An assessment of the transfer of FNRI-DOST Technology to SMEs : a case study of Moondish, Inc. / Rafael Ryan A. Feliciano

Year : 2006

Number of Pages : 25 leaves

Adviser : Prof. Glen A. Imbang 

Executive Summary

In 1999, MoonDish, Inc. acquired the Canned Laing technology from the Food and Nutrition Research Institute-Department of Science and Technology (FNRI-DOST). The Canned Laing technology of the FNRI-DOST was part of project collaboration between Department of Trade and Industry (DTI) and DOST, which was conceptualized to enable Philippine foods to enter the global market as well as serve the market for Filipino expatriates worldwide through the cooperation of DTI's KUSINA (Philippine Kitchen/Restaurants) Project. Since the acquisition of the technology, the Company grew from a simple village bakery in Moonwalk Village, Las Pinas City to a food manufacturing Company with a factory at FTI, Taguig City. With this unprecedented success, this Project aimed to identify the factors of success in the technology transfer taking into consideration the following : Technology Requirement, Technology Selection and Assessment, Planning and Preparation for Technology Transfer, Technology Negotiation, Technology Implementation and Technology Assimilation. The project was divided into three (3) major stages : Data Gathering, Data Assessment, Evaluation and Formulation of Conclusion and Recommendation. The technology transfer process between FNRI-DOST and MoonDish, Inc. was assessed and analyzed to determine the factors that contributed to the success of the transfer. Moreover, technological learning and knowledge diffusion of MoonDish, INc. was also identified through the post transfer activities the Company undertook that sustained growth and development. The mechanisms of transfers from different countries, i.e. US, Australia, China, Korea, Taiwan and Singapore were reviewed and the findings were used in the formulation of recommendations for further development of technology transfer of FNRI-DOST. Using Ibrahim's (1999) framework of success factors of technology transfer, the factors that led to the success of the transfer included the efficient performance of the roles and responsibilities of the parties involved in the transfer, the creation and the implementation of the technology transfer contract, and effective knowledge diffusion through training. Another notable factors were the absorptive capacity and learning efforts employed by the Manriques as discussed by Linsu Kim. The recognition and evaluation of opportunities, commitment to position and learn and to believe and lead were the factors during the post transfer that MoonDish, Inc. has that sustained their economic and technological growth and development. The entrepreneurial leadership that the Manriques used in the management of the Company added to their success. Other factors that are pertinent in the successful technology transfer included the active support of the Government through technology incubation and financial grants. The different models and mechanisms off technology transfer from the six countries, China, US, Singapore, Taiwan, Korea, and Australia, provided some more factors that will contribute to effective and strong technology transfers. This included government support and the technology transfer laws, effective contract and legal management, technology transfer implementation strategies and evaluation, network/cluster of technology sources and recipients and effective technology marketing and commercialization. These factors can serve as basis in further strengthening the technology transfer efforts of the DOST.

This Project recommends the marketing and commercialization of the technologies developed within the DOST. Furthermore, the FNRI-DOST must identify specific set of criteria to effectively determine and screen potential technology recipient for sustainability of growth and development. Stronger strategic planning and implementation is also recommended for firm survival especially with the stronger dynamics of market, technology, competition and environment. It is also recommended to design a technology transfer implementation program that will address communication and cultural barriers among the parties in the transfer must be created. Related to this, during and after the technology transfer, an efficient monitoring and evaluation program must be set to determine performance of commitments and responsibilities by the transferee. A stronger government intervention is also recommended. Development of laws and regulations that will specifically take into consideration the technology transfer must be developed. This law must be enforced and implemented through the creation of a single body within the DOST that will manage the transfer of technologies developed by the Department. This organization shall proactively connect the different players in the technology transfer to be able to create a technology transfer network, clustering together the stakeholders that will integrate comprehensive technology transfer activities. The findings and recommendations of this Project is envisioned to serve as a tool in the successful transfer of technologies, especially that of the DOST-developed technologies. This is important in the attainment of the socio-economic objectives of these technologies, the support of Small and Medium Enterprises (SME) empowerment program of the Government and establishment of an effective linkage between the Government and the Industry, particularly the SMEs.