Topic 2: Overview of Technology Management

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Topic 2 Overview of Technology Management

• Chapter 1
• Harrison Samson (2002)

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Technology Management Field

• Topics that will be emphasized in this class
  include
• Technology Strategy
• Development of Technological capability
• Innovation management
• Technology management and business
  competitiveness interface
• Technology adoption
• E-business and Virtual Corporation

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Definitions

• Technology (for the purpose of this class) refers
  to information technology (IT), which includes
  computer hardware/software, telecommunications,
  networks, and database.
• Management function include planning, organizing,
  coordinating, and controlling

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Fact

• Effective use of IT provides a competitive edge.
• IT is a means, not an end.
• People are the most important resources.
• Most projects fail due to poor management.

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Innovation

• Innovation refers to new products, new
  processes, new managerial approaches, and
  combinations of the above.
• An important aspect of innovation is Adoption
  and implementation of IT.

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Variables related to Innovation (Burgelman
Maidique 1988)

• Resource availability and allocation
• Ability to understand competitors innovative
  strategies
• The business technological environment
• Structure and cultural context
• Strategic management capacity in dealing with
  entrepreneurial behavior

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Success Factors of TM (Maidique Hayes in
Burgelman Maidique 1988)

• Business focus
• Adaptability
• Organizational cohesion
• Entrepreneurial culture
• A sense of integrity
• Hands-on top management

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Framework for Reviewing Technological Innovation
8 Stages

• Discovery of a new idea or product
• Emergence of the proposed idea or design concept
• Verification of the theory or design
• Demonstration of a prototype
• Trail and evaluation
• Commercial introduction or initial operation of
  the innovation
• Innovation adoption
• Innovation proliferation

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IT and Market

• Balancing between technology push and market
  pull
• Proactive approach for technical development
• Feasibility of an innovation technologically and
  commercially
• Congruent of an innovation with corporate
  objectives and goals

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Manager Perspective on Managing Technology

• Advanced technology can create an abrupt change
  in businesses.
• New technology requires (Beatty 1992)
• A skilled champion
• A plan for systems integration
• Organizational integration

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Barriers to Success

• Failure of a champion
• Lack of systems integration
• Incompatible systems
• Lack of a cross-functional team

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Lessons Learned

• Imbalance between technology generation and
  technology diffusion in the US (Alic 1993)
• Requirements of international facility location
  and technology transfer (Woodward Liu 1993).
• Technology will be useful only when it is used.
• More emphasis needs to be placed on adoption,
  adaptation, and exploitation of technology

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Lessons Learned (Cont)

• Protecting existing technology rather than
  promptly embracing new technology becomes a dead
  end strategy (Ali Zahra 1994). E.g., IBM vs.
  HP.
• Customer involvement leads to success.
• Managers today must understand
• Impact of IT on the strategic and organizational
  changes
• New role of IT in integrating different business
  functions in systems design

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Technology Transfer (Hunter 2001,
http//www.nwci.org.uk/resources/licensing.ppt)

• Similar to tangible assets, technology can be
  bought, sold, or lease
• Intellectual property rights can also be bought
  and sold, or licensed for a limited time, to
  another party

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Technology Licensing

• Inward and outward licensing deals with the issue
  of intellectual property, which is beyond the
  scope of this study
• Example Infocus http//www.i-infocus.co.uk/main.p
  hp

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Flexibility and Technology

• Flexible systems and computer integrated
  manufacturing (CIM) are used in manufacturing.
• It is not clear whether or not there is a direct
  link between flexibility and increased
  performance.
• Other factors such as organizational structure,
  culture, and management processes can influence
  the outcome.

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Technology Forecasting (TF)

• Evolution of RD Management
• 1950-1975 TF is tactical, isolated, and not a
  pervasive part of strategic planning.
• 1975-1990 TF is a data-gathering and
  environmental scanning exercise, still an
  isolated subtask of strategic planning.
• 1990-present TF is an integral part of strategic
  planning and business intelligence.

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Technology People

• It is true that peoples abilities havent
  changed much while technology (esp. IT) has
  changed dramatically Harrison Samson (2002).
  However, peoples behavior has changed
  significantly, which the authors fail to
  emphasize. Thus, the way we manage people must
  be changed as well.
• Although Harrison Samson (2002) argue
  technological resources are becoming more
  important than human resources in determining
  competitive outcomes (p. 15), I disagree as
  weve seen so many IS project failures due to
  lack of skilled people and poor management.
  Research in the past few years has begun to call
  for more studies done on the human factor because
  it has been ignored for too long.

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Summary

• Technology management is critical for not only
  creating but also sustaining a competitive
  advantage of an organization.
• Technology consideration must be an integral part
  of a firms business strategy.
• Change in technology without change in the way it
  is used can lead to failure.
• Technology and human resources must be working in
  an integral manner to ensure success.
• Leaders must have a strong knowledge and
  capability in managing both technology and
  people.