MANU1385 Management Of Technology

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MANU1385 Management Of Technology

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MANU1385 Management Of Technology

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Course Code: MANU1385
University: Victoria University

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Country: Australia

Question:
Critically analyse the historical and present day operations of Airbus Group SE and The Boeing Company. In particular, compare and contrast their respective technology-management strategies,taking into consideration business, economic, and political influences. You are expected to draw upon the material and readings provided in Weeks 1 to 4 of the course, that is, from the following areas:1. Technology Management2. Strategic Business Planning3. Principles Underlying Technology Management4. Technology Strategies
The first assignment is group work but nevertheless, students have to make clear balanced distribution of the workload. Hence it is strongly suggested to the students to write after a subchapters or paragraphs that they wrote the name of particular student. The groups can have up to five students. The Mark will be given on the base of individual writing (weight 20%) and on the quality of the complete work.
Answer:

The technology management is the combination of the science, engineering along with the management knowledge and practice, with technology as the central means of the wealth and the creation of value (Beaugency, Sakinç and Talbot, 2015). There are set of management disciplines which have allowed Airbus Group SE and The Boeing organization to manage their technological fundamentals to create competitive advantage. The concepts used in the technology management are based on the technology strategy, technology forecasting for the organization and where possible through the technology scouting.
Boeing has been at the forefront when it comes to civil aviation for over a half century (Beaugency, Sakinç and Talbot, 2015).  They have able to leverage technology when it comes to manufacturing and defense experience to becoming the world leading producers of the commercial aircraft. The demand for this aircraft has remained strong because of the technological strategy (Galliers and Leidner, 2014). The organization has been an innovation leader through use of the new technologies which reduce operations costs, fuel burn, noise emissions, and simultaneously increase range (Çetindamar, Phaal and Probert, 2016).  Technology management is essential since it helps to understand the value of certain technology for the business (Galliers and Leidner, 2014).
Continuous development in regards to technology is valuable provided there is a value for the client and therefore the technology management role in the organization need to be able to argue when to invest on the technology development and withdraw (Hill, 2017). Boeing been able to leverage on the technology with their manufacturing and defense experience they have become leading producer to the commercial aircraft (Galliers and Leidner, 2014).  On the other hand, the major competitor is Airbus Group SE which has fleet of the nine basic models, customer base of the 171 operators, and an order backlog for more than one thousand planes (Hill, 2017).
They have been able to earnest technology management and utilized the technology of fly by wire to all their planes which has substituted computerized control for the mechanical linkages between the pilot and the aircraft control surfaces (Hill, 2017). This is a technology strategy which they have utilized since this combined technology with the common cockpit design have assisted them through their share of deliveries which was only 33 percent by number and Jumbo Jet to compete with the Boeing 747 when it comes in the VLA market (Sakas, Vlachos and Nasiopoulos, 2014). A contrast between the two organizations is that Boeing they have the monopoly of 747, which is a fantastic merit since they have the product in comparison Airbus Group SE which have none.
This technology is hard to come by to this organization and that why Boeing has been able to be ahead of the other company (Sakas, Vlachos and Nasiopoulos, 2014). They have been reporting constant revenues increase since the year 2002, and this has been contributed by the technology strategy and forecasting where they have been able to identify new technology that they have implemented (Galliers and Leidner, 2014). When to aspects which are common between the two organizations is that they have earnest technology strategy which favors them and these has enabled them to leaders and have competitive advantage to the other Aircraft organization (Galliers and Leidner, 2014).
For instance, they have had interesting attempt at preemption which involves private negotiations between Boeing and Airbus Group SE to join forces to explore possibility to collaborate new superjumbo (Sakas, Vlachos and Nasiopoulos, 2014). This is a technology management strategy both of the organization wanted to join forces and explore on how they could make the superjumbo through feasibility study and this would ensure they have a large capacity transport plan that could hold from 500 to 800 passengers.
Strategic Business planning
It is rare for the business to go through the industry transformation. Moreover, there has been major diversification into the new business sectors which have transformed organization out of their original business or there would be radical change to the business model. A current example has been Boeing and Airbus Group SE (Galliers and Leidner, 2014). deciding that competition, tough unions and other pressures were squeezing growth to their core business lines rapidly changed the business perspectives. To emphasize on the shift in their strategies, the organization moved their quarters to other regions such as Boeing moving from Seattle to Chicago.
Nothing can highlight more degree of the strategic planning change move than such a move (Galliers and Leidner, 2014). To be able to compete effectively they have to undertake strategic business planning such as to investing heavily and betting their future to new industries (Wu, Straub and Liang, 2015). The strategic business planning of these organization need to change since there are many flaws particularly to their operation plan and these need to be addressed to revive their business and at the same time gain market share once they used to enjoy (Wu, Straub and Liang, 2015). The main issues both are encountering are poor future planning, futile technical upgrades and the useless marketing policy (Wu, Straub and Liang, 2015).
These aspects need to be addressed since the organizations are suffering some major setbacks in the aircraft market. Moreover, these aspects need to be addressed so that they could gain a back the market share once the business enjoyed (Wu, Straub and Liang, 2015). On the contrast, on their strategic business planning they announced that they would seek to reduce on the cost of their aircraft manufacturing business and they would begin to transfer fabrication of the fuselage from them Seattle to Wichita, Kansas (Wu, Straub and Liang, 2015).
Moreover, there has been open discussion to outsourcing more manufacturing to the specialist producers and this is contrast to what Airbus Group SE has done. Boeing has been an example of the business which follows a transition strategy, and not quite leaving one industry to enter to another, but investing heavily and betting on their future to the new sector (Sakas, Vlachos and Nasiopoulos, 2014). This is in contrast to Airbus Group SE which has not heavily relied on this to their strategic business plan which they have implemented over the years and which they have reviewed one in a while to ensure that the business is in the right track (Wu, Straub and Liang, 2015).
References
Beaugency, A., Sakinç, M.E. and Talbot, D., 2015. Outsourcing of strategic resources and capabilities: opposing choices in the commercial aircraft manufacturing. Journal of Knowledge Management, 19(5), pp.912-931.
Çetindamar, D., Phaal, R. and Probert, D., 2016. Technology management: activities and tools. Macmillan International Higher Education.
Galliers, R.D. and Leidner, D.E., 2014. Strategic information management: challenges and strategies in managing information systems. Routledge.
Hill, T., 2017. Manufacturing strategy: the strategic management of the manufacturing function. Macmillan International Higher Education.
Sakas, D., Vlachos, D. and Nasiopoulos, D., 2014. Modelling strategic management for the development of competitive advantage, based on technology. Journal of Systems and Information Technology, 16(3), pp.187-209.
Wu, S.P.J., Straub, D.W. and Liang, T.P., 2015. How information technology governance mechanisms and strategic alignment influence organizational performance: Insights from a matched survey of business and IT managers. Mis Quarterly, 39(2), pp.497-518.

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