Report on Innovation and Commercialisation for Essence Drinks

This report provides a comprehensive analysis of innovation and commercialization, using the case study of Essence Drinks. It begins with an introduction to the concept of innovation, differentiating it from invention and highlighting its significance for organizations. The report then delves into how organizational vision, leadership, culture, and teamwork shape innovation and commercialization efforts, emphasizing their importance for business success. It explores the 4Ps of innovation (product, position, process, and paradigm) and their application within the innovation funnel to examine and shape innovative ideas. The report also discusses developments in frugal innovation, providing examples of its application in an organizational context. Furthermore, it examines the commercial funnel and the application of New Product Development (NPD) processes for commercializing innovations, including a detailed innovation business case for an organization and ways to access funding. Finally, the report evaluates different tools organizations can use to develop, retain, and protect knowledge and intellectual property, concluding with a summary of key findings and recommendations for Essence Drinks.

Innovation and
Commercialisation

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1. Explanation of innovation and their significance to organisation in comparison with
invention......................................................................................................................................1
P2. Explain that how organisational vision, leadership, culture and teamwork can shape
innovation and commercialisation..............................................................................................3
TASK 2............................................................................................................................................4
P3. The 4Ps of innovation and their uses of the innovation funnel to examine and shape
innovative ideas...........................................................................................................................4
P4. Explanation developments in frugal innovation and their examples of how it is used in an
organisational context.................................................................................................................6
TASK 3............................................................................................................................................6
P5. Importance of the commercial funnel and the application of New Product Development
(NPD) processing for commercialisation of innovation.............................................................6
P6. Innovation Business Case for an organisation, including ways to access funding...............8
TASK 4............................................................................................................................................9
P7. Evaluation of different tools that organisations can use to develop, retain and protect
knowledge and intellectual property...........................................................................................9
CONCLUSION..............................................................................................................................10

INTRODUCTION
In the present world innovation is a very well known word which means develop new
ideas, innovative thoughts, different imagination for applying new method in the company. This
term of innovation is also used for better outcomes that meets various demand and needs of the
market, so that a product can easily exist. Innovation mainly involve in the practical execution of
an invention that create purposeful impact on the society or people. In other words, innovation
can be defined as a process and outcomes of generating something new which is necessary for
company goodwill. It involves in the entire process from identification of opportunity,
development of new ideas, sales and production of marketing in a effective manner. Whereas,
entrepreneur only required to involve in commercialization. For better understanding of this
topic, the present case study is based on Essence Drinks, in which Akshay Kumar was the
founder of this company who started this business 2 years ago with the product of Healthy
mango lassi. Therefore, Akshay Kumar things to bring innovations in their product for providing
better taste in the society or people. Thus, this report will going to be discuss about explanation
and significance of innovation also their organisational vision leadership, culture and team work
that can shape the innovation. Along with this 4Ps of innovation and frugal innovation with the
including way to access funding will get covered in this report (Aarikka-Stenroos, Sandberg and
Lehtimäki, 2014).
TASK 1
P1. Explanation of innovation and their significance to organisation in comparison with
invention.
Innovation is the process of implementing new ideas on the product in order to satisfy
customers needs and wants in an effective manner. Innovation also helps the business as well for
achieving their goals and objectives. In regards with Essence drink, it is a small company which
serves the mango lassi in United Kingdom market. Due to some reason after two years their sales
automatically decreased. After that Akshay Kumar thinks that they should apply some innovative
ideas in order to satisfy customers. So few kind of brand strategy recommended them they
should apply new flavour such as powder essence, rose essence and so on. These innovations or
ideas have different types of importance to the organisation, which are given below:
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 Innovation is very important for developing new ideas with in the organisation. In regards
with Essence drink innovations is very useful aspect which implement ideas and change
in to useful products. Along with this new ideas of products will satisfy consumer needs
and their demand.
 It is also necessary for developing strong relationship with customers as they provide
their product with innovative ideas. This development of their product can get high profit
and also can stable in the market for long period of time.
 Innovation is helpful approach for making company goodwill in competitive business
environment. Therefore it is necessary for this organisation to follow various approaches
and different taste in their product.
Therefore innovation is very essential aspects for this organisation, so that company can
achieve their targeted goals and objectives in a effective way. In context with Essence drink they
apply innovative idea on their product which helps in satisfy the customers needs in a
appropriate way (Brunswicker and Van de Vrande, 2014). Furthermore, invention or innovation
are the different thing, so there differences are mentioned below:
Basis of comparison Invention Innovation
Meaning It is explain as the act of
creating, designing or covering
the method or different process
that has not made before.
It implies the execution of
thought for procedure or
product to first time.
What is it ? It is the value or creation of
product.
In this value of creation will be
added.
Concept This is the realistic concept
that works on their different
theories.
In this practical execution is
necessary for developing new
ideas.
Required skills In this scientific skills are
needed.
Whereas, technical or strategic
skills are required.
Occurs when It occurs when new ideas on
strike.
In this need is already fill by
the product in order to change
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in existing products.
Concerned with It always concerned with
single product or process.
It is the combination of bundle
of products and processes.
P2. Explain that how organisational vision, leadership, culture and teamwork can shape
innovation and commercialisation.
It is very important of each and every organisation that should be have clear vision,
leadership, culture and teamwork that can shape their organisation in a effective way. Along with
this, for the good working of essence drink is also necessary to follow clear goals and objectives
in order to gain their mission. As per this it is also necessary to company's staff members as well
as employees for develop good idea in a right way. So that these functions of an organisation
(vision, leadership and teamwork) can get high profit at higher level in the market. That's why
these systems plays very important role in order to give good shape of the company with
innovative ideas. With this concept this can be said that each and every organisation should
always have the clear and accurate vision and mission. Through the good vision they can get
their achievement easily in a proper way. On the other side of an organisation will follow
innovative ideas and strategies than it can become the useful term of an organisation in a
effective way. For making good vision manager and leaders of the company are able to work
together so that they can easily make better ideas towards their organisation in order to achieve
targeted goals properly. The description of these shaping system in regards with organisation
are given below:
Vision: The vision of essence drink is to serves very good flavour lassi with different
taste to society or people across the UK. Along with this company also want to increase their
product as per their desirable needs in order to satisfying them (Carayannis, Grigoroudis and
Goletsis, 2016).
Leadership: All innovative or creative ideas are developed by the innovator of the
company. According to this leaders of essence drink plays a vital role in an organisation in order
to execute the wide range of various flavoured in lassi because leaders are responsible to see
every situation within the company for generating future growth in an appropriate way.
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Therefore, their innovative ideas can improve the company's value like essence drink can get
high profit in the market effectively. That's why leaders and managers are very crucial part of an
organisation just because they controlled or managed every function or activities in a different
ways.
Culture: Effective organisational culture influence the employees as well as customers
so that's play a very important role in the activity of innovation. Culture includes in various
things such as language, beliefs, religions and so on. Different culture always influence every
people in a attractive way so that they can easily adjust in that environment in a effective
manner. In regards with essence drink, company follow best culture to their employee or
customers they provide different types of languages so that employees can understand or able to
implement their innovative ideas with new strategies. Therefore, culture is very important for
making best strategy in order to make innovative product in a effective way.
Teamwork: It is the activity of working collaboratively with a group members in order
to achieve goals and objectives. It is a crucial part of every business as it is necessary for each
and every people in the company in order to work together with different people from various
religions. Team work shows the working efficiency of every people that they apply their
knowledge skills and trying to give their best contribution in a company. Teamwork also can
boost the employees working performance level. In regards with essence drinks company their
worker are very energetic and they always work together with their team members or colleagues
in order to implement innovative ideas or shaping their company in a attractive way. That's why
team work is necessary for achieve the proper objective or goals in a effective way.
With the help of these shaping system of an organisation can avail all the benefits in the
business environment in order to make their employees motivated in a highly manner. By these
factors company can make effective team work to resolve their issues effectively. For making
better culture company should also apply effective functions in their management systems to
make them effective.
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TASK 2
P3. The 4Ps of innovation and their uses of the innovation funnel to examine and shape
innovative ideas.
The innovation 4Ps mix model is generated through John Bessant and Joe Tidd. This tool
is very much helpful for discovering the lot of process that can improve essence drink innovative
ideas. It involves in paradigm, position, process or product. This tool helps in exploring the
possibilities in order to maximization of essence drink sales in a effective manner. Therefore,
there are 4Ps of innovation mix for improving company's thoughts, which are given below:
Product: As per applying innovative ideas on the company than it is also necessary to
satisfy customers on the behalf of different product as they required. In regards with the essence
drink, this company provide large range of flavoured in lassi like powder, rose essence, mango
essence and so on. Therefore, for customers taste is everything by this they can choose their
desirable product and satisfied as well. That's why these flavoured essence are very important or
essential for company as well because they can increase their sale or profit in market place in a
effective manner (Fabrizio and Tsolmon, 2014).
Position: As per the discussion essence drink is a smallest organisation and that serves
powder lassi to the people or society of UK. For the better and good position in the market
company needs to improve their taste as per customer requirements so that they can easily exist
in market with long term profits in a effective way. Therefore, better position can increase their
sales as well as value or demand in front of the customers with lot of attractiveness.
Process: This innovation mix includes in manufacturing and distribution of goods and
services in a right way. In regards with essence drink they provide their better services to its
customers as they servers powder lassi. It is a easy concept because customer can easily drink
lassi anywhere without any issues. This process of lassi also maintain the brand value as well as
performance of employees or workers in a effective manner.
Paradigm: It is a essential type of innovation which mainly concerns about the various
changes in the product in an organisation. For essence drink company this mix of innovation
helps in improving their product's ideas in order to make better outcomes.
Therefore, in order to controlled new product of essence drink process innovation funnel
is very necessary. In this funnel research and developments starts implementation on different
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ideas of lassi so that they make special product. Innovation funnel is a classification of lot of
opportunities which can maximise company sales at high level.
(Source: 4PS- EXPLORING THE INNOVATION SPACE, 2015)
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Illustration 1: 4PS- EXPLORING THE INNOVATION SPACE

There are some some parts of innovation funnel, which are following as under:
Opportunity assessment: In this essence drink company identified by market data,
customer knowledge or other relevant knowledgable sources. After that company able to see that
what type of opportunities can exist in their lassi for future development.
Insights-based ideation: In this step company analysed by different type of opportunity
system and ideate lot of products in order to analyse the opportunities. Therefore, it is important
to company in order to attract huge customers through some evaluation like market research,
surveys, communities online, group focusing and crowded area of UK.
Conceptualization: In this stage, team members of essence drink designs and frames lot
of unique ideas that comes out from their mind. This funnel innovation includes in mock-ups,
advertising and several features of lassi (Kilelu, Klerkx and Leeuwis, 2014).
Evaluation and benchmarking: In this stage, concept is based on customers preference
about powder lassi because as per this customers gives valuable feedback to the company. Team
members of company try to improve their taste and implement new ideas.
Go/No Go: After collected all the information or valuable feedbacks from customers than
leaders or managers take decision to go or not go so that they can decision or make innovative
strategy in order to satisfied customers as per their needs.
Launch: In the last stage of innovation essence drink company launch their innovative
product that is powder lassi for the country economy of United Kingdom.
P4. Explanation developments in frugal innovation and their examples of how it is used in an
organisational context.
Frugal innovation is the activity of decreasing complexity and cost of goods and its
production as well. It also helps in removing errors from the development of products in a
effective way. In present scenario, every company apply this system because it removes
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unnecessary aspects from manufacturing of the product and also increase durability of products.
This term includes in frugal engineering process also it is the solution of every firm.
(Source: Frugal Innovation, 2019)
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Illustration
2: Frugal Innovation

Opportunities of new market: In the present modern world, every marketplace needs
good relations with any organisation, so that companies can easily serves their product and
expand their business in a broader concept (Libaers, 2014).
Availability of resources: It is very essential for every firm because if firms have lot of
resources than they can easily expand their business. In regards with essence drink they have to
ensure that they are proper utilising their resources in order to satisfy customer demand and
needs in an effective manner.
So that these development of frugal innovation can satisfying customers as well as
employees in order to apply innovative strategy with in the perfect time. There are some
examples of these in context of organisation, are given below:
For example suppose frugal innovation is from Essence drink, in which research and
development of an organisation identified key needs and wants to changes in quality which will
be affordable so that all households can purchase products. Therefore they also sales their lassi
with different flavoured in order to apply this innovative idea for customer satisfying process.
TASK 3
P5. Importance of the commercial funnel and the application of New Product Development
(NPD) processing for commercialisation of innovation.
Commercial funnel is the regular capacity of a organisation which is operated in a
effective manner or acceptable by customers in order to fulfil their demands. There are four parts
of commercial funnel, given below:
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