M/508/0494 Innovation and Commercialisation of Megaro Hotel

TASK1

P1) Innovation and its importance for the organisational

Innovations is considered as an effective process which helps the company to develop a new product or service with which they can meet up the demands and the changing requirements of the customers. It helps the company to enhance the value of the products and services which they offer to the customers.

For example: Megaro hotel is planning to introduce such a innovative service in their hotel which can attract more of customers to their hotel. For this they decided to provide pod style rooms in their hotel which is a unique services than any other hotel.

Importance of Innovation: Nowadays every businesses faces stiff competition which is why they have to innovate their processes, products and services. Innovation facilitates the organisation in resolving the issues faced by them, to tackle with the level of the competition, enhance the productivity of the organisation. For Megaro hotel the innovation has various importance which are given below:

• Market the business: Creative idea and innovation helps the businesses to easily market their businesses by reflecting its benefits to the customers. The innovation in Megaro hotel helps them to make their remember the innovative idea (Bogers and West, 2012).
• Beat the competitors: The innovation helps the Megaro hotel to attract the customers which helps them to take the competitive advantage. Also with the creativity the customers can easily identify them which affects the business of the competitors.
• Solve the problems easily: Innovation comes for the problems faced by the companies which helps them to solve such problems. Megaro hotel faces an issue of attractiveness in their services which can be easily resolved by innovating the services.

Difference between Innovation and Invention

P2) Role of culture, vision, leadership and teamwork in innovation and commercialisation

Commercialisation: Commercialisation is a process with the help of which an organisation introduces new product or services in the organisation and thus make it available in the marketplace. With the help of this various strategies are developed which helps the Megaro Hotel to attain the commercial success.

Importance of commercialisation: It has various importance for the organisation as it divides the entire process into different phases so that the implementation can be done easily. It has various importance for the organisation as it helps them to benefit the society by providing new goods and services. Along with it helps them to retain their employees as they have various opportunities which they can avail.

Impact of vision of the organisation, culture, leadership and teamwork on the innovation for the organisation is given below:

• Vision: Visions are the base with which the organisation are established which helps the employees of the organisation to determine their targets. The vision of the chosen organisation Megaro hotel is to provide the quality, reliable and valuable services to the customers. This will help them to introduce innovation in the organisation as to serve the customer firstly they have to attract the customers to their hotel which can be done by them through making their services creatine and innovative. This is how the vision of the organisation shapes innovation (Hermans, Klerkx, and Roep, 2015).
• Leadership: Leaders of the organisation has the capabilities to influence the employees which will help them to improves their performances. In Megaro hotel the leaders make their employees analyse various opportunities which they can avail. They motivate the employees and encourages them to participate in the organisational activities so that they can get their opinions. This shape innovation in the organisation as the employees understand the importance of it.
• Organisational culture: The culture of the organisation defines the values, beliefs and the behaviour of the employees. Managers and the leaders in the organisation focuses on managing the culture so that peace can be maintain and the environment of the workplace becomes cooperative and contributing. This motivates the staff of Megaro hotel to adapt the changes and innovation as they have understanding among each other which facilitate easy sharing of ideas and thoughts. On the basis of such shared thoughts and beliefs the innovation shapes in the organisation.
• Teamwork: People in the organisation works in team so that the achievement of the target becomes possible. In Megaro hotel, the different team are working such as for housekeeping, serving customers at the dining table, team of chef etc. The teams determine their ways of reaching to the targets by taking the mutual consent of all. This helps the organisation in shaping the innovation as the team collectively contribute to the goals. Also they suggest various innovation and the means to implement them with the benefits of such innovation (Aarikka-Stenroos, 2014).

This will help the company to develop the innovative culture in the organisation as the employees has been given freedom to suggest the ways with which they can make their services attractive. The Merago Hotel provides various trainings and conducts seminars, sessions which make staff understand the importance of such innovation and changes. It make the environment and the culture of the organisation innovative and active to adapt the changes.

Sources of innovation: There can be various sources which exerts pressures on the organisation to introduce innovation. Various such sources can be the changes which are taking place in the business environment, changes in the demographics, taste and preferences of the customers etc. Along with this the changes in the perception of the people also become a source for which the organisation has to change.

TASK 2

P3) 4P's of innovation and use of innovation funnel that can shape innovative ideas

Concept of innovation is very beneficial for an organisation as it helps them to keep their position ahead from their competitors. Various types of innovation are existing in current scenario such as incremental, radical and many others. In which, incremental innovation refers to bring changes in existing products whereas radical innovation is based on something completely new like business models, technologies and methods. In order to assess the requirements of innovation in an specific area an organisation can use innovation mix model which is developed by John Bessant and Joe Tidd. Here are describing 4Ps of innovation:

• Paradigm: It consist all the ways and methods which will help the organisation in bringing innovation successfully in their products. By giving focus on this term, Megaro hotel can determine that what and how they needs to implement all procedures so that they can effectively provide hotel services to their guests (Kerschke 2015).
• Process: This define about those factors which have great impact on the delivering methods of an organisation. In this stage, management of Megaro hotel needs to make required changes in their production process so as to provide most effective experience to its guests and to minimise the cost and maximise profitability.
• Position: It defines that where the new innovation of the firm is standing in market. Herein, Megaro Hotel requires to make some effective changes in their process and to give their emphasis on providing quality services at affordable price so that they can attain higher customers attention and can get leading position in the marketplace.
• Product: This define that it is essential for an organisation to make some required changes in their products and services so as to meet the customers requirements effectively. It is same applied to Megaro hotel that they must stay concern for providing most effective stay facility to their guests so that their experience and satisfaction level can be increased.

Innovation funnel : This is considered as most effective approach which is helpful for the companies to make creative innovation and realistic action plan. It considers several steps within that will help the organisation in introducing a new service or process in most significant manner. Management of Megaro hotel can use this funnel in their organisation in such manner:  

• Idea generation : This is first stage in which ideas related to innovation will formulate by assessing all the opportunities and threats which are attach with it. For example, herein Merago will depend on the R&D department to make all the ideas in an optimal manner.
• Concept investigation : At this stage, Merago give ficus on evaluating all the ideas in order to select best one. In this regard, they will check their ideas by considering customers aspects and resources availability. For example, firm will see here that the new idea i.e. provide Pod rooms to their customers will able to get success or not.
• Feasibility study : Herein, ideas will tested from various aspects like technically, feasibly and profitability. Also, risk factor also will consider to make a most significant plan (Miller and French, 2016).
• Development stage : In this phase, Megaro will finally release their new innovation in market in terms to get profitability and sustainability.
• Post release phase : Herein, management will give their focus on taking feedbacks and reviews form the customers so as to determine the success and failure of new innovation.

P4) Development in frugal innovation and examples of how it can be used in organisation

Frugal innovation is the concept that helps the organisation in reducing the cost of the products and services offered by the company. Also it facilitate in reduction of the complexities in the process of the organisation. It actually means to remove the unnecessary or non-essential features from the products or services offered by the company to the customers as it increases the durability of the products and reliability of the services.

For example : Megaro Hotel frugal innovation is so crucial as it will help them to eliminate their non essential services which will save their cost and make their customer satisfied as they provide the crucial services effectively.

Frugal innovation can be effectively be used by the Megaro Hotel as provides various benefits to every organisation. Some of such benefits are :

• It helps to focus on the better quality by redesigning the products and services that are offered by the hotel such as food, ambience etc.
• It facilitate in identifying the ways in which existing services can be provided to the customers in more attractive manner so that their level of satisfaction can be improved.
• It helps in identifying the non essential activities and in developing models which can offer various solutions (Qian, and Haynes, 2014).

The frugal innovation can be used in the organisation with the help of various stages:

• Seek opportunities in adversity: It refers to taking benefits when the situation s are not favourable for the company. This can be done by introducing innovative products as it reduces the impact of the adversity. For example, Megaro hotel can use their pod rooms at affordable prices to attract the customers when the other are charging high prices.
• Do more with less: This says that the organisation must utilise their resources which are limited effectively so that they can improve the customers level of satisfaction. Such as Megaro hotel utilises their limited funds and space in providing the pod rooms.
• Think and act flexibly: In this stage of frugal innovation the Megaro hotel aims to motivates their employees to think positively. Also they gives the authority to their employees to act as per the situations.
• Keep it simple: This stage makes the company focused upon simplicity of the innovation such as Megaro hotel develop pod rooms which are inspired from the spaces of transportation vehicles.
• Include the margin: This stage make the Megaro hotel understand that the innovation must be customer focussed which will help them to improve their customer base.
• Follow your heart: This stage of innovation frugal represents the mindset of the managers and the leaders of the Megaro hotel which helps them to take decisions as per what they have analysed from the situations (Walsh, 2012).

TASK 3

P5) Importance of the commercial funnel and application of new product development

Commercialisation of innovation is a process which helps to identify the viable idea. On the basis of which the research can be conducted on the product and services of the company, also on their processes.

Commercial Funnel : Commercial funnel is a funnel which help to understand the buying process in which the focus is on the customers who are making purchases of goods and services . It will help the company to improve their sales they will get to know the factors which are crucial and considered by the customers while they make any purchase. It will be beneficial for Megaro Hotel as it will help them to analyse the factors which the customer focusses upon while booking the hotels.

Importance of commercial funnel : To understand the commercial funnel is important for the companies as it helps them to understand and identify various factors:

• it will facilitate the managers and the employees of the Megaro Hotel to formulate the marketing strategy
• all the models are not perfect so they cannot be used by the companies as it is, so the commercial funnel will help them to develop a new model which can increase the customers satisfaction
• it will create an understanding for the customers as they have been focussing on their behaviour

New Product Development : New development process is the one which helps the companies to introduce new products in the marketplace. The Megaro Hotel has been developing a different types of rooms for which they have to evaluate various stages of the new product development process:

• Idea Generation : It is the first stage in which the ideas are welcomed from the employees of the Megaro Hotel. It will help the management and the teams to gather various ideas out of which by taking a final call they will decide the one or some most suitable for the hotel. As the organisation is into hotel industry so they have to consider the feedbacks of the customers to generate any idea. On the basis of various suggestion the Megaro Hotel developed the idea of pod rooms in the hotel(Xiao and Liu, 2016).
  
  
• Idea Screening : This is the next phase of the process in which the idea so generated has to be analysed. Such analysis can be done in context of the profitability that it will contribute to the total profits. Along with this various resources of the Megaro Hotel will be identified which can support the idea. Basically in this step the mangers of the Megaro Hotel will identify that whether the idea so identified is viable for the businesses in terms of profitability, resources available etc.
  
  
• Testing Concepts : Testing concept is one of the most crucial and effective stage of the process as in this they will identify the compatibility of the idea with the taste and preference of the customers. On the basis of this various features and attributes will be determined by the Megaro Hotel which they can add on in their services such as with pod rooms they can provides small screen on which they can either connect their gadgets or can use system of the hotel, a window from where they can have an amazing view etc. Such identification will helps the managers of the Megaro Hotel to satisfy the customer effectively.
  
  
• Analysing the need of product development : In this step, various strategies will be formulated by the management with the help of various team leaders. Megaro Hotel has various team leaders which take reviews from their staff for the responses of the customers. It will facilitate them to make their marketing strategies such as promotional mix, various services which are required and demanded by the customers (De Mooij, 2018).
  
  
• Commercialisation : This is final step of new product development in which the Megaro Hotel has to consider all the factors and need to analyse them effectively in detail in order to ensure the success of the innovation. They have to consider the financial projections, various reporting framework with which they can take further steps. On the basis of commercialisation the non essential steps will be eliminated by the company which will help them to reduce the cost for the company.

P6) Innovation Business Case

Business case is a written document in which various methodologies, techniques, strategies etc. will be included that will help the organisations to resolve various issued faced by them. The business case is being prepared for the Megaro Hotel for the innovation of pod rooms in their hotel.

Executive summary: This business case is prepared for the Megaro Hotel which will help them to launch the innovation in their services. In this the details of the innovation will be included and various strategies, sources of funding, opportunities for the growth etc. are identified.

Background : The Megaro Hotel is a boutique hotel which is located in London. The hotel has spacious rooms and various apartments which are uniquely decorated with amazing décor, wall paints etc. Now to make their business more flourishing they are innovating their services by providing pod rooms.

Needs satisfied by the innovation : The innovation which is made by the Megaro Hotel will help them to utilise their space which was not much along with this the customers will have better rooms at lower rates.

Opportunity in the market : Such innovation has not been done by any competitor so they have an opportunity to grab market by launching such innovation.

How will the product meet that need : The pod rooms will increase the availability of the number of rooms for the customers at lower rates in comparison to others. Also this will be something so the customers will get attracted towards it so very easily.

Competitive edge : As the innovation which they have been introducing is such that they can easily take competitive advantage.

Size and growth possibilities : It will help the company to increase their market share by 10% as they expect that such a innovation will attract more of customers.

Target market Strategy : The group which the Megaro Hotel has been targeting is the young people on the basis of their age, income and behaviour.

Promotional strategy : The Megaro Hotel will be promoting their pod room services with the help of social media and through newspaper advertisement.

Measure for effectiveness: To measure the effectiveness of the plan and the innovation the company can compare their actual performances with that of their standard performances which they have planned.

Funding : The sources from which they can procure funds are bank loans, angle brokers etc. The funds that they require is in large amount which is why they have to prepare various documents which they can present before the investors (Micheli, 2012).

TASK 4

P7) Different tool for developing, retaining and protecting knowledge and intellectual property

Intellectual rights are the protection which has been provided to the owners of the intangible property. Such rights are aimed to protect the idea and the creation which can be developed by the organisations. Intellectual property are the activities of mind that has been develop and created as per the capability of the persons who has created. Such properties has to be protected by the company so that it is not copied by the competitors of the company. These intellectual property helps the organisations to take the advantage in competition as they can make their products and services unique with such intellectual property. The tools which can used by the company to protect the rights are :

• Copyrights: This is a tool to protect the creative act or work which aims to provide the security for the original expression of the idea. It gives the right to the creator to keep their work secure and safe. Such rights has been provided for specific period of time after which it has to get renewed. These rights are provided so that the work can be reproduced, distributed and to display it publicly. Their can be various advantages or disadvantages of having copyrights. The advantage is that it helps the creator to protect their work from getting imitated by others or to restrict its use by others. While the disadvantages of the copyrights are that it make difficult to share the amount of work which can make the process simpler (Pellikka and Malinen, 2014 ).
  
  
• Patents: Patents is another from of intellectual property right that helps the owners to take the right to decide to whom they can sell, use, implement. Such rights are given for various invention that is provided for a specific period of time. The advantages of having patents is that risk to being copied and stolen is reduced as the one who did so can be sued whereas the disadvantage of having patents is that it increases the cost for the company as they have to get it renewed again and again.

The Megaro Hotel can utilise such right to protect their services. The copyrights can be used by them as the innovation of pod rooms which they have come up with is creative and this will help them to take the competitive advantage as nobody can copy it.

You may also like to Read - 

• Innovation and Commercialisation by Chilly
• Importance of Innovation

CONCLUSION

It is concluded from the above reports that the innovation is important for the organisation which helps them to take the competitive advantage whereas the commercialisation helps the company to launch their products in the marketplace. To come up with an effective implementation of innovation the company can use innovation funnel, frugal innovation etc. Along with this the 4P's of innovation can also be utilised effectively. 

REFERENCES

Books and Journals

Aarikka-Stenroos, L. and et. al., 2014. Networks for the commercialization of innovations: A review of how divergent network actors contribute. Industrial Marketing Management. 43(3). pp.365-381.

Bogers, M. and West, J., 2012. Managing distributed innovation: Strategic utilization of open and user innovation. Creativity and innovation management. 21(1). pp.61-75.

Collaboration form, idea generation and implementation. Research Policy. 45(8). pp.1660-1671.

De Mooij, M., 2018. Global marketing and advertising: Understanding cultural paradoxes. SAGE Publications Limited.

Hermans, F., Klerkx, L. and Roep, D., 2015. Structural conditions for collaboration and learning in innovation networks: using an innovation system performance lens to analyse agricultural knowledge systems. The Journal of Agricultural Education and Extension .21(1). pp.35-54.

Kerschke, P. and et. al., 2015, July. Detecting funnel structures by means of exploratory landscape analysis. In Proceedings of the 2015 Annual Conference on Genetic and Evolutionary Computation(pp. 265-272). ACM.

Micheli, P. and et. al., 2012. New business models for public-sector innovation: Successful technological innovation for government. Research-Technology Management. 55(5). pp.51-57.

Miller, F. A. and French, M., 2016. Organizing the entrepreneurial hospital: Hybridizing the logics of healthcare and innovation. Research Policy. 45(8). pp.1534-1544.

Pellikka, J. T. and Malinen, P., 2014. Business models in the commercialization processes of innovation among small high-technology firms. International Journal of Innovation and Technology Management. 11(02). p.1450007.

Qian, H. and Haynes, K. E., 2014. Beyond innovation: The Small Business Innovation Research program as entrepreneurship policy. The Journal of Technology Transfer. 39(4). pp.524-543.

Walsh, P. R., 2012. Innovation Nirvana or Innovation Wasteland? Identifying commercialization strategies for small and medium renewable energy enterprises. Technovation. 32(1). pp.32-42.

Xiao, X., Li, Y. and Liu, Z., 2016. Graphene commercialization. Nature materials. 15(7).

UPTO50%

Avail The Benefit Today!

To View this & another 50000+ free

Enter Email

Submit