Technology and innovation are essential ingredients in the industrialization and sustainable development of nations. The importance of these ingredients as crucial factors in the economic growth and competitiveness of countries has become all the more evident in the face of globalization, trade liberalization and the emergence of knowledge-based industries. Globalization has brought with it a more intense competitive environment and new requirements for sustained competitiveness. This new competitive environment has fuelled the growth of knowledge-intensive production by increasing scientific and technological interactions and the need for innovation. The active search for continuous improvements has created an urgent need to rely even more on scientific and technological innovation and to adjust policies and practices at both the enterprise and government levels.
Science, technology and innovation (STI) are key drivers of economic and social development. The experience of successful developing countries shows that STI policies that are well integrated into national development strategies and combined with institutional and organizational changes can help raise productivity, improve firm competitiveness, support faster growth and create jobs. Technology & Innovation Management Key to Growth in a Knowledge Based Economy
The current competitive imperative is the development of a science and innovation culture. This identifies that the real engines of competitiveness and economic success remain science, innovation, technology, education and entrepreneurship. An essential part of developing the science and technology base for sustained competitive advantage is to build the organizations capacity to manage innovation successfully. Technology & Innovation Management is at the intersection of strategy, technology and operations. It provides executives with the understanding of how technology works in the innovation process and enables them to make sound business decisions. Successful innovation is inherently multi-functional and matches a profound understanding of user needs and wants to a distinctive technical competence.
Porter’s approach to Nation’s Competitiveness
The competitiveness of a nation is determined by the superior and sustainable advantages it has in the long run. These advantages are not like that of classical economics; these are superior skilled and trained man-power, superior organizational structures, and an entrepreneurial spirit in the people involving organizational capacity to innovate. Porter combines these national values in a framework of diamond consisting of four nation-specific factors.