UNIT 1 INTRODUCTION TO TECHNOLOGY MANAGEMENT

Objectives
After completing this unit you would be able to: State the concept of technology Write the stages in development of technology Recall some of the products invented during industrial revolution Recall functions of technology management

Write importance of management of technology

Structure
1.1 1.2 1.3 1.4 1.5 1.6 1.7 1.8 1.9 1.10 1.11 1.12 1.13 Introduction Concept Of Technology Evolution And Growth Of Technology Major Historical Developments Industrial Revolution Second Industrial Revolution Technology Management Functions Of Technology Management Significance Of Technology Management: Summary: Key Words Self -Assessment Question Suggested Reading

1.1 INTRODUCTION: Technology has become integral and essential part of not only businesses but of individual life. Technology has profound effect on all aspects of life: business, economy, politics society, and economics. As a matter of one school of thought considers technology to be a determining factor and are almost shaping direction/trends in society, business, behaviour etc We have Bill Gates famous speech on the eve of In 1998 Microsoft's Bill Gates said about the Wright brothers' invention at Time Magazine's 75th anniversary celebration of the airplane. In the speech he said that "We have to understand that engineering breakthroughs are not just mechanical or scientific, they are liberating forces that can continually improve people's lives." In todays business environment, poor technology management can be certainly a reason of failure of businesses. On the contrary Technology itself is a competitive advantage for many organizations. The speed of development of new technology and processes necessitates a structured approach to managing technology. Technology facilitates fulfillment of customers need for products and services efficiently and effectively. In many businesses providing customer service without use of high technology has become impossible. Similarly use of technology has become necessary for all business processes to remain competitive in business. In Technology Management we make strategic decisions related to technology taking integrated organization wide approach to meet business objectives. Scope of Technology Management is much beyond Information Technology Management. It considers using technology in all processes to design a product o service, to manufacture a product, to make product/service available so as to increase profits, satisfy customers, increase business and stay competitive .In the unit we will have a basic understanding technology, its evolution, industrial revolution and management of technology. Major aspects of Technology Management we will discuss in subsequent units.

1.2 CONCEPT OF TECHNOLOGY: Technology is human innovation that involves the application or generation of knowledge or processes to develop systems that solve problems or extend human capability. Technology 2

itself is very old. Answer to the question How old is the technology will vary from 2.5 million years to 300 years depending on responders perception of Technology. Technology in English language is a word with origins in the Greek word technologia (), techne () "craft" and logia () "saying." Technology literally means the act or study of making or crafting. It refers to the collection of processes and knowledge that people use to extend human abilities and to satisfy human needs and wants. Some of the definitions of Technology are shown below: A body of knowledge used to create tools, develop skills, and extract or collect materials; the application of science (the combination of the scientific method and material) to meet an objective or solve a problem. The practical application of science to commerce or industry engineering: the discipline dealing with the art or science of applying scientific knowledge to practical problems The application of scientific advances to benefit humanity. Anything people have made could be called technology, but usually people think of advances in using scientific knowledge and applying it to a practical use,

It can be seen that in all the above definitions, purpose of technology is in variance. We will consider a holistic and broad based definition of technology: : Technology is a broad concept that deals with a species' usage and knowledge of tools and crafts, and how it affects a species' ability to control and adapt to its environment

1.2.1 Three aspects of technology: Technology influences as well as part of the society and culture where it is developed and used. Technology has three major aspects which are interrelated and mutually reinforcing. These aspects are: products and services, human activities that create these products and services and skills/capabilities that enable technical activities. These three aspects are shown in the diagram 1.1 below:

Societys demand for products and services stimulate development of technology and products/services. This expands technical capabilities and skills. Research and development activities create new products/services to the society. These activities also enable developing skills/capability in technology.

SKILL/ CAPABILITIES

enable

expand

TECHNOLOGY
ACTIVITIES PRODUCTS/ SERVICE

produce
Diagram 1.1 Three aspects of technology
1.2.2 Impact Of Technology: Technology has affected all aspects of our life and environment. Our life has become fully dependent of technology so much so to call us slave of technology. The impact of technology can be classified to be in sis areas: Society including behavior Culture Economy Environment Politics 4

Ethical considerations.

1.2.3 Classes of Technology: To gain insight of technology it is desirable to technology understood in terms of different classes. Technology can be broadly categorized in to following four classes as shown in table 1.1 below: SL NO 1 CLASS OF TECHNOLOGY Technology as Knowledge The knowledge, learning, know-how behind technological innovation, development 2 . Technology as Objects Physical item/device of technical performance eg machines, equipments, instruments, weapons, appliances 3 Technology as a Process: Begins with a need and ends with a solution PARTICULARS

Technology as Activities

Set of technical activities/tasks, their methods, procedures, routines, skills

Table 1.1 Classes of Technology 1.2.4 Resources Of Technology:

Tools and Machines Machines are any type to make part, to process part, make tool, make machine

2 3 4 5

Materials - Materials raw materials that are transformed into useful products. Processes - Processes are the tasks/jobs in which we produce products Energy - Energy is the source of power. Information - Technology requires information. it is use of that information that helps us to meet our needs and wants.

Humans - People are the creators of technology and user of technology. People use other resources to create technology. 5

Capital - Any form of wealth.

. 1.3 EVOLUTION AND GROWTH OF TECHNOLOGY Technology is a material entity created by the application of mental and physical effort to nature in order to achieve some value. From this definition Technology is very old as humans have been using primitive tools for almost 2 million years. However, making objects that go slightly beyond this took a while to develop. Technology is approximately 500,000 years old. Technology evolves in three stages as shown in the diagram 1.2 below:

TOOLS

STAGES OF TECHNOLOGY EVOLUTION

MACHINE

AUTOMATION

Figure 1.2 Stages Of technology Evolution

1.3.1Tool Tool is first stage of evolution of technology. A tool makes a task simple or more efficient or reduces physical efforts by provides a mechanical advantage in accomplishing a physical task. Tool is used by applying human or animal effort.

The first tools developed must be for food and safety. Hunter developed tools for hunting. Spear, arrow, container, plow, or hammers are some of the examples of tools. Initially all the tools developed were deployed by the hunter/gatherers. Subsequently animal-powered tools such as the plow and the horse wee developed. Use of animal driven tools increased productivity and output in food production.

1.3.2 Machine The second technological stage was the development of the machine. Machine substitutes human physical effort. A machine requires the operator. The operators function is only to control. With the industrial revolution, Machines became widespread. Machines work far beyond capacity of human beings. Machines also perform seemingly impossible tasks due to limitations of physical and metal capacity. For example a simple drilling machine can drill 20 times more than done manually. Besides manual drill can never achieve the quality a hole drilled on a drilling machine provide.

1.3.3 Automation: Automation is the third stage of technological evolution. The automation is a device that removes the element of human control with an automatic algorithm. For example an automatic watch does not require winding up the spring or adjusting time. All the three stages of evolution continue to be relevant today. We continue to use tool , machine and automation devices.

1.4 MAJOR HISTORICAL DEVELOPMENTS Historical development of technology is the history of development of man from cave in forest to a urban city. For convenience the development is classified into seven periods in sequence. Development at each stage is stated in brief. 1.4.1 Stone Age(Approximately 250,000 B.C.- 3,000 B.C.) During the Stone Age most tools were made of stone. Shaping rocks into sharp edges for arrows, spears, and knifes was very time consuming and the tools would easily wear with use. Most tools were used for agriculture and hunting.

1.4.2 Bronze Age(Approximately 3000 B.C. - 1200 B.C.)

Bronze is a soft metal alloy. It is made of copper and tin. It is easier to shape tools if metal was melted then shaped by using a mold. The metal tools were preferred by people because they were more durable and useful than stone tools. Besides they were easier to shape. 1.4.3 Iron Age(Approximately 1200 B.C. - 500 A.D) Iron is metal stronger than bronze when alloyed with other materials. Again, most technological developments using during the period were brought about to improve agriculture, trade and military weapons. 1.4.4 Middle Ages( Approximately 500 A.D. - 1500 A.D) The Middle Ages brought about a number of technological developments. This has resulted in industrialization. The agricultural development led to production of a surplus of crops, and increased trade. Increased trade created bigger markets with more products. 1.4.5 Renaissance (Approximately 1450 A.D -1700 A. D) . The Renaissance was a time of rebirth in the arts. Gutenberg invented the printing press. This facilitated information to be dissemination throughout the world. Initially the printing press was used for the printing the holy Bible. Subsequently, it was used to print other literature. The first screwdriver was invented during this time. period. The camera , telescope, the submarine, and hydraulic press were some other products developed during this time period. 1.4.6 Industrial Age (Approximately 1700 1940) . In Industrial Age was the beginning of factory system. Factories were increasing in numbers rapidly. The growing number of factories created the need for technological improvements in products and processes. International Trade increased which created a bigger demand for efficient, fast, reliable, systems for transportation of products. Communication advances accelerated information and coordination systems at an alarming rate. Structural systems were forced to improve as cities began to grow up instead of out. 1.4.7 Information Age (Approximately 1940 present) . The Information Age is the current period of time. During information age technological developments take place at exponential rate. Product life is shortened. The microchip 8

revolutionized the world of electronics. It has made communication systems faster, cheaper, and more powerful. Research in energy systems continues to make them more efficient and less harmful to the environment. Table 1. Summarizes illustrative technological developments and their significance during different era: AGE OF TECHNOLOGY Stone Age 250,000 B.C. - 2500 B.C. DEVELOPEM ENT Control of fire Hand ax ,Bow and arrow Agriculture Bricks Irrigation Bronze Age 3000 B.C. - 1200 B.C. Wooden ships Pyramids Glass Casting of metals Water Wheel Spinning wheel Great Wall of China Glass Cement Windmills Rockets Gunpowder Renaissance Approximately 1450 A.D -1700 A. D. Leonardo da Vinci Printing Press & Movable Type Railroad Galileo APPROX PERIOD 500,000 B.C Cooking, making pottery, lighting, heat 500,000 B.C. 8000 B.C. 7000 B.C. 5000 B.C. 3000 B.C. 2700 BC 2000 B.C. 1400 B.C. 700 B.C. 500 B.C. 221 B.C. 50 A.D. 400 A.D. 600 1232 1242 1452 1519 1452 1500 1596 1610 Humans planned the growth of plants and animals for food Building materials Humans planned the watering of agricultural crops Used for trade and transportation Remarkable applications of architecture and mathematics Used for jewelry and ornaments Pouring hot metals in a mold to form shapes. Grind grains such as corn Used to make yarn and thread for cloth Built to prevent invasion First used in windows Used as a building material Used to pump water for irrigation and milling grain Used as a military weapon First explosive with both military and building uses Designed flying machines, machine gun, turbines, etc Improved communication through mass production of printed materials. Led to increased literacy throughout all classes. Used in mining to transport heavy loads Heat measurement, laws of gravitation, 9 Used for hunting IMPORTANCE

Iron Age 1200 B.C. - 500 A.D.

Middle Ages 500 A.D. - 1450 A.D.

Newton Industrial Age 1700 - 1950 Steam engine Cotton gin Machine tools Telegraph Telephone Radio Airplane Television Information Age 1950- present Computer Transistor Space exploration Integrated circuit Cellular telephone Internet (WWW)

1600s 1769 1793 1795 1837 1876 1895 1903 1923 1940s 1948 1950s 1959 1978 1984

observed solar system Laws of gravitation, optics, and physics Changes steam into mechanical energy to operate machines. Made cotton a profitable industry Made it possible to produce precision parts for manufacturing Improved long distance communications Improved communications without the use of coded messages. Long distance (transatlantic) voice communications Greatly improved long distance transportation of people/goods Mass communication. This predated the information age by date, but not on the scale we know it today. Facilitates the processing & control capabilities of people. Smaller and more reliable than vacuum tube. Responsible for countless tech. advances through research. (Spinoffs) Contains thousands of components that are cheap and efficient Mobile telephone communications.

Individual access to enormous quantities of information. Fast, frictionless communications through a Fiber optics 1980s glass tube. Converting energy from the sun into thermal Solar energy Undefined and electrical energy. Nuclear Power 1980s Alternative sources of energy. Table 1.2 Historical Technological Development and Significance Adopted from http://wfrhs.wcpss.net/teched/history.html

INDUSTRIAL REVOLUTION The Industrial Revolution was a period from 1760-1850, of major changes taking place in agriculture, manufacturing, mining, transportation, and technology . The industrial revolution had a profound effect on the social, economic and cultural conditions. It began in UK, then subsequently spread throughout Western Europe, North America, Japan, and eventually the world. 10

The Industrial Revolution marks a major turning point in human history; almost every aspect of daily life was influenced in some way. Most notably, average income and population began to exhibit unprecedented growth. During the period too many products and processes were developed leading to high productivity, mass production, lesser cost and customer delight. Some of the technological developments which changed the world are listed in the table 1.3 below: SL NO 1 Textile Spinning Jenny Roller Spinning Machine of Lewis Perrol Flyer and Bobbin System of Paul and John Wyatt Carding Machine of Lewis Paul and Daniel Bourn. Spinning Mule of Lewis's Cotton Mill of Arkwright 2 Metallurgy The cupolas/Reverberatory Furnace for producing wrought iron using mined coal. replacement of organic fuels based on wood with fuel based on coke Potting, stamping, puddling processes in forging Crucible steel technique of Benjamin Huntsman 3 Gas lighting Large scale gasification of coal in furnaces, the purification of the gas (removal of sulphur, ammonia, and heavy hydrocarbons), and its storage and distribution. 4 Mining The introduction of the steam engine greatly facilitated the removal of water and enabled shafts to be made deeper, enabling more coal to be extracted. Safety lamp of Humphry Devy SECTOR TECHNOLOGICAL DEVELOPEMENTS

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SL NO 5

SECTOR Steam power

TECHNOLOGICAL DEVELOPEMENTS

Development of stationary steam engine low-lift combined vacuum and pressure water pump, of Thomas Savery Steam Powered Atmosphere Engine of Newcomens Steam Engine of James Watt and Mathew Bolton Beam Engine, Table Engine, Steam boats higher pressure non-condensing steam engines 6 Machine tools 7 Chemicals Workshop lathe Milling machine Boring machine Slotting machine Shaping machine Mass production- machines Special purpose machines large quantities by John Roebuck Le Blanc process by Nicolas Leblanc for production of Alkali .Development of bleaching powder by Charles Tennnat Sintering , grinding process to produce portland cement by Joseph Aspdin 8 9 Glass making Paper machine cylinder process to produce glass Fourdrinier machine for making a continuous sheet of paper on a loop of wire fabric by Nicholas Louis Robert

Lead chamber process to produce sulphuric acid in

Table 1.3 Technological Developments during Industrial Revolution Due to Industrial revolution people found increased employment opportunities in the new factories and mills, but these were often under strict working conditions with long working 12

hours. Industrialization led to the creation of the factory. The factory system was largely responsible for the rise of the modern cities. This period thoroughly destroyed the old manner of doing things. I new modern world has began. Industrial Revolution was a major turning point in human history. It has influenced almost every aspect of daily life .Industrial Revolution was an outburst of new inventions .. Many inventions from this period are still used today. The 19th century was called the age of machine tools. Machine tools making tools, parts and machines itself. The assembly line was invented during the 19th century, speeding up the factory production of consumer goods. The period also gave birth to scientists, innovator, technocrats and entrepreneur making technology based products . 1.6 SECOND INDUSTRIAL REVOLUTION: The Second Industrial Revolution, also known as the Technological Revolution, was corresponding to the period 1871-1914. The second industrial revolution is characterized by many rapid developments in technology in fields like: electrical, and chemical industries,

lighting, heating, streetcars, subways, railroads, new fertilizers, dyestuffs synthetic fibers, and the internal combustion engine. The second Industrial Revolution saw deployment of electric power not only to provide light or heat or run equipment but also develop new technology, processes and products. Electricity helped in improving communications. The telephone and telegraph were the first communicational devices developed during the period. With the discovery of radio waves messages could be sent over long distances in 13

practically no time. Discovery of radio active rays by Marie Curie led to development of Xray machines but also much later to Atomic Bomb. New chemical products, vulcanised rubber, synthetic dyes, and Portland cement have changed the many facets of life itself. Use of Petroleum increased and it was considered as an alternate source of energy. Introduction of internal combustion engine made transportation faster. Wright brothers successfully built and experimented the first airplane flight. This gave birth to the airplane industry. The Industrial Revolution brought on more technology, wealth and power.Developments in technology/product/ processes, important events during industrial revolution period are given table 1.4 below in chronological order: TIME LINE 1708 1709 1712 1733 1758 1761 1765 1769 1772 1775 1777 1779 1786 1787 1789 1792 1793 1803 Jethro Tull's mechanical (seed) sower permits large-scale planting in rows, for easier cultivation between the rows. Abraham Darby uses coke to smelt iron ore, replacing wood and charcoal as fuel. Thomas Newcomen builds first commercially successful steam engine. Able to keep deep coal mines clear of water. First significant powers source other than wind and water. John Kay's flying shuttle. First threshing machine. James Brindley's Bridgewater Canal opens. Barges carry coal from Worsley to Manchester. James Hargreaves invents the spinning jenny, automating weaving the warp (in the weaving of cloth). Arkwright's "water" (powered) frame automates the weft. Bridgewater Canal extended to the Mersey, thus connecting with Liverpool. Its success kicks off extensive canal construction ("canal mania"). Watt's first efficient steam engine, much more efficient than the Newcomen. Grand Trunk Canal establishes a cross-England route connecting the Mersey to the Trent and connecting the industrial Midlands to the ports of Bristol, Liverpool, and Hull. First steam powered mills. Crompton's "mule" combines Hargreaves' and Arkwright's machines, fully automating the weaving process. Arkwright puts a Watt engine in the Albion cotton mill, Blackfriars Bridge, London. Cartwright builds a power loom. Thames-Severn Canal links the Thames to the Bristol Channel. William Murdock (James Watt's assistant) lights his home with coal gas. Eli Whitney develops his cotton gin (a device to clean raw cotton). Thomas Telford builds his two great iron aqueducts, over the Dee and the Cierog valleys. 14

1801 180322 1807 1821 1825 182642 1827 1830 1831 1834 1837 1838 1839 1843 1844 1846 1849 1850 1851 1854 1855 1856 1858 1859 1860 1863

Robert Trevithick demonstrates a steam locomotive. Caledonian Ship Canal cuts clear across Scotland via the Great Glen. Robert Fulton's Clermont first successful steamboat. Faraday demonstrates electro-magnetic rotation, the principle of the electric motor. Marc Brunel invents a tunnelling shield, making sub aqueous tunnelling possible. Brunel builds the first sub aqueous tunnel, under the Thames. Berkeley Ship Canal connects Sharpness (on the Severn) to Gloucester. ManchesterLiverpool railway begins first regular commercial rail service. Faraday discovers electro-magnetic current, making possible generators and electric engines. Charles Babbage develops his analytic engine--the forerunner of the computer. Morse develops the telegraph and Morse Code. Daguerre perfects the Daguerrotype. Fox Talbot introduces photographic paper. Great Britain--first large, iron, screw-propelled steamship. Commercial use of Morse's telegraph (Baltimore to Washington). Pneumatic tire patented. Monier develops reinforced concrete. Petrol (gasoline) refining first used. Singer invents first practical sewing machine. Bessemer invents steel converter. Regius Chair of Technology founded at Edinburgh. W.H. Perkin produces aniline dyes, permitting brightly coloured cottons. First Trans-Atlantic Cable completed. Charles Darwin, The Origin of Species Edwin Drake strikes oil in Pennsylvania. Etienne Lenoir demonstrates the first successful gasoline engine. Science degrees at University of London. Siemens-Martin open-hearth process (along with the Bessemer converter) makes steel available in bulk. Steel begins to replace iron in building: steel framing and reinforced concrete make possible "curtain-wall" architecture--i.e. the skyscraper. Alfred Nobel produces dynamite, the first high explosive that can be safely handled. Christopher Sholes invents the Remington typewriter. James Clerk Maxwell states the laws of electro-magnetic radiation. Bell invents the telephone. Edison invents the phonograph. Microphone invented. Edison invents the incandescent lamp. 15

1867 1873 1876 1877 1878 1879

1883 1884 1885 1888 1892 1895 1896 1897 1899 1900 1901 1903 1908

First skyscraper (ten stories) in Chicago. The Brooklyn Bridge opens. This large suspension bridge, built by the Roeblings (father and son), is a triumph of engineering. Maxim invents the machine gun, making possible mass slaughter and beginning the mechanization of warfare. Benz develops first automobile to run on internal- combustion engine. Hertz produces radio waves. Rudolf Diesel invents diesel engine. Lumire brothers develop Cinematograph Roentgen discovers Xrays. Marconi patents wireless telegraph. Joseph Thomson discovers particles smaller than atoms. Aspirin invented. First Zeppelin built. Marconi transmits first trans-Atlantic radio message (from Cape Cod). Wright brothers make first powered flight. Henry Ford mass-produces the Model T. From http://library.thinkquest.org/C0116084/IR2.htm

The idea of third Industrial Revolution has been almost since post cold war. Lot of literature on third industrial revolution is available. In Us well known economist Jeremy Rifkin has been pioneer in developing the concept. However there are different meaning, time frame and perspective attached to this concept. Post 70s unprecedented changes have taken place in technology, business, economy and society. There has been a revolution in communication technology. Information Technology (IT) has great influence on our personal life and on business processes. New breakthrough technologies like BT, Nano technology are post war developments. Pilot less war plane a concept during second war has been put to use by USA through well known Drone (pilotless bombers) attacks. In future countries have to work together for issues like sustainability, development of technology addressing the issues of environment, ecology, energy crisis.

1.7 TECHNOLOGY MANAGEMENT

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Gerald H Gaynor the famous author of Handbook on Technology Management has provided a comprehensive definition of technology management as given below:

Managing Technology is a method of operation that leverages human resources, technology and other business assets by optimizing the relationships between the technology functions of the business enterprise. It is the process of integrating science, engineering and managing with research, development and manufacturing in order to meet the operational goals of the business unit effectively, efficiently and economically. It includes managing the totality of the technology operations from concept through commercialization. Thus the scope of technology management is quite vast and requires an integrated approach involving various functions. Technology management can be defined in the same manner as any other management function. following are the functions of management:

Planning Organizing Staffing Implementing Controlling/Evaluation

If we consider the above function in context of technology, it becomes Technology Management. .In other words technology management can be defined as a process of Planning, Organizing, Staffing, Implementing and Monitoring/Evaluation technology to achieve the stated objectives.. 1.8 FUNCTIONS OF TECHNOLOGY MANAGEMENT: Technology Management embraces many functions which are interrelated to each other and are specialized. Some of the functions of Technology Management are show in the diagram 1.3 below. These functions will be discussed in subsequent units.

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TECHNOLOGY POLICY TECHNOLOGY POLICY TECHNOLOGY FORECASTING TECHNOLOGY STRATEGY TECHNOLOGY TRANSFER TECHNOLOGY ABSORPTION /DIFFUSION TECHNOLOGY ACQUISITION R & D MANAGEMENT

FUNCTIONS OF TECHNOLOGY MANAGEMENT

IPR(INTELLECTUAL PROPERTY RIGHTS) MANAGEMENT TECHNOLOGY ASSESSMENT 18

INNOVATION MANAGEMENT Diagram 1.4 Functions of Technology Management

1. 9 SIGNIFICANCE OF TECHNOLOGY MANAGEMENT: Management of technology is of critical significance to the organizations operating in globalized and competitive business environment. Technology is unavoidable and inescapable. In a competitive business environment only those organizations survive who focus their efforts towards customer satisfaction. Accordingly all business processes are reengineered towards customer satisfaction. Meeting customer requirement is the basic to satisfy customers. Customer requirement in generic terms can be stated as following: Quality: Customer wants better and more in quality. Customer expects more features and better performance of existing features. One of the examples is cell phones. Over the years quality in terms of features and performance is showing rapid improvements. Delivery: Customers expect faster delivery ie delivery in lesser time period. Variety: Customer expects more and more variety in the products/services. The manufacturer should be able to design /develop more and more products and introduce tem in the market quickly. Service: Customer will ideally like to have product without need of any service during its lifetime. Cost: Customer would like to have all above and more but is unwilling to pay anything for it. On the contrary the customers expect the prices to reduce. Technology is the most potent weapon by which an organization can achieve above. By a systematic and planned approach for managing technology, an organization can bring about 19

drastic improvement in performance, which may not be possible otherwise. By proper decisions on managing technology an organization can achieve following: Faster and economic design Better quality of products Increased sales Better customer satisfaction Higher profits Higher value Lesser costs Better resource utilization Lesser throughput time Higher customer service and more Besides by proper management of IPR (Intellectual Property Rights) an organization can increase its revenue substantially and ward off competition. Effective management of Technology Development would facilitate higher success of high-tech products on launch. 1.8.1 Product Technology: Product technology is concerned with application of technology in the product/services. This involves creating a product/service by using technology to fulfill customer need. Sony, after extensive research developed an innovative product, Headphone stereo Walkman TPS-L2 and launched in 1979 introduced. Sonys LCD and 3D Television are also examples of application of technology for creating products. Similar example is introduction of NANO car by Tata Motors. As we know this was worlds first low cost car with an innovative design. Another example of product technology is popular car Model T developed several decades earlier. More than 3 million cars of model T were sold. Penicillin is the first antibiotic drug for treatment of diseases caused by microbes.. Without penicillin, 75% of the people now alive would not be alive because their parents or grandparents would have died due to bacterial infections. The effects of a drug like this are absolutely mind-boggling. This is one of the excellent example of application of technology 20

leading to new breakthrough product. Before penicillin, if one had a serious infection, he would simply die. Newer antibiotic for all the three gram positive, gram negative and both( broad spectrum) are being developed. These are necessarily as a response to immunity of earlier antibiotic drugs due to excessive consumption and reduction in side effects. Patients with advanced diabetic cant use the energy stored in their bodies Their bodies stop making a hormone known as insulin. It is needed to convert sugar into energy. Canadian researchers Frederick Grant Banting, MD, and Charles Best, first identified insulin in 1921. In 1922, a Canadian patient received the first successful treatment with insulin extracted from an animal. Insulin has completely changed the lives of diabetes patients. Swann says. People with diabetes didn't have much chance for a long life. Insulin has made the life better for he diabetics. Smallpox is one of the most dreaded diseases. Due to development of small pocks vaccination, smallpox is the first disease wiped from the face of the earth. And so is the case of polio which is on the verge of being the second scourge to be eliminated. 1.8.2 Process Technology: Process technology is concerned with How to make a product. You might have read in the unit examples technological development during industrial revolution. For example John Roebuck development of a new technology for manufacturing of sulfuric acid called Lead chamber process. By using the process sulfuric acid in large quantities could be produced at lesser cost. Similarly Nicolas Leblanc developed Le Blanc process by for production of Alkali in large quantities. In these cases the product in terms of attributes, features have not changed but new technology of making these products was deployed. Application of technology in processes results have following benefits: Reduced processing time Better quality/reduced rejections Lesser cost Less fatigue, efforts 21

 Better Safety

An organization should constantly improve its processes by application of technology. At the same time based on need constantly improve its products. Organizations need to be proactive rather than reactive to face the challenges of competition. 1.9 SUMMARY: In the unit we started with understanding of technology. Technology has become integral and essential part of not only businesses and life. In todays business environment, poor technology management can be certainly a reason of failure of businesses. On the contrary Technology itself is a competitive advantage for many organizations. It considers using technology in all processes to design a product o service, to manufacture a product, to make product/service available so as to increase profits, satisfy customers, increase business and stay competitive .Technology is human innovation that involves the application or generation of knowledge or processes to develop systems that solve problems or extend human capability. Technology is a broad concept that deals with a species' usage and knowledge of tools and crafts, and how it affects a species' ability to control and adapt to its environment. Technology has three major aspects which are interrelated and mutually reinforcing. These aspects are: products and services, human activities that create these products and services and skills/capabilities that enable technical activities. Historical development of technology is the history of development of man from cave in forest to a urban city. For convenience the development is classified into seven periods in sequence. The Industrial Revolution was a period from 17601850, of major changes taking place in agriculture, manufacturing, mining, transportation, and technology . The industrial revolution had a profound effect on the social, economic and cultural conditions. It began in UK, then subsequently spread throughout Western Europe, North America, Japan, and eventually the world. The Industrial Revolution marks a major turning point in human history; almost every aspect of daily life was influenced in some way. Most notably, average income and population began to exhibit unprecedented growth. During the period too many products and processes were developed leading to high productivity, mass production, lesser cost and customer delight. The Second Industrial Revolution, also known as the Technological Revolution, was corresponding to the period 1871-1914. The second industrial revolution is characterized by 22

many rapid developments in technology in fields like: electrical, and chemical industries, lighting, heating etc. The second Industrial Revolution saw deployment of electric power not only to provide light or heat or run equipment but also develop new technology, processes and products. Electricity helped in improving communications. Technology Management embraces many functions which are interrelated to each other and are specialized. We discussed in brief the meaning of technology management and understood its significance in context of customer satisfaction. In the end we briefly stated meaning of product and process technology with examples. 1.10 KEY WORDS Technology: Technology is a broad concept that deals with a species' usage and knowledge of tools and crafts, and how it affects a species' ability to control and adapt to its environment Industrial Revolution: The Industrial Revolution was a period from 1760-1850, of major changes taking place in agriculture, manufacturing, mining, transportation, and technology Technology Management: Managing Technology is a method of operation that leverages human resources, technology and other business assets by optimizing the relationships between the technology functions of the business enterprise. . It is the process of integrating science, engineering and managing with research, development and manufacturing in order to meet the operational goals of the business unit effectively, efficiently and economically. Product Technology: Product technology is concerned with application of technology in the product/services. This involves creating a product/service by using technology to fulfill customer need.

1.11 SELF -ASSESSMENT QUESTION

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1.12 SUGGESTED READING: 1 2 3 Gerard H. Gaynor, 1996, Handbook of Technology Management , McGraw-Hill Professional; late T. S. Ashton and Pat Hudson ( 1998)The Industrial Revolution, 1760-1830 Oxford University Press, Norma Harrison and Danny Samson, 2001, Technology Management :Text and International Cases ,McGraw-Hill/Irwin; 4 V K Nrayanana 2009, Managing Technology and Innovation for Competitive Advantage, Pearson Education 5 Burgelman R.A. et al., 2001, Strategic Management of Technology and Innovation, McGraw-Hill. 6 .

Bhalla, S.K., 1987, The Effective Management of Technology, Batelle Press, UK.

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