Chilly's Bottle: Innovating for Sustainability and Business Growth

This report provides an in-depth analysis of Chilly's Bottle, a company focused on creating innovative, eco-friendly products to reduce plastic usage. The report explores the definition and importance of innovation, contrasting it with invention, and examines how Chilly's vision, leadership, culture, and teamwork shape its innovative strategies. It delves into the 4Ps of innovation, the development of frugal innovation, the use of a commercial funnel for new product development, and the creation of a business case. The report also discusses tools for ensuring the safety of emerging ideas. It highlights the significance of innovation for organizational growth, competitive advantage, and cost reduction, while also addressing the role of leadership and various cultural aspects within the company. Furthermore, the report outlines the Tuckman team development method and its application within Chilly's Bottle, providing a comprehensive view of the company's approach to innovation and its impact on sustainability and business success.

Innovation within a small business context

INTRODUCTION
Innovation can be defined as that process in which company is engaged in bringing out the
new product and service from already existing one. The innovation which is being brought up by
company can attract consumers and also it can increase profitability of firm. It can help them in
achieving their goals and objectives. Present report will lay emphasis on Chilly, a company
which is trying to bring out new innovation which is a non-biodegradable bottle, so that use of
plastic water bottle can be reduced.
Chilly's was founded in year 2010 by James Butterfield and Tim Bouscarle with
the aim to provide the market with the availability of cold water anywhere without the use of
plastic. They aim to eliminate the use of plastic bottles which help in the development of natural
product which aims to minimise and provide eco-friendly sustainable environment. They
combined plastic bottles by increasing the performance technology and developing an eco-
friendly bottle with the benefits of a flask.
This report includes various methods and approaches used by Chilly's which explains
innovation and its importance, identifying vision, leadership, culture and teamwork which can
help in shaping up of the better organizational structure. With the 4P's of innovation strategies
needs to be defined. Development of frugal innovation which helps in increasing the sales of the
organization, use of commercial funnel for the new product development plan, developing
business case for providing pros and corns for the developing product, tools to develop the safety
of the emerging ideas are discussed.
LO1
P1 Innovation, its importance to organization in comparison with invention
Innovation refers to the new or emerging idea, a creative thought or a new method which
bring about the change within a given context. Innovation can be a better solution or an up-
gradation of an existing strategy. Innovation is carried out due to the requirements of the market,
to satisfy needs and wants of the market innovation is carried out. This aims to develop a
product, process, technology to satisfy the needs of the customers. Innovation aims to reduce the
market competition. This strategies make an up-gradation of the market. With the innovation the
ideas needs to be developed for originality and and more effectivity that results in market and
society.

Innovation is important because if there is no innovation there will be no
advancement without innovation there will be no advancement in our society. With the
innovation there will be a loss to the organization as there is a lot of competitive advantage.
Innovation is the core reason for modern existence there will be cost reduction facility as
innovation leads to ideas which minimised the cost and improves the efficiency, with the
new invention cost reduction is done by various improvement in the strategies which can
be used to develop the performance of the work. Various researches carried out helps in
inventions of new products with the new process which helps in cost reduction and
development of the product. (Adams and et.al., 2016).
BASIS INNOVATION INVENTION
Easy problem solving Innovation is something
bringing out new ideas and
innovation leads to finding
new ideas to the problem with
a better solution to get a better
output.
Invention is bringing out the
new product and services by
analysing need and demands of
consumers. Invention helped
organization to evolve with a
new technological updates but
it took time for the company to
solve the current problem as
invention is a long term
process and takes time.
Increase productivity The person who innovates are
talented and are efficient in
their work they carry-out. as
innovation increases the
knowledge of the organization
and also help them to take the
easiest possible decision
which will help them to
achieve their defined
objectives .
Invention increases the
efficiency after creation of the
product or the services.
Invention cannot be done
rapidly. And it will increase the
efficiency of the company as
the company will decrease the
cost efficiency by discovering
the alternative and better
quality materials to produce the

products.
Grow the business Innovation is an effective
marketing tools and
techniques to improve the
marketing strategies and
attract the consumers in the
market with the technological
update and advancement ,as
organizations has innovated
their marking with the
innovating technology so that
they can also increase the
market share of their customer
and help the company to
increase the sale which
increase the growth and
development of the firm.
Invention increases the
opportunities and growth of the
organization as the product and
services which are invented is a
better creation of the current
products and services.
Organization must creates
many products and services
which helped the company to
expand its business more
rapidly(Burns, 2016).
Competent As innovation help the
organization to increase its
productivity and marketing
strategy that means innovation
have successfully helped
organization to have a
competent advantage in the
market as the company is
investing in innovation
technologies and methods to
increase the satisfaction of the
customers and have also
innovated many products and
With the invention there are
many opportunities which can
help the firm to grow with the
increases in the growth and
development of the firm. With
the emerging competition there
is a need of the technology
which can help in the
development of the firm. With
the increase in the competition
there is a need of invention to
increase the sales which can
help in achieving the defined

services. objectives.
Scale Innovation can only be done
on the invention in a right
direction which increases the
efficiency of the product and
services.
Invention is much broader
aspect then innovating as
invention needs much more
knowledge. Invention also has
a disadvantage of getting
obsolete where the urgency of
innovation arises.
P2 Vision, Leadership, Culture and Teamwork shapes innovation and commercialization:
Chilly's bottle aims to develop the an eco-friendly flask which helps in providing the
fresh water without the use of plastic which can help in the providing the sustanibility to the
environment which helps in the reduction of plastic. Chilly aims to develop this with the help of
the reduction of the use of new products and the increase recycling and providing an eco-friendly
bottles.
Vision & Mission:
Chilly's mission is to accelerate the adoption and everyday use of the reusable products.
With the aim to creating a product for an active urban lifestyle, which helps in upgrading and
making urban people aware about the reduced use of plastics and move towards eco-friendly
environment. With the aim to develop perfect balance of different style and unrivalled
performance. With the expansion of vision they have decided to expand the range to include a
wider section of the reusable product with more of developed products with the development.
Which aims to decrease the market competition with the innovation and strategy which will
increase the sales and decrease the competition(Dunne and et.al., 2016). this helps Chilly with
the innovation and the innovation strategy which can shape the future with the help of innovation
providing the better facilities to the market which helps Chillys in commercialization and shape
sustainable future
Leadership
Leadership within Chilly's Bottle needs to be developed to pursuit the change in the
business strategy. Leader is responsible in managing the work within the culture and must be
aware about the responsibility which can be used to increase the sales and bring about the change

to increase the productivity. The beliefs, practices, pattern and behaviour are considered which
can be used to drive the decisions and leadership patterns. Leadership cultures can be defined in
3 basic ways:
Dependent: leadership cultures operates that people with authority are responsible for
leadership.
Independent: Independent leadership approaches where the independent actions are taken with
the independent approaches.
Interdependent: leader believes in cultural activity and collective nature of the organization as a
whole.
With the help of leadership explained Chilly's aims to innovate in the right direction providing
the new ways of innovation to the market which can shape the future of the workers, and with
the help of commercialization and advanced techniques used by Chilly's they will be able to
generate a huge market turnover.
Culture
With the help of innovative employees the Chilly's Bottle is also successful to determine
and establish a healthy environment to increase the motivation and efficiency of the company
and the employees as well(Heikkilä and et.al., 2016).
 Power Culture- Chilly's bottle have implemented this style of culture to increase the
efficiency and decrease the workloads. In power culture employees are supposed to
participate in the task with new ideas and techniques to increase the efficiency of
completing the task. Thus aims the innovation and improvement in the ideology of the
organization. This culture was not successful in the company as the employees of the
company felt unauthorized and discouraged which increased the turnover ratio of the
company and decrease the productivity.
 Role Culture- Chilly's bottle also implemented this culture to examine the maximum
output of the employees in this culture as in this type of culture the authority is divided
and delegated to the employees. This culture created problems in command and
communicate with other employee and created lack of motive to improve the efficiency.
Innovation and strategy are developed to motivate their employees and also provide with
better communication channel to increase their efficiency and organization productivity.

Role culture plays in important role in defining and maintaining the delicacies of the
firm.
 Task Culture- The company have also innovated with some ideas of forming this type of
culture when there are some problems arising in the company and this work culture will
help the company to decrease the problem by improving the techniques and methods. The
efficient high performance workforce is also becoming active and form teams to create a
better conscience about the problem.
 Person Culture- Personal Culture aims to develop the workplace as personal culture is
developed the firm with the personal experience which help in the growth and
development of the culture and growth of the firm. Involvement of different ideas in the
culture aims to increase the fruitfulness of the firm's objective.
Team Work
In order to bring out the most innovative, idea chilly must also get involved in motivating
the employees to work together and better. They must engage in enhancing team activities so that
they operational efficiency of organization can be improved and also they are able to bring out
more innovative and creative ideas. Chilly can make use of Tuckman team development method.
These stages include the following:
Forming: In this Chilly is been engaged in formation of effective team. In this leaders are being
involved in making workers aware about the benefits of working together. They also make them
understand about the importance of bringing out new ideas for business growth. This will also
support them in achieving company’s goals and objectives.
Storming: In this stage Chilly will be engaged in making team members have an idea about their
roles and responsibility so no chaos can exist in Team. In this team members will be confident
about what they will be going to perform. This will support team in increasing their efficiency. It
will support them in growing.
Norming: In this stage, all rules and regulations will be made clear by Chilly so that they team
members are being involved in following them. Leaders make team members aware about that
workers need to address all regulations which has been implemented by them.
Performing: In this stage Team performance is being monitored by leaders of team, and they
make them analyse gaps which is being faced by them so that team members can involve in
overcoming the barriers which is being faced by team.

Adjourning: In this stage Team leaders of Chilly make sure that no gap exist in their team and all
members are engaged in achieving one common goal that is bringing out more innovative and
creative products and services.
With the growing culture and shaping the better future with the innovation carried out, Chilly's
have affected the culture safeguarding the environment which will bring a drastic change in the
environment.
LO2
P3: 4P's of innovations and use of innovation funnel to shape the innovation ideas
Chilly's bottle has used the various paradigms for the innovation which are evaluated
with the 4p's of the innovation which will help the company to grow, with the innovation of
ideas and the increased efforts of the employees which are made to increase the efficiency and
economy of the firm.
Product
Chilly is going to bring out new and innovative product which is biodegradable bottle so
that the use of plastic can be reduced. In this they have also added various features like the bottle
can be re-used after using it once. Company has also made sure that the various consumers are
being attracted towards them by its effective and efficient features. (Karadag, 2015).
Process
Chilly is been engaged in making use of huge distribution channel so that they can reach
out ultimate consumers. In this they are contacting wholesalers first, then firm is involved in
reaching out retailers and then they make sure that company reaches out the ultimate consumer.
They are also engaged in supplying their biodegradable water bottle to large number of retail
stores, super markets and also various small shops.
Position
Chilly water bottle has also made use of cost positioning strategy in this firm has been
involved in keeping the price low and increasing quality of their products goods and services.
Local government is also engaged in providing support to stakeholders, this has helped firm in
growing and achieving their goals and objectives.
Paradigm

Chilly's Bottle has been engaged in producing the water bottle with making use of better
manufacturing and production methods. Like for example they are engaged in giving training to
employees so that they can perform better. This can support them in creating employee loyalty
and also workers turnover can be reduced.
With the developing trends and innovation carried out by the organization, sustainable
environment is achieved by the frugal innovation carried out by shaping a better future with the
aim to reduce the plastic and provide a sustainable culture.
P4 Development in frugal innovation and provide how it is used in organization:
Frugal innovation can be considered as that process which can reduce the complexity that can
that is being used in manufacturing process. In this the non essential features that is being
contained in product and service is being removed in this process. In this type of innovation,
company is engaged in making process of production easy and removing errors which can be
removed from the complexity which is occurring in process of bringing out new innovation.
Frugal innovation makes sure that no comparison has been made related to quality of products
which is being produced by them. This will support firm in achieving their goals and objectives
and reaching out the ultimate consumers. (Maritz and Donovan, 2015).
Frugal innovation is basically brought up so that Chilly can reduce the complexity which is being
brought up by them to reduce complexity that can be faced while manufacturing goods and
services. In this type of innovation organization engages in motivating workers to perform better
and bring out new and innovative ideas so that Chilly can be able to grow. The complexity which
can arrived in manufacturing the biodegradable bottle can be removed and reduced. This can also
positively impact the growth aspect of organization. When Chilly is making use of Frugal
innovation, then new product is being generated which is ultimately increasing the economic
growth of country. Chilly is also been involved in providing employment opportunities to most
number of people. (Martinez-Conesa, Soto-Acosta and Carayannis, 2017).
LO3
P5 Importance of commercial funnel and application of New Product Development(NPD)
Commercial funnel is the stream chosen for the customers of the company. The
commercial funnel is the process in which the company have to analyse the customer behaviour
about product which is sold by the company and make a well executed strategy to attract the

customers to increase the sale of the company. There are some importance of commercial funnel
for Chilly's bottle which is explained below:
 It helps the company to understand the mindset of the customer who used the product and
the problem emerging situations are focused on, which helps in mitigating the risk and
minimising it.
 That reports help the company to improve the flaws which minimises in decrease in the
sales.
New Product Development Process
1. New product strategy- The management is responsible for analysing all the problem
which is faced by Chilly and examining the strategies of the competitors for the
increment in sales and development of strategic approaches which helps in eliminating
the risks for the firm(Prajogo, 2016).
2. Idea Generation- in this approach the marketers have to increase the knowledge by
analysing the product in the market and also the potential sources of the company which
will help the company to create a better innovative idea to create new product which will
help the organization in making different marketing strategies in context to the products
developed.
3. Screening- in this stage the marketer is responsible to analyses the possible opportunities
and threats which the new product which can be generated in the future.
4. Concept testing- The idea of new product is being tested with the information analysed
with the market research for the product and the development strategy is analysed for the
development of the market(Sánchez-Medina and et.al., 2015).
5. Business analysis- The marketer and the financial controller are responsible to create a
business report about the cost of new product which will be needed for the development
and a strategic approaches introduced needs to be evaluated.
6. Product development- In this stage after all the above stages the product will be
developed with the cost efficiency to lower the price of the product.
7. Market Testing- After the product development, the product is being sample tested in the
big market to check that the product is feasible for the company to increase the market
share and also attract the customers with increase in sale sand profits.