TECHNOLOGY
TRANSFER
Presented By:
Rama Mittal
Pankaj Vashistha
Technology Transfer
Technology transfer is the process by
which a developer of technology
makes its technology available to a
commercial partner that will exploit the
technology.
Technology transfer (TT) is the
process of sharing of skills,
knowledge, technologies, methods of
manufacturing, samples of
manufacturing and facilities among
governments and other institutions
Most of the Indian Companies buy the
updated technology from advanced
countries as Japan, UK, Germany.
In India we can see that Many
Japanese automobile Companies are
running their business.
Presently Tata Telecom, India has
establish a joint venture with
DOCOMO, Japan for its technology &
services.
Presently, transfer of technology is a
very important factor which fosters
international business.
MNCs bring new products, new
process & technology to host
countries, which may be old in home
countries, but relatively new in the
host countries. e.g. Cell-phone in India
Technology Transfer takes place
mostly from developed countries into
developing countries.
Technology Transfer takes place
mostly from developed countries into
developing countries. International
Business spreads technology by:
establishing the subsidiaries in
developing countries
establishing joint ventures with the
host country’s companies.
e.g.- Hero-Honda, Maruti Suzuki
acquiring the host country’s company
or merging with the host country's
firms. e.g.
transferring technology through
technological alliances. e.g.
Users/beneficiaries of Technology
Transfer:
technology transfer agents who are
responsible for the search, adaptation
or translation,
Individuals responsible for technology
transfer functions
Inventors, Vendors, Licensors and
Purchasers of technology.
Individuals who are being trained to
perform any functions
Factors affecting TT
Technology already developed saves
time and effort.
Lack of internal resources for
innovation
Lack of core competencies in firms of
developing countries
Need to keep up with competitors
Lack of risk taking ability for innovation
Issues in Transfer of Technology
Cost
Appropriate Issues in
Dependence
ness TT
Obsolesce
nce
Cost: In many cases the developing
countries obtain foreign technology at
unreasonably high prices.
Appropriateness: technology that
suits one country may not be suitable
to other countries.e.g. Japanese &
Korean automobile Industry design
different types of cars which suits the
Indian roads
Dependence: Heavy reliance on
foreign technology may make the
recipient technologically dependent on
external technology providers even for
small issues.
Obsolescence: It has been observed
that there is a tendency to transfer
outdated technology to the developing
countries.
The owners of modern technology
view the developing countries as a
means of salvage technology that is
obsolescent in the advanced countries
Methods of Technology
Transfer
PRODUCT TECHNOLOGY
PROCESS TECHNOLOGY
ORGANISATIONAL AND
MANAGERIAL KNOW-HOW
PRODUCT TECHNOLOGY:
1. Provision of proprietary product know
– how.
2. Transfer of product designs and
technical specifications.
3. Technical consultants with suppliers
to help them master new
technologies.
4. Feedback on product performance to
help suppliers improve performance.
5. Collaboration in R&D
PROCESS TECHNOLOGY:
1.Provision of machinery and equipment
to suppliers
2. Technical support on production
planning, quality management ,
inspection and testing
3. Visits to supplier, facilitates to advise
on layout, operations and quality
4. Formation of ‘cooperation clubs’ for
interacting with or among suppliers on
technical issues
5. Assistance to employees to set up
their own firms
ORGANISATIONAL:
1. Assistance with inventory
management and the use of just in
time and other systems.
2. Assistance in implementing quality
assurance systems ( including ISO
certifications)
3. Introduction to new practices such as
network management or financial,
purchase and marketing techniques.