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Patterns of technological Innovation versus organizational Changes

Patterns of technological Innovation versus organizational Changes. Hongyi Sun. 1. Introduction & problems Areas of technological innovation. Manufacturing/service process Engineering and new product development Administration/management.

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Patterns of technological Innovation versus organizational Changes

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  1. Patterns of technological Innovation versus organizational Changes Hongyi Sun Technological vesus Organizational Change, Mangement of Technological Innovation, Hongyi Sun

  2. 1. Introduction & problemsAreas of technological innovation • Manufacturing/service process • Engineering and new product development • Administration/management Technological vesus Organizational Change, Mangement of Technological Innovation, Hongyi Sun

  3. New/High. Technologies: Advanced Manufacturing Technology : AMT • CNC, robots, FMS,.. • CAD, CAD/CAM,… • MIS, ERP, CIM.. Technological vesus Organizational Change, Mangement of Technological Innovation, Hongyi Sun

  4. Diffusion of new technology • Two examples (1970s to 1980s) • Robots • FMS (Flexible manufacturing systems) Technological vesus Organizational Change, Mangement of Technological Innovation, Hongyi Sun

  5. Performance • A UK study: CAD, robot, FMS • A US study: failure rate:________ • A Danish study on AMTs in 1980s • A Harvard study (compare US & Japan) • A CityU study (Shangahi N.2 textile Machines Plant) • Others: Titanc, US space shuttle, HK new airport, …. Technological vesus Organizational Change, Mangement of Technological Innovation, Hongyi Sun

  6. Questions? • WHY? • Hvafor? • Kuim? WHY ? Technological vesus Organizational Change, Mangement of Technological Innovation, Hongyi Sun

  7. A survey by US National Academy of Science: -> Technology Management • ·  How to integrate technology into the overall strategic objectives of the firm. • ·  How to get into and out of technologies faster and more efficiently. • ·  How to assess/evaluate technology more efficiently. • ·  How to accomplish technology transfer. • ·  How to reduce product development time. • · How to manage large, complex and interdisciplinary or inter- organizational projects/systems. • ·  How to manage an organization’s internal use of technology. • ·  How to leverage the effectiveness of technical professionals. Technological vesus Organizational Change, Mangement of Technological Innovation, Hongyi Sun

  8. 2. Literature review • Organizational and managerial issues for implementing advanced manufacturing technology (AMT). • Assumption: Organizational aspects were considered sufficiently Technological vesus Organizational Change, Mangement of Technological Innovation, Hongyi Sun

  9. Research questions • What aspects of org.? • Why were they not considered? • When should they be considered? • How can they be considered? • …. Technological vesus Organizational Change, Mangement of Technological Innovation, Hongyi Sun

  10. Organizational changes Technological innovation Organization-Technology Map (O-T map) Technological vesus Organizational Change, Mangement of Technological Innovation, Hongyi Sun

  11. Ettlie (1988):Synchronously innovating technology & administration Technological vesus Organizational Change, Mangement of Technological Innovation, Hongyi Sun

  12. Bessant (1990): Simultaneous innovation Synchronous innovation increasing organizational innovation Increasing technical innovation Technological vesus Organizational Change, Mangement of Technological Innovation, Hongyi Sun

  13. Voss & Twigg (1991): More attention to the organizational aspect Technological vesus Organizational Change, Mangement of Technological Innovation, Hongyi Sun

  14. O-path B-path T-path O-T map: hypothesis of pathes O T Technological vesus Organizational Change, Mangement of Technological Innovation, Hongyi Sun

  15. 3. Empirical data • Unit of study (scope of study) • Case study (cross-section vs longitudinal) • Survey • Questionnaire design • Sampling • Informants Technological vesus Organizational Change, Mangement of Technological Innovation, Hongyi Sun

  16. Technological dimension None Little Some Much Very much 1 Material handling 1 2 3 4 5 2 Transporting 1 2 3 4 5 3 Assembling and welding 1 2 3 4 5 4 Measuring/testing 1 2 3 4 5 5 Fabricating 1 2 3 4 5 6 Data collecting 1 2 3 4 5 7 Production management 1 2 3 4 5 8 Process planning 1 2 3 4 5 9 Integration with marketing 1 2 3 4 5 10 Integration with design 1 2 3 4 5 Computer -index (average) Technology dimension Technological vesus Organizational Change, Mangement of Technological Innovation, Hongyi Sun

  17. Human factors None Little Some Much Very much 1 Individual Initiative 1 2 3 4 5 2 Suggestions of ideas 1 2 3 4 5 3 Participation in decision 1 2 3 4 5 4 Training 1 2 3 4 5 5 Job rotation 1 2 3 4 5 6 Education 1 2 3 4 5 7 Group-based work organization 1 2 3 4 5 8 Performance incentives 1 2 3 4 5 9 Communications of goals & norms 1 2 3 4 5 10 Re-organization activities 1 2 3 4 5 Human-index (average) Organizational dimension Technological vesus Organizational Change, Mangement of Technological Innovation, Hongyi Sun

  18. Performance Much less than expected Less than expected As expected More than expected Much more than expected 1 Quality improvement 1 2 3 4 5 2 Productivity improvement 1 2 3 4 5 3 Inventory turnover 1 2 3 4 5 Performance-index (average) Performance Technological vesus Organizational Change, Mangement of Technological Innovation, Hongyi Sun

  19. 4. Data analysis & findingTwo longitudinal cases Technological vesus Organizational Change, Mangement of Technological Innovation, Hongyi Sun

  20. A survey of 22 companiesO = 3.175 + 0.283*T - 0.411*T2 + 0.091*T3, R = 0.78, PF=8.6 = 0.001 Technological vesus Organizational Change, Mangement of Technological Innovation, Hongyi Sun

  21. Findings: Companies tend to follow a technology-oriented path at early stage of adopting new technologies, then turn to organisational dimension, reflecting a paradigm shift in the utilisation of new technologies. Technological vesus Organizational Change, Mangement of Technological Innovation, Hongyi Sun

  22. 5. Discussion and implications • A research finding will trigger many questions. • ? • ? • ? • ? • ? Technological vesus Organizational Change, Mangement of Technological Innovation, Hongyi Sun

  23. Review of manufacturing history • <30s: Craftsman mfg • 30s-70s: Mass mfg/production • >70s: Japanese mfg: far east challenge • Lean production • Agile mfg • Flexible mfg • CIM • E-mfg Technological vesus Organizational Change, Mangement of Technological Innovation, Hongyi Sun

  24. CIM solution • A world-wide campaign for CIM • An interview of A Danish manager: why? • Outcome: failure rate • An alternative: CHIM • A shift from CIM to CHIM • Why not CHIM at the beginning? Technological vesus Organizational Change, Mangement of Technological Innovation, Hongyi Sun

  25. Performance and position Technological vesus Organizational Change, Mangement of Technological Innovation, Hongyi Sun

  26. Vision and Strategy Technological vesus Organizational Change, Mangement of Technological Innovation, Hongyi Sun

  27. Review Technological vesus Organizational Change, Mangement of Technological Innovation, Hongyi Sun

  28. CHIM HIM CIM Review Technological vesus Organizational Change, Mangement of Technological Innovation, Hongyi Sun

  29. O O-path B-path T-path T Suggestions: which path to follow? Technological vesus Organizational Change, Mangement of Technological Innovation, Hongyi Sun

  30. 6. Conclusions • The balance between technology and organization • The alignment among technology, organization and strategy Technological vesus Organizational Change, Mangement of Technological Innovation, Hongyi Sun

  31. The MOST model Technological vesus Organizational Change, Mangement of Technological Innovation, Hongyi Sun

  32. A framework Technological vesus Organizational Change, Mangement of Technological Innovation, Hongyi Sun

  33. 7. Reference 1.        Sun, Hongyi and J O Riis (1994) "Organisational, Technological, Strategic, and Managerial Issues along the Implementation Process of Advanced Manufacturing Technology: A General Framework of implementation guide", International Journal of Human Factors in Manufacturing, Vol. 4 (1), pp.23-36. 2.       Sun, Hongyi and Jan Frick (1999) “A Shift From CIM to CHIM”, International Journal of Computer Integrated Manufacturing, Vol. 12, No 5. pp.461-469. 3.        Sun, H., R. Hjulstad and J. Frick (1999) “Critical Success factors in implementing AMT by Norwegian companies", International Journal of Management, Vol.16, No.4, pp.548-556. 4.        Sun, H. (2000) Current and Future Patterns of using Advanced Manufacturing Technologies, Technovation, The International Journal of Technological Innovation and Entrepreneurship, Vol.20, No.11, pp.631-641 5.       Sun, H, Tian, Y. and Lu, L. (2001) "Evaluation of AMT in China SOE", I J OF AMT (forthcoming) 6.       Sun, Hongyi (2001) Human Resource Development in Integrated Manufacturing Systems, Integrated Manufacturing System, Vol. 12, No.4 (forthcoming) Sun, H and V. Patri (2001) The human side of holonic manufacturing system, TECHNOVATION (forthcoming) Technological vesus Organizational Change, Mangement of Technological Innovation, Hongyi Sun

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