Innovation and Commercialisation for Business Growth: A Report

This report delves into the critical concepts of innovation and commercialisation within a business context, focusing on the UK-based recruitment company, Austin Fraser Ltd. It defines innovation as the process of transforming ideas into valuable goods and services, while commercialisation involves introducing these innovations to the market. The report highlights the importance of innovation for achieving competitive advantage, responding to customer needs, and gaining market share. It differentiates between invention and innovation, and explores the relationship between organizational vision, culture, teamwork, and leadership in fostering innovation. The report discusses the 4Ps of innovation (product, process, position, and paradigm) and their impact on business performance. It provides examples of how Austin Fraser Ltd. can implement innovation through launching a mobile application to improve recruitment processes and enhance customer satisfaction. Finally, it touches upon the concept of the innovation funnel and the development of existing products by adding extra value.

Innovation and
Commercialisation

INTRODUCTION
Innovation refers to the process that involves multiple activities which are performed to
convert or translate an idea into a good or services which maximises their value and satisfaction
level of customers. Introducing such new and innovative product into market so as to make it
available on the market is known as commercialisation. Therefore, both innovation and
commercialisation plays a major role for an organisation to achieve growth and competitive
advantage in market. There is need of bringing innovation into market by organisations
irrespective of the size whether small, medium or large in order to cope up with the factors that
influences interest and behaviour of targeted people. Austin Fraser Ltd., a UK based company
which is engaged in recruiting candidates for the right job in reputed organisations is selected for
the purpose of preparing this report. The project discusses the value of innovation in the growth
and success of an organisation in competitive market (Bianchi and et. al., 2010).
TASK 1
P1:
Innovation is defined as an activity of conversion of products or services into innovative
offerings that maximises their value as well as satisfaction level of targeted people. Bringing
innovation in existing products or services brings company ahead than their rivals in competitive
market and assist in achieving huge profitability as well. It can be possible with the help of
maximum support from management who encourages employees to develop new and innovative
ideas in their working procedures as to achieve better possible outcomes.
The term invention is different from the concept of innovation, as invention defined as
generation of something which were not developed or introduced by others earlier whereas
innovation refers to an activity of improving the existing procedure of business activities through
implementation of new and innovative ideas (Casadesus‐Masanell and Zhu, 2013). Austin Fraser
Ltd. is a company of UK which is operated its functions at small scale due to which introducing
innovation in the business support them to achieve growth and expansion. The business
environment is dynamic in nature which brings lots of complexities that can harm the existence
of business in market. Therefore, it is required for management to search new and innovative
way through which they can execute business functions more smoothly (Dries and et. al., 2014).
For example, launching a new mobile application which gives a platform to eligible candidates
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to upload their resume which makes easy for managers to invite them and recruit for reputed
organisations. It reduces work burden of employees as they are not required to give enough
efforts to search eligible candidates for the purpose of recruitment. Commercialisation is also
another important concept which defined as the introduction of new product or service i.e. a new
mobile application so as to facilitate targeted customers and employees to use such new product
for their own benefits. Taking an example of Apple and Virgin they both are always tried to
upgrade their existing software on regular basis which bring ahead them in competitors with their
rivals. For example, Apple Inc. was introducing iPod in the year 2001 which becomes the first
MP3 player in market thus attract lots of people and earn huge revenues. Another example of
Virgin, creation of Virgin Galactic which facilitate customers to store their valuable information
more securely. Therefore, innovation is required to be adopted for an organisation for the
following benefits :
 Gaining competitive advantage : Innovating the products and services of the
organisation helps it to attract more number of customers on behalf of the innovative and
unique features of goods. This helps the company in gaining a competitive edge in the
marketplace. Austin Fraser Ltd. can bring innovation in its products so that it can better
satisfy its customers and become more competitive.
 Quick response to customer's changing needs : Innovation helps the company in being
the first in the market to be able to meet the customer's dynamic changes in needs and
wants. This helps the company in building a brand image along with making strong
relation with customers.
Comparison between Invention and Innovation:
Basis Innovation Invention
Concept It refers to the conversion of
new and innovative ideas into
practical form to develop
existing products or services.
It refers to the creation of new
and innovative ideas that
cannot be introduced by
anyone before in the market.
Skill Marketing, technical and
strategic skills are needed to
adopt innovation.
Scientific skill is needed
(Filippetti, 2011).
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Concern Combination of multiple
number of products.
Focuses on only singly product
or service.
Generalisation Adding something with
existing products in order to
enhance their value in market.
Introducing new product into
market.
Activities It requires efforts from whole
organisation.
It requires efforts and support
from Research & Development
department only.
P2:
An organisation has their own vision on the basis of which all actions and decision are
taken by management to achieve within pre-determined time period. Therefore, bringing
innovation is the part of achieving organisational vision. A vision statement is given proper
direction and guidance to employees to make accurate and reliable decisions so as to achieve it
within future period of time. Austin Fraser Ltd., a UK based company which is engaged in
recruiting right candidates for the right job in reputed organisations. It can be be briefly
described under the below:
Commercialisation: It refers to bringing new and innovative ideas to market with an
influencing way so that maximum number of customers are easily convince to get company's
services. There are few steps that need to be followed in order to bring new product or service to
the market. These steps starts with the issues of company which can affect their business
operations. After analysing such issues, solution should be develop with the help of available
sources. After which, the ideas is implemented after testing such idea and its reliability. This will
help company in achieving growth and expansion in competitive market.
Vision: It is a pre-determined statement which acts as a motivator which guides
employees to perform prearranged roles and responsibilities in desired manner. The vision
statement of Austin Fraser Ltd. is “to become one of biggest consultancy firm which has attained
huge customer base”. For this, the management need to make an effective and long-term
decisions and plans which can help organisation to achieve huge customer strengths. Vision of
company forces management to bring new and innovative ideas to the market that will help in
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fulfilling unmet needs of people. For this, training and development programs should be
conducted to motivate employees to support company in introducing innovative product or
service to the market. This will drive an organisation to achieve growth and success in future
period of time. For example, Decision of launching a new mobile application can grab an
attention of maximum number of people who are searching for suitable job in reputed
companies.
Culture and teamwork: Austin Fraser Ltd. is operating business at small-scale thus the
management always tried to expand its business through encouraging their employees through
bringing new and innovative ideas of attracting qualified candidates for the purpose of
recruitment. Bringing motivation among employees can be given through creating better
organisational culture which drives them to work in a team so as to bring maximum possible
outcomes. Charles Handy model may required to adopt so as to direct management to allocate
power, task etc. on the basis of their knowledge and skills so that culture of different employees
can be utilised for the betterment of an organisation. To promote team work, Bruce Tuckman’s
theory is more suitable to adopt as it is useful to describe the path that most team must required
to follow in order to achieve high performance. For example, some employees are more anxious
due to which they start to push against the boundaries created by leaders therefore giving them
freedom brings motivation to bring innovative way to complete allotted task in more effective
way and achieve desired result to company. For example, limited working hours for employees
and giving them time to rest at work, which motivates them to think new and innovative while
execution of allotted task.
Leadership: Leadership in an organisation plays an important role in bringing innovation
in its products and services as the leadership style demonstrates how the employees in the
company are encouraged to come up with innovative ideas and opinions. Leaders who are
innovative are creative visionaries and also encourage the employees to be creative and
innovative in their work which can help in bringing innovation in the company products. For
example, launching a new mobile app assist employees to communicate with qualified
candidates which requires communication skills thus leader is held liable to enhance such skills
through conducting training sessions for their employees (Furukawa, 2010).
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TASK 2
P3:
Innovation is an important term which drives an organisation to achieve growth and
competitive advantage in market that will indirectly support in achieving mission and vision of
company. The needs and buying behaviour of targeted clients changes on frequent basis due to
dynamic environment which are required to be identified and accordingly bring innovation so as
to fulfil their requirements within limited period of time (Guan and Chen, 2010). The concept of
innovation involves 4P's consisting product, process, position and paradigm which brings overall
positive impact on the performance of an organisation. Such elements are explained as below
with brief description:
Illustration 1: 4 P's of Innovation Mix
(Source: 4 P's of Innovation Mix, 2010)
Product: Product is such kind of offerings which are available to market so as to fulfil
their needs and requirements. As Austin Fraser Ltd., a UK based company which is engaged in
recruiting candidates for the right job in reputed organisations thus creating online platform for
customers to apply for the vacant job makes easy for company to recruit right candidate for right
job vacant in other organisations. For example, launching a new mobile application.
Process: It is considered as an effective element of innovation mix which includes
bringing innovation in the procedure of performing business operations. Austin Fraser Ltd. is
engaged in recruiting candidates for the right job in reputed organisations therefore it must
required for management to bring innovative ideas in the process of searching qualified
candidates for recruitment purpose. For example, launching a new app which gives an
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opportunity to HR managers to communicate with targeted people and resolving their queries
through messaging as well as asking them to upload their CV for the purpose of recruitment. It
increases the chances of recruiting best candidates for the right job in reputed organisations
(McCoy and et. al., 2010).
Position: It relates to manner in which products and services of the company are
perceived by the targetted segment. Therefore, it is essential for management to focus on
increasing satisfaction level of targeted people through making easy for them to get their services
without giving much efforts. As in the context of Austin Fraser Ltd., it is required for them to
reach to the maximum number of people i.e. qualified candidates who are searching for reputed
job. It can be possible through bringing innovation in their business operations such as launching
a new mobile app provides an opportunity to target people coming from different areas or
locations to apply for the vacant job position by uploading their CV on such app (4 P's of
Innovation Mix, 2015).
Paradigm: It is another kind of innovation which assist company to build strong position
for their new products into market. There are more than 100 employees in Austin Fraser Ltd.
whose views and opinions may different with each other for the purpose of achieving growth and
success. Therefore, providing them freedom to share their ideas and opinions with the
management help in bringing effective innovation in their business. Maintaining healthy work
environment through creating better communication channel encourages employees to bring new
and innovative thoughts towards management.
Innovation Funnel: It is a concept based on the development of existing products
through adding extra value which help company in maximising the satisfaction level of targeted
people. The main purpose of innovation is to enhances the process of execution of business
activities through introducing or developing innovative produce or service which maximises the
interest and behaviour of both employees and customers. It consists of different stages which are
given as under:
The wide mouth of the Funnel: This is the first point of innovation funnel where
innovative ideas are collected through leading research or survey where rivals, employees and
targeted people are take part. Availability of various innovative ideas increases the chances of
identifying and implementing better idea that will bring profitable outcomes to company.
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Selection of Idea: Over here the best idea will be selected among various alternative
ideas received from dissimilar people. The decision of choosing best idea will be made after
analysing the profitability that company has target to achieve in near future (Spithoven,
Vanhaverbeke and Roijakkers, 2013).
Implementation of idea: In the last stage, the chosen innovative idea will be
implemented practically so that it creates opportunities towards company to achieve competitive
advantage. For this, the efforts of employees are much needed to implement chosen idea more
successfully. For example, launching a new application by Austin Fraser requires funds and
efforts of employees to work on and search qualified candidates for recruitment purpose.
The innovation funnel helps a company in selecting the best innovative idea out of all the
opinions and views that are available so that innovation in products and services can help the
company in attracting more number of customers. Innovation is an expensive process and so the
innovation funnel can be used to reduce company costs and increase the competitive advantage
of the company.
P4:
Frugal innovation: It is the process of eliminating the unwanted features that restricts
targeted people to use company's products and services. It is more useful concept which guide
management to focus on such unwanted feature that are not much preferred by customers and
accordingly took corrective actions to replace such unwanted feature with new valuable feature
as soon as possible (Trimi and Berbegal-Mirabent, 2012). Taking an example of Apple Inc.
Steve Jobs has rejected a prototype Iphone because it was too thick. Thickness could cause
problems or at least increase costs of shipping millions of devices overseas. He’s rejected that
design and waited for the final design which was half smaller and weight of that original.
Therefore, frugal innovation also required to apply by Austin Fraser Ltd. For example, Austin
Fraser Ltd. should stop the advertisement on other company's websites as it not much effective
for company instead of that the company should invest money in launching a new mobile
application which makes easy for managers to receive lots of job applications from the qualified
candidates for the purpose of recruitment. The principles of frugal innovation are given as under:
Finding opportunity in adversity: In the first stage, existing issues has been identified by
the employees thank to analysing them with the previous issues. It enables them to transform
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such issues into strength and opportunity which drives an organisation to achieve growth and
success.
Do more with less: In this stage, company focuses on resources available with them so as
to utilise them in optimum manner to achieve better possible results.
Think & Act flexibly: This is the stage in which the management itself and encourage
employees to bring out with new ideas that will help in achieving growth in business. For
example, launching a mobile application is an effective idea to implement for Austin Fraser Ltd.
Keep it simple: This is the stage in which company mainly focuses on resolving issues
that will harm the existence of organisation in market. For example, issues related with
decrement in number of applicants received by company can be overcome through launching a
new mobile application which gives a platform to customers to apply for the vacant job through
uploading their CV.
Include the margin: This is the last stage in which an organisation decided to implement
innovative idea practically with a hope of gaining profitable outcomes (Tushman and et. al.,
2010).
Stages of Using frugal innovation:
Simplification: Under this step the idea of innovation is simplified so as to make it
understandable for all the team members. For example Launching a mobile application by Austin
Fraser Ltd. helps in overcoming complexities in recruitment process and maximise their reach to
search qualified people.
Adaptation: At this stage the innovation is adapted in the company so that all the
functional processes are aligned in an appropriate manner which will result in bringing
innovation in the products and services. For example Under this, Austin Fraser Ltd. Adapt
innovation which brings profitable result to company in near future. Decision of introducing
innovation is based on rivals strategies, customers needs and preferences, availability of
resources etc.
Affordability: At this stage the affordability of bringing innovation in the market is
checked so that the company expenses do not exceed. For example at this stage Austin Fraser
Ltd. Analyses their capabilities regarding adoption of innovation in more successful manner. For
example, launching a new mobile app can be used to provider services in a much cost effective
manner.
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TASK 3
P5:
Commercial funnel: States to an action which is performed with an objective of
manipulating minds and buying behaviours of customers in favour of services or products
provided by company into market. It is considered as important concept as it enables company to
achieve huge customer strength through bring easiness easy for them to get services without
investing so much efforts and time.
Benefits of commercial funnel:
Increase customer base: The minds and buying behaviour can only be influenced when
something new and innovative are introduced by company into market thus launching a new
mobile app by Austin Fraser Ltd. can easily attract large number of customers which increases
customer base of company.
Reduction losses: Bringing innovation in product or service assist company to recover
losses of faced from other products. It makes positive impact on their profitability as well.
Improvement in goodwill: It means to offer value added products and services to
maximise satisfaction of customers which improves the brand image and goodwill of company in
the market. The concept of commercial funnel increases the brand position of company by
developing its products and services through bringing innovation so that they can differentiates
its products from their rivals.
Austin Fraser Ltd. Is small sized company due to which it is required to adopt such
concept through launching a new mobile application which makes easy for customers to receive
information about vacant job position and able them to apply through uploading CV on such
app. To launch such app, the management need to follow various steps which are listed as under:
Idea generation: In the first stage, Austin Fraser Ltd. Should generate ideas through
taking suggestions and opinions from their employees and customers by conducting research or
survey. For example, Austin Fraser Ltd. Can either opt bringing a new mobile application or
should print advertisements on newspapers regarding vacant job position.
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Idea screening: Under this stage, feasibility and affordability of ideas has been screened
after which best idea swill be opted undermining the availability of resources with company. For
example, Idea of launching a new mobile application will be opt.
Concept testing and development: At this stage, the chosen idea (in this case launching a
new mobile application) will be tested by the management of Austin Fraser Ltd. In order to find
out the effectiveness and possible outcomes that can be received by company in near future. It
can be done through receiving feedbacks from targeted people as well as employees of an
organisation.
Market development and strategy: After idea is being tested and outcome are satisfactory
then the management is in position to make further strategies. For example, advertisement of
new mobile app launched by Austin Fraser Ltd. at different websites (Vishnevskiy, Karasev and
Meissner, 2015).
Business and financial analysis: At this stage, the actual output received by company
are analysed so as to properly evaluate the decision of launching a new mobile app in market.
Under this, relevancy and viability of products are carefully analysed.
Commercialisation: It is the last stage at which the company reach to a final decision of
implementing selected idea i.e. launching a new mobile app and bring out to the market.
Marketing test helps the company in gaining information about the ability of the project to
satisfy the needs and wants of the customers and also the ability of the innovative product to
achieve the company objectives. This will help the company in fully launching the product in the
market along with extensive marketing so that customers can be attracted.
P6:
To analyse the most important elements of an organisation, application of business case is
obligatory. In the report, Austin Fraser Ltd. is selected organisation which has decided to launch
a new mobile application for its targeted people which enable them to apply for the vacant job
position through uploading their CV on such app. Business case involves several steps which are
given as under:
Executive summary: Austin Fraser Ltd. is a small-sized company of United Kingdom
which is engaged in recruiting qualified candidates for reputed organisation. The main aim of
company is to place right person to the right job which brings maximises the market image of
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company. It makes easy for candidates specialised in IT, engineering or life sciences to get right
job which enhances their professional career.
The need: In this stage, Austin Fraser Ltd. focuses on analysing current issue that need to
be overcome through implementing innovative ideas into practical way so that it can help
company in achieving growth and expansion in competitive market. For example, people faces
lots of issues related with applying for vacant job due to having no such appropriate platforms.
Therefore there is need for company to launch such platform such as new mobile application in
order to gain maximum customer strength.
Solution: In this step, Austin Fraser Ltd. Focuses on finding an optimum solutions in
order to overcome from issues that brings them backward from their rivals. For example,
bringing out new mobile application to provide an opportunity to targeted people to apply
directly for the vacant job offered by Austin Fraser Ltd. In reputed organisations. This will help
company in achieving customer strength (New Product Development Stages, 2017).
Why it is innovative: When the solution has been set up by the organisation, the next
point is to identify the usefulness of innovation i.e. Development of the mobile application as it
provide contemporary platform for application to apply for job vacancies and establish
communications with recruiters. This will assist management to make further decision.
Customer research: It is important for company to conduct market research in order to
identify the actual perception of its targeted customers towards the quality and pricing policies
on their products and services which enables their management to rectify its existing strategies to
retain loyal customers for longer period of time.
Investment requirement: At this step, management of Austin Fraser Ltd. Is focuses on
providing financial help to successfully implement innovative ideas through raising funds from
different sources such as financial institution, banks, owners capital etc. Launching a new mobile
application required funds to invest thus necessarily required to manage and allocate by the
management of Austin Fraser Ltd. There are various sources from which the company can gain
funds for innovating their products like bank loans, angel brokers etc. Banks provide funds to
businesses on the basis of collateral security whereas angel investors give their ideal funds to the
businesses in return of some percentage of profits.
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TASK 4
P7:
Intellectual property refers to the protection of creation of innovation developed by an
organisation from their rivals so that other organisations cannot be used their innovation for their
own betterment. Therefore, Austin Fraser Ltd. Need to use following tools in order to protect
their innovation:
Patents: It is a right granter by the authority to restrict others from making, selling or
using an invention which can be of any type such as product, service, method or computer
program. For this, a firm must required to file a application of registration to government to
patent their innovative product or service for at least 5 years and can be renewed later on
Trademarks: Trademark is a word, phrase or symbol that marks the invented products in
the verity in the marketplace. It’s also including the tagword with the logo. To have trademarked
the Austin Fraser Ltd. must have to be in commercial sale transaction market and required to
register its logos after every 4 months. Then the application should be submitted to the designed
authority.
Copyrights: It protects the new ideas and concepts of company from their rivals by
preventing them to not to copy their ideas for their own benefits as it is against the law. The time
limit of copyright is maximum of 25 years and can be renewed later on.
The company Austin Fraser Ltd. Must use trademarks as the intellectual property so that
it can gain a different identity of its products in the market. This will help the company in
building its unique identity in the market and can also differentiate its products from other
competitor products.
CONCLUSION
It has been shown from the above project report that innovation is an important factor
which can bring company ahead in competitors with the existing rivals. Therefore, all
organisations irrespective of the size whether small, medium or large should focus on
implementation of innovation which can be possible through having good organisational culture,
teamwork, leadership etc. The management is held responsible to understand the concept of
innovation funnel and frugal innovation so as to implement within business operations. There are
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different tools as well which are more useful for company to protect their intellectual property
like Patent, Trademark, Copyright etc.
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REFERENCES
Books and Journals
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