This document discusses principles of technology management. It defines technology management as leveraging technology components to maximize economic gains by managing challenges posed by emerging technologies from research to commercialization. It notes competitiveness is key. It also discusses methods of acquiring technology, such as internal R&D, technological learning, and alliances. Factors that determine international competitiveness include a country's technology trajectory, barriers to entry, pace of innovation, macroeconomic environment, and Porter's Diamond model relating to firm strategy, demand conditions, supporting industries, and factor conditions.

1. Principles ofPrinciples of
Technology ManagementTechnology Management
Eric Vanderburg, MBA
September 6, 2004

2. Technology ManagementTechnology Management
DefinedDefined
• Leveraging the key components of technology to
maximize economic gains (what are these
components?)
• Managing the challenges posed by emerging
technologies from the point where scientific
research shows technological possibilities to
competitive commercialization
• Competitiveness is the key issueCompetitiveness is the key issue

3. Technology Acquisition MethodsTechnology Acquisition Methods
• Developing technology through R&DDeveloping technology through R&D
– Basic and Applied ResearchBasic and Applied Research
– Long Path & Requires Committing EnormousLong Path & Requires Committing Enormous
Resources (more so in Basic Research)Resources (more so in Basic Research)
• Technological Learning by “borrowing”Technological Learning by “borrowing”
– Requires massive learning effortRequires massive learning effort
– Playing Catch-Up(What happens toPlaying Catch-Up(What happens to
competitiveness?)competitiveness?)
• Alliances and Internationalizing R&DAlliances and Internationalizing R&D

4. Catch-UP- DeterminantsCatch-UP- Determinants
• Technology TrajectoryTechnology Trajectory
• Is it a predictable one?Is it a predictable one?
• What resources are key to smoothly goingWhat resources are key to smoothly going
down the path?down the path?
• What are the barriers to entry andWhat are the barriers to entry and
competition?competition?
• Technology FrontierTechnology Frontier
• Is it a fast shifting frontier-pace ofIs it a fast shifting frontier-pace of
innovationinnovation

5. Macroeconomic EnvironmentMacroeconomic Environment
• A myriad of variablesA myriad of variables
• The Concept of National InnovationThe Concept of National Innovation
SystemSystem

6. Factors DeterminingFactors Determining
International CompetitivenessInternational Competitiveness
• Potter- Diamond ModelPotter- Diamond Model
• Firm Strategy, Structure,and Rivalry –many entrantsFirm Strategy, Structure,and Rivalry –many entrants
and innovationand innovation
• Demand Conditions- popularity of product,Demand Conditions- popularity of product,
sophistication of customers and saturation of domesticsophistication of customers and saturation of domestic
market leads to aggressive international activitymarket leads to aggressive international activity
• Related Supporting Industries- complementary activitiesRelated Supporting Industries- complementary activities
and intensive exchange of knowledgeand intensive exchange of knowledge
• Factor Conditions- skilled workers, infrastructureFactor Conditions- skilled workers, infrastructure

7. Factors DeterminingFactors Determining
International CompetitivenessInternational Competitiveness
• Potter- Diamond ModelPotter- Diamond Model
• Firm Strategy, Structure,and Rivalry –many entrantsFirm Strategy, Structure,and Rivalry –many entrants
and innovationand innovation
• Demand Conditions- popularity of product,Demand Conditions- popularity of product,
sophistication of customers and saturation of domesticsophistication of customers and saturation of domestic
market leads to aggressive international activitymarket leads to aggressive international activity
• Related Supporting Industries- complementary activitiesRelated Supporting Industries- complementary activities
and intensive exchange of knowledgeand intensive exchange of knowledge
• Factor Conditions- skilled workers, infrastructureFactor Conditions- skilled workers, infrastructure