Hal Salzman

Into the Eye of the Storm: Assessing the Evidence on Science and Engineering Education, Quality, and Workforce Demand

Recent policy reports claim the United States is falling behind other nations in science and math education and graduating insufficient numbers of scientists and engineers. Review of the evidence and analysis of actual graduation rates and workforce needs does not find support for these claims. U.S. student performance rankings are comparable to other leading nations and colleges graduate far more scientists and engineers than are hired each year. Instead, the evidence suggests targeted education improvements are needed for the lowest performers and demand-side factors may be insufficient to attract qualified college graduates.

The 'New' Globalization of Engineering: How the Offshoring of Advanced Engineering Affects Competitiveness and Development

Changes in the strategies of multinationals and in the global distribution and movement of technologists have accelerated a “new” globalization of engineering. Field studies with our colleagues in China, Germany, India, Japan, Mexico, South Korea, the UK, and the U.S., lead us to consider in this paper aspects of the recent offshoring of advanced engineering to emerging economies. We examine the potential consequences for multinationals and their home countries of the new globalization of engineering, many of which are unintended, suggesting the need for greater attention by managers, government policymakers and scholars. A generation ago the typical multinational (MNE) was vertically integrated and hierarchically organized. Key functions were headquartered in one of the triad economies of the U.S., Japan or Europe. In the case of technology development, for example, more basic R&D work might be conducted by central research laboratories, with more applied work done at triad production facilities. Some engineering activities were conducted in emerging economies, but these had little to do with the core engineering programs of the firm. At a Whirlpool facility in India, for example, washing machines were redesigned to keep out rats, to survive shipment on bad roads, and to cope with power ebbs and surges in electrical current (WSJ, June 12, 2004). At an automobile plant in an emerging economy, we found, as part of

Reshaping Global Technology Development: Innovation and Entrepreneurship in China and India

Purpose – This paper seeks to explore the processes by which the offshoring of technology development to India and China by Western and Japanese multinationals has evolved from the localization/simplification of technology for local markets to the development of advanced technology in India and China for global markets. Design/methodology/approach – Case studies were developed based on 190 interviews conducted in China, India and several other countries. Respondents included multinational home country and offshore managers, as well as local entrepreneurs. Findings – Rather than following carefully thought out corporate strategies, the offshoring of technology development by multinationals is more often incremental and driven by the ambitions and expectations of Chinese and Indian entrepreneurs and managers. Meanwhile ‘‘technology competition’’ policies proposed in the USA and elsewhere are not taking sufficient account of the processes by which technology development is being offshored. Originality/value – Techno-nationalistic policies designed to allow one country to win a race with others in developing and monopolizing new technologies are increasingly dysfunctional. The identification of multinationals with ‘‘home countries’’ continues to weaken. At the same time, technologies and technology workers are more mobile than ever before. Better policies would allow nations to seek mutual benefit through today’s more globally dispersed technology development capabilities. Multinational managers in our study were not sufficiently accounting for the costs of offshoring and outsourcing technology, nor were they giving much thought to the longer term implications of their diminishing capabilities to develop or even control the development technology. More thought should be given to what aspects of technology constitute ‘‘core competencies’’ and which provide sustainable competitive advantage in the emerging global environment.

INNOVATION SHIFT TO THE EMERGING ECONOMIES: CASES FROM IT AND HEAVY INDUSTRIES

The current shift of technology development work by multinationals to the emerging economies is distinctive, as many are now observing, though less understood are the implications for innovative capacity and location. It is now high-end (rather than adaptive) development that is being carried out in countries like India, China, Brazil and Mexico. And, increasingly, multinationals from the U.S., Japan and Europe are finding themselves competing against, or working with, new technology-based companies from the emerging economies. Our study focuses on the processes and outcomes of globally distributed engineering. Field work was carried out at 67 engineering headquarters or development sites in eight countries. The firms in our study were in IT and a range of other industries, though in this paper we concentrate on the IT and heavy industries sectors. Based on our fieldwork we conclude that this new shift in the location of technology work at the top of the value chain is not only distinctive, but it is also disjunctive, not following past trajectories of offshoring. We also find that it is occurring as a matter of incremental value chain creep, rather than being guided by “strategy.” We believe current trends are inconsistent with some widely accepted postulates and prescriptions of organization and innovation theory. We find that the consequences of these trends have not been well conceptualized by managers and policy-makers. The research described here was supported by the National Science Foundation (Societal Dimensions of Engineering, Science & Technology, SES-0431755, and the Human and Social Dynamics Programs, SES0527584), and the Ewing Marion Kauffman Foundation. Any opinions, findings, and conclusions or recommendations expressed in this material are those of the authors and do not necessarily reflect the views of the funders.

Engineering and Engineering Skills: What’s Really Needed for Global Competitiveness

Terms of Use: Copyright for scholarly resources published in RUcore is retained by the copyright holder. By virtue of its appearance in this open access medium, you are free to use this resource, with proper attribution, in educational and other non-commercial settings. Other uses, such as reproduction or republication, may require the permission of the copyright holder. Article begins on next page

Technological entrepreneurship in India

Purpose Is the rise of the Indian software industry simply another Asian state-dominated industrial growth story or is India distinctive, an economy where small technology entrepreneurs also find niches for development and can be drivers of innovation? Research has focused on the large integrated Indian and international service providers. This study examines the opportunity for growth among smaller innovative technology entrepreneurial firms. Two areas of inquiry are: What factors have been responsible for spurring growth in the Indian IT industry? What type of work is being carried out at Indian firms and is this profile changing? This paper aims to examine the emergence of technology entrepreneurs, particularly in terms of their links to multinational firms and their role and position in global value chains. The paper takes a multi-level approach to understanding development trajectories in the IT sector in India: a global value chain approach to the extent that company processes are seen in their larger networked context across organizations and an institutional approach in terms of state policies that influence the creation of infrastructure that, in turn, shapes organizational development trajectories. Additionally, it examines the role of the various actors within IT sector organizations – the workers, the managers and, in the case of the small companies in our sample, the owners – on the outcome of growth trajectories in the Indian IT sector. We find that the various levels of change and policy all contribute to the outcome in company trajectories: the dominance of multinational enterprises on the market, the entrepreneurial vision and survival strategies of returned technology expatriates, and the changing policies of the government in promoting indigenous business. Design/methodology/approach Qualitative research interviews; comparative case study; literature review; multi-tier analysis. Findings The technology entrepreneurial development in India appears to represent quite a distinctive path in terms of both firm development and broader economic development. It is focused on the IT sector, in which high skill “knowledge work” is carried out and which has been able to develop despite lack of basic infrastructure (roads and reliable electricity). Research limitations/implications After the opening up of the business environment to large Western multinational enterprises (MNEs), it was difficult for indigenous Indian entrepreneurs to compete in innovative product development markets. Developing such companies depended on individual risk taking, as no specific infrastructure existed for niche production. However, the knowledge base and innovation clusters did offer opportunities for obtaining contracts. The Indian entrepreneurs did have to make a lot of compromises about defining their business and the tasks they could undertake. More research is needed on the paths and development opportunities for these smaller Indian-owned firms. Practical implications Unique opportunities are emergent and defy easy policy prescriptions, other than precluding change that does not foreclose emergent possibilities (e.g. such as strong state controlled business development). Social implications Indian-owned innovative companies, although having difficulties competing with large Indian and Western MNEs, do put pressure on these MNEs to move work up the value chain, thereby providing more interesting and challenging opportunities for Indian knowledge workers. Originality/value This paper provides a unique company-level perspective about entrepreneurialism in the Indian software sector from the perspective of different actors in the process. It then links this company-level perspective to a larger context both in terms of trajectories of development at the macro level, as well as the role that the company’s place in multinational value chains has in its development perspectives. It gives a special insight into the motivations and obstacles facing entrepreneurs in India’s dynamic software sector.

Engineers, Firms and Nations: Ethical Dilemmas in the New Global Environment

Global firms—which are the primary organizational entities through which commercial engineering is conducted—have largely lost attachment to their country of origins. Although they may retain some cultural heritage that stems from their country of origin, they are increasingly global organizations that have multiple “host countries” in which they have located some portion of their operations. As a result, they have a decreasing degree of investment in, or loyalty to, any one nation. At the macro, policy level, this new globalization raises questions about the context in which engineering work (as well as other work) is conducted. This structural change in firms and the process of technology development raises questions about engineering values and ethics. This paper will provide an overview of the structural changes in technology development based on fieldwork conducted by the authors, and discuss the value and policy implications of these changes.

Science and Engineering “Competitiveness”: Developing Collaborative Advantage in a Global Commons

The following sections are included:IntroductionThird Generation GlobalizationThe S&T Human Resources RaceThe Nationality of MultinationalsThe Chimera of Techno-HegemonyConclusionsReferences

Self-Employment and Economic Mobility

Terms of Use: Copyright for scholarly resources published in RUcore is retained by the copyright holder. By virtue of its appearance in this open access medium, you are free to use this resource, with proper attribution, in educational and other non-commercial settings. Other uses, such as reproduction or republication, may require the permission of the copyright holder. Article begins on next page

Globalization Shifts in Human Capital and Innovation

Terms of Use: Copyright for scholarly resources published in RUcore is retained by the copyright holder. By virtue of its appearance in this open access medium, you are free to use this resource, with proper attribution, in educational and other non-commercial settings. Other uses, such as reproduction or republication, may require the permission of the copyright holder. Article begins on next page