Innovation Challenges and Solutions

This assignment delves into the concept of innovation funnels and their application in various contexts. It examines real-world case studies showcasing both successes and challenges encountered during the innovation process within UK universities and other sectors. The analysis focuses on understanding how different factors, such as market orientation, funding constraints, and collaboration opportunities, influence the effectiveness of innovation strategies.

UNIT 8 INNOVATION

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Innovation and its importance and comparison with invention.............................................1
P2 Effect of organization vision, leadership, culture and teamwork on innovation and
commercialism ...........................................................................................................................2
P3 4Ps of innovation and use of innovation funnel in shaping innovative ideas.......................3
P 4 Development of frugal innovation for chosen organization.................................................5
TASK 3............................................................................................................................................6
P 5 Importance of commercial funnel and application of new product development.................6
P 6 Innovation business case for the chosen organization including ways for funding.............7
P 7 Tools used for retaining and protecting knowledge and intellectual property......................8
CONCLUSION................................................................................................................................9
REFERENCES .............................................................................................................................10

INTRODUCTION
Innovation is a process of translating an inventory idea into a product in order to improve
marketing value. An idea of innovation should be real and have ability to be implemented. It
includes intended use of information and initiatives to derive distinct values form it. Innovation
involves all the procedures through which inventory ideas can be generated. Present report
describe about innovation procedure of choose company Softwire. The company provides
solutions to digital design and software engineering. Present report contains two case studies of
organisations namely Virgin group and Apple Inc. which involves significance of innovation
and its comparison with invention. Further more, impact of leadership and vision on innovation
has been described in the report. 4Ps of innovation and innovation funnel has been illustrated in
the report. Different tools that can be used by companies to retain and protect innovative ideas
ha been explained.
TASK 1
P1 Innovation and its importance and comparison with invention
Innovation is very significant for any organization as it helps in creating new products
and inspiring employees (Bryson and Daniels, eds., 2015). innovation supports in increasing
productivity of the organisation. It is important for Virgin group and Apple Inc as well.
Innovation in companies means execution of new ideas and thoughts which can help in
enhancing process of business and workplace of organisation. In the process of innovation
companies changes their management strategies, mergers and learning. Its helps in increasing
wealth and revenue of the organisations. Comparison of innovation with invention is as follows:
Innovation is the implementation of inventory idea. It adds value to the existing things. It
is real implementation of any new idea (Aghion and et.al , 2013). Skill required for innovation
are marketing skills, technical competencies and skills for strategy. Whereas invention is defined
as occurrence of a thought for making a product which has never been implemented before. It
focuses on creating new products. Concept of invention is original idea which has some scope to
be implemented. Skills for innovation are creative thinking.
Chosen SME Softwire relies on it employees so that they can provide innovative ideas
which can be used to enhance business processes. The Softwire organization and it developer
has specific ideas for product by which workers of the firm cab give creative ideas by keeping
intellectual property. The company provides flexibility to its employees so that they can share
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their creative ideas openly. Innovation in products of Softwire has been increasing its revenue
and profit. It is helping organisation in providing high quality services to its consumers.
According to (Hariri and Roberts, 2014.) innovation process supports in building employees
skills and gives motivation to them. Similarly innovation has significance for Apple Inc and
Virgin group which is as follows:
 Innovation has helped Apple Inc in making new phones which are called I pods. This has
increased it revenue by 90% (Hariri and Roberts, 2014).Company has used strategic
planning which has supported them in implementation of new ideas and thoughts into it
existing products.
 Innovation has also helped Apple Inc in increasing their product value and market share.
 On the other hand Virgin group is growing continuously by implementing simple
innovation in its ventures which involves Virgin express, Virgin rails and Virgin
mobiles. Company ash take inputs from it employees in the process of innovation.
P2 Effect of organisation vision, leadership, culture and teamwork on innovation and
commercialism
Vision of the organization explain what it wants top accomplish and what are its goals.
Vision of the company supports in making clear idea for making innovation in products. It also
gives idea for selecting particular course if action (Chesbrough, Vanhaverbeke and West,eds.,
2014). In case of Softwire consultancy the company has 3 important visions which can help it in
accomplishing the innovation process. These visions can also help company in giving high
quality service to its consumers. All these visions have high impact on innovation and
commercialism of its product and services. It is supporting company in improving it business
operations. Visions support in deciding objectives and targets of the company. Employees
motivation also get impacted by vision of the organisation (Yeow, Uyarra and Gee, 2015).
Leadership also impact innovation as it supports in making decision making process of
invention. Leadership assist in making decision for particular innovation procedure in the
company. Proper guidance from leaders and manges has helped Softwire in making innovation
process successful. Effective leadership in the company has supported in encouraging its
employees due to which they are able to give creative ideas. It is also helping staff in learning
new technologies by innovation in products can be done successfully. Leadership also motivates
workers in developing new thoughts and and inventory ideas. This supports in increasing
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benefits and growth of organisation in market. Working culture of the institution is supporting in
making advanced products like Apple watch, I pod and various other products and services.
Organisation culture also affects process of innovation and commercialism. Behaviour,
thoughts and values of employees highly impacts development of innovation in company.
According to (Walt and et.al , 2014)culture of any company can increase or decrease the quality
of products and productivity of the firm. In this regard workers of the Apple have effective
working culture which is helping it making invention process successful. . Working culture of
the company is supporting in making innovative products like Apple watch, I pod and various
other products and services.
Similarly teamwork also impacts innovation process of any company. It gives an
opportunity to workers so that they can interact with each others. This interaction among
employees is helping Virgin group in getting innovative ideas and thoughts. Teamwork in Virgin
group is supporting company to increase it productivity. Therefore the company is having high
probability of getting accomplishment in innovation (Howard, Flores and Hambleton, 2015).
P3 4Ps of innovation and use of innovation funnel in shaping innovative ideas
4Ps of innovation is model which helps organisation to explore process of innovation
which can improve business operations of the firm. The innovation mix contains product,
position, process and paradigm. These 4 ps of innovation are very useful in shaping innovative
ideas for Softwire. 4Ps are as follows:
Product
It include ideas for the product which requires innovation. Softwire company (Softwire.
2017) and its developers possess new ideas for product which on which employees can provides
suggestion (Howard, Flores and Hambleton, 2015). Innovation in products involves developing
a product which is different form others. It includes making a thing which can help company in
gaining consumers attraction.
Process
Innovation process includes defective manufacturing and delivery of the innovative
product. The company Softwire is gaining profit by asking commission on innovative products.
Process of innovation mix comprise of sale of the product in target market (Hughes‐Hallett and
et.al , 2015).
Position
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Position is related with perception of the company regarding innovative products. It
involves perception of the customers of Softwire consultancy also. What employees think about
the organisation and views of suppliers.
Press
Press of innovation mix works on two measures which are conducive and prohibitive. Ij
this segment Softwire focuses on making environment of the company creative
(Nijkamp, 2014). It is achieved using innovative organisation culture . Employees of the
company are encouraged for providing their innovative ideas.
People
In people prospect of invention workers should have ability like innovative thinking,
creativity in product and intelligence. These competencies are needed in individual to implement
innovation.
Innovation funnel and its usage
Innovation funnel is a tool use by various organisations during implementation process of
innovation. It is used in managing new product development . Softwire uses this tool for
researching, evaluating and launching the new and innovative product. The funnel of the
company is wide form the form to which is used in collecting new ideas and thoughts for the
proposed product innovation (Gilbert, Ahrweiler and Pyka, eds., 2014). Next segment of the
funnel develops the ideas got form the investigation phase. In this developments new ideas are
refined by adding some more values to it. In th development phase narrow neck of funnel is used
to allot resource required for innovation. The third phase of the organization is to assure the
chosen products are delivered on the objectives decided when the project or business concern
procedure is sanctioned
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Illustration 1: Innovation funnel
(Source: Innovation funnel . 2017.)
P 4 Development of frugal innovation for chosen organisation
Frugal innovation is the capability of company to generate new ideas for business, value
chains renovation of existing products. Frugal innovation include organisation voids and
constraints of resources to create more market share. It is game changing technique which
support companies in making innovation successful (Mina, Bascavusoglu-Moreau and
Hughes,2014). Softwire is obliged by price conscious and eco consciousness consumers, workers
and governments to give offerings that are low priced, sustainable and have high quality. In
Softwire consultancy frugal innovation is proven a flexible method which supports in
increasing opportunities for growth. The company uses this tool as a instrument which can help
company to remain competitive in emerging market. Market of United Kingdom works as a
base for frugal innovation. In this merging market the company has the capability to make
innovation in it resources and provide frugal solutions which can deliver high quality services to
its customers (Ogunbiyi, Goulding and Oladapo, 2014). The product and services made using
frugal innovation are affordable which can easily bought by consumers. In the case of Apple Inc
share of the company have fallen to 20 % over the past years. Frugal innovation helps in
reducing the complexity of product an its costs. The process aims at removing unnecessary
features from the product. Steps of frugal innovation is as follows:
 First step in this innovation is determining opportunities which are the biggest threats for
the organisation. It includes competition threat and threats of globalization.
 Second step of this process is to find method through which better solutions can be
given.
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 Third step focuses on making flexible thinking. New materials and manufacturing
instrument are the part of this step.
 Fourth step requires that every ideas must be simple and should contain various choices
so that backup will always be there.
 In the fifth step of this innovation Softwire concentrate on making ideas which involves
appropriate KYC and margins.
 Last step of this process focuses moving ideas and thoughts further.
TASK 3
P 5 Importance of commercial funnel and application of new product development
Commercial funnel is a marketing model which is totally focused on consumers (Lewrick
and et.al , 2015). This model explains journey of the consumer towards buying of products and
goods. By using this model Apple Inc has made the way to provide commercial funnel for its
consumers. Company has implemented innovation in which they have made iPod which can
contain many number musics in the tiny space of it. The organisation has put an effort for this
funnel and attracted consumers for their product marketing. Company has got the No.1 position
by selling 2 million iPods . This technological breakthrough by the company has increased it
market value. The innovation and exploitation methods that have been used by the organization,
which concerns the promotion of the commodity, sales publicity, other merchandising efforts
that promotes mercantile adoption of the product and development
Illustration 2: Commercial funnel
(Source: Bow the funnel. 2017)
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Above diagram describes that there are several layer in the commercial funnel. The diagram
explains the journey of buyers towards buying of goods and services (Walt and et.al , 2014).
First layer of the funnel is for product campaigning which supports in attracting consumers. The
second layers leads to proposed project. In the third step organisations opportunities are
described. Fourth step involves selling of the commodity. Fifth step focuses on clients and
customers (Yeow, Uyarr and Gee, 2015). Last step involves retention of products by marketing
of all these services.
Virgin group uses this funnel to increase their marketing of products. The reason behind
constant growth of the organisation is use of this commercial funnel which is helping them in
gaining consumer attraction. The Softwire company is also have unique ideas which is used in
their product making. The innovation and exploitation methods that have been used by the
organization, which concerns the promotion of the commodity, sales publicity, other
merchandising efforts that promotes mercantile adoption of the product and development. The
organisation by using this funnel particularly focuses on needs and expectations of consumer.
It also assists company to communicate with its customers and and making improvements
accordingly. Softwire consultancy with the aid of commercial funnel is capable to form
innovational ideas and cognition during marketing their gods and services.
P 6 Innovation business case for the chosen organisation including ways for funding
The Softwire consultancy is having new product idea in which employees of the
company can give their suggestion in innovating their products and services (Howard, Flores,
and Hambleton,2015). Innovations are suggested by protecting the intellectual property. The
company has taken votes from its 100 employees on the issue of welfare budget. The
organisation is also using innovative tool which is helping them to discuss in regard of new
thoughts and ideas. Revenue of the company has increased by 40 % after product and service
marketing.
Softwire company provides its services and products offline only. Now for making
innovation Softwire consultancy is planing to make a mobile application by which more
consumer can use their services of digital engineering. Management of the organisation has
discussed this idea with its staff members. Employees suggestions are asked so that they can
make innovation in betters way. Making of this application will help the organisation in
generating more revenue and profits. This innovative idea can be conveyed though conducting
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open discussion. Appropriate training is required for the workers. Various resource would be
required to implement this innovation such as human resources, technical expert, trainers and
funding resources. Company can take loan from banks to get funding. Company can take funds
form big enterprises in the region. Ways for funding in this innovation is as follows:
Bootstrapping: Softwire can use its own financial resources like saved money and personal
credits (Nijkamp, 2014). Using own money would be helpful for the organisation in making
innovation in in its existing services.
Friends and family : Being an SME Softwire can take funding from their friends and business
partners. It will support company in getting funds easily for the innovation process.
Angel investors : These people are the ones who are interested in providing funds for the
business . Softwire can take help fork these investors in their innovation of mobile app.
Venture capital: These kind of venture provide funding in the early stage of innovation
procedures.
Crowdfunding : These are web based funding from which business organisation can ask for
money for their project. Investments can be given in the form of debt, equity and rewards.
Likewise, Virgin group also assists entrepreneurial endeavours that are awaited to contribute in
growth of workers. In this organization, each worker is able to show case the thought of business
project in its pertinence if it is real in nature. In contrast to that , Apple Inc uses some of the
important principles for their enterprise growth like top indenture excellence, inventive ideas,
creation, privacy and average disposition. These principles supports the company in making
organisational culture and environment.
P 7 Tools used for retaining and protecting knowledge and intellectual property
In order to keep innovation idea of Softwire consultancy confidential company all the
employees have to maintain the secrecy (Lewrick and et.al , 2015). Company can use various
tools for protecting their intellectual property. For this organisation can patent its rights for the
new mobile application. Following are the tools for protecting its intellectual property and
innovative ideas:
Patents
Softwire can use patent tool for protecting their innovative idea. Company can register
its app invention with government. By using this tool company can gain legal right gain making
of same product by any one in the market. Tangible thing can be protected by patents. Patents
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gives legal right against the same product manufacturing. It also supports in protecting mobile
application form the competitors in market.
Trademarks
Softwire can use trademark tool also for securing their innovative idea of launching
mobile application. It is a name phrase or symbol that is used in association of goods and
services. It is use in connecting brand with quality which support sin building reputation of the
company. Trademarks will help the organisation in securing its products and services. It gives
assurance to company that other fir will not be able to use these symbols.
Copyrights
Softwire consultancy can use copyright tool to secure intellectual property. It helps in
protecting expression of thoughts but not the entire idea. Registration is required in making
your property copyrights (Walt and et.al , 2014). The copyright lasts for 50 years which is the
biggest advantage.
Trade secrets
Trade secret is device used for data compilation which grants owner and advantage over
rivalry firms. It covers state instead of federal laws. For protecting intellectual property it is
requires the company to prove that this will aid values to the organisation. Proper measures are
taken by the company safeguard the concealed.
CONCLUSION
From the above report it can be concluded that process of innovation and
commercialization help in increasing product quality and supports in making new products.
Innovation is very significant for any company to increase its market value and shares.
Leadership,vision and teamwork highly impacts company's innovation process. This process also
support sin customer retention by using commercial funnel. Company can increase its customer
base by making use of innovation process. In this respect, two organisations namely, Apple Inc
and Virgin Group also make an attempt of using various innovative approaches and development
of the product. It can help in gaining customer attraction towards their target goods and
commodity. Various developmental tools and tools for protecting intellectual property can be
used to make ideas and thoughts of innovation secured. Frugal innovation and innovation funnel
is required to make innovation successful.
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REFERENCES
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innovation networks. Heidelberg: Springer.
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knowledge: Case studies of place-based leadership and public service innovation. In Case
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Hughes‐Hallett, A. and et.al , 2015. Quantitative analysis of technological innovation in
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Mina, A., Bascavusoglu-Moreau, E. and Hughes, A., 2014. Open service innovation and the
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Nijkamp, P., 2014. Entrepreneurship, Innovation and Regional Development: An Introduction
By Jay Mitra Milton Park, UK: Routledge, 2012. Economic Geography. 90(1). pp.117-118.
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Ogunbiyi, O., Goulding, J.S. and Oladapo, A., 2014. An empirical study of the impact of lean
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14(1). pp.88-107.
Walt, N. and et.al , 2014. Future cities, UK capabilities for urban innovation. Future Cities
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Online
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