Comparing a new technology with its predecessor—Steel making |
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Authors: | Gerhard Rosegger |
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Institution: | Case Western Reserve University, Ohio, USA |
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Abstract: | This paper examines the physical and economic performance of a major innovation in steel making, the Basic Oxygen Furnace, and compares it with the performance of the traditional, open-hearth process. Evaluations are based on actual records from five American plants, covering three different time periods, and are set against engineering and management expectations as to the innovation's effects. Interviews with managers and technical personnel complemented the statistical findings. The analysis considers: how the attractiveness of the innovation was determined ex ante; the relative accuracy of the expected technological and economic expectations; the interactions of the innovation with the surrounding production system; and the objectives of post-installation technical and managerial adaptations. |
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