Globalization of the Engineering Enterprise
C. D. Mote, Jr.
Regents Professor & Glenn L. Martin Institute Professor of Engineering
NSF Engineering Globalization Workshop
May 16-18, 2012
Arlington, VA
Context
• Cold War Era – pre 1990 – pre “Globalization Period”
a. Idea: control information & innovation to protect advantage
i.
“Isolation and secrets”
ii.
nationally focused – protect national advantage
iii. global forays for national benefit
b. Few: national players
i.
separated by distance, oceans, information, facilities, technical
capabilities – Iron Curtain – isolation was good
c. Strategy: win by playing defense
i.
control information to stop others from advancing (scoring)
ii.
you score less but win by stopping adversaries from scoring
Context
• Post-Cold War Era – post 1990 – Globalization Era
a.
Idea: utilize advantage to accelerate innovation
- because information cannot be controlled
i. “partnerships and engagement” globally
ii. global access (markets, talents, manf.. ) for partnership advantage
iii. global forays for partnership benefit
b. Many: national players and wanabees globally
i.
connected by Internet, information, high quality facilities, talent, advanced
capabilities, communications
c. Strategy: win by playing offense
i.
“score as fast as possible” for others can’t be stopped from scoring
ii. prepare to move on as others catch up – cannot protect advantage
iii. 180O paradigm shift from Cold War strategy
Predicting the Future
•Predicting the future is a futile process.
• “The great thing in this world is not so much where we
stand, as in what direction we are moving.”
- Oliver Wendell Holmes
• We are already on that road.
Mega-trends
Mega-trends are driven by
• Critical enablers like Internet & communications
• Outcomes & Drivers like globalization and a
connected world
Enablers form the foundation.
Drivers are routes to the future – to the Outcomes.
Global Drivers of Engineering
•
Globalization
•
Innovation
•
Partnerships and Engagement
•
Expanding opportunities & increasing demand for talent
•
Expanding access to higher education
•
Great Global Problems
Mega-trend for Engineering
• Globalization Era to ~ 2050
a. More level playing field among nations
i.
No nation or group of nations will dominate S&T
ii.
U.S. share global S&T will decrease
b. U. S. share of global S&T productivity
i.
26 % in 2005 down to 18% by 20501
ii.
Awareness of global trends and advancements - Up
iii. Technology forecasting and data mining - Up
iv. Balance the need for information control with the benefits of
open S&T communications.
Coffey and Ramberg, “Globalization of S&T: Key Challenges Facing DOD,” Center for
Technology and National Security Policy, National Defense University, February 2012.
1
What’s changing with Globalization?
Global focus is increasing monotonically
a. Increasingly broad global distribution of significant researchers, innovators,
opportunities and advances
b. Publications in Science show international author collaborations Up:
20% in 1980 and 55-60% in 2010.
c. Growing global collaboration: global character of challenges; distributed
expertise and facilities; massive data being generated; cost sharing
d. Global connectivity accelerates cooperation for both developed and
developing countries.
e. Global major challenges - terrorism, water, food, pandemics, natural and
man-made disasters, nuclear, . . . . . . .
Engineering & Innovation
• Industry v. government: the conundrum a. Industry has global focus
i. past “outsourcing” – looks externally more than internally
ii. Industry invests, recruits, researches, creates, designs,
manufactures and sells globally – wherever it makes sense
iii. Few “national companies” remain anywhere
b. Governments have constituent focus – “all politics is local”
i. Pressed to look internally not externally
ii. Look externally to serve internal purposes
iii. Refers to local industry as “our” companies
c. Outcome – Gov & Ind talk past each other
Engineering & Innovation
• Universities have a foot in each camp – global and national
a. Must operate on a global platform while serving local
(national/state) constituents
b. Private universities have freer global hand than public ones
c. Universities are still finding their way with many global experiments
Mega-trend for Engineering
• Talent (“high quality” workforce):
a.
Sir Francis Bacon said “knowledge is power”
- Today “current knowledge” is especially powerful
b.
Globalization of people driven by the demand for talent
c.
Global talent in short supply but high demand – this is
everyone’s problem
What’s changing with Globalization?
Innovation – the global rage  ticket to the market economy
a. Accelerating change
b. Compete on quality, productivity, value added, markets
c. Engineering tools: IT services, software, networks, reliability
d. Business tools: supply chains, distributed suppliers and subsidiaries
e. Communications, teams, systems, cyber
f. Innovation requires global partnerships
Mega-trend for Engineering
•
Partnerships and Engagement
•Pre-globalization: advantage gained through “isolation and control”
of information for innovation control.
Playing Defense
•Post-globalization: advantage through forming “partnerships and
engagement” for innovation creation.
Playing Offense
Mega-trend for Engineering
•
Global partnerships and engagement
a.
Accelerate creation of innovation
b.
Assemble talent, resources and capabilities
i.
Limited-term partnership with focused purpose
c.
Must engage, have impact and do it today
d.
Key to playing offense
What’s changing with Globalization?
Trust – the under appreciated foundation of every partnership
a. Most important precondition of any partnership
i.
Especially in global partnerships – no common cultural base
b. Trust takes time
c. Trust is everything  absolutely everything.
d. Culture determines competitiveness and achievement of goals1
e. Ensure trust before agreements or prepare to regret not doing so.
1S&T
Strategies of Six Countries: Implications for the U.S., NRC, 2010, ISBN 10:0-309-15571-1
What’s changing with Globalization?
Education – broad, flexible and continuing
a. Talent & current, in-demand expertise are the coin of the global realm
b. Commodity talent in plentiful supply and cheaper elsewhere
c. Special talents in high global demand
d. Life-long learning in new fields is likely essential
e. Flexibility, agility and team skills in demand
Mega-trend for Engineering
• Great global problems:
a.
National and great global problems have merged
i.
environmental degradation, climate change, ……
b.
Universities becoming more globally focused
c.
Isolationist sentiments are down, though not out.
d.
Connectedness has steeled linkages to global problems
Concluding Summary
INNOVATION
Globalization of the Engineering Enterprise
--> profound
a. National prosperity & innovation
 essentially in every country
b. National engineering competitiveness
 global companies and focus
c. Personal engineering careers
 flexibility & current talent
d. Engineering contributions to quality of
life, prosperity, and security
 mandatory
Concluding Remarks
Impact of Globalization on Engineering - profound
a. National Prosperity – focus on innovation
b. National Engineering competitiveness –> global companies
c. Personal engineering careers – competition & current talents
d. Contributions of engineering to quality of life, prosperity and security
e. Culture of engineering
Mega-trend for Engineering
•
Globalization
a.
Flat World
b.
Connecting people, universities, countries, businesses
c.
Trickle-down & trickle-up values
d.
Countries build global alliances
e.
Businesses build global alliances (supply chains, manuf . . .)
f.
People build global alliances
g.
Research universities either engage globally or get left behind
Globalization of Engineering
RESPONSE TO THESE TRENDS
• Individuals, governments, corporations and universities
• Individuals
• Increased responsibilities and opportunities
• Engage globally for opportunity and quality of life
• Talent is in short supply and great demand
To have talent is to have opportunity
• Education is growing everywhere.
Globalization of Engineering
RESPONSE TO THESE TRENDS (continued)
• Corporations:
• Global companies – no longer national
•
Access to markets, talent, favorable cost
considerations and other incentives encourage
global expansion of multinational corporations.
•
Not free of problems like IP and property
protections, local business practices
Mega-trend for Engineering
• Universities are natural centers of innovation
- services for and beyond campuses
- U.S. business and engineering school experiences
- Students start create entirely new lines of
business - think: Apple, Microsoft and Google.
- expand university-wide culture of innovation
- extend support to community and beyond
Globalization of Engineering
RESPONSE TO THESE TRENDS (continued)
• Universities (continued):
• Global partnerships brought to undergraduate education
and development of communities.
• Aid developing higher education systems.
• Expectation of capacity building.