The purpose of this report is to evaluate effectiveness of innovation in business context. These kind of practices will enable an organisation to implement desired changes in their business practices in order to attain maximum growth opportunities.
- Provide a description over innovation and analyze different between invention and innovation.
- Analyze different types of innovation in the context of Apple.
- Identify the process required to commercialize innovation in Apple.
- Discuss methods of protecting ideas and its advantages and disadvantages in business context.
LO1. Innovation and Difference Between Invention and Innovation
P1 Innovation and its importance to staffs
Invention and innovation are entirely distinct aspects. Invention is the initiation of a new product or service in the market while when a product is upgraded by adding certain features in it or services are improvised to meet consumers’ demands, it is known as innovation (BESSANT & TIDD, 2015). Marketers adopted innovation within an aim to improvise a product or a service that already exist in the market or when the product or service has already been invented. In the context of HR Solutions (MATTHEWS & BRUEGGEMANN, 2015). Example of Apple Inc. can be taken while explaining about innovation because Steve Jobs has made significant contribution to innovation in relation Apple Inc. The most remarkable innovation of Steve Jobs is the launch of iPod of Apple (Wonglimpiyarat, 2012). There are about 1.4 million users of iPod across the globe which has witnessed popularity since its launch. Apple’s iPod has been the number one product on terms of generating profits and revenues and from the perspective of unit sold. Not only its attractive look has facilitated it gaining tremendous popularity, but other features such as storing capacity, sleek design, integrated with upgraded technology, availability and mobility are some of the other key features that have made won hearts of millions (Cusumano, 2010).
From the example of Apple it is evident that innovation is a strategic move that is adopted by organizations in order to meet customers demand (Jun & Sung Park, n.d.). Upon understanding the growing interest of people towards advancement of technology, Apple has launched iPod targeting music lovers across the lovers. The innovation has been successful and the product has become successful in winning a wide array of customer’s satisfaction (Heracleous & Papachroni, 2012). With product or service innovation business organizations are likely to be more efficient in engaging its staffs to generate innovative and creative thinking that not only help them build a work environment of engagement and active participation but staffs are positively motivated when their innovative and creative thinking are acknowledged and promoted in an organization. Staffs in recent times prefer working with organisations that allow them with challenging and innovative tasks where they can integrate their skill and competence rather than involving in repetitive and boring jobs (Holsapple, 2013). Hence, innovation allows staffs work against challenges and in a more innovative work environment.
M1 Analyse different sources of innovation and way to foster a culture of innovation
A number of sources contribute to the innovation of products and services. Business organizations plan for product and service innovation in order to meet unexpected demand of their customers. Every organizations in this global competitive market has been striving to achieve competitive advantage by meeting their customers’ needs and developing products upon the needs their needs. With an aim to meet ever-changing consumers demand companies have been developing innovative products and services continuously (Bloom, et al., 2014). To have successful organizational change management it must have available staffs and other required sources for the innovation. Any changes in the system or process of a business organization realise the need of innovation within the organizational procedures and operation. For instance if an organization needs to meet organizational service development it need integrating ICT. Innovation in the organization procedures and operation is adopted to develop more effective product and services.
Not only are the demands of the customers changing continuously but market also has been witnessing continuous change where organizations are needed to implement innovation to meet those market changes (Arvanitis, et al., 2013). Knowledge upgradation is another source of innovation which enforces business organization to adopt innovative process and systems so that they can improve their productivity and performance in meeting global customers, for example Kiosk machines are used in MacDonald’s, Greece making consumers order placing procedure easy and less time consuming. Innovation in business organization are supported due to the change sin demography such as person age, education and background support innovation in the market.
A culture of innovation can be fostered when collaboration and creative thinking is rewarded and encouraged. With effective leadership styles, organizational leaders are likely to develop a culture of creative environment where employees are allowed to generate creative and innovative ideas that are likely to facilitate organizations achieved improved performance and productivity. Effective team development help organization generate innovation and creativity therefore team development is the major role that organization must focus on in order to build an innovative work culture.
D1 Critically analyse how innovation is developed, embedded and measured
In an organization, need for the innovation is communicated will all the stakeholders so that they are aware of the purpose of the innovation and how the innovation would benefit the organization as well as the stakeholders. With the participation of all the stakeholders within a business organization, innovation is developed. In order to take in the innovation process, staffs are encouraged and motivated so that they be the significant part of the process. A number of barriers to innovation prevails in organizational context those must be addressed so that a successful development, of innovation can be ensured. Followed by communicating the potential effectiveness, innovation is embedded within a business organization (Cassia, et al., 2012). Nevertheless identifying barriers to organizational innovation becomes difficult when employees are reluctant to share their feelings and opinion about the innovation.
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