Innovation and Commercialisation Analysis for Ensoft Ltd. (2024)

This report provides a comprehensive analysis of innovation and commercialization strategies, focusing on the case of Ensoft Ltd., a software organization. It explores the importance of innovation compared to invention and how vision, leadership, culture, and teamwork shape innovation and commercialization. The report delves into various sources of innovation and how organizations can foster an innovative environment, followed by an examination of entrepreneurial ventures. It then explains the 4Ps of innovation, the use of the innovation funnel to shape ideas, and the developments in frugal innovation. The report also discusses the impact of small businesses on the economy. The analysis includes practical applications and real-world examples to illustrate the concepts. The report concludes with a summary of the key findings and their implications for Ensoft Ltd. and similar organizations. The report is contributed by a student to be published on Desklib, a platform which provides all the necessary AI based study tools for students.

Innovation and
Commercialisation- Task 1

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1. Innovation and its importance to organisations in comparison with invention....................1
P2. Vision, leadership, culture and teamwork can shape innovation and commercialisation.....2
M1. Sources of innovation and how organisations can develop an environment and culture of
innovation....................................................................................................................................3
D1. Scope, development and growth of entrepreneurial ventures..............................................4
P3. 4Ps of innovation and use of the innovation funnel to examine and shape innovative ideas
.....................................................................................................................................................4
P4 . Developments in frugal innovation......................................................................................5
M2. Apply the innovation funnel...............................................................................................6
M3. Role of frugal innovation ....................................................................................................7
D2. Small businesses have an impact on different levels of the economy................................7
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................1
.........................................................................................................................................................2

INTRODUCTION
Innovation is the process of translating an invention or idea into product or services
which creates value for customer will pay. To be called an innovation, an thought should be
replicable at an economical cost as well as satisfy a specific need. Moreover, commercialization
is the procedure of introducing latest goods and services to general market area. It consider
production, marketing , sales, customers support needed to achieve the commercial success of
latest product or services (Aarikka-Stenroos and Sandberg, 2012). This report is based on Ensoft
Ltd. which is an software organisation established in 1997 and they are bringing new software
for accounts department. Below mention assignment is going to explain importance of
innovation and how vision, leadership, culture and team can shape innovation as well as
commercialisation. Apart from this, 4Ps of innovation and development of innovation funnel.
TASK 1
P1. Innovation and its importance to organisations in comparison with invention.
Innovation
Its a techniques of translating idea or make creation in goods and services which value
according the costume need and customer will give money for that. It refers to changing process
and creating more effective process, ideas and products. It is beneficial for the business because
by creating innovation the profit or margins increase, fulfilling consumers desires, infulencing
and maintaining marketing quota, saving a marketing strategies, use of new business
opportunities, market increment and making competitive advantages. Business based on
research and development techniques. It goes far beyond the research of labs users, suppliers and
consumers everywhere in business, government and non profit organisation (Bogers and West,
2012).
Invention
It is a unique process, method composition and device and an development process. It is
a creation of goods and services for introduce new processes. It is a process of searching and
making new thing for invent new products. It invent new idea to make make new products and
services for the market according customer needs.
Importance of Innovation
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The importance of the innovation in Ensoft Ltd. is to create value for the organisation by
creating new revenue by different channels of marketing. For saving time, money and make
innovation to incraese market, it is important generating efficiencies. The importance of
innovation is creativity because the employees of the organisation should be creative for
achieving growth.
Importance of Invention
It is important for make change in the market's product and services. It is important
because kits direct impact is the formation of new industries and many derived sectors(Eesley,
Hsu and Roberts, 2014).
Comparison of innovation and invention
Innovation and invention both are closely linked but are not interchangeable.
Invention Innovation
It is a process of creation of a product or
introduction for the first time.
In this scientistic skills are required.
It occurs when new ideas generate in the mind.
It is done with single product and or process.
It occurs if someone improves an existing
process, product and service.
It is a set of marketing, technical and strategic
skills.
It is need based when need is felt for a product
or improvement in existing product.
It is combination of various products and
process.
P2. Vision, leadership, culture and teamwork can shape innovation and commercialisation
Vision
It is an public declaration that organisation use to describe their high level goals for the
future what they hope to achieve if they successfully fulfil their organisational purpose. In Ensoft
Ltd. It is a vivid mental image of what the organisation want its business to be at some point in
the future, based on its goals and aspirations (Ettlie and Rosenthal, 2012).
If the organisation shape innovation and commercialization, it follow some components
such as core ideology,core values,core purpose and envisioned future. Core ideology means
motivate the employees for their work or operation. The organisation do the work according the
organisation purpose.
2

Leadership
It means understanding both the strength and weakness of the company's workforce,
business plan and day to day operation. Operational leaders use their skills and knowledge to
manage and strength the components of an organisation by making change, solving problems and
creating a positive and productive workplace. There are some way of leadership to shape
innovation and commercialization for Ensoft Ltd. It promote high potentials who process the
leadership skills needed for the role and leadership team's goal. It empower its leaders to make
decision. Leaders are conscientious and take initiative because they want to get projects and
work accomplished. The organisation offer development and coaching to its leaders at the right
time.
Culture
In an organisation culture is a system of shared assumptions, values and beliefs, which
governs how people behave in organisation. Culture influences management decisions to shape
innovation and commercialization by knowledge of the rules and behaviour that are considered
acceptable in organisation's professional relationships (Ettlie, and Rosenthal, 2012). Culture
illustrates the accepted norms and values and traditional behaviour of a group. It is a key
component of a business and has an impact on the strategic direction of business.
Team work
It is a process of working collaboratively with a group of people in order to achieve a
goal. It is important for the organisation because when the people in the workplace perform
teamwork and combine their skills in pursuit the company's mission. The employees who are
working in a team if they follow some steps to shape the commercialization and innovation for
the organisation. These steps are as follows; think about team first, make discussion, avoid
criticism, make transparency in their work and health, take responsibilities of encouraging each
other and avoid conflicts for the growth and achieve goals.
M1. Sources of innovation and how organisations can develop an environment and culture of
innovation.
There are some sources of innovation which can foster and develop an environment and
culture of innovation, they are following:
The unexpected
3

Innovation can take place unexpectedly (Walsh, 2012). If in the organization someone
work on a project and a new idea came in his mind and that idea was beneficial for the
organisation then it change and develop an environment and culture of innovation.
Incongruities
it means thinking differently to discover a new invention idea. It is the important resource
of innovation.
Market structure
It determined that make change according the market demand. When market demand new
thing the idea of innovation arise.
Necessity
It is the mother of invention. Needs always set thinking. Innovation is based on right
ideas In this process the employees thinks to filling the need of consumer in new ways by invent
new product according their needs.
New knowledge
It paves way for innovation that can be develop and foster an environment and culture of
innovation. If the head of Ensoft Ltd. Must be in touch with today's technology, they make
innovation inside the organisation (Thore, 2012).
D1. Scope, development and growth of entrepreneurial ventures
An entrepreneur is an individual who starts and runs a business with limited resources
and planning and responsible for all the risks and rewards for his own business.
Small business provide a good field of growth to the employees where they can achieve
growth easily by using their valuable and innovation ideas to the organization. In the small
businesses the entrepreneur has a good opportunity for the sales of their product and the growth
of its business. An entrepreneur have more scope in his business related to growth, productivity
of high business and deficiency of development and low labor turnover.
P3. 4Ps of innovation and use of the innovation funnel to examine an Different levels of the
economy in small industryd shape innovative ideas
4P's of innovation
There is a 4P's model of innovation which is given by Bressant and Tidd's. These 4P's of
innovation has four stages of considerations.
Product innovation
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It is basically about everything what includes products and services which are offered by
the organisation (Ettlie and Rosenthal, 2012). The most common form of product innovation is
that which improves a current products that is already offered to the user.
Process innovation
It is an important part of every structure in companies. This involves relocation in the
product according the user's perception. It include ways and changes which products and services
are delivered or created.
Position innovation
Innovations position based relate to changes that in which way a specific process or
product is perceived and how the product services are used. It focus to framed and
communicated with the products.
Paradigm Innovation
It is the change in the underlying mental models which frame what the organisation do or
alternatively and how the organisation frames what it does( Kamariah and et. al., 2012).
Use of innovation funnel and shape innovation ideas
It is a common model used by many companies to evaluate ideas and conceptualize
products. The aim of any product or process development project is to take an idea from concept
to reality by converting to a specific product. The development funnel provide a graphic
structure for thinking about the generation and screening of alternative development options.
To give the shape innovation ideas the ability to encourage free thinking and idea
generate while at the same time ensuring the execution. These new ideas is complicated with the
necessary governance , is something with which many organisations struggle. To give shape
innovation ideas it is important to find out the problem and find out the impact of that problem
on the project. After finding out these things provide solution and analyse that how it is
beneficial for the project (Marion, and Friar, 2012).
P4 . Developments in frugal innovation
Frugal innovation is procedure of decreasing complexity as well as cost of goods and its
production. It is a way that companies can create high quality products with limited resources.
In simple terms it can be said that, frugal innovation refers to removing not required features
from durable goods. Ensoft is the company which is doing some innovation of bringing new
software for accounts department. Below mention is the process of frugal innovation -
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Find opportunity in adversity
By using Frugal funnel reframe the problem . Take something that is a threat or seems
like adversity and turn it into an opportunity. If the company did something wrong with its
products then it can find opportunity and make innovation by using this principle.
Do more with less
When the company and the small businesses are doing more with less resources they don
not default to asking for more. They think about what they already have in a new way to create
even better solution.
Think and act flexibly
In Ensoft when they have an idea to create new product they should be improvisational
rather then rigid. They should think about new creation and innovation and work in a flexible
way(Micheli and et. al., 2012).
Keep it simple
The company should not create complexity in their innovation ideas and towards their
innovative products and services. More choice are not necessarily better than fewer. It should
make it product innovative but simple which is usable and easier for the customers.
Include the margin
The company should know its customers and include them in its problem solving process.
If the company face any problem during the innovation and making the product and service it
should involve its customers for solving this problem. By doing this process it can easily find
the test and preference of its costumers and it will not make product beyond the need of the
customer. Using this way it can easily solve its problem because that time it has many person of
different thinking.
Follow your heart
Be passionate and use that to move ideas forward. When the company create a product it
should be passionate because if it want to create something innovative, passion should be have
towards the innovation and creation. It is not sure that if a company make a product it will be
successful and make right. Sometimes it can be failure that time it should not be demotivate
(Mueller, Rosenbusch and Bausch, 2013).
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M2. Apply the innovation funnel
It is based on Indian concept of Jugad, meaning an ingenious, creative fix developed
with limitation resources. In organization employees need customization, it is idea of providing
more customization at a low cost is creating an urgency for a new approach. It can be apply on
the companies to identified their problems. If any problem is generate in the organisation relate
to innovation or creation of new product, by applying it the company solve that problem.
It can help the organisation thinking about the innovation of new product and provide a
solution of those problem which create during the invention or innovation. By applying it the
company can easily find out the need of the customers and provide or innovate the product
according their need. The employees of the company should be passionate for innovation of new
product and service. If something is went wrong in the process of innovation they can solve and
make better by applying it (Mueller, Rosenbusch and Bausch, 2013).
M3. Role of frugal innovation
It play a big role in reducing the complexity, production of cost of good, removing non
essential features and solution providing. When the company going to crate and innovate the
product many problems and complex arise during that time and it help and play a big role to
solve that problem. It also play a big role to increase the production cost of the goods and help in
crating or innovating new product. It generate profit structure in mature markets reduced
incentives for major changes and provided richest profit margins.
It help in attracting the size and rapid growth of markets with a growth slowdown in the
developed words. It help in understating the customers and their needs. When they find out the
needs of the costumes they innovate the product according their needs.
D2.Impact of small industry on different levels of economy
Small business industry's concept is self employment, startup and entrepreneurship. They
affected the economy on the different levels. Self employment when the people are not employed
they don job in another company survive by earn in another way. This factor generate change in
the economy. By entrepreneurship the entrepreneur and by the startup the businessman adding
employees , it impacted the demography and the financial economy. It impacted the global
economy because when the people are self employed they have not any interest in doing job in
another place and in another country (Mueller, Rosenbusch and Bausch, 2013).
Empowering local workers
7

The small business attracting local people by providing early and more growth in their
work. They provide that environment which the employees want and expect to them. They
motivate employees for innovation and innovative ideas.
Adopting the changes
Enterprennure's businesses have the capability to give reaction and adept easily that
change which arise in the climate. It occurs because enterprienure's businesses are consumer
oriented and understand the needs of the community (Plewa and et. al., 2012).
Growing small business to a corporation
Small businesses do not always stay small. They grow with the period of time and
impacted the economy.
CONCLUSION
From the above assignment it has been concluded that innovation and commercialization
is important for organization. Because after sometime sale of goods and services decrease in the
market area as well as for satisfying needs and wants of customer innovation is necessary. Most
important is the enterprise have to value their customers spending this is the main reason of
doing something new or innovation in the existing also.
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REFERENCES
Books and Journals
Aarikka-Stenroos, L. and Sandberg, B., 2012. From new-product development to
commercialization through networks. Journal of Business Research. 65(2). pp.198-206.
Bogers, M. and West, J., 2012. Managing distributed innovation: Strategic utilization of open
and user innovation. Creativity and innovation management. 21(1). pp.61-75.
Eesley, C. E., Hsu, D. H. and Roberts, E. B., 2014. The contingent effects of top management
teams on venture performance: Aligning founding team composition with innovation
strategy and commercialization environment. Strategic Management Journal. 35(12).
pp.1798-1817.
Ettlie, J. E. and Rosenthal, S. R., 2012. Service innovation in manufacturing. Journal of Service
Management. 23(3). pp.440-454.
Kamariah, I., and et. al., 2012. Decision making process in the commercialization of University
patent in Malaysia. African Journal of Business Management. 6(2). pp.681-689.
Marion, T. J. and Friar, J. H., 2012. Managing global outsourcing to enhance lean innovation.
Research-Technology Management. 55(5). pp.44-50.
Micheli, P., and et. al., 2012. New business models for public-sector innovation: Successful
technological innovation for government. Research-Technology Management. 55(5).
pp.51-57.
Mueller, V., Rosenbusch, N. and Bausch, A., 2013. Success patterns of exploratory and
exploitative innovation: A meta-analysis of the influence of institutional factors.
Journal of Management. 39(6). pp.1606-1636.
Plewa, C., and et. al., 2012. Technology adoption and performance impact in innovation
domains. Industrial Management & Data Systems. 112(5). pp.748-765.
Online
Innovation & Commercialisation. 2018. [Online]. Available through:
<http://www.rsc.org/campaigning-outreach/policy/innovation-commercialisation/>.
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