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- MBA -
Semester: 4 - Assignment
Vinay K. Singh
Page 1 of 13
- MBA -
Semester: 4 - Assignment
The productivity of the Indian industries largely depends on the technologies that are
imported. Most of the technologies that are used in the Indian industries are cost effective.
In July 1991, government of India introduced the new industrial policy that mainly focussed
on international competitiveness, quality, efficiency and exports. This helped in the change
in operating environment of the Indian industry. Because of this, very well planned
technologies were developed at the enterprise level.
These days, the companies are paying more attention on technology in order to be more
competitive in the business market. It is not only the large scale industries that require the
technology management; even the small scale industries also need a technology
management to face the competitive world of today.
Q2. Citing an example, state and explain the reasons that compel a company to go
for the new technology.
Answer:Reasons Compelling a Company for Obtaining a New Technology
The use of new technologies plays an important role in the industry. Whenever a company
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 costlier 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 company on the collaboration is bad and we
should have the self-reliance in the company every time.
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 foreign companies can get the financial returns only through the
collaboration and selling the raw materials and components.
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" licences.
Technology acquisition is mainly designed for business-to-business technology acquisition.
In few cases, technology comes from a university or research organisation. The origin of the
technology can take place in any area but it has ton be tested, proven and ready to use.
Technology acquisition helps for enhancing the productivity of an organisation. 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.
Vinay K. Singh
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- MBA -
Semester: 4 - Assignment
Vinay K. Singh
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Semester: 4 - Assignment
- MBA -
technology
forecasting
in
six
phases,
as
given
in
the
Vinay K. Singh
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- MBA -
Semester: 4 - Assignment
Perform analysis and develop Technology Forecast (TF): This is the fourth phase in
the technology forecasting process. This is the central part of the present research.
=> In this phase, we start with defining the boundaries of the technological system that has
to be forecasted. This, in turn, involves definition of other four steps that are clearly shown
in the diagram. The four steps in defining the boundaries include defining of the key
functions and futures, defining system in relation with the laws of system incompleteness
and energy conductivity, defining the system in terms of technological, social and
environmental contexts and lastly the analysis of the drivers and barriers for the
development of the system.
=> After completing the definition of the boundaries, we get a shape of problem and also
the contradiction network. We have to capitalise this set of problems. This also includes the
four steps as shown in the figure 3.2. The first step in this, is reformulating the
technological barriers into the contradictions. The next step is, defining critical-to-X
features, and third step involves the revising and reformulating the collected contradictions
to match with the critical to X features. The last step in this involves mapping of obtained
contradictions as a network. The network consists of critical-to-X features, components of
system and opposite values of features.
=> The next step in the analysis and develop TF is the analysis of limitation of resources.
This helps to find the resources that are less and causes problems on the map. R&D helps to
get the raw materials and solve the problem. This also helps in determining the time delays
of the activities.
=> The next step in the analysis and develop TF involves; build the time diagram. This uses
the results that we get after the problem mapping. The different order of critical to X
features is developed by considering the different contexts.
Validate results: The fifth phase in the technology forecasting process is to validate
results. This includes the customer satisfaction with the results of TF. There are different
processes that are associated with the evaluation of the results of the forecast. Our R&D
uses the traditional method of evaluating the result of forecast. We can do peer review with
the external experts and our colleagues in between working hours of the forecast to make
the evaluation easy.
Application of TF: The last phase in the technological forecast is the application of TF.
This depends mainly on the needs and the formulated objectives. We have seen the
developing of TRF using the contradiction networking. This helps mainly in all the projects.
Q4.Write a short note on technology strategy. Explain in brief about the innovation
management.
Answer:Strategy
Let us first understand the concept technology strategy.
We know that a strategy is a long term view that describes a high level framework. This
high level framework describes where the organisation needs to be in the future years.
Vinay K. Singh
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- MBA -
Semester: 4 - Assignment
We can define technology strategy as a planning document that explains how technology
should be utilised as part of an organisations overall business strategy. The document is
usually created by an organisations technology manager and should be designed to support
the organisations overall business plan. Most of the organisations use technologies in
product and services generation, but all the organisations 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 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 organisation, 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
decision making 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 organisation.
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.
An accessible technology strategy includes some elements.
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Semester: 4 - Assignment
Vinay K. Singh
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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 need to be given to the senior management to
control the overall system of innovation. The best practices and tools are applied
consistently and appropriately across the organisation. Any platform should encourage for
the learning activity as a core feature.
Installing the innovation culture in any of the company has leaders and teams with ability
and commitment. In order to create culture of continuous innovation, the organisation
requires leadership and commitment from the senior management team. The management
team also see that some staff members in the organisation are rewarded for the innovative
ideas they put in. The senior management need to encourage the innovative ideas from the
staff.
Q5. What is the importance of technology diffusion? What are the benefits of
technology absorption?
Answer: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 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 organisation 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.
Benefits of technology absorption
The benefits that we get from technology absorption exercises, as evidenced by
Government and industry experiences so far. These benefits are:
Repeated collaborations for the same product/ process are avoided.
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- MBA -
Semester: 4 - Assignment
Go-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 organisations status, sometimes irreversibly,
with all 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 authorising 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 a 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 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 slow: If major changes affect your business, it is vital to make the implementation
changes slowly. Normally, the centre design and functions of the business are well-organised
and 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 a
security expert who will take care of the privacy of the organisation. If you have customers,
credit cards, customer accounts, customer information, intellectual belongings, monetary
information, health information, or employee information stored automatically, available on
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Semester: 4 - Assignment
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 organisations
worldwide accomplishment. A well-organised 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
organisation along with their potential security depends on the adapted new procedure.[1]
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 organisation problems. They are
directly related to business informatics and business analytics. 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 stand alone 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,
suggestions and actions has to be linked and integrated with the overall business process. It
can be achieved by means of business process automation (BPA).
Let us understand the use of BPA in a Business Intelligence (BI) environment with the help
of an example given in figure 6.1.
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Semester: 4 - Assignment
Vinay K. Singh
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