Importance of Innovation in Comparison with Invention

TASK 1

P1. Importance of innovation in comparison to the invention.

Innovation: It is both the process as well as an outcome. The term innovation itself denotes the fact of recognition of new ideas, commodities, services, and processes. Moreover, it can be said that it is the process of translating the ideas or concept into new products or services so as to generate more value in the form of revenue generation for the company. (Abdul Razak, 2014.) It will be beneficial for Ensoft ltd as it will help in increasing the profit margin level, helpful in increasing market share. In addition to this it will be helpful in securing market strategic position. Moreover customers needs will be satisfied and will result in achieving the competitive advantage in the market.

Invention: It is the process of developing something new which has never been made before. . In addition to this it is also the important component of aesthetic and plan creativity. It often extend the human knowledge, experience and ability. Invention is important for Ensoft ltd company as it will help in building brand image in the market by increasing the market share and creating competitive advantage in the market.

Comparison between innovation and invention

Importance of innovation:

Innovative business create changing products, modify existing services and apply new ideas. Ensoft ltd company is also an innovative business as they are specialises in developing all aspects of networking software. (Bogers, M. and West, J., 2012)Like presently they are developing new software for account department in order to make accounting easy and simplified. They keep on trying something red-hot even if it is highly-risky. If the business concern is not innovative they will have to face challenges. Lack of innovation in business concern bring the indirect result for the company such as losing workforce and decreasing action. Therefore innovation cannot be turnabout, but should consider it as an crucial element in the part of plan of action. It should be socially outlook that effect on intelligence and improves problem solving. Many successful companies attain success just because they are adopting innovative practice during the plan of action and Ensoft Ltd is one of them. That said, inventing and innovation are not identical. Invention mainly focus on creating of new ideas and process. It can be said that invention is the result of innovation, not a requirement. Innovation is important for the employees too as it help in building their effectiveness and efficiency. In addition to they they also become more skilled and knowledgeable person who will have to capability to sort out any kind of issues that might take place.

P2. Explanation about how Vision, leadership, culture and teamwork can shape innovation and commercialisation

In order to achieve a successful growth in the market place Ensoft company should make a clear vision of the company to all the workforce.(Chun, D. 2015) Moreover the company should also have best leaders who can motivate their subordinate to work hard in accomplish and developing innovative features among them. Brief explanation about how the vision, leadership, culture, and team work helps in shaping innovation and commercialization in the market place are explained d below:

Vision

It refers to an experience of beholding something that other individual cannot see. In simple term, it can be said that it is a public declaration or a statement which is used to describe high-level goal for the future. Like the vision of Ensoft ltd company is to develop new software in order to increase the market share.(Scholz, N., 2015Sonne, L., 2012) This vision can be achieved only if the company shape their innovation and commercialization into their plan of action. Its the prime responsibility of the manager of Ensoft lts to motivate their individuals and workforce in order to build and develop their innovative ideas and knowledge. Thus, it will be beneficial for the company in achieving the vision that is largest market share as compared to their competitors.

Leadership

It refers to the ability of a leader to set challenging goal by taking decisive action in order to accomplish aims and objectives of an organization. In addition to this it can be said that it is the practical skill of particular individual to lead, guide and influence other individual in order to get work done from them. It can be said that leader plays an important role in order to shape innovation and commercialization within the organization.(Cunningham, S., 2013) So the HR of E nsoft company should select the best leader for the organization who have the skills of innovating new ides. Thus, shaping of innovation and commercialization will help the company in achieving the next best level in the market place. Effective leadership of leader helps in promoting innovation within organisation.

Culture

It refers to the social behaviour and norms which are found in human societies and organization. In an organization culture, is defined as the system of shared values, assumptions and beliefs which helps the workforce in knowing what is appropriate and inappropriate behaviour in the organization. So in order to shape innovation and commercialization within the Ensoft ltd company, manager should make changes in their culture, rules and regulation.

Manager should allow their subordinate to come up with new ideas and their ideas should be taken into consideration while taking decision in order to motivate them to become an innovative individuals. Thus, it will help in shaping innovation and commercialization within the organization.

Team work

It is one of the crucial part of every business organization as it is often necessary for the team members to perform well and to give their best in any circumstances. A team is formed from a group of individuals who share their common goal in order to achieve target task most effectively and efficiently. The manager of the Ensoft ltd company should form team in order to perform each operational activities in an effective and efficient manner. Each team member should come up with their innovative ideas, process and knowledge so as to accomplish the task assigned in an effective way so that it result in increase in the productivity up-to certain level. Thus, it can be said that effective teamwork can help in shaping innovation and commercialization within the organization.

Overall it can be conclude that vision leadership, culture and teamwork plays an important role in shaping innovation and commercialization within the organization. As well as helps in increasing the efficiency and productivity up to certain level. Most important of all it helps in attaining competitive advantage in the market place.

TASK 2

P3. 4Ps of innovation and use of the innovation funnel to examine and shape innovative ideas

Innovation plays a important role in every organization in order to increase the competitive advantage in the market.(Dincer, I., 2017) Ensoft company takes into consideration 4Ps of innovation in order accomplish organizational goal on specified time schedule. Moreover this 4Ps helps to understand where the company is and how innovation can improve product, process, position and paradigm.

4PS of innovation

Product innovation: One of the first Ps of innovation which the Ensoft company takes into consideration is Product innovation. This innovation strategy explains about what the organization offer in their products and services.

Process innovation: This is the second innovation which the Ensoft company takes into consideration.(Mueller, V., Rosenbusch, N. and Bausch, A., 2013) It explains about the changes in techniques and procedure that the company uses in order to create and deliver product and services.

Position innovation: This type of innovation which the Ensoft ltd company takes into consideration explains about the changes in the circumstance in which the product and services are introduced.

Paradigm innovation: It specifies about the changes that the Ensoft ltd company makes in the inheriting mental models which expose what the administration does.

Use of Innovation funnel

It is used to explain the different steps which are carried out during developing a process or product. The major aim of all innovation is to make over processes or creation that meet marketplace needs in manufacturable or profitable form(Ettlie, J. E. and Rosenthal, S. R., 2012) During the new product development process an innovation funnel model is mainly used by Ensoft ltd company so as to evaluate ideas and to conceptualize products. For example Ensoft company is bringing into effect new software for the account department so before developing software in the marketplace, the company uses innovation funnel model in order to examine and manage the development process. This help in better development of the product so that it may result in increase in the productivity for the organization.

P4. Frugal innovation

The term Frugal innovation also known as inclusive innovation,reverse innovation and constraint innovation. As per this innovation technological products are tailored at low prices in order to emerge in the market place. Ensoft ltd company uses this innovation strategy as it helps in responding to the limitations in respect of resources whether it is financial, physical or institutional and uses different scope of methods in order to turn these constraints into an plus point for the company. By making minimum utilization of resources during the development , manufacturing and delivery process or by investing them in new ways, frugal innovation result in dramatically lower cost good and services. Successful frugal innovation for Ensoft ltd company not only low cost but also helps in outperforming the alternative and as a result helps in making available products and services at the large scale.(Evers, N., Cunningham, J. and Hoholm, T., 2014) Moreover it helps in removing non-essential features from the long-lasting products in order to sell it in developing countries. Ensoft company has taken into consideration frugal innovation strategy as it is the structured process which mainly focuses on delivering customized value at planned price points. It also helps in enhancing market by rendering significant opportunity which is only profitable purchased when value position and expenditure structure match price expectation. Moreover The Ensoft company has taken this innovation into consideration as doing more with less is more ecological viable and sustainable than producing over-engineered products.

Overall it can be said that the manager of Ensoft company should take into consideration the concept of frugal innovation as it help in increasing market share and achieving competitive advantage in the market place. This is mainly because frugal innovation strategy mainly focus on producing customized products so that customers satisfaction level are meet.

P5. Importance of the commercial funnel and the application of New Product Development (NPD) processing for commercialisation of innovation.

Commercial funnel

The definition of commercial funnel refers to the purchasing process that organization lead customers through buying of products. It is all bout introducing an ideas which will helps in bringing concentration of large numbers of customers specially those are interested to purchase goods and services. It takes into consideration different steps in order to increase high profit like review and acquiring form, knowing customers needs and interest, assessment of purchasing decision and many more aspects. Ensoft company has taken commercial funnel into consideration in order to increase the promotion of the software for account department that they are launching. Some of the importance of commercial funnel is explained below:

• In order to increase the level of customer satisfaction the manager of Ensoft ltd company should measure all the data collected in an accurate mode so as to draw effective conclusion. This can be done only if the company takes into consideration Coimmerial funnel concept.
• Ensoft ltd company is able to create quality product because of which large number of customers get attracted toward their product and result in increase in revenue generation for the company. This, is done because the manager of Ensoft ltd company has adopted the strategy of using commercial funnel concept.

New Product Development Process

It refers to the process of taking the goods and services from concept to the market. It specifies the series of stages through which the product development process passes through.(Khan, R. S., and et. al., 2014.) It start from idea generation concept and ends with commercialization of product in the market. Stages of new product development process are explained below:

New product strategy: The very first step which the manager of Ensoft company should follow is to develop strategies and plan in order to develop product in the market.

Idea generation and screening:Second step which the manger of Ensoft company should follow while developing new product in the market is to generate the ideas related to the product. How the product can be introduce what types of materials are required to create product all these needs to be taken into consideration. After idea generation manger should screen up all the ideas in order to see which is the best.

Business analysis: At this stage manager of the company makes an investigation about the business analysis growth in the future. Taking into consideration accessible chance of company growth manager should make strategies.

Commercialisation: this is the last step in the product development process in which the manager of the Ensoft company sell their final product and services to their customers. This is the important step as without displaying the product in the market company cannot increase its sales revenue.

P6. Build an Innovation Business Case for an organisation, including ways to access funding.

Every organization must create a business case as it helps in determining aims and objectives of the business concern. So Ensoft Ltd company makes innovation and definite business case approach.which helps the company in accomplishing organizational predetermined aims and objectives in an effective and efficient manner.

For example ensoft company is developing a software which is specifically known as one click software and it is being developed for account department of which the special feature is that through one click manager can get to know what the financial conditions of the business is. This will help the company to overcome from financial issues and to increase the profitability ratio of the company. Business case of Ensoft Ltd company is explained below:

Organisation's vision: The very first business plan that the manager of Ensoft Ltd company makes is the organization vision and its vision is to increase the market share by attracting large number of customers. Manager of the company hold the proper and accurate plan of action which helps in accomplishing organizational objectives.

Target: The second business plan of Ensoft ltd company is that the manger set the target for each team so as to get work accomplished on time schedule. (Kingston, W. ed., 201)Thus, it lead in accomplishment of organizational goal in an effective and efficient manner. The other target of the Ensoft company is to render such software to the company who are facilng financial issues.It also helps in increasing the productivity level of the business concern and helps in achieving the competitive edge in the marketplace.

Customer research: This is the most important step which need to be considered by the Ensoft company while making business plan. The manger of the Ensoft company should allot the research team in order to get to know about the changes in the needs and preferences of the consumers, changes in their attitudes etc. It is done so that the company can produce product as per the demand of customers this helps in generating revenue for the company.

Funding: Capital is the essential element which the manager of the Ensoft company should take into consideration while making business plan. Without proper availability of funds company cannot start its production process neither can advertise the product in the market. So company should purchase some equity shares as this is the most important source of finance in order to start up b business.

Return on investment: It is defined as the performance measurement which is used to evaluate the efficiency of an investment. In addition to this it is used to compare efficiency of different investment. Moreover it directly measures the amount of return that will be receives on a particular investment. So while innovating new software name one click software for the account department the capital invested was 240£ and the expected sale will be 300£, So return on investment is 60£. Thus, it can be identified the the new innovation made by Ensoft company resulted to make profit for the organization.

TASK4

P7. Different tools that organisations can use to develop, retain and protect knowledge and intellectual property.

Innovation is the process of transforming fresh ideas, knowledge and thought in order to develop new product in the market place.(Lember, V 2013) Ensoft ltd company has adopted the strategies to develop innovative features in the workforce of an organization so that it help in increasing the productivity level of the company. Moreover the manager of the company uses some motivational techniques in order to retain and develop workforce like salary increment, promotion, bonus and many more. In order to make their product unique in the market place Ensoft company has adopted and used different tools and techniques in order to retain, develop, protect knowledge and the intellectual prope

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