• Title/Summary/Keyword: Technological obsolescence

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Technological Obsolescence in the Korean Industries: The Measurement by Embodiment Hypothesis and Its Relationship with Labor Productivity (우리나라 산업에서의 기술진부화: 체화가설에 의한 측정 및 노동생산성과의 연관성)

  • Sung, Tae Kyung
    • Journal of Korea Technology Innovation Society
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    • v.16 no.2
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    • pp.391-407
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    • 2013
  • The paper tests the embodiment hypothesis by measuring the technological obsolescence of a specific year (1990)'s technology and investigating the relationship between labor productivity and technological obsolescence. This approach is based on Salter (1969) that emphasizes the economic aspect of technology. We use the rate of economic surplus as the proxy of technological obsolescence for 10 main industries, including food processing, textiles, chemicals, non-steel metals, steels, metal products, machinery, electronics, precision machinery, and transportation equipments. The result shows that the embodiment hypothesis is not accepted for the overall manufacturing sector. However, we found the vintage effect - a positive relationship between technological obsolescence and labor productivity over time - in textiles, chemicals, non-steel metals, metal products, electronics, and transportation equipments. Therefore, the government should support R&D investment as well as capital equipments investment for the industries with large vintage effect.

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The Estimation of Economic Service Life on Manufacturing Equipments Which It Follows in Technological Obsolescence (제조설비의 기술진부화에 따른 경제적 내용연수 추정)

  • Cho, Jin-Hyung;Oh, Hyun-Seung;Lim, Taek;Jung, Su-Il;Lee, Jung-Youp;Kim, Byung-Keug
    • Journal of Korean Society of Industrial and Systems Engineering
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    • v.34 no.1
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    • pp.74-79
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    • 2011
  • Engineering valuation is a specialized discipline requiring expert knowledge and judgment, which scientifically estimates the economic value of industrial properties. By industrial properties, we mean engineering structures such as mines, factories, buildings, machines, and other industrial facilities as well as facilities of public enterprises. Particular industrial properties can have longer economic life if their performance is excellent and they are still suitable for current manufacturing needs. If not, its economic life will be shorter. As speed of technological progress becomes rapid, life-cycle and development period of a product is becoming shorter. In an industry characterized by rapid development of technology, industrial properties can become obsolescent faster. Even if they are in good working order, they could be no longer suitable for manufacturing new products based on radically different technology. In our research, we apply engineering approach to estimating functional economic life by factoring in technological obsolescence in such an industry.

A Study on Cost Avoidance and Total Life Cycle Cost to Analysis of Effectiveness of the Management of DMSMS (부품단종관리 효용성 분석을 위한 회피비용 및 총수명주기비용에 대한 연구)

  • Kim, Si-Ok;Paik, Won-Chul;Kim, Dong-Gil;Kim, Heung-Geun
    • The Journal of the Korea institute of electronic communication sciences
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    • v.15 no.5
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    • pp.791-798
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    • 2020
  • The share of advanced technology in modern weapon systems are gradually increasing, and life cycle of components are shortened due to the rapid speed of technological development. On the other hand, the weapon systems have a characteristic that takes a long time in the requirement stage of weapon to the operation and maintenance stage. Due to inevitably, obsolescence of the main components for parts occurs in the acquisition phase. The obsolescence parts could cause delays in mass production schedules, and further adversely affects operational availability due to poor supply of repair parts during in the maintenance phase. However, business managers are obliged to maximize the performance while minimizing the cost of the total life cycle of the design, production, and operation stages. It is necessary to establish and implement an appropriate components and parts of life cycle management plan. In this research, we analyzed the effectiveness of parts obsolescence management through cost avoidance and total life cycle cost that can be reduced through proper parts obsolescence management.

A study on technology diffusion trend considering technological performance enhancement and economics : case of technology evolution of 32nm, 22nm, 14nm logic semiconductors (기술적 성능향상 및 경제성을 고려한 기술 확산(Technology Diffusion) 추세에 대한 연구 : 32nm, 22nm, 14nm 로직 반도체의 기술진화 사례)

  • Park, Changhyun
    • Journal of the Korea Academia-Industrial cooperation Society
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    • v.18 no.2
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    • pp.177-184
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    • 2017
  • Understanding trends and drivers of technology diffusion is imperative to forecast new technology adoption and understand the process of technological innovation. Our research utilizes a quantitative trend analysis considering both technological and economic indicators for trends and drivers of technology diffusion for 32nm, 22nm, and 14nm logic semiconductor technology. In terms of technological performance, the technology diffusion curve showed an S-curve pattern during the stages of maturity and decline, and the diffusion curve showed evidence supporting the learning curve. The diffusion curve showed the life cycle duration of 2 years, and the rate of technological performance and obsolescence are observed quantitatively between generations. Architectural innovation is affected by technological drivers more significantly than economic drivers. This research has implications as empirical research on the trends and drivers of technology diffusion in the high-tech semiconductor industry, and is meaningful in forecasting new technology adoption or build technology strategy.

The Development of the Design Guideline and the Comparative Evaluation For the Remanufacturing of a Cellular Phone (휴대폰 재제조를 위한 친환경 설계 지침 개발 및 비교 평가)

  • 김찬석;이화조
    • Proceedings of the Korean Society of Precision Engineering Conference
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    • 2004.10a
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    • pp.1029-1033
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    • 2004
  • Concern over the negative environmental impacts associated with the production, use and End-of-Life(EoL) of cellular phones is particularly high due to large production volumes and characteristically short time scales of technological and stylistic obsolescence. Therefore we have to research the environment-friendly technologies and the recycling methods. This paper introduces an improvement of cellular phone remanufacturing processes and develops the Directive of DFE(Design for Environment) for the remanufacturing of a cellular phone. Then We discuss the results of the comparative evaluations.

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A Study on the Estimation of Technology Economic Life Using Patent Citation Life Analysis (특허인용 수명분석을 이용한 기술의 경제적 수명 추정에 대한 연구)

  • Sung, Oong-Hyun;Yoo, Sun-Hi
    • Knowledge Management Research
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    • v.8 no.1
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    • pp.49-63
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    • 2007
  • This paper presents a new methodology that allows the influence of technological obsolescence and technology composite competitiveness to estimate technology economic life. In this paper the patent citation life analysis is used to estimate technology representative life, and technology residual life analysis is employed to estimate residual life using the linear and inverse functions. The technology economic life will be determined by combining the estimation results of patent citation life analysis and technology residual life analysis. This paper includes an example of applying it to the US patent data for 5 communications areas. Therefore, this logical concept can be applied usefully to determine the technology economic life and be expected to contribute to obtain credibility of technology valuation.

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Letter from A Systems Analyst: An Interpretative Analysis (어느 시스템 분석가로부터의 편지: 해석적인 접근)

  • Yoo, Sang-Jin;Lee, Choong-Kwon
    • Information Systems Review
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    • v.6 no.2
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    • pp.181-193
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    • 2004
  • Identifying the skill sets that are needed for SA is very important to business schools as well as business organizations. The tremendous speed of technological advances like the Internet always require academic researchers to periodically review the skills for obsolescence as well as identify new skills needed. In this paper,we attempt to compare the skills that are required for SAs in our textbook with those skills that are mentioned in a letter of an entry level SA who has just graduated and been working for a large corporation.

The Optimal Process of Weapon Acquisition Management (I) -With Special Reference to the Cost/Effectiveness Model for the Selection of Weapon Acquisition System- (무기체계 획득관리의 최적화 (I) -무기체계 획득시스템의 선정을 위한 비용대효과분석모형을 중심으로-)

  • Lee Jin-Joo;Kwon Tae-Young;Joo Nam-Youn
    • Journal of the military operations research society of Korea
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    • v.3 no.2
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    • pp.49-77
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    • 1977
  • Weapon systems are curcial instruments for the security of a nation and critical elements for the victory in a war. Since modern weapon systems tend to be capital-intensive with high precision and quality, they become more and more complex and diversified; their acquisition costs become huge; and their technological obsolescence becomes accelerated. Therefore, the systematic management of weapon acquisition process would be one of the most important defense tasks at the national level. To analyze such problems and find solutions, this paper has studied various aspects related to the efficient management of weapon system acquisition. After brief summarization of the general characteristics of weapon systems, their effectiveness, and developmental trend, the paper discusses the defense management policies and techniques for the weapon systems. Specifically, four alternative acquisition methods such as indigenous R & D, foreign purchase, co-production and joint-production are discussed and analyzed by systems approach. The systems analysis procedure to evaluate and select weapon acquisition method is as follows; 1) to analyze the merits and demerits of the alternative methods, 2) to screen unrealistic alternatives through the consideration of significant factors such as political, economic, military, technological, and social constraints, 3) to evaluate and select an optimal one among the remaining acquisition methods after the cost-effectivenss analysis. For the base of cost-effectivess analysis, cost analysis model as well as effectiveness analysis model of each acquisition method are developed.

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A Study on the Fusion between Organic and Inorganic Characteristics in the Works of Archigram (아키그램 건축에서 나타나는 유기적 특징과 비유기적 특징의 통합에 관한 연구)

  • Kwon, Je-Joong
    • Journal of architectural history
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    • v.19 no.1
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    • pp.27-50
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    • 2010
  • This paper was to analyze the fusion between the organic and inorganic characteristics performed in architecture and urbanism, especially on the characteristics found in the works of Archigram group who was very active during 1960s and 70s. Generally, it was thought that Archigram drew its ideas mainly from a mechanist metaphor and that the diagrams of its members were based on the notion of the material obsolescence, which could be placed in a British tectonic tradition. But, Archigram's works has been continually influenced by the biological-organic analogy from the birth of the group to its dissolution. Simply, the importance that the biological-organic analogy takes in the works of Archigram has changed periodically according to the change of its members. We can divide generally Archigram group in two parts : on one hand, nascent members such as Peter Cook, Dennis Greene, Michael Webb ; on the another hand, three members who participated from LCC such as Warren Chalk, Ron Herron, Dennis Crompton. As the new three LCC members participated, Archigram Group focalized on the technological part more than ever. But, when its members dispersed geographically and professionally, its biological-organic analogy came out again at the surface of their works. However, Archigram's organic and inorganic characteristics did not always adhere in opposing position with each other and took the form of coexistence in harmony at the same period. That is, the works of Archigram were persuing the creation of community that nature, technology and architecture could communicate and harmonize with each other through the intergration between organic and inorganic characteristics. The reason why Archigram became the one of the most excellent architectural avant-garde group in the 60s was mainly to receive asssitance with the fact that two small groups having contradictory tendencies got together and formed the Archigram group.

A Market-Based Replacement Cost Approach to Technology Valuation (기술가치평가를 위한 시장대체원가 접근법)

  • Kang, Pilsung;Geum, Youngjung;Park, Hyun-Woo;Kim, Sang-Gook;Sung, Tae-Eung;Lee, Hakyeon
    • Journal of Korean Institute of Industrial Engineers
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    • v.41 no.2
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    • pp.150-161
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    • 2015
  • This paper proposes a new approach to technology valuation, the market-replacement cost approach which integrates the cost-based approach and market-based approach. The proposed approach estimates the market-replacement cost of a target technology using R&D costs of similar R&D projects previously conducted. Similar R&D projects are extracted from project database based on document similarity between project proposals and technology description of the target technology. R&D costs of similar R&D projects are adjusted by mirroring the rate of technological obsolescence and inflation. Market-replacement cost of the technology is then derived by calculating the weighted average of adjusted costs and similarity values of similar R&D projects. A case of "Prevention method and system for the diffusion of mobile malicious code" is presented to illustrate the proposed approach.