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CONCEPTUALIZING A MODEL FOR TECHNOLOGY TRANSFER Discuss about the theoretical issues

and systematic modeling in the scope of technology transfer

Developing nation depends on acquisition of technology for industrialization as part of politic-economic activity

This is because of, Lacked of R&D Lacked of indigenous activities

Aspect of Technology Transfer There are three aspects of technology

transfer: Transfer in general sense Transfer of appropriate technology Transfer of sustainable technology

Its depend on, Multinational Companies (MNC’s) objectives Local objectives Host nation goals Home nation goals

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Practically conceptualizing a model of technology transfer emphasized on 3 aspects: International political dimension of transfer

process Commercial transaction Operational relevance issues for local

conditions

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Terminology in Different DisciplineUnique to each study in different discipline Economist

Technology embodied in the whole economic process from supplier to marketing outlets that is able to change processes

Sociologist Form of communication, a processes by which codes

of more developed societies are communicated to less developed societies

Anthropology Cultural evolution

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Technology Transfer as Dynamic Process of Technology Use Technology and science are diffused

through human activity and business Different between transfer and

deliver Knowledge-based roles of technology

transfer Enhancement of knowledge and information

in society Improvement of industry/sector specific

knowledge Improvement of system-specific knowledge Improvement of organization/firm specific

knowledge Improvement of on-going problem solving

capability

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What Concern Technology Transfer 4 concerns in technology transfer in

business are as follows Product-embodied Process-embodied People-embodied The process

Acquisition Utilization Assimilation Development (host country)

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Mechanism In Developing Country Developing nation (buyer) import

because Little R&D investment Technical and financial risks

Supplier views that Expect an increase return on R&D The technology have no immediate used The technology have already utilized to its

limit

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Process of Technology Transfer Vertical

From general to more specific Technology embodied in the system From one generation to better generation

Horizontal Adaptation from one application to

another May be unrelated

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Consequence of TT

Static technology transfer where knowledge been used without adoption

and development

Dynamic where physical and diffusion phenomena is

taking place (acquisition, adoption, adaptation and development).

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Mechanism in Developing Nation Among others

Purchase/Licensing in the form of patents, products or know-how packages

Direct purchase machinery Use of foreign expert as agents Bodily transfer through MNC, JV, industrial

enterprises Training of personnel Establishment of specialized centre for technology

transfer Establishment of institutions of education, R&D Maintenance for economic and social climate for

innovation and technological change Others

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Process Of Establishing The MechanismSteps to be taken: Define the needs of market Searching for technology Screening the technology for

appropriateness and relevance Modify technology for local

condition/business Demonstrating the value of technology Implementing the project in physical

term Diffusing the technology to relevant

sectors/market

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Code Of Conduct

Basis of Code of conduct Assigning or granting of industrial

rights Handing over technical or non-

technical know-how in form of documents, plans, diagrams and so on

Communication of technical or other know-how in the form of supply of services

Providing a combination of services with a view to commissioning of industrial complex

Providing technical services related to the selling or leasing of machinery

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Home - United Nation - Host Relationship United Nations Conference on

Technology and Development (UNCTAD) Transfer of published material Purchase of machinery etc Transfer of data Granting of licenses and trademark Collaborative agreement FDI Technologist mobility Technology entrepreneurship Interpersonal communication

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United nations Centre on Transnational Corporations (UNCTC) Unconventional

Popular among NIC’s Most benefit and cost effective Example: Reverse engineering, Reverse brain

drain (training center), FDI

Conventional

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Control Mechanism

There are mechanisms to control the elements of technology transfer that depends on the:

Transferor Transferee Linkages (ways or means of technology transfer):

Direct linkages Operation of international corporation Licensing Hiring expert Training of technical staff

Indirect linkages Purchase of machinery etc Exchange of information Flow of documents Exhibition and trade fairs

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Dimension for International technology transfer Horizontal

Home nation (supply) – impact, government and MNCs

Host nation (demand)- impact, government, capability, appropriateness, acquisition, adaptation, candidate of industry

The transaction- role and nature, cost, payment, pricing, conflict and code, mode and control, effectiveness

Vertical Nation-state Industry/firm within home and host nation

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Parties for Non-Commercial TT Linkages between technology source

(developed nation) and technology user (developing nation)

Bridging agencies Leverage as facilitator for TT

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