A Comprehensive Report on Innovation & Commercialisation Strategy

This report explores the importance of innovation and commercialisation within a business, using a bakery (Oven Bakery) as an example. It discusses how organisational vision, leadership, culture, and teamwork shape innovation, and outlines the 4P's of innovation (Product, Process, Position, Paradigm) and the innovation funnel. The report also covers developments in frugal innovation, the importance and application of the commercial funnel and NPD (New Product Development), creating an innovation business case, and tools for retaining innovation ideas. The report highlights the necessity of innovation for maintaining competitive advantage and adapting to changing market demands, with the bakery case illustrating the consequences of neglecting innovation.

Innovation &
Commercialisation

Table of Contents
INTRODUCTION...........................................................................................................................3
Innovation and its importance................................................................................................3
Organisational vision, leadership, culture and teamwork can shape innovation and
commercialisation...................................................................................................................5
4P's of innovation and the use of innovation funnel..............................................................7
Developments in frugal innovation with respect to organisational context...........................9
Commercial funnel importance and application of NPD.......................................................9
Innovation Business Case.....................................................................................................11
Various tools for retaining the innovation ideas...................................................................13
CONCLUSION..............................................................................................................................14
REFERENCES..............................................................................................................................15

INTRODUCTION
Innovation refers to bringing up a new idea and work up that idea to come up with
something new. Innovation has become a necessary for the industry as it helps them in
maintaining the competitive advantage through the production of new products and services
(Dincer, 2017). It enables the organisations in discovering the new opportunities and explore
them. It has been observed that innovation brings progress in the environment. For example, the
technological innovation at a particular place or region would help in making it developed. For
reference purpose this report has taken an example of a bakery, Oven Bakery which from the last
five years is only selling the white bread to customers. This has curb the innovation and the flow
of customers in his store.
This report discusses about innovation and its importance in an organisation. It also
includes the range of innovation and the methods which an organisation can use to protect their
ideas for innovation. This report is consisting of number of function which will explain function
of innovation and helps in developing an innovative plan for organization to achieve business
objectives and perform function in appropriate way.
Innovation and its importance
Innovation refers to the process in which something new gets developed. Of there would
be no innovation, there would be no progress. Innovation is necessary for any organisation as it
enables them in bringing up the required change in the products or services offered. Any
innovation done has its impact upon the economy (Medase and Barasa, 2019). Innovation
focuses upon bringing more creativity and builds up something new which one other
organisation or person has come with yet with the use of available resources. There are various
types of innovation some of them include:
Incremental innovation: This sort of advancement is a lot of utilized by the organizations. In
gradual development, the association brings changes into their current items and focuses in
existing business sector. Advancement could be brought through carrying any change into the
item which can be adding a few highlights, changing the plan for the item, changing the
pickings, etc. Through this the association increases upper hand into the commercial centre so
their client gets stick to them. As for the situation with Oven Bakery, they utilize steady

advancement by bringing a type of progress or new component into their current items. For
instance, they may carry another flavour into the current one.
Disruptive Innovation: This sort of development is likewise known by Stealth Innovations. In
this the association raises another innovation or another cycle into the current market. This style
of development is a lot of covert in nature and as it includes the presentation of new innovation
or cycle it is a lot of costly to the organization. The highlights includes into that will be
extremely restricted. Using new innovation, the old innovation gets supplant by new one. For
instance the organization Oven Bakery has received an absolute new cycle or innovation for
delivering the items. The innovation which is been received by the organization is exceptionally
new and they additionally assists the association in playing out the creation action with more
prominent effectiveness and adequately (Adelowo, Akinwale and Olaopa, 2017). The new
innovation empowers in association in large scale manufacturing with lower cost.
Architectural developments: The compositional advancement alludes to an advancement into
innovation. The current innovation which is been utilized by the organization is a lot of powerful
yet further to build the proficiency the association attempts to raise more change into the current
innovation. Through this the association can carry greater profitability concerning their creation.
As in the event that with Oven Bakery, the organization is essentially happy with its present
innovation for creation, however for expanding the creation more they will attempt to bring new
headway into that innovation just to make it more effective (Kergroach, Meissner and Vonortas,
2018).
Radical Innovation: In this kind of innovation, the association brings an entirely different
development or making of the item or administration. Through this the association attempts to
shallow its commercial center and the number is client focused on is a lot of gigantic. They are
considers as the principal movers for the innovation. For instance, Oven bakery organization is a
lot of old. At the point when it brought itself into the commercial center they made a specialty
market by selling the unadulterated products.
The following are the importance of innovation in Oven Bakery:

Helps in growth: The growth of companies get better when they bring up the innovation in their
operations, products or services. Through innovation the company can bring up the new products
or services in market from which the customers would get attract. It also helps the business in
increasing its customer base as new customers or audiences would also get attracted by their
innovative idea which they have implemented in their product or service (Rosemann and
Molyneux-Hodgson, 2020).
Maintain relevance: The innovation helps an organisation in maintaining the relevance of the
organisation to the market scenario. As in the case with Oven bakery which only produces and
sells the white bread in the market scenario where the consumer demands are shifting from
various other types of breads like multigrain bread, brown bread, whole wheat bread and so on.
By selling only white bread in the market the Oven Bakery has lost its relevance in the market
place (Eberhardt and et al., 2017). Therefore innovation would help the bakery in bringing back
the relevance of the bakery back into the market. The bakery can bring relevance through start
producing and selling the various types and variety of breads in its shop like brown breads,
multigrain bread, wheat grain bread and much more.
Organisational vision, leadership, culture and teamwork can shape innovation and
commercialisation.
The organisation vision tells about what an organisation has planned for itself to become
in its future. It alludes to a flawless and clear picture which the proprietor of the business sees
about the association later on. It advises that where the association needs to see itself. The
systems shaped by the association encourage it in learning the objectives or vision which it has
chosen for itself. As indicated by the objectives the techniques are shaped and these need to get
change as per the innovation winning or development bringing into the market. The authoritative
vision must get incorporated with advancements which are occurring in any case the association
may get flop in learning its vision (Azarmi, 2016). The vision for Oven Bakery is to provide the
taste satisfaction by providing the healthiest products to their customers. As the vision aims for
the long term objective for the organisation, bringing innovation is a must. Through the help of
innovation only the organisation could be able to achieve their desired objectives. The vision
which the bakery has set for itself can only be achieved when they would go with the
contemporary business environment.

The right kind of leadership would help the organisation in knowing about the need to
bring innovation. A leader is a person who would be influencing the employees to bring the
required change in organisation. Therefore it is the duty of a leader to analyse the need for
change and bring that required innovation in its system (Henttonen and Lehtimäki, 2017).
Leadership alludes to a quality to impact others to follow an ideal bearing. The pioneer has the
capacity to impact others. He likewise has an excellent aptitude for inspiration (Amponsah and
Adams, 2017). A decent pioneer is likewise having the abilities for self-inspiration and of
persuading others. With regards to development, a genuine pioneer must break down the
requirement for carrying the advancement into the association. He is the person who recognizes
the necessities and spurs different representatives likewise in tolerating the reality to carry the
development into the work or cycle. Follow8ing are the kinds of initiative styles which is been
received by an association:
Top to down: In this kind of initiative style the hierarchical objectives and dynamic force is
obliged with the senior level individuals as it were. In this methodology all the choice are made
by the senior level individuals and the progression of choice or any message is start to finish that
implies the senior level individuals settle on the choices without help from anyone else and
afterward they move the equivalent to their youngsters. It is a greater amount of a dictatorial
climate where the commitment of intensity level administration individuals isn't anything
(Glushchenko, 2014). They simply need to follow the requests to what the have gotten from
seniors.
Participative: In this kind of authority style the association connects with the individuals of lower
or center level administration and afterward they settled on the choice. In this kind of approach
the seniors individuals take the thoughts and the assessments of other junior individuals and
afterward they take a ultimate conclusion. This sort of approach is a lot of majority rule (Mattila,
2017).
The organization, Oven Bakery receives the participative methodology for authority as in this the
workers gives new and creative plans to association which really can benefits them.

The Culture of an organisation should be that flexible that it can absorb any innovation
done in it. For example in the case with Oven Bakery the culture of the store should be such that
they welcomes the innovation which are done are brought up in the product. The culture of an
organisation must encourage the creativity and innovation which the organisation is planning to
brought up into its operations or system.
Teamwork refers to the collaboration of individuals in a group which would lead in the
attainment of a desired objectives. If the employees of the organisation are very supportive and
hard working it would lead to the bring up the innovation with more ease and feasibility. The
supportive team work would help the organisation in implement and give the required
suggestions about the innovation to them (Akinwale, Adepoju and Olomu, 2017).
4P's of innovation and the use of innovation funnel
The 4P's of innovations are:
Product: In the product innovation the required innovations are done in products. Innovation can
be done in existing product through some addition in of features or by bringing up a whole new
product into the market. The Oven Bakery can bring the product innovation by producing and
bringing up the new varieties of breads at their shop.
Processes: The process innovation is a type of innovation in which the organisation brings up
the creativity in their operational activities. By doing so the organisation can bring up the
effectiveness and efficiency in their operations with less cost and more results. As in the case
with Oven bakery they can adapt the new technology in their production system so that the
organisation can get more productivity (Seclen and Barrutia, 2018).
Position: This is more a psychological category decided by the organisation about where the
organisation wants to see or position itself at the market. They can set their positions through the
quality of product offered by them, price set, policies of the store, platform where they are
available and much more.
Paradigm: This is some different innovative platform. In this the innovation can be brought at
the type of catering which is provided by the Bakery, innovation in packaging, services rendered
and much more.
Innovation funnel is the process which entails about the action plan taken by the
organisation in bringing up the innovation in its system or product. The funnel goes through the
three stages. At the first stage the organisation would take all the possible ideas. The more ideas

an organisation could develop would result in more innovation in the product. At this stage the
organisation tries to gather maximum amount of information so that they can bring innovation
properly. At the second step, the ideas which the organisation generated goes through the
screening process. In this step all the ideas are evaluated and get analysed about their feasibility.
Only those ideas are taken forward by the organisation which are feasible in their working. At
last in the third step the company executed the ideas which they have screened in previous step.
They anticipate the plan related to the required innovation (Stojčić, Hashi and Orlić, 2018).
Innovation Funnel
There are different key factors additionally which empowers the organization in streamlining the
cycle for thrifty advancement, which are as per the following:
Examination: In this stage or step the association assess or research about the inventive
arrangement which is identified with presenting another item or contributions by the
organization. Through examination, the association would become more acquainted with about
the territory where they have to present the economical development. It is the initial step for
getting ready for lessening the expense for the creation movement. The examination cycle
explore about the territories where they can decrease the expense by wiping out the highlights.
As for the situation with Oven Bakery organization, it can research about their bundling style
which can decrease their expense for bundling of items (Nepelski and Piroli, 2018).
Improvement: After examination the association can build up the arrangement as to carry the
necessary change into the item. For this the association makes an arrangement about how they
would bring and actualizing the change. The arrangement would be as per the interest and need

of the economic situation and circumstances. As for the situation with Oven Bakery, the
organization has builds up an arrangement about how they can carry the economical
advancements with their bundling style. The arrangement that the organization would choose
will be as per the requirements and request of both the association and the market.
Transportation of the item: After the correct examination and advancement of item, the item
gets at last conveyed and moved to a definitive clients or buyers. The entire cycle get finished
just when the association sends the item or offered thing to the clients. Also in Oven Bakery, the
cycle would get total when the items will get transported and conveyed to a definitive client (Shi,
Wu and Fu, 2020).
Developments in frugal innovation with respect to organisational context
Frugal innovation is a process through which an organisation can implement the
innovation. The Oven Bakery needs to bring up the innovation in their products as they have to
introduce new and innovative variety of breads like brown breads, whole grain breads,
multigrain bread and etc. Therefore to bring up this product innovation the company can take the
help of this innovation funnel in which the organisation would be first collecting the ideas about
the product innovation which they can bring into the market place. After collecting all the ideas
about the varieties of bread the company can manufacture, resources and budget available they
conduct a screening process in which they list out the ideas which are not feasible. For example
the Bakery can adopt the idea for carrying out the less production for white bread which more
production for other variety of breads. At the final stage the Bakery would be implementing the
actions and the plans which they have decided for their operations.
Commercial funnel importance and application of NPD
Commercial funnel states the process through which a customer undergoes right from the
creating an awareness about the product till the purchasing of the same. The funnel has the 4
process and believes that a customer before purchasing a product went through these steps. The
processes are Awareness, in which the organisation educates the customers about the product.
Second stage is Interest, in which the customers through the product features or advertising
method shows some interest in the product and research about the same more. After the research
the customer generates a desire to acquire that product. At last he takes the action by finally
purchasing it. It is the cycle where the organization is discovered by the clients, gets qualifies

from the clients and afterward the clients at last buys the items. In business pipe the association
follows the accompanying stages which are as per the following:
Awareness: In this stage the association makes a mindfulness about the item and its highlights
into the focused on commercial center. As on the off chance that with Oven Bakery, the
organization sets its mindfulness about the new item into the market by expressing the highlights
and USP's to the clients.
Interest: In this stage, there some making of revenue about the item or administrations among
the clients and focused on market (Rietsch, Beaudry and Héroux-Vaillancourt, 2016).
Decision In this stage the association makes a choices about the item. The choice might be about
whether the item is of their advantage or use or not? Regardless of whether they will fulfill the
necessities or interest? Also, and so on
Action: In this stage the client make the real move through purchasing the item or by rejecting it
to purchase. At this stage the client buys the item in the event that they believes that item is a lot
of valuable to them. Or on the other hand they will not buy the item on the off chance that they
don't feel the value.
The commercial funnel is important because:
Generates the awareness: The company through the use of commercial funnel can
generate the awareness among the customers or targeted audience about the innovative product
which they have planned to brought up into the market (Wang and et al., 2017). This helps in
increasing the customer base for the company.
Increase in sales: The customer funnel is also helpful in increasing the sales for the
company as they educate the customers about their innovate products. By grabbing the
knowledge the customers would be getting attracted to the product and may can buy it.
New product development consists of the steps which are taken under account for
bringing the innovation into the product. New product development can be defined as production
of a whole new product by the organisation which has the whole new and unique features,
characteristics, or any new product which satisfies the needs and wants of the customers.
Through that product the utility that the customer should get must be equivalent to the price paid.
The organisation through the introduction of new product can retain their customers and
positions into the market. The steps may include:

Generation of new idea: The idea about producing varieties of products get generated.
Screening: At this step the ideas which are generated gets through the screening process in
which the feasible ideas are taken forward.
Concept development: At this the feasible ideas are developed further for bringing the
innovations in the products.
Marketing strategies and business analysis: In this the organisation develops the marketing
and business strategies to implement the innovative product into the market place.
Development and testing: The product later gets develop and then are tested in a particular
market.
Commercialisation: The product which is developed by the Oven Bakery is now ready to go
commercialise in a bigger segment of market.
Innovation Business Case
Summary: Oven Bakery is a British global organization is spend significant time in
selling the ketchup, crème, and other food related item into the commercial center. The
organization has develop some new items in ketchup and crème. The association intends to bring
the item into their focused on market.
Product: The association is discovering the new and imaginative route for dispatching the
items into commercial centers with the goal that they can effectively pick up their business
channel according to they arranged.
Arrangement: The issue for discovering the correct strategies for promoting or bringing
the item into the focused on market can be illuminated by dissecting the techniques for
showcasing drawing nearer alongside their degree of affectivity into the commercial center
(Kim, Park and Paik, 2018).
Advancement: The association gets development the ways for playing out the advertising.
For playing out the showcasing exercises, the association decides to coordinate some open
occasions for the advancement reason, they will likewise take the assistance of different
publicizing exercises like Television advertisements, paper promotions, holders and so on The
association can likewise choose numerous different exercises which can help the association in
dealing with their showcasing and special exercises.
Financial Assistance: There are different wellsprings of money is accessible to the organizations
which are as per the following:

Bank credit: Loan is a proportion of money gained for a set time span inside a repayment plan.
The proportion of repayment depends upon the size and range of an advance and the movement
of interest. It is given to address the issues of masters, associations or sole proprietorship. Today,
Bank credit has become huge bit of business.
Benefits: Bank advance give humble movement of energy when appeared differently in
relation to credit from financial foundations, for instance, NBFC's. One of the best favored
position is that it gives charge hold assets as interest is deducted from accessible compensation.
Also, credit doesn't show any weight for business as it is paid in partitions and at a fixed time
span.
Negative marks: It is difficult for an autonomous dare to get advance since they don't
have the standing of the business. Generally, bank credits advance mindfully to the business in
the wake of seeing the dissolvability furthest reaches of a business.
Loan from relatives: Peer to Peer loaning is generally called P2P loaning, expects to give store
through online by organizing advance authorities and speculators. It has gotten one of the
appealing endeavor elective over the globe. In this, credit experts get high movement of return n
their endeavors and they can see all nuances of speculators prior to loaning them.
Benefits: One of most prominent piece of room is that P2P loaning is speedy and
accommodating wellspring of financing as it is online based. It gives more noteworthy versatility
as it give less energy of rates to borrowers when stood out from traditional structure.
Demerits: There is no relationship of government in shared loaning and no affirmation in
case of borrower's default. Some managerial wards don’t allow advance masters or speculators to
place assets into shared loaning.
STEPS DESCRIPTION
SUMMARY
The oven Bakery is planning to bring innovation in their product by
producing the new varieties of product in the market place as their
bakery is becoming obsolete by selling only white breads.
OBJECTIVES The objective of Bakery is to bring the product innovation
SOLUTION The company is bringing up the required change so that they can start
the production of varieties of breads in their bakery.
RESEARCH The organisation has performed both the internal and outer research
about the ways in which they can establish the innovation in the most

feasible way.
FUNDING
The organisation has to plan to take the loan from bank so that they
can pursue further in the implementation for their innovation
planning.
BENEFITS
This would help the organisation in establishing themselves again in
the market place as by providing the products which are relevant to
the market.
Various tools for retaining the innovation ideas
The various tools are:
Patent: In Patent the organisation preserve the right for the production of the product.
The patent would reserves the right for production that only that organisation can produce that
product for 20 years and no other organisation would be allowed to produce the same product as
the organisation is producing (Zhou and et al., 2018).
Trademark: Through trademark the organisation preserve some of the part for their
production or other materials by themselves which no other company is allowed to copy. These
may include the brand name, logo, design and so on (Wardle, Baum and Fisher, 2019).
Copyright: The Copyright packs the real component of licensed innovation to their
creator, copyright it comes to got from the word 'copy', that infers its solitary driven or fit for
copyright to the people who are exceptional owner of the particular their thing and organizations.
Benefits - A copyright gives an exhibition convey and rehash their work in phrasing
producer's protected innovation, for instance, Media and Content work. It gives the affirmation
to taken and consistent from others. Copyright award the producer of copyright with the
arrangement to uses their work where it reflects morally faulty. Suitable enrollment of copyright
verification work as full affirmation evidence to ensure the producer of copyright if some
different uses as in unlawful way.
The Oven Bakery must use the trademark for retaining their innovative ideas. Through
trademarks they can educate the customers about their products very easily through their marks
upon the product. Mark can be in form of logo, brand name, trademark sign and so on.
CONCLUSION
As per the report presented above, the innovation and its importance has been presented.
The application of new product development can be useful for the organisation in which they can

implement the innovative product in the market. The company can also uses various tools
through which they can retain their innovative ideas, some of them includes Patent, trademark
and so on. The report also presents the innovative business case in which a full case about
bringing the innovation in the organisation is necessary.

REFERENCES
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