1 AIT Asian Institute of Technology

A firm level assessment of technology content added based on value added

AuthorDe Alwis, T. A. D. Sujeewa D.
Call NumberAIT RSPR no. SM-91-08
Subject(s)Technology assessment

NoteA research study submitted in partial fulfillment of the requirements for the degree of Master of Business Administration, School of Management
PublisherAsian Institute of Technology
Series StatementResearch studies project report ; no. SM-91-08
AbstractIt has been accepted that economic growth takes place through the transformation activities carried out by production systems which draw their vital nourishment from technology. Interest in studying the technological attributes of transformation activities, especially the technology content of such activities, is increasing. Many comprehensive "technometric" approaches based on very detailed and exhaustive analysis of technical parameters have been developed to meet this need. However, implementing such approaches appear to be beyond the capabilities of many developing countries due to the fact that such implementation would need considerable resources in terms of money and expertise. Thus a simpler approach to assess technology content may be useful as an initial step and this study attempts to meet that need. The measurement procedure suggested by this study views technology at the firm level as comprising of four components namely physical facilities, human abilities, documented facts and organizational frameworks. It then attempts to relate the degree of sophistication of these in terms of financial measures, usually used for value added computations, and arrives at a composite index for technology content which is termed as the Technology Contribution Coefficient (TCC). The applicability of the methodology at the firm level is tested and illustrated by employing data from 38 Sri Lankan firms. The validity of the approach at the firm level is further verified by comparing the results of the methodology with a qualitative scoring procedure. The feasibility of extending the approach to the industry level has also been shown using industry level data from Thailand. The methodology can be useful both to the government and private sector at different levels of decision making. Compared to the sophisticated technometric approaches the proposed methodology has certain limitations on its usage. These limitations are pointed out and suggestions are made for further work with a view towards overcoming some of these.
Year1991
Corresponding Series Added EntryAsian Institute of Technology. Research studies project report ; no. SM-91-08
TypeResearch Study Project Report (RSPR)
SchoolSchool of Management
DepartmentOther Field of Studies (No Department)
Chairperson(s)Ramanathan, K.;
Examination Committee(s)Sharif, Nawaz;Hirsch, Georges S.;
Scholarship Donor(s)Norwegian Government;
DegreeResearch Studies Project Report (M.B.A.) - Asian Institute of Technology, 1991


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