Sunday 25 August 2013

TECHNOLOGY FORECASTING

1. TECHNOLOGY  FORECASTING

Introduction:-
Technological forecast is a prediction of the future characteristics of useful machines, products, process, procedure or techniques. This implies following two points
1.         A technological forecast deals with certain characteristics such as levels of technical performances (eg. speed power, safety). Role of technological advances (introduction of paperless) office, picture phone new materials, costs, etc). The forecaster need not state how these characteristics will be achieved. His forecast may even predict characteristics which are beyond the present means of performing some of these functions .However ,it is not within his scope to suggest how these limitations will be overcome.

2.         Technological forecasting also deals with useful machines, procedures, or techniques. Technology forecast and technology innovation chain:-
    There are five stages of any technological innovations

           1.          Basic scientific findings /discovery of a principle:-
These establish minimum knowledge on basis of sound scientific principles from which a solution to specific problems could be found.
           
2.         Laboratory or bench level feasibility:-
At these stages depending on the identified problems, a laboratory workable model could be found /fabricated without violating any natural physical laws this would generally be able to work in the desired way only in laboratory environment, under control conditions and supervision of trained scientists, technology, and technician.

3.         Operating prototype /pilot plant:-
On reaching these stages it would be possible to obtain design/ engineering Parameters to construct a device/ system which would be capable of working in an operational environment using commercially available inputs.

4.         Commercial introduction /operational use:-
This stage represents not only technical and design adequacy, but also economical feasibility. Generally, first production model is benchmark of completion of this stage.

5.         Widespread adoption:-
At this stage having demonstrated the technical and /economic And / environmental superiority, the technology is now poised to supershed and replaces Prior devices, procedures, etc on a wide scale.

6.         Diffusion to other areas:-
At this stage new technology not only replaces old one ,but it is also adopted to perform such function as were not being performed by earlier devices techniques .

7.         Social and economic impact:-
At this stage, the innovations will affect the behaviour of the society and its use may reach point where its impact will be felt by society.











2. Necessity of technology forecasting:_

Historically US navy was one of major institutions which started formal technological forecasting to support the preparation of 15 year plan to identify likely opportunities and threats and to develop technological setting for future. Technology forecasting has now assumed importance in India due to structural reform introduced In our economic system with a view to create market driven economy. Essentially the Technology forecasting is used for purpose of
1.         scanning the technological environment
2.         anticipating emerging technological changes
3.         identifying suitable technologies by evaluating various alternatives
4.         scanning for technologies for future needs
We can identify four elements of forecast which can be specified and/or estimated. These are
1.         Time period 
2.         Nature of technology
3.         Characteristic to be exhibited by technology 
4.         Probability associated with characteristics
The time period may be stated generally or it may be given precisely The technology. Being forecast may be narrowly defined or it may encompass very broad range The characteristic may be stated only in general terms or may be given precise quantitative values The probability associated with characteristic may be given only generally, as high or low or it may be stated in precise quantitative terms and for each of these elements of forecast ,degree of precision may vary anywhere between two end points of generality and precision .The precision associated with each element of forecast should be determined by use to which forecast will be put The forecast should be thus tailored to the decisions making situation and precision associated with of the elements should be appropriate to this situations
 There may be three types of situations:-
1.         Absolutely no control
2.         Partial control
3.         Full control
We would attempt to analyses the efficacy of forecasting in the Situations.
1.         Absolutely no control :-
Let us consider a commuter seeking a forecast of the commercial availability of a solar powered car, say by year 2000. While he might seek the forecast out of simple curiosity, more likely he wants to make plans for some activity which will be affected by this forecast, say whether to buy a petrol driven car or not .Naturally he wants. To plan correctly, for if he bases his plans on a forecast of a solar or becoming wailable. And it does not materialize, the forecast has been useless to him or worse ,it has misled him into foregoing his buying a petrol car.

2.         Partial control:-
Most day to day decisions fall in the area of partial control over outcome .The decision maker is interested in influencing the out come of situation in away as favourable as possible to him .If he is presented with a forecast which he considers desirable, he will exert such control as he possesses to ensure that the forecast is realized, Thus influencing either reliability or time frame of the forecast.

3.         Full control:-
All the other extreme, when decision maker has complete control over the outcome, he does not even need a forecast The outcome will be what he wants it to be .Someone else may perhaps find a forecast of his decision useful, but he himself does not need a forecast of what he is going to do.










3. Role of technology forecasting

The forecast serves as an input to process of making plans and decisions. The role of forecast in is as follows:-
1.         The forecast identifies the limits beyond which it is not possible to go;
2.         It establishes feasible rates of progress, so that the plan can be made to take advantages of such rates; conversely it does not demand an impossible rate of progress.
3.         It describes the alternatives which are open and can be chosen from;
4.         It indicates possibilities which might be achieved; if desired;
5.         It provides a reference standard for a plan .The plan thus can be compared with the forecast at any point of time ,to determine  whether it can still be fulfilled or whether, because of changes in the forecast, it has to be changed, and
6.         It furnishes warning signals, which can alert the decision maker that it will not be possible to continue the present activities. Thus the purpose of the forecast is to be improving the quality of his decisions.















4. Classification of technology forecasting approaches

               There are two approaches to technology forecasting, namely
                1.     Exploratory
                2.     Normative
                  
                 1.    Exploratory forecasting  in to the future from the post performance or experience Its technology deals with the analysis of the technological  capability ,features etc of the past ,evaluation of the present ,looking forward to the future taking in to account the dynamic progression which brought us today’s  position .

2.    Unlike exploratory forecasting, the normative approach  begins from future and works out desired land works backwards to  the present state .In other words the mind is projected in to the future  by postulating  a desired  or possible state of technological  development to specify a specific need the forecaster then works backwards to identify the steps or landmarks necessary to be achieved with assessed level of probability, in order to reach end point or goal set hence fore
Thus the above two approaches are not competitive. They do not substitute one another. Essentially they are complementary to each other and have to be used together.

Methodologies of forecasting:-
Different techniques have been developed over the years to deal with forecasting methodologies .The forecaster has to judiciously select a techniques or a combinations of techniques depending on the methodology and the end objective in to view.
            Use of combination of methods will generally be more reliable than dependence on a single parameter or single forecasting methods. It may be useful to have the user of a technology, generator of a technology, manufacturer’s suppliers and designers involved in an integrated exercise to shape the combined perspective in to forecast.





5. TECHNOLOGICAL FORECASTING METHODS

            Some of the TF methods are now elaborated in this section
1.         Brain storming (BS)
            This is the oldest   method for forecasting it is conducted by a group of people to forecast about a specific technology by a collecting or contributing all the ideas spontaneously. The basis of the method is that the ideas should not be evaluated at the generation stage during many new ideas emerge. Thus, there is a separation of the idea generation and evaluation stages. The reason for this is that new ideas can emanate even people who even though not have through expertise in given field. The major objective of BS is to stimulate the generation of ides on given technology. It does not matter even if they are wild, highly impractical or exotic. Ideas are formed /offered spontaneously in a relatively unstructured environmental. After they have been presented, they analysed and evaluation is carried out in depth.

Steps involved in Brain Storming (B.S.) :-

1.         Identification of a person as a group leader .It is necessary that he is chosen by his age or his position or seniority or expertise in the technology, he must have the requisite experiences of integrating or channeling ideas to lead to solution.

2.         Identification of the problems by a group so that the multiple dimensions of the problems involved are carely highlighted

3.         Definition and redefinition of the problems so that it is unambiguously understood by the group possible solution are deliberately avoided.

4.         Idea generation process is initiated .Once number of ideas are collected, a number of triggering questions are initiated to help combine ideas or approaches.

5.         The recorded ideas are reviewed, classified and streamlined in to related ideas and clusters.
6.         Rearranged ideas are evaluated, possibly through reverse brainstorming that is the series of eliminating questions .Least favored ideas are rejected. Preferred once are analyzed and forecast are prepared in consultation with other functional efforts .The structure of the problem solving group is a major factor which determines the goodness of forecast .A group, to be effective, has to have a variety of people, such as
a.         Users of tech
b          Expert, knowledgeable in tech
c          Expert, knowledgeable in market
d          Economists /financials analysts
e          Dreamers with new ideas
f           Persuaders who can help acceptance of idea
g          Technology forecaster and consultants
            Based on experience it has been found out that the session could be structured, to some extent to facilitate the solution of the problem during BS .This in away involves first establishing a method for obtaining a variety of emergent ideas and then converging it on to the given solution.

Application of Brain storming (B.S.):-
            It has been applied to a wide rang of R&D, technological and business problem solving. This   method has been used for following purposes namely,
a)         for obtaining new ideas of products /processes /services /procedures
b)         for over coming new uses or market segments
c)         for over coming bottles necks
d)         for identifying alternative options or methods
       
             The group can have 5 to10 members. If there are more than 10 members, the processing of the proposed ideas become difficult. In some cases, the outsiders are used as leaders.   




Advantages and disadvantages:-
            The advantage of B.S. is that it is easy to organize and the resources needed are the modest. But it requires and experienced person to conduct it. A number of sessions are required since at the initial stages the participants are skeptical or hesitant sufficient time is needed for organizing a brainstorming exercise.
            Further, a considerable preparation has to be made before the actual exercise begins.

B)        Delphi technique:-
            Delphi is a programmed, sequential questionnaire approach. The word has its origin in once of Delphi in which a group of learned persons used to make forecasts. Instead of an individual making a forecast, a group prepares a forecast but with certain characteristics;
a)         Anonymity
b)         Iteration with controlled feed back and
C)        Statistical group response taking in to consideration minority views. The detailed steps involved in a Delphi exercise are as follows:-
1)         Identify the specific area or field in which Delphi exercise has to be carried out.
2)         Identify a set of user, technology generations /experts/equipment manufacturers, development bankers and social scientists and others who can help in preparing a set of questions for forecasting technological developments in the given area.
3)         A small core group is formed to prepare the questionnaire with the help of persons at step 2 to cover among other the desirability of the technological development, it feasibility, time frame and recourse needed for commercial use, and impact.
4)         The questionnaire is then administered to a number of participants to cover a wide cross–section of interests.
5)         The first round responses for the questionnaire is obtained and processed, where in minority and even extreme views etc. are also included.
6)         The second round questionnaire is sent back to the participants to give there revised comments.
7)         The second round result is than processed to get the consensus results.
            Thus, Delphi provides a consensus view based on the opinion of a large number of participants and can be considered as a way of combining /integrating forecasts.
Application of Delphi Technique:-
            The Delphi method is used to:-
a)         Identify new factor likely to influence the future sate of technological development;
b)         Obtain probabilistic estimates of technological performance over a specified time horizon;
c)         Obtain forecasts of a time scale foe an event where other methods can not be used;
d)         Ascertain the feasibility of a given event occurring under specified conditions; and
e)         Obtain subjective quantitative measures of technological performance in the absence of objective data.
                                   
            The preparation of the questionnaire has to be done very carefully and should, among other conditions, ensure that:-
a)         The issues are unambiguously specified
b)         The questions are un conditional and not interlinked to conditionality specified elsewhere
c)         The definition of probability for occurrence of an event etc. sought in a question should be clearly defined /explained.

Advantages:-
            It is a useful technique for
a)         Obtaining forecasts when there is a limited amount of historical data, and
b)         For fields which are highly interactive and interdisciplinary involving diverse parameters such as social, economic, political and managerial.

Disadvantages:-
                                         
a)         It does not have any logic underlying each prediction and if repeated, it may not 5 reproducible results and
b)         Although it may produce a high degree of convergence yet this convergence does not imply high degree of reliability.

   
6. Conclusion

            Today is an era of global competition & Companies are implementing new technique and methods to reduce cost of manufacturing and increase productivity and in turn profitability. One of the best solution to this problem is Technology Forecasting i.e. T.F.
            T.F is totally new approach which really worth and worth. It is a concept that goes beyond conventional method and approaches of maintenance activities. It provides new idea which can prevent further crisis.

            Both B.S. and D.T. if use successfully they provide new idea of activities that prevents quality defects breakdown, makes work easier. 

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