Steps Involved In Technology Transfer -Vertical Technology Transfer

With businesses increasing their reliance on technology for innumerable purposes, there are various reasons contributing to the technology transfer, right from the globalization of the business, protection of the intellectual property to the liberalization of various economies across the world. Consequently, the diffusion of technology and technical assets are essential for determining a business’s future course of action. That is why the term “technology transfer” has come into being which implies dissemination of skills, knowledge, and other technical know-how from its owners to others (employees and other players in the organization). This transfer of technology from its point of origin to the subsidiaries is essential for the smooth functioning of the organization and takes place by using two methodologies in particular:

1. Vertical Technology Transfer
2. Horizontal Technology Transfer

While the horizontal technology transfer pertains to the dissemination of the technology which is already there and used from one place to another (external transfer) and is highly conducive for both small and large businesses and organizations, in this article, we’ll be dealing in-depth with the other kind of technology transfer- the vertical technology transfer

What is the Vertical Technology Transfer

Unlike horizontal technology transfer, the vertical technology transfer is internal in nature wherein the technology transfer is generally carried out between research associations, governments, universities, etc.

The idea behind this kind of technology transfer is to enable businesses, educational institutions, and governments to share skills, knowledge, methods, know-how, and a lot more, on which they can base their future activities or make improvements in certain areas that require immediate attention.

Vertical technology transfer plays an integral role in transmitting information in research centers, governmental offices, etc. for office use. These offices may include various professional groups like engineers, lawyers, scientists, marketing experts, and so on.

How does it happen?

The creation of an idea, let’s say an individual property and the succeeding phases of technology transfer, are more complex processes. They include a huge variety of subjects which is what forms the basis of the supply chain. As a result of which, the various players in the supply chain are divided into roles and categories for the ease of vertical technology transfer.

To support the activities of the main players in the technology transmission process, “complementary” subjects are established over time. Again, the “Technology Transfer Offices” are created to aid the process from scratch- right from the research position to commercializing intellectual property.

Key Takeaways:

1. Vertical Technology transfer passes technology from Basic Research to Applied Research and goes through development to reach the stage of production.
2. It is a managerial process of disseminating technology from one phase of the life cycle to another.
3. It is focused on transferring a nascent technology (a pre-commercialized or generic technology) from an individual or institutional owner (governments, public universities, laboratories, etc.) to an organization that has the potential to either commercialize it into a new product or service or make it generally and publicly available to solve the practical problems in society.
4. A very common example of nascent technology would be nanotechnology.

Steps Involved in technology transfer:

• Submitting a technology disclosure with details about the innovation
• Evaluation
• Protection for securing patent protection for your invention
• Marketing with the assistance of a researcher to find out the markets and business network that can aid in bringing the technology to the market
• Negotiation when a company expresses interest in the invention
• Licensing

Conclusion

While both the methodologies are highly effective in nature and serve their purposes well, vertical technology transfer can enable organizations to create a creative methodology and an effective future course of action, enabling both the players and the subsidiaries to work in tandem due to the technology transfer!