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BPT 3113 – Management of Technology

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Introduction Concept and Nature of Innovation Types of Innovation Sources of Innovation Models of Innovation Innovation Process Influencing Factors

• Explain the concept. components and characteristics of innovation • Describe the models and sources of innovation • Know the stages in the innovation process • Identify the factors that contribute to successful innovation .

developing novel products and services.• Managing technology involves continuous effort in creating technology. and successfully marketing them • It requires:  Great creativity  Investment in R&D Idea R&D Product Labs Marketplace .

.• Invention is an idea for a novel product or process • Innovation is the introduction of new products.converts knowledge into useful products and services that have socioeconomic impact. processes or services into the market place • Technological innovation begins with invention – a sub-set of innovation • The process of technological innovation is a complex set of activities that transforms ideas and scientific knowledge into physical reality and real-world applications .

 A tangible product..• Characteristics of organizational innovation are as follows: • An innovation must be. process or procedure within an organization  New to the social setting within which it is introduced  Intentional rather than accidental  A challenging change  Aimed at predicting benefit to the organization  Public in its effects ..

Physical. Material or Hardware Functional or Process Mechanism • Software • Process Reengineering Knowledge Component • Computer • Machinery • Manual • Operating instruction .

Component Innovation Technical vs.Competence Enhancing vs. Destroying Innovation Architectural Innovation vs. Incremental Product and Process Innovation . Social Innovation Radical vs.

Competence Enhancing vs. Competence Destroying • Competence enhancing innovation builds on existing knowledge and skills • Enhancing or destroying depends on whose perspective is being taken Destroying Enhancing .

Architectural Innovation that changes the overall design of a system / the way its components interact with each other Component Innovation to one or more components that does not significantly affect the overall configuration of the system .

that is the ‘useful knowledge’ that enables man for the first time to render productive people of different skills and knowledge working together in an ‘organization’ . Social • Management.Technical vs.

Create an essentially different kind of product – require customers to radically change their past behavior Make small-step improvements to the original technology and design .

Product Innovations • Improvements in existing products or creating entirely new products Process Innovations • Involve changes in existing process or adopting a entirely new process .

Economic Environment SocioCultural Environment • Changes in Demographics • Changes in Perception • Innovative Users Technological Environment • • • • New knowledge Convergence Publications Outside industries .

• Fundamental components of the model are the same but the nature of the business may dictate variations in implementation techniques. .

Martin (1994) illustrate the technological innovation process as a chain equation • Reveals the important role of entrepreneurship in connecting ideas to the marketplace • The management role in the innovation chain emphasizes: – The need for stability and control at a certain phase of the innovation process – A formalized managerial structure tends to produce incremental and process innovations more than radical innovations .

Management : How to get things done. – – – – – – Science : How things are. Technology : How to do things.Mills (1996) provided very simplified but interesting definitions for several components of the process of technological innovation known as minimalist definitions. Technology management : Doing things. Entrepreneurship : Doing things to make money Innovation : Doing entrepreneurship .

8 Stages of Technological Innovation .

1. software or service .: research conducted to develop a drug for treating a known disease 3. Technology Development  Human activity that converts knowledge and ideas into physical hardware.prototype 4. Applied Research  Directed toward solving one or more of society’s problems (specific problems)  Eg. Basic Research  Increase our general understanding of the laws of nature  Generating knowledge over a long period of time  May or may not result in specific application 2. Technology Implementation  Set of activities associated with introducing a product into the marketplace – success commercial introduction .

7.increases the life cycle of the technology 6. 8.5. distribution strategy Proliferation / Diffusion  Strategy that ensure the widespread use of the technology and its dominance in the marketplace  Depends on methods of exploiting the technology Technology enhancement  Set of activities associated with maintaining a competitive edge for the technology . Production / Manufacturing  Set of activities associated with the widespread conversion of design concepts or ideas into products and services – production control. . logistic Marketing  Set of activities that ensures that consumers embrace the technology – promotion.

exploring the human behavior in collaboration with machines – Computing challenges .exploit the numeric barrier . perspectives. KDI – Network of knowledge – integration of knowledge from different sources and domains across space and time – Learning and intelligent systems .• Border crossings (national and sectorial) – Increasing of science-technology articles with international coauthorship and also between academic and government • Emergence of complex technologies – Fit to and cause from diverse demands. approaches and contexts • Age of knowledge and distributed intelligence.

a technology that is widely diffused in the market may delay other technologies from entry .1. 4. 6. 7. The presence of scientific knowledge – technological change is dependent on scientific discoveries The level of maturity of the underlying science – a wide base of knowledge enhances technological development The type of technology and the phase of its life cycle – innovation rate is high for emerging and growing technology The level of investment in technology – technological development is connected to the level of R&D funding The level of political commitment – the pace of innovation is sensitive to high level policy decisions The ability to borrow advances from related technologies – advances in communication technology are dependent on satellite components The diffusion rate and patterns . 5. 2. 3.

12. 13. 11. 10. 14. Recognition to Technology Time to Market Multiple-site continuous R&D Improvements in Communication The Push for Education Changes in Institutional Interactions Changes in Organizational Structure . 9.8.

 Technological innovation is a sub-set of innovation  Technological innovations may arise from sources within or outside the organization  Innovation process has been viewed as a sequence of separable stages  Two basic variations of innovation models are technology push and market pull .