Technology Management

Technology ManagementUnit 1Learning ObjectivesUnderstanding Science & Technology & Discovery.Types of Technology & Technology PortfolioRelationship of Technology with wealth of nationsFirms Specific KnowledgeManagement of Technology at National & Enterprise LevelTechnology Life cycleScience and Technology Defined Science(fromLatinscientia, meaning "knowledge") is a systematic activity that builds and organizesknowledgein the form of testable explanationsandpredictionsabout theuniverse.Science - a possession of knowledge as distinguished from ignorance or misunderstanding. a department of systematized knowledge as an object of study .knowledge covering general truths or the operation of general laws. The study of natural phenomena . --Websters New Collegiate Dictionary.

Technology Defined Technology: systematic treatment of an art. Technos meaning technique/art/ skill logy meaning study of. technical language application of science the totality of the means employed to provide objects necessary for human sustenance and comfort.

---Websters New Collegiate Dictionary.Technology DefinitionA few of the major definitions of technology include:The process used to change inputs into outputsThe application of knowledge to perform workThe theoretical and practical knowledge, skills and artifacts used to develop products as well as their production & delivery system.The technical means people use to improve their surroundingsThe application of science, especially to industrial or commercial use.Technology DefinitionTechnology is defined as:The practical implementation of learning and knowledge by individuals and organizations to aid human endeavor.

Technology is the knowledge, products, processes, tools and systems used in the creation of goods or in the provision of services.

technology waves17701840189019401990cottonironcoaltransportsteelenergy (oil)microelectronicsmechanisationsteam powerheavy engineeringmassproductionITCyearskey industriesTechnology WaveTextilesWaterpowerCanalsSteam enginesMachine toolsRailwaysSteamships

Electrical & heavy engineeringSynthetic dyesElectricityBiotechnologySpaceEnvironmental technologiesAdvanced materialsCarsAirlinesPetrochemicalsProcess plantsPlasticsMotorwaysWeaponsAluminiumComputersTelecommsSoftwareRoboticsInternetReproduced from Dodgson et al, The Management of Technological Innovation. OUP, 2008. P27.

Science and Technology: Their Natures and RelationshipScience is that form of human activity which is devoted to:-the production of theory-related knowledge of natural phenomena root function is to attain an enhanced understanding of nature.

Technology is that form of human activity which is devoted to: the production of techniques - or technique related intellectual productsroot function is to expand the realm of practical human possibility.

Difference between Science & TechnologySCIENCETECHNOLOGYDeals with natural world.Deals with Human made world.Focuses on understanding scientific laws which already hiddenly exists.Focuses on doing-- application oriented for finding solutions to present problems & future applications.Public & Universal knowledge.Private or Public Knowledge.Scientific research & Discovery leads to increase of overall scientific knowledge.Technology development leads to innovation of new products, services or processes.Utility of Science doesnt change with time i.e. no death/ decline stage.Technology of product/ service or processes undergo changes like the biological concept of a life cycle( birth, growth, maturity & death).Scientific research carried out without considering cost vs. benefit analysis.Technology development guided mostly by cost vs. benefit analysis.Science useful for all.Technology useful for specific owners/ users.Components/ Parts/ Constituents of TechnologyTechnology consists of interrelated component elements or maps as follows:Technoware- hardware embodied technology.Humanware- Person embodied technology( skills, experience.)Infoware- Documents or specifications embodying technology including process specifications , prodedures , theories of know-how and know-whyOrgaware- Includes organizations structures, policies, internal & external linkages in and through which technology operates as ongoing system.Types of TechnologiesGeneric Technology- Common use , greater the range of application in industries, more generic.

Basic Technology provides flexibility to particular users.

Key Technology- Proprietary and indigenous to the firm, provides competitive edge , Unavailable for commercial use.Types of TechnologiesEmbodied Technology- encapsulated in products and physical equipments.

Disembodied Technology- Intangible in nature, no particular character, involves social & management sciences. E.g. Quality assurance program in a factory.

Types of TechnologiesSystem Technology- other technologies evolve by combining information technology for development of different applications. E.g. computer-aided flexible manufacturing system

Infra Technology- group of technologies which support R & D, manufacturing & marketing functions in the industry.Types of TechnologiesHybrid Technology- technology evolves by combining features of different technologies. Hybrid technology combines a rechargeable energy source (i.e. a battery) with a combustible source (I.e. an engine). Hybrid technology is employed in vehicles such as cars, buses and trucks to cut fuel costs and to meet goals for emissions reductions. Implementation done on a more wide scale basis, for example, in fleets, ships, and trains.

Emerging Technology- technology is under advanced development stage , probability indicates high technical success. E.g. Bio-genetics, Nanotechnology.Technology PortfolioNumerous technologies are embodied in a portfolio of technology, e.g. products or manufacturing processes, automobile technology.Technologies are interrelated and influence each other.Technology portfolio needs proper management by the organization.Understanding Technology and its Relationship with Wealth of NationsNations become competitive globally if updated with technological progress & advancement.Keeping abreast with technological advancement crucial for economic progress.Technology directly influences success & growth of business enterprises, economic growth & wealth of nations. E.g. Japan known for technology leader in electronics. United States known for technology leader in biotechnology and pharmaceutical technologies, and indeed every major technology. China known for green technologies.

Firms Specific KnowledgeIncludes intangible assets such as:Technical expertiseTechnical Know-howProcess Know-how or patents.Firm Specific knowledge provides competitive and operational advantage to firms.It enables business enterprise to move to foreign markets & become successful.

What is S Curve of Technology EvolutionS curve of technological evolution summarizes four major stages in the evolution of performance characteristics:1. Emergence : when the new technology comes into existence, but shows little improvement in its performance characteristics2. Rapid Improvement : When performance characteristics improve at an accelerating pace3. Declining Improvement: When the pace of improvement declines 4. Maturity: When further improvements become very difficult to achieve

Performance CharacteristicsTimeWhat is S Curve of Technology Evolution?Stage 1 Stage 2Stage 3Stage 419What is S Curve of Technology EvolutionS curve shape of technological evolution occurs due to following reasons / effects:Learning processes which, in the first stage, generates more or less stable design & process and in the second stage generates rapid improvements Technology Limits Once a technology reaches full potential, technology limits come into play during later stages. These technology limits are also known a technology frontiers as called by Dosi. In later stages, radical breakthrough occurs, as a result new technology emerges which replaces existing technology, This is known as Technology ProgressionThe performance of the newer technology initially is lower than that of the older technology, but because of their relative positions on their respective S-curves, the performance of the newer technology soon surpasses that of the older.Performance CharacteristicsTimePhysical limits of technologyWhat is S Curve of Technology Evolution?

21Technology Life CycleTechnology life cycle consists of various phases:Technology development- Basic TechnologyTechnology Application- Technology+ ApplicationsApplication Launch- Technology + Application+ Product LaunchApplication Growth- Technology + Application + Rise in product salesTechnology Maturity- Technology + Application + Fall in product salesDegraded technology- Minimal product sales + Loss of application + Alternative Technology.

Technology ManagementTechnology Management (MOT) is concerned with the :PlanningAssessment of technological capabilitiesDevelopmentImplementation

MOT is used to accomplish central planning goals and priorities of a nation.

MOT is used to accomplish strategic and operational objectives of an organization.Technology ManagementTechnology Management can also be defined as the integrated planning, design, optimization, operation and control of technological products, processes and services,

Management of the use of technology for human advantage

Technology Management is set of management disciplines that allows organizations to manage its technological fundamentals to create competitive advantage.

Strategic Management of TechnologySMOT means managing :product, service or process technologies of an organization from a long range perspective.Technology development, acquisition and absorption spread over long time periods right from R & D to manufacturing and marketing.It impacts all areas & functions of organizations.High risk is involved in the development, acquisition & absorption of the technology .

Strategic Management of TechnologyStrategic management helps in reducing unnecessary costs at each stage.Value addition can be further done by developing better products/ services.Strategic Technology Management System (STMS) calls for adopting systems approach in the organization on long term basis.Management of Technology at National LevelMain objective at national level is to Assure nations and business firms to gain technological competitiveness internationally.

Maintain strong position in international business on a long term basis.Domain of Technology Management at National levelDeveloping appropriate technology strategy for the nation.Forecasting technological changes.Development of renewable energy technologies.Sustainable economic growth.Knowledge management.Managing external technology acquisitions.Managing technology absorption.Performance measurement of new technology.Technology & environment management.Technology, health & societal management.Management of Technology at Enterprise LevelMain objective at enterprise level is to Assure that business firms gain & maintain strong hold in their core technologies relevant to its product-market relationship.

Technologies should support the firms competitive strategies.Domain of Technology Management at Enterprise levelDeveloping technology strategy viz-a-viz competitors.Forecasting technological changes.Management of Technology portfolio.Technology Innovation.Knowledge management.Implementation of new technology.Technology transfer and absorption.Strategic Management of Technology.Strategic Management of TechnologyStrategic Management of Technology1. Technology CreationInvolves creation & generation of new technologies.

Following activities are involved:Creativity & inventionInnovationSenior management commitmentDeveloping supportive corporate cultureStrategic Management of Technology2. Technology MonitoringTrends & changes are observed before implementing new technology.Following activities are involved:Installing & developing information systems.Performing competitive analysisCustomers & suppliers interfaces to understand market & technological changesPeople links like internal staff & research bodies understand technological changes.Strategic Management of Technology3. Technology AssessmentFollowing activities are involved:Understanding directions of markets in terms of technology.Integration of technology & business planning.Customer interfaces to assess commercial feasibility of prospective technologies.Assessing contributions of technology projects to business strategy.These activities enable the organization to plan for the future.Strategic Management of TechnologyTechnology TransferLeads to transfer of technology from external to own R& D and then to production.Involves following activitiesDevelop or acquire technology by forming strategic alliances.Usage of product design teams & get benefits of planned technological change.Involving people across the organizationStrategic Management of Technology5. Technology AcceptanceThis phase calls for acceptance of technology as a beneficial change.Following activities are involved:Supportive organizational design & structuresSupportive corporate cultureSenior management commitmentAssessment of impacts of technological change in organization.Reducing adverse effects & barriers in the change.Strategic Management of Technology5. Technology AcceptanceThis phase calls for acceptance of technology as a beneficial change.Following activities are involved:Supportive organizational design & structuresSupportive corporate cultureSenior management commitmentAssessment of impacts of technological change in organization.Reducing adverse effects & barriers in the change.Strategic Management of Technology6. Technology utilizationFollowing activities are involved:Effective project managementProcess technologies to support & facilitate maximum utilizationSupportive marketing strategiesUsing feedback for improvementThis phase leads to technology growth as there is increase in sales.

Strategic Management of Technology7. Technology maturityThis phase involves analysis of existing technology .It involves study of following indicators:Efficiency contributed by current technologies in attaining organizational goals.Market stability in terms of volumes/ salesRise of substitutes in the marketplaceDiminished returns on investmentDecline of market shareLoss of competitiveness in the marketplace.

Strategic Management of Technology8. Technology DeclineThis is the last phase in which :a technology and its related products/ services/ processes/ application show a sharp decline in usage.Technology degrades and becomes obsolete.Cycle re-starts- New technology opportunities created.

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