Technology and

Productivity

What Are the Potential Benefits of Technology?

What Are the Potential Drawbacks of Automation?

National Challenge

Emphasis on short-term business planning

Industry has limited ability to access and apply state-of-the-art research findings

Education crisis presents technological challenge in the future

Increased technology transfers to developing countries

Technology Strategy for PI

Long-range planning for modernization of the organization’s productive core and its key interface and support functions

Holistic view on product/service process technology

Technology strategy for improving an organization’s distinctive competence and its potential competitive advantage

Evaluating Values of Technology

Strategic impact – new market, competitive position, market share

Customer impact – selection, price, quality, convenience, speed, etc.

Financial impact – cost, profit, ROI Operating impact – efficiency Social impact – job, health, safety,

environment

What Are the Costs and Values of Technology?

Technology for Productivity Improvement

Five interdependent dimensions:

• Product/service design

• Physical production/service processes

• Information systems

• Management technology

• Product materials technology

Applications of Technology for PI – An Example

Product Design Technology for Productivity Improvement

Computer-Aided Design (CAD) Rapid prototyping Virtual collaboration and communication for

designers, cross-functional teams, suppliers, customers – web, groupware, instant messaging, project management, etc.

Database and data warehouse for enterprise integration and data mining

Process Technology for Productivity Improvement

Manufacturing (AMT)

• Numerically-controlled machines (NC)

• Flexible manufacturing systems (FMS)

• Cellular systems

• Computer-integrated manufacturing systems (CIM)

• Robots

Application of Technology in Manufacturing - Examples

Welding Painting Lasers Fabrication Assembly Material Handling and storage Measurement and tracking systems

Automation in Distribution

Automated Storage and Retrieval System (AS/RS)

Automated Guided Vehicle System (AGVS) Point of Sales (POS) system Tracking system (e.g. UPS) Radio-Frequency Identification (RFID)

system

Process Technology for Productivity Improvement

Service

• Automated/computerized equipment

• Automated software systems

• Telecommunication systems

• Hand-held devices

• Software systems

• Internet

Applications of Technology in Services - Examples

Billing and Payment

On-line services

Document transfer

Order taking and tracking

Customer service

Application processing

Information System Technology for Productivity Improvement

Application Software Systems

• Enterprise Resource Planning (ERP)

• Supply Chain Management (SCM)

• Customer Relationship Management

(CRM)

• Advanced Planning & Scheduling (APS)

What Are the Key Functions of those Software Systems?

Management Technology for Productivity Improvement

Standardization Continuous improvement/Kaizen Process mapping/improvement Project management Just-in-time Six sigma Knowledge Management

What Are Those Management Technologies?

Product Materials Technology for Productivity Improvement

Ferrous metals Aluminum and Alloys Titanium Plastics Composite materials Ceramics Coatings and finishes

How to Develop Leadership in Technology for Managers?