate
application of data, imagination and the initiative so as to derive grater and different values from
the resources (Bain and Kleinknecht, 2016). Moreover, it includes all the process by which the
new ideas are converted into the finished products and services. In this assignment the company
which is being taken into consideration is Educ8 Group company which was established in 2004
and deliver world class training and recruitment solution for small, medium and large
organizations. It mainly renders high quality apprenticeships, bespoke training programmes and
work placement across different industries. This presented report explains about the context of
innovation and the determination between invention and innovation. In addition to this a brief
about different types of innovation and the process required to commercialise innovation is also
explained in this assignment. Lastly the file focuses on the range of methods which are used for
protecting ideas and their advantages and disadvantages.
TASK 1
P1Explanation about innovation and its importance to organisations in comparison with
invention.
Innovation: It is defined as the act of making, inventing or producing something rather
than just creating. Innovation often result when the ideas are applied and implemented by an
organization so as to satisfy the needs and expectation of the customers (Bason, 2018).
Invention: It is defined as a unique method, process and the composition. In addition to
this it is a process which take place during the products development in the marketplace.
For example: An innovation take place when someone wants to make some kind of
improvement or a significant contribution to an item which is already been invented like Apple
iPhone is a kind of innovation of the cell phones.
Importance of innovation and invention: Innovation and invention is important in the
workplace of Edu8 Group because it give companies an edge in penetrating market faster (Berry
and Berry, 2018). In addition to this it helps in providing better connection to develop markets so
as to lead bigger opportunities especially in developed nations. Moreover, it aslo helps in

developing original concepts which render innovator a proactive and confident attitude to take
risk so as to achieve target aims and objectives.
For example: One of the company which got benefited from innovation and invention techniques
is Virgin Group (Biemans, 2018). It specifically includes travel, entertainment, live style and
finance business areas and was established in 1989 by Richard Branson. Later in 1970 company
started growing its venture by innovating different other sector like virgin Atlantic, Virgin
Express, Virgin entertainment group, Virgin mobile, Virgin net and Virgin Bride. Thus, this
consistent growth of the Virgin company has created the aggressiveness and curiosity to enhance
new horizons in business. This type of structure helps in promoting a situation where each
worker come up with their ideas. However, it helps in achieving success in the marketplace
which was supported by the employees of the Virgin group and the enabler of innovation within
the virgin group. Thus, it can be concluded that innovation and invention both plays an essential
role in the overall successful growth of an organization.
Difference between innovation and invention:
Innovation Invention
Innovation refers to the implication of ideas for
products or process which is done for the first
time.
Invention refer to the occurrence of an ideas
for goods and services which have never been
before in the marketplace.
Invention is defined as adding value to the
something which already exist in the
marketplace.
Innovation is defined as the creation of new
product.
It is a practical implementation of concept It is a theoretical concept
It is concerned with combination of various
products and services.
It is concerned with single product and services
While innovating something new there is a
requirement of technical, marketing and
strategic skills.
Whereas while inventing new concept only
scientific skill is required.

P2Explanation about how organisational vision, leadership, culture and teamwork can shape
innovation and commercialisation
Innovation is all about adding value to the products and services which have already
existed in the marketplace (Bloom, Draca and Van Reenen, 2016). Whereas commercialization is
all about introducing the finished products and services in the marketplace. In order to shape
innovation and commercialization within the Educ8 Group company manger must focus on
organization vision, leadership, culture and on the team work which exit in an organization.
Organization Vision: It is a declaration of an organization objectives, which provide
guidance in internal decision making. In addition to this it describes about what the organization
is trying to achieve. Like the vision of educ8 group company is to bring up the positive impact
on the social and economic future of their communities
Organization leadership: Leader is the one who provide guidance and motivate people
to work for achieving organization goals. Like leader of Educ8 Group company helps staff
through developing, empowering and inspiring workforce to achieve their true potential so as to
accomplish vision of an organization.
Organization culture: Culture refer to the organization norms, environment and
regulation under which the different activities are carried out. Like Educ8 Group company carry
out their operation activities taking into consideration four important cultural values such as
honesty, integrity, respect and positivity among each other.
Organization team work: Team work refer to the group of people who work together by
proper coordination and corporation among each other toward the common goal. Like Educ8
Group company divides it different member under different team on the basis of their
specialization so that work can be accomplished on stipulated time period.
There are some of the important elements which helps in the shaping innovation and
commercialization like vision, leadership, culture and team work within the company
(Christensen, Raynor and McDonald, 2015). For example, Virgin Group is one of the company
which has shaped innovation and commercialization just because each employees working in this
company come up with their ideas and solution to the problems. In addition to this the workforce
of Virgin organization work together as a team through proper communication among each
other. Moreover, leader of the Virgin group plays an important role as its the leader who
motivate and influence workforce of the company to come up with their ideas and solution and

which helps in developing friendly and flexible culture within the organization. Moreover, good
culture, effective leader and clear vison of an organisation helps in increasing the productivity
and profitabili9ty ratio of an organization. Thus, all this element has helped the Virgin Group to
achieve successful growth in the marketplace.
TASK 2
P3Explanation about the 4Ps of innovation and use of the innovation funnel to examine and
shape innovative ideas.
Innovation is the most important and prominent factor for organisations. 4P's of
innovation are necessary to know and judge the product ability for satisfying the customers need.
Innovation helps in bringing any imaginable idea to the reality with the help of innovation
funnel. Innovation funnel is a method which analyses the market need and other factors for the
new product development (Díaz-García, González-Moreno and Sáez-Martínez 2015).
4P's of Innovation
4p's of innovation helps to know where organisation needed improvement and what it can
bring to the organisation. It helps to know what area of business needed innovation, what kind of
innovation is needed and suitable for the business. For this purpose 4p's are developed that is
paradigm, product, process and position (DiMasi, Grabowski,and Hansen, 2016).
Product: Product innovation is nothing but an innovation in the product and services
offered by the organisation. It is necessary to innovate the products because of pervasive nature
of customers and environmental policies.
Process: Process innovation means innovation in the methods and ways of products and
services which are delivered to customers. Customers need and priority should always keep in
mind while delivering the products.
Position: Position innovation refers to the innovation in structure. It is understood by
analysing how a particular product or service was thought and how it is actually being used. This
means that the purpose of producing a particular product was different compared to the actual
use of that product.
Paradigm: Paradigm innovations are incidental to the rational models which form what
an organisation is about. It is concerned with the changes done in organisation.
Innovation Funnel

Innovation funnel is the process which helps in turning the imaginable ideas into reality.
The aim is to generate multiple ideas relatable to the current business of training and recruitment.
These multiple ideas are properly scanned to meet the desired criteria of business. Following is
the process or steps which are considered while doing innovation funnel (Dodgson, 2018): -
(Source: Innovation Funnel, 2016)
Idea generation: It is a process of generating creative ideas and processes. Idea can be
factual, optical or conceptual in nature. In other words, it is a process of communicating and
development of new ideas. For instance, educ8 can generate new ideas to train employs by
launching its own mobile application. This application will give the benefit to train one to one
client personally on through mobile application.
Concept investigation: Aim of the innovation funnel in this stage is to create a model
that can be verified. The concept has to be detailed such that it can easily be understood and
customers can judge whether it is useful to them or not. For instance, in developing mobile
application by educ8 company, it should describe about the app that what this app is all about
and it will target only teenagers and youngsters for its training and recruiting purpose.
Feasibility: After creating idea and concept investigation, next step would be feasibility.
It focusses on whether the idea created and investigation done is easily workable or not. It
focuses on financial aspect as what amount of money would be needed for new idea, how much
profit this idea would generate inn future, what are the risk associated with this idea, etc.
Capability: This refers to the ability of educ8 company to meet the desired idea. It
focuses on whether the man power skills inside the organisation is capable enough to work on
Illustration 1: Innovation Funnel

new idea of mobile application or they lack knowledge and technical knowhow. If they lack,
then organisation will have to search for new employees who will have the potential to meet the
company’s objectives.
Launch: launching the product in the market is the step where it will involve discussions
relating to the promotion schemes needed to promote the product. It will also involve that where
this scheme should be launched and what investment will be made on this. For instance,
launching mobile application for training and recruiting can be promoted in universities,
colleges, various social media apps like Facebook, Instagram etc.
Roll up: This is the final step in innovation funnel which means monitoring and
controlling. This will help to check whether the application is working according to the plan or
not.
P4Explanation about the developments in frugal innovation and examples of how it is used in an
organisational
Frugal innovation: It is also known as inclusive innovation and constraint based
innovation. It is defined as the type of innovation in which technological products are being
customized at high volume but at low price for emerging markets (Kleinknecht, 2016). It dies not
just include technological innovation but also considered incremental product and process
innovation. In addition to this it can be defined as the process or the techniques which is used by
the Educ8 Group company in order to reduce the complexity and cost incured in the production
of goods and services.
Principles of Frugal innovation: The concept of Frugal innovation is based upon six
principles which is being taken into consideration by Educ8 Group organization and they are
mentioned below: Find opportunity in adversity: This principle specify that the Edu8 group company must
take something that is a threat or adversity and should turn it into an opportunity. Do more with less: It specifies that the Educ8 Group company must make the best use of
available resource instead to collecting and gathering new resources. Think and act flexibly: It explain the Educ8 Group company must be improvisational
rather than rigid. Keep it simple: It specifies that the Educ8 Group company must take into consideration
fewer choices instead to more choices, as it better to keep simple than to create complex.

 Include the margin: It explain that the manager of Educ8 Group company must must
take into consideration the target customers and their need and preferences.
 Follow your heart: This principle of frugal innovation specifies that the manager of
Educ8 Group company must be passionate and should come up with new ideas so as to
implement them in order to achieve target goal of the organization.
Importance of Frugal innovation: Frugal innovation helps in the overall development
of an organization and to achieve competitive advantage in the marketplace. As the Educ8 group
company takes this into consideration so as to sell products and services at low price which
contributes to design improved products which are intended for the market of developed
countries. It is important for the company as without this innovation strategy company cannot
exit for a long period of time in the marketplace. In addition to this neither can it achieve
competitive edge and after a period of time company might have to suffer from loss. So in order
to give stiff competition in the market place Educ8 group company must take into consideration
frugal innovation and its six principles so as to earn maximum profit for the company as well it
helps in driving larger part of market area.
TASK 3
P5Explanation about the importance of the commercial funnel and the application of New
Product Development (NPD) processing for commercialisation of innovation.
Commercial funnel: It is also referred to as revenue and sales funnel which describes
about the buying process through which the company lead customers to purchase products. There
are six phases of commercial funnel which need to be considered by Educ8 group organization.
First is awareness phase under which the prospect become aware about the existence of a
solution. Second is internet phase in which prospect demonstrate interest in the products through
carrying out product research (Kogan and et. al 2017). Next come evaluation phase where the
educ8 company evaluate the competitor’s solutions. After this come the decision phase where
final decision and negotiation take place. Next come purchase phase where product and services
is being purchased. After that revaluation phase come up where the customer will decide whether
or not to renew the contract. Last comes the repurchase phase where the customer makes
repurchase of the products and services.

Source: Sales funnel2016
New development process: It is defined as the process of taking the new conception of
product and services into the marketplace. So when the Educ8 Group company plan to develop
new product and services in the market then there is need to take into consideration eight major
stages of new product development process and they are mentioned below (Lusch and
Nambisan2015): Idea generation: This is the first step in the product development process in which the
Educ8 Group company comes ups with innovative ideas known as brainstorming. Idea evaluation: In the second stage manager of Educ8 Group company must filter out
the different ideas so as to select the best one. Concept definition: In the third stage manager of Educ8 Group company must take into
consideration specific concept like product design, technical feasibility and market
potential. Strategic analysis: In this stage manager of Educ8 Group company must ensure that the
selected idea fit into business strategic plan as per the demand, cost and profit margin of
the company. Product development and testing: In this stage manager of the Educ8 Group company
must test the product whether it is prepared as per demand or not, here the concept is
being tested.
Illustration 2: Commercial funnel

 Market testing: In market testing stage manager of Educ8 Group company modify the
goods and services as per the demand of the customers (Wolin, 2016). In addition to this
in this stage manager decide the timing for rendering product and services in the
marketplace. Commercialization: In this stage product and services is being brought up in the
marketplace so as to make aware customers about the availability of product.
 Product launch: This is the last stage in which the manager of Educ8 Group company
does the detain launch plan so as to ensure smooth introduction to market.
Thus, overall it can be concluded that in order to introduce new product in the market,
then the manager of Educ8 Group company must take in to consideration all the above eight
stages so as to achieve successful growth in the marketplace.
P6Building of an Innovation Business Case for an organisation, including ways to access
funding.
In order to develop and to achieve competitive edge in the marketplace it is very much
essential for the Educ8 Group company to build up an innovation business case which is
specified below (Mowery .and et. al 2015):
Executive summary: Educ8 Group company is one of the trainer and recruiter provider
company which deliver world class training and recruitment for small, medium and large
enterprise. It was established in 2004. The company wants to increase its market share by
innovating new product and service in the market place so as to achieve competitive advantage
across UK.
Target: The main Target of Educ8 Group company is to create positive impact on social and
economic future of their communities by giving high class training and recruitment solution to
all types of enterprise.
Solution: Educ8 Group company can achieve it target to increasing its market share by
developing new product in the market. Like the Educ8 Group company is planning to innovate
such App through which they can render training to one to one client so that they get specialized
in the work and it will also help in saving of time of the trainer too.
Why product is innovative: The new App which the Educ8 Group is planning to innovate is
different because through this client can easily come up with queries which they cannot come up

during face to face. In addition to this it is different as because through this app client can get the
knowledge and will be trained from the expert who is authenticated and talented.
Customer research: In this case Educ8 Group company will adopt the strategy of segmented,
targeting and positioning, where the manger will set the target market and will segment it is to
different parts like for teenager and youngsters separately.
Funding: In this case manager of Educ8 Group company manages the funds from different
sources like the through crowdfunding, bootstrapping etc. Bootstrapping refers to use of own
financial resources such as money for saving account etc. Whereas crowdfunding refers to the
practice of raising capital from large number of people, typically via internet.
Expected benefits: By innovating this new product the company is expecting to increase its
market share and to achieve successful growth in the marketplace by increasing it productivity
and profitability ration of an organization,
TASK 4
P7Evaluation of the different tools that organisations can use to develop, retain and protect
knowledge and intellectual property.
For every organization it is very much essential to develop, retain and protect knowledge
and intellectual property right as with protecting them a company cannot exit in the marketplace
and neither can create its own brand image in the mindset of the customer's. So Edu8 Group
company must take into consideration different tools through which they can protect and retain
intellectual property right and knowledge of an organization (Tukker, and et. al 2017).
Intellectual property refers to the set of intangibles owned and legally protected by an
organization from the outside use without the prior consent of the owner.
There are specifically two traditional narrow views of the role of intellectual property
within the field of innovation management. One is innovation management research which act as
an indicator for innovation input or output like patents etc. Second is innovation management
practice which as a means of protecting knowledge. The acquisition, generation, sharing and
exploitation of knowledge are referred to as a success of innovation. So Edu8 Group company
takes into consideration the concept of intellectual property right so that the company can make
exclusive use of its own plan, ideas and other intangible assets without the concern of

competition at least for specific time period. This right consist of various tools which are
mentioned below:
 Copyright: It is one of the tool which the Edu8 Group company can use it so as to
protect original work of authorship like the way Edu8 Group company gives training and
recruitment solutions for small, medium and large organization. Therefore, any original
content of an organization which is published on the websites of the company is being
protected through copyright law.
 Trademark: It is defined as a symbol, logo or words which is registered and which helps
in distinguishing company product from its competitors.
 Patents: It is also a form of intellectual property right which the Edu8 Group company
can make use of it so as to exclude others from making, selling, using and importing an
invention for specific time period.
 Trade secrets: It is defined as a formula, process, device or the business information that
the Edu8 Group company can keep private so as to give stiff competition to its
competitors in the marketplace. For Example, the trick or the formula that the Edu8
Group company apply so as to render better solution to the small, medium and large
enterprise for recruitment and selection process.
Branding plays an important role in protecting innovation. For example, Apple company
has its own brand image in the marketplace and if the company innovate some new technological
phone under its same brand then it helps in protecting the right that no other competitors can use
the same techniques and process to innovate the same in the marketplace. Thus, it is proved that
branding in itself helps in protecting innovation.
There are certain limitations too of intellectual property as it involves various rules and
regulation be carried out in order to protect the knowledge through trademark, patents etc. For
example, when the Edu8 Group company goes through the process of registering a trademark
then there is an application fees that the company have to pay to satisfy filling requirements. If in
case mark is deemed acceptable then the management owner need to pay maintenance fees as
well so as to establish continued use. Thus, to carry out the different process of intellectual
property right require much of time and is costly enough when it is done taking into
consideration international concept.

CONCLUSION
From the above mention report it can be concluded that without innovation techniques
business cannot run its operational activities for a long period of time neither can achieve
competitive edge in the marketplace. In addition to this company should adopt innovation funnel
strategy so as to examine and shape innovative ideas of an organization. Moreover, while
developing new product in the marketplace manager of the company must follow certain steps
which starts right from generation of ideas and ends up with commercialization process. Lastly it
can be concluded that there are different tools which the organization can make use of it so as to
develop, retain and protect intellectual property right like patents, copy right, trademarks and
many more tools. Thus, it helps the organization to achieve sustainable growth and competitive
advantage in the marketplace.

REFERENCES
Books and Journals
Bain, D. and Kleinknecht, A. eds., 2016. New concepts in innovation output measurement.
Springer.
Bason, C., 2018. Leading public sector innovation: Co-creating for a better society. Policy
Press.
Berry, F.S. and Berry, W.D., 2018. Innovation and Diusion Models in Policy Research. In
Theories of the policy process(pp. 263-308). Routledge.
Biemans, W., 2018. Managing innovation within networks. Routledge.
Bloom, N., Draca, M. and Van Reenen, J., 2016. Trade induced technical change? The impact of
Chinese imports on innovation, IT and productivity. The Review of Economic Studies.
83(1). pp.87-117.
Christensen, C.M., Raynor, M.E. and McDonald, R., 2015. What is disruptive
innovation. Harvard Business Review. 93(12). pp.44-53.
Díaz-García, C., González-Moreno, Á. and Sáez-Martínez, F.J., 2015. Eco-innovation: insights
from a literature review. Innovation. 17(1). pp.6-23.
DiMasi, J.A., Grabowski, H.G. and Hansen, R.W., 2016. Innovation in the pharmaceutical
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Kleinknecht, A., 2016. Innovation patterns in crisis and prosperity: Schumpeter’s long cycle
reconsidered. Springer.
Kogan, L.,and et. al 2017. Technological innovation, resource allocation, and growth. The
Quarterly Journal of Economics. 132(2), pp.665-712.
Lusch, R.F. and Nambisan, S., 2015. Service innovation: A service-dominant logic perspective.
MIS quarterly. 39(1).
Mowery, D.C.and et. al 2015. Ivory tower and industrial innovation: University-industry
technology transfer before and after the Bayh-Dole Act. Stanford University Press.
Tukker, A. and et. al 2017. System innovation for sustainability 1: Perspectives on radical
changes to sustainable consumption and production. Routledge.

Wolin, S.S., 2016. Politics and vision: Continuity and innovation in Western political thought.
Princeton University Press.
Online
Commercial funnel. 2016. [Online]. Available Through: <https://cksyme.com/sales-funnel/>
Innovation funnel. 2016. [Online]. Available
Through:<https://www.ifm.eng.cam.ac.uk/research/dstools/innovation-funnel/>