D56 Course Goals

understand cultural context of international technology relationships

study how culture impacts various tech. management issues

identify practices and lessons learned by top firms to deal with these issues

In Order to: avoid costly mistakes

build needed capacity

benefit from diversity

Culture Issues in Global TechnologyRelations - Course Structure

Regions & Countries China Japan W. Europe Israel Latin America Eastern Europe Emerging Nations

Technology Relations Technology Transfer Technology Sourcing Standards Collaborations Legal, IPR, Regulatory Negotiations

Cultural IssuesHistory Social Language Norms Etc.

Structures Values

Lectures Speakers Readings Projects

Foundations

1. Culture (old D56)

2. Technology management (D59)

3. Culture Technology Cases

4. Technology Transfer and Sourcing

5. Technology Standards; Collaborations; Roadmapping

6. Legal & regulatory issues; IPR; Negotiations Regional Experiences

7. Asia (China, Japan)

8. Western Europe/Israel and Latin America

9. East/Central Europe; Emerging/Developing economies Projects

10. Oral reports

DEFINING CULTURE

Integrated and contextually dependent system of learned values

Decision making, behavioral and emotional patterns and artifacts are characteristic of the society

Describes social group’s total way of life, what/how they think, say, do and make

Their customs, language, material artifacts, shared systems of attitudes, values and feelings

Is learned and transmitted from generation to generation

Cultures Vary in how Members Perceive:

People- selves, ethos- others, stereotypes

World- dominance, harmony- knowledge, thought

Human Relations- individual/collective- compete/cooperate- inter-generations- gender- norms, taboos, ethics- ownership, meritocracy

Activity- do/achieve, be- control, reward/punish- risk taking- home vs work life

Time- past, present, future- linear, cyclical- time horizons- mono/poly-chronic

Space- public/private- definitions/limits

Ethnic, Linguistic

ProfessionalOccupationalOrganizational

ClassCaste

ReligiousIdeological

RuralUrban

GeographyClimateConditions

Etc.

RegionNationTribe/clanFamily

LOCUS OF CULTURAL VARIATION(SUB-CULTURES)

Organization Culture

Function National Culture(s)

TechnologyDemands

UNCERTAINTY CHANGE

Cultural Dynamics

US ORGANIZATIONAL CULTURES(Values & Ideologies)

Competitive achievement (social Darwinism)

Performance-based/Scientific management

Efficiency Rationality Individualism (plus Human Relations) Egalitarianism Progress & Materialism Quality of life/Humanitarianism Ethnocentrism

Management Practicesreflect the interplay of:

Context – market– technological– competitive– economic– political– legal

Culture– national– ethnic/religious– class– organizational– group– profession/occupation

Corporate US Culture Shifts

From Paternalism Male Authoritarianism Traditional family Hierarchy Old boy network

To Fraternalism Female Democracy Blended family Horizontal Team

French-German Management Issues Comparison

France Strong sense of person Individuality but rigid rules and

centralization Rigid social structure Work to enjoy the good life Privacy; little employer-

employee discussion Cartesian logic Strong government role; many

state-owned enterprises Little use of consultants Catholic majority

Germany Strong group loyalty Ingrained sense of authority

figures Movement - since WW II Industrious; proud work ethic Formal but communicative;

management-worker rapport Specialism & experience Free enterprise spirit; modest

government involvement Considerable consultant use Protestant majority

French-German Similarities

Delegation of authority Mergers Marketing and advertising Hiring and firing Industry size Planning Family

High-Low Context by Profession?

High Context

Human Resources

Marketing/Sales

General Management

Manufacturing

R&D

Product Development

Design

Engineering

Information Systems

Finance

Accounting

Low Context

Culture-based US Strategy

Identify new market

Develop new technology

Develop newmarket

maturing

Milk marketSell technology

Cede market

Support - minorimprovements

Foreign Competition

Ignore/underestimateOther’s competencies

Short-termsolutions

Identify newmarket

Develop newtechnology

Create supportive environment

Close domestic market

Build scale

Set targetgoals

Acquire foreigntechnology

Develop competitive products

Enter foreignmarkets

Expand marketbase

Improve technology

Develop newtechnology

Improve products& processes

Move up-market & up technology ladder

Identify tech.needs/sources

DominatemarketRecycle at

highertechnology level

Japanese Strategyof the 1970s

Aspects of Japanese Culture Impacting Technology

National high-context village; self-perpetuating elites An articulated commitments and obligations system;

power usually wins, is accepted but recourse possible Hierarchical, with bottom-up participation; controlled

decentralization, use of task-forces Harmony, cooperation and consensus valued over

personal achievement; relationships critical Defined, “know your place”, roles; tolerance for

subordinate failure Visionary long-term & broad obligation leadership Detail oriented processes and measures plus images

and symbolism, complex context (“ba”) critical

Culture Technology

View of the world; relation to nature Rules, standards, laws/regulations, truth and rituals High/low context; deeply embedded “knowledge” and

beliefs, tolerance for deviation Communication values; openness and sharing vs. secrecy Risk propensity; attitudes towards change, importance of

tradition; being/doing Time perspectives Ownership rights (individual/corporate vs. communal) Technology impact on culture

•Legacy base, interaction (conflicts/synthesis) with existing technologies and systems

•Appropriateness (cultural/linguistic fit, skills, resources, development-base, physical environment)

•Capacity to absorb (education and training, language, infrastructure)

•Patterns of use and benefit, equitywho/access – (class, public/military/private, urban/rural,

networks), gender, generationalwhere (industry, organization size, school, medical,

home)how (direct, mediated), training, support, packaged/

unpackaged, adaptation/improvement benefits/costs/risks – to whom, how, when?

Technology Transfer:Domains for Cultural Impact (I)

Technology Transfer:Domains for Cultural Impact (II)

•Rate/pattern of diffusion/adoption, opinion leaders, early/late adopters, mobility, communication

•Intra- and Inter-institutional (between firms, university-industry, government/military-private, etc)

•Time factors, learning curves•Control/ownership, dependency (domestic/foreign)•Valuation (sender/receiver differences, cost-benefit, comparison

to alternatives, psychological)•Technology change/life-cycle (goals, expectations, fears)•Distance (geographic, time, culture)•Technology transfer processes (formal/technical, human-based,

mobility)

Technology Globalization Perspectives

Globalization of technology: capacities, sources and flows; markets and trade; supply chains; standards; manufacturing; R&D, engineering & design; consultants, institutes and intelligence; competitors; alliance partners, IPR; inter-governmental arrangements.

Plus high cost & complexity of technology development

are requiring global: technology sourcing,

alliances and licensing technology management,

processes and structures tech. transfer mechanisms personnel relations/mobility

Of Tofflerian Waves

Sta

nd

ard

of

Liv

ing

• CONFORMITY• SCALE/MASS• LONG CYCLE TIMES• CENTRALIZED CONTROL

• FAMILY/TRIBE• SURVIVAL• RANDOM (WEATHER)• LOCAL CONTROL

• INDIVIDUALITY• CUSTOM• IMMEDIATE• INDEPENDENT

Time

Agricultural

Revolution

Industrial Revolution

Knowledge Revolution

1750 -1850

1970 -2010

The Coming Strategic Inflection Points“Let’s not mince words: A strategic inflection point can be deadly when unattended to...

Companies that begin a decline as a result of its changesrarely recover their previous greatness.”

Bioelectronics

• Adapted from Dr. Robert McCarthy (Roche) and Andy Grove’s Only the Paranoid Survive)

Communications Technology

InformationTechnology

2nd WaveDecline

3rd Wave Growth

China becomes the largest economy

Classical Challenges To Technology Management

Uncertainties and ambiguities Shifting requirements; shortcomings in forecasting Tough to align technical activity with

– business strategies– key organizational players– requirements of internal and external customers

Maintaining focus and control while encouraging innovation and avoiding obsolescence

Some Key Concepts in Science & Technology

Definitions and Relationships:Science - understand, explain, predict; discover knowledgeTechnology - application of knowledge to social ends

What drives technology?Invention vs Innovation

Science & Technology and SocietyCorporate Tech. Functions: Development/Deployment/Support

(R&D, engineering, design, manufacturing, standards, quality assurance, technical marketing/sales, tech. service, tech. forecasting & intelligence, tech. management, etc.)

Products, processes, services and their interplayTechnology push vs Applications pullRadical vs Incremental innovationLife cycles, time horizons; learning curvesTechnology platforms, families, trajectoriesTechnology competencies; minimal critical mass; obsolescenceOrganizational dynamics and dilemmas

Today’s Competitive Environment

Rapid technology change and shortening life-cycles Increased, globalized and diffused technology-based

competition Rapid market changes; be responsive to voice of the

customer Growing technology development and deployment costs Drive toward lean operations, changing technology

relations with customers, suppliers, partners; R&D downsizing and outsourcing

Technology Innovation ProcessesRequirement: Linked processes at the Corporate, Business Unit and R&D levels

Environmental Monitoring Technology-Product

Strategy Development and Planning

Operational Planning/Roadmapping

Resource Allocation/Funding;

Personnel Management Project Selection Technology Portfolio

Management Project

Execution-R&D/Engineering; Etc.;

Ideation Performance Management Feasibility Studies Technology Transfer Technology Adoption;

Change Management Post-Product Support Post-Product Audit Product Line Management Intellectual Property

Management Alliance/Merger Mgm’t New Business Development

Figure 4Technology Management Processes

27.Post-ProjectAudit

Corporate

CentralR&D

BusinessUnits

1.Environ.

Monitoring(Corp)

2.BusinessStrategy(Corp)

3.Technology

Strategy(Corp)

4.New BU Dvlpmt(Corp)

12. Technology Alliance

Mgt

8.BusinessStrategy

(BU)7.Environ.

Monitoring(BU) 9.

TechnologyStrategy

(BU)

13.Product

Portfolio Mgt (BU)

10.Product

Line Plan.(BU)

5.Environ.

Monitoring(R&D)

6.Technology

Strategy(R&D)

19.Ideation

20.Feasibility

21.InitialProject

Selection

22.Project

Execution

25.Post-

Project Support

26.TechnologyAdoption

16.Funding

15.Personnel

Mgt

17.Perform.

Mgt

18.Intellect. Property

Mgt

23.Technology

Needs Assessment

14.R&D

PortfolioMgt

24. Technology

Transfer

11.Technology Roadmap.

(BU)

MATI II Members and Associated Organizations

Baxter Healthcare Coca Cola Ford IBD Inc. Kellogg Kraft Lucent Technologies McDonald’s Motorola Redex Packaging Roche Rockwell International

Rohm and Haas Siemens-Westinghouse United Technologies USG (Associate) Cambridge UniversityConsortium(collaborating

organization):

British Aerospace, BG Technology, Domino Printing Sciences, Federal Mogul Technology, Hoogovens, Marconi, Rolls Royce Aero, The Post Office, Unilever, Com. Dev.

MATI II Community Interaction

MATI BoardGroup Participation

Project CollaborationWebsite

Interactio

n

Reports

Presentations

Workshops/Roundtables

Informal Exchange

Inter-company Visits

MATI I Achievements (1)

1. Industry-Academic Collaboration Model

2. Integrated Technology Process Management

MOAD - Linchpin Processes:

1. Roadmapping (Lucent, Rockwell, Westinghouse)

2. Technology Transfer (Rockwell)

3. Voice of the Customer (Kodak, GM)

4. Technology Portfolio Management

MATI I Achievements (2)

3. Corporate Roadmapping Studies

1. Roadmapping Templates

2. Experience Sharing

3. Roadmapping in Practice (Kappel dissertation)

4. Acceptance of Roadmapping (Lucent study)

5. Cross-functional Study (Kodak)

6. Progressive Implementation (Rockwell)

7. Roadmapping Benefits/Pre-audit Instrument

8. Roadmapping Limitations/Scenario Planning & Linkage

9. Industry - Corporate Roadmapping Linkage

10. Roadmapping in Small Firms

MATI I Achievements (3)

4. Patent Claims Intelligence Study

5. Life Sciences/Food Industry Roadmapping

6. Small Firms Studies

7. Organizational Linkage/Knowledge Management Study (Levin

dissertation)

8. International (Cambridge, Far East, Israel)

Roadmaps and RoadmappingA Roadmap

– is the view of a group of how to get where they want to go or achieve their desired objective. (Discipline)

–helps the group make sure the capabilities to achieve their objective are in place at the time needed. (Focus)

Roadmapping – is a Learning process for the group.– is a Communication tool for the group.

Creating Linkage Is a Political Process

2000 2001 2002 2003 2004 VISIONCore

Technologies

Customer drivers

ReliabilitySelf DiagnosisRemote MaintModular DesignRedundancy

Low CostPower ProcessorsMemories DSPs VLSIBuilt-In Self Tst

ProcessorTSIMessage SwitchPSUPHService Ckts

ArchitectureAdmin ModuleComm Module

SignalingUSInternational

Import.Compet.Position

Techn.M/B

L M H - 0 + C = Current F = Future

CFC

FC

FC

CF

CF

FCF

CFC

C

CFCF

CF

CF

CF

CF

FCCF

F

Funded

UnfundedDecisionRequired

M

B

?

M

B

M

MBMM

M

M

?

B

BMM

M

M

Switching Core

C F

F

C

F M

Make or Buy (Sourcing) Recommendation

Voice of the Customer

Enabling Technologies

Specific Device Change-Out

Relative Importance (Now and in the Future)

Current Competitive Position (Now)

Illustrative Data

Figure 18: Linear Extrapolation: The Corporate ‘Mission’

))

Unfolding Events and TechnologiesUnfolding Events and Technologies

Boundaries: (artifactsof past problems)

Boundaries: (artifactsof past problems) Uncharted (including

opportunities unrealized)

Uncharted (including opportunities unrealized)

The PresentThe Present

Starting Point: Current Competencies

and Capabilities

Starting Point: Current Competencies

and Capabilities

Mission(Linear)

Mission(Linear)

ContingencyPlans

ContingencyPlans

Anderson, Radnor& Peterson, 1998 A Point in the FutureA Point in the Future

Figure 19: ‘New Horizons’ - Managing the Present from the Future

Unfolding Future Events and TechnologiesUnfolding Future Events and Technologies UnchartedFuture

UnchartedFuture

PotentialDiscoveries and

Additions to Science

PotentialDiscoveries and

Additions to Science

Current Time &Understanding

Current Time &Understanding

CurrentCompe-tencies

CurrentCompe-tencies

Anderson, Radnor& Peterson, 1998

Area of Immediate New Opportunities

Area of Immediate New Opportunities

Starting Point: Vision

Starting Point: Vision

Figure 20: Close-Up Of the ‘New Horizons’

Core Capabilities

Accepted Periphery

Actual Green Fields

Recognized Green Fields

Recognized Core Gaps

Unrecognized Black Holes

Technology Transfer Definitions

Technology Transfer Process defines how technology is transferred between two business/project entities

Technology Transfer is defined as a single event or a sequence of events that use “defined mechanisms” to achieve the transfer of a “technology” between two functional areas– Technology Transfers may be scheduled/planned within a project– Technology Transfers may occur on an opportunistic unscheduled basis

within business operations– Technology Transfers are always Bi-directional in nature

Technology Transfer Mechanism - defines a specific instance of how technology is transferred

Deliverables are defined as the technology transferred between the business or project entities.

Goal of Technology Transfer Process Optimize both process attributes and transfer mechanisms to

achieve a successful transfer– Given that an individual project is accountable for the

selection of its own goals and resources, then “variables” that potentially can be standardized are “transfer mechanisms”

– Given that there may be different transfer requirements within the same project then a set of mechanisms may be required to be used to achieve a successful transfer.

To promote consistency, ease of use, leveraged re-use and efficient use of resources without constraining innovation and ingenuity of participants using the process

Major Elements Required in Technology Transfer Expertise/Know-how Coordination of matched resources at correct time Common Domain Language Comfort Level / Buy In

How does one measure and develop each of the elements during the life of the project to ensure successful transfer ?

How are are success measures judged and by whom ? Measures usually Lag the Technology Transfer

Action Measures are largely subjective

Receiver / Customer Project Sponsor Project Team Technology Source / Creator

Factors Impacting Technology Transfer Success Project Sponsorship e.g. Executive Management Co-Location of team Support - Training of project participants Shelf Technologies Need Better Support / Publication-Awareness Lack of Hard Quantifiable Measures Lack of visible success due to long Technology Life Cycle

( Research to Product) Failures breed lessons that are not captured Contract Paradigm versus Agile Learning Paradigm

(Measures Output) versus (Measures Process) Buy In From The Participants Expertise Is Available in all required areas in both source and receiver Team Member Relationships

Successful Transfers Involve People Technology Transfer is the result of successful human

relationships The most successful Transfer Mechanism involves

personnel transfer– Hard to achieve, not compatible with current Western

organizational (employment/work methods) and Social Structures

Technology Transfer may be significantly improved in the future by computer aids/information sharing tools

Attributes of a successful technology transfer process Is the result of good planning Needs to use quality resources Use efficient mechanisms and/or

tools Operate in a timely manner

Technology Transfer Summary

Movement from a measure of discrete event output to that of an agile continuous process

Move to provide a library of proven technology transfer mechanisms with their individual metrics for different types of transfer situations

The single technology transfer process for a company may be sufficiently defined as

– Identify Project– Identify Deliverables– Identify Transfer Mechanisms– Identify Resources– Execute Project Plan