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Technology Management

two Greek words: téchnē -the skill or


craft needed to make something, and
loges- discussion or knowledge of a
discipline. So it is the knowledge of how
something is made.
Technology Embodied in: 1. Machines
and 2. Skills (Know how-Know why,
Process, Design-drawing, Property rights,
Training-Information).
According to a technologist cum
economist: technology is a “game” for
the rich, a “dream” for the poor and a
“key” for the wise.
The Merriam-Webster dictionary offers a
definition of the term: "the practical
application of knowledge especially
in a particular area" and "a
capability given by the practical
application of knowledge".
Bernard Stiegler, in Technics and Time,
defines technology in two ways: as "the
pursuit of life by means other than
life", and as “organized inorganic
matter”.
Technology as an application of
and technology is not always clear. Science
is the reasoned investigation or study of
phenomena, aimed at discovering enduring
principles among elements of the phenomenal
world by employing formal techniques such as
the scientific method.
Technologies are not usually exclusively
products of science, because they have to
satisfy requirements such as utility,
usability and safety.
Engineering is the goal-oriented process of
designing and making tools and systems
to exploit natural phenomena for
practical human means, often (but not
always) using results and techniques from
stone and other tools since long before the
emergence of Homo sapiens approximately
200,000 years ago)
Fire (domestication of fire occurred before
1,000,000 BC)
Clothing and shelter (as early as 380,000 BC,
humans were constructing temporary wood huts,
Clothing, adapted from the fur and hides of hunted
animals, helped humanity expand into colder
regions; humans began to migrate out of Africa by
200,000 BC)
2. Neolithic through Classical Antiquity
(10,000BC – 300AD) ("New stone age")
Metal tools (copper was probably used from near
the beginning of Neolithic times 8000BC,The first
uses of iron alloys such as steel dates to around
1400 BC)
3. Modern history (300 AD —) IPR era
Simple machines (such as the lever, the
screw, and the pulley)
More complex machines (such as the
clock, the engine, the electric generator and
the electric motor, the computer, radio, and
the Space Station, among many others)

Atomic energy, World War II, satellites,
man on moon, mobile, e-governance
etc.

Industrialization

Agriculture

It

Knowledge era (inventions, IPR.)
Technology
Management

Technology Management is set of
management disciplines that allows
organization to manage its technological
fundamentals to create competitive
advantage.

Technology Management can also be
defined as the integrated planning, design,
optimization, operation and control of
technological products, processes and
services, a better definition would be the
management of the use of technology for
human advantage.
Typical concepts used in technology
management are;
Technology strategy: a logic or role of technology in
organization

Technology mapping: identification of possible relevant


technologies for the organization

Technology road mapping: a limited set of technologies


suitable for business

Technology project portfolio: a set of projects under


development

Technology portfolio: a set of technologies in use


Terms associated with
TECHNOLOGY

R&D

Invention

Innovation

Tech. development

Tech .Strategies

Tech. adsorption and adaptation

Tech. Transfer

Tech. forecast

Tech. assessment

Tech. planning

Tech. information

Industrial property

Tech. management
Technology and Its
Environmental Interactions
Political Technical
Environment Competitive Environment

The Institution

Institutions
The Management

Technical
Resources and
Facilities

Social Economic
Environment Environment

Ecological
Environment
10
Scope of Technological
Management
KNOWLEDGE

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Technology Forecasting, Generation


Development, Transfer, Absorption,
Evaluation and Assessment and Diffusion

TRANSFORMATION CORE/KEY ELEMENTS PRODUCT/SERVICE


Technological Life Cycle

• Innovation stage (R & D labs,


prototypes)
• Syndication stage
(Commercialization of the product)
• Diffusion stage (Market
penetration)
• Substitution stage (Death)
Dimensions of Technological
Management
History of Technology
Management
 Technology is a concept that deals with a specialized usage of tools,
utilities and knowledge. It is a consequence of science and
engineering.

In technology management, the four main elements of technology


are to be handled carefully. They are:

 Technique: The management of the machinery, tools, and materials


should be done very carefully and in a systematic process.
 Knowledge: The management of the knowledge in the process of
developing the technology should be tapped and used resourcefully.
 Organization: Structuring of the work process according to
technological or socioeconomic goals or constraints.
 Product: The output of the work process and the purpose of applying
the technology.
Parameters of Technology Management
Product Quality
The quality of the product is naturally of
utmost importance to Technology
Management. Managing technology can only
improve the product quality.
Machine Productivity
Managing technology again increases the
machine productivity and is a very important
parameter in technology management.
Environment Management
Environmental factors are mostly major
factors in the development of technology. By
environment management, technology can be
made more efficient.
• Effective use of Raw Material
Raw materials in the creation of technology
are very important and needs to be
managed properly to get the right results.
• Machine Availability
Machine Availability is really important in
Technology management and is a very
important parameter.
• Energy Consumption
Energy consumption is another measure to
be taken seriously for efficient use of the
technology and its development.
Life cycle of components
The components used in the technology
management have to last for quite some time and
hence has to be used carefully and efficiently.
Innovative aspects
Innovation is considered to be greater than
invention and hence innovation has to be taken
seriously and hence is an important aspect in
technology management.

Benefits of Effective Technology Management


 Work becomes EASIER
 JOB SATISFACTION increases
 PROFITS increase
 Business Becomes COMPETITIVE
Issues of Managing New
Technology
 Managing a particular technology can be done
by using various methods.

 But managing a new technology is a huge


challenge when compared to managing an
already existing technology.

 Issues in managing a new technology start


with managing highly skilled technologists to
create the new technologies
 The next issue is the management of the most
efficient and cost effective creation of new
products based on stable technologies.
 Managing a technology has to efficient and cost-
effective otherwise there is no point in creating a
new technology if the loss is higher than the gain
to the company creating the new technology.
 To ensure this the technology to be created must
be world class and the low-tech manufacturing
must be maintained.
 The marketing and the product design should be
consumer-oriented.
The major steps to be taken when
managing a new technology are:

 Finance Management

 Human Resources Management

 Materials Management

 Operations Management.

 Maintenance Management
Technological Forecasting
• Technological forecasting is forecasting
the future characteristics of useful
technological machines, procedures or
techniques. Primarily, a technological
forecast deals with the characteristics
of technology.

To predict future demand

To minimize losses

To avoid threats
Need for
Technological Forecasting
• Scan the technological
environment.
• Anticipate technological changes.
• Identify suitable technology by
evaluating various alternatives.
• Plan the technological requirements
for future needs.
• Maximize gain from events external
to the organizations.
Methods of
Technology Forecasting
• Commonly adopted methods of
technology forecasting include the
Delphi method, forecast by analogy,
growth curves and extrapolation.
Normative methods of technology
forecasting — like the relevance
trees, morphological models, and
mission flow diagrams — are also
commonly used.
Analytical Hierarchy
Process
• AHP is a multi-criteria decision
making process introduced by
Thomas L Saaty in the 1970's
• Both quantitative and qualitative
• Mostly situation/case based
Analytical Hierarchy
Process
• The Analytic Hierarchy Process
(AHP) is a structured technique for
dealing with complex decisions.
Rather than prescribing a "correct"
decision, the AHP helps the
decision makers find the one that
best suits their needs and their
understanding of the problem.
Intellectual Property (IP)

• IP is intangible, and deals with the


know-how and the know-why.
• Intellectual property rights are a
bundle of exclusive rights over
creations of the mind, both artistic
and commercial.
• The two forms of IP are Industrial
property related IP and copyright-
related IP.
Intellectual Property (IP)

• Patents - A patent is a set of exclusive rights


granted by a state to an inventor or his
assignee for a limited period of time in
exchange for a disclosure of an invention.
• Trademarks - The purpose of a trademark is to
prevent others from using one's goods and
services, or their popularity.
• Trade Secrets
• Copyrights
Technology Forecasting
 Why people make Methods
technological forecasts?
To maximize gain from events external to an organization
To maximize gain from events that are the result of actions
taken by an organization
To minimize loss associated with uncontrollable events
external to an organization
To offset the actions of competitive or hostile organizations
To forecast demand for production and/or inventory control
• To forecast demand for facilities and
capital planning
• To forecast demand to assure
adequate staffing
• To develop administrative plans and
policy internal to an organization (I.I.
Personnel and budget)
• To develop policies that apply to
people who are not part of an
organization
Most of the items listed above boil down to the idea
of maximizing gain or minimizing loss from future
conditions.

Each item could be a reason for technological


forecasting as well as for economic, business,
political or weather forecasting.

Technology Forecasting can be done by employing


various methods such as
• Delphi Method
• Forecast by analogy
• Growth Curves
• Extrapolation
Delphi Method
• The Delphi method is a systematic, interactive
forecasting method which relies on a panel of
independent experts.
• The carefully selected experts answer
questionnaires in two or more rounds.
• After each round, a facilitator provides an
anonymous summary of the experts’ forecasts
from the previous round as well as the reasons
they provided for their judgments.
• Thus, experts are encouraged to revise their earlier
answers in light of the replies of other members of
their panel. It is believed that during this process
the range of the answers will decrease and the
group will converge towards the "correct" answer.
• Finally, the process is stopped after a pre-defined
stop criterion and the mean or median scores of
the final rounds determine the results.
• Delphi is based on the principle that forecasts from
a structured group of experts are more accurate
than those from unstructured groups or individuals.
Key Characteristics of
Delphi Method
• Structuring of the Information Flow
• Regular Feedback
• Anonymity of the participants
• Role of the Facilitator-Facilitator is the person
coordinating the Delphi Forecasting Method.

The facilitator sends out questionnaires, surveys


etc. and if the panel of experts accept, they follow
instructions and present their views.
Acceptance of Delphi
Method
Overall the track record of the Delphi method is
mixed.
There have been many cases when the method
produced poor results.
 Still, some authors attribute this to poor application
of the method and not to the weaknesses of the
method itself.
 It must also be realized that in areas such as science
and technology forecasting the degree of uncertainty
is so great that exact and always correct predictions
are impossible, so a high degree of error is to be
expected.
Growth Curves
• Growth Curves are generally used in biology but
growth curves can be applied in the field of
forecasting also.
• Growth curves, generally, are a graph which is formed
from the presently taken observations and this graph
is extended accordingly to forecast the future.
• Growth curves are used in biology mainly for Bacterial
Growth, Cancer Cell Growth, to study the growth of
children and Exponential Growth.
Extrapolation
It is the process of constructing new data points
outside a discrete set of known data points.
 It is similar to the process of interpolation, which
constructs new points between known points, but the
results of extrapolations are often less meaningful, and
are subject to greater uncertainty.
A sound choice of which extrapolation method to apply
relies on a prior knowledge of the process that created
the existing data points. Crucial questions are for
example if the data can be assumed to be continuous,
smooth, possibly periodic etc.
Various Extrapolation Methods include

• Linear Extrapolation

• Polynomial Extrapolation

• Conic Extrapolation

• French Curve Extrapolation


Morphological Analysis
• It involves the systematic evaluation of all possible
combination of solutions to individual parts of a
whole system.
• In this analysis the whole problem is broken into
parts which could be treated independently with
several solutions to each problem.
• The forecast is made on the combination of such
solutions of each part to satisfy the desired
objective of the whole system.
Analytic Hierarchy Process-
AHP
• The Analytic Hierarchy Process (AHP) is a
structured technique for dealing with
complex decisions.
• AHP helps the decision makers find the one
that best suits their needs and their
understanding of the problem.
• AHP first decompose their decision problem
into a hierarchy of more easily
comprehended sub-problems, each of which
can be analyzed independently.
Decision situations to which the AHP can be applied include:

Choice - The selection of one alternative from a given set


of alternatives, usually where there are multiple decision
criteria involved.
Ranking - Putting a set of alternatives in order from most
to least desirable
Prioritization - Determining the relative merit of members
of a set of alternatives, as opposed to selecting a single
one or merely ranking them
Resource allocation - Apportioning resources among a set
of alternatives
Benchmarking - Comparing the processes in one's own
organization with those of other best-of-breed
organizations
Quality management - Dealing with the multidimensional
aspects of quality and quality improvement
Application Areas of AHP in the recent past include:
• Deciding how best to reduce the impact of global
climate change.
• Quantifying the overall quality of software systems
(Microsoft Corporation)
• Selecting university faculty (Bloomsburg University of
Pennsylvania)
• Deciding where to locate offshore manufacturing
plants (University of Cambridge)
• Assessing risk in operating cross-country petroleum
pipelines (American Society of Civil Engineers)
• Deciding how best to manage U.S. watersheds (U.S.
Department of Agriculture)
AHP procedure is summarize as follows:

1. Model the problem as a hierarchy containing the


decision goal, the alternatives for reaching it, and the
criteria for evaluating the alternatives.

2. Establish priorities among the elements of the


hierarchy by making a series of judgments based on
pair wise comparisons of the elements. For example,
when comparing potential real-estate purchases, the
investors might say they prefer location over price
and price over timing.
3.Synthesize these judgments to yield a set of overall
priorities for the hierarchy. This would combine the
investors' judgments about location, price and
timing for properties A, B, C, and D into overall
priorities for each property.

4. Check the consistency of the judgments.

5. Come to a final decision based on the results of


this process.
Broader explanation:

The first step in the Analytic Hierarchy Process is


to model the problem as a hierarchy.
In doing this, participants explore the aspects of
the problem at levels from general to detailed,
then express it in the multileveled way that the
AHP requires.
The second step is to build a hierarchy, the
understanding of the problem is increased and
also of its context, and of each other's thoughts
and feelings about both.
The third step is to structure the hierarchy.
Diagrams of hierarchies are often shaped roughly
like pyramids, but other than having a single
element at the top, there is nothing necessarily
pyramid-shaped about a hierarchy.

An AHP hierarchy is a structured means of


modelling the problem at hand. It consists of an
overall goal, a group of options or alternatives for
reaching the goal, and a group of factors or criteria
that relate the alternatives to the goal.
The criteria can be further broken
down into sub criteria, sub-sub criteria,
and so on, in as many levels as the
problem requires.
The hierarchy can be visualized as a diagram like
the one above, with the goal at the top, the
alternatives at the bottom, and the criteria in the
middle.
Each box is called a node.
The boxes descending from any node are called its
children.
The node from which a child node descends is
called its parent.
Groups of related children are called comparison
groups.
The parents of an Alternative, which are often
from different comparison groups, are called its
covering criteria.
To avoid clutter in AHP diagrams, the lines connecting
alternatives and their covering criteria are often omitted or
reduced in number.
Regardless of any such simplifications in the diagram, in
the actual hierarchy each alternative is connected to every
one of its covering criteria.
The design of any AHP hierarchy will depend not only on
the nature of the problem at hand, but also on the
knowledge, judgments, values, opinions, needs, wants, etc.
of the participants in the process.
As the AHP proceeds through its other steps, the hierarchy
can be changed to accommodate newly-thought-of criteria
or criteria not originally considered to be important;
alternatives can also be added, deleted, or changed.
Establish Priorities

 Once the hierarchy has been constructed, the


participants use AHP to establish priorities for all its
nodes.
 In doing so, information is elicited from the
participants and processed mathematically. This
section explains priorities, shows how they are
established, and provides a simple example.
 Priorities are numbers associated with the nodes of
an AHP hierarchy. They represent the relative
weights of the nodes in any group.
 By definition, the priority of the Goal is 1.000.
 The priorities of the Criteria will always add up to 1.000.
 The same is true with the Alternatives.
 Like probabilities, priorities are absolute numbers between
zero and one, without units or dimensions.
 A node with priority .200 has twice the weight in reaching the
goal as one with priority .100, ten times the weight of one
with priority .020, and so forth.
 Depending on the problem at hand, "weight" can refer to
importance, or preference, or likelihood, or whatever factor is
being considered by the decision makers.
In the following example, observe that
the priorities on each level of the
example—the Goal, the Criteria, and
the Alternatives—all add up to 1.000.
Similarly, additional concepts such as local priorities
and global priorities may also be considered.

The local priorities represent the relative weights of the


nodes within a group of siblings with respect to their
parent. The local priorities of each group of Criteria and
their sibling Sub criteria add up to 1.000.

The global priorities, shown in black, are obtained by


multiplying the local priorities of the siblings by their
parent’s global priority. The global priorities for all the
sub criteria in the level add up to 1.000.
In this way, the weights for various criteria,
sub-criteria, sub-sub-criteria and so on are
assigned and the different options are
compared with each other.

With the help of these comparisons, the final


solution to the problem is chosen.

In this way, Analytic Hierarchy Process is


done.
Thank You.

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