Analysis of Innovation and Commercialisation Strategies for F-drones

This report examines innovation and commercialization strategies, focusing on the case of F-drones, a company specializing in drone technology. The report explores the importance of innovation versus invention, organizational factors influencing innovation (vision, leadership, culture, teamwork), and the 4Ps of innovation. It also analyzes the application of the innovation funnel, frugal innovation, and the commercial funnel, including New Product Development (NPD) processes. A business case for innovation is developed, including funding aspects, and different intellectual property tools are evaluated to develop, retain and protect knowledge. The report provides a comprehensive overview of the key concepts and their practical application within the context of F-drones.

Innovation and
commercialisation

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
TASK 1............................................................................................................................................1
P1. Explain innovation and determine its importance to organisations in comparison with
invention.................................................................................................................................1
P2. Explain how organisational vision, leadership, culture and teamwork can shape innovation
and commercialisation............................................................................................................3
TASK 2............................................................................................................................................5
P3. Examine the 4Ps of innovation and the use of the innovation funnel to shape innovative
ideas........................................................................................................................................5
P4. Examine developments in frugal innovation and provide examples of how it is used in an
F- drone..................................................................................................................................7
TASK 3 ...........................................................................................................................................7
P5 Explain the importance of the commercial funnel and the application of New Product
Development (NPD) processing for commercialisation of innovation..................................7
P6. Build an Innovation Business Case for an organisation, including ways to access funding
..............................................................................................................................................11
TASK 4..........................................................................................................................................13
P7. Evaluate the different intellectual property tools that organisations can use to develop,
retain and protect knowledge................................................................................................13
CONCLUSION..............................................................................................................................15
References:.....................................................................................................................................16

INTRODUCTION
Innovation is the transformation or development of new ideas in the product or process.
Changing market and consumer trends with changing technology, needs and demands
innovation is adapted by the organisation (Akcigit and Kerr, 2018). A collaborating term with
innovation is commercialization means to earn revenue and profit every innovation needs
commercialization. Hence commercialization is the approach that reach market with the
innovation to gain profitability and acquire companies objective. The report outlines the key
difference between the importance of invention and innovation in context of “F- drones”- a
world's finest transition drone developers founded in March 2019. 4P's of innovation, innovation
funnel, frugal innovation and commercial funnel methods are recognized by the firm to mould
and shape the innovative ideas and reciprocate them in new product with the help of 8 stages of
new product development. In the end of the report advantage and disadvantage associated with
intellectual property rights.
MAIN BODY
TASK 1
P1. Explain innovation and determine its importance to organisations in comparison with
invention
Innovation
Innovation is the process of improving, transforming something creative and innovative
in the existing product, processor service (Yeboah and et. al., 2020). Innovation is core concept
that is adopted by the organisations with the changes in the market trends and consumer
behaviours. Innovation is useful phase of the F-drone as it helps the the firm in designing the
new products to aid the needs of the customers and also to retain the customers and their trust for
firm with the new innovative product. In context of F-drone the firm's innovation is product and
process innovation which is new aerial technology drones for the military and army people in
Unmanned ground vehicles( UGV) for tactical initiatives and manufacturing process is also
innovated with the research and development team.
Invention
Invention is the raw and unique process of discovering something new which doesn't
exist in the history. Invention is achieved with scientific knowledge and lots of research with
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creativity and open mindedness. Invention is first time thing something which has never
happened earlier or which doesn't have any patent. In context of F- drone the invention is done
when the R&D team invented new unmanned ground vehicle with new aerial technology for the
military and army peoples which is never used by anyone with new machinery and there process
of working.
Thus, considering above definition of innovation and invention it is observed that the F-
drones innovation of new aerial technology UGVs is favourable for company's reputation and
brand image for long term survival as it is for the sustainable and good cause to serve nation with
latest technology drones. Thus, innovation has importance over the invention in the F-drones
because invention is more time taking then the innovation and small business lack in resources
like research and scientific team for the invention. The comparison between innovation and
invention on the basis of importance in context of F-drones are as follows:
Basis Innovation Invention
Time and
Cost
Innovation is less time consuming
process as this requires the
improvement or change in the existing
product and service provided by the F-
drones. Also, innovation is cost affable
and commercialization of innovation
leads to increase in revenue of the
firm.
Invention is the process which requires
lots of data research and scientific
experiments which is time consuming
and requires the heavy funding in
assigning the researchers and scientific
tools (Villalba-Condori, 2019).
Therefore F-drones cannot afford
invention as it is small firm with
limited resources.
Customer
satisfaction
Innovation is the acquired by the F-
drone on the basis to serve the strong
leaders like military and army people
with latest technology to support their
duties towards nation and thus
innovation is important in firm to drive
customer satisfaction as innovations
are created on the current customer
Invention is development of something
new in the market which are chance of
adaptability by consumers therefore
inventions are hardly liked by the
customers and doesn't satisfy there
needs and demands. Hence invention
is not favourable for F-drone future
growth and sustainability.
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and market trends. Hence innovation
increase customer base and retain
customers.
Importance of invention and innovation to F-drone.
Invention and Innovation are the two terms which brings the importance and benefits to
every organisation specifically to the ones who operated in technology and automotive. There are
various importance of invention and innovation in F- drone:
 Invention helps F- drone in discovering something completely new in the world of drones
that will create uniqueness in product portfolio with rise in customer base.
 F- drone is the firm that uses the latest technology through the invention that benefits the
company in garbing the intellectual property right like patent which will increase the
profitability of the F-drone.
 Innovation is important for F- drone to penetrate the market with improved products
thereby reducing the cost and increasing competitiveness.
 Innovation in F- drone to support the nation with latest technology and new products add
the value to firm and bring sustainability and productivity in the F- drone.
P2. Explain how organisational vision, leadership, culture and teamwork can shape innovation
and commercialisation
Innovation is the framework where innovative ideas are applied to innovate and develop
a new product according to the current market scenarios. Considering that, commercialisation is
the introducing or launching the innovation in the market to meet company's financial goals
( Tiedemann, Johansson and Gosling, 2020). To shape innovation and commercialisation the
carious organisational factors play a role:
Organisational vision
Innovation is the deep concept which requires the visionary approach to transform the
innovative and creative ideas into the practical and workable innovation in the form of new
product, process or service. Organisation is started with long term vision which drives them
towards the innovation to eliminate the future barriers and to grow in market for the survival. F-
drone has a vision of providing the aerial technology in UGVs of the military and army people
with their cost efficient and sustainable drones. This added the values to product and lead to
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sustainable product development reducing the production price. Thus, vision helps the
organisation in shaping new ideas for innovation and then assist in commercializing the product
to receive profitability.
Organisational leadership
Leadership is the factor that decides the grounds of the company and behaviour of the
employees working in it. Innovation in the F-drones is only possible if employees are skilled and
trained by the efficient leaders. Organisational leadership is the concept of changing the working
environment of organisation with the orders and rules of the leaders. Leadership of F-drones
creates the great impact on the minds of employees and also assist them in innovating new ideas
for the firms growth and profitability. Thus, leadership also assist commercialization skills and
techniques in employees to launch their innovation with effectiveness ( Sergeev and Kirillova,
2019).
Organisational culture
Organisational culture is the paradigm with a mental model of rituals, powers,
behaviours, corporate values and beliefs, organisational behaviour, interests etc. together
contribute in the organisational culture ( Anzola-Román and et. al., 2019). In context to F-
drones, Organisational culture that respond to the market change by accomplishing the
psychological safety standards and develop adequate creative mindset among the working
people to drive innovation effectively because it has been found that culture that pay-off
creativity at the workplace tends to achieve innovation practices in their organisational functions.
As per the current market scenario customers are empowered and they are observing every
responsibility of organisation towards the nation and their benefit. Thus, a sound culture of F-
drones tends to achieve more benefits in shaping the innovation and commercialization.
Organisational teamwork
Teamwork is the effort made by the group of individuals to think or execute something
innovative for the organisation. Organisational teamwork is necessary for larger number of
innovative ideas from different members of team in an organisation (Sand, 2020). Teamwork
helps in filtering the best idea for the innovation of new product or service of the firm. In context
of F- drone teamwork of R&D TEAM and other teams has droved innovation of new aerial
technology drones in UGVs for the military and also helped in giving ideas for
commercialization of innovation.
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TASK 2
P3. Examine the 4Ps of innovation and the use of the innovation funnel to shape innovative ideas
Innovation is the practical implementation of the new idea generation in the process,
product or service provided by the someone in order to increase productivity and competence in
the market (Tidd and Bessant, 2020). There are 4 P's of innovation presented by the Tidd and
Bessant in 2005. The orientation of the factors of 4P's of innovation in F- drone's innovation of
new aerial technology UGVs are presented underneath: Product: Product innovation occurs when there is development of new product or change
or improvement in the existing one. F- drone has innovated the UGVs with new aerial
technology for the military and army people to serve the nation's leaders and soldiers
with strong equipments with latest techniques. The product is now durable, cheaper to
transport and energy safer with low carbon emission thus reducing company's production
cost and increasing reputation. Process: Process innovation is change or replacement in the creation process of product
or innovation in delivery process. As F- drone has changed the product thus the new
process is also innovated as now new aerial technology is adopted to generate the UGVs
for the military. Thus company's research and development team adapted new process in
the firm. Position: As the product is in new form the position of the company is also changed and
expanded in new market thus resulting in position innovation ( Sergeev and Kirillova,
2019). F- drone is positioning in market with the concept of new aerial technology drones
for the army of the nation in their UGVs to attract the new customers with the company's
values of the serving nation.
 Paradigm: This innovation is difficult for any organisation as this requires the change in
the regular ongoing habits and processes of the firm. F- drone has adapted the paradigm
innovation by changing the its mental model of supplying and aiding only on platforms
like ships and marine through the service of drones. Thus, giving a military and nation a
assistance with new aerial technology in unmanned ground vehicles to do their daily
operation with little ease.
Use of the innovation funnel to shape innovative ideas
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Innovation funnel is the mechanism to filter the consistently generating ideas into the
viable innovation. This is approach utilized by many companies to strain the numerous
innovative ideas into the innovative plan (Sand, 2020). The approach of innovation funnel in
innovation of new product of F- drone has given a company productivity, prosperity and
profitability.
(Source: Innovation Funnel, 2016)
The various stages of innovation funnel are :
 Investigation: Firstly the several ideas related to the new drone technology and UGVs
were generated to go in mouth of funnel where the larger portion of ideas are collected
for further processing. Additionally, the ideas are filtered and investigated as per the
preferences and quality and then they are screened to match them with goals of F- drone
and then factors like risk, quality and other related to screened out the idea are observed.
 Development: this stage the generated ideas are developed into the new product or
innovation into the reality and further the at this stage is all about the testing and
experimenting the ideas to finalize the new innovation of F- drone for the implementation
of the new innovation as per the goals of the F-drone.
 Shipping Products:. At last the new product of F- drone that is latest aerial technology
unmanned ground vehicle is ready to launch in market to meet its customers and to
recognise its growth and survival. The new product of the F- drone at this stage are made
available to the military and army people for the fulfilment of needs.
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Illustration 1: Innovation Funnel, 2016

Thus, innovation funnel gives the ability to the person to think broadly to generate large number
of ideas and then shape those innovative ideas into the realistic innovative plan.
P4. Examine developments in frugal innovation and provide examples of how it is used in an F-
drone.
Frugal innovation
Modern era is short with resources and delegate consumers to overcome this situation
frugal method is introduced by organisation to attract response of consumers. This innovating
technique is the concept of utilizing the scare resources of the firm effectively and efficiently.
Frugal innovation leads to the sustainable growth and development in the organisation. Frugal
innovation lead to simple, cheap and with basic quality product innovation ( Ogutu, Gödecke
and Qaim, 2020).
Frugal innovation at F- drone
F- drone market research has analysed them that military is still not advanced with the
aerial technology in there unmanned ground vehicles. Therefore to solve the issue company
innovated the new product with latest aerial technology in the UGVs of the military and army
people to build more strength in their equipments. As F- drone is small company with scare
resources and infrastructure frugal innovation is mandatory for the firm to avoid unnecessary
usage of the limited resources. Thus, with basic manufacturing process and scare resources
company developed the latest aerial technology UGVs which are cheap, durable, unbreakable
and full of latest technology and strength according to the needs of military. This will give F-
drone a sustainable growth and development and also increase the revenue and profits of the
firm. Thus this innovation also helped the firm in competing with big brand like Heinz which is
already ahead in this innovation.
TASK 3
P5 Explain the importance of the commercial funnel and the application of New Product
Development (NPD) processing for commercialisation of innovation
Commercial funnel: Commercial funnel is the marketing tool to discover and trade the new
product to the consumer basically it is tool to recognize the customers journey in buying the
product. Commercial funnel is segmented into three categories, marketing funnel, sales funnel
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and customer funnel ( Nicholls, 2018). There are various benefits to F- drone provided by the
commercial funnel for commercialization of innovation of the product:
 The customer segment of the commercial funnel helps the F- drone in analysing the
customers demand, there interest in product and also assist the F- drone in retaining the
customers and increase the customer and brand value.
 The sales segment of commercial funnel helps the F- drone to know the journey from
thinking to decision making of the potential buyer will buying the new product develop
by the firm.
 The marketing segment of commercial funnel helps the F- drone in building marketing
strategies which will attract the customers and helps in deciding the correct channel
required for marketing of the new drone technology which is aerial technology and useful
in defence. This segment helps to recognize the suitable market for the launch of the
product.
The steps of commercial funnel are described through AIDA Model:
(SOURCE:The AIDA model,2020)
The four stages of AIDA model to describe commercial funnel stages are : Awareness: This stage will cover the process of brand awareness of the F-drone through
its new innovation of aerial technology UGVs in its drone technology. F- drone will
make military and other customers aware about the features if the product that will assist
the military and army people in defence with more strength and with less time.
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Illustration 2: The AIDA model,2020

 Interest: In this stage the company F- drone will decide the marketing strategy to develop
the interest in the customers and other external market to increase the sales of the new
product in the market. Desire: the desire of F- drone to design such a new product was completely to help and
assist the military and army of the nation in there defence equipments with latest
technology. This emotional connect will help the F- drone in value creation and also to
increase its reputation with agenda of well being for the nations soldiers and defence
team.
 Action: The last stage is to take actions like interacting with customers and buyer. F-
drone as this stage will interact with military and make them aware about the knowledge
and system of new aerial technology drone in their unmanned ground vehicles. The
actions are later converted into sales for F-drone.
New Product Development (NDP) Process: As the market evolve according to the needs,
demands, and thinking of the customers every company is required to develop new product or
improve the existing one to survive in the current market scenarios (Liu and et. al., 2020).
Therefore, F- drone to create the new product employed 8 stages of new product development
life cycle to commercialize there innovation in the market. The eight stages are described below:
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Illustration 3: THE NEW PRODUCT DEVELOPMENT
PROCESS (NPD) – OBTAIN NEW PRODUCTS, 2020
(Source: THE NEW PRODUCT DEVELOPMENT PROCESS (NPD) – OBTAIN
NEWPRODUCTS, 2020) Idea Generation:the first stage in the product development life cycle where new
innovative ideas are generated by analysing current market scenarios, competitor's
actions, external and internal factors and with the help of R&D team. F- drone generated
its new idea of drone with aerial technology in UGVs of the military of nation for the
defence purpose and tactical initiatives. Idea Screening:The stage where funnel innovation method is employed to separate out
the best idea which will foster the company's objective. F- drone various ideas related to
new product were filtered to select product which will be profitable to the firm. Concept Development and Testing:This stage is about converting the ideas into the
product concept means something realistic and then the product is tested in the target
consumer market for knowing its stability and growth in market (Campi and Dueñas,
2019). F- drone developed the concept of latest aerial technology drone will be tested by
the small market.
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