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Technological environment

Features of technologyImpact of technology on

Society

Business organizationEconomic effects of technology

Management of technologyStatus of technology in India

Technology policyInstitutional and other facilities to promote science andtechnology

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Technology enabled people to generate,preserve and distribute energy, discover newmaterials, save lives, introduce machines to do

work of human beings, increase living standard,probe deep into seas and space in search of newtreasures and much more.

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Difference between science andtechnology

ScienceIn pursuit of knowledge

People involved knownas scientists.Motivating factor is to

satisfy curiosity.

TechnologyIn pursuit of socio-economic gains

People involved knownas engineers.Motivating factors is to

bring out need satisfyingproducts.

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Features of technology

Used as one of the basic resource as land andhuman capitalIt is dynamic by nature.Its effects are wide spread.It is self reinforcing.

Is a complex system.

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Technology and society

High expectations of consumers.System complexity.

Social changeIt directly changes the patterns of social life.

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Technology and economy

Increased productivity.Need to spend on R &D

Technology discontinuity.Firm should carry out cost benefit analysis of

whether to develop their own R&D or

outsource technology?Make decisions on product innovation orprocess innovations.

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Jobs tend to become more intellectual.Problem of techno structure.

Traditional incentive fail to motivate.Retention is a problemDifficulty in placing people in a pattern.

Need for bio-professional and multinationalmanagers.

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Increased regulation and stiff oppositionInsatiable demand for capital.

Rise and decline of products and organization.Business boundaries redefined.

Technological change in the form of process

and materials innovations may contribute toother businesses or industries too.

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For multi product companies technologicalchange may bring multiple impacts.

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Plant level or business levelimplications

Technology and organization structureFear of risk

Resistance to change.It may occur due to low profits and reduced growthratePowerful labour resistance to changes in methodsSmall size or fragmented activities.

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Sizable investments in long life single usefacilities.Psychological and social commitments toexisting products, processes and organization.

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Factors affecting the selection oftechnology

Product competitiveness and market potential.Customer preference.

Speed of introduction of new products andprocesses.Comparative study of technology gap between

India and outside.

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Availability of technology for import in strategicarea.Suitability of technology in the context oforganizational culture.Outflow of resources, foreign exchanges etc.

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Non commercial mechanism

Exchange of information through personsattending international seminars andconferences.Education and training at foreign universities.Exchange of information through technicalcooperation programmes of internationalorganizations.

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Commercial means of technologytransfer

Direct investment by foreign companies.Collaboration agreements.

Exports of parts.

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Technology transfer process:

Two phase process: Technology selection

Absorption phase.

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The first stage is selection of technology. Thisneed basically technical expertise to evaluate anddetermine the suitability of technology andconsideration of social background.

The selection of technology also depends onnational policy.

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Absorption phase

This phase can be divided into 3 steps:Information transfer

Adaptation Adoption or ingestion period.

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Technical information includes:Design

Tools and other spare parts required.Quality standards.Collaborator’s practice.

Dissemination processEarlier experiences.

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Adaptation stage

A systematic adaptation of designs. Adequate information on local materials andcapabilities of suppliers are to be obtained incase of components which are to be replaced atsubsequent stage.In case of substitute materials the materials areto be obtained, tested and approve before use inproduction.

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Inspection plans must be adequate.Process capability of the machines is to dedetermined for the different components.

Adequate QC and testing equipment must beidentified and procured in time.Proper record of field performance and analysisare to be ensured.