1. The Dynamics of Localized Technological Change Lecture 6 Course: Innovation and Technology Transfer MSc Engineering Policy and Management of Technology By: Miguel Palmeirinha & Nelson Marques 2001 Antonelli, C and Calderini, M (1999)

2. Introduction: Skill-intensive Industries in EE  Productivity growth  Intense and rapid Tech. Change  Learning-by-doing  Implicit knowledge Understand the Dynamics of Innovation European Industry “Traditional Sectors”

3. Introduction: Skill-intensive Industries in EE  Internal Organization  Wage Structure  Decision Process  Timely adoption of inputs  Parallel changes in the org.  Interaction in design changes of processes / products Technological and Organizational Change / Innovation Major Roles as a Source of Tech. Knowledge

4. Dynamics of Localized Knowledge  Duplications of research efforts  Delays in diffusion  Obstacles to the recombination of knowledge Technological Information should be considered a public good Losses Localized Tech. Knowledge is firm-specific Transfer or adaptation from one firm to another can cost the same as new tech.

5. Dynamics of Localized Knowledge  Generic (codified)  Tacit (implicit) Localized Technological Change 2 Forms of Knowledge  Internal  External Generation Process of the 2 forms of Tech. Knowledge.

6. Dynamics of Localized Knowledge Dynamics of the four Dimensions of Technological Knowledge TacitCodifiedInternal External LearningR&D SocializationRecombination

7. Role of the Demand-Pull Forces  Increase/decrease of demand  Changes in factor Cost  Competition

8. Basic Hypotheses  Accommodate their size to the new levels of their demand  Increase the levels of Input or the efficiency of production technology

9. Empirical Analysis  Mechanical Engineering Industry Discrete-parts manufacturing industry  136 firms; Six years (1988-1994)  Technological Change: Learning processes Recombination of existing knowledge R&D activities  “Integration Age” Computer Integrated Manufacturing (CIM)

10. Empirical Evidence  Relationship between Demand shocks Localized technological change  Correlation between Trend in demand Trend in efficiency

11. Empirical Evidence “Demand shocks should have an effect on efficiency trends within two years since the time of the shock itself.”

12. Conclusions  Localized knowledge is a mix between Generic knowledge (top-down) Tacit knowledge (bottom-up)  Industrial Technological Centers Sustain localized processes Socialize technological know-how

13. Centimfe  Centimfe - Technological Center for the Mould, Special Tooling and Plastics Industries Created in January 15 th 1991 Marinha Grande industrial complex. Association of 40% Public and 60% Private 170 associated companies; 90% industrial type

14. Centimfe - Specific Goals  To provide technical and technological support to companies;  To promote and carry on research and development activities, applied to mouldmaking, special tooling and plastics industries, which contributes to the solution of industry problems;  To promote quality increasement, acting over conditioning factors;  Support and promote technical and technological specialized training of companies' human resources.

15. Centimfe - Action Areas  Technical assistance in technological areas;  Specific training to companies' technicians and young-graduated people;  Spreading of technical and technological information;  Consultancy, namely in investment projects development and quality systems implementation, regarding company certification.

16. Centimfe - Services  Manufacturing Technologies  Product Design and Development  Quality Systems  Information Technologies  Calibration Laboratory  Dimensional Control Laboratory  Material Laboratory  Training

17. Centimfe - Projects  ROUND THE CLOCK - 24 Hours Collaborative Product Development Work Project  ENGENHARIA DE POLÍMEROS - Master Degree and Specialisation - 1999/2000  CLUB RP - Rapid Prototyping Users and Suppliers European Network  PME2000 - SME Technological Innovation Support Project  TECNOEVOLUTION - Adaptation of Human Resources to Technological Evolution