Developing Innovation Strategies for A1 Comms Limited: A Report

This report analyzes innovation strategies for A1 Comms Limited, a telecommunications company. It explores the importance of innovation, organizational vision, leadership, culture, and teamwork in shaping innovation and commercialization. The report delves into the 4Ps of innovation, the innovation funnel, and how A1 Comms Limited can develop frugal innovation. It also covers the commercial funnel, new product development, and an innovation business case, including funding strategies. Furthermore, the report examines tools for developing, retaining, and protecting intellectual property. The analysis draws comparisons with successful companies like Apple and Virgin, emphasizing the significance of adapting to market trends and fostering a culture of innovation to achieve sustainable growth and competitive advantage in the telecommunications sector.

Innovation

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1. Importance of innovation for an organisation..................................................................1
P2. How organisational vision, leadership, culture and teamwork can shape innovation and
commercialisation...................................................................................................................3
TASK 2............................................................................................................................................5
P3. 4Ps of innovation and use of the innovation funnel to inspect and prepare innovative
ideas........................................................................................................................................5
P4. How A1 Comms Limited can develop frugal innovation...............................................7
TASK 3............................................................................................................................................8
P5. Importance of the commercial funnel and the application of New Product Development...8
P6. Innovation Business Case for A1 Comms Limited and how will it get funds...............10
TASK 4 .........................................................................................................................................11
P7. Various tools which can be utilized in developing, retaining and protecting intellectual
property.................................................................................................................................11
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13

INTRODUCTION
In the today's world where almost everyday new business debut in the market and some
of them get success & some might not get that. There success depends upon their business ideas
and innovations (Lundvall, 2010). Innovation is all about modification in the existing products or
segment. There is frequent changes takes place in the market trends, so a company cannot
survive with a single product and strategy all the time. They have to regularly alter their ideas
with new product development and this is proved by various big companies. Apple and Virgin
organisation has always believed in innovation which will increase there profits and revenues.
By understanding the examples of these companies A1 Comms Limited can set their goals and
strategies brining innovations in their operations.
TASK 1
P1. Importance of innovation for an organisation.
Innovation is basically a new idea imposed on a device or in any method. It is introduced
so that the business can meet new demands and can gain competitive advantage. A idea is
converted in a products, services and technology, so that existing markets can experience higher
growth. To attract more customers towards their business an idea is generated called as
innovation. Whatever new innovation is made should hold some value and should be properly
implemented. In the process of innovation, the company people research the market and looks
for an opportunity (Drucker, 2014). Through this a firm can increase their business operation and
could provide quality services. An enterprise have to regularly modify or update their business
model, as this will bring innovation. In general context people take innovation and invention as a
synonym of each other but going in deep, there is a big difference between them (Sawyer,
2011). In invention new product is manufactured and in innovation changes to the current
process is done by introducing new ways. If someone wants to know the difference between
them, they can analyse them on different basis.
Comparison Basis Invention Innovation
Definition In this a new item is created
with unique idea and this has
It refers to the execution of the
idea on existing product.
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never been seen by the
customers.
Although consumers are using
that product but now the firm
has came with a modification
in it.
Concept It is based on theories and has
original idea.
This based on the
implementation of the new
idea.
Skills Required Scientific Skills A combination of marketing,
technical and strategic skills
Time It occurs when a new concept
comes in the mind of
businessmen.
Need of modification is felt for
a product.
Concerned with Individual product and process Both the things are combined
together
Activities It is confined to research and
development department.
Its activities are spread across
all organisation.
For small and medium sized companies it is very important that they should bring
innovations in their business. They don't have much turnover and financial resources, so if they
have to survive in the market innovation becomes crucial (Goldberg, 2013). A1 Comms Limited
is a private limited company who deals with retail sale of the mobile telephones business. It has a
revenue band of £50M to £75M and continuously growing every year. In telecommunication
sector there is tough competition and every day new entrant enters the market and act as threat to
the organisation. For resisting in the market they have to do innovation in their products and
services. They can look at the example of Apple Inc. which used innovation and invention
altogether to set new bench mark (Huberman and Miles, 2013). Although that time MP3 player
used to be there but apple though of innovation by inventing Ipod and it drastically experienced
new highs in their market. The main feature of this was that it can store more than thousand song
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and can be easily carried anywhere. They can also introduce new technologies in the market,
which will diversify the business. Both the employees and company will have various benefits
from innovation. Through innovation, workers will work more efficiently. This will increase
their capabilities and they will learn new ways of doing a task. For organisation innovation
brings more profit and productivity. It assist them in fulfilling customer demands and
expectation.
P2. How organisational vision, leadership, culture and teamwork can shape innovation and
commercialisation.
If A1 Comms Limited have to gain success they have to first know their goals, mission
and values of their organisation. The key element which assist team in achieving their business
vision is the commercialization. Response of their leadership can be evaluated by analysing the
performance of the all team (Patton, 2011). It is necessary that while hiring employees they
should make that they are be trained and have full required knowledge & skills so that they can
easily do there work. They have to adapt in the environment of A1 Comms Limited where team
work is encouraged. Team work is necessary for the success of the company because it reduces
work load from the employees and brings more efficiency (Teece, 2010). A effort has been
made to create a surrounding that promotes innovation and inspire people to work under different
situations. They can recruit people who are from different backgrounds, this experiment will
consume time and bring new energy in the A1 Comms Limited. Inviting different people from
different culture highlights the richness of the organisation and gives a message that creative
people are entertained more.
For example; an employee who has just been recruited and given the responsibility to
handle social media department of A1 Comms Limited. She observed that due to loop holes in
the social media strategies company is lagging behind and its promotion is not up to the mark.
She went to the CEO of A1 Comms Limited and suggested him some changes which are
necessary for promotion. The employee asked him to increase investments in the online
advertisement segment of their product and services (Edquist, 2010). As the A1 Comms Limited
follows Virgin Group strategies which encourages employees to put forward any innovation
which they feel can grow the business. After analysing the scope and opportunities different
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teams were formed because they founded that it requires more team work than individual work.
As the teams starting working, other fellow members also starting giving there ideas. Working
together has brought better results among organisation and employees. It has brought harmony &
coordination between the team members. A1 Comms Limited could feel the consequences in
their profits which has rise drastically and it has also given them edge over another companies.
This all has happened because of team leader who has guided them and assigned them different
tasks according to the skills (Chesbrough, 2010).
Culture is the social behaviour and norms found in human societies and this is transferred
through social learning in human societies. Culture may be art, music, dance, ritual and religion
etc. Belbin defined team roles into three parts that is action, people and thought oriented roles.
Action Oriented Roles
 Shaper:- They are the individuals who challenge the team to improve.
 Implementer:- They are the people who get things done.
 Completer Finisher:- They have the responsibility to see whether the projects are
completed thoroughly.
People Oriented Roles
 Coordinator:- They are called as the chairmen who take on the traditional team leader
role.
 Team Worker:- They encourages cooperation.
 Resource Investigator:- They explores outside opportunities.
Thought Oriented Roles
 Plant:- Give new ideas and approaches.
 Monitor Evaluator:-Analyse the options.
 Specialist:-Provides specialized skills.
Through this theory they can identify the potential strengths and weaknesses in the team thus
overcoming conflicts between the team mates and appreciate everyone's contributions.
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Tuckman's Theory:- It states that in the team development there are four stages that is
forming, storming, norming and performing and briefs that these levels are necessary if the team
have to grow, face and handle the challenges, look for the solutions and deliver the results.
leadership carries a strong impact on the innovative activities in context of the
organisation. The implementation of innovation will not be able to fulfil its purpose without
adequate leadership in an organisation. A vision of leadership sets baseline for commercial
activities to happen in an organisation. The ideal example of success of innovation through
leadership is of Apple Inc. Steve jobs aimed to fulfil technology requirement of people through
innovation and formulated a culture to innovate in the company.
If the vision of company supports and encourages innovation then it will again help a
business in developing suitable mind set of employees. The employees are provided with
opportunities to explore new areas and means of carrying out an activity so that the customers
are served with distinct products and services. The vision of the company defines its purpose of
existence and A1 comms aim to provide business communication services in an unprecedented
manner.
Teamwork is an essential component of an organisation. When employees with different
nature and skills work together it leads to improved effectiveness of the task and results are
achieved in a rapid manner. It has been proved overtime that teamwork leads to innovation. The
companies aim to achieve innovation through building a suitable culture by bringing together
distinct minds in a company. A team ensures that exchange of ideas and views takes place which
leads to creation of something new and useful.
TASK 2
P3. 4Ps of innovation and use of the innovation funnel to inspect and prepare innovative ideas.
Through 4Ps model of innovation it can be identified that what changes and improved
innovation process seek. This is based on the fact that innovation brings positive changes and
there are four areas where innovation can take place. Following are those four areas:-
 Product Innovation: Mostly innovation refers to the modification of the product and a
improve product is offered to the end users. For example; A1 Comms Limited improving
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their plans for the Iphone users. Earlier they were providing 3g services but now they
have give their customers to an option to update to 4g.
 Process Innovation: This include the changes in the ways in which products and
services are created or delivered. It normally emphasises on processes through which
different products were created. Few time back A1 Comms Limited were providing
internet services through cable network but now they have introduced wireless network
with same speed.
 Position: It deals with the re-posting of the perception of the brand's product and service.
The perception of the product is changed through its promotional activities. A1 Comms
Limited earlier was known to give their services to corporate surrounding but now they
have re-positioned them and starting introducing their services to the local people
(Gassmann, Enkel and Chesbrough, 2010). Changing the target segment or customers
brings expansion of the business. For example; Virgin Airlines provides facilities for
different passengers i.e., Upper class, business class and economic class and etc.
 Paradigm Innovation: If a company changes its all market, offering different services
which they were offering earlier. A1 Comms Limited from a network provider starting
selling mobiles of different companies are example of this. Apple was earlier known for
their computers but later they also introduced their phones.
Innovation funnel is used to define the steps that take place in developing a process or
product. The basic aim between the innovation is to develop an item that could meet market
needs in manufacturing and economic forms (Huizingh, 2011). At the starting different ideas are
collected and they go through a filter and after that those ideas pass through are selected by the
organisation. These are further implemented. For developing an innovation funnel they have to
go through three basic steps. For example; A1 Comms Limited collects various information from
different sources and they try to gather as many knowledge as they can (Patti, Yanes and
Siuzdak, 2012). This brings an advantage because the more the information will be, more will be
easier for them in developing products. A1 Comms Limited have to be very clear about their
strategy and objectives. They have full fledge knowledge about the capabilities of their
employees and ideas.
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In the second stage, whatever idea the company has gathered from the first level will go
to the screening process. In this they match those to the organisational objectives and finds that
whether this will be relevant or not. A1 Comms Limited also have to identify the risk and profits
attached to it and this can be done through testing products and services (Crossan and Apaydin,
2010). After this they try to allocate resources for the ideas which will be implemented and make
sure that it is done proper because resources are less in number.
Third and final level make sure that whatever ideas are selected are delivered properly by
keeping A1 Comms Limited objectives in mind. It is finally released in the market.
Virgin and Apple uses funnel model, as it is simple and effective. Virgin group has
introduced passbook on iPhone's so that the passengers could access it on their books this will
reduce the usage of paper thus reducing the paper cost for them. On the other hand they have
came with the shopping concept while the passenger fly in the Virgin Airlines. They have
opened a Gallery where the Upper Class passengers can purchase the original artworks by Ben
Eine.
P4. How A1 Comms Limited can develop frugal innovation.
Frugal innovation is a procedure of reducing the complexity and the cost of the products
and its production. The concept of frugal innovation deals with customisation of technological
oriented goods and services according to needs of targeted segment. This concept have
originated so that appropriate and affordable services can be rendered. The emphasis in this
approach is that products and services in context of innovation are made affordable to the cost
conscious segment. The products and services are modified so that needs of emerging market
are fulfilled. Basically it deals with termination of those process and features from a product
which are of no use. In the process they look at those activities which are done in business
operation and the management finds the loopholes (Lee and et. al., 2010). Innovation is done
according to the needs of consumer and its capabilities. This will help them in achieving there
goals in short period of time.
For example; A1 Comms Limited is trying to modify one of there service so for that they
will develop a frugal innovation. The first step they will do is the taking knowledge of all the
task and then appointed those employees who have capabilities and skills. Such thing will assist
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them in achieving better and effective targets (Melville, 2010). It can be seen in the case of
Apple and Virgin, they have come out with innovation through frugal concept. They have tried
to use every single resource which could benefit them. Through the frugal innovation they have
reduced all the unnecessary costs of production. Virgin group has came to know the demands of
the customers because they believe in the concept of taking feedback from every employees and
their members. Through frugal innovation they can identify the opportunities and able to analyse
the capabilities. This also gives them advantage in finding the issues and those will be addressed
(Hjalager, 2010). After analysing and evaluating the goals and business targets they can allocate
budgets. Whatever changes need will be implemented in the plan and a final execution will take
place. The final task is of regularly inspecting and measuring to fix loopholes.
Through following the concept of this they can remove all the non essential process.
TASK 3
P5. Importance of the commercial funnel and the application of New Product Development.
Commercialization is the procedure by which a new product or services introduced into
the normal market. Whereas commercial funnel is a process which leads to alteration of potential
consumers into actual customer of organisation product. New product development(NPD) refers
to a process which help company people in developing a product which will fulfil the
requirement of customers (Brown and Wyatt, 2010). The needs and expectations of customers
evolve at a frequent manner and an organisation needs to stay updated in terms of product so that
customer's demands are met. If an organisation fails to comply with the market it may experience
a decline in the sales revenue. It is observed that if any firm delivers a product which is of high
quality and is available at lower rate, these two factors will give them success.
If A1 Comms Limited develops at product or service by keeping all the demands and
desire of their customer that will help them in gaining competitive advantage. It is very important
for almost every enterprises that they maintain all the requirements of the consumer. Today's
market has became customer oriented and most of the activities of the company revolves around
them. Those who will be satisfying the target audiences will experience a better growth
(Leiponen and Helfat, 2010). A1 Comms Limited has to increase expand their market into new
area and for that they have to introduce new products in the market. Telecommunication is the
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sector which is quite competitive and they aim beat one of the finest companies in their segment.
They should look at the innovation of the Apple, which brought a revolution in the world
through inter linking music with mobile phones. Earlier they were only providing their services
to the corporate companies or their products was only restricted business purpose. Now they are
moving them to the local or household people (Boudreau and Lakhani, 2013). Everyone desires
for a faster speed internet providers which low costs, keeping this in mind they are designing
their strategies. They should give responsibility to their research team to better understand
marketing trends and customer requirements. Through adopting innovation funnel they will try
to reduce the cost of unessential products. In the process of new product development there are
few steps which A1 Comms Limited has to follow:-
 Idea Generation:- A new idea is generated through conducting a market research and
inviting consumer to give their views. Different activities are conducted like analysing
the products of competitors and getting feedback from dealers.
 Idea Screening:- In A1 Comms Limited a department is made which focuses on
studying the ideas and they take good ideas and terminate the bad ones. They look at its
scope and opportunities.
 Concept Testing:- It is much more consumer oriented and involves the suggestions of
individuals. Few people are selected who acts as a customer and they are acknowledge
with full specification of the product. After that they are asked to give advice on it.
 Business Analysis:- It is a crucial step in new product development and it is evaluated on
the behalf of their business. What value it holds and whether it is commercially profitable
or not.
 Product Development:- This is the main stage in this all process, as all the activities are
centred around him (Johnstone, Haščič and Popp, 2010). A1 Comms Limited introduces
new product and all its department will play their role in this.
 Test Marketing:- After producing a product some samples of it are distributed in the
market. It is looked that whether this will be successful or not and if it is then it will be
taken into bigger market.
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 Commercialization:- It they approves the product then company will invest more and
will introduce that on a large level. They try to promote it among customers through
media or any other platform.
 Review of the market performance:- This is done after a few time and will help A1
Comms Limited to analyse whether it was successful or not. Through this they gets
information about its demands, sales and profits.
P6. Innovation Business Case for A1 Comms Limited and how will it get funds.
It is one of the most complicated part in the innovation. A business case will include
goals and objectives and where the funds will be utilized. Through this A1 Comms Limited can
gain success over its competitors and they will know what all activities are important for them.
The aim behind this is to produce new items for the organisation and for developing a business
case they have to follow different stages.
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In the first stage they try to prepare objectives and this ensures that what they want from
their businesses. It is crucial to set the objectives because through this the unwanted things are
eliminated (Smith, Voß and Grin, 2010). The next comes the evaluation by the managers, in
which collected information about the market are understood. In the final level business case is
developed and delivered in the market. This will highly effect the A1 Comms Limited and will
help them in various things.
For carrying out any business activity they need funds and these can be accessed from
different sources. The investors will only provides funds if they observe something interesting in
the business of A1 Comms Limited. There are venture capital organisation which give funds in
exchange of shares of the firm. A1 Comms limited has introduced new services where they have
cut the prices for the night calling so that most of the people could come to their network.
TASK 4
P7. Various tools which can be utilized in developing, retaining and
protecting intellectual property.
Innovation is all about creativity and developing new ideas. But in the
world where business has become global and competitive there might be
the chances that people might steal your business ideas, product design,
logos or any creativity (Tebbe, 2011). Innovation has different ideas imposed
through logos, signs, brands and company's product and all this are called
as Intellectual Property. There are laws and legislation which protects such
property and falls in intellectual property right laws (Dahlander and Gann, 2010).
Normally there are two types of intellectual property that are as follows:-
 Automatic: In this there are two rights i.e., copyright which include
any dramatic, literacy or any other framed work. Other one is design
right which include any logo or shape.
 Applied: It consists of trademark, patents and any other registered
designs.
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 Patent:- They are set of exclusive rights given by the sovereign state to an inventor or
assignee for a limited period of time in exchange for the detailed public disclosure of an
invention.
 Trademark:- It consists of sign, design or expression which identifies products and
services of a particular source from those of others. The trademark owner can be an
individual, business organisation or any legal entity.
CONCLUSION
From the above report it is concluded that through innovation A1 Comms Limited can
gain competitive advantage. Various aspects of Innovation and new product development has
been discussed above. A brief has been given highlighting the difference between innovation and
invention. Through innovation in the organisational vision, leadership, culture and teamwork
they set new benchmark in telecommunication sector. Innovation funnel can be used to inspect
and prepare innovative ideas. By the use commercial funnel they can eliminate non
essential activities. Different intellectual property rights they can protect
their innovation.
REFERENCES
Books and Journals
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