Lecturer Notes of Management of Technology Department of BBA

UNIT 6
ASPECTS AND ISSUES IN TECHNOLOGY MANAGEMENT

6.1. Introduction to Technological change:

• Technology refers to the tools, techniques, and systems that are used to produce goods
or services or full fil the objective of scientific experiments.
• It encompasses a wide range of fields, including information technology, engineering,
healthcare, and transportation.
• Technology has played a significant role in human history, and it continues to shape
the way we live and work
• Technological change refers to the process of introducing new technologies into a
society or industry through invention, innovation and diffusion of technology.
• This can involve the development of new products or processes, or the adoption of
existing technologies in new ways.
• Technological change can have a significant impact on the way people live and work,
and it can also affect the economy and social structure of a society.
• It can lead to new jobs and industries, but it can also result in the displacement of
workers who are unable to adapt to the new technologies.
• Overall, technological change is a driving force behind economic growth and
development.

characteristics of technological change:

1. Technological change is continuous: New technologies are constantly being
developed and introduced, and the pace of technological change is often accelerating.
2. Technological change is cumulative: Each new technology builds on the ones that
came before it, so the impact of technological change is often greater over time.
3. Technological change is transformative: New technologies can have a profound
impact on society and the way people live and work.
4. Technological change is often accompanied by social and economic change: The
introduction of new technologies can lead to changes in the economy, the workforce,
and social relationships.
5. Technological change can be disruptive: The adoption of new technologies can
sometimes lead to disruption and upheaval, as people and organizations adjust to the
changes.
6. Technological change can have both positive and negative impacts: While new
technologies can bring benefits and improvements, they can also have unintended
consequences and negative impacts.

There are several ways to classify technological change:

1. Incremental vs. radical: Incremental technological change involves small, gradual
improvements to existing technologies, while radical technological change involves
more significant breakthroughs or innovations.
2. Continuous vs. discontinuous: Continuous technological change refers to a steady and
gradual process of technological development, while discontinuous technological
change refers to more dramatic shifts or changes in direction.

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 Lecturer Notes of Management of Technology Department of BBA

3. General-purpose vs. specific-purpose: General-purpose technologies are those that

have wide-ranging applications and can be used in many different industries, while
specific-purpose technologies are designed for a specific task or industry.
4. Adoption vs. diffusion: Adoption refers to the process of introducing a new technology
into a society or organization, while diffusion refers to the spread of a technology from
one place or group to another.
5. Leading vs. lagging: Leading technologies are those that are at the forefront of
technological development and are driving change, while lagging technologies are
those that are slower to adopt new technologies.

The process of technological change involves several stages:

1. Idea generation: This is the stage at which new ideas for technologies are generated
and explored.
2. Research and development: During this stage, research is conducted to determine the
feasibility of the new technology and to develop prototypes or proof-of-concept models.
3. Commercialization: If the technology is deemed to be viable, the next step is to
develop a plan for bringing it to market. This may involve obtaining funding, building
manufacturing facilities, and developing marketing and distribution strategies.
4. Diffusion and adoption: Once the technology is available for purchase, it begins to
spread and be adopted by individuals and organizations. This can be a slow process, as
people and organizations need time to evaluate the technology and determine whether
it meets their needs.
5. Maturity and decline: Eventually, the technology will reach a point of maturity, at
which point it may begin to decline in popularity as newer technologies are developed.

6.2Impact of technological change:

✓ Technological change can have a wide range of impacts, both positive and negative.
Some of the potential impacts of technological change include:
1. Economic impacts: Technological change can lead to increased productivity and
efficiency, which can drive economic growth and development. However, it can also
result in the displacement of workers, as automation and new technologies can make
certain jobs obsolete.
2. Social impacts: Technological change can lead to changes in the way people live and
work, and it can also affect social relationships and interactions. For example, social
media and other technologies have changed the way people communicate and connect
with one another.
3. Environmental impacts: Some technologies can have negative impacts on the
environment, such as by contributing to pollution or resource depletion. On the other
hand, other technologies can be developed with the goal of reducing environmental
impacts.
4. Political impacts: Technological change can also have political implications, as it can
affect the balance of power among countries and industries.
5. Cultural impacts: New technologies can also have an impact on culture, as they can
change the way people think and behave

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 Lecturer Notes of Management of Technology Department of BBA

6.3Technology Life Cycle:

✓ The technology life cycle refers to the stages of development that a technology goes
through from its inception to its eventual obsolescence.
The technology life cycle includes the following stages:
1. Research and development: This is the stage at which new ideas for technologies are
explored and developed.
2. Introduction: During this stage, the technology is introduced to the market. This can
involve the development of manufacturing facilities and the creation of marketing and
distribution strategies.
3. Growth: If the technology is successful, it will enter a stage of growth, during which
it becomes more widely adopted and begins to generate significant revenues.
4. Maturity: As the technology becomes more widespread and reaches a point of
saturation in the market, it enters a stage of maturity. At this point, growth slows and
the technology becomes more established.
5. Decline: Eventually, the technology will begin to decline in popularity as newer
technologies are developed and adopted. This can lead to a reduction in revenues and
market share.
6. Obsolescence: If the technology is no longer used or has been completely replaced by
newer technologies, it becomes obsolete.

6.4.Technological Development Options and Strategies:

✓ There are several options and strategies that organizations can use to pursue
technological development:
1. In-house development: Some organizations choose to develop new technologies
internally, using their own research and development resources.
2. Collaborative development: Other organizations may choose to collaborate with other
companies, research institutions, or government agencies to develop new technologies.
3. Licensing: Another option is to license technologies from other organizations or
inventors.
4. Acquisition: Some organizations may choose to acquire other companies or
technologies in order to access new technologies or expertise.
5. Open innovation: This approach involves actively seeking ideas and technologies
from external sources, such as through crowdsourcing or partnerships with external
organizations.
6. Focused innovation: This strategy involves focusing on a specific area or problem and
developing technologies that address that specific need.

The choice of strategy will depend on the organization's goals, resources, and capabilities, as
well as the specific technology and market conditions.

6.5 Technology and Socio-Economic Planning:

✓ Technology and socio-economic planning are closely linked, as technology can have a
significant impact on the economy and society. Socio-economic planning involves the
development and implementation of policies and strategies to address social and
economic issues and promote development.
✓ Technology can play a key role in socio-economic planning by providing tools and
solutions that can help to address these issues and promote development.

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 Lecturer Notes of Management of Technology Department of BBA

For example, technology can be used to improve healthcare delivery, increase access to
education, and support the development of new industries and businesses. In order to
effectively incorporate technology into socio-economic planning, it is important for
governments and other organizations to have a clear understanding of the potential impacts and
implications of new technologies. This may involve conducting research and analysis to assess
the costs, benefits, and risks associated with different technologies.

6.6 Diffusion and Growth of Technologies:

✓ The diffusion and growth of technologies refer to the process by which new
technologies are adopted and spread within a society or market.
✓ The rate at which a technology diffuses and grows can have significant impacts on
society and the economy.
There are several factors that can influence the diffusion and growth of technologies, including:
1. The aware of benefits of the technology: Technologies that offer clear benefits and
solve pressing problems are more likely to be adopted and spread quickly.
2. The costs of adoption: If the costs of adopting a technology are too high, it may be
slower to spread.
3. The presence of complementary technologies: The adoption of a new technology
may be facilitated if it can be easily integrated with other technologies that are already
in use.
4. The presence of supporting infrastructure: If the necessary infrastructure is not in
place, the adoption and diffusion of a technology may be slowed.
5. The influence of opinion leaders: If influential people or organizations adopt a
technology and speak positively about it, it may encourage others to do the same.

Understanding these factors can help organizations and policy makers to anticipate and
facilitate the diffusion and growth of new technologies

6.7Information technology revolution:

✓ The information technology (IT) revolution refers to the rapid advancement and
widespread adoption of computers and other information technologies, which have
transformed many aspects of society and the economy. The IT revolution began in the
mid-20th century and has continued to accelerate, with the development of new
technologies such as the internet, mobile phones, and cloud computing.
The IT revolution has had a number of significant impacts, including:
1. Increased productivity: The use of computers and other information technologies has
allowed organizations to automate many tasks and processes, leading to increased
efficiency and productivity.
2. Greater access to information: The internet and other technologies have made it
easier for people to access information and resources, leading to increased knowledge
and understanding.
3. Changes in the way people communicate: The widespread use of email and social
media has changed the way people communicate with one another, and has made it
easier to connect with people all over the world.
4. Changes in the way people work: The IT revolution has led to the development of
new industries and has changed the way many people work, with the rise of
telecommuting and remote work.

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 Lecturer Notes of Management of Technology Department of BBA

5. Economic impacts: The IT revolution has had a significant impact on the global
economy, with the development of new industries and the growth of tech-based
businesses.

6.8Macro effects of technological change:

✓ Technological change can have macro effects, which are impacts that are felt at the
level of the entire economy or society.
Some of the macro effects of technological change include:
1. Economic growth: Technological change can lead to increased productivity and
efficiency, which can drive economic growth and development.
2. Changes in employment: The adoption of new technologies can lead to the
displacement of workers, as automation and new technologies can make certain jobs
obsolete. At the same time, technological change can also create new job opportunities
in emerging industries.
3. Changes in the structure of the economy: Technological change can lead to the
development of new industries and the growth of certain sectors of the economy, while
other industries may decline.
4. Changes in the distribution of income: Technological change can affect the
distribution of income, as those who are able to take advantage of new technologies
may see their incomes rise, while others may see their incomes fall.
5. Changes in the balance of power: Technological change can also affect the balance
of power among countries and industries, as those who are able to develop and adopt
new technologies may gain a competitive advantage.

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