the interface between Technology and Operations.

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- 7thJuly 2010

2ndInternational Conference on ~dchnologyand M

Operations Managemmt "Seeking Dynamism, Competitiveness, and Sustainabilii

Day 1of 2ndICTOM: 5thJuly 2010 (Monday) Venue

Event 07:OO 08:20 08:30 %:40

0850 09:00 09:20

09:30 09:45

10:45 11:OO

gistrat ration 2ndFloor, Sapphir~.-om Arrival of participants Arrival of VIPs (Multi Media Screening - COB presentation) 2"d Floor, Bayview Ball Room Arrival of YB Datuk Seri Dr. Maximus Johnity Ongkili, 2ndFloor, Bayview Ball Room Minister of Science, Technology, & Innovation 2" Floor, Bayview BaB Room Do'a Recitation Welcoming Address zndFloor, Bayview Ball Room Prof. Dr. Mohamed Mustafa Ishak, UUM Vice-chancellor L Opening Ceremony -6al Room Officiated by: YB Datuk Seri Dr. Maximus Johnity Ongkili, Minister of Science, Technology, & Innovation Refreshments Press Conference Keynote Address 1and 2: 2"* Floor, Bayview Ball Room 1. Prof. Dr. David J. Bennett Theme: Technology in the Competitive Edge 2. Prof. Dato' Syed Zainal Abidin bin Syed Mohamed Tahir Theme: Operational Excellence Chairperson: Prof. Dr. Mahamad Tayib Q&A Session 2ndFloor, Bayview Bail Room C Parallel Sessi.grl1 I Ruby, Emerald Room [znd c i! Floor), Crystal, Topaz Room (3rd '

Floor) Flamingo Room Ruby, Emerald Room (znd Floor), Crystal, Topaz Room (3rd Floor)

13:OO 14:30

Lunch Break Parallel Session 2

16:30 20:OO

Refreshments Dinner Talk Speaker: DatoJ Ir. Haji Wahab Suhaili, Group Executive Chairman Carbon Capital Corporation Sdn Bhd Theme : Technology and Green Issues

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2ndFloor, Bayview Ball Room

zndFloor,,Bayyiew Ball Room

'Seeking Dynamism, Competitiveness, and Sustainability"

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sth- 7thJuly 2010 I

Keynote Speaker 1

Head of lnternational Liaison, Professor of Technology Ma Aston University, United Kingdom

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David Bennett is Professor of Technology Management at

School, Aston University (EQUIS, AACSB, and AMBA accre special responsibility for international liaison and alumni development. His areas of expertise are operations and technology management and his research is concerned with issues relating to production systems design, quality and reliability management, technology management and the transfer of technology between industrialised and developing countries, especially in the Asian region. He is also Adjunct Professor at the University of South Australia, lnternational Graduate School of Business. He is a member of Aston Business School's Technology and Operations Management (TOM) Research Group, which in 2005 was recognised as being among the top 50 global centres of research on management of technology by the lnternational Association for Management of Technology. Previous academic appointments have been with the University of Wolverhampton and a secondment to the Malaysian National lnstitute of Public Administration. He has authored and co-authored several books as well as numerous articles in his areas of specialisation, while his research support has been provided by the UK research councils as well as several other funding bodies. He has also undertaken various consulting and academic assignments for a number of international and national organisations including the European Commission (DG RDT and DG Trade), the United Nations Industrial Development Organisation (UNIDO), the National lnstitute of Public Administration, Malaysia (INTAN), the China-Europe Management lnstitute (CEMI) and the China-Europe International Business School (CEIBS). He is also a Chartered Engineer, a lifetime member of Beta Gamma Sigma (the international honour society for business), and a member of several professional bodies including the lnternational Association for Management of Technology (IAMOT), the European Operations Management

.

Association (EurOMA), the Production and Operations Management Society (POMS), the Chartered '. ,

Management Institute

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.

(CML),and the lr$~titution ,. of Engineering and Technology (IET). He is a

member of the IAMOT ~oar?d of ~irector's'andPublication Committee as well as a past President of EurOMA. In May 2006 he was presented with the IAMOT Award for Distinguished Achievement in Management of Technology. He is General Editor of "Journal of Manufacturing Technology Management", published by Emerald, and serve on the editorial advisory boards of several other academic journals. They include "lnternational Journal of Operations and Production Management", "Benchmarking - An lnternational Journal", "Business Process Management Journal", "Brazilian Journal of Operations and Production Management", "lnternational Journal of Energy Sector Management", "lnternational Journal of Management Cases", "Journal of lnternational Business and Entrepreneurship", "Journal of Technology Management and Strategy in China" (published in Chinese) and "Paradigm".

a "Seeking Dynamism, Competitiveness, and Sustainability"

International Conference on Technology and Operations Management 5-7 July 2010, Langkawi, Malaysia

Managing the Technology and Operations Interface – The New Competitive Front Line David Bennett Aston University, UK

Presentation outline • Technology concepts and applications in production and service. • Technology and Operations – definitions and integration. • The over-reliance on technology and a lack of consideration for the underlying operational procedures. • Issues for developing countries – the interface between Technology and Operations. • Revisiting some old principles and ideas about design, integration and implementation. • Putting the principles of Technology and Operations integration into practice

How the popular media sees “technology” Technology News – Business Week “Read the latest technology news about computers, software, consumer electronics, the Internet, and wireless technology” BBC News- Technology 28 Jun 2010 “... News and features about the latest technology advances including e-commerce, digital media and gaming” Technology News - The New York Times “Find breaking news, tech news and multimedia on the Internet, telecommunications, wireless applications, electronics, science, computers”

So, is this technology?

… or this?

… or this?

… or this? … or this? All serve the same purpose of enabling communication ….

A historic view of technology in production

… and now….

Modern Times 1936

Modern Times 2010

And today, technology in services is equally prevalent …

…in service delivery (call centre in India … )

…and service consumption (Internet cafe in China … )

Technology definitions Technology is …. a combination of the Greek technē, “art, craft,” with logos, “word, speech,” meaning a discourse on the arts, both fine and applied. (literal definition) Technology is ….. the application of scientific or other organized knowledge - including any tool, technique, product, process, method, organisation or system - to practical tasks. (definition by US National Institute of Health)

Operations Management definitions Operations management …. an area of business concerned with the production of goods and services, and involves the responsibility of ensuring that business operations are efficient in terms of using as little resource as needed, and effective in terms of meeting customer requirements. (Wikipedia definition). Operations Management …. deals with the design and management of products, processes, services and supply chains. It considers the acquisition, development, and utilization of resources that firms need to deliver the goods and services their clients want. (MIT Sloan School of Management definition)

Early studies of the integration between Technology and Operations – studies of the longwall coal mining method (socio-technical systems – Trist and Bamforth 1951)

But, has the need to integrate Technology and Operations been forgotten??

Eyjafjallajokull !!!

The consequences of over-relying on technology …

China Airlines Flight 006 (1985)

British Midland Flight 92 (1989)

My crazy Avis invoice …

The Channel Tunnel fiasco Recent events in the Channel tunnel reflect very badly on many parties. Surely Eurostar could have learned from a similar occurrence in 2003 when a train broke down in the tunnel? It appears not. Worse still was the time that Eurotunnel took to evacuate the [2000] passengers. A reported 17 hours, with no light, food, water or explanation is hardly the type of response that customers find acceptable. Trains are supposed to be able to pull each other out of the tunnel, and there are rescue diesel locomotives at each end (December 2009).

Among the World’s most technically advanced trains, but … a failure of Operations rather than the Technology? The technical problems may be put down to extreme bad luck as well as extreme weather, but there is no such excuse for Eurostar's handling of the situation. … instead of the train manager taking responsibility for ensuring there was a proper evacuation an off-duty policeman took over. ….This will raise questions about Eurostar's training and management. …..Over the past three days, as all services have been cancelled, the company gave the impression of dithering and failing to inform those affected. …. Nor has the company taken sufficient responsibility for trying to get people to their destination.

And the dangers of depending on automated production and supply lines …

The issue for developing countries

Black box turnkey projects (“China box”)

Opening the box - the traditional arguments …. Technology

Operations

? Operations

Technology

The New Competitive Front Line … a single domain

Operations

Technology

Revisiting the principles of integrating Technology and Operations

Fitting the work to the worker “Softening” the technology

Symbiosis - a relationship of mutual benefit or dependence

1995

Characteristics of Technology in a symbiotic relationship

Characteristics of Operations in a symbiotic relationship

Transparency, not a “black box”

Controlling, not minding

Flexibility, not functionality

Empowering, not instructing

Economy of scope, not scale

Results, not performance

Systems that “assist” and do not replace the human element

Putting the principles of Technology and Operations integration into practice

From unitary production using assembly lines and independent workers

To modular production using assembly cells and autonomous work groups

Applying the principle to making aeroplanes

The traditional way at Boeing (B737)

and at Airbus (A320)

And the Embraer way (in a developing country …)

Look, no wings!

They are one of the modules and fitted much later

ERJ 145/135 - 4 partners providing modules - 350 suppliers providing parts

ERJ 170/190 - 16 partners providing modules - 22 suppliers providing parts

Transparency in production (inherent in design of FMS)

Transparency in storage (inherent in design of warehouse)

Integrating Technology and Operations in Services

Re-evaluation of the costs and benefits of the technology

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Operations

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Together we'll stand. Divided we'll fall. Come on now people, let's get on the ball and work together. Come on, come on. Let's work together …. Canned Heat, 1969

Terima kasih!