Innovation, Commercialization, and Frugal Innovation Report

This report delves into the concept of innovation and its critical role in business, emphasizing its importance compared to invention. It analyzes how factors like vision, teamwork, culture, and leadership shape innovation and commercialization strategies within an enterprise. The report uses Mr. Johnson Watches as a case study, exploring the 4Ps of innovation, the application of innovation funnels, and the development of frugal innovation. It examines the significance of commercial funnels and new product development for innovation and commercialization. Furthermore, it discusses various funding avenues and the protection of intellectual property, providing insights into tools firms can use to foster, retain, and safeguard knowledge assets. The report aims to provide a comprehensive overview of innovation strategies, making it a valuable resource for business development.

Innovation

CONTENTS
Contents...........................................................................................................................................1
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Innovation and its importance for enterprise as compare with invention..............................1
P2 Vision, teamwork, culture and leadership shape innovation and commercialisation.............3
TASK 2............................................................................................................................................4
P3 4Ps of innovation and use of innovation funnel to analyse and shape innovative ideas........4
P4 Development in frugal innovation and its use in an organisation..........................................5
TASK 3............................................................................................................................................6
P5 Significance of commercial funnel and application of new product development for
innovation and commercialisation...............................................................................................6
P6 Various ways to access funds and innovation case for organisation......................................7
TASK 4............................................................................................................................................8
P7 Various tools that can be use by firms to develop, retain and protect knowledge and
intellectual property.....................................................................................................................8
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
Innovation is a process of add new features in a product for make in more useful. This is
done by firms in order to attract large number of customers towards its product and to better
satisfy their needs and wants. With this entity can maintain its market share and can sustain in
market for a long time period. One of the major benefit of innovation is that it make the
enterprise different from other firms operating in market. Effective innovation save time and cost
of entity and enhance efficiency of business activities (Anderson, Potočnik. and Zhou, 2014).
This provide an opportunity to enterprise to offer its featured products to its customers at
affordable prices. Mr. Johnson watches, a small firm that offer various type of watches to its
customers based in United Kingdom is taken in this report for study. Significance of innovation
for a business organisation and differences between innovation and invention is all detailed in
this. 4Ps of innovation with innovation funnel and frugal innovation is also mentioned in this.
TASK 1
P1 Innovation and its importance for enterprise as compare with invention
Process of add new features in product and service is known as innovation. Timely
innovation help enterprise in attract large number of customers and ensure long term survival of
company. This also increase profits and market share of business firm with this, it also offer
competitive benefit to firm for get all advantages related with concept of innovation, it is very
important for firms to implement this in effective way and for this it is very important for firms
to have adequate number of funds and resources. Innovation offer various long term benefits to a
business entity. Major benefits of innovation is given below under the following points:
 Provide competitive benefit to entity: With help of innovation, firm manufacture and
offer something unique to its target customers this help in attract large number of
individuals towards company’s product. Better and featured products help in satisfy the
needs of consumers and retain them for long time period. With help of innovation,
company can set forward as compare to its rivals and all this provide competitive benefit
to company.
 Improve efficiency: Concept of innovation is the one which help manager in identify
new and effective ways to carry out commercial operations (Brynjolfsson and McAfee,
2012). This not only save time of enterprise but at the same save cost of business and
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improve efficiency. With this, company can offer featured products to its customers at
affordable prices and can sustain in market for long time period.
 Increase effectiveness of communication: For get all the benefits related with concept of
innovation, it is very important that it should be executed well at workplace. effective
communication channels are use by firms as this bring cooperation among various
business department and ensure effective implementation of innovation. This make the
workers aware about their roles and responsibilities at workplace and remove grounds of
rise conflicts. Overall this make the communication stronger and at the same time
increase effectiveness of business activities.
 Support in utilise all resources at an optimum level: With innovation, company
manufacture and offer new features to its customers (Boons, Lüdeke-Freund, 2013). This
help in utilise business resources at an optimum level and increase profitability of
enterprise. This improve efficiency and help in complete business operations in
minimum time and cost.
All these are the major benefits related with the concept of innovation. So by implement
innovation Mr. Johnson Watches can get all benefits. Large number of individuals think that
both innovation and invention are same thing but there are various differences between these
two terms as given in the following table:
Basis Innovation Invention
Meaning Procedure of add new and
unique features in already
existing product is known as
innovation (Cross, 2011).
This is done by enterprise in
order make its product more
attract and to increase its
sales.
Under this, a new product or
service came into existence
for a first time for fulfil
specific requirements of
customers.
Concept In this, new and better
features are add into a
product. this increase
usefulness of product and
Invention is carry not to
manufacture a new product
when existing product fail to
satisfy the needs of
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attract more number of
individuals towards it.
customers. Totally new
product is come into
existence in this.
Required skills For implement innovation,
technical, marketing and
financial skills are required.
Mainly research and
development skills are
necessary for implement
invention. Without these
skills an individual cannot
implement invention.
Activities Activities that cover under
the concept of innovation
that spilt across various
department.
Major operations that are
execute under invention are
only limited to research and
development department.
P2 Vision, teamwork, culture and leadership shape innovation and commercialisation
Different activities are carry out by organisation for implement innovation. Due to
involvement of various activities large number of factors are there that affect innovation and its
final outcomes. Manager is the one who remain responsible to identify and examine all elements
that affect the innovation. This help in formulate better plans and strategies for implement
innovation and at the same time save cost of company. It is very essential for entity to use an
effective strategy to manufacture and offer a new product to its customers. Major factors that
affect and shape innovation can be understood by the points given below:
 Leadership and innovation: Leaders are known as the individual that encourage
employees to work well at workplace so company can achieve its set goals and objectives
in effective manner (De la Mothe and Paquet, 2012). Approach adopt by leader of an
enterprise play a big role in implement innovation as this affect the working of
employees. With help of right leadership approach, manager of Mr. Johnson Watches can
motivate staff members to perform well and in this way company can get all benefits
related with the concept of innovation.
 Culture and innovation: Culture define the roles and responsibilities perform of
employees working in enterprise and also indicate the flow of communication at
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workplace. This also affect innovation, right and positive organisational culture support
employees to increase their creativity with bring innovation in enterprise. So it is very
important for manager of Mr. Johnson Watches to develop and effective culture at
workplace so innovation can be implement well.
 Teamwork and innovation: Teamwork define how well employees of organisation work
well in teams. Manager should always encourage development and working of team
because this provide large number of benefits to company. One of the main benefit of
teamwork is that it help in complete complex business project and with this company can
implement innovation effectively.
 Vision and innovation: Vision of entity define where company wants to go in coming
future period and this play a big role in bring and implement innovation at workplace.
effective vision encourage employees to enhance their creativity and entity also provide
various support to implement the same in effective manner.
All these are the major factors that largely affect the innovation and its outcomes at
workplace. So it is very important for manager of Mr. Johnson Watches to examine all these
as with this firm can offer manufacture and offer something new to its customers and can
retain them for long time period.
TASK 2
P3 4Ps of innovation and use of innovation funnel to analyse and shape innovative ideas
In today’s business environment, implement concept of innovation is become essential for every
enterprise as without this firm cannot generate more profits neither can survive in business
environment. So for satisfy the needs of its customers, it is very important for business firms to
introduce innovation at workplace. there are 4Ps related with innovation which help firm in
implement innovation and get all benefits related with it. 4Ps of innovation can be understood by
the points given below:
 Product: This factor reveal the product which is offer by firm to its customers for satisfy
their needs and generate a large number of profit. New features are add in a product in
order to attract more customers and to increase its usefulness. It is very important that all
resources of entity should be utilise in right manner Gennaioli, Shleifer and Vishny,
2012). For make the process more attractive company can carry out research in order to
understand their needs and specific requirements.
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 Process: This indicate the procedure utilise by firm to add value in a product or service.
It is very essential for manager to examine the impact before add a feature in an product.
manager can formulate a plan consists all the resources and funds require to implement
innovation. This increase effectiveness of innovation and at the same time help in get all
benefits related with it.
 Positioning: In this, various efforts are done by firm ton position its product in market. It
is very important that right marketing strategy should be use by firm for this (Gunday, G.
and et. al., 2011). One of the main benefit of this is that it help in increase customer base
of company.
 Paradigm innovation: In this entity do necessary changes in order to better satisfy the
needs of customers.
Use of innovation funnel in shaping innovation
Innovation funnel help in maintain every step related with implementation of innovation.
This help in indentify the appropriate tools that can be use by firms for this. With help of this
model, Mr. Johnson Watches can implement innovation effectively and can get all benefits
related with it. This also help in reduce negative impact related with innovation. It is very
important for manager to carry out research in order to understand needs of customers and to
identify what they want in product (Lundvall, and et. al., 2011). with this company can
increase the sale of its customers. With this firm can utilise all the resources and can maintain
quality of products. Overall one of the main benefit of this is that it support in manufacture
product as per the needs and requirements of customers.
P4 Development in frugal innovation and its use in an organisation
Frugal innovation is a concept that is use by firms during manufacture new and innovative
products for fulfil requirements of customers. One of the main features of this is that it help in
bring down the cost of innovative products to offer it to large number of customers. All features
and quality of product is maintain and the main focus remain to bring down the cost. This
improve productivity of workers and help in utilise all opportunities exist in market. With help of
this entity can manufacture quality products and can offer the same to large number of customers
at affordable prices. Concept of frugal innovation help in bring down the cost which help in
attract large number of customers. This concept can be better understood by the principles given
below:
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 Identify opportunity in adversity: This principle of frugal innovation state that every
problem should be examine from every point of view and every threat related with that
should be transform into opportunity. With all this, researcher can find out an effective
solution of the problem.
 Do more with less: This principle indicate that researcher require to examine the
available data to better understand the problem rather than go for further investigation.
 Think and act flexible: It is very important for researcher to act and think flexible during
the research (West and Bogers, 2014). With this better and effective solution related with
the problem can be search.
 Keep it simple and attractive: It is very important for researcher to use simple and
effective tools as this help in find better solution and remove complexity.
 Include the margin: When customers are encourage to take part in problem solving
process then with this company can find out much better solution.
 Follow your heart: As per this principle, an individual require to be passionate about his
work and duty.
TASK 3
P5 Significance of commercial funnel and application of new product development for
innovation and commercialisation
Commercial funnel is use by large number of organisation as this help in identify the
various ways through which company can increase the number of its profits. This help firm in
cover the cost and support in survive in market for long run. Mainly this concept support firm is
select the best idea through which company can attain success and growth (West and Bogers,
2014). One of the main reason behind why entities use this concept is that it increase its profits.
Firstly all the ideas through which company can generate profits are determine. Manager
examine the time and funds require to implement the project. Mr. Johnson Watches is developing
innovative idea for increase profits of company. After that all the benefits are examined and
company choose the one through which it can increase its profits and can satisfy the needs of its
customers.
Process of new product development
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When firm decide to manufacture and offer new products to its customers then it require
various resources for this. It is very important for business organisation to follow a step by step
process. Major steps involve in this are as follows:
 Idea generation: This is the first step in this, various idea are take place in the mind of
individuals. Needs and requirements of customers in take into consideration as this help
in generate more reliable idea.
 Idea screening: All the ideas developed in the first step are examine. For select a best idea
firm can take help of experts.
 Concept development: In this, developed idea is transform into final report. It is very
essential for firms to use effective tools and methods during this stage.
 Strategy development: In this, manager develop strategy for implement the innovative
idea.
 Situational analysis: Before implement innovation, it is very important for manager to
undertake an situational analysis as this help in introduce innovative idea at right time.
With this company can all benefits related with innovation.
 Product development: Innovative product is developed in this stage, in this manager
decide the features which should be there in a product so it can satisfy the needs of
customers.
 Test marketing: Under this, firm start selling its products in some specific areas in order
to test its acceptability and to determine that product is successful in fulfil the
requirements of customers or not.
 Commercialisation: In this, company start selling its products and services on large basis.
Various promotional tools are use by entity in order to make the customers aware snout
innovative product and to encourage them to buy the same.
All these are the major steps involve in the new product development, by follow all these
firm can manufacture featured products and at the same time can satisfy the needs of its
customers.
P6 Various ways to access funds and innovation case for organisation
When firm implement innovation then it provide various long term benefit to company. This
improve performance of workers and increase profitability of company. With this, entity can
offer featured and quality products to its customers and at the same time retain them for a long
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time period. Innovation help enterprise in respond to the changes that take place in needs of
customers. Mr. Johnson Watches is a small watch firm in United Kingdom and entity wants to
capture a large market share. With help of innovation company can attain the same and
innovation case for entity is given below:
Executive summary: Mr. Johnson Watches operate in a small level and offer various type
of products for fulfil the requirements of customers. With help of innovation entity wants to
generate more number of profits and wants to capture a larger market share.
Objectives: With help of innovation, entity wants to manufacture featured and better watches and
wants to offer the same at affordable prices so every individual can buy it.
Solution: One of the main function that require to be done by entity in its existing products is that
entity need to introduce some changes in its current looks and design. With this, entity can attract
more customers and can satisfy their needs.
Why product is innovative: Company can make its product innovative by add some more
features in it.
Customer’s research: When entity undertake research in order to collect information about needs
and wants of its consumers then it help in make the product more attractive.
Funding: Funds are one of the most important resource require by entity in order to implement
the concept of innovation and to offer innovative product to its customers.
Expected benefits: This aspect highlight the major benefits het by entity affect implement
innovation. Mainly this increase sales and profits of organisation.
TASK 4
P7 Various tools that can be use by firms to develop, retain and protect knowledge and
intellectual property
Various type of products are manufacture and offer by Mr. Johnson Watches in order to attract
large number of customers and to satisfy their needs (Anderson, Potočnik. and Zhou, 2014). It is
very essential for entity to have adequate amount of information related with protect and develop
intellectual property and knowledge. Major tools and methods which can utilise by entity for
this are given below under the following points:
 Trademark: This is one of the famous tool which is use by business firms in order to
make its product different from the other products exist in market. In this a unique
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symbol, sign, logo or design is use by firms in order to give a special and unique identify
to its products.
 Patent: Under this legal bodies give a unique right to the owner of intellectual property.
This remain valid for specific time period as owner require to renew so not other
individual can copy the same product or service.
 Copyright: This tool is developed by government bodies with the aim of safeguarding
interest of owner of intellectual property.
 Help from experts: This is another method that can be use by firms tin order to get
protection against intellectual property. In this experts provide a password to the owner
so not other individuals can misuse the reliable data.
 Information about intellectual property: Before get protection for intellectual property, it
is very important for owner of that to have knowledge about his specific right and duties
so he can protect the same and no other individual can utilise the same.
All these are the major tools and methods that can be use by Mr. Johnson Watches to
develop, retain and protect intellectual property and knowledge.
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CONCLUSION
From the given project report, it can be concluded that innovation provide various long term
benefits to a business organisation. For implement innovation in an effective manner, it is very
essential for manager to identify and examine the various factors that shape innovation. It is very
important for entity to have adequate amount of funds and resources for get all benefits related
with innovation and various sources are there which can be use by organisation in order to raise
funds for innovation. 4Ps of innovation should be utilise by entity as this help in implement
innovation in adequate manner. Commercial funnel also use by firms as this provide various
ways to increase profits of company. In addition to this, various tools and methods are that can
be use by firms to develop and retain intellectual property.
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