Innovation is defined as the process of transforming ideas as well as inventions in particular goods and services which create the value and customers will be ready to pay. In business, innovation plays a vital role which helps in often results when specific ideas are applied within an organisation for the purpose of satisfying customers’ needs or wants. Commercialisation also considers a procedure for making products or services available in market place for sale to the public (Aarikka and Stenroos, 2012). Therefore, innovation and commercialisation are very important components that support company in developing as well as creating something to generate profits and revenues in the firm. It has major impact on small and medium enterprises for their development. This report is based on Ensoft firm which is a small software company that is situated in the UK. This assignment will explain innovation and inventions with comparison. It defines the way vision and leadership within the firm and 4ps will also consider in this. Frugal innovation and commercial funnel for new product development explain here. It will build a business case and defines various tools for retaining, protecting and intellectual property.
P1. Explain innovation and its importance to organisation in comparison with inventions
Innovation is defined as a new business idea that individuals bring for producing effective goods or services for satisfying customer’s desired expectations in an appropriate manner. In this, several procedures for converting creativity and innovative ideas into specific goods are included so that company can attract number of people towards products or services. It is essential for retaining the buyers and satisfying their needs effectively. On the other side, innovation is a useful tool that helps in making people loyal and encourage them for purchasing company's products so that sales volume can be increased (Sandberg, 2012). Ensoft is one of the software companies that provides better network services to the people. So, it must be required to consider various innovative ideas and make efficiency in the work so that users can be attracted. It is compulsory due to competitive environment, therefore better strategies must be create for achieving predetermined goals or objectives in an appropriate manner.
Inventions: Inventions refers to the act that design, create as well as find new methods which are not exists in before. This task usually complete by genius and craftsmanship in an effective manner. It generally concern with patent for protecting legally to the intellectual property. It is an essential for developing products and services of the firm (Bagchi, 2010). Inventions is defined as the machine for better improvement of those which are did not found or discover previously. In other words,.
Difference between invention and innovation
Inventions are generally concern with the development of new ideas to manufacture goods or services.
innovation implement ideas or creative thinking for making better goods or procedures.
Invention is based on various theories.
Innovation needed some practical implementation for particular ideas.
In this consider the scientific skills which is necessary for inventions.
Innovations required several skills and qualities such as marketing, technical as well as strategic skills.
Inventions are helpful in developing new ideas and creativity.
It is helpful in improving the existing products or services.
Limited activities are considering for research and development.
Its activities are broad and spread in the business field.
Importance of innovation
- It is very supportive in growing enterprises and small business firms to achieve predefined goals or objectives in an effective manner (Bogers, 2010).
- Innovation is beneficial for raising profits as well as range of production within an organisation.
- It always helps in improving company's performance by producing innovative products or ser
- Innovation increases the purchasing power of buyers by attracting them towards firm and make loyal.
- It is also beneficial for company in providing effective goods and satisfy customers’ needs or wants by adoption of new innovative ideas and inventions.
- Small medium enterprises must be required to adopt innovation and commercialisation for developing the business and creating market awareness among competitors. This will support in raising funds and generating profits through increasing sales (West, 2010). Ensoft also focuses on developing networks and introduces new software applications to provide better services to the target audience.
P2. The way vision, leadership, culture and teamwork shape innovation and commercialisation
Every business firms concentrates on bringing new innovative ideas and creativity for producing unique products that can differentiate from other competitors. Small medium enterprises consider innovation and commercialisation for making a strong position in the market and creating more awareness regarding organisation. These are effective for developing the business and increasing its sales volume in an appropriate manner. It generally refers to create something new which did not produce in previous time so that it will support in attracting number of customers and achieve competitive advantages for organisation. Ensoft focuses on adopting new tools and technologies for providing effective software services and networks to people for fulfilling their needs and demands with impressive ways. There are some elements of innovation such as;
Vision: It usually refers to the statement in which company establish its long term goals or objectives. These are to be set for the purpose of achieve targets in defined time period. The visions of Ensoft company is to create a firm in which bright engineers could work on exceptionally challenging problems all the time. They focus on network related problems and find appropriate solutions for better satisfaction of customers.
Mission: In this consider the short term goals of the organisation for running its operations. It is the statement in which company defined about their desires regarding bringing innovation and effectiveness in the firm for increasing productivity and create wealth in the marketplace (Cunningham, 2011). The missions of Ensoft firm defined as it is an AI oriented software company who wants to develop lead edge software technologies. Their goal is easing artificial intelligence.
Leadership: This is an important component for every firm to get succeed. In this defined the ability as well as quality of influencing human behaviour for the purpose of achieving set goals or targets. It support to innovation and commercialisation that brings in the firm because leaders always focus on adopting new innovative ideas and unique thinking for producing goods or services. Ensoft company is introducing new software applications with help of leadership styles as leaders motivate to employees and encourage them for developing ideas and creativity to make better solutions. It will support in attracting number of customers for getting network services from this firm.
Culture: In this consider the organisational structure and their culture which is set by top management for the purpose of operating business in an appropriate manner. In this consider the value system, beliefs, rules or regulations, norms and policies of the firm for creating and maintaining the working environment and business operations (Porter, 2011). It is very supportive in motivating people that to come with unique thoughts and creative ideas while performing any tasks. Ensoft company follow their culture which is totally free and encourage employees to create something new in software applications.
Teamwork: It is very necessary for every organisation to become successful in the competitive world. Teamwork play vital role in completing tasks and achieving set goals or targets in an appropriate manner. There must be teamwork for adopting new ideas and innovations within the firm. Ensoft company also believes in doing work with bright engineers within in a team so that number of ideas, thoughts and opinions can be get form different employees and targets can be accomplished.
P3 Explain the 4ps of innovation and use of its funnel to shape innovative ideas
Innovations and commercialisation are two major element that support to every firm in developing business and create a better positions in the customers mind at market place. It is an essential that always helps in meeting requirements as well as run organisation in an effective manner. Innovation funnel consider to develop the particular products or services of the firm which is based on economical and manufacturable as well (Ettlie and Rosenthal, 2012). It generally support in presenting the graphical form or structure in which development must be required and also mix the various combinations for making better products so that customers can be treated fairly and effectively. Here are some categories of innovation including product, process, positions and paradigm.
Product: It is the one the most important component where defined about particular product and services as it can be tangible as well as intangible which are provided to the customers for satisfy their needs and wants in an effective manner. Ensoft firm is dealing with various products or services related with networks, software applications and provide solutions of any problems regarding these. Therefore, they are selling various services and facilities to the targeted audiences for increasing maximum level of satisfaction.
Process: In this consider a major process for developing effective goods or services in an appropriate manner. Company follow this model to remove as well as add initial things or aspects to produce unique products or services or update existing one. This process is relevant to manufacturing activities for making better quality of goods or service (Huizingh, 2011). There are various factors which can occur while producing products or developing them so it can affects on their quality and efficiencies. Ensoft company formulated their procedures and provide services regarding networks to the targeted audiences.
Positions: In this, company decided their positions and make strategical for occupy good level as well as strong positions in the market. Ensoft is a small firm which provide software applications services in the UK so they also try to create good brand image among competitors and reach at potential customers. This company focus on finding best ways for adopting new innovative ideas and creativity for making effective products or services.
Paradigm: In this defined that every products and services required updates as it is the responsibility of the firm that make up to date its items so that they can beat with competitors. Ensoft company try to bring new creativity and effectiveness ins their services and engineers are focusing on creating better software applications for satisfying customers needs or wants in an impressive way.
P4 Developments in frugal innovation with examples in an organisational context
Frugal innovation is an essential that help to company in surviving from any risks or uncertainties in an effective manner. Every firm undertake frugal innovation which enhance the abilities as well as capabilities to handle risks while running the business operations. This is an effective tool for Ensoft company because they consider this procedure for reducing costs or expenses (Inauen, 2012). Firm make better plans or strategies to minimise expenses and generate more funds while running business. Ensoft company try to adopting or creating new software applications by motivating its employees and use various technologies in producing services. The frugal innovation can be defined as the flexibility approach that support to the firm in achieving growth opportunities. Here are various principles of frugal innovation that support in increasing brand value among competitors in the market such as;
Improve purchasing power: it is an important tool that helps in enhancing buyers behaviours and their purchasing power by attracting number of customers towards firm in an appropriate manner. Therefore, they consider pricing strategies of services as Ensoft firm is providing various products or services at reasonable costs which is based on cost of production and competitors (Schenker, 2012). It will support in generating more revenues and profits for developing the firm.
Management of available resources: It is must be required to manage entire resources for running the organisation and also get more outcomes through limited inputs or material within the company. Ensoft firm allocate its resources and assign tasks among several engineers so that networks can be provided and productivity increased.
Redesign: Every organisation focus on improving their products and services by adopting new technologies and innovative ideas to make better quality of products and services in an effective way. In this required appropriate study and research for analysing demand and desired expectations for achieving goals or objectives.
Roles of frugal innovation:-
Frugal innovations is very effective aspects that helps in improving particular products and services in the firm. It is an essential for Ensoft company as they can achieve competitive advantages and also attains predefined goals or objectives in better ways. There are some roles such as;
Shape customers behaviours: Frugal innovation play vital role in providing effective quality of goods and services so that they can be satisfied and increase sales volume (Jagoda, 2011). Ensoft better software services or facilities at the reasonable costs for attracting number of customers towards company.
Better Engagement: Company engage its internal and external customers for maintaining long term relationship among them. It support in analysing their needs or wants for achieving future growth.
Beneficial for sustainable solutions: Sustainability can be achieved through frugal innovation within the firm. It is beneficial in finding suitable methods for providing solutions regarding any networks issues in the Ensoft company.
P5 Importance of the commercial funnel and process of New Product Development of innovation
Commercial funnels can be consider as the set of process where potential customers can be identified and also study about buying behaviours regarding particular products as well as services. It can be possible by categories target audiences through appropriate segmentations that support in identifying choices, genders, occupational and income status of buyers (Kilelu, 2014). It also consider the environment study for analysing the demands, needs, new market trends and awareness among people. Therefore, commercial funnel is very helpful for Ensoft company for launching new network services to achieve specific goals.
Minimise costs: It is the biggest opportunity for company that they can reduce maximum costs which generally occurs during productions procedures. Ensoft utilise all available resources by allocating them various activities in an appropriate manner. New innovative ideas and creativeness can control over the costs and more outcomes with in an organisation.
Improve quality: It is an important factor that are responsible for increasing the sales volume and satisfy customers in an effective way. Commercial funnel and innovation helps in improving quality of products as well as services as Ensoft also focus on providing better solutions network and services to people.
Increase profitability: This is also anther benefit of commercial funnel that it support in increasing revenues and generate profits as much as possible by utilising funds and other resources. Good brand image must be required for increasing sales and create positions in the market.
P6 Build an innovation business case and ways to access funding
In this defined that business can be run in an appropriate manner through adaptation of new ideas and innovative things. It must be required a systematic as well as efficient case for successful enterprise (Klerkx, and Leeuwis, 2014). This is beneficial in analysing the several activities and policies regarding firm for achieving set goals or objectives. Ensoft firm always consider the innovative thoughts and creativity for getting succeed. There are number of plans included such as;
Identify and defined organisational objectives: If a company make strategy to adopt new innovative ideas and technologies then they have to first identify the business objectives which support in formulating effective plans and implementation.
Conduct survey or research of market: It is an effective and helpful tool for finding the market situations and analyse trends, competitors and customers regarding their choices, needs, wants and desired expectations so that company can provide them appropriate goods and services (Kim, 2011). Therefore, Ensoft can conduct survey for examine market conditions in a better ways.
Evaluation: This is an essential that support in checking and reviewing about plan as well as its effective executions to get better outcomes. It is the responsibility of manager in Ensoft firm that review and evaluate about all activities for ensuring that it will bring positive results and they can achieve predefined goals or objectives with innovation and commercialisation.
Therefore, for this purpose company required more funds as well as financial facilities to implement plans and strategies within the firm. It is biggest opportunities of Ensoft for adopting planning structure and develop new ideas to attracts more investors towards firm. This company belongs to small and medium enterprises where financial facilities required. Investors can be anyone such as;
Venture capital funds: In this, investors are not interested in taking any kinds of risks as well as uncertainties for running an organisation. Therefore, they ask company about partnership at partial level for the purpose of investing funds.
Bank: Bank is another source for getting funds to run the business operations in an effective manner. They play crucial role in giving financial facilities to the small firms or start ups so that they can be developed (Teece, 2010). It is an beneficial source that helps in executing plans and innovative ideas by getting loans as well as funds so that business can be run in effective manner. Owner have to reveal his plan to the bank after then bank decide to invest or not.
P7 Different tools to develop, retain, protect knowledge and intellectual property
For developing any organisation, government play crucial role for getting success as they have formulated various laws, rules, regulation and legal legislations for protecting companies from outsider. Government give some legal authorities to the every firm whenever they introduce new products and services in the market (Therrien and Doloreux, 2011). There are several aspects that helps in protecting individuals firms from external companies. It can be responsible in restricting exchange or share business ideas as well as entities while producing goods and services by considering several tools and techniques in an appropriate manner. Here are defined some legal authorities that support in providing protections to firms such as:
Copyrights: It is an essential which support to the firm in protection that are provided by legislations and laws of the nations. In this consider the tangible goods or items where protection are provided like painting, films, novels, biopic and photography whether published or not published. It helps in protecting from copiers or ideas stolen of organisation.
Patents: It is also legal authority to the every firm for protecting them from other copiers. In this government grants to the companies for adopting new innovative products or services. In this, every businessmen are authorised some rights to prevent those person who are trying to inventing same products or services and selling without permission
(Chamberlin, 2011). Organisation consider this and take grants from government authority for the purpose of protection from external companies.
Trademarks: It is an essential for protecting firm in an effective manner as they use this for differentiating their firm from another competitors. In this use company's logo, tags, brand name, tag lines or punch lines as well as specials captions for selling their products or services. Government provides licenses regarding protections so that no one can copy or steal their signs or symbols.
From the above based report, it can be concluded that innovation & commercialism is playing very important role corporate world as this helps in creating newer concepts and ideas. Ensoft should also consider and execute such kind of conceptions in their business so that they could develop unique and innovative merchandises and services. This aids them in seeking attention of large number of users towards their services and goods. This report defined about effective innovations and commercialisation that helps to company and achieve set goals or targets.
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