Management of Technology: An Introduction
Objective
Overview of what Management of Technology (MoT) is, including its definition and historical context.
Scope and dimensions of MoT, including its impact on various industries and sectors.
Appreciating the growing importance and role of MoT in recent years, supported by data and case studies.
MoT as a field of study, including core concepts, methodologies, and areas of specialization.
Technology - Defined
Various manifestations from simple to complex, illustrating the evolution of technology
"Means to accomplish task,"
Hard vs. Soft Technology, and examples of each type technology.
Definitions of Technology
The Mc Graw-Hill Encyclopedia of Science and Technology (1992): “The tools and techniques for carrying out plans.”
International Encyclopaedia of Social Science: “Technology connotes practical arts.”
Dussauge et al. (1992): “A process which, through an explicit or implicit phase of research and development (the application of scientific knowledge), allows for commercial production of goods and services.”
Comprehensive Definition of Technology
Technology can be defined as all knowledge, products, processes, tools, methods, and systems employed in the creation of goods or in providing services – value creation.
Value is created if the good, service, or activity satisfies a need or provides benefits that contribute positively to the quality of life, knowledge, and safety of stakeholders (Haksever et al., 2004).
Technology involves the practical implementation of knowledge, serving as a means of aiding human endeavor across various fields and industries.
Knowledge
Knowledge is not merely information but is based on the amount of information available, representing a deeper understanding and interpretation of data.
Knowledge is all that has been perceived or grasped by the mind from the range of information available, illustrating the cognitive aspect of understanding.
It is only when knowledge is practically implemented to create new things, operate a system, or provide a service that we enter into the realm of technology, emphasizing the application of knowledge in tangible forms.
Component of Technology
Technology Base Component (Howell, 1996) includes:-
Tangible Assets (new products, plants & Equipment)
Intangible Assets-
Formal (patents, licenses, R & D other IPR and training)
Informal (Tacit)
Classification of Technology
New Technology – newly introduced or implemented, representing the latest advancements in a particular field.
Emerging Technology – any technology that is not yet commercialized but will become so within about five years, indicating potential future applications.
High Technology – advanced or sophisticated technologies, characterized by cutting-edge innovation and complexity.
Low Technology – technology that has permeated a large segment of human society, commonly used and widely accessible.
Medium Technology – mature technologies that are more amenable than others to technology transfer, indicating adaptability and versatility.
Appropriate Technology – good match between technology utilized and the resources required for its optimal use, ensuring sustainability and efficiency.
Management - Defined
Management is coordinating work activities so that they are completed efficiently and effectively with and through people (Robbins and Coutler 2005). It involves planning, organizing, leading, and controlling functions, forming the foundation of effective organizational management.
Management of Technology
The act of managing organizational systems that lead to the creation, acquisition, and exploitation of technology in order to achieve certain objectives, optimizing technological resources for strategic advantage.
It is only when technology is connected to its user that its benefits are realized, highlighting the importance of user-centric design and implementation.
The focus is on technology as the primary factor in wealth creation.
Underlying Premise in MOT
Technology is the most influential factor in a wealth creation system and that other factors contribute to the system, emphasizing its pivotal role in economic growth and prosperity.
Factors Contributing to Wealth Creation
Technology: Advances in automation, AI, and biotechnology.
Labor: Skilled workforce and its impact on economic output.
Capital: Investment in infrastructure and technology.
Natural Resources: Sustainable utilization and environmental impact.
Public and Environmental Policy: Regulations promoting innovation and sustainability.
Market: Dynamics of supply and demand, market trends.
Why Management of Technology?
The Pace of Technological Change:-
The Post WW II Dominance of the Western Industry Period of relative technological stability such as the concept of factory Division of labor and well defined functions Industries are accustomed to a relatively predictable competitive environment
The World Today Rapid pace of technological change Global competition: competition among nations intensified Liberalisation of trade Information technology Employment pattern and societal change Technology has become the survival for global competition.
Technology adoption and diffusion are rapidly increasing, accelerating the integration of new technologies into various sectors.
Rate of Technological Change
The rate of technological advancement is increasing exponentially over time, highlighting the need for agile and adaptive management strategies.
Key elements of MOT in industrial practice
Identification and evaluation of technological options.
Management of R&D itself, including determination of project feasibility.
Integration of technology into the company’s overall operations.
Implementation of new technologies in a product and/or process.
Management of obsolescence and replacement.
MOT Task Environment
Technology Acquisition: Internally & Externally
Technology Exploitation: Internally & Externally
Science & Engineering Disciplines
Business Administration Disciplines
MOT Dimensions
National (encompassed public policy).
Organizational (creation and sustainability of competitiveness enterprises).
Individual (enhancement of one’s worth to society).
MOT at Firm Level
An interdisciplinary field concerned with the planning, development, and implementation of technological capabilities to shape and accomplish the operational and strategic objectives of an organization.- Combining knowledge from science, engineering, and business management.
Affecting different functional entities of an organization.
Scope covers operational and strategic interest in organizations.
MOT at Country Level
A field of knowledge concerned with the setting and implementation of policies to deal with technological development and utilization, and the impact on society, organizations, individuals, and nature. It aims to stimulate innovation, create economic growth, and to foster responsible use of technology for the benefit of humankind.- Focus on the role of public policy on the advancement of S & T of a nation.
Also covering the impact of S & T on the well-being of the economy and society.
Decreasing Times from Invention to Production
Examples of decreasing time from invention to production:-
Fluorescent: 1852, Time Lag 82 years
Radar: 1887, Time Lag 46 years
Zipper: 1891, Time Lag 34 years
Television: 1907, Time Lag 29 years
Transistor: 1940, Time Lag 10 years
Evolution of Personal Computer Microprocessor Speed
The speed of microprocessors has increased dramatically over time, approaching typical mainframe speeds.
The Impact of Trends on Institutions
Major Trends:-
Globalization: The scope of the environment is global.
Time Compression: Increased interdependence of institutions.
Technology Integration: Need for simultaneous imitation and innovation.
Technology, Society, and Business
Technology evolves throughout human history.
The role of technology today and in the future.
The process of economic development as an outcome of the manner in which technology is generated, acquired, and utilized i.e. technological change.
Technology and Business - Organization introduces technology to society. How?
The Role of Corporations in the Technology Environment:
As drivers of change by creating new products, processes, and materials, altering the rule of competition, transforming industries, and creating new industries.
As beneficiaries of technology change initiated by others.
As facilitators for technology development by others external to the firm through investments in their research projects.
As a victim of technology change created by others.
Technology Development: Activities and Institutions
Creation of New Knowledge: Government Institutions, Scientific Research Labs, Universities
Application of Knowledge: Government Corporations Agencies, Corporations, Universities, R&D Consortia
Development Engineering: Private Firms, Entrepreneurs, New Venture Development Groups
Commercialization
A Model of Problem Solving
Problem Recognition
Technology Selection
Solution Development
Commercialization
Management of Technology: Key Questions
Will we create competitive advantage?
Which technology should we bet on?
Should we make or buy?
How do we implement?
The primary industry needs are:
How to integrate technology into the overall strategic objectives of the firm.
How to get into and out of technologies faster and more efficiently.
How to assess/evaluate technology more effectively.
How to best accomplish technology transfer.
How to reduce new product development time.
How to manage large, complex and interdisciplinary or inter- organizational projects/systems.
How to manage the organization’s internal use of technology.
How to leverage the effectiveness of technical professionals.
MOT as an Academic Discipline
New and not so well established.
Emphasize fundamental concepts.
Developing an understanding as to how all of the technologies of a business can be integrated, directed toward some specific objectives and optimized with all other business resources.
Not only interdisciplinary but multidisciplinary.
Evolution of MOT as a Field of Studies
1950: R&D Management Era of Plentiful Resources
1970: Management of Innovation New venture divisions Linking to business
1980: Technology Strategy Allocation of funds to projects Innovation management Different organizational arrangements
1990s: Value-Based Management Era of Accountability Broader vision of technology Outsourcing Tools to assess value Internal markets
Definition of MOT as a field of studies
“THE PROCESS OF INTEGRATING THE MANY DISCIPLINES OF SCIENCES, ENGINEERING AND MANAGEMENT, THE ESSENTIAL AND RELATED FUNCTIONAL ADMINISTRATIVE DISCIPLINES, AND ‘MANAGING’ IN ORDER TO MEET THE OPERATIONAL OBJECTIVES OF THE BUSINESS ENTERPRISE. ”
Management of Technology can be considered as a field of studies linking disciplines that focus on the technology creation (i.e science and engineering) with those disciplines that enable its conversion to wealth (i.e business administration).
Approaches in Studying Management of Technology
The Process Approach
Strategic Approach
The Innovation Focused
Integrated Approach
Avoiding Confusion
TECHNOLOGY MANAGEMENT OR MANAGEMENT OF TECHNOLOGY ≠ MANAGEMENT TECHNOLOGY
TECHNOLOGY MANAGEMENT OR MANAGEMENT OF TECHNOLOGY ≠ ENGINEERING MANAGEMENT
Generic Management vs. Technology Management
Is there any difference between them?
Key Aspects of Technology Management
Developing technological knowledge/literacy.
Integrating technology and strategy.
Managing the use of technology.
Analyzing technology investment.
Selecting and evaluating projects.
Developing business units technology plans.
Reducing total project time.
Enhancing people performance.
MOT curriculum should be prepared to address critical technological issues:
How to integrate technology into the overall strategic objectives of the firm.
How to get into and out of technologies faster and more efficiently.
How to assess/evaluate technology more effectively.
How to best accomplish technology transfer.
How to reduce new product development time.
How to manage large, complex and interdisciplinary or inter- organizational projects/systems.
How to manage the organization’s internal use of technology.
How to leverage the effectiveness of technical professionals.