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Ariel University Department of Economics and Business Administration Evaluation Report

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Ariel University Department of Economics and Business Administration Evaluation Report Committee for the Evaluation of Business Administration and Management Study Programs Ariel University Department of Economics and Business Administration Evaluation Report October 2015 Contents Chapter 1: Background…………………………………………………………………………..…..…….3 Chapter 2: Committee Procedures………...…………………….……………….……………...……5 Chapter 3: Evaluation of Business Administration and Management Study Programs at Ariel University………………………………………...……..............….6 Chapter 4: Summary of Recommendations …………………………………………………….15 Appendices: Appendix 1 – Letter of Appointment Appendix 2 - Schedule of the visit 2 Chapter 1: Background The Council for Higher Education (CHE) decided to evaluate study programs in the field of Business Administration and Management during the academic year of 2014- 2015. Following the decision of the CHE, the Minister of Education, who serves ex officio as Chairperson of the CHE, appointed a Committee consisting of: • Prof. Russell Winer - Stern School of Business, New York University, USA – Committee Chair. • Prof. Jane Fedorowicz - Bentley University -Massachusetts, USA. • Prof. Jeffrey Callen - Rotman School of Management, University of Toronto, Canada. • Prof. Simon Benninga1 - Recanati School of Business Administration, Tel Aviv University, Israel. • Prof. Arnoud Boot2 - Professor of Corporate Finance and Financial Markets, University of Amsterdam, the Netherlands. • Prof. Stuart Greenbaum3 - Olin Business School, Washington University in St. Louis. • Prof. David Mazursky - The Jerusalem School of Business Administration, the Hebrew University of Jerusalem, Israel. Ms. Maria Levinson-Or served as the Coordinator of the Committee on behalf of the CHE. 1 Prof. Simon Benninga did not partake in the evaluation of the Department of Economics and Business Administration at Ariel University. Sadly, Professor Benninga, passed away during the committee's work. However, his contributions to the committee were numerous and invaluable. 2 Prof. Arnoud Boot did not partake in the evaluation of the Department of Economics and Business Administration at Ariel University. 3 Prof. Stuart Greenbaum did not partake in the evaluation of the Department of Economics and Business Administration at Ariel University 3 Within the framework of its activity, the Committee was requested to:4 1. Examine the self-evaluation reports, submitted by the institutions that provide study programs in Business Administration and Management, and to conduct on- site visits at those institutions. 2. Submit to the CHE an individual report on each of the evaluated academic units and study programs, including the Committee's findings and recommendations. 3. Submit to the CHE a general report regarding the examined field of study within the Israeli system of higher education including recommendations for standards in the evaluated field of study. The entire process was conducted in accordance with the CHE’s Guidelines for Self- Evaluation (of September 2013). 4 The Committee’s letter of appointment is attached as Appendix 1. 4 Chapter 2: Committee Procedures The Committee held its first meetings on 17.03.2015, during which it discussed fundamental issues concerning higher education in Israel, the quality assessment activity, as well as Business Administration and Management Study programs in Israel. In March 2015, the Committee held its first round of visits of evaluation, and visited Ben-Gurion University, the Hebrew University, Tel-Aviv University, the Interdisciplinary Center Herzliya, the Technion, and the College of Management. In June 2015, the Committee held its second round of visits of evaluation, and visits the Open University, University of Haifa, Netanya Academic College, Ruppin Academic Center, Ono Academic Center, Ariel University, Bar-Ilan University, and the College of Law and Business. During the visits, the Committee met with various stakeholders at the institutions, including management, faculty, staff, and students. This report deals with the Department of Economics and Business Administration at Ariel University. The Committee's visit to the University took place on June 15, 2015. The schedule of the visit is attached as Appendix 2. The Committee thanks the management of Ariel University and the Department of Economics and Business Administration for their self-evaluation report and for their hospitality towards the committee during its visit at the institution. 5 Chapter 3: Evaluation of Business Administration and Management Study Program at Ariel University This Report relates to the situation current at the time of the visit to the institution, and does not take account of any subsequent changes. The Report records the conclusions reached by the Evaluation Committee based on the documentation provided by the institution, information gained through interviews, discussion and observation as well as other information available to the Committee. 1. Executive Summary The Department of Economics and Business Administration (hereafter referred to as the Department) is one of 6 departments in the Faculty of Social Sciences and Humanities at Ariel. The University has recently transitioned from a College to a University having only been designated the latter in December, 2012. We recognize that it will take time to fully realize the potential of the Department because of this transition as well as other issues buffeting Israeli universities in general and Ariel in particular. We found that the faculty are dedicated to the progress that Ariel is making and to the transition, and that, in general, there is an excellent “spirit” there. In addition, the Department has made some progress hiring research-oriented faculty supporting the move to becoming designated a University. At the same time, we found several areas for improvement. First, and most notably, it was disturbing that decisions about the Department’s MBA program, usually considered the “flagship” program in a business school, are made outside of the Department and within the Faculty. Second, the MBA program needs areas of specialization to attract the best students it can as well as to provide its current students with appropriate training. Third, the Department needs to offer more courses where the language of instruction is English to better prepare its students for the global economy. Fourth, faculty evaluations need to emphasize research quality over quantity. Finally, the 6 infrastructure of the Department is inadequate with insufficient numbers of faculty offices and the lack of a behavioral lab for experimental research. 2. Mission and Goals Observations and findings The Department’s mission as stated in the self-evaluation is very generic and could apply to any number of business programs. As stated, the primary goal “is to train able professionals for both the private business sector and public service.” The secondary goal of the curriculum “is to prepare students for graduate studies.” Given the unique history, location, and composition of the student body, it is necessary for the department to develop a mission that is unique to the institution. In addition, in our visit, it was stated by a number of people that the long-term goal of the Department is to have a separate business school/faculty. We agree that this is a useful long-term vision as the Department currently lacks the autonomy and resources to achieve that vision any time soon. However, it is not too early to begin planning for an independent business school as it will take not only a number of years to obtain the resources but also it will require substantial planning to develop a school that fits into Ariel University’s mission. We therefore suggest that the Faculty and Department establish a long-term planning committee to begin laying the foundation for the eventual establishment of an independent business school. Recommendations: Essential: The Department must develop a mission that takes advantage of its unique position in Israel. 7 Important: The Faculty of Social Sciences and the Department should establish a long- term planning committee to lay the foundation for an independent business school/faculty. 3. Organizational Structure Observations and findings The Department is one of 6 managed within the Faculty of Social Sciences and Humanities. It is a very diverse Faculty with the other 5 departments being Behavioral Sciences, Social Work, Israel in the Middle East, Israel Heritage, and a Multi-Disciplinary Program in Social Sciences and Humanities. Each department has its own elected Head of Department reporting to the Dean of the Faculty. Given such diversity and the concomitant differences in students, programs, research, etc., one would expect that there would be a reasonable amount of autonomy given to each Head to manage his/her programs. However, the visiting committee heard that this is, in fact, not the case. While it is perhaps not surprising given the sizes and the history of the University and the Faculty that resources are centrally controlled, we were disturbed that decisions about key Department programs such as the MBA program are made at the Faculty level sometimes without consulting the Department. This not only makes the job of the Head and Department more difficult in terms of program planning, it has a negative effect on faculty morale. It also has the potential to put decision-making authority in the hands of Faculty personnel who are not in the best position to understand student and market needs. We also heard of plans to establish a separate Department of Accounting. We strongly
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