Some companies are heavily reliant on the capabilities of their manufacturi
ng technology for product competitiveness. Likewise, the capabilities of a
manufacturing technology are dependent on the sourcing policy that the host
company practices. This paper describes research that has explored a wide
variety of US companies to understand manufacturing technology sourcing pol
icies and how they have been formed. This research finds that there is a pr
eference amongst the US organizations studied not to become involved with e
quipment manufacture, though some examples of full integration do occur. Th
ese policies are not determined by formalized decision processes, rather th
ey are formed implicitly during technology choice. In this research, factor
s that influence a technology source have been identified. These drivers ar
e then used to establish a methodology that will help practising managers t
o form a technology sourcing decision. This methodology takes into account
the business demands placed on a technology, along with the characteristics
of the host company's supplier base.