Technology Management

Unit 1
Learning Objectives
Understanding Science & Technology &
Discovery.
Types of Technology & Technology Portfolio
Relationship of Technology with wealth of
nations
Firms Specific Knowledge
Management of Technology at National &
Enterprise Level
Technology Life cycle
Science and Technology Defined
Science (from Latin scientia, meaning
"knowledge") is a systematic activity that builds
and organizes knowledge in the form of
testable explanations and predictions about
the universe.
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 Definition
A few of the major definitions of technology include:
The process used to change inputs into outputs
The application of knowledge to perform work
The 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
surroundings
The application of science, especially to industrial or
commercial use.
Technology Definition
Technology 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 waves
1770 1840 1890 1940 1990
cotton
iron
coal
transport
steel
energy
(oil)
microelectronics
mechanisation
steam power
heavy
engineering
mass
production
ITC
years
key industries
Technolog
y Wave
Textiles
Waterpower
Canals
Steam engines
Machine tools
Railways
Steamships

Electrical &
heavy
engineering
Synthetic
dyes
Electricity
Biotechnology
Space
Environmental
technologies
Advanced
materials
Cars
Airlines
Petrochemicals
Process plants
Plastics
Motorways
Weapons
Aluminium
Computers
Telecomms
Software
Robotics
Internet
Reproduced from Dodgson et al, The Management
of Technological Innovation. OUP, 2008. P27.

Science and Technology: Their Natures and
Relationship
Science 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 products
root function is to expand the realm of practical
human possibility.

Difference between Science & Technology
SCIENCE TECHNOLOGY
Deals 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
Technology
Technology consists of interrelated component
elements or maps as follows:
o Technoware- hardware embodied technology.
o Humanware- Person embodied technology( skills,
experience.)
o Infoware- Documents or specifications embodying
technology including process specifications ,
prodedures , theories of know-how and know-why
o Orgaware- Includes organizations structures,
policies, internal & external linkages in and through
which technology operates as ongoing system.
Types of Technologies
Generic 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 Technologies
Embodied 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 Technologies
System 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 Technologies
Hybrid 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 Portfolio
Numerous 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 Nations
Nations 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 Knowledge
Includes intangible assets such as:
Technical expertise
Technical Know-how
Process 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.


The S Shape Curve- Technology
Life Cycle
Technology Life Cycle
The TLC may be seen as composed of four phases:
(a) Technology Development/ Research and
development (R&D) phase (sometimes called
the "bleeding edge") when incomes from inputs
are negative and where the prospects of failure
are high.

Technology Life Cycle
(b) The growth/ ascent phase when out-of-
pocket costs have been recovered and the
technology begins to gather strength by going
beyond some Point A on the TLC (sometimes
called the "leading edge").


Technology Life Cycle
(c) the maturity phase when gain is high and
stable, the region, going into saturation, marked
by M.

(d) the decline (or decay phase), after a Point D,
of reducing fortunes and utility of the technology
Technology Life Cycle
Technology life cycle consists of various phases:
1. Technology development- Basic Technology
2. Technology Application- Technology+ Applications
3. Application Launch- Technology + Application+ Product
Launch
4. Application Growth- Technology + Application + Rise in
product sales
5. Technology Maturity- Technology + Application + Fall in
product sales
6. Degraded technology- Minimal product sales + Loss of
application + Alternative Technology.

Technology Management
Technology Management (MOT) is concerned
with the :
Planning
Assessment of technological capabilities
Development
Implementation

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.
Strategic Management of Technology
SMOT 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 Technology
Strategic 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 Level
Main 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 level
Developing 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 Level
Main 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 level
Developing 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 Technology
Technology
Creation
Technology
Monitoring
Technology
Assesment
Technology
Transfer
Technology
Acceptance
Technology
Utilization
Technology
Maturity
Technology
Decline
Strategic Management of Technology
1. Technology Creation
Involves creation & generation of new
technologies.

Following activities are involved:
Creativity & invention
Innovation
Senior management commitment
Developing supportive corporate culture
Strategic Management of Technology
2. Technology Monitoring
Trends & changes are observed before
implementing new technology.
Following activities are involved:
Installing & developing information systems.
Performing competitive analysis
Customers & suppliers interfaces to understand
market & technological changes
People links like internal staff & research bodies
understand technological changes.
Strategic Management of Technology
3. Technology Assessment
Following 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 Technology
4. Technology Transfer
Leads to transfer of technology from external
to own R& D and then to production.
Involves following activities
Develop or acquire technology by forming
strategic alliances.
Usage of product design teams & get benefits of
planned technological change.
Involving people across the organization
Strategic Management of Technology
5. Technology Acceptance
This phase calls for acceptance of technology
as a beneficial change.
Following activities are involved:
Supportive organizational design & structures
Supportive corporate culture
Senior management commitment
Assessment of impacts of technological change
in organization.
Reducing adverse effects & barriers in the
change.
Strategic Management of Technology
5. Technology Acceptance
This phase calls for acceptance of technology
as a beneficial change.
Following activities are involved:
Supportive organizational design & structures
Supportive corporate culture
Senior management commitment
Assessment of impacts of technological change
in organization.
Reducing adverse effects & barriers in the
change.
Strategic Management of Technology
6. Technology utilization
Following activities are involved:
Effective project management
Process technologies to support & facilitate
maximum utilization
Supportive marketing strategies
Using feedback for improvement
This phase leads to technology growth as there is
increase in sales.

Strategic Management of Technology
7. Technology maturity
This 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/ sales
Rise of substitutes in the marketplace
Diminished returns on investment
Decline of market share
Loss of competitiveness in the marketplace.


Strategic Management of Technology
8. Technology Decline
This 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.


Thank You.