New Technology Adoption

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Presentation Outline
Introduction Need for a selection of Technology Viability of the Technology Selection of the Technology Need for employee training Timing for introduction a technology ( Life cycle) Co-ordination among various departments

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New Technology Adoption

What is it
A. Adaptation v/s Adoption B. Adoption of technology refers to the actual acquisition and eventual utilization of a technological product.

What it isnt
A.Technology is not simply adopted by acquisition of a technological product and no actual usage is put in to it. E.g. purchasing as mobile phone and not utilizing all its available technological capabilities such as PIM, Internet, Email etc

Factors influencing technology adoption

A.Use & User B.The process of adoption C.The process of diffusion
1.Innovation 2.Imitation

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Need for a selection of Technology

Factors of general relevance
A. Technical factors
1.Demand 2.Capital Cost 3.Extension Capacity 4.Compatibility with norms & legal framework 5.Compatibility with existing system 6.Comparative advantages 7.Technical skills needed with, or outside the community
Factors specifically relevant to O&M
A. Technical Factors
1.Dependence on fuel, power, chemicals 2.Quality & durability of material 3.Availability of spare parts & raw material 4.O&M requirements 5.Compatibility with users expectations and preferences ( both men & women) 6.Availability of trained personnel within the community 7.Availability of skilled / expert manpower for maintenance 8.Potential for local manufacturing 9.Potential for standardization

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Need for a selection of Technology

Factors of general relevance
B. Environmental factors

Factors specifically relevant to O&M

B. Environmental factors

1. Implication of treatment & 1. Availability & accessibility & protection reliability 2. Alternate source 2. Seasonal variations 3. O & M implications 3. Quality and treatment 4. Source protection C. Institutional factors 5. Risk of negative 1. Role of different stakeholders environmental impact

C. Institutional factors
1. Legal & Regulatory framework 2. National strategy 3. Support from government, NGOs etc 4. Transferring know-how
2. 3. 4. 5. 6.

and ability/willingness to take responsibility for O&M Availability of local artisans Potential involvement of private sector Training and follow up Skill requirement Monitoring

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Need for a selection of Technology

Factors of general relevance
D. Community & managerial factors
1. Local economy 2. Living pattern & population growth 3. Living standards & gender balance

Factors specifically relevant to O&M

D. Community & managerial factors
1. Capacity of the organization 2. Ownership 3. Technical skill

E. Financial factors
1. Ability & willingness to pay 2. Level of recurrent costs 3. Cost of spare parts & their accessibility 4. Payment & cost recovery system 5. Financial management capacity

E. Financial factors
1. Capital costs 2. Budget allocations & subsidy policy 3. Financial participation of users 4. Local economy

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Viability of the Technology

Viability is a measure of how long a technical component is likely to meet your needs before it becomes obsolete.
A. All technology tends to get out of date and needs to be upgrade from timeto-time. The technology becomes obsolete when it no longer works with the technology around it and can not easily be upgraded. B. Viability partly depends on how easy and cheap it is to upgrade to the latest versions. It is hard to keep up with latest versions if new versions are incompatible, or if the supplier charges additional license fees for the new versions. C. The main factors affecting viability are:
1. Supplier size. Large, well-established suppliers have the resources to keep products up-to-date. 2. User base. Products with a large user base are likely to remain viable. 3. Competitive pressures. Many technically good products have failed because they have been outcompeted. 4. Use of established industry standards. If products use established industry standards, then it is relatively easy to replace them with other products.

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Viability of the Technology

Management tips
A. Priority - Put a high priority on selecting technology that is likely to be around for many years. B. Suppliers track record - Examine suppliers' track records on ease of upgrades. Some of the largest suppliers have the worst track records on ease of upgrade. C. Standards - Look for products that follow established industry standards. Make sure you keep to the standards and do not use proprietary extensions. D. If you need to select a niche product that may not be viable for the long term, consider and manage the risks. E. Remember that viability is as much about your management of the technology. If you do not keep up-to-date with versions, or if you use proprietary extensions, the product will become obsolete faster.

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Selection of the Technology

Improves customer experience & satisfaction Optimizes costs by eliminating wastes Optimizes processes for Process Excellence thereby improving productivity Gain scalability for leaping to next level of maturity

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Constraints of the Technology

External constraints Internal constraints
on s ula ti

Resources
s aw lL ic a ys Ph

ts S afe t

yR eg

of ce oi Ch cess Pro

Pr Co oces nd s itio ns

Method

Material

in tra s on cC

Plausible Tech
s Per

Sta nda rds

om on Ec

Possible Tech

Technology Must Make A Profit

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Govt. Controls

el onn

Tim e

& Cod es

Need for employee training

Highly relevant to Operations & Maintenance (O&M) A. Ownership B. Availability of trained local personnel C. Availability of skilled / expert manpower for maintenance D. Training and follow up E. Technical Skill requirement F. Monitoring & controlling

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Steps in the life cycle of new technology

Research Discovery Development

Patenting & Approval Production Marketing Adoption

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Timing for introduction a technology ( Life cycle)

The Early Market The Chasm The Bowling Alley The Tornado Main Street End of life

RATE

TIME
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Timing for introduction a technology (Life cycle)

Innovators

Technology enthusiasts who are fundamentally committed to new technology on the grounds that sooner or latter it will improve their lives.
Early Adopters -

Visionaries and entrepreneurs in business and government who want to use the innovation to make a break with the past and start an entirely new future.
Early Majority -

Pragmatists who make up the bulk of all technology infrastructure purchases; their purchasing behavior is based on evolution rather than revolution and they buy only when there is a proven track record of useful productivity improvement

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Timing for introduction a technology ( Life cycle)

Later Majority

Conservatives who are very price sensitive and pessimistic about the added value of the product; they buy only when technology has been simplified and commoditized
Laggards

Skeptics who are not really potential customers; goal is not to sell to them, but sell around their constant criticism

Entrepreneurs make things happen

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Timing for introduction a technology

Sometimes it is worthwhile to wait and see and not adopt immediately when benefits of technology exceed costs. Cost of technology may decline over time. You should wait if the reduction in technology cost> than the cost of waiting. When a technology has uncertain irreversible outcomes- waiting to learn more is prudent. Waiting prevent the opportunity of learning and improving a technology- the gains from waiting should be compared to the costs.

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Co-ordination among various departments

New Technology Finalization Marketing / Business Development New Technology Implementation Project Department

Technical / Technology Team

R&D / Technology Transfer External Agencies

Operations Finance Legal / Statutory Safety, Health, Environment Engineering Supply Chain

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Thank You

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