Those organizations which consider innovation and technological development are the key components of their progress, always adopt advanced technology with the expectation of realizing certain benefits like Improvements in product quality, increased profitability, and improvements in productivity due to a reduction in the rejection rates.
The organization should be prepared to tackle the after effects of adoption of new technology.
Change Management considerations
1) Skill set of employees to adopt advanced technologies. Since technologies are constantly changing, what was an advanced technology in the past may be the norm today. Business practices of “continuous improvement” are changing to “Sudden jump” by the adoption of advanced technologies.
With technological change comes changing skill requirements. Training to employees is treated as one of the key factor of success. A planned training gives important to “what is required” than “What it is”.
2) Layoff of unskilled employees
Declining job opportunities, hitting mainly the lower strata of workers, namely the unskilled and semi-skilled workers. The negative impact on job security, working conditions, alienate the workers from the organizations.
3) Demand of increased input or row materials Technology advancement may produce more products. So it is important to make sure that the row materials are available in the stock to satisfy the greedy factory.
4) Storage or Market for the increased products Advanced manufacturing system can produce more goods. So finding the market or whole sailors for the products is an important factor of success.
5) New products and new materials At least fifty percentage of the time the adoption of new technologies brings new products and it requires new input materials. Packaging the new products and handling the input materials required more ideas.
6) Roll out of old equipments Arrival of advanced technologies causes roll out of old machinery and old system. Selling or dumping old systems and machinery should be properly handled for increase in profit.
7) Roll out of old products with introduction of new products When new products arrive, advertisement of them and creating brand names on them are critical to the success of the organization.
8) Increased commitment When the number of output increases, the commitment increases and the maintenance of the new machinery and new system should be treated with “rapid action forces”.
9) Licensing Even though licensing is considered as one of the item to be described before implementation, retaining the license for adequate period is an after effect of advanced technology adoption. Otherwise upgrades and trouble shooting will eat up the profit.
Conclusion Not all firms adopt advanced technologies because of the costs associated with their adoption. Adoption occurs when the benefits from adopting the new technology outweigh the costs. Adoption rates, alone, are insufficient for attempting to understand the complex nature of technological change. Thus, the author addresses the after effects that manufacturing establishments receive as the result of adopting advanced technology.