30093647 chap 017
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ManagingManaging
Technology Technology
andand
InnovationInnovationChapter 17Chapter 17
Copyright © 2011 by the McGraw-Hill Companies, Inc. All rights resere!. McGraw-Hill"Irwin
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Learning ObjectivesLearning Objectives
LO 1 List the types of processes that spurdevelopment of new technologies
LO !escribe how technologies proceedthrough a life cycle
LO " !iscuss ways to manage technologyfor competitive advantage
LO # $ummari%e how to assesstechnology needs
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Learning Objectives 'cont()Learning Objectives 'cont()
LO * Identify alternative methods ofpursuing technological innovation
LO + !e,ne -ey roles in managingtechnology
LO 7 !escribe the elements of an
innovative organi%ationLO . List characteristics of successful
development projects
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Technology and Innovation Technology and Innovation
Technology The systematic
application of
scienti,c-nowledge to anew product/process/ or
service(
17
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0uestion0uestion
is a change in method ortechnology(
2(Innovation3(0uality
C($peed
!($ervice
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Technology and Innovation Technology and Innovation
Innovation 2 change in method or technology4 a
positive/ useful departure from previousways of doing things(
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5orces !riving Technological5orces !riving Technological
!evelopment!evelopment
1( Must be a need/ or demand/ for thetechnology
( Meeting the need must be theoreticallypossible/ and the -nowledge to do somust be available from basic science
"( Must be able to convert the scienti,c-nowledge into practice in bothengineering and economic terms
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5orces !riving Technological5orces !riving Technological
!evelopment!evelopment
#( The funding/ s-illed labor/ time/space/ and other resources needed
to develop the technology must beavailable
*( 6ntrepreneurial initiative is needed
to identify and pull all the necessaryelements together(
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Technology Life Cycle Technology Life Cycle
Technology life cycle 2 predictable pattern followed by a
technological innovation/ from itsinception and development to mar-etsaturation and replacement(
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The Technology Life Cycle The Technology Life Cycle
17&18Figure 17.1
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Technology !issemination 9attern Technology !issemination 9attern
and 2dopter Categoriesand 2dopter Categories
17&11Figure 17.2
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!i:usion of Technological!i:usion of Technological
InnovationsInnovations
17&1
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!i:usion of Technological!i:usion of Technological
InnovationsInnovations
An innovation will spread quickly ifit ;as a great advantage over its predecessor
Is compatible with e
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Technological Innovation in a Technological Innovation in a
CompetitiveCompetitive
6nvironment6nvironment
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2dvantages and !isadvantages of 2dvantages and !isadvantages of
Technology Leadership Technology Leadership
17&1*Table 17.1
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Technology 5ollowership Technology 5ollowership
2 manager=s decision on when toadopt new technology also depends
on the potential bene,ts of the newtechnology/ as well as theorgani%ation=s technology s-ills
5ollowing the technology leader cansave development e
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!ynamic 5orces of a Technology=s!ynamic 5orces of a Technology=s
Competitive ImpactCompetitive Impact
17&17Figure 17.3
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2ssessing Technology @eeds2ssessing Technology @eeds
Technologyaudit 9rocess of
clarifying the -eytechnologies onwhich anorgani%ation
depends
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Measuring CurrentMeasuring Current
Technologies Technologies Key
technologieshave proved
e:ective/ but theyalso provide astrategicadvantage
because noteveryone usesthem
Basetechnologiesare those that are
commonplace inthe industry4everyone must
have them to beable to operate
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0uestion0uestion
>hat is the process of comparing theorgani%ation=s practices and technologieswith those of other companies?
2(3enchmar-ing
3(0uality control
C($canning!(6nvironmental scanning
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2ssessing 6
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2ssessing 6
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Aey 5actors to Consider inAey 5actors to Consider in
Technology !ecisions Technology !ecisions
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5raming !ecisions about5raming !ecisions about
Technological Innovation Technological Innovation
17&+Table 17.2
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$ourcing and 2cBuiring @ew$ourcing and 2cBuiring @ew
Technologies Technologies
ake!or!"uy decision The Buestion an organi%ation as-s itself
about whether to acBuire newtechnology from an outside source ordevelop it itself(
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$ourcing and 2cBuiring @ew$ourcing and 2cBuiring @ew
Technologies Technologies
Internaldevelopment
Purchase
#ontracteddevelopment
$icensing
Technologytrading
%esearch
partnershipsand &ointventures
Acquisition ofthe owner ofthe technology
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$ourcing and 2cBuiring @ew$ourcing and 2cBuiring @ew
Technologies Technologies
anagers should ask the following "asic questions'
1( Is it important 'and possible) in terms ofcompetitive advantage that the
technology remain proprietary?( 2re the time/ s-ills/ and resources for
internal development available?
"( Is the technology readily available outsidethe company?
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Technology 2cBuisition Options Technology 2cBuisition Options
17&"8
Figure 17.4
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0uestion0uestion
>hich e
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Technology and Managerial Technology and Managerial
olesoles
#hief information o(cer )#I*+ e
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Technology and Managerial Technology and Managerial
olesoles
Technical innovator 2 person who develops a new
technology or has the -ey s-ills to installand operate the technology
Product champion 2 person who promotes a new
technology throughout the organi%ationin an e:ort to obtain acceptance of andsupport for it(
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Technology and Managerial Technology and Managerial
olesoles
E,ecutivechampion 2n e
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Organi%ing for InnovationOrgani%ing for Innovation
-nleashing creativity involvesencouraging creativity and
celebrating failure
Bureaucracy "usting is necessary
because bureaucracy is the enemyof innovation
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"M=s ules for an Innovative"M=s ules for an Innovative
CultureCulture
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Organi%ing for InnovationOrgani%ing for Innovation
.evelopment pro&ect 2 focused organi%ational e:ort to create
a new product or process viatechnological advances
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Organi%ing for InnovationOrgani%ing for Innovation
Sociotechnical systems 2n approach to job design that attempts
to redesign tas-s to optimi%e operationof a new technology while preservingemployees= interpersonal relationshipsand other human aspects of the wor-
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Compensation 9ractices inCompensation 9ractices in
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Compensation 9ractices inCompensation 9ractices in
Traditional and 2dvanced Traditional and 2dvanced
Manufacturing 5irmsManufacturing 5irms
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Table 17.4
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!estination C6OD 2dobe!estination C6OD 2dobe
!iscuss the roleof innovation at2dobe(
If you were amanager/ howwould you
encouragecreativity?
17 #8
http://www.adobe.com/