Course: Fundamentals of Technology Management

A Review of the Reading on

Technology management in China: A global perspective and challenging issues

Presented by: GROUP Ashish Mohan Agam Srivastava B. D. Sharma Neeraj Rahul Prakash Kedia Robin Vikram Sachdeva Dinesh Parashar 2009 SMN 6718 2009 SMN 6744 2009 SMN 6741 2009 SMN 6751 2009 SMN 6743 2009 SMN 6752 2009 SMN 6757 2009 SMN 6763 2010 SMN 6869

Department of Management Studies Vishwakarma Bhawan, Indian Institute of Technology Delhi, India August 2010
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Contents and Flow

About the case and its objectives Structure of the case 3M as a innovation company: its business & culture Two exhibits as illustrations Policy lessons from the case

About the Paper

Authors:
Richard Li-Hua, UK and Tarek M. Khalil, USA

Published in:
Journal of Technology Management in China, Vol. 1 (1), 2006

Emerald group publishers

Purpose of the Paper

Review of the framework of MOT in China To draw upon the experiences of MOT in US and apply

to China

Suggest critical areas that decision makers in; govt. agencies, enterprise, funding agencies,

need to address for MOT in China

Structure of the Paper

Part 1:
Some definitions and Concept building

Part 2:
Global perspective and learning from US

Part 3:
Uniqueness of Chinese model of Technology management
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Part 1: Concept building

Concept Building
What is Technology What are the layers of technology What is Technology management What is the Significance of Technology management

Technology and its Layers

Technology:

A combination of human understanding of natural laws and phenomena and their application to fulfill its needs
Layers of technology Technique Knowledge Organization Product
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Knowledge as key to control Technology

Technique

Key to control of Technology

Knowledge

Organization

Product

TM bridges the gap between knowledge and 9 practice

Contributions/Significance of TM
Integrates technology into the overall

strategic objectives of the firm; faster and more efficiently; efficiently;

Allows to get into and out of technologies

Makes assessment of technology more

Reduces new product development time; Better management of the organization's

internal use of technology; and

Provides leverage to effectiveness of technical

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Part 2: Global Perspective and learning from US

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US Perspective
US experienced a sharp decline in competitiveness in

1970s-80s
Strategic factors identified for regaining competitiveness: Leadership: for effective development of enterprise Staff motivation and empowerment Appropriate Management of Technology
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Technology Management in US
Recognition of intangible assets like intellectual capital, IPR

and innovation;
Alignment of infrastructure with enterprise and technology

developments;
Incorporation of MOT in curriculum of educational

institutions

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Part 3: Technology Management in China

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Origins and Evolution

Pre-modern era Colonial era 1950-78 1978 The new China

Inventions: Compass Paper making Gun-powder Printing Imperatives: Feeding the population Military requirements

Technology as: an agent of brutality; a tool of exploitation for commercial interests

Establishment of PRC Technologically isolated as an off-shoot of diplomatic isolation; User of out-dated technology from USSR Further isolation during cultural revolution era Destruction of educational and institutional set-up

Economic reforms Socialist mkt. with Chinese characteristics Sets strategic goal of $4000 per capita income by 2049 Takes up technology development as strategic priority

1997: WB reports China as 3rd largest growing economy; 2004: Brand made in China purchasing the whole world

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Factors in Upsurge of China

Sustained rapid growth Relative stability in govt. A disciplined and literate labor force Strong record of reforms Combination of hi-end technology and cheap manpower Effective Technology Management
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Technology transfer:
Acquisition:
Magnetic levitation technology (acquired from Germany) Lenovo, purchased PC dept. of IBM with $1.25b to become

3rd largest PC provider

Haier, attempts takeover of Maytag, US Nanjing Automobiles working towards takeover of British

MG Rover
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Changes in Organisational Structure

Moving away from fixed, bureaucratic structure; From Vertical Horizontal Network structure Synergy within departmental integration (aided by IT) Recognition of Intellectual capital and IPR

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Factors affecting rise of China as IPR center

Government level issues
Legal systems for patents and trademarks State intellectual patents office Low gestation & processing period Networking of govt. institutions and companies

Company level Policy issues

Pressure on institutions and companies to meet goals of 10001500 patents/year

Controllable factor

Rapid emergence of China as: a IPR center and, a nation filing maximum numbers of patents, copyrights etc.

Create Vendor locks-in

Technological leadership

Working on non-standardized technology

Investment of resources into infrastructure

Operational issues

Infrastructural issues

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China vis--vis India

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India vis--vis other major economic powers on the continuum of IPR strengths

Low on IPR

High on IPR

India

S. Korea

China

USA

Japan

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Thanks

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