Principles of Technology

Management – (FUS-CC-623)

Department of Futures Studies

University of Kerala
 Management of Technology - Scope
• At the present time it is difficult to find organizations that
manage technology as an integrated function and holistically.
• Figure shows a five-phase continuum for managing
technology.
• This is a simplified version but is presented here to show what
MOT includes.
• The 5 phases are arbitrary because in reality there could be 20
or more different phases.
• In this scenario each function would represent a phase.
Phases of Technology Integration for MOT
Phase - I
• Much of what is described as MOT is generally a
phase I effort involving some overlap with phase2.
• Managing research and development usually receives
the greatest amount of attention in reference to
management of technology.
• These two functions also overlap with what is often
referred to as “Managing Engineering”.
• Phase 1 does not involve managing technology.
• It is, pure and simple , management of research and
management of development.
• since these functions are often only loosely
connected.
Phase - II
• Phase 2 adds Design and Manufacturing to Research
and Development
• Links the product side of the business with the process
side.
• Little by little organizations have learned that designs
must eventually be transformed into some form of
tooling and eventually to a manufacturable product
that meets certain quality and reliability standards.
• Phase 2 requires integration of these four functions
into a cohesive group
Phase - III
• Phase 3 adds the marketing, sales, physical distribution, and
customer service activities.
• It is the minimum level at which an organization can claim to
have a semblance of an MOT approach.
• Certain conditions preclude pursuing the requirements of phase
3.
• The primary constraint involves trying to integrate eight
different major functions with a multiplicity of sub functions
into some form of cohesive system.
• But these are the functions that are directly responsible for new
products and processes and must be integrated in the process of
introducing new products.
Phase – III(Contd...)
• While research and development may be
working on a new product, the remaining
functions in phase 3 may be sitting on the
sidelines waiting for something to happen.
• They are part of the project in name only.
• Approaches such as concurrent engineering
have attempted to resolve some of the issues,
but with relatively little success.
Phase – III(Contd...)
• Implementing a phase 3-or-beyond approach to MOT requires
certain specific operational characteristics:
• A level of integrity (call it honesty or ethics; it must be
practiced) far above what is generally practiced.
• The ability to face up to the unresolved and potentially
unresolved issues; problems cannot be hidden.
• Continuous sensitivity to issues that may in some way
modify the initial assumptions ; if original assumptions have
changed, recognize those changes and act accordingly.
Phase - IV
• Phase 4 adds the administrative functions to
the integration process.
• These include the major functions such as
human resources, finance, purchasing, patent
and legal , public relations, and general
administration.
Phase - V
• Phase 5, the ultimate level of integration , adds customers,
suppliers, and other internal and external influencers.
• These five phases represent one approach for considering
“management of technology” as a model for managing.
• Attempting to reach phase 5 is not an easy task when research
shows that most organizations operate someplace between
phase I and phase2.
• In reality management of technology begins in phase 3, where
integration of the concept to commercialization process
begins.
 System Model : Resources , Infrastructure and
Activities
• Discussing MOT as an abstract concept does not provide much insight
into the complexity of practicing the basics of MOT.
• Management of technology is practitioner based.
• In that sense MOT is complicated by the fact that it involves
interaction of people with their strengths, weaknesses, foibles, biases,
aspirations, and so on.
• But the difficulties in exploiting MOT come from a narrow
description of the resources of an organization, a lack of
consideration of the business infrastructure, and little,
• If any , consideration for the specific activities that are assigned the
resources.
• Resources include more than people, plant and equipment, and
money.
Elements of Resources, Infrastructure
and Activities
Resources
• Figure shows a “System Model” relating Business Resources,
Infrastructure, and Activities.
• It lists the Primary elements related to each.
• Each element consists of many sub elements depending on particular
business unit under consideration.
• People, Plant and Equipment and finance are the Traditional
resources.
• These are inadequate in a technology environment.
• As an example, Intellectual property, Information, Organizational
characteristics, Time, and Customers and Suppliers are seldom
considered as resources.
• These resources are inside or outside the organization and all are
interdependent.
• No single resource, by itself, provides any beneficial business result.
Resources(Contd...)
• “Technology” is highlighted as one of 11 Resources.
• The successful use of technology depends on the availability of the other
10 resources.
• This is not a profound discovery, yet organizations ignore these
relationships.
• “Time” is a vital resource. It cannot be replaced . It includes total time,
cycle time duration, and timing.
• “Information” is a resource, but the sources and integrity of the
information must be known.
• “Organizational characteristics” are a resource and include more than
culture.
• Even from the limited perspective of culture, it is a resource.
• But when characteristics are described as those principles and practices
that differentiate one organization from another, the importance as a
resource
Infrastructure
• The business unit infrastructure elements listed in Fig are equally important and
determine the viability of the resources.
• Infrastructure plays a major role in business performance.
• Purposes (mission), objectives, and strategies must flow down to the people who
make things happen-those responsible for doing the work.
• Organizational structure-the real operative organizational structure, not the
rectangular boxes on the organization chart-must meet the needs for a particular
activity.
• Guiding principles, policies and practices, and management attitudes
determine how people respond to the organization's purposes, objectives, and
strategies.
• The breadth of management expertise and knowledge provides the underlying
understanding for effective decision support and decision making.
• If the infrastructure does not support innovation and accept the associated risk,
none will surface.
• And finally, the manner in which the organization communicates-not just from the
top down, but from the bottom up-and laterally-determines how this infrastructure
is perceived by those who are asked to respond.
Activities
• Resources and Infrastructure do not reside in a vacuum.
• They are applied to some type of activity and can be classified
in many different ways.
• Each of these activities will be impacted differently by the
resources and the infrastructure.
• Consider, as an example, the specific activity related to a
project.
• Exploitation of all the resources is essential.
• Infrastructure must support the objectives of the project.
• The project must meet the requirements of the purposes,
objectives, and strategies of the organization.
“Technology” as a Resource
• The relationship of the elements of this model relating resources,
infrastructure, and activities is complex.
• But then, there is no reason to think that managing is a simple
process.
• In Fig. technology is highlighted as one of the resources.
• But Technology as a resource is effective only if it is applied to
some specific activity and within the confines of a particular
infrastructure.
• The same is true for every other element of the resources.
• People without technology, without available time, and without
input from customers do not enhance performance.
• People without a supporting infrastructure do not enhance
performance.
• People without assigned or self-generated activities do not enhance
performance.