Unit 8: Innovation & Commercialisation

Unit 8: Innovation & Commercialisation

Table of Contents
INTRODUCTION...........................................................................................................................3
Section 1 - Understanding Innovation.............................................................................................3
Background of the company and challenge being faced by company.........................................3
Differences between invention and innovation and their importance to Oven-fresh Bakery......4
How organisational vision and leadership can promote teamwork to develop an innovative
culture in the organisation for its commercial success................................................................5
4Ps of innovation and how this supports capability and management of innovation..................6
Approaches that Oven-fresh Bakery can take to develop innovative ideas.................................7
Process of innovation the Oven-fresh Bakery should go through to develop and embed new
and innovative products...............................................................................................................9
Section 2 – Developing innovation model.......................................................................................9
New ideas for new product development and ways to access funding........................................9
Innovation Business Case for Oven-fresh Bakery.....................................................................10
Importance of commercial funnel in the new product development process for its commercial
success.......................................................................................................................................11
How Oven-fresh Bakery can protect the intellectual property rights of a new product............12
Critical evaluation of the entire process,...................................................................................12
CONCLUSION..............................................................................................................................13
REFERENCES..............................................................................................................................15

INTRODUCTION
Innovation can be defined as creating new value and capturing value in a new way. Value
is something that creates difference between invention and innovation. In other words innovation
has been defined as something new for a business that is aimed at fulfilling customer required
specially those who remained untapped. Innovation is highly important for an organisation and
this is why several organisations are stressing on building innovative culture in organisation.
This report is aimed at discussing different elements of innovation and will discuss difference in
invention and innovation and later will discuss about 4P’s of innovation. Further report will
discuss about approaches of developing innovative ideas and process of innovation that
organisation requires to go through. In other section of the report company will involve scouting
new ideas for product development and ways to access funding. Later will also involve
developing innovation business case for Oven-fresh Bakery and will discuss importance of
commercial funnel in new product development. Later, report will also discuss about protection
of intellectual property rights and critical evaluation of entire process of innovation.
Section 1 - Understanding Innovation
Background of the company and challenge being faced by company
Oven-fresh Bakery is a bakery that was founded by Mr. Wilbur and was started 5 years
ago and was only providing one type of white bread. This means that product offering of Oven-
fresh Bakery was limited and nor company is facing pressure from different stakeholders to
diversify product line. Mainly problem and challenge of the company is centralised on
innovation. This means that company is facing pressure from health-conscious customers to
address their needs and this need has been visible through falling turnover of the business. Along
with this company is also facing pressure from retailers to expand product line of Oven-fresh
Bakery so that they can offer more products of company to Oven-fresh Bakery customers. This
means that company is facing challenges regarding increasing their product offerings and bring
innovation in company to offer more products to customers and also to address varied
requirements of the company. Oven-fresh Bakery also facing challenge in form of reducing
turnover and innovation is only possible and suitable solution for this challenge.

Differences between invention and innovation and their importance to Oven-fresh Bakery
Basis of
Difference
Invention Innovation
Definition
Creation of the product and process
for the first time.
Innovation can be defined as
improving and making a
significant contribution to an
existing product, service and
process (Haeussler and Assmus,
2020).
What is it Invention is creation of new product. This is adding value to something
that already exists.
Occurrences
It occurs when a new idea strikes a
inventor or scientist
This occurs when there is a
requirement for improving existing
product
Concept
development
This is concerned with identifying
idea and working on the theory of idea
This is concerned with practical
implementation of a new idea
This means that invention and innovation can be similar and can also be used
interchangeably but are significantly different from each other. Invention stops at creating for the
first time however innovation is not that (Liening, Geiger and Kriedel, 2018). Innovation starts
when invention stops and this is concerned with adding value in existing invention.
Importance of invention and innovation to Oven-fresh Bakery
Invention as well as innovation both is important for Oven-fresh Bakery because invention
involves creating something (product, service and process) for the first time. Oven-fresh Bakery
can develop products that are in category of products offered by bakery however as it already
provide white bread company can utilise this concept and enhance and modify existing product.
Invention will help Oven-fresh Bakery in creating a new image of the company as inventor and
will provide benefits like leader of creating and advantage associated with being first mover.