Report: Developing an Innovation Model for a Bakery Business

This report provides a comprehensive analysis of innovation models, focusing on their application to a bakery business. It begins by defining innovation and its importance, differentiating it from invention. The report explores the significance of vision, leadership, culture, and teamwork in driving innovation and commercialization. It then delves into the 4Ps of innovation (Product, Process, Position, Paradigm), the use of innovation funnels, and the shaping of innovative ideas. Furthermore, it examines the development and application of frugal innovation. The report also discusses the importance of the commercial funnel, the creation of an innovative business case, and the securing of funding. Finally, it addresses the tools organizations can use to develop, retain, and protect knowledge and intellectual property. The report uses the case study of a bakery business to illustrate these concepts, offering practical insights and recommendations for fostering innovation and achieving business success. This report, available on Desklib, is contributed by a student and offers AI-based study tools for students.

DEVELOPING INNOVATION MODEL

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P1 Innovation and its importance with invention.......................................................................3
P2 Explaining vision, leadership, culture and teamwork in innovation and commercialisation 4
TASK 2............................................................................................................................................5
P3 4P's of innovation, use of innovation funnel and shape of innovative ideas.........................5
P4 Development and use of frugal innovation............................................................................6
TASK 3 ...........................................................................................................................................7
P5 Importance of commercial funnel..........................................................................................7
P6 Innovative business case for an organisation and funding.....................................................9
TASK 4..........................................................................................................................................11
P7. Organisation adopting different tools to develop, retain & protect knowledge and
intellectual property..................................................................................................................11
CONCLUSION..............................................................................................................................12
REFERENCE.................................................................................................................................13

INTRODUCTION
Innovation refers to creating an idea in an organisation that can be used for the success as
a motivation factor. It implies of making something new from the existing product. You might
say that first computer was an invention, first laptop was an invention or innovation, and the first
tablet an innovation. It can also said as the process for creation of valuable product to the
customer.
Here, the owner of the Oven-fresh bakery Mr. Wilbur having only one product. The
demand is continuously getting lower due to having only one product which is white bread,
customer need some new taste, which is not getting full-fill by this bakery. In resultant to this
bakery need some innovation in their product which can help them in grow in market place.
Here, it will discussed about how Mr. Wilbur need an innovation in their business and also there
will be some suggestion for some healthy bakery product (Ribau and et. al., 2017). Oven-fresh
bakery should have some innovative product like Peanut Butter Oat Cookies, Banana Coconut
Muffins, Coffee Chocolate Chip Blandies, Favourite Carrot Cake etc.
TASK 1
P1 Innovation and its importance with invention
Innovation- It is a method of creating idea which is used to modifying any product or to
make it more demanded product in the market which is new to everyone but have discover
before. It is helpful in creating the brand value on high level. It can said as a strategy which is
used to capture the large share of the market. Such that Mr. Wilbur need to have some innovative
product for making the business again in demand.
Invention- It refers to the formation of new product which it new to everyone and have
not created before and which can be helpful to other. Invention needs so many data and research
with many of the experiments. Such that Fast food was an invention when people need to save
their time from cooking for longer period of time and making it delicious. So within less time
people can have it as a meal and can go for their work (Goodman and et. al., 2017).
Importance of Innovation in context to invention
 Creative development - It is the method which can help the business to grow in the
market which needs quality of innovation for the business. Here, Mr. Wilbur needs to
innovate some healthy product which can have ability to increased the market share and

also gives their customer a new product which will be exciting for them. This needs
creativeness in business which can help to make some innovative product. It gives the
opportunities to the business and business owner to grow in less time by making some
good product which is able to capture the market quickly.
 Continuous Improvement- It is the way through which any business run and are able to
stand in the market. Today's world is fast moving which requires different product in
continuous time interval. This makes a huge market for whom who make innovative
products on regular basis of time. This help in keeping yourself or your business in
demand. This also help in growth of your creativity which gives the different
opportunities. Here, oven-fresh bakery need to introduce some new item and to
continuously improvement in their product is required.
 Reinforce your brand- It is the process which reveals the information which can help
the leaders to be more innovative in the market. It is important due to recognition of this
as a main drive for success (Bogers and et. al., 2020).
 Responding to competition and trends- It is helpful in recognition of new product
which is demand in market and can help you in finding the existing new opportunities. It
is the way through which you can stay ahead in the competition as trend and technology.
Here Mr. Wilbur need to be in competition. Due to having only one product he is now out
of the competition which is cause degradation in their bakery business. Which is needed
to be innovation of some bakery product which can again make him and his bakery
business in the competition.
P2 Explaining vision, leadership, culture and teamwork in innovation and commercialisation
There are two primary motive are required for every organisation which is Growth and
Long term survival in long run by any of the business. Various factors are there which are
required and helping an organisation in achieving their desired objectives.
Vision- It is the way of looking into the future about your business in long period of time.
Which is having some specific objective which needs to full fill for the shake of humanity and
for the growth of the business. It is the process or action which is taken to stablish the
coordination in the employees of the business. Here, the vision is old for the Oven-fresh bakery
and Mr. Wilbur need to modify their vision due to change in time. So it is the demand of time
either to innovate yourself or get out of the business in short time. So he need to innovate some

of the product which can fulfil the demand of market. It is also helpful in leads to getting the
customer loyalty in long term (Rathinam 2017).
Leadership- It refers to the capacity to set and achieve the challenging goals by the
business management. It is the ability of growing your business to whole new level which
requires some great decision and to command the decision they need some active team. They
should always be there. Here, Mr. Wilbur needs to show some leadership power in context of
some innovative product or need to have someone who is able to show some leadership quality
in context of growth in business.
Culture- It is consist of religion, background, language etc. In any business or
organisation culture is defined as the internal environment. At present time the Oven-fresh
bakery don't having any culture of innovation. It is keep selling one product which is now out of
league for this time and bakery should need to innovate in the production and need to keep
changing in it. The bakery should need to change its culture which is staying on only one
product.
Team Work- It is one of the most important for any small or big business. Here, it
defines the ability of doing work in productive way in less period of time. To work as a team is
the most effective in any organisation. It is helpful in performing various task with the
coordination. Every department having some definite number of personnel who work as a team.
This help in achieving the business goal and also in every task.
These can help in shape of innovation which can really helpful in the innovating some
products which help in again being in demand in the bakery business. Due to having some new
and healthy product customer will get attract towards the product.
TASK 2
P3 4P's of innovation, use of innovation funnel and shape of innovative ideas
Innovation is the process for creating and developing new product or services in the
effective market. John Bessant and Joe Tidd has developed the 4P's of innovation. This model
clarifies the comprehensiveness of the innovation. This model has four main categories which is
described below.
 Product- It refers to the product which is going to called as innovative product for that
business. As a bakery owner you need Mr. Wilbur need to think for new product. While

thinking of it, the first thing which need to come in mind is to try new baked product,
new shape, new colour, new ingredient and so on. When these new product which should
bakery need to innovate like Peanut Butter Oat Cookies, Banana Coconut Muffins,
Coffee Chocolate Chip Blandies and Favourite Carrot Cake and starts to selling well,
then it can said as having some real innovation (Villarruel and et. al., 2020). Many other
thing which can also improve in freshness of the product, delivery methods and
packaging etc.
 Process- There are many process comes under the bakery which includes like taking
order, production, supplying, selling, accounting and even recruiting. It is the one of the
easier, cheaper and are more efficient. It includes all these process which altogether help
in increasing the productivity of the business. The oven-fresh bakery should also go
through this element. Management of firm having responsibility for having proper
analysis and adopting the new product manufacturing.
 Position- This element deals with the target are which helps the business in deciding the
target market. Position relates with perception. Today position is everything in this global
marketplace. People have their perception that do they pay their bill on time, do they pay
their staffs salary on time etc.
 Paradigm- It is a specific innovative category. It concerns in the organisation in the way
that something has been done. It may be anything like the was that the bakery is selling
its product, from the counter, over the counter etc. It should have to be profitable for the
business. On-line bakery should be good innovation for the business and for capturing the
market on huge level.
P4 Development and use of frugal innovation
Frugal innovation refers to a procedure which assisting in declining cost and complexity
of product as well as production. It is the process of removing some unnecessary process which
can helpful in reducing the cost of the finished product and subsequently, help in increasing the
business profit. Frugal innovation should be applied by the Mr. Wilbur to make improvements in
their production process and can help in earning the high profit. Many of the business uses this
Frugal innovation which gives their customer the valuable product with offering the low prices
which makes more profit to the business (Dobni and et. al., 2018). This innovation technique is
generally used by those business which are having a huge market which is in case of Oven-fresh

bakery not possible to apply. Frugal innovation helps in developing unique innovation which is
durable and sustainable. Frugal innovation is like more than a strategy which denotes a mind
with new frame.
One can follow the principle of Frugal innovation which are described below.
 Find opportunity in adversity- It is re-framing of a problem which is taken something
which is like threat or seems adversity and turns into the opportunity. The bakery
business is down which can change into opportunity by launching some innovative
produce which are healthier and has described before.
 Do more with less- It is described as the not asking for more and try to do more with the
limited one. The Oven-fresh bakery need to have some new product which have
described earlier which don't need more equipment for their production and can managed
easily for availability in the market (Bernstein and et. al., 2018).
 Think and act flexibly- The bakery need to have these product as a innovative product
which shows the flexibility in creating product and leaving the rigidity which is of selling
only one product.
 Keep it simple- The bakery need to firs start with innovating one product and then go for
next innovation in different interval which can shows the not creating the complexity in
innovating new product. This will help the business to maintain the market demand an to
boost up the business.
 Include the margin- It is the best way to improve your business by asking your different
customer category for their choice of product which they need or want. This help the
business to get the idea of the customer demand and need for which they are looking for.
For this bakery already have the idea of their customer (Bitencourt and et. al., 2018). So
they just need to communicate with them and ask them for them choice of product which
they are interested in. And after getting their idea you should need to observe them and
need to walk in their shoes.
TASK 3
P5 Importance of commercial funnel
Commercial funnel is said to be a procedure which targets the market in such a manner
which leads the marketplace for the consumption of the goods and services. For this the business

need to first identify the customer needs and their requirement for offering can be accordingly
which leads to the business profit (Quesnel and et. al., 2018). Here, the Oven-fresh bakery need
to get the information by either directly talking with them or by indirect method for market
demand. This will give them the idea for making the product and their innovation which will full
fill the market demand. By the assistance of this Commercial funnel, the bakery's higher
authority will be able to aware their customer regarding the new innovative product which
having new flavour. This also helps in identifying the new and target customer and help in
getting profit. This also assist in marketing the product in proper manner.
New product development process:
To be successful in the market, business need to have some new product development
which can also be called as the new innovative product. It is most important to understand the
market, competitors and the product should deliver the value to the customer. There are some
process which are follows by the producer for the new product development which are discussed
below.
 Idea generation- This is the first process for the new product development process. It
says that company need to plan for launching new product or services which should be
totally unique and innovative idea. The bakery need to get the idea for launching the new
product which have suggest before. Mr. Wilbur can also take another product as their
innovative product. Which should be more than one product.
 Idea screening- It is the second stage of NPD which should analysing the one of the best
idea which should be beneficial for the business. Here, after getting the different product
idea by their customer the bakery owner need to choose any one product for the
innovation (Adeleye and et. al., 2019).
 Developing of concept- Here in this process the selected idea is taken in progress for
different test which are like legal formalities, designing, feasibility etc.
 Marketing Strategy- In this stage, marketing strategy is developed in order to promote
the bakery's new product in market with effective manner.
 Business analysis- In this stage there is evaluation of acceptance of new product is done.
 Development- It is the stage where expansion of goods will offer in marketplace by the
business which is here bakery.
 Test marketing- In this stage product is tested according to the actual strategy.

 Commercialisation- It is the final stage for launching the new product by using the
effective strategy in this bakery business.
P6 Innovative business case for an organisation and funding
Innovation plan is step by step process those steps are objectives, mission, vision,
gathering of solution, innovation of product etc. explain below (Mansor and et. al.,2016).
Steps Description
Summery This project is about the the development of
new business plan for Oven-fresh bakery,
related to the quality standard and variety of
products. It involves innovation of product
variety and selection of innovative operational
techniques for the so that company can
produce quality product.
Objectives Objectives of oven-fresh Bakery is to innovate
and apply the effective production technologies
as well incrementation of product variety in
order to get the best position at market place.
Mission Oven-fresh bakery have mission of attract,
satisfy customer and retailers,
Vision Vision of Oven-fresh is to stablish brand
image in competitive marketplace.
Solution To achieve the goals the solution, is use of
attractive strategies for the promotion of new
product. the use of effective organisation
function management tools.
Innovation in product Product innovation include, peanut butter oat
cookies, banana coconut muffins, coffee
chocolate chip blandishes (Bano and et. al.,
2018).

Funding Oven-fresh, need funding for implementation
of new products and technologies. Along with
this they need financial support for the
promotional activities. Company can get that
support from bank and retailers as advance
payment.
Benefits This innovation plan help to satisfy the
retailers and customer of oven-fresh bakery.
Company can achieve higher growth and
profit. As well as position in the marketplace.
Helps in increasing sells, number of customers,
re-establish the brand image.
Monitoring and controlling To sort out the problem of oven-fresh bakery,
and for the right application of innovation plan,
manager will be responsible. So oven-fresh
bakery need effective manger.
STP Segmentation: Oven-fresh bakery need to
develop some more small branches of business
throughout the different location. So that it will
be easy for customers and retailer to reach the
nearest branch.
Targetting: we have selected some product by
targeting the different age group peoples.
Which really increase the oven-fresh customer.
Positioning: innovation plan will help to
increase the position of brand in marketplace.
Sources of funding

Bank loan: bank is the common sources of funding, which is very secure and helping. So
Oven-fresh can get funding for their business renovation, and for application of innovation plan.
Bank will provide loan and then just charge some amount of interest along with the principles
amount in small parts. But for loan company have to provide the complete documents of
business to bank, and should have good civil score (Silva and et. al., 2019).
Government assistance: Government provide loan and some amount of fund to the
organisation of their nation for the growth of business, in order to improve the economy of
country. Government provide zero interest loan. But for that company have to follow some rules.
TASK 4
P7. Organisation adopting different tools to develop, retain & protect knowledge and intellectual
property
To make safe the different innovation, ideas, intellectual techniques, is can done by the
use of IPR (Intellectual property right), but this can be use for only newly invented things not the
copy one. This can be use by any one who have intellectual property (organisation, individual).
There are the different tool or laws in IPR for special kind of inventions. Oven-fresh bakery can
save their intellectual product formulation, and their own devolved innovative production
technologies. Along with this they can save their brand title and image (Olakunde and et. al.,
2017).
Patent: this is a type of intellectual property right use for the protection newly invented,
formula, methods, process, research. This help the patentee to protect their inventions from
others, helps to prevent , use , selling, copy of inventions by others. Once the invention get
patented then no one can use that inventions without the permission of patentee. But this
invention can be use by other if patentee give the permission. Patent save the invention for
relevant period of time. Oven-fresh bakery can save their product formula and special production
techniques by patent.
Advantages: It helps to protect the inventions for long period of time, approx 10 year protection
of intellectual property.
Disadvantages: it take long time to do the procedures, and need higher money environment.
Copyrights: Any unique creative art can be save by the use of copy right, this law help to
save the creative things such as innovative designs, paintings, sculpture, sketch, writing content

etc. Oven-fresh bakery cane save their machinery designs for certain period of time. Copyright
help to name the inventions by the name of creator only. If any one use that invention then they
have involve the name of the creator of that property. Creator can not be a owner but the
property is just known by the name of creator of that art.
Advantages: It offer the protection to various kinds of art such as music, dance, painting and
etc.
Disadvantages: Its drawback is that crater can only name the inventions from their name but can
not own it.
Trade mark: This right helps to save the organisation and brand logos, by this every one
can save the sign and name of their organisation, brand, services. Not that should be intellectual.
So Oven-fresh bakery should use trade mark to save their brand image to prevent the copy and
duplicates (Papadimitriou 2017).
Advantages: It helps to save any name of any kind of services, organisation, industry, so that
customer and others can differentiate with brand, and easy identification of product, brand,
services, organisation.
Disadvantages: some time customer's can get influence by rumours and shift from one brand to
other.
Intellectual property right is very important now a day's to protect the brand, product and
ideas from the duplication and help to get money in exchange of use of inventions.
CONCLUSION
From the above study, it has been analysed that the best way for the development of the
bakery business is the innovation of new products. It's important for the bakery business to bring
some new offering in the marketplace to help in the growth of business and will retain in the
business for longer period of time. New product development assist the bakery business to
develop new customer and to full-fill their need. Moreover, various tools can use for protecting
the innovative idea like trademark, patent, copyright and many more.