Innovation and Commercialisation Report: Predictive Software and NPD

This report provides a comprehensive analysis of innovation and commercialization strategies, using Ashtons, a real estate agency, as a case study. It begins by defining innovation and its importance to organizations, differentiating it from invention, and highlighting the influence of vision, leadership, culture, and teamwork on driving innovation and commercialization. The report then delves into the 4Ps of innovation (product, process, press, people) and the application of the innovation funnel to shape business ideas, with a focus on Ashtons' use of predictive software. It explores frugal innovation and its relevance in a business context. Furthermore, the report examines the commercial funnel and the application of New Product Development (NPD) processes. It also includes the development of an innovation business case and analyzes tools used to develop, protect, and retain intellectual property. The report concludes by summarizing the key findings and providing references to support the analysis.

Innovation and
Commercialisation
Table of Contents

INTRODUCTION ..........................................................................................................................3
P1 Define innovation and its importance to organisation with respect to invention..............3
P2 Illustrate how vision, leadership, culture and teamwork of organisation move it towards
innovation and commercialization.........................................................................................5
TASK 2............................................................................................................................................6
P3 Define 4p's of innovation and the usage of innovation funnel to shape business ideas....6
P4 Explain developments in frugal innovation and how it is used in an business context.. .8
TASK 3............................................................................................................................................9
P5 Illustrate the significance of the commercial funnel and the application of New Product
Development (NPD) processing in commercialization of innovation...................................9
P6 Develop an Innovation Business Case ..........................................................................10
TASK 4..........................................................................................................................................11
P7 Analyses the different tools enterprise use in order to develop, protect and retain
intellectual property..............................................................................................................11
CONCLUSION .............................................................................................................................12
REFERENCES .............................................................................................................................13

INTRODUCTION
Innovation and commercialization is both necessary for the development and upliftment
of the society. Innovation is the process of translating an idea into goods and services which
create value that induce customer to buy (Aarikka-Stenroos and Sandberg,2012). Ashtons is an
independent estate agency which was founded in 1982 at Harpenden, Hertfordshire. Under the
guidance of Karl Judd, Ashtons become the well known company of the residential property at
Hertfordshire who provide the facility of buy, sell and rent the property to the customers. At
present approx 50 -200 employees work under them. In this report, the discussion between
innovation and invention will be discussed along with identifying influence of vision, leadership
and culture. Moreover, it defines 4p's types of innovation and the usage of innovation funnel.
Along with this, illustration the importance of commercial funnel will be identified along
undertaking of the process of new product development. Furthermore, it present the tool which
help enterprise to protect their knowledge and intellectual property.
TASK 1
P1 Define innovation and its importance to organisation with respect to invention
Innovation is the application of information, imagination and initiative which help
organization in get greater value for their resources. It also consider all these things which aid to
convert new ideas into useful product. Ashtons place investment properties and commercial
properties through their database in the UK and the innovative techniques. The new innovation
of this organization is to introduce Predictive software that assist to analyze requirement and
outcomes of business services.
Importance of innovation in the organisation are as follows :
 Innovation is taken in the Ashtons organisation to stand differently form the competitor.
The right invention allow the respective company to offer something unique to its
customers (Bogers and West,2012).
 Implementation of Predictive software in firm determines values of their organizational
services by analyzing individual part of their building.
 These kind of innovation assist organization as well as customers to identify benefits of
their choice of material and its performance in different circumstances on the analysis
through Predictive software.

Commercialization is the process under which new products or service is introduced to
the general market. It includes many activities like production,distribution, sales and customer
service which is done to achieve the success of the new product.
Major Challenges that Ashtons faces after the innovation are -
Poor participation and Feedback – At the time of innovation in Ashtons of Predictive
software, organization faces major challenges as poor participation of customer and their poor
feedback due to lack of knowledge of its uses. This is the only reason that implementation of
new technologies takes a long duration in providing beneficial results.
Unclear objectives and challenges – At the implementation of predictive software,
Ashtons faces numerous challenges due to unclear objectives and strategies. Therefore,
management requires to pay their maximum attention toward it so that they can get desired
results easily.
Invention is the activity of creating, discovering or designing a method or process which
is never done before. Inventions should be patented so that it can be used by anyone for their
work. Invention is the creation of a product or introduction of a process for the very first time.
Whereas innovation is the process under which improvement or contribution is done in order to
modify existing product and service.
Difference between Innovation and Invention
Basis Innovation Invention
Meaning The implementation of the
idea for the product or
commodity for the first time is
innovation (Huizingh,2011).
The development and
implementation of the idea for
a product or process which has
never done before by anyone is
invention
Aim Innovation is done to add
value and making changes in
the existing product.
Invention is done to provide
new product or commodity to
the society.
Skills It requires a broad marketing,
technical skills.
It requires scientific skills
Attention Innovation consider Invention's concern is for a

amalgamation of several
products and services. It assist
to make changes in existing
products and services.
single products that assist to
represent unique idea in front
of customers.
Ashtons can bring the innovation in their design and the tools used for manufacturing in
order to attract the customer. They can use the material which resist for a longer period without
any damage.
P2 Illustrate how vision, leadership, culture and teamwork of organisation move it towards
innovation and commercialization
Innovation is the method through which organisation able to make changes in their
existing services in order to getting maximum benefits (Kimand et. al.,2011). There are various
thing such as vision, leadership, culture and teamwork which help organisation to achieve future
success. These terms are described below in brief :
Vision : To introduce Predictive software in Construction industry that assist to identify
each and every aspect of overall building that requires to use on the basis of foundation of the
construction site. For fulfilling this they need to train their employees regarding the service and
activities. If the organisation want to provide personalize and effective service to their customers
than there is a requirement to incorporate innovation so that the vision of the business could be
fulfilled. Organization also used the tools in the working which can reduce the overall cost of
raw material.
Leadership : In organisation in which leader always put new ideas in the front of the
system, motivates other individual of the society to present. In the respective organisation, leader
follow transformation leadership style under which follower have the freedom to express their
ideas, views and problems freely (Lindič and et. al., 2011). Through this, firm can attain their
new targets with advance approaches of guiding.
Culture : Culture is the most important aspect which affect the working of any
individual. Due to this system Ashtons organisation always makes effort to provide their
employees a working environment. In respective organisation transparency and honesty is
followed because it build confidence and long term employee relationship within organisation.

Ashtons can adopt a working environment in their firm which motivate employees to do
something different from others.
Team work : Team generally made up of individuals who have different skills and
knowledge so that incapacity of one can be fulfilled by the capacity of another. Entrepreneurial
teams could be formed with Ashtons limited so that they are able to identify different approach to
carry out a tasks. Ashtons limited can achieve its objectives or goals with the help of the team
effort. These kind of team work assist to determine benefits of predictive software to customers
easily on the basis of its effective uses.
TASK 2
P3 Define 4p's of innovation and the usage of innovation funnel to shape business ideas.
Ashtons ltd is using 4p's of innovation and innovation funnel in order to improve their
value and quality of the commodity. By using this process organization able to provide the best
services and product to the customer which can satisfy them (Snow and et. al.2011). Before
making any new policy and strategy business firstly analyses each and every situation. In this
organization do the analyses of the various factors with the help of 4p's of innovation which are
as follows:
Product : It is method of innovation before implementing it organization have to
analyses their product so that necessary changes can be made in that. Ashtons limited can bring
changes in their product quality in order to increase their customer satisfaction and for creating a
image in the target market. It is the best innovation through which small and medium firm can
make their image in the market and in the front of the competitors. Ashtons limited can make
changes in their raw materiel which remain for long lasting and develop a low cost for the
customers.
Process : Every business have a set procedure and rules under which they perform
several activities in order form manufacturing to selling (Thore,2012). Ashtons can make
changes in their process so that product and service can be available to the customer, cheaper
more efficient and quicker. Innovation is the new process of add on the replace the existing ones.
They can make changes in their manufacturing process by reducing it cost through buying a
product in the bulk. The respective organisation can enter into a contract with some supplier to

buy a product in the bulk as the raw material in the construction is not perishable compared to
other businesses.
Press – Ashtons limited always paid their maximum attention toward the innovation that
assist them to make positive changes in business procedure and activities. Therefore, they
develop a dedicated working culture in the organisation in which employees perform well. For
the performance enhancement activities, management of Ashtons limited provides their
maximum attention towards appraisals for employees on the basis of their performance. Firm
also have sufficient resources that aid to attain target objectives easily.
People – Leadership is a most important aspect that assist to motivating employees by
providing proper guidance toward target goals. The leader of Ashtons limited inspire and
empower their employees to be creative and innovative for establishment of a skilled working
team. In this process they monitor skills of each individual and engage them with able
employees so that they learn new different aspects and generate creative ideas for the firm.
Innovation funnel : This is a most common model which used by many organization in
order to evaluate create ideas for the conceptualization of new products. Innovation funnel
describe describe several steps that take place in order to developing a new product. Under this
method, marketer and research and development department starts with many product and
services idea to examine and developed in order to get the final product. The funnel is basically
uses to utilize and manage ideas for the firm. First, Ashtons limited, generate ideas for the
screening. Through this, management matching these ideas with the goal of firm in order to
attain maximum benefits. After this, they select best possible approach as predictive software by
the identification of its returns and risk. At last, they choose this software by ensure that the idea
will deliver best possible results to the firm. All these steps takes a part through innovation
funnel from ideas generating to implementing procedure.

(Source :Innovation Funnel,2016)
P4 Explain developments in frugal innovation and how it is used in an business context.
Frugal innovation is the process of sustainable innovation which aims to redesign
products and services by eliminating immaterial activities to minimize additional cost effectively
(Walsh,2012). It is the method under which adversity can be turn into opportunity and also some
low value converted into high value (Hora and Dutta,2013). It is taken place in the organisation
in order to remove the nonessential things from the product. The respective organisation uses
Predictive software instead of other software because it assist to provide them cost effective
results easily. These types of methods help organisation in order to provide effective ,quicker and
cheaper product which help to provide appropriate services to customer. By minimizing the use
of the resources in development,production and delivery organisation can lower the cost of their
product and services.
Ashtons limited is well known organisation that provide construction facilities to their
customers. As a frugal innovation, organisation adopt predictive software for their firm that
assist them to provide beneficial results as they want for. Through this, they can get necessary
outcome rather than unnecessary things. In market, several software are available as automation,
virtual reality and so on higher cost but they not would be as much beneficial as they as
Predictive software is. Through this, Ashtons can identify individual area of a building on the
basis of their consequences effects.
Illustration 1: Innovation Funnel

TASK 3
P5 Illustrate the significance of the commercial funnel and the application of New Product
Development (NPD) processing in commercialization of innovation.
Commercial funnel is a effective method which organisation used in order to identify and
analyses the most appropriate idea for the firm. It is long process under which organisation
evaluate their many ideas in order to bring innovation in the working (Jagoda,Lonseth and
Jackman,2011). The main aim of this process for which Ashtons limited used it to analyses the
customer and market needs and demand,screen them effectively for knowing the organisation
benefit and growth present in the idea. The company have the following idea of the innovation
such as making changes in the design, raw material quality, machines and tools involve in
construction activity among all company can choose any idea which is most beneficial for them.
Importance of commercial funnel are as follows :
 This method reduce the risk factor and the uncertainty because the analyses is perform in
order to check the feasibility of the operation.
 It provide the best idea to the organisation among many which support them in creating
their goodwill and generating high revenue.
Application of the new product development (Predictive software) process in the
commercialization of innovation are as follows :
Idea generation : At this stage organisation collect various idea and thoughts either
form employee or market in order to make necessary changes in their working(Hoquem, Chishty
and Halloway,2011). Ashtons limited have various ideas in their mind such as designing
techniques changes, machines and equipment modification, source and type of raw material.
Idea screening : There are many ideas of firm as automation, virtual reality and robotics
and so on. These ideas and thought are screened on the basis of the company's strength,
weakness, needs, trends and affordability. The process help Ashtons organisation to grab the
target and mission through innovation.
Development and testing : When all the ideas passed from the screening stage then they
become concept for testing process. Under this stage idea get from different individual by
analyzing its risk and returns. Ashtons limited test the Predictive software on the basis of their
objectives accomplishment.

Test marketing : At this stage organisation take customer feedback in order to make
necessary changes in services of their Predictive software. This process is most important
because they make the concept valid and ready to launch.
Commercialization : This is the last stage of the new product development under which
organization's product is ready to launch in the market (Inauen and Schenker-Wicki,2012).
Ashtons decided where the market where it to be launched. After this process Ashtons company
can introduce Predictive software in market with the use of marketing, promotion, supply and
selling.
P6 Develop an Innovation Business Case .
Ashtons want to bring innovation in their tools and equipment so that they can provide
qualitative services to the customers at low pricing.
Executive summary : Ashtons is real estate company of the Harpenden, Hertfordshire.
They provide the residential product to the society people on sale and rent. They want to do
innovation in organisation in order to improve its quality of services so that large customers get
attracted to them.
Problem statement – In the innovation practices of Predictive software, Ashtons limited
faces numerous issues and lack of knowledge, guidance and so on. At the same time,
organization identified that customer's also not have appropriate knowledge about the services of
this software. These kind of issues create complex situation for firm.
Proposed solution - In order to resolve these issues, Ashtons Promote features and
benefits of their software through digital marketing tool as social media and others. Additionally,
they create a impact oriented strategy as providing training to staff and conduct session to
maximize knowledge for the effective uses of Predictive software.
Gathering inputs : Before implementing innovation organisation should check the
resources available to them (Therrien, Doloreux and Chamberlin,2011). The concerned
organisation need to understand what types of equipment and skills they are using currently in
their working for providing the building to the customer. They should know what tool cost them
higher and need to change or remove it.
Targeting : The Ashtons limited countered their services in construction industry in
order to grabbing maximum opportunities. The organisation want to introduce their services for

people who are looking to carry build houses, complexes and other relevant small contracts, so
their target market is based on small construction companies.
Funds: Ashtons limited can get funds from internal and external sources who help them
to introduce new idea in target market internal source can be employees, reserves, capital and
shareholders. The external sources of fund can be financial institution ,bank and government.
The project Predictive software is very cost friendly so that, firm can get funds from their
internal sources easily which can be in the form of reserves or additional capital.
TASK 4
P7 Analyses the different tools enterprise use in order to develop, protect and retain intellectual
property.
For a business enterprise it is essential to protect their assets and properties form another
so that it can't be copied by any organisation. In order to protect organisation from mishap the
government has made many laws which are as follows :
Patent: Patent is something that provides the owner with rights of protection for their
inventions, generally granted for 20 years. It is an exclusive right that is granted to an innovation
that can be a product, formula or process that offers new solutions and way to do something.
Patenting provides recognitions and rewards for the inventions that encourage creativity,
innovation, and assist in enhancing the quality of human life. Patenting offers right to patent
owners that their inventions can not be used commercially, nor distributed or sold without his
permission (Kilelu, Klerkx and Leeuwis, 2014). A patent owner have the rights to decide who
may use use their inventions in that patent period when it is protected. Hence they can give
permission or license to other parties who want to use their inventions on mutual agreed terms.
Patent owners can also sell their invention rights to other party and leave the ownership. And
ones the patent period laps, it becomes public domain.
Copyright: This law provides authors, artists and other creators protection for their
literary and artistic creation, usually named as “works”. Works covered by copyright mainly
include novels, poems, advertisements, articles, database, musical compositions, choreography,
drawings and painting, maps, technical drawings etc. The right holders have exclusive right to
permit others to use their work on some agreed terms. Copyright is beneficial to safeguard the

intellectual work and provide vital incentive for it. However this also helps in motivating and
support innovative authors and artists.
Trademark : This method include symbols,logos and signs. This method help
organisation to differentiate their product form another company. It is used in order to protect the
company name, logo and tagline from others. Nobody can use the same thing of any organisation
if the product have the trademark on it (Godin,2012).
Ashtons can use patent in order to protect the design from competitive firm and the
establishing firm. Every time when business going to innovate something should check whether
it was patent or not.
CONCLUSION
From the above discussion it is concluded that, innovation is not the same thing like
invention they are two different concept of business environment. It present the different ideas
and methods which organisation can use in order to bring innovation. The respective
organisation can use this method in order to provide different services from their competitors.
Along with this it provide 4p's of innovation and innovation funnel which help business for
achieving desired result. Commercial funnel describe the path through which organisation can
choose the most beneficial idea and thoughts and launch them into the market. Moreover, it
inform the various intellectual property which business can use in order to protect their idea.