Innovation and Commercialisation: A Report with Dyson Analysis

This report provides a comprehensive analysis of innovation and commercialisation, using Dyson as a case study. It begins by defining innovation and its importance compared to invention, focusing on how organizational vision, leadership, culture, and teamwork shape innovation and commercialization. The report then delves into the 4Ps of innovation, the innovation funnel, and frugal innovation, providing examples of their application within Dyson. Further, it explores the commercial funnel, new product development (NPD), and building an innovation business case. Finally, the report examines various tools for developing, retaining, and protecting knowledge and intellectual property. Overall, the report offers a detailed overview of innovation and commercialisation strategies, providing valuable insights into Dyson's approach and practices.

Innovation and
Commercialisation

Table of Contents
INTRODUCTION...........................................................................................................................3
P1 Explain innovation and determine its importance to organisations in comparison with
invention.................................................................................................................................3
P2 Explain how organisational vision, leadership, culture and teamwork can shape innovation
and commercialisation............................................................................................................5
Sources of innovation.............................................................................................................7
TASK 2............................................................................................................................................8
P3 Explain the 4Ps of innovation and explain the use of the innovation funnel to examine and
shape innovative ideas............................................................................................................8
P4 Explain developments in frugal innovation and provide examples of how it is used in an
organisational context...........................................................................................................11
TASK 3..........................................................................................................................................12
P5 Explain the importance of the commercial funnel and the application of new product
development (NPD)..............................................................................................................12
P6 Build an innovation business case...................................................................................13
TASK 4..........................................................................................................................................15
P7: Different tools for developing, retaining and protecting knowledge and intellectual
property.................................................................................................................................15
CONCLUSION..............................................................................................................................17
REFERENCES..............................................................................................................................18

INTRODUCTION
Innovation depicts as a process which includes a range of activities that is helpful in
introducing new products and services in the marketplace. Innovation helps an organisation in
coming up with new ways of working which helps the business organisation in creating bigger
opportunities, economy growth as well as business success. Commercialisation refers to a
procedure of introducing new products and services in marketplace to attain the higher customers
attention. It involves production and distribution of new production with the help of effective
marketing so that the sales of the business can be enhanced by gaining higher customers support.
In this file, the selected organisation is Dyson which is a British technology company formed in
UK by Sir James Dyson in 1991. This firm is leading their business in design and manufacturing
household appliances. The main aim of this company is to become more technological and
innovative. For this, they are coming up with battery products so that all the technological
products become easy to carry out. This following assignment will cover about the innovation
concept and its importance, 4Ps of innovation, usage of innovation funnel and frugal innovation.
Along with this, the concept of new product development process also will consider in this
reports in order to make understanding about the succession of new product in market.
P1 Explain innovation and determine its importance to organisations in comparison with
invention

Innovation: Innovation considered as a most effective process for the company as it
insist them to develop a new product in the marketplace in order to meet the requirements and
demands of the dynamic customers (Innovation, 2019). It give main focus on translating ideas
and inventions into effective goods and services which is able to create value among the
customers and to increase the overall productivity and profitability of the organisation (Aarikka-
Stenroos and et. al., 2014).
For example, Dyson aims to bring innovative feature in their hair dryer so that it will become to
use and carry out. This will help the customers to use it anywhere as per their requirement and
suitability.
Importance of Innovation: The organisation like Dyson must stay focussed towards
bringing innovation in their firm so as to gain the higher competitive advantage. By considering
the innovation organisation can get various benefits which are as follow:
 Gaining competitive advantage: The main advantage Dyson can take from bringing
innovation in their products is attainment of higher competitive benefits as because they
have to tough competition in marketplace. For this, Dyson has introduces a new feature in
their hair dryers in which customers get the facility of using wireless facility so that they
can use and carry it easily. Quick response to customers’ expectations: With the help of innovation Dyson can
easily meet the customers’ expectations and needs of using the wireless facility in hair
dryers which will results in higher profitability and succession of the company.
Invention : This is a process of converting ideas into goods and services which has never
ever has been introduced by any other organisation (Invention, 2019). It is related to launch
something completely new so that higher attention of the customers can be gained.

For example : Dyson introduced wireless hair-dryers which will provide huge benefit to the
customers as it will enables them to carry and use it easily without taking tension of availability
of socket or not (Aloini and et. al., 2015).
Importance of invention: Invention helps the firms in bringing completely new product
in the marketplace so as to meet the dynamic needs and demands of customers. As awareness of
new technology provide huge benefit to company in enhancing sales of their wireless hair-dryers.
Difference between invention and innovation
Basis Innovation Invention
Meaning It pertained to implementation of
some required changes in the
existing products and services.
This refers to the bring new ideas for
business which has never ever given
by any other.
Activities It depicts as aggregation of various
products and services.
It is mainly concern for inventing a
single product in marketplace.
Skills required In this, the technical, strategic and
marketing skills are required.
Herein, invention requires scientific
skills in a person.
Example Dyson is mainly concern for
innovating a new feature that is
wireless in their hair-dryer which
will allow the people to use it
without any facility of socket.
Dyson company is giving their major
concern to come up with new wireless
hair-dryer so that people can easily
carry and use it.
P2 Explain how organisational vision, leadership, culture and teamwork can shape innovation
and commercialisation
Commercialisation: This is cognition by which a new product or service can be
represented in marketplace so as to attain the higher customers’ attention and interest. This
concept requires an effective market strategy in order to attain commercial success in innovative
product. It helps the organisation like Dyson in increasing their sales as well as market share.

Vision of Dyson: The main vision of Dyson is to enhance the usage of advanced
technology and to increase its market share. This vision helps them in bringing innovation in
their products so that they will be able to develop high value among customers. For this, they are
providing wireless hair-dryer which will enables the customers to use wireless facility so that
they can use it without making any concern for availability of socket or not and can easily carry
it anywhere (Bogers and West, 2012).
Leadership: This refers to the ability of a leader which enables them to direct, motivate
and guide their subordinates to do their best to achieve organisational goals and objectives. In
order to perform their role in an effective manner a leader must have some skills like creativity,
positivity, delegation etc. leader of a firm can follow various leadership styles such as autocratic,
democratic, strategic etc. among all of them leader of Dyson needs to consider democratic
leadership style as it will help them in motivating employees in participating in bringing
innovation and insist them to come up with appropriate ideas and methods in terms to make
effective improvements in products.

Culture: Organisational culture includes shared beliefs, assumptions and values which
determine that how employees behave and perform within the organisation. Culture comprises
five components like purpose, community, communication, purpose and leadership. If business
organisation wants to attain leading position then they needs to come up with innovation in their
products with the help of effective communication and appropriate leadership style. In this aspect
Handy's model of organisational culture can be utilised. In define four types of culture, some of
them are like power culture in which power is handed only a person who lead impact on whole
organisation. Task culture which is exercised when a specific task is needs to compete. In Dyson,
they are following task culture as this helps them in accomplishing their specific task that is
bring innovation successfully by utilising skills and talent of employees (Gobble, 2013).
Teamwork : An appropriate team comprises highly talented and competent member
within who has define goals and objectives. All the goals are determined by mutual consent of
team and they have to follow the directions which are given by leaders. In order to maintain the
quality of work, proper integration and coordination is highly required among team. Teamwork
is also very beneficial for the Dyson as it will help them in bringing innovation in their existing
products with the help of efforts of all team members and by agreeing up-on same ideas also by
working in pre define structure.
These above mentioned components will help the company in successfully bringing
innovation in their products. As the vision of company is to enhance the use of advance
technology so in this task culture will help them in gaining higher efforts of team members. Also,
democratic leadership will also help them in enhance participation of employees in decision-
making so that flow of ideas and opinions can be maintained in order to effectively introduce
innovation and commercialisation.
Sources of innovation
There are various sources of innovation are available which enhance the requirement of
innovation in company. Herein, the Peter Drucker’s sources of innovation have utilised by
Dyson in order to assess the requirement of innovation within the organisation. In this, seven
sources are included like process, incongruity, demographics, and change in perception, new
knowledge, and market structure. From all of these change factors will consider so that all the
products can be brought as per the customers demand and needs.

TASK 2
P3 Explain the 4Ps of innovation and explain the use of the innovation funnel to examine and
shape innovative ideas.
Consideration of innovation is very beneficial for the organisation as it will enable them
to stay ahead from the competitors. Innovation has various types like incremental, radical etc.
incremental refers to bring some modifications in existing products whereas radical depicts to
bring new business model, methods and ideas. Innovation mix model was formed by John
Bessant and Joe Tidd. It is very helpful for Dyson as it determine that areas where the
improvement is required. Here are describing 4Ps of innovation:

Paradigm: This defines all methods and ways which assist the organisation in introducing
innovation in their commodities. With the help of this, required changes can be made in
underlying metal model which will pertained that what and how an organisation needs to do
(Hermans, Klerkx and Roep, 2015). It is essential for Dyson to go through from business
processes so that wireless hair-dryer can be made as per the customers’ perception and
requirements.
 Process: This considers all those factors which influence the ways in which organisation
is delivers its products and services to the consumers. Herein, Dyson can implement
necessary changes in the process which are involves in production of its products so that
they can decrease cost and enhance its profitability.
 Position: This refers to the position of products that where it is stand. In this stage,
Dyson needs to make some improvement in their products so that they can attain higher
customers’ attention and provide them great satisfaction so as to attain the higher position
in the marketplace.
 Product: It is mainly concern for introducing some innovation in their existing products
so that customers needs can be satisfied effectively. This will help Dyson in launching
their new wireless hair-dryer as per the customers demand and needs.
Innovation funnel : This consider various steps within which are helpful in developing a new
product or process in order to meet the customers’ expectations and needs. The consideration of
this funnel is beneficial for Dyson as it will help them in formulating an ideal or realistic plan for
them (Innovation Funnel. 2019). Dyson can utilise this funnel in such manner:

 Idea generation : In this stage, the ideas related to innovation is generate by examining
all the threats and opportunities of it. For example, here Dyson will make a idea related to
innovate a product successfully with the help of R&D department. Concept investigation : Herein, Dyson will evaluate all the ideas which have been made
in first stage so that best can be selected. For example, Dyson will screen the ideas on the
basis of availability of resources and customers so that success of the product can be
assured. Feasibility study : At this step, profitability, technical and economic feasibility of the
ideas is tested. In addition to this, risk factor also will consider here in order to make
most appropriate plans. Development stage : Herein, Dyson will finally launch product in market in terms to get
profitability and sustainability.

Post release phase : This stage focus on taking feedbacks and reviews from customers so that
necessary changes can be implemented (Hossain and Kauranen, 2016).
P4 Explain developments in frugal innovation and provide examples of how it is used in an
organisational context
Frugal innovation refers to the process which can be utilised by an organisation to
eliminate complexities from the manufacturing activities so as to decrease the production cost. It
can be done by obviated wastage and non value adding features so that the utilisation of
commodities can be increased (Frugal Innovation, 2019). Stages of frugal innovation which can
be utilised by Dyson are as follow:
Illustration 1: Frugal Innovation, 2019
Source : Frugal Innovation, 2019 Seek opportunity in adversity: This refers to taking benefit from the unfavourable
situations and innovative products in terms to decrease impact of adversity. For example,
Dyson can take advantage of increasing expenses in hair treatments and electricity usages
by coming up with the wireless hair-dryers so that customers can use it without thinking
about availability of sockets. Do more with less : This reflected effective usage of limited products in terms to
maximise the productivity. Herein, Dyson will utilise proper efficiency of their limited
employees by enhancing their motivation.

Think and act flexibly : It depicts that an Dyson culture and structure needs to be more
motivated and positive in order to bring innovation in the existing products in the most effective
manner (Kerschke and et. al., 2015). Keep it simple : This refers to the simplicity of the plans of innovations of Dyson so that
it can be easily understood by each and everyone without creating any kind of hurdles
and complexities. Include the margin : It defines that innovation must be customers-centric as it will help
the Dyson in making strong customer base.
 Follow your heart : It represents thinking of management that if manager of Dyson feel
that it will be succeed in the marketplace then they must go ahead in their plans and
opinions.
TASK 3
P5 Explain the importance of the commercial funnel and the application of new product
development (NPD)
Commercial funnel : This is also known as sales funnel which has undertaken a buying
process within which emphasize on customers at the time of purchasing goods and services in
order to enhance their sales as well as revenue. This funnel has huge importance for the Dyson as
because it will help them in promoting their products and determining their pricing policy so that
they can attract various customers. For instance, by using commercial funnel in their
organisation manager can attract a range of customers towards new innovative products which
will give them benefit as higher sales and profitability as well.
New Product Development : With the help of this process, organisation can successfully
introduced new product. Consideration of this process is necessary for Dyson as it will enables
them to implement changes as per the customers preferences and demand. Here is describing the
process of NPD: Idea generation : This is the initial level in which the idea related to new product is
developed. Herein, the R&D department will come up with various ideas in order to
innovate their products as per customers demand and needs.