Innovation and Commercialisation Report: Unit 8 Analysis

This report delves into the critical concepts of innovation and commercialization within an organizational context, using Marks & Spencer as a case study. It begins by differentiating between innovation and invention, emphasizing the importance of innovation for business growth and relevance. The report then explores how organizational leadership, culture, vision, and teamwork shape innovation and commercialization processes. It examines the 4Ps of innovation (product, process, position, and pace) and the innovation funnel, followed by an analysis of frugal innovation and the commercial funnel. The report further addresses the development of a business case and evaluates various tools for protecting intellectual property, concluding with key insights into successful innovation and commercialization strategies. The content is designed to provide a comprehensive overview of the subject matter, offering practical insights and examples relevant to business development and strategic management.

Unit 8-Innovation and
Commercialisation

Table of Contents
INTRODUCTION ..........................................................................................................................3
MAIN BODY...................................................................................................................................4
TASK1.............................................................................................................................................4
P1 Innovation and their importance in organisation with comparison to invention...................4
P2 Explain how organisational leadership, culture, vision and teamwork can shape innovation
and commercialisation................................................................................................................7
TASK 2............................................................................................................................................8
P3 4P’s of innovation and innovation funnel..............................................................................8
P4 Development of frugal innovation.......................................................................................10
P5 Commercial funnel and development of a new production ..............................................11
P6 business case........................................................................................................................13
P7 Evaluation of various tools for protecting intellectual property..........................................15
CONCLUSION .............................................................................................................................17
REFRENCES.................................................................................................................................18
Books and Journal.....................................................................................................................18

INTRODUCTION
Innovation is the most concerning and important topic for the development and growth of
organisation. Innovations is the techniques that enhance competitive behaviour of organisation. It
is derived from Latin word that means something new. It is not only to innovate or generate
something new it undertakes the process of modification or improvisation in products and
services so that organisation can provides something new to customers. It is important for
increasing their competitiveness in the market so organisation can be adopt this step. But it is not
the end because organisation should introducing their new innovative products or services in the
market. It is not the end of procedure that organisation think about their innovative ideas they
should make available in the market. Commercialisation includes many functions that are
production, sales, distribution, marketing, etc. In this report it covers importance and application
of innovation and commercialisation in the organisation with special reference to Marks &
Spencer. It is the UK based retailer which established in 1884, Leeds, UK and has headquartered
in London,UK that provides food products and home products to the customer. This report also
covers important process of innovation and commercialisation in which it show the development
of products (Ashford, 2017).
MAIN BODY
TASK1
P1 Innovation and their importance in organisation with comparison to invention.
In today's economy every person thought that innovation and invention is similar terms
but it is not right. Both are very different from their meaning or applicability in the organisation.
But they play a vital role in the success and growth of the organisation. Every organisation
should have research and development department so that they can analyse the needs and wants
of customers so that organisation can satisfy their needs. Innovation and invention is very helpful
for inclusive growth of Marks & Spencer because it is the retailer that need innovation and
invention to attract their customers (Bandera and Thomas, 2018). Marks & Spencer takes
necessary steps for the successful implementation of both process because it helps to grow their
business very well. It is very helpful for the sustainable growth of the business because it
generates competitiveness in market. With the help of innovation and invention, organisation can
take competitive advantage in the market and generate high profit. So to remove the

misunderstandings of individual it is important that there should be proper differentiation
between innovation and invention. Below is the table that shows the difference between
innovation and invention.
BASIS INNOVATION INVENTION
Definition Innovation is refers to the term
in which organisation
invention can convert into
commercial use of their new
ideas. In simple words,
innovation is conversion of
new ideas into the use of
public (Biotechnology
Innovation Organization,
2016). It is the process in
which organisation add some
values in existing products. It
convert the whole process of
product so that their utility and
uses give different experience.
Invention is the term that
refers to physical creation of
new idea or concept. It is very
important that organisation
should always though about
new things so that they can run
with technological up
gradation. It helpful in
dynamic world that help
organisation to create
something new in their
products or services.
Purpose In innovation process,
organisation need attract
customers so that they can
raise their profitability. It is
very helpful that give small
changes in their existing
products so that they can
innovate their products.
It is complex process as
compared to innovation
because in invention the
organisation need top launch
something new not
modification in existing
process. The main purpose of
invention is to introduce
something new so that
organisation can increase their
market share in the market.

Uses It is used when organisation
need to take competitive
advantage or increasing
competitiveness in the market
so they adopt innovation in
existing products. Innovation
can be executed only when
organisation invent something
new (Borovaya, 2018).
It is applicable in those
organisation which wants to be
lead the market so that their
employees get some new idea
that how they invent new
products for customers. It
really helpful when
organisation want to make
profit making product. It is the
first stage of innovation.
Example Examples of innovations are
successful innovation of
products of Marks & Spencer
that they innovate chilled
chickens into crimplene
cardigans.
Examples of invention are
working prototypes, product
designs, business models, etc.
From the above table, it is clear that innovation and invention is different term that means
they not similar in their meaning. Now it is important that organisation should know the
importance of innovation process that is very helpful for Marks & Spencer (De Leon and
Donoso, 2017). Some of the points are mentioned below that help to know importance of
innovation process:
 Companies Growth: Innovation is the most successful and effective process that helps in
grow Marks & Spencer business in the market. It is very clearly shown in survey of
Boston Consulting Group, that they analyse that 79% of executives claimed that
innovation is one of the initiative that chose by organisation mostly, it comes under top
three initiatives of business. That shows the importance of innovation process in which
organisation feel that they are growing their business well and effectively. Marks &
Spencer is the retailer that need to grow so that's why they always take something
innovative ideas which attract customers. Marks & Spencer has a example of innovation
process because it is the key for their successful business. They transform their chilled

chickens into crimplene cardigans that shows the importance of innovation in their
organisation (Godin, 2019).
 Keeps Organisation Relevant: It is very important that organisation make relevant
product that means it is useful for customers. It is analysed from the research that every
minute more than new websites are created that show the impact of innovation in
business world. It helps in making relevant products for the customers that can change or
improvise time to time with the help of innovation process. Marks & Spencer always
identified the market so that they can improvise or modified their products that shows the
relevancy of their products
 Organisations Differentiate Themselves: It is very helpful when organisation want to
look different from other organisation so that they can lead the market. When
organisation make unique products then they are able to deliver value to customers that
help to achieve loyalty of customers.
P2 Explain how organisational leadership, culture, vision and teamwork can shape innovation
and commercialisation
Innovation and commercialisation both are very important for organisation success and
growth because both are interconnected with each other. None of them are complete without
each other. Innovation is the process in which organisation improvise their products and whereas
commercialisation is the process in which organisation make commercial their innovative
products in the market. It is very important processes to grow their business in the marketplace.
Marks & Spencer has many functions that shape innovation and commercialisation. Those
functions are teamwork, culture, leadership and vision, etc (Lewis, 2017). They all are effect on
shaping of process of innovation and commercialisation. It can be clearly shown in the below
points that how they are shape both processes:
Vision: For Marks & Spencer employees it is very necessary that they should know about
vision of organisation. Because without that they are unable to innovate their products and
services. It also affect on commercialisation process because without vision or gaols of
organisation they are not capable to choose their target market and take a right decision of
commercialise products in market.
Leadership: Leadership is the important term that is used for encourage and motivate
employees so that they can go for idea of innovation. Marks & Spencer leaders always motivate

their employees so that they can innovate products which attract their customers to purchase
more and more goods. Leaders are the person who finds those employees that have lack of
technical skills so that they can give proper training and developing programme which increase
their knowledge and skills. When Marks & Spencer commercialise their products so they need
their employees have enough skills and knowledge that they make effective marketing strategies
to commercialise successfully (Mansour and Barandas, 2017).
Teamwork: For both process, teamwork is very necessary to implement successful
because it enhance effectiveness of innovative products. When Marks & Spencer innovate their
cardigans so they need proper teamwork that make their process successful. Commercialisation
process needs a marketing team that can make implement strategies effectively so that their
products become successful.
Culture: Culture is the base of making their ideas practically and adaptable. Because for
Marks & Spencer they need a good culture in their organisations so that they can make their
innovative and apply on their people that show the result. Culture plays a important role in
organisations functions because if it is not appropriate then company face conflicts between
employees that effect both process innovation and commercialisation.
From the above discussion, innovation and commercialisation both are affected by the
functions of organisation that they should be make clear visions, having teamwork, good culture
and effective leadership style. All function gives great impact on the success of innovation and
commercialisation (MohammadPoormir and et. al., 2020).
TASK 2
P3 4P’s of innovation and innovation funnel
Innovation is also a practical aspect which requires its own principles in order to build a
new product with new techniques. It must be evaluate by its 4 P's that describes every function
of product that must be considered while converting raw material to a new finished output. It is
an essential factor to take into an organisation and analyse to the best of factors to make
innovation beneficial into the market.
Product: It is first and vital element of innovation through which a company offers its unique
quality into market. By making new or propound changes into their product. So that it could take
a new face and a new place in the mind of customers. Marks and Spencer follows this strategy

under their marketing mix. The company is specialised in making distribution of men, women
and kids clothing by launching new innovations and categorises into their product at frequent
level.
Process: An organisation must choose and operate effective process for making product at
innovative aspect. Process involve deciding a new product or changes to an existing product,
after that formulation of strategies to make it unique from their competitors or add some extra
features so that customer gets urge to consume products again and again. A successful product
goes with a successful production plan and and product cycle which describes its consistency ,
quality and innovation into it. Marks and Spencer evaluate their process by indulging employees
and mangers into decision making so that several ideas and new concept could come up and
being used to make effective product which gain competitive advantage into market (Prentice,
Brent and de Kock, 2020).
Position: An organisation analysis the best place to put their product at first place into the
market. Pace defines a companies overall turnover and growth via more customer involvement.
More would be the customer reach, the more sale would be increase. Also, the position must be
maintain image and easy to reach at customer demand so that they could make their more
purchase. Marks and Spencer has followed these strategies at its best as it operates 1000 plus
stores at national and international level. It involve with innovative aspect of making possible
deliveries and logistics for their product distribution through their own website and social
channels that creates global awareness and presence of companies product.
Paradigm: This principle of innovation is the most significant of all. An organisation not only
operates and perform to make products, that would not be enough to make sales and and reach to
customers. paradigm is necessary to make aware about what has came into the market and
through which specific company through its brand. In this context, employees face a lot of
hurdles in launching new product into the market through which they need to adopt new skills,
go through with training programmes and make a deep study regarding competition of the
market. There arises requirement of creative mindset and a personalised experience at workplace
to better understand competition and develop new and innovative product. Marks and Spencer
indulging their efforts to utilise their resources at it best in mainly clothing and food services.
Where the competition is high and consumer makes its possible reach. These categories of
products are going with market trends and customer taste.

These principles of innovation are making their best contribution in growing with full of
creative, and unique world, where organisation only get success through innovation. For which it
is necessary to analyse these principles that has significant relevancy towards goals and
objectives.
P4 Development of frugal innovation
Frugal innovation is a base work or could say a procedure and element through which an
organisation would be able to analyse how to be effective in their new or existing product and
make fuller utilisation of scare resources. This tool of innovation has helped with cost affection
and rebuilding product by cutting spare cost of production that leads to low price and customer
satisfaction. Many organisation adopt this innovation technique and make use of their tool. The
best and most effective tool is commercialisation which helps to get a new aspect of developing
products and services and give it a new brand image (Prifti and Alimehmeti, 2017). This creation
of innovation as per this theory creates a positive impact over companies image. In context with
Marks and Spencer, it has accumulated with commercialisation which make customers ready to
avail its benefit at their convenience. These are mainly based on four stages which is described
below:
Analysis of fugal theory: There is the requirement of analyse and go through with organisation
operations and its needs to be effective in terms of cost reduction, efficiency in product and
reducing spare cost wherever necessary. Frugal tool will be the best option to make changes
when organisation goes with inefficiency and cost consumption.
Reducing problem: Problem of cost and new product development could come to an end by
gathering all the available resources such as employees, suppliers, mechanism and funding at
one source. So that it could get minimise its efforts and produce a product with best ideas and
cost effective techniques.
Reducing patterns: Patterns defines the systematic aspect of product which organisation has
performed at their past operations. So that by analysing the problems and identification of
requirement could reduce irrelevant ideas and insignificant patterns would not be taken any more
(Prokopenko, Holmberg and Omelyanenko, 2018).
Pattern system: Into this last stage of innovation, improper ideas and concept would neglected
and correct one would be selected to make further proceedings of development of product.

These stages are essential to make innovation and development into and organisation
which is the duty of R&D department to make proper research and make desirable outcomes.
Frugal innovation and organisation
under this stage, it will reflect the importance of innovation into an organisational context
through successful ways.
Product development: Marks and Spencer focus on new and innovative product by aware at
make use of available resources to get first initiative into the market. The brand signifies its
quality, cost and life long aspect of their product.
Market analysis: It is needed to first analyse the market and its trends before engaging in
development, Marks and Spencer use frugal innovation to research about market through their
campaigns and vocal preference of customers.
Use of resources: This aspect makes the organisation to come up with effective techniques
which does not promote wastage of resources and focus on make its best use into making a
product successful with innovative criteria (Roganova and et. al., 2019).
Generation of ideas: Marks and Spencer should involve their employees and all the human
resource to generate creative ideas and innovate products, grow changes, and set a new image of
the brand into market. This fugal innovation theory is helpful for overall growth of workforce
and workplaces.
In past years, Marks and Spencer adopted patterns of their product cycle which defines its
use of recycling product and promote strategies for discounted offers through which customer
ease to make their purchase. Their innovation strategies include offers, trends and new designs
into clothing apparels.
TASK 3
P5 Commercial funnel and development of a new production
New product development (NPD)
Organisations are moving with a race into competitive market which enables and
motivate them to being productive and qualitative into their product and services. They always
try to find creative ideas which could make their operations successful and profits would get
rises. Making a product is not an easy task as it seems, but it requires a lot initiative efforts to
generate it in the most possible outcome. Every product goes with strategic planning in order to
get sufficient advantage into market place. New product development enables innovation as per

the modern trends. In context with Marks and Spencer, they evaluate their operation and make
product line, set departments. They follow some effective stages which are described below:
Idea development: It is the first sage of thinking about idea of [product by \setting up its texture,
size, proforma, lookout and taste into an unique aspect. This require creative thinking that makes
it differentiate from other product. Here departments of Research and and finance are play most
vital role in deciding its cost with relevant innovative techniques.
Analysing the concept: Under this stage, idea gets analysed from all the respective of market
directions that open ways for market research, customer demand and elegance, modern and
innovative trends and other technologies. Analysing these concepts make the idea successful and
could be practically evaluates into market (Sewalt, 2017).
Analysing market: Marks and Spencer first analyse the market and individuals demand by
taking personal feedback, get in touch via questionnaire and acknowledge their requirement of
particular taste or design. They make their innovation after analysing the market.
Developing product: By successfully analyse market and trends, the next stage is to move
product with manufacturing process with efficient and planned techniques. Development of
product ned to be completed at specific time and with sufficient quantity so that organisation
would not face issues of outdated trend and loss of dissatisfaction of customers.
Commercialization: It evaluates ways or product promotion into large market and fulfil the
market with new product. This step require creative aspect to launch and scattered product which
reflects an attractive image for customers. Marks and Spencer assist market establishment
through digital and e-commerce sources.
Commercial Funnel
It is a criteria of developing new products by differentiate the market into various
segment as per demographical, geographical factors. This factors makes an organisation evaluate
with customers and their utility power. Commercial funnel is the idea of generation, valuation of
goods and services in terms in critical ans reasonable thinking. By using commercial funnel
companies could face market challenges and uncertainties through effective ways because their
product response makes their identity strong and consistent. Marks and Spencer use this concept
in their different departments of clothing, food, home furnishing and other outlets. There get
their success and brand reputation by driving these essential factors: