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MANAGING TECHNOLOGY: THE MACRO LEVEL

MANAGING TECHNOLOGY: THE MACRO LEVEL. MANAGING TECHNOLOGY AT MACRO LEVEL: WHAT HAS BEEN LEARNED?. PUBLIC POLICIES FOR TECHNOLOGY DEVELOPMENT OFTEN FAIL TO REFLECT THE COMPLEXITY OF INNOVATION. ASSUMPTION OF LINEAR AND SCIENCE –DRIVEN MODEL.

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MANAGING TECHNOLOGY: THE MACRO LEVEL

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  1. MANAGING TECHNOLOGY: THE MACRO LEVEL

  2. MANAGING TECHNOLOGY AT MACRO LEVEL: WHAT HAS BEEN LEARNED? • PUBLIC POLICIES FOR TECHNOLOGY DEVELOPMENT OFTEN FAIL TO REFLECT THE COMPLEXITY OF INNOVATION. ASSUMPTION OF LINEAR AND SCIENCE –DRIVEN MODEL. • THE HEART OF DEVELOPMENT POLICY IS THE COORDINATION OF PUBLIC AND PRIVATE DECISION MAKING. • PUBLIC POLICY MUST SEEK TO STIMULATE THE GROWTH OF TECHNOLOGICAL CAPABILITIES WITHIN THE PRIVATE SECTOR AS MUCH OR MORE THAN PROVIDE SOURCES OF EXTERNAL SUPPORT.

  3. THE ROLE OF THE PUBLIC SUPPORTING INSTITUTIONS MUST BE GAUGED TO THE LEVEL OF CAPABILITIES ACHIEVED WITHIN GIVEN INDUSTRY. • WHILE SUCCESSFUL IN MACROECONOMICS MANAGEMENT AND INFRASRTUCTURE PROVISION GOVERNMENT MICRO-ECONOMIC POLICIES CAN DO BETTER IN FOSTERING TECHNOLOGICAL DYNAMIC AND INTERNATIONALLY COMPETITIVE INDUSTRIES CONTROLLED BY LOCALS.

  4. EXTERNAL ENVIRONMENT Economic forces TASK ENVIRONMENT Technological forces Competitors Customers Shareholders INTERNAL ENVIRONMENT Communities TECHNOLOGY ACQUSITION: Internally & Externally TECHNOLOGY EXPLOITATION: Internally & Externally WEALTH CREATION Resources Capabilities Structure Culture Suppliers Governments Creditors Special Interest Groups Labor Unions Legal & Political Forces Socio-Cultural Forces SCIENCE & ENGINEERING DESCIPLINES BUSINESS ADMINISTRATION DESCIPLINES MOT S &T Policy; Technology Forecast & Planning; Technology Innovation; R & D Management; Technology Transfer; Technology Product/ Process Life Cycle; Technology & economic Analysis; Technology Risk & Assessment; MOT in Manufacturing, MOT in Services, Information Technology and Other Emerging Technologies; Training & Education Issue in MOT; Technology Strategy; Technology Entrepreneur & Ventures, Financing Technology & Financial Decision Making; Management of Technical Projects; Quality & Productivity Issues; Eco-efficiency and Environmental Sustainability, and etc.

  5. INNOVATION SYSTEM :DEFINED

  6. COMPONENT OF INNOVATION SYSTEM

  7. BEHAVIOR IN AN INNOVATION SYSTEM • Networking through markets and other mechanisms, including interactive learning among different organisations (potentially) involved in the innovation processes. This implies integrating new knowledge elements developed in different spheres of the SI and coming from outside with elements already available in the innovating firms. • Creating and changing institutions — for instance, intellectual property rights laws, tax laws, environment and safety regulations and R&D investment routines — that influence innovating organisations and innovation processes by providing incentives or obstacles to innovation. • Incubating activities, for instance, providing access to facilities, administrative support, and so on for new innovating efforts. • Financing of innovation processes and other activities that can facilitate the commercialisation of knowedge and its adoption. • Provision of consultancy services of relevance for innovation processes, for instance, technology transfer, commercial information, and legal advice.

  8. Provision of R&D, creating new knowledge, primarily in engineering, medicine and the natural sciences. • Competence building (provision of education and training, creation of human capital, production and reproduction of skills, individual learning) in the labour force to be used in innovation and R&D activities. • Formation of new product markets. • Articulation of quality requirements emanating from the demand side with regard to new products. • Creating and changing the organisations required for the development of new fields of innovation, for instance, enhancing entrepreneurship to create new firms and intrapreneurship to diversify existing firms, creating new research organisations, policy agencies, and so on.

  9. INCENTIVES FOR PRIVATE SECTOR • CREATING NEW SUPPORTING INSTITUTIONS • PUBLIC INVESTMENT IN TECHNOLOGY DEVELOPMENT

  10. The NSI is comprised of the constituents and the relations between them (Edquist, 2005: 182) ‘the relation among components’ is also a very important element of NSI

  11. EVOLUTION OF MALAYSIAN NSI

  12. MALAYSIA’S TECHNOLOGY POLICY:GOVERNMENT PLAYS A STRATEGIC ROLE IN ACCELERATING TECHNOLOGICAL UPGRADING IN INDUSTRYNATIONAL-LEVEL S & T POLICY MACHINERY MOBILSED IN 1970S • NATIONAL COUNCIL FOR SCIENTIFIC RESEARCH AND DEVELOPMENT - 1975 • MINISTRY OF SCIENCE & TECHNOLOGY - 1976

  13. IN THE 80s • FIRST MANIFESTATION AND INTEGRATION OF S & t POLICY INTO THE GOVERNMENT’S FIVE-YEAR PLANNING - 1986 (5TH. MALAYSIA PLAN) • APPOINTMENT OF A SCIENCE ADVISOR TO THE PM - 1984 • CREATION OF IRPA (1986) TO FACILITATE PUBLIC SECTOR FUNDING ON R & D.

  14. IN THE 90s • FURTHER EFFORT TO STRENGTHEN CENTRAL OVERSIGHT AND COORDINATION AND INCREASE THE PRIVATE SECTOR’S ROLE IN S & T POLICY. • NATIONAL ACTION PLAN FOR INDUSTRIAL TECHNOLOGY DEVELOPMENT (APITD - 1990) AS A REFERNEC POINT FOR FUTURE TECHNOLOGY POLICY INITIATIVES. • PUBLIC SECTOR REFORMS.

  15. MAJOR COMPONENT OF MALAYSIAN NSI • GOVERNMENT AND ITS AGENCIES – Ministry, Science advisor to PM, the National Council for Scientific Research & Development (NCSRD). Policy, Emphasis, Funding & Grant, Incentives (e.g. using tax regime), Databases and Information Dissemination, Recognitions, Inter-agencies and ministries. • GOVERNMENT RESEARCH INSTITUTIONS (GRIs) – government owned/backed organizations that conducts research activities/initiatives in specialized areas/field and promoting them for applications e.g. MARDI, SIRIM, FRIM, RRIM, PORIM • UNIVERSITIES, INSITUITION OF HIGHER LEARNING, SKILLS AND TRAINING CENTRES – both government and private. knowledge generation and dissemination, provide education at the tertiary level, skill training, R & D and commercialization, industry linkages/cooperation. • INDUSTRIES Research activities, market application, promotion and penetration, source of ideas, dissemination, beneficiaries of incentives.

  16. MALAYSIAN NSI: LINGKAGES • weak vertical linkages within the supply chain between suppliers and producers; and between producers and users. • Vertical linkages in technological and innovation activities between MNCs and local SMEs are therefore minimal. • weak technology and innovation linkages amongst local firms • R&D consortia (where firms within the same industry work together in R&D activities), are virtually absent. • weak linkages between public research institutions (both GRIs and universities) and industry.

  17. S & T POLICIES: MAIN CONTENT/EMPHASIS

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