Critical factors in managing technology The cornerstones of MOT research

Three important factors The creativity factor The timing factor Managing changes

Creativity factor Two key performance indicators : Invention and innovation Novelty of artifact, process and system Imagination, passion, inspiration and incident discovery Useful product and service Market determination and customer evaluation Technological innovation Ignite from the technological/market insights Follow to acquire necessary and complementary knowledge, Transform all the stuff into workable procedures, physical product, perceived service Diffuse them to the targeted customers, Cause some economic/social impacts

Types of innovation Radical innovation Paradigm shift Incremental innovation Kaizen Routine innovation (rationalization and reengineering)

Linkage between science and technology Scientific discovery Technological innovation Intermediated by invention/innovation intention Tested by market and customer appraisal

Innovation cycle Scientific discovery Invention Technological innovation Touchstone of Market Improvement, Breakthrough & benefit feedback

Engines of innovation Creativity: a purposeful idea by rearranging some new or existed ideas Stimulated by unsatisfactory situations Permissive circumstances for creativity exploitation Interested and interesting work design Communication and dialogue Encourage to take risk and uncertain venture Allow the failure consequence Incentive: award and compensation

Searching for the creative personnel The capability of systemic expression Quick response of associative ideas Novel idea Identify some interesting informative source and content clearly More curiousness Confront and embrace problems Unbending character Prudential conclusion Be interested in the analytical and explorative tasks Trace the intellect-consuming events

Bringing innovation to market Product definition: the persuasive/compelling value Market positioning: tracing the market evolution and segmentation 4Ps marketing strategy Product package, price mix, promotion campaign, distribution path Technology gap between suppliers and demanders Pricing strategy: market penetration or capital recovery

The timing factor First mover vs. second movers Industry creating and customer education The technological trajectory Competitive dynamics DAT vs. CD; LD vs. VCD; CDMA vs. GSM; PHS vs. PDC Monitor the product life cycle Continuous improvement: product family and cash management Credit of commitment and pre-announcement

Leaders vs. flowers When imitation is easy, markets don't work well, and the profits from innovation may accrue to the owners of certain complementary assets, rather than to the developers of the intellectual property Leader and winner Leader but loser Flower but winner Flower and loser Laggard The need, in certain cases, for the innovating firm to establish a prior position in these complementary assets

To be the market leader Reputation Preempt positioning Define the industry standard Earlier return from learning effects Deterrence advantage Higher profit Loyal customer Attaining more appreciation and support Massive investment capital for pioneering R&D and market research Continuous income flow for improvement Bearing the uncertainty and failure disaster The lock-out risk of investment Lure many competitors; a target of knock-out; a benchmark of imitation

Technology generation & new vision The continuous stream of competitors/substitutes (technology) Paradigm shift Market (behavior) changes Industry (process) transformation Watch out for the New/emerging technology and its impacts Cannibalization Sustainability

Managing changes Productivity Effectiveness Competitiveness Technology foresight Market insight Strategic planning & implementation

Reference Dosi, Giovanni (1982), “ Technological paradigms and technological trajectories: A suggested interpretation of the determinants and directions of technical change, ” Research Policy, 11(3), pp Teece, David J. (1987), “ Profiting from technological innovation: Implications for integration, collaboration, licensing and public policy, ” Research Policy, 15(6), pp