An Introduction To Technology Management

The word ‘technology’ has a wider connotation and refers to the collection of production possibilities, techniques, methods and processes by which resources are actually transformed by humans to meet their wants.

Ferré (1988) has defined technology as “practical implementations of intelligence".

However, Gendron (1977) has provided a more comprehensive definition:
“A technology is any systematized practical knowledge, based on experimentation and/or scientific theory, which is embodied in productive skills, organization, or machinery”.

The role of technology in fostering economic growth of nations and enhancing their industrial competitiveness has been widely recognized, through its domineering influence over industrial productivity. Further, technology has emerged as the most important resource that contributes directly to socio- economic development. Hence, technology is viewed from various perspectives: as an ‘engine for economic development’, as a ‘strategic resource’, and as a ‘competitive weapon’. This necessitates effective management of technology - at both national and firm levels.

Technology Management (TM), which inter alia aims at planning and developing the technological capabilities of an organization or a nation, has now occupied the centre stage of decision-making.

Gaynor (1989) has provided the following description of TM:

“Managing technology is a method of operation that leverages human resources, technology and other business assets by optimizing the relationships between the technology functions of the business enterprise. It is the process of integrating science, engineering and managing with research, development and manufacturing in order to meet the operational goals of the business unit effectively, efficiently and economically. It includes managing the totality of the technology operations from concept through commercialization”.

TM embraces several interconnected issues such as: technology policy; technological forecasting and assessment; technology strategy; technology transfer; technology-induced as well as market-oriented Research and Development (R&D); process technology and product technology and their continuing improvement; human resource management in terms of innovative capabilities, flexibility and contribution; and technology project management.

TM was set into motion when man invented the wheel, except that it was never practiced consciously. Now, TM has become what it never was before, an organized and systematic discipline. As TM embraces several interconnected issues ranging from policy planning at the national level to strategic planning at the firm level, it calls for decisions and result-oriented actions at the macro-as well as micro-levels and an effective macro-micro linkage.

Macro technology management commonly refers to technology management at the national level. It includes:

• Planning for the development of technological capabilities at the national level.
• Identification of key sectoral technology and related fields to be developed.
• Determining ‘make’ or ‘buy’ decisions, i.e., whether importation or self-development is to be pursued.
• Establishment of institutional mechanisms for directing and coordinating the development of national technological capabilities
• Design of policy measures for controls.

Micro technology management concerns technology management at the firm or project level. It includes:

• Responding to competitors who are using technology as a strategic weapon.
• Integrating technology strategy into the overall corporate strategy.
• Identifying and evaluating technological options and innovations and the factors relating to their success and failure.
• Directing research and development itself, including determination and definition of project feasibility.
• Monitoring and planning technological obsolescence and replacement.

Both macro and micro-technology management seek to raise economic efficiency. Micro TM is the basis for macro TM, while the latter provides guidelines and an environment for the former. Consistency among these two levels of management is essential, but institutional mechanisms will largely determine whether they are effectively combined. While macro-support could catalyze changes, the real actions have to take place at the industry level.