mi 0040 final assignment

7/30/2019 MI 0040 Final Assignment

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MBA SEMESTER 4[MI0040TECHNOLOGY MANAGEMENT]

Name: B RUKMANGADA RAO

Roll #: 511222719 Page 1

Q1. Define the term technology. Write a short note on evolution and growth of technology.

The term technology refers to knowledge, processes or products of technological activities, according to

the context in which it is used, and the term management refers to the act of getting people together to

achieve a specific goal. Management refers to the process of planning, organizing, staffing, directing,

and controlling the activities in an organization. Thus, we can say that management of

technology/technology management includes the factor of technology in all the activities like planning,

organizing, resourcing and leading the organization.

Different people think differently about technology. In the context of business, economists consider

technology as the knowledge used in the production, commercialization and distribution of goods and

services. We will also discuss about the evolution and growth of technology. We will analyze the role

and significance of technology management. In this unit, we will also study the impact of technology on

society and business. We will also analyze the two forms of technology that is process technology and

product technology.

Technology is derived from the Greek word technologies in which "techne" means craft and "logia"

means saying. On the whole, technology means having the knowledge of making something.

In the previous section, we learnt about the concept and meaning of technology. Now, we will

discuss about the evolution of technology, before going to the other topics about technology. The

history of technology dates back to the time when humans were able to prepare some simple tools with

easily available natural resources. History indicates that the advancement in technology had a major

leap with the invention of the wheel. From the invention of the wheel, much usage of the technologyhas started. The technology in all the fields has grown to a larger extent and now we can see the

technology involved in almost all the things we use in our daily life.

Q2. Citing an example, state and explain the reasons that compel accompany to go for the new

technology.

Reasons Compelling a Company for Obtaining a New Technology

The use of new technologies plays an important role in the industry. Whenever accompany wants to

adapt the new technologies, it has to make decisions related to the acquisition of the technology. The

company has to see the experience of its R&D for the actual need of acquiring the knowledge. The

acquisition of technology becomes critical when the market lead time and competition is more. The

following explains the reasons that compel the company for technology acquisition.

Technology acquisition helps to bridge the gap in technology, in the developing countries like India. The

fastest way of bridging the technology gap is through collaborations. Acquiring the technology from

outside company is more costly than acquiring technology from the R&D of the same company. It will be

better, if we develop the new technologies from the in-house R&D. The dependence of the companion

the collaboration is bad and we should have the self-reliance in the company everytime.3

Technology acquisition depends on the policy environment. Sometimes the economic policies do not

allow the foreign countries to sell their goods and services in the domestic market. In such times, the


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foreign companies can get the financial returns only through the collaboration and selling the raw

materials and components.5

Technology acquisition is the process by which a company acquires the rights to use and exploit a

technology for the purpose of improving or renewing processes, products or services. It does not include

retailed or mass market off the shelf software which is generally governed by non-negotiable "shrink

wrapped" licenses.7

Technology acquisition is mainly designed for business-to-business technology acquisition. In few cases,

technology comes from a university or research organization. The origin of the technology can take

place in any area but it has tobe tested, proven and ready to use.

Technology acquisition helps for enhancing the productivity of an organization. The company planning

for technology acquisition has to make the agreement between the two companies and even the details

of the costs are also present as part of the application

Q3. Describe some characteristics of technology forecasting. Explain in brief about the six phases in

technology forecasting process.

A technological forecast relates to certain characteristics such as levels of technical performance (e.g.,

technical specifications including energy efficiency, emission levels, speed, power, safety, temperature,so on), rate of technological advances (introduction of paperless office, picture phone, new materials,

costs, so on).

A technological forecast also relates to useful machines, procedures, or techniques. In particular, this is

intended to exclude the items intended for pleasure or amusement from the domain of technological

forecasting, since they depend more on personal tastes rather than on technological capability.

A technology forecast can be for short-term, medium-term, and long-term.

Technology forecast method

There are some steps in deciding the technology forecast method. We will now discuss these steps:

Selecting information requirements

In this first step in deciding the technology forecast project, we have to determine the purpose of theforecast that the project has to serve. We require the following information in this case of forecast.

The rate at which new technologies replace the old one

This tells the rate at which the new technology replaces the old technology. The substitution analysis is

helpful for the growth of the company. For example, the substitution of copper cable with the optical

fibre cable.

Assistance in the management of R&D

The forecast helps to set the realistic goals for product or process of R&D project. Technology forecast

also helps in setting the strategies for different technologies. Technology helps to improve the overall

schedule of the R&D.

Evaluation of the present value of technology being developed

It is common that we provide the monetary value to the technology during its development. Use of

technology forecast in the evaluation process involves the analysis. In this, we consider when and to

what extent the technology will be commercialized. This involves the way profitability of a company is

affected by competing and non-competing technologies.

Evaluation of the new products that can present threats or opportunities

The evaluation is done to verify whether the new product is causing the threats or causing the

opportunities.

Analysis of new technologies that may change the strategies


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This analysis helps to evaluate the improvements that a new technology offers for its internal strategies.

The elements of a forecast - the output

The data that is collected for the forecasting process defines the amount of information that is

contained in the technology forecast. We can divide the information into four elements.

The technology being forecast (Qualitative element)

This involves definition of what to forecast in the technology. It also defines whether it is forecasting a

single approach of technology or the common technology.

The characteristics of the technology (Quantitative approach)

As we have defined what to forecast, let us now learn how to represent the technology in the form of

quantitative terms. There are both the functional and the technical parameters with this. The functional

parameters are related directly to the user. The technical parameters include the parameters like the

inlet temperature, compression ratio. We cannot mix both the technical and functional parameters.

Time

While making any decisions regarding technology, we have to consider the time when we are

forecasting for any of the project. The time of forecasting is concerned with the time the condition or

event occurs in the future.

ProbabilityUsually, there are some uncertainties associated with the forecast. This probability factor defines the

probability of achieving the fixed level capacity of an organization.

Forecasting resources - the input

We have already defined what to forecast and what is required from the forecast. Now let us learn

about the inputs that have to be fed as the resources to get the needs satisfied.

Assumptions

We can consider the assumptions to set the real factors. All the forecasts mainly depend on the

assumptions.

Insight

This is helpful to start the qualitative element of the forecast. We have to use our minds and knowledge

to form the relationship with forecast. This insight helps to merge divergent thinking with creativity.Data

As many of the forecasting techniques depend on the past and are developed on the basis of past, so we

need proper data that represents the technological performances of the past. It is required to forecast

for the future.

Judgment

This involves the judgment that has to be taken by the forecaster when there is no data about the past.

Q4.Write a short note on technology strategy. Explain in brief about the innovation management.

We can define technology strategy as a planning document that explains how technology should be

utilized as part of an organizations overall business strategy. The document is usually created by an

organizations technology manager and should be designed to support the organizations overall

business plan. Most of the organizations use technologies in product and services generation, but all

the organizations will not gain the positive competitive advantage from the technologies.

There are many factors in competition, and technology is only one factor among them. Yet, some firms

effectively use technology as a competitive advantage, and others do not. One important factor in the

successful use of technology is the role of general management in technology strategy. In particular, it

has been managements ability to foster corporate core technical competencies. The central idea here is


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that a business can be developed around a long-term, consistent focus on a core technological

competency.

What it means, is to have a core corporate technical competency, to lead in both innovating new-

technology products and improving manufacturing quality and lowering cost of these products. With

this, not only products can be improved, but also manufacturing process can be improved in future

generations of technology.

Technology strategy and management

After studying the meaning of technology strategy, let us learn about the relationship between the

technology strategy and management. The role of management in building competitive advantage for

an organization depends on the technology strategy. It is better to understand the intended strategy of

general management. We can see that there are three aspects of relationship between the

management and technology strategy. These are:

The view of management of the impact of general management on the business and business strategy.

The management checks whether there is any chance of discerning the technology strategy.

The management checks whether there is any chance of discerning particular orientation towards new

markets, developing superior products and pursuing learning curve and cost leadership.

The managers play an important role in the decision making process of the technology. The decisionmaking process involves many problems in sustaining and building competitive advantage. In the case of

competitive markets, technology intensity introduces the layer of complexity.

Elements of an accessible technology strategy

Till now we have seen how the technology strategy and the management are related. Now, we will

study about the elements of an accessible strategy. The accessible technology strategy defines how the

technology fits within the organization. This is mainly helpful in integrating the technology into the

business plan and business. It also makes sure that the accessible technology strategy is aligned with the

business needs. Inaccessible technology strategy includes some elements.

Elements of an Accessible Strategy

Vision statement

This involves the creation of a unique statement that defines the role of accessible technology in the

organization and how it supports the organizations overall vision of accessible technology objectives.

We have to restate the accessible technology vision, if the organizational vision already provides the

foundation for creating accessible objectives.

Objectives

The objectives define the success metrics and clarify the details of vision statement. The objectives use

the vision of the accessible technology.


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Expenses and budget

This involves the clarification that is done in regard to the expenses, and describes the funding resources.

This explains which expenses should become a part of overall technology purchase, and which should

come under a separate budget. Some organizations include the assistive technology product costs in the

main centralizedaccommodation budget, and some companies deduct these expenses from the

individual technology budgets of each department. It is important for us to clarify the budget decisions

and see that the funds are allocated appropriately.

Ownership

The ownership defines the responsibilities of the team members in the project. The ownership also

plans the execution of the project. There should be one committee to see whether the execution of the

plan is moving correctly or not.

Innovation Management

We can define innovation management as the systematic processes that help the orga nizations in

developing new and improved products, services and business processes. This involves the use of

creative ideas of an organizations employees that brings new innovations to the market place, quickly

and efficiently. In business, innovation should not be only limited to the big ground breaking ideas,

creative workshops and product based companies. Innovation is often small, incremental changes to

products, services and processes. The innovation involves all the managers from different departments.This needs to be planned and managed as a core business covering all parts of a business. This needs to

be integrated at the strategic and operational levels.

The activities of the innovation need to be driven by the strategy and current business imperatives. The

successful innovation culture consists of all the aspects of a business, and these aspects have to be

managed effectively and efficiently like any other core business. Innovation can be built into business, at

three levels. The three levels are the annual business planning process, quarterly innovation and day-to-

day activities.

Innovation is managed through some sort of platform or application. There are two types of innovation

tools that are, an electronic suggestion scheme, and a management system controlling the innovation

process. The management of the innovation system needs to be given to the senior management to

control the overall system of innovation. The best practices and tools are applied consistently andappropriately across the organization. Any platform should encourage for the learning activity as a core

feature.

Q5. What is the importance of technology diffusion? What are the benefits of technology

absorption?

The process of adopting the new technology by the customers who came to know about the technology

from other customers is called as the technology diffusion. Diffusion involves special types of

communication methods or system to help diffuse changes in practice, as well as changes in knowledge

or attitudes. Thus, we can say that diffusion is the process of closing the gap between what people do

not know and what they can effectively put to use.

Importance of technology diffusion

After defining the technology diffusion, now let us study about the importance of technology diffusion.

Technology diffusion plays a major role in most of the countries today. The barriers to technology

diffusion help us to determine the magnitude of technology diffusion. These barriers determine the

volumes of diffusion. Diffusion enlarges the set of available technologies and increases the productivity

of the country. In case of diffusion, productivity is determined by the domestic technology in the

production country and the diffusion technology from other countries. The technology diffusion plays


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more important role in the sector of goods that are not tradable, than the sector with the tradable

goods.

The free technology diffusion generates more gains compared to that of the free merchandise trade. We

can increase the merchandise trade by removing the diffusion barriers since the countries achieve

higher productivity by taking the technology from the diffusion process.

A well-managed technology diffusion system enables an organization to plan its technology

development projects in a more meaningful manner as well as transfer the technologies more

successfully. Such an approach results in better returns for the investments made in R&D and

technology development systems.

Perspectives of innovation diffusion process

After the importance of technology diffusion, we will now study about different perspectives of

innovation diffusion process.

Traditional perspective

Technological innovation and diffusion have traditionally been viewed as separate processes. This view

treats diffusion as the marketing efforts required to expand the acceptance of the technology beyond

the markets initially targeted.

Adoption perspectiveThe adoption perspective is most often used to describe the diffusion process. This perspective focuses

on how the various channels and modes of communication (media, interpersonal etc.) can be used to

influence a diverse group of potential customers to adopt a technological innovation.

Infrastructure perspective

The infrastructure of the region in which the technological innovation is targeted is an important factor

in diffusing the innovation. Infrastructure aspects that affect diffusion include transportation, terrain,

weather, availability of energy, communication, etc. Poor infrastructure development can constrain

some innovations. Diffusion will occur only if the necessary facilities exist.

Regulatory /Societal perspective

The regulatory / societal perspective looks at the effects of government policies, regulatory

requirements, and bureaucratic processes, and the development stage of the area in which thetechnology is to be used. This perspective is particularly important for diffusion of technologies in

developing countries.

Models perspective

The models perspective looks at the development of models that management can use to predict the

behavior of potential users of a technological innovation and, consequently, develop strategies for

diffusing an innovation. To model a diffusion process, an analyst works with a few variables to fit a curve

that describes the spread of innovation over time.

Comprehensive perspective

The comprehensive perspective uses all the perspectives discussed so far in developing a diffusion

strategy. It views the diffusion process as part of a total innovation process.

Q6. Explain the implementation of new technology. Briefly describe the automation decisions.

Implementation of New Technology

We know that planning is the key to success of a project. In the same manner, a sound planning is

essential for the success of any technologys implementation. The failures that are likely to arise during

the implementation process may be due to the poor planning or inadequate resources. Valuing the


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conflicts will facilitate the organization to keep away from these problems, and for the management, to

anticipate the likely trouble spots and ease it accordingly.

These vital preliminary considerations are:

Initial considerations:

The management of the business needs to understand that the new system alone cannot find solutions

to all the problems experience by the organization. The whole implementation process involves the

complete business process and/or academic practice, consumer services, communication with suppliers

and a relationship among all other engrossed stakeholders. There are a number of less-substantial

activities, which are critical and people those are involved must:

Have an understanding of the organization predominantly, in terms of its traditions and principles are

essential.

The underlying principle of any new system implementation should be able to provide all the better

services to all concerned through it.

This information has to be conversed to all concerned parties.

A complete review of every business processes and, where required, academic practice, and developing

and introducing new policies before tuning the system to meet the decided requirements should be

undertaken.

The complete approval of the difficulty and flexibility of the system should be determined.- The inbuiltdangers of customization of any software should be understood

A thorough system test procedures should be conducted, while accepting the likely need for software

malfunction and improvements.

The training and development to be conducted for the internal staff should be planned in advance.

The users must be trained, to use the system.

The users must be trained, to identify faults and correct freely.

The essential nature of system documents has to be accepted and retain accordingly.

Planning and implementation

A thorough plan with efficient management is necessary for success, and to work against the fear of

high costs, extended time, losing key persons and common disappointment with the resultGo-Live Considerations

Finally, it is essential that the go live day causes as tiny disturbance to the daily business, since it is

practically possible. The various issues arising at this point of time will negatively affect the

organizations status, sometimes irreversibly, withal stakeholders.

Considerations for implementation

As we are discussing about the implementation of technology, we will now briefly discuss about some

considerations for implementation of technology.

Be aggressive

An important consideration when implementing a new technology is to be aggressive to set up a strong

competitive edge. The competitive edge enhances production that may be related to the total system

performance and authorizing employees. A competitive edge will make the clients and customers more

independent. For example, we can think of an ATM machine that will make the customers convenient by

establishing it outside the bank. The competitive benefit may possibly combine several functions,

partners, or flow of data that will lead to an effective business.

Be cautious

If the new chosen technology provides revenue to your business, then it is necessary to be careful while

making any major modifications in the new technology. Being cautious does not merely mean that you

should avoid the advancing technology. It conveys to be more careful in understanding the


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consequences and secondary applications which may perhaps be impacted as a result of a very small

change.

If we consider examples, of some companies that had apparently made changes to billing, failed to

produce invoices or statements to the clients. The consequence formed economic poverty for the billing

company, and for the displeased customers, who abruptly received several months worth of amass

billing once the accounting system problem was resolved. In addition to the impact on cash flow, the

relationships with the customers become weak. Henceforth, you should be aggressive to increase the

competitive chances to grow the profit and performance of your business.

At the same time, you must be careful even while implementing changes that may affect your core

business contributions, customers, or billing.

Be quick

It is important for you to be quick enough to implement the small changes to your chosen technology

and to supervise their impact. There should not be any delay, when it comes to performance

improvement, internal proposal for simplifying routines or improving customer performance. We must

follow a set of routines, to design small changes, test changes and schedule to bring consistent

enhancements. It is pretty often, the minor improvements encompass the major impact to business

performance.

Be slowIf major changes affect your business, it is vital to make the implementation changes slowly. Normally,

the center design and functions of the business are well-organizedand updated. The processes that are

more frequently in use are likely to get the majority attention and seem to be highly evolved. Basically,

these processes are given the first priority, when it comes to implementing a transfer in technology. On

the other side, you must avoid focusing on common ground, also conserve the primary processes until

the changes have been tested on some of the more difficult and less used utilities. There will be

remarkable information to be achieved with the experience and less effect on business by concentrating

on most composite and least used functions.

Be safe

During the implementation of a new technology, the better time to address the potential security needs

is at the time of design and development. It is better to employ security expert who will take care of theprivacy of the organization. If you have customers, credit cards, customer accounts, customer

information, intellectual belongings, monetary information, health information, or employee

information stored automatically, available on a network, or printed in files, then it is vital to consider

safety. Also, if you are planning to undergo a technology change, it is the right time to reassess the

associated documents by means of a security or privacy specialist.

From this discussion, we can say the technology plays a significant role in organizations worldwide

accomplishment. A well-organized management of people is crucial to the successful implementation

and use of new technical systems. The management should take the responsibility to support the

commitment to the new system. If the management supports a new technology, the employees will be

liable to assist with the functioning. This proves to be right, while they understand that the success and

sometimes survival of the organization along with their potential security depends on the adapted new

procedure.

Automation decisions

In general, we can say that automation decisions are the decisions that are related to automation. The

automation decision is considered most suitable for coherent, evidently defined decision situations. The

automation decisions act like legal support systems that instantaneously solve and offer solutions to the

recurring organization problems. They are directly related to business informatics and business analytics.


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The automated decisions are basically dependent on business rules. These rules can be shaped or

activated by business analytics. One of the components of automation decision support is rules-engine.

For the purpose of operational decision making, a rules-engine is used. The engine employs actionable

analytics and business rules to make and deliver adapted alert. In addition, it relates the business

intelligence to business users or to create and deliver action messages for processing by operational

applications. To handle a particular business situation, it produces alerts and messages which might

contain the announcement, warnings and suggested solution to solve a problem.

A rule engine can also be invoked by a user in real time to assist in business decisions, whether to fund a

loan to the client or in providing credit cards or to calculate the risk occurred in a particular business

transaction. The current automation design decision systems are well suited for the decisions that have

to be made often and rapidly, by the use of information that is available electronically. The chief

consideration is that the knowledge and decision criteria used in these systems have to be highly

structured. If specialists are capable of readily codifying the decision rules, and if premium data are

accessible, the conditions are favorable for automating the decision.

The rule engines are implanted in a number of software products, including web application servers, and

business intelligence tools, where they are sometimes called intelligent agents. The sophisticated

standalone rule engines are building up and advertised by the vendors.

To fully exploit the advantage of the influence of a decision-making system, the analytics, suggestionsand actions has to be linked and integrated with the overall business process. It can be achieved by

means of business process automation (BPA).

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