Exploring Technology Forecasting and its Implications for Strategic Technology Planning

As the importance of R&D has been growing in economic growth, the accountability and effectiveness of R&D programs are highly emphasized. Especially, in times of economic downturn, the evaluation of performance in a firm is needed to justify R&D investment. In response, various attempts have been made to improve success rates of R&D projects, gain competitive advantage, and achieve a firm\u27s growth in profitability. In particular, in industries where technological innovation is significant, strategic technology planning and R&D capabilities may be the lead ones in defining the dynamic capabilities of a firm. In addition, technology forecasting (TF) in technology planning is a crucial step to follow before developing technologies/products/processes in need. In this regard, researchers have an abiding interest in enhancing methods to forecast emerging technology, while practitioners have a considerable interest in selecting appropriate tools to apply in their field for better forecasting results. Nevertheless, so far it is not well documented how appropriately the current research responds to this need. Thus, a thorough review on TF techniques is conducted to help researchers and practitioners capture methodologies in a tangible way and identify the current trends in the TF arena. Moreover, there is still a lack of clear guidance as to where and how particular TF methods are useful in strategic planning based on technology characteristics as well as the nature of industry. The purpose of this study is to enrich the stream of research on TF activities in a firm for practitioners and researchers, a unique context where TF could lead to technological innovation. This research offers a classification of the approaches, and presents technological, industrial, methodological, and organizational aspects of TF methods that are inherent in TF activities. Furthermore, this study provides empirical evidences to support organizational and managerial implications regarding TF activities associated with technology planning in a firm. Research findings in regimes of technological change suggest insights on technological, organizational, and managerial processes within the firm. On the other hand, research on the effects on business performance of best practices of strategic planning, which enable firms to articulate their plans to develop, acquire, and deploy resources for accomplishing firms\u27 financial growth, has so far ignored the roles of strategic technology planning associated with TF. In this regard, this study explores a set of indicators, discusses, and presents the findings from the literature in such a way that they become useful for researchers or managers who are in charge of measuring the R&D performance and business performance from innovation activity. Next, this research tested the hypothetical framework proposed not only to provide a current snapshot of how firms across industries implement best practices in strategic technology planning, but also to improve the effectiveness of strategic planning. The results present the positive linkages between TF, technology planning, and superior business performance. The findings in this research help policy makers, universities, research institutes/national labs, and companies to enhance their decision making process on technology development