|


 

 

The presence of Scientific Knowledge.

The level of maturity of the underlying science.
The type of Technology and the phase of its Life Cycle.
The extent of R & D in Technology.
The level of Investment in Technology.
The level of Political Commitment.
The ability to burrow from the related Technologies.
Diffusion rate & Pattern.


  


 
Changing World environment.
Removal of Trade barriers and implementation of
³WTO´.
Information Technology revolution .
Improvements in communication.
Multiple site continuous R & D 24 hrs. a day.
Time to market.
Shorter Product and service life cycle.
Push for Education.
Changes in Institutional interactions ± Co operations &
alliances between country, Industry, Governments,
Universities, Scientific agencies etc.
Changing in Organizational structure ± Technological
Innovations become feasible by team work,
collaborations bet. Scientists, Technologists and
 Infusion of resources into technological development
and penetration is requirement for continued progress.

THE SPEED OF TECHNOLOGICAL CHANGE AND

THE CORRESPONDING HIGH COST
ASSOCIATED WITH TECHNOLOGICAL
DEVELOPMENT ARE LEADING TO
COOPERATION & ALLIANCES BECOMING
FUNDAMENTAL ASPECT OF TECHNOLOGICAL
INNOVATION.
³MOT´ IS ENTREPRENEURSHIP OF CREATING AN
ENVIRONMENT THAT FOSTERS SCIENTIFIC
DISCOVERIES & TECHNOLOGICAL
DEVELOPMENT IN LINE WITH MARKET DEMAND
 
 
Strategy involves envisioning and planning for the
future and envising an action plan to achieve the long
term Objective.
TECHNOLOGY VISION

TECHNOLOGY MISSION

TECHNOLOGY GOALS
& OBJECTIVES

STRENGTH & WEAKNESS OPPORTUNITY & THREAT vis-a

Vis-a-vis COMPETITION Vis ENVIRONMENT

STRATEGIC ACTION
PLAN

STRATEGIC IMPLEME-
NTATION.

STRATEGIC EVALUA-
TION & FEEDBACK
  


ÈUALITY

Low High

Low
MAYBE ACÈUIRE

PRICE

AVOID MAYBE
High
 
    !
BUSINESS COMPETITIVE POSITION

NO YES

NEW
Consider acquiring Most Promising.
PRODUCT NEW Marketing
TO THE expertise
WORLD
Least Promising Should fit into one
Inventors encour-
encour- Of the existing
KNOWN ged to go outside Divisions.
3M.

"#$%&"'( "
"%(')
MARKET DOMINANCE

LOW HIGH

HIGH
PROBLEM STARS
MARKET
CHILDREN
GROWTH

LOW DOGS CASH COW

  
CONTINUE PRODUCT DEVELOPMENT EFFORT.
FOCUS ON COMPETENCIES THAT GAVE COMPETITIVE
ADVANTAGE.
CONTINUE MARKET DEVELOPMENT & MARKET
PENETRATION.
CONSIDER VERTICAL INTEGRATION.
CONSIDER BUSINESS OR PRODUCT DIVERSIFICATION
TO REDUCE RISKS OF ONE PRODCUT LINE NOT DOING
WELL.
 *

RE EVALUATE THEIR MARKETING & TECHNOLOGICAL
STRATEGIES.
AGRESSIVELY PERSUE MARKET DEVELOPMENT &
MARKET PENETRATION.
GO FOR INTEGRATION OF ACTIVITIES.
DIVEST TO ACÈUIRE FUNDS.
JOINT VENTURES WITH MARKET LEADRERS.
COLLABORATION WITH A FOREIGN PARTNERS
SEEKING ENTRY NIN THE COUNTRY.
IF NOTHING WORKS LIÈUIDATE TO REDUCE LOSSES.
 
COMPANIES WITH WEAK TECHNOLOGIES.
COMPETE IN SLOW GROWTH INDUSTRIES.
SHOULD HAVE AGGRESSIVE STRATEGIES TO
AVOID FURTHER DRAIN IN THEIR RESOURCES
AND REVERSE DIRECTION OF BUSINESS.
Reengineering of business to reduce cost and
look for viable alternative businesses or Products.
LOOK FOR INNOVATIONS TO SAVE COMPANY.
If nothing works look for liquidation .


+
STRONG COMPANIES IN SLOW GROWTH
MARKETS.
SHOULD DEVERSIFY THEIR PRODUCTS OR
ACTIVITIES IN HIGHER GROWTH AREAS.
PERSUE JOINT VENTURES.
UTILIZE MARKET SEGMENTATION STRATEGIES.
PERSUE DEFENSIVE R & D TO KEEP THEIR
PRODUCTS COMPETITIVE.
 ,-




Market competence `
`   
/ TECHNOLOGICAL 
competence
High cutting Star Success Doubt?
Edge
Medium Success Doubt? Failure
State--of
State of--the-
the-art
Low Doubt? Failure Disaste
Obsolete r
 ./

 

 ,
Technology can be used to out all business activities to
offer customer long term value addition.
Porter proposes to formulate a Technology develop &
maintain a competitive advantage by carrying
Strategy using following steps:
Identify all the distinct Technologies and sub-
sub-
technologies in a value chain.
Identify potentially relevant Technologies in other
industries or under scientific development.
Determine the path of change of key Technologies.
Determine which Technologies and potential
Technological changes are most significant for
competitive advantage and industry structure.
Assess a firm¶s relative capabilities in important
Technologies and cost of making improvements.

Select a Technological strategy , encompassing

all important Technologies that reinforces the
firm¶s overall competitive strategy.

Reinforce business-
business-unit Technology strategies at
the corporate level.

|
 + 

WEALTH
CREATION

MARKETING

PRODUCTIVITY

TECHNOLOGY

„
 





CORE COMPETENCIES ARE COLLECTIVE SET OF
KNOWLEDGE, SKILLS & TECHNOLOGIES A COMPANY
APPLIES TO ADD VALUE FOR ITS CUSTOMERS TO
DERIVE THE COMPETITIVE ADVANTAGE IN THE
MARKET PLACE.
FEATURES OF CORE COMPETENCIES:
- Provide distinctive competitive advantage to the
Organization.
- CORE COMPETENCIES are difficult for competitors to
imitate.
- CORE COMPETENCIES make significant contribution by
way of Value addition to the end products offered by
the Organization.
- They provide access to wide variety of markets.
  |



. Clearly identify the p

p p „

- What it does best.
- What it can do which no other company can do better.
- What will permit it achieve best-
best-in-
in-the-
the-world-
world-status in
regard to what it does.

2. Develop the plan to fully exploit the CORE COMPETENCIES.

3. Develop, cultivate & enhance the company¶s CORE
COMPETENCIES.
4. Deploy CORE COMPETENCIES as widely as possible
throughput the company¶s Product¶s & Services.
5. Align all other activities in the company Around the
areas of CORE COMPETENCIES to create Synergy .
When synergy exists, whole is greater than the parts.
Develop an optimal plan for Technology
integration and Outsourcing if necessary.
Build barriers to competitors¶ entry into
company¶s areas of CORE COMPETENCIES.
Overcome temptations for short term gains
rather than long term strategic positioning.
Integrate with CORE COMPETENCIES the Product
Technology, Production Technology, Marketing
Technology and Disposal Technology with
Business Strategy as explained earlier to attain
Market leadership and business Excellence.
Decide on á
á 
needed

needed for
its Operation based on realistic Technologies and
Business decision making criteria.
Be aware of the emerging Technology that can
impact the business.
  

To what extent is TECHNOLOGY RELEVANT TO THE
BUSINESS ?
Which Business Strategies need TECHNOLOGY ?
Where will we get the required TECHNOLOGY ?
What are the core TECHNOLOGIES needed by the
business ?
Where shall we focus our Research effort ?
What Strategic options are provided by the
TECHNOLOGY ?
How much is the Value addition done by the
TECHNOLOGY ?
Will it give a competitive advantage at the Market
place.
 

 
It could be either a process of Top to bottom planning
or starting from the operational steps work backwards
to do Bottom-
Bottom-up Planning.
Input to the Planning is the Technological and
Marketing Knowledge.
Forecast the technology in terms of emerging
technology, substitute products and existing technology
Analyze and forecast the environment in terms of the
Threats and opportunities.
Analyze and forecast the Market and consumers in
terms of their needs, expectations, preferences and
available products and services and how they are
fulfilling the consumers¶ needs.
Analyze and reengineer the organization in terms of its
Strengths, Weaknesses and available resources.
Develop the Vision and the Mission. Break it6 up into
immediate Èuality Objectives and Goals. This will bring
the entire organization with a common integrated
unidirectional objective.
Design the organizational action in terms of
Technological planning by optimum utilization of
resources, market leadership, business excellence
aimed towards attainment of the organizational
objective.
Put the Plan into operations by implementing action
steps, following schedule and budget.
Define the control points and assess the performance
and progress of the plan. Monitoring is very useful.
Technological market place are dynamic and each firm
must maintain a knowledge base of changes and
customer¶s reactions to them.
?

?