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Professor C. Magee, 2005 Page 1 Learning Objectives Examine very different approaches to forecasting technological change Achieve understanding of amount of technological change forecasting that is done Achieve understanding of importance of use perspective (and time horizon of interest) on method chosen for technological change forecasting Appreciate the multi-dimensional nature of practical technological change forecasting Examine technological determinism, construction (social determinism), economic determinism and other approaches

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Page 1: Learning Objectives - MIT OpenCourseWare · Learning Objectives • Examine very different approaches to forecasting technological ... • People deciding about investing in product

Professor C. Magee, 2005Page 1

Learning Objectives

• Examine very different approaches to forecasting technological change

• Achieve understanding of amount of technological change forecasting that is done

• Achieve understanding of importance of use perspective (and time horizon of interest) on method chosen for technological change forecasting

• Appreciate the multi-dimensional nature of practical technological change forecasting

• Examine technological determinism, construction (social determinism), economic determinism and other approaches

Page 2: Learning Objectives - MIT OpenCourseWare · Learning Objectives • Examine very different approaches to forecasting technological ... • People deciding about investing in product

Professor C. Magee, 2005Page 2

Technological Forecasting Outputs

• Prediction of amount of future use of a particular embodimentof technology or abstraction of class of embodiments

• Prediction of future industry revenues associated with a particular technology

• Prediction of substitution timing or what is disappearing

• Prediction of a technical performance metric at a future time

• Prediction of social, economic and human change in the future due to technological change

Page 3: Learning Objectives - MIT OpenCourseWare · Learning Objectives • Examine very different approaches to forecasting technological ... • People deciding about investing in product

Professor C. Magee, 2005Page 3

Technological Forecasting Methods• Quantitative, mathematical projection methods

– Extrapolation of fits of past data

– Models from evolutionary algorithms and “Science of Invention” studies (Altshuller et. al.)

• Qualitative methods such as story telling or scenario building

• Market forecasts (future profit value is “predicted” by investment, IPO and patent values at present time)

• Cooperative consensus projections

– Delphi studies (blind)

– Convened committees plus review (OTA, NRC, etc.)

• Organizational Hierarchy (and consensus) decision processes

Page 4: Learning Objectives - MIT OpenCourseWare · Learning Objectives • Examine very different approaches to forecasting technological ... • People deciding about investing in product

Professor C. Magee, 2005Page 4

Classes of people interested (at least implicitly) in technological forecasting (?)

• People deciding about investing in product development, manufacturing, marketing, hiring, etc. (Business)

• People deciding about investments in infrastructure (Finance)

• People deciding about buying a product or service (Consumers)

• People deciding about societal allocation (Government)

• People designing cities and infrastructures (planners)

• People deciding among educational alternatives, course selection -and teaching alternatives including department startups and course offerings, etc. (students and educators)

• People deciding about war-fighting strategies (defense)

• Lots and lots of other people (everyone in the technologically developed world?) How might method choice differ?

Page 5: Learning Objectives - MIT OpenCourseWare · Learning Objectives • Examine very different approaches to forecasting technological ... • People deciding about investing in product

Professor C. Magee, 2005Page 5

Technological Forecasting Outputs II

• Prediction of amount of future use of a particular embodimentof technology or abstraction of class of embodiments

• Prediction of future industry revenues associated with a particular technology

• Prediction of substitution timing

• Prediction of a technical performance metric at a future time

• Prediction of social, economic and human change in the future due to technological change

• Issue: Uncertainty and belief in unpredictability of technology

Page 6: Learning Objectives - MIT OpenCourseWare · Learning Objectives • Examine very different approaches to forecasting technological ... • People deciding about investing in product

Professor C. Magee, 2005Page 6

Technological Forecasting Methods II

• Quantitative Trends are more reliable when:

– data covered are Long term vs. short term

Page 7: Learning Objectives - MIT OpenCourseWare · Learning Objectives • Examine very different approaches to forecasting technological ... • People deciding about investing in product

Professor C. Magee, 2005Page 7

Consecutive maximum cruising speed of U.S. commercial aircraft.

Graph removed for copyright reasons.Source: Figure 2-2 in Girifalco, L. A. Dynamics of Technological Change. New York, NY: Chapman & Hall, 1991, p. 58. ISBN: 0442005636.

Page 8: Learning Objectives - MIT OpenCourseWare · Learning Objectives • Examine very different approaches to forecasting technological ... • People deciding about investing in product

Professor C. Magee, 2005Page 8

Successive maximum tractor fuel efficiencies.

Graph removed for copyright reasons.Source: Figure 2-7 in Girifalco, L. A. Dynamics of Technological Change. New York, NY: Chapman & Hall, 1991, p. 70. ISBN: 0442005636.

Page 9: Learning Objectives - MIT OpenCourseWare · Learning Objectives • Examine very different approaches to forecasting technological ... • People deciding about investing in product

Professor C. Magee, 2005Page 9

Passenger miles per hour of commercial aircraft (consecutive maximum values).

Graph removed for copyright reasons.Source: Figure 2-3 in Girifalco, L. A. Dynamics of Technological Change. New York, NY: Chapman & Hall, 1991, p. 59. ISBN: 0442005636.

Page 10: Learning Objectives - MIT OpenCourseWare · Learning Objectives • Examine very different approaches to forecasting technological ... • People deciding about investing in product

Professor C. Magee, 2005Page 10

Technological Forecasting Methods IIa

• Quantitative Trends are more reliable when:

– data covered are Long term vs. short term

– Focus is on General Function vs specific embodiment

• Long-term functional trends are more regular (continuing rise vs. “S” curve usually thought about)

• Variability is real but less significant in long-term trends.

Page 11: Learning Objectives - MIT OpenCourseWare · Learning Objectives • Examine very different approaches to forecasting technological ... • People deciding about investing in product

Professor C. Magee, 2005Page 11

Functional Classification Matrix Process/Operand Matter(M) Energy(E) Information (I) Value(V)

Transform or Process (1)

GE

Polycarbonate

Manufacturing

Plant

Pilgrim Nuclear

Power Plant

Intel Pentium V N/A

Transport or Distribute (2)

FedEx Package

Delivery

US Power Grid

System

AT&T

Telecommunicati

on Network

Intl Banking

System

Store or

House (3)

Three Gorge

Dam

Three Gorge

Dam

Boston Public

Library (T)

Banking

Systems

Exchange or Trade (4) eBay Trading

System (T)

Energy Markets Reuters News

Agency (T)

NASDAQ

Trading

System (T)

Control or Regulate (5)

Health Care

System of

France

Atomic Energy

Commission

International

Standards

Organization

US Federal

Reserve (T)

Page 12: Learning Objectives - MIT OpenCourseWare · Learning Objectives • Examine very different approaches to forecasting technological ... • People deciding about investing in product

Professor C. Magee, 2005Page 12

Information StorageStorage of Information

y = 9E-207e0.2416x

R2 = 0.9773

0.00001

0.0001

0.001

0.01

0.1

1

10

100

1000

10000

100000

1000000

1910 1920 1930 1940 1950 1960 1970 1980 1990 2000 2010

Year

Volu

met

ric d

ensi

ty (M

bits

/cc)

Tape

Hard Disk

Optical Disk

Punch Card

TrendTrend

F.O.M : Mbits/cc

Magnetic Tape Hard DiskOptical disk

Punch Card

Page 13: Learning Objectives - MIT OpenCourseWare · Learning Objectives • Examine very different approaches to forecasting technological ... • People deciding about investing in product

Information Transport

Year1840 1860 1880 1900 1920 1940 1960 1980 2000 2020

Band

wid

th (K

bps)

10-610-510-410-310-210-11001011021031041051061071081091010101110121013

Single Cable Coaxial Cable Optical Cable

Bandwidth(Kbps)

Year1840 1920 2000

0

2x1011

4x1011

Professor C. Magee, 2005Page 13

Page 14: Learning Objectives - MIT OpenCourseWare · Learning Objectives • Examine very different approaches to forecasting technological ... • People deciding about investing in product

Professor C. Magee, 2005Page 14

Energy Storage

Storage of Enerfy

y = 1E-81e0.0963x

R2 = 0.848

0.000001

0.00001

0.0001

0.001

0.01

0.1

1

10

100

1000

1820 1840 1860 1880 1900 1920 1940 1960 1980 2000 2020Year

Ener

gy D

ensi

ty (W

h/L

C-ZnLead-AcidNiMHLi-ionLi-PolymerDaniell CellWestonOverall

Overall

FOM : Energy Density (Wh/L)

Page 15: Learning Objectives - MIT OpenCourseWare · Learning Objectives • Examine very different approaches to forecasting technological ... • People deciding about investing in product

Professor C. Magee, 2005Page 15

Decision about whether to pursue electrical-mechanical hybrids; Ford Motor Company ~1993/5

• When did Ford (and Toyota) first produce a modern computer controlled electrical-mechanical hybrid for sale?

• 2004 (1998)

• When did research on automotive electrical-mechanical hybrids start?

• 1915 first production versions

• When did Ford (and Toyota) first have a modern (computer controlled) working electric –mechanical hybrid prototype?

• 1984 (1988)

• What are factors in the x2 difference in speed?

• What role did for forecasting play?

Page 16: Learning Objectives - MIT OpenCourseWare · Learning Objectives • Examine very different approaches to forecasting technological ... • People deciding about investing in product

Professor C. Magee, 2005Page 16

Electrical-mechanical hybrids; ~1993/5, Forecasting (technological and social); for each area discuss Ford and Toyota

• As implemented (Future) Benefit of Hybrid Technology

• Future (at time of implementation) Cost of Fuel

• Future Cost of Hybrid System (variable and investments)

• Future Desirability of Tradeoff to U.S. Consumers

• Probable Profit/Loss from Program

• Value of “Technological Capital” (Know-how) from program

• Alternative (Pure EV) Technical path value

– Technical Capital

– Political and Social Capital

Page 17: Learning Objectives - MIT OpenCourseWare · Learning Objectives • Examine very different approaches to forecasting technological ... • People deciding about investing in product

Professor C. Magee, 2005Page 17

Energy Storage Storage of Energy

y = 6E-60e0.0707x

R2 = 0.6307

0.000001

0.00001

0.0001

0.001

0.01

0.1

1

10

100

1000

1820 1840 1860 1880 1900 1920 1940 1960 1980 2000 2020

Year

Spec

ific

Ener

gy (W

h/kg

Modified

Lead-Acid

NiMH

Li-ion

Li-Polymer

Daniell Cell

Weston

FlyWheel

Overall

Overall

FOM: Specific Energy (Wh/kg)

Page 18: Learning Objectives - MIT OpenCourseWare · Learning Objectives • Examine very different approaches to forecasting technological ... • People deciding about investing in product

Professor C. Magee, 2005Page 18

Technological and other Determinisms

• What does the case suggest about the often derogatory accusations about some that construction or economics or technology or genetics is the overall determinant of social change?

• What does the case suggest about relative care in looking at future social, economic and technological trends or scenarios?

• What might make sense in general for making long-term choices?

Page 19: Learning Objectives - MIT OpenCourseWare · Learning Objectives • Examine very different approaches to forecasting technological ... • People deciding about investing in product

Professor C. Magee, 2005Page 19

Learning Objectives

• Examine very different approaches to forecasting technological change

• Achieve understanding of amount of technological change forecasting that is done

• Achieve understanding of importance of use perspective (and time horizon of interest) on method chosen for technological change forecasting

• Appreciate the multi-dimensional nature of practical technological change forecasting

• Examine technological determinism, construction (social determinism), economic determinism and other approaches

Page 20: Learning Objectives - MIT OpenCourseWare · Learning Objectives • Examine very different approaches to forecasting technological ... • People deciding about investing in product

Professor C. Magee, 2005Page 20

Horsepower to engine weight ratio of reciprocating aircraft engines.

Graph removed for copyright reasons.Source: Figure 2-1 in Girifalco, L. A. Dynamics of Technological Change. New York, NY: Chapman & Hall, 1991, p. 56. ISBN: 0442005636.

Page 21: Learning Objectives - MIT OpenCourseWare · Learning Objectives • Examine very different approaches to forecasting technological ... • People deciding about investing in product

Professor C. Magee, 2005Page 21

Mechanical efficiency of tractors.

Graph removed for copyright reasons.Source: Figure 2-8 in Girifalco, L. A. Dynamics of Technological Change. New York, NY: Chapman & Hall, 1991, p. 71. ISBN: 0442005636.