DEFINITION

Technology Transfer

is the sale or concession, in order to make profit,

of a written or oral set of knowledge which will
allow the buyer to use tools, techniques and
methods, in the same way than the seller for him
to be able to manufacture and to make profit
out of this operation

Dr. D. ROUACH, ESCP-EAP

 DEFINITION

The art of transferring progressively and in

an orderly fashion, within a product and/or
market expansion plan (internationalization,
delocalizations, diversifications), and with a
view to making a profit: technologies, knowledge,
know-how, formalized methodologies
(technical documentation, software, trademarks,
licences) or implicit methodologies (organisational
learning), enabling the receiver to appropriate
and benefit form new processes (production,
innovation), technique (marketing, management,
accounting) and key competencies
BD:Definition

Dr. D. ROUACH,
Dr. D. ROUACH,
ESCP-EAP
ESCP-EAP.
 COMMUNICATION

Transfers are made by people

The speed of the Know-How transfer is the basis of firms organization:
This transfer is done through human networks:
- Inside the R&D,
- Between Production and Commercial departments,
- Between Production and Marketing departments,
- Between Development and Fundamental Research.
Human communication is a matter of behaviour: It is better to communicate twice or
three times.
- no Know-How holding-back.
- Buildings, offices and cafeterias are designed to make
communication easier among people.
- Network culture is omnipresent.
Source : SFJTI 95

Dr. D. ROUACH, ESCP-EAP

 OBJECTIVES FOR THE TECHNOLOGY
PURCHASER

Reaching a better level of

expertise as quickly as possible
and for a minimal cost.
getting a quality label
known at an interna- Taking part in the
tional level, and ulterior development
garanteed by the of the product.
partner's reputation
Widening its market and changing
the constraints of competition
Source : J.P. Lorain, ex-Dassault, 1996

Dr. D. ROUACH, ESCP-EAP

OBJECTIVES FOR THE COUNTRY BUYING
THE TECHNOLOGY

Orientating technological
developments and induced
investments to :
- industrial areas that need
to be strenghtened,
- geographic areas to deve-
lop in priority.
Taking part in large
industrial and scientific
schemes, which are
sometimes kept only by
the country that offer their
financial help.

Obtaining the authorisation to benefit from

transfers of advanced technologies
Source: J.P. Lorain, ex-Dassault, 1996

Dr. D. ROUACH, ESCP-EAP

 THE MANAGEMENT OF TECHNOLOGY
& KNOWLEDGE TRANSFERS

TECHNOLOGY TRANSFERS:
Allow to reconsider:
* given positions and competences,
* habits, mentalities and some finalities of the company.

Are to be managed over long periods and in continuity.

Become a key and an unavoidable element of an

international firm's culture and strategy.

Source: J.P. Lorain, ex-Dassault, 1996

Dr. D. ROUACH, ESCP-EAP

The management of Technology Transfer fits into
a global policy of long term development

Mobilizes all the departments and functions of the company

Technical Commercial Financial Social

Requires a good communication in the company

Goals and Means to deadlines and

results expected implement and contractual
efforts to be done performances
Source: J.P. Lorain, ex-Dassault, 1996

Dr. D. ROUACH, ESCP-EAP

 THE TECHNOLOGY TRANSFER
A COMPROMISE BETWEEN:
 The expectation of the receiver, its ability to assimilate and use the
transferred technology
 Its abilities or its will to transfer
 Its control of the technology
 Its ability to conceptualize,
 Formalizing its know-how and its experience by using a language and
a process that be understood by others.

Each partner has different goals. These goals are often

contradictory, or even opposed to each other...
Source: J.P. Lorain, ex-Dassault, 1996

Dr. D. ROUACH, ESCP-EAP

The Management of Technology Transfer

5 Principles
1. Technology Transfer is first of all based on
trust and the quality of human resources
within multifonctional teams.

2. Technology Transfer necessitates a rigorous

approach to limit risks (boomerang effect,
diffusions, coopetitions…).

3. The selection process for the partner and the

transfer mode (licensing, franchising,
joint-venture, turnkey, various cooperations)
has to take into account strategic visions.

Dr. D. ROUACH, ESCP-EAP

The Management of Technology Transfer

5 Principles

4. A progressive transfer within a milestone

plan allows the receiver through
organizational learning to acquire its
strategic autonomy

5. Cross fertilization and network management

of licences, franchises, and joint-ventures,
allow the issuer to fully benefit from
technical improvements and financial rewards
(royalties, dividends)

Dr. D. ROUACH, ESCP-EAP