Innovation and Commercialization Strategies in United Biscuits

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BUSINESS INNOVATION & COMMERCIALISATION
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Executive Summary
The current assignment outlines the importance of innovation in context of United Biscuits.
In the first part, the differences between innovation and invention have been mentioned
within the report. The alignment of vision, leadership and culture pertaining to launch of
gluten free chocolate chips cookies within United Biscuits are mentioned. In the next part, the
4P’s of innovation and innovation funnel for outlining various steps for launching gluten free
cookies in United Biscuits are presented within the report. Furthermore, development of
frugal innovation such as Toyola in Ghana and application of new product development for
commercial funnel have been mentioned. A business case study regarding innovation product
in United Biscuit are outlined. At the end, several ways to protect intellectual property rights
of United Biscuits are mentioned.

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Table of Contents
Introduction................................................................................................................................4
LO1: Explaining differences within innovation and invention..................................................4
Explaining innovation and analysing its importance to united biscuits in comparison to
invention (P1).........................................................................................................................4
Description of Innovation...................................................................................................4
Description of invention.....................................................................................................4
Differences between innovation and invention:.................................................................5
Importance of innovation in comparison to invention in united biscuits...........................5
Outlining ways vision, mission, leadership, culture and teamwork affects innovation and
commercialization (P2)..........................................................................................................6
LO2: Outlining different types of innovation............................................................................6
Explaining 4Ps of innovation and using innovation funnel for examination and shaping of
ideas (P3)................................................................................................................................6
Explaining development in frugal innovation (P4)................................................................8
LO3: Discussing process required to commercialise innovation...............................................9
Outlining importance of commercial funnel and application of New Product development
(P5).........................................................................................................................................9
Building an innovation case study for United Biscuits including its funding (P6)..............11
LO4: Evaluating range of methods for protecting ideas for innovation..................................13
Evaluating several tools that can be used to develop, retain and protect knowledge and
intellectual property (P7)......................................................................................................13
Conclusion................................................................................................................................16
References................................................................................................................................17

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Introduction
An organisation must have different demands, which they need to introduce in their pre-
existing products and services. This will lead to obtain the maximum satisfaction from the
customers. On the other hand, this introduction of changes also helps them in having the
competitive advantages over others in the market. In this study, an overview was done on the
method of innovation and invention, that an organisation is aimed to introduce in their
product. Here, the selected organisation is United Biscuits, which is a famous company in
London for making of different snacks. The use of innovation and invention in this
organisation in launching of gluten free chocolate chips cookies are identified in this context.
Besides, different types of innovation and way commercial innovation can be performed are
analysed in this study. Lastly, the protection of the intellectual property of the organisation is
discussed
LO1: Explaining differences within innovation and invention
Explaining innovation and analysing its importance to united biscuits in comparison to
invention (P1)
Description of Innovation
Innovation refers to the development of new idea regarding a product or services. This can be
regarded as a creative thought to make introduce a better method or solution to make the
ongoing thing in a better way. According to Kim et al. (2011: 565), this innovation brings
new start to an organisation and this often leads towards the success. This can be come in the
form of introduction of new and effective products, meeting all requirements and market
demand, introduction of better technologies, different service methods and others. There must
be some drivers, which directs or lead an organisation towards the innovation, which can be
thinking in a different way.
Description of invention
Invention refers to the process of bringing the idea into actualization. It refers to the overall
process that helps the idea to develop into success. As opined by Huizingh (2011: 5), the
invention refers to the secondary process, where the idea of innovation comes in a form of a
product. This can be the complete remodelling of the existing services or the existing product
with a new one or the introduction and implementation of newer technology into the pre-
existing one. However, all of these are aimed to make an improvement of the pre-existing

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services or product. In addition, it can be referred as a way to bring the new product in the
market in a successful way by shaping it according to the objective.
Differences between innovation and invention:
The terms innovation and invention come together in terms of a change in the pre- existing
product or services served by an organisation. However, Lindič et al. (2011: 185) commented
that there is a small difference in between these two terms, cased on their actions. The
innovation is the first step of introducing a change within a pre-existing product, whereas the
invention refers to the process by which it can be implemented in the pre-existing one. In
context to an organisation, the innovation refers to the new and different thinking, which
often comes from different driving forces. On the other hand, Micheli et al. (2012: 55)
commented that after thinking differently, the process by which the idea comes into
actualization is called as the process of invention. Thus, it can be concluded that in case of
adapting a change, the introduction of the change is done by innovation, whereas the
implementation of the change comes by invention.
Importance of innovation in comparison to invention in united biscuits
“United Biscuits” is a famous British food brand, which manufactures different kinds of
cookies and biscuits. The company is situated at London in United Kingdom, and managing
their business over 71 years. The principle attraction of the company is their wide range of
sweet and salty snacks, which are widely accepted by a large group the population. However,
at that time, the company is intending for launching of a new food item, which is gluten free
chocolate chips cookies, mainly for the kids. This will help the company is attaining a
business success and having a competitive advantage over others. As opined by Lowe et al.
(2012: 55), there are several examples of glucose intolerance among the customers, for which
they are avoiding the cookies. As gluten is essentially formed during the making of cookies,
it often causes the lack of acceptance. However, it can be resolved by launching of the new
product in market, which would definitely be accepted by the customers.
In case of launching the gluten free chocolate chips cookies, the target population is the kids
of the country, among whom the products is mostly accepted. In that case, the innovation is
mostly important, as the thinking of the population who are avoiding the product is very
much important Aarikka-Stenroos et al. (2012: 200). This leads to the innovation of the
product, which would help them in having success over others. However, the invention still
has the importance in that case, as way it comes to the market is very much important. The

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segmentation of the market and making market research is estimating the amount; all is
included under the act of invention. Conversely, the invention helps the organisation to think
out of the box so that it can reach to a large part of the customers (Carayannis et al. 2016:
1140). Thus, it has more importance over the invention, because, the invention would not be
possible if innovation does not take place. Therefore, in order to provide a competitive
advantage over others, the innovation has the greater importance over invention in the united
biscuits.
Outlining ways vision, mission, leadership, culture and teamwork affects innovation and
commercialization (P2)
The innovation helps the organisation to make a difference in their services from others to
obtain a competitive advantage over others. In case of United Biscuits, the principle mission
of the organisation is to reach a large part of the customers by introducing their wide range of
snacks (Havlíček et al. 2013: 60). The vision in this case is to make innovative ideas in their
snacks, which helps them in meeting their objective more easily. This can be performed by
introducing continuous innovation and implementing these in their products. This will not
only help the organisation to satisfy a large part of the customers but also helps them in
having competitive advantage in the market.
In this case, the leadership plays the most important role in introducing the innovation in
products. In addition, the teamwork also required to make the task completed. A coordinated
activity of effective leadership and teamwork, help the organisation to invent the innovation
in their product.
LO2: Outlining different types of innovation
Explaining 4Ps of innovation and using innovation funnel for examination and shaping
of ideas (P3)
Innovation involves with development and shaping of ideas that are utilised for making new
products and services. As outlined by Akgun et al. (2017: 75), the novel ideas have to be
realistic and cost efficient in order to meet the demands of the customers within targeted
market and ensure high returns to the organisation. In the recent times, the United Biscuits
aims to launch their innovative product i.e. Gluten free chocolate chips cookies within the
British market. The 4P’s of innovation helps in analysing the validity and feasibility of the
innovative idea. The 4P’s of innovation for United Biscuits are outlined as follows:

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Step 1: Paradigm Innovation
This refers to planning of processes that will be implemented within the organisations in
order to apply the innovative idea for manufacturing of its products. As per the views of
Bessant and Tidd (2015: 552) within this step, it is important that all the threats and
challenges to the innovative idea would be assessed prior to their application within product.
As far as United Biscuits is concerned, the mangers will have to conduct a market research
regarding processes to be applied for manufacture of new range of cookies. Moreover, they
will have to seek out for threats that appear owing to competitor and changing trends of
market.
Step 2: Product Innovation
This refers to the new features and changes that will be offered by the company within the
launched product. In this context, United Biscuits aims to increase the sales of their products
and be a notable name within the market through launch of their new range of gluten free
cookies (unitedbiscuits.com, 2018). This will add to competitive advantage, as demand of
customers who are allergic to gluten will be fulfilled.
Step 3: Process Innovation
This encapsulates the protocols through which new products will be made available to the
customers. Changes in logistical process and advertisement strategies ensure that products
properly reach to customers (Clauss, 2017: 392). The United Biscuits makes sure that they
create alliances with logistical companies in order to make products available within various
retail stores.
Step 4: Position Innovation
This refers to the piston that the organisation strives to achieve within the market. The United
Biscuits want to launch their new range of cookies in order to target a particular segment of
customers and increase its position within food market. Moreover, through addition of
chocolate chips, the company strives to target a wide segment of customers and achieve
competitive advantage.
Innovation Funnel within United Biscuits
Innovation funnel helps in outlining the feasibility and main advantages of the innovative
idea. In addition, it helps in filtering and removing all the impractical processes that might

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reduce the efficacy of innovative idea. The wide part of funnel accepts all the ideas for
developing new products. In the narrow part of funnel, many aspects of ideas are refused and
only the realistic points are accepted. In the next step, the ideas are implemented in process
for development of products and accordingly resources are collected. The protocols that are
involved for developing gluten free chocolate chips cookies in United Biscuits are outlined as
follows:
Objective Task involved
1. Identification of
opportunity
This involves proper market research and analysing the
demands for product. Within UK, there is a need for gluten
free cookies amongst allergic customers. In addition, the
company will aim to create a sustainable business model to
ensure continuous development.
2. Creation of ideas
that are based
upon insights
It is important that United Biscuits create a customer base
and targeting market segment (unitedbiscuits.com, 2018).
This required critical thinking about specification of cookies
in order to make them appealing to customers.
3. Conceptualization The ideas that were developed in previous stage have to be
conceptualised for application in production process. This
can include packaging samples and advertising strategies.
4. Benchmarking of
ideas
This involves benchmarking of ideas that forms to be most
feasible. United Biscuits may distribute free samples to
customers in order to analyse the applicability of ideas.
5. Go or Do not Go Within this step, the managers of United Biscuits have to
filter out the ideas that are not feasible and stop their
application (Alsanad and Abdel-Razek, 2016: 65).
Moreover, the cost of launching and their strategies have to
be decided in this step.
6. Launch After all the steps are completed, the product has to be
released within the market.
Table 1: Innovation Funnel for United Biscuits
(Source: Learner)

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Explaining development in frugal innovation (P4)
Frugal innovation implemented within products of multinational companies in order to sell
them in developing nations with scarce resources. As stated by Maine and Seegopaul (2016:
487), frugal innovation products are sold within developing nations by removing unnecessary
expensive parts or features. Such kind of innovation serves the dual purposes. It makes novel
things available to the customers as well as improves the economy of the country as many
multinational companies increase their functionalities. Products within frugal innovation are
developed based on ideology and expenditure power of the customers.
Within frugal innovation, the utmost importance is laid on the demands of the customers. One
of the notable examples of frugal innovation is Toyola Efficient Charcoal Cook Stoves.
Toyola Energy Limited was started in Ghana in 2003 with the aim of creating sustainable and
environmental friendly cooking stove alternatives to the poor people of Ghana (energy-
access.gnesd.org, 2018). Many people within Ghana used to cook on charcoal stoves that
were insufficient and polluting. Moreover, the cost of charcoal proved to be burden for
people. The Toyola group changed the design of tradition stoves and utilised ceramic plates.
Moreover, the stoves are fuel insulated and that reduces amount of charcoal required for
cooking (Alsanad and Abdel-Razek, 2016: 65). This has reduced economic burden upon
families and reduced health risks owing to charcoal fumes. Moreover, the company has
created a huge employment opportunity for local people. It is evident that United Biscuits
should also implement certain frugal innovation such as low cost cookies in order to improve
their sales within the globalised market.
LO3: Discussing process required to commercialise innovation
Outlining importance of commercial funnel and application of New Product
development (P5)
Commercialization of the products is initiated in order to increase their sales within the
market. It is through the instruction of notable products that reputation of organisation is
enhanced and continuous development is ensured. As outlined by Fang et al. (2015: 67)
commercialization of products is initiated by conceptualization of new idea pertaining to a
product and it is implemented within the product through expert planning and
brainstorming.there are various steps involved within commercialization of products such as
launching of products within the market, production processes and feedbacks of the customer
regarding new product. The main objectives of commercialization can only be obtained by

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effective advertisement and marketing strategies, proper distribution of innovative products
and improving the quality of customer services. In this regard, it is important that United
Biscuits implement commercialization techniques such as advertisement and providing
samples to the customers in order to make them aware of the new products within the market.
Commercial funnel begins with initiation and conceptualization of novel ideas regarding a
product. In the narrowing range, many of the ideas are refined and filtered out, as they do not
fulfil the feasibility criteria. In this context, new product development is based upon the
concepts of commercialization funnel and help in effective launch of new products within
market. The innovation managers within United Biscuits strive to launch new gluten free
chocolate chips cookies in order to improve its customer base within UK. The introduction of
new range of products help in meeting the changing demands of the market and would be
based on the value proposition of the customers (Alsanad and Abdel-Razek, 2016: 65). The
commercialization funnel for several processes within new product development for United
Biscuits is mentioned as following:
Key Stages Details
1. Generating new
ideas
Initially several ideas pertaining to specification of products
have to be created. In addition, the composition of product
has to be analysed and planned.
2. Evaluation of
Ideas
Several barriers and problems within the formulated ideas
have to be analysed. This involves production and
manufacturing processes by innovation managers within
United Biscuits.
3. Concept
Definition
In this stage, the demands of gluten free cookies and the
technical machines required for their manufacturing have to
be evaluated (Alsanad and Abdel-Razek, 2016: 65).
4. Strategic Analysis In this step, it is made sure that the new product is created in
alignment to the aims and objective of the company.
Moreover, the potential of gluten free products within market
of UK are analysed by the innovation managers in United
Biscuits.
5. Product
development and
testing
Here. The prototype of the cookies is created and free
samples are provided to the customers. Subsequently their
feedbacks and views are collected for further analysis (Maine

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and Seegopaul, 2016: 487).
6. Market Testing After receiving feedbacks, the products are improved and
modified according to demands of customers. The views of
stakeholders are collected and benefits of launching new
product within market of UK are outlined.
7. Commercializatio
n
Various advertisement and commercialization of product is
initiated. This can be done by using banners, advertorials,
fliers and using social media. This helps in creating
awareness amongst the customer regarding specifications of
the product (Alsanad and Abdel-Razek, 2016: 65).
8. Product Launch Lastly, the innovation managers of United Biscuits have to
launch the product into market on stipulated date. The prices
are also decided and applied for the products.
Table 2: Commercialization funnel for New Product Development in United Biscuits
(Source: Learner)
Building an innovation case study for United Biscuits including its funding (P6)
Budget forms to be important criteria for innovation process. As mentioned by Manzini and
Lazzarotti (2016: 565) in absence of proper monetary resources, the innovative ideas cannot
be implemented and subsequently development of products is hampered. It is important for
innovation managers within United Biscuits to identify all the potential resources for funding.
It is through their involvement that all innovation in products and paradigms can be initiated
in a proper manner.
Source Time length Specifications Impact on company
Equity Shares Long Term Ordinary shards
of the company
and the part of
shares that are
held by
stakeholders
contribute to this
funding. Within
High

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United Biscuits,
this is most
helpful source of
funding as it has
many
shareholders.
Preference Share Medium Term This involves the
capitals that are
paid to specific
and important
stakeholders such
as investors on
incurring profits.
This are paid
before common
shares are
distributed.
Low
Trade Credit Short Term This involves
resources and
funding that are
received as loan
prior to launch of
new product.
Many investors
and credit
companies show
investment within
United Biscuits as
it forms to be
notable company
within UK
market. This
forms to be basic
High