Management of

Technology and
Innovation Strategic
Perspective
- Dr. Akshay Joshi
• New technologies that evolved from the
cumulative innovations of the past half century
brought dramatic changes in the way goods and
services are produced and distributed.
• Examples:
 Increasing use of the Internet
 A flood of startups
 Vast changes in production and distribution networks
A recent McKinsey report sums up how technology and
innovation are changing how business is done as follows:

…as globalization tears down the geographic boundaries

and market barriers that once kept businesses from
achieving their potential, a company’s ability to innovate—
to tap the fresh value-creating ideas of its employees and
those of its partners, customers, suppliers, and other
parties beyond its own boundaries…has become a core
driver of growth, performance, and valuation.
 Nature of technology & innovation—
complexity, life cycle phase, etc.
 Environment—external and internal
 Knowledge
 Competences in the organization
 Endowments—competitive advantages

Surrounding the organization is the environment

Within the organization are the people
 Regulatory Institutions
• The laws and regulations in a given country
 Normative Institutions
• The norms of various industries and professions
 Cognitive Institutions
• Influences that come from the broader society
and shape an individual’s behavior—most
commonly, the culture of a country
 The practical implementation of learning
and knowledge by individuals and
organizations to aid human endeavor.
 It is the knowledge, products, processes,
tools, and systems used in the creation of
goods or in the provision of services.
 The linking of different disciplines to
plan, develop, implement, monitor, and
control technological capabilities to
shape and accomplish the strategic
objectives of the organization.
 Price Pressure Use
to Lower Prices Better Technology

Firms must focus on

Better Pricing
greater efficiency
Information
to maintain profits

More
Customers
 The process whereby new and improved
products, processes, material, and services are
developed and transferred to a plant and/or
market where they are appropriate.
 Just-in-time (JIT) Inventory Management
• A process innovation that ensures the inputs into
a production process are there just as they are
needed for the process.
• Such a process innovation allows firms to save on
storage and capital costs.
A comprehensive approach to managerial
problem solving and action based on an
integrative problem solving framework, and an
understanding of the linkages between
innovation streams, organizational teams, and
organization evolution.
• It is about implementation—managing politics,
control, and individual resistance to change.
• The manager is an architect/engineer,
politician/network builder, and artist/scientist.
 Managing the Innovation Process
• Separate funds for innovation
• Periodically review informal proposals using a group
outside of line management
• Provide clear direction on studies to be done and
follow-ups that are expected
• Engage in boundary-spanning activities to learn
from and to gain understanding of what others are
doing
• Set realistic expectations
• Provide a supportive atmosphere for “debugging”
and exploring variations as well as appropriate
resources for maintenance and service
 Characteristics of individual that enhance
the initiative that sparks innovation:
• Asking questions to identify problems and
opportunities
• Learning new skills

• Taking risks and being proactive

• Aligning strong personal beliefs and values with

the organization’s values and goals
 Work with things already there
 Maintain and/or upgrade products/processes
 Manage and control of the knowledge, equipment, and processes in
an organization
 Analyze whether or not knowledge, equipment, and processes are
up to date
 Direct the acquisition and development of knowledge, skills,
processes, etc. to meet objectives and gain competitive advantage
 Continually produce a successful technical product
 It is about existing technology, continuous improvement,
optimization
 MOT that encompasses MOI:
• Requires fostering an environment where innovative thought and
work are encouraged
• Includes identification, creation, and marketing of a new
product/process/technology
• Is how we lead our company from existing process to something
better and faster
• Involves proactively searching for ways to better technical
products
• Manages the process of “invention + exploitation”
• Must encourage creative thinking and a willingness to take risks
 The effort by a firm to analyze its environment and its
own strengths and weaknesses and then consciously
choose the competitive path it wants to follow.
 Key Functions in the Strategy Process:
• Plan
• Implement
• Control/Evaluate
 Tobe proactive rather than reactive a firm
should:
• Designate clear technology leaders—individuals
who champion change.
• Know how the processes can work to help and to
hinder the development of new technology.
• Assess objectively where your firm is on the
technology curve.
• Assess the strengths and weaknesses of your
personnel and your approach to the management of
technology and innovation.
• Set realistic priorities.
• Develop excellent infrastructure to help find and take
advantage of potential opportunities.
• Understand what the tasks are and how they are
connected and disconnected.
• Be systematic in your search and assessment
processes, but review the system thoroughly to be
sure it is still applicable.
• Savor every victory and learn from every failure.
• Be confident that once you have made a decision, it is
a decision that will move you in the right direction.