Technology is a key resource of profound importance for corporate profitability and growth. It also has enormous significance for the well-being of national economies as well as international competitiveness. Effective management of technology links engineering, science, and management disciplines to address the issues involved in the planning, development, and implementation of technological capabilities to shape and accomplish the strategic and operational objectives of an organization.
The use of technology is an important factor in the process of a company's product development. Product development is the set of activities beginning with the perception of a market opportunity and ending in the production, sale and delivery of a product. It is often used in engineered, discrete, physical products such as television sets and automobiles. Product development is divided into four stages:
1. Initiation Stage
The goal of the initiation stage is to identify a new business opportunity. Projects go through two phases in this stage: knowledge prebuild, and concept development. At the knowledge prebuild phase, planning groups comprised of marketing and design representatives match market opportunities and available technology. The product manager and the product designer analyze the market potential of the concept and develop draft specifications and plans for project management and investment. Senior corporate and divisional management evaluate the new business opportunity as a cost effective and innovative technological solution that could be developed with sustainable margins on cost, revenues, and technology.
2. Definition Stage
Review of the product concept marks the end of the next major stage in the new product development cycle. During this stage, the product concept is defined, and marketing sets the context within which integration of design and manufacturing occurred. Commercial specification, outlining the