Innovation and Commercialisation

This document discusses the importance of innovation and commercialisation in organizations, focusing on the case of YOYO drinks. It explains the concept of innovation and its significance for businesses. It also explores the role of organizational vision, leadership, culture, and teamwork in supporting innovation. The document further delves into the 4Ps of innovation and developments in frugal innovation. Overall, it provides insights into how innovation and commercialisation drive business growth.

INNOVATION
AND
COMMERCIALISATION

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK1.............................................................................................................................................3
P1. Explain innovation and its importance to organisations..................................................3
P2: Organisational vision, leadership, culture and teamwork supports innovation. .............5
TASK 2............................................................................................................................................6
P3. The 4Ps of innovation......................................................................................................6
P4: Developments in frugal innovation..................................................................................8
TASK 3..........................................................................................................................................10
P5: Importance of the commercial funnel and New Product Development.........................10
P6: Innovation Business Case..............................................................................................11
TASK 4..........................................................................................................................................13
P7: Different tools for developing, retaining and protecting knowledge and intellectual
property.................................................................................................................................13
CONCLUSION..............................................................................................................................14
REFERENCES..............................................................................................................................15

INTRODUCTION
Innovation is the first and foremost steps that is used by the organisation in order to
satisfy their customers requirements and to provide them full and final satisfaction. It involves
dealing with the changing trends and current customers requirements which leads to the success
of the organisation (Tidd and Bessant, 2018). Innovation is also termed as the generation of the
new ideas for the business organisation whereas commercialisation deals with introduction of the
new commodity in the market for the use of customers and also to interact with the customers.
Both the term Innovation and Commercialisation plays a significant role for the sustainability of
the business associations. The chosen business organisation is YOYO drinks which provides
diversified range of soft as well as healthy drinks to the economy of the UK. This assignments
supports the business to analyse the process of innovation and invention. This current task also
helps in studying organisational culture, vision, teamwork and leadership required for the
introduction of the products and services in the business. Along with this , it also focuses on the
4Ps of innovation , innovation funnel and how does this impact the innovation and
commercialisation. At, last this report will render the essential necessitate for business by using
innovation business case, tools needed to retain, secure and protect intellectual property.
TASK1
P1. Explain innovation and its importance to organisations.
Innovation is the process of bringing new ideas, thoughts, creativity in the business
organisation for their products and services to satisfy the changing demands of the customers. It
serves as a driving force for the organisations. It drives people towards the products and services
of the association as they are more creative in nature. The business of YOYO drinks must focus
on the adoption of innovation and commercialisation as this would provide their business with
the high sales and revenue margin and would also enable them in sustaining their business in
then market for a longer duration of time.
YOYO drinks is the largest beverage company which supply healthy drink to the people
of the UK economy. The company have achieved a rapid and drastic growth in the last 3 years.
The company of YOYO drinks also deals in providing healthy mango lassi which has risen the
sales and profit margin of the business within the tenure of three years. To earn a best possible

way to sustain a business the company of YOYO drinks must focus on the factor of Innovation
and commercialisation.
Importance of Innovation to the business of YOYO drinks :
It is essential for a business of YOYO drink to adopt the factor of Innovation in the
business in order to increase their sales and profit ratio. The implementation of innovation will
help the business in various ways such as :
 Innovation will helps the association in marketing their business by the creation of unique
marketing plan that suits our business (Biemans, 2018).
 It is essential for the business of YOYO in order to beat their competitors as the business
think innovatively and come up with the better designs and products which support
business to become compete table.
 Provides the business of YOYO drinks with the easy solution of the problems as the team
who have been engaged in the solving of problems can think creatively towards the
solution.
 Institution can exercise the innovative block chain technology for delivering transparency
in the supply chain. This innovative technique is essential for eliminating the errors in
supply chain.
Difference between Innovation and Invention :
Basis Innovation Invention
Concept Innovation is the
implementation of the idea
which have been generated
newly.
Invention involves all the
ideas which are original and
their working in the theory.
Occurrence Occurs when the need is felt
for the new products or the
improvement is need in the
existing products (de Araújo
Burcharth,, Knudsen and
Søndergaard, 2014).
Occurs when a new or fresh
ideas strikes a mind.
Activities Innovation is the activity Invention is the activity which

which is applied and spread all
over the organisation.
is limited to the research and
development.
P2: Organisational vision, leadership, culture and teamwork supports innovation.
Development or creation of the fresh ideas is the main purpose of the innovation.
Innovation in the organisation can be implemented with the successful invention and also by
decoding the new thinking in the association to keep them head from their competitors.
Innovation and invention is termed to be the main goal for the commercialisation of the products
in the market place. Organisational culture, vision, leadership and teamwork are the core
components for driving the innovation in the business of YOYO drinks. These components are
essential for executing the activities successfully in the organisation(Soken and Kim Barnes,
2014).
Organisational culture : It is related to the values, norms and ethics that has to be
followed in the business association for maintaining the healthier relationship and work
environment through which the workforce of the organisation feel motivated. This will support
the business in easy resolution of the conflicts. The business manager of the company YOYO
drinks must ensure that the organisation has a peaceful and harmonious environment which help
their employees to work with their full efficiency.
Team Work : It is the vital factor that help the business association to execute their task
in the most appropriate manner with innovations and creations. The manager of the YOYO
drinks must focus on the establishment of the team spirit in their business among the employees
so that all employees in the business feels motivated and work with their team without causing
any conflicts in the execution of the operation.
Leadership: Leadership plays a significant role in the accomplishment of the
organisational goals by motivating their staff in the best possible manner to work towards the
achievement of the goals. To launch new category of the juice the manager of the YOYO drinks
must focus on the hiring of the staff who are skilled and focused about the works and can
motivate the work force or can influence the employees to works for the attainment of the
organisational vision with the maximum profit margin (Yoshida and et. al., 2014).
Vision: every business organisation operates their business with the establishments of
vision. This vision is the only factor that drives workforce to work effectively . This is also
coined as the long term vision of the business. The manager of the YOYO drinks must focus on

the establishment of the vision which is easily achievable . The company operates with the vision
to become the worlds largest renounced company serving variety of drinks across the world. By
the introduction of the new brand of the organic juice the company aims to achieve the customer
base and larger share of the market so that the business can be enhanced.
These above discussed factors may hinder the level of performance of the YOYO drinks
so the company must focus on these factors to achieve the efficiency level by launching new
organic juice in the market of UK.
Different source of innovation: various sources of innovations are there which are described
below :
Changing perception : The company must consider the changing perception of the
public or customers for the launch of their new brands and variety of organic juice as alteration
in the company with the alteration in the perception level of the customer will help the business
to increase their sales and revenues (West and Bogers, 2014).
New knowledge : This factor involves gathering of the information about the new areas
in the market so that the manager of YOYO drinks may sustain their business through proper
market analysis.
These sources of innovation are much more important for the business organisation as
this would enable the association to cope up with the changing perception and render them with
the all information which are essential for the business to successfully implement the process of
innovation in the business.
TASK 2
P3. The 4Ps of innovation.
Innovation may takes place in the various form which may lead the business to the higher
level. Creation in the business is essential for their profitability and productivity as this involves
satisfaction of the customers demands. Customers expectations and their wants change
frequently with the change in trends. To overcome this problem, the manager of the YOYO
drinks must focus on the forms of the innovation which are as follows :
 Product : This is the prime and the first step in the 4Ps of innovation which is concerned
with what do we offer and how it can be made better so that it may lead to the customers
satisfaction. In perspective of YOYO drink, the firm is in introducing the new organic

product by determining the changes in the customers perceptions before the launch of the
new product (Anderson, 2013). Hence, the new offering would be the product of the
company, which is required to be highly innovative in context of enhancing the scope of
improvement.
 Process : This step is generally a process which includes the procedure of how to create
what exactly as been demanded by the customers. It will provides the business of YOYO
drinks with the best quality of the tools and methods to produce the standard quality of
the products and services to the customers with the innovation. For instance, the firm
would be using processes like Artificial Intelligence and Automation to develop and test
the whole product effectively as per the needs of the market.
 Paradigm : It is the non stop procedure of prolong of a product in the market. This will
help YOYO drinks in the maintaining the level of survival that can be maintained through
the continuous modification in their products so that the customers needs can be satisfied.
Moreover, this also leads to the environment of the company, which requires the firm to
continuously train their workforce in relation to enhancing their competence as per the
modifications within the product are concerned.
 Position : This is generally a step which focuses on the positioning of the product in the
most suitable market where there is high consumption of the fruits . So that the business
and profit margin of the YOYO drinks can be enhanced (Anderson, 2014). As an
example, the firm could position its product through online and offline stores, which
would facilitate its market reach and higher customer acquisition.

Source :4 P's of Innovation. 2018
Innovation funnel and its usage :
Innovation funnel is the process which helps in development of the products. It is the
three process steps which involves gathering informations from employees and customers.
Innovation funnel is the one which gives step by step ideas about the development of the
product. After the collection the best suitable alternative is been chosen and implemented for the
product development. The company of YOYO drink must use this funnel as this would help
them in implementation of the strategies which are beneficial for the development of the new
products .
P4: Developments in frugal innovation.
Frugal innovation is the one which reacts to the limitation in resources. It aims at
reducing the cost of products and services at the time of the development. This innovation is
mainly considered with the elimination of all non essential attribute which are present in the
Illustration 1: 4 P's of Innovation

durable goods. The company like YOYO drinks can adopt this innovation technologies such as
websites, social media which would help them in satisfying their customers by supplying the
products at the low cost and prices(Basu, Banerjee and Sweeny, 2013). The company here must
look on the all essential principles of the frugal innovation :
 Find opportunity in adversity : This would allow the business of the YOYO drinks in
re framing the problems so that the threats which are coming to the business can be
converted to the potential opportunity. This will enable the business with many
opportunity which will help them to gain the profit margin.
 Do more with less : The company must look into this principles in order to use all the
scarce resources efficiently so that the business of YOYO drinks can be enhanced. This
principles focuses on the statement do more with less which means producing the most
valuable product with the available resources only rather than adding new.
 Think and act Flexibly : YOYO drinks must operate their business with the flexible
nature so that whenever required can modify their business strategies rather than being
rigid on their part. Flexibility in the business will provide the business with diversified
opportunity and maximum profits.
 Keep It simple : The business of YOYO drinks must follow the most simple process
rather than having more complex alternatives so that they can successfully launch their
new organic juice. Complex process may involves more confusion and conflicts which
may hinder the working of the manager of YOYO drinks and can reduce their efficiency
to work(Bhatti, Khilji and Basu, 2013).
 Include the margin : The manager of the YOYO drinks must involve their customers
while resolving issues and must focus on the regular feedbacks from the customers so
that the trust between the brand and customers can be built.
 Follow your heart : The company must take their strategies to the advanced level or a
further level to achieve success and growth. Here, the company of YOYO drinks must
focus on the factor what if and what not because it will provide them a brief either they
are working towards success or failure.
Considering these principles will help the business of YOYO drinks in sustaining their business
for the longer duration of time . And will also support them in the full and final satisfaction of
their potential customers with the rendering of the desired products to them.

Role of Frugal innovation in the organisational context .
Frugal innovation plays a vital role in the organisation as it support the business by
determining the activities which are of high cost involvement and which are of low. It allow the
organisations to think all the factors of macro levels and implementation of the leveraging
technologies which help the business in elimination of the risk involved also the removal of the
non – essential activities from the organisation. The role of frugal innovation is also beneficial as
this allow the business in formulation of the innovative business models which help them in
coping with the rapid changes(Zeschky, Winterhalter and Gassmann, 2014).
TASK 3
P5: Importance of the commercial funnel and New Product Development.
Both the term commercial funnel and New product development are very important for
the business organisation :
Commercial funnel is the one which is used by the association in order to determine the
level of success of each step in the innovation funnel. This concept of the commercial funnel is
generally utilised by the sales department in regard to analyse the sales and revenue of the
business by conversion of the potential individual into the customer. It helps the business in
adverting their products in the market.
New product development involves the procedure that is used in bringing the new
product in the market place as per the requirement of the customer according to the alteration in
their preferences, taste, status level. YOYO drinks must adopt this as they are introducing the
new brand of organic juice in the market which is a full of proteins and nutrients. The phases for
processing their new product are given below:
 Idea generation : This step is the most essential step for the introduction of the new
product that is organic juice. Here the idea regarding the products will be generated from
the various stakeholders , customers will be taken. Here , the idea is generated with the
collection of information from all the sources(Harmsen, 2019).
 Idea evaluation- Here, all the ideas which have been generated is being evaluate in the
most significant manner and after that among all the alternatives the best and suitable one
is selected with the help of the specialist and is included in the final products.
 Concept development: This stage is the most crucial steps as this involves
implementation of the selected alternative in the development process of the products.

This is only the stage which is for the development it does not focuses ont the decision
making process regarding the products.
 Development of strategy: Formulation of the strategies is done here which is presented
in the front of the most higher authorities. After the finalisation of the strategy from the
authorities the production process is being pulled in.
 Examine business condition: In this stage, the benefits of the products to the
organisation is being analysed by the higher authorities in terms of their profit margins
and sales margin. The senior authority also decides how attractive the product is to the
customers.
 Product development: This involves determinate that the product which has been
created finally is how much beneficial to the customer. Is the product up to the
satisfactory level of the customer or not. If not then the development on the part where
the company is lacking is being done.
 Test marketing: This step involves the development of the sample product which is
being produce to test whether the product will work in the market place or not and what
all are the issues which is arising. This step also involves taking feedback from the
customers regarding the products so that the company can take corrective measures to
eliminate the errors(Hakkarainen and Talonen, 2014).
Commercialisation: This step involves the decision regarding the product to be launch
or not in the market after the test marketing of the product. If the products succeed in the market
then the company here decides to launch the product in the market in the successful manner.
All these steps are considered in order to produce a products which renders to a customer with
some values. In all the phases of new products development the cost and involvement of the time
is higher as compared to the development of the existing products. Before the launch of the new
products the commodity has to pass through all the phases of the new product development.
P6: Innovation Business Case.
Business case is the one which serve as the mind map to the business in their operating.
This provides the association with all the necessary details about the factor which can leads the
organisation towards the success or failure. This is generally created for the determination of the
rate of success or failure of the new product in the market place. The business of YOYO drinks
has focused on launching the new product in the market that is organic juice which contains

more proteins or nutrient and is ready to go juice for which the preparation of business case has
been done as mentioned below :
Executive summary : YOYO drink is famous for providing a wide range of beverages .
The business was established in the year of 2014 which deals in providing mango lassie for the
first three years during which the company was at the growth and success stage. After the
duration of the 3 year the company decided to introduce new product in the market with the
name of organic juice which will satisfy the customers demands of the nutrient products.
The requirement or need : As the company was suffering from the reduced amount
sales and revenue during the last few month . The company than decided to cover up this issue
by the creation of the new products which is the current and exact demand of the customers so
that the profit margin can be attained. To achieve success the company must focus on the
different different segment and target them accordingly so that the launch of the product can be
proved gainful (Casadesus‐Masanell and Zhu, 2013).
Solution : The company must ensure that they target the customers who are more
conscious about their health and diet for the launch of its new organic juice which is the solution
for the business . This solution will pull more customers towards the new juices. Also the
institution needs to encourage the commodity on social media and website for increasing
knowingness in respect to the products in the mind of customers.
Why it is innovative: After the determination of the resolution the management must
consider the formulation of the decision which is effective for the business. The manager must
focus on the innovative factor of the product which will enable them to attract large mass
towards the products of their organic juice.
Customers Research: The business of YOYO drinks must evaluate the market and
research about the development of the products which can exactly satisfy the requirements of the
customers. Proper market research will help the business in analysing whether the product
created is beneficial for the customer or not. This will also enable the association to determine
whether the customers are satisfied or unsatisfied.
Investment Requirement: The manager of YOYO drinks must focus on all the factors
starting from the allocation of the funds which are required for carrying out the operations. The
business must focus on all the appropriate sources of the findings such as financial
institutions,banks, loans , owners etc. this will helps the business in successful launch of the

product like organic juices in the market place. Proper availability of funding to the business may
also leads to smooth functioning of the business so that the improvement in the level of the
performance can also be enhanced.
TASK 4
P7: Different tools for developing, retaining and protecting knowledge and intellectual property.
There are various tools which are used for developing, retaining and protecting
knowledge and intellectual property which have been mentioned below :
Patent : A patent typically concedes property rights on a creation and advancement that
enable a patent accomplice to hold and reject other for making selling or utilizing development
of a specific association. Subsequently, an advancement enables business to wind up effective as
it encourages a business to develop and create and achieve focused commercial centre.
Furthermore, patents help the firm in protecting itself with from further re-development of the
product without further authorisation. In addition to this, this could provide maximum protection
to the company, as the firm could appropriately sue the other organisation in an attempt to
infringe the product till the patent period is active. This would help in the protection of
intellectual property and protection of original work of the the employees of the company.
Trademark: An exchange imprint is a word that portray image or structure that separate
wellspring of results of a specific business from its rivals along these lines an association can
keep up their licensed innovation from its high rivals. This provides low protection to the
intellectual property as it would only help the organisation in differentiating design of the
products with other companies. However, a little modification by other firms could easily help
them in infringing the company's product, which could be disadvantageous for the organisation.
Copyrights : Copyrights are commonly protecting source frameworks that create a
unique identity of product and services. Moreover, when an organization have a copyright then
an respective have correct precise to have inner right to change and distribute ,execute and show
their goods and services in an fascinating manner (Fishman, 2014). This gives moderate
protection of intellectual property with respect to appropriately protecting the original work of
individuals through effective acquisition of right to its protection.

CONCLUSION
From the above framework it can be summarized that innovation plays a significant role
in the business as it enables business with the generation of new ideas and thoughts which will
lead the organisation towards the stage of success and growth by attracting the large number of
customers towards their commodity. Similarly the concept of commercialisation involves the
process of marketing of the products and services. The factor of innovation helps the business in
successfully gaining the competitive advantage over their rivals by their new and fresh product
ideas. Thus , the concept of both innovation and invention along with commercialisation helps
the business to sustain their survival for a longer duration of time.

REFERENCES
Books and Journals
Anderson, T.D., 2013. The 4Ps of Innovation Culture: Conceptions of Creatively Engaging with
Information. Information Research: An International Electronic Journal. 18(3). p.n3.
Anderson, T.D., 2014. Making the 4Ps as important as the 4Rs. Knowledge Quest. 42(5). p.42.
Basu, R.R., Banerjee, P.M. and Sweeny, E.G., 2013. FRUGAL INNOVATION. Journal of
Management for Global sustainability. 1(2).
Bhatti, Y., Khilji, S.E. and Basu, R., 2013. Frugal innovation. In Globalization, change and
learning in South Asia (pp. 123-145). Chandos Publishing.
Biemans, W., 2018. Managing innovation within networks. Routledge.
Casadesus‐Masanell, R. and Zhu, F., 2013. Business model innovation and competitive
imitation: The case of sponsor‐based business models. Strategic management journal.
34(4). pp.464-482.
de Araújo Burcharth, A.L., Knudsen, M.P. and Søndergaard, H.A., 2014. Neither invented nor
shared here: The impact and management of attitudes for the adoption of open
innovation practices. Technovation. 34(3). pp.149-161.
Fishman, J.P., 2014. Creating around copyright. Harv. L. Rev. 128. p.1333.
H. Soken, N. and Kim Barnes, B., 2014. What kills innovation? Your role as a leader in
supporting an innovative culture. Industrial and Commercial Training. 46(1). pp.7-15.
Hakkarainen, K. and Talonen, T., 2014. The innovation funnel fallacy. International Journal of
Innovation Science. 6(2). pp.63-72.
Harmsen, J., 2019. Industrial Process Scale-up: A practical innovation guide from idea to
commercial implementation. Elsevier.
Tidd, J. and Bessant, J.R., 2018. Managing innovation: integrating technological, market and
organizational change. John Wiley & Sons.
West, J. and Bogers, M., 2014. Leveraging external sources of innovation: a review of research
on open innovation. Journal of Product Innovation Management. 31(4). pp.814-831.
Yoshida, D.T., and et. al., 2014. Does servant leadership foster creativity and innovation? A
multi-level mediation study of identification and prototypicality. Journal of Business
Research. 67(7). pp.1395-1404.
Zeschky, M.B., Winterhalter, S. and Gassmann, O., 2014. From cost to frugal and reverse
innovation: Mapping the field and implications for global competitiveness. Research-
Technology Management. 57(4). pp.20-27.
Online
4 P's of Innovation. 2018. [Online]. Available Through: <https://appliedinnovation.com.au/blog-
post/general/the-big-p-in-our-4p-innovation-process>.