Fall 2004

Meet Real Estate Magnate Steve Ross Michigan’s Hundred Million Dollar Man

Plus—Alumni Shine in Star-studded Industry #1-Ranked Ross School of Business Rocks with Good Vibrations

ean Robert J. Dolan missed the “To me, it’s an affirmation of our basic comes down to action-based learning. moment itself, but what mattered strategy,” said Dolan. “Ten years ago, the Incoming students know this is the kind of D most was making it possible. school started experimenting with action- program they’re after—they can co-create Dolan was en route to campus from based learning. I came here from a case their Michigan experience, including Detroit Metropolitan Airport, having method place, and when I saw what was reaching into cross-campus opportunities.” attended an alumni function in Boston the possible by complementing what students Partnerships with other academic night before, when he received the call learn in the classroom with practical units, especially the Corporate from Communications Director Cynthia experience, I knew this would be a point Environmental Management Program Shaw informing him that the Stephen M. of differentiation. We’ll teach you analyt- (CEMP) shared with the School of Ross School of Business had been ranked ical skills, but we’re also going to put you Natural Resources and Environment, number one in the annual Wall Street in the field. This is what’s distinctive also made a favorable impression on the Journal /Harris Interactive survey of about Michigan.” recruiters surveyed. “At a time when cor- nearly 3,000 corporate recruiters. The recruiters thought so too. “What porate citizenship has become a hot topic,” Alsop wrote, “Michigan is far ahead of most of its rivals.” Two other students inter- viewed by the Journal and CNBC, Kate Napolitan, MBA ’06, and Nick Cucinelli, MBA ’05, are both in CEMP. “There was no better fit for me than Michigan,” said Napolitan, of Cleveland. “I worked for six years before coming back to school, mostly in environmental compliance consulting, and I had come to recognize that maybe that wasn’t the best way to Students cheer and the camera rolls as CNBC Dean Robert J. Dolan, right, and students cele- make the sort of changes I was interested correspondent Phil LeBeau announces The brate in a late-afternoon party under the portico. in making in manufacturing settings.” Wall Street Journal / Harris Interactive survey Cucinelli served seven years in the rankings. PHOTOS BY D.C. GOINGS they said they love about Michigan is its U.S. Coast Guard, then founded a yacht focus on practical experience,” said Wall maintenance and delivery business before He arrived at the Alessi Courtyard Street Journal reporter Ronald Alsop, returning to school. “The only way to just after the CNBC cameras departed, who reported the story. “At a time when protect the marine environment that’s so having telecast the cheers, high-fives and companies want their MBAs to be ready dear to me is to reduce our dependence renditions of “The Victors” of a crowd of to roll the first day on the job, Michigan on petroleum products,” he said. His goal about 150 that turned out for the live graduates can do that.” is to get involved in start-ups focused on announcement on the crisp, sunny morn- “They’re living what they have to do,” renewable energy technology. “I wanted ing of the last full day of summer. said Alan L. Cotrone, director of career to come to Michigan to get exposure to Jonathan Soffin, MBA ’05 in market- development and academic services. the transportation and energy industries, ing, one of the students interviewed by “When the dean clarified our strategy, it and I’m happy to say I’ve gotten just that.” CNBC correspondent Phil LeBeau, said became very easy to tell both prospective Cucinelli was on the air often as a fed- his mom called him twice while he was students and recruiters what we stood for eral on-scene coordinator for oil spills on the air. “That was a little weird,” said and what we’re all about. We made it and hazardous materials releases during Soffin who is from Buffalo. “I could feel clear to recruiters what they’re getting.” his Coast Guard days. “That led to a lot the vibration on my leg.” “Michigan MBAs do more than take of TV interviews,” he said. “This is the It was only the first of many good notes, they take action,” said Kristina L. first one that was really a whole lot of fun.” vibrations rocking the school that day, Nebel, who served as the school’s admis- culminating in a late-afternoon celebration sions director from January 1999 until Jeff Mortimer under the portico, much as the number- this August, when she became director of one ranking was the culmination of years strategic planning and outreach for the of visioning and hard work. school’s Office of Admissions. “It all CONTENTS T HE M ICHIGAN D IFFERENCE

Two Men, One Vision 26 33 Plus: Remembering $100 Million Gift an Extraordinary Day Photographers Steve Honors the Past, Kuzma, Peter Smith and Martin Vloet Looks to the Future capture the highlights, emotions and Real estate developer Stephen M. Ross, BBA ’62, whose exuberance of the firm The Related Companies developed New York City’s September 9 Ross gift Time Warner Center, is supporting what he knows best — announcement. the creation of new and improved space to enhance Dean Robert J. Dolan’s vision for team-based learning and leadership. Learn about Ross and the motivation behind the largest gift in the history of the University or any business school. FEATURES

32 Hundreds Gather to Cheer 42 That’s Entertainment! and Celebrate Historic Gift Michigan Alumni Shine “It seems it was only yesterday that I was here as in Star-studded Industry a student,” guest of honor Stephen M. Ross told more than 600 people who gathered at Hale There’s no biz like Auditorium and in overflow rooms for the surprise show biz for scores of gift announcement. “Never would I have dreamt that the school would Business School one day bear my name,” says Ross, who credits his uncle, philanthropist graduates working in and financier Max M. Fisher, for serving as a mentor and role model. the entertainment industry. Perhaps the most recognizable name in the field is Robert Shaye, BBA ’60, co-founder and co-chair of 18 University Launches 25 2004 Class Gift New Line Cinema, which produced $2.5 Billion Campaign A record $539,182 in the Lord of the Rings trilogy. Shaye donations and pledges credits the school with helping him In May, the University signals recent grads’ develop the skills to turn New Line of Michigan announced continuing commit- into the success it is today. one of the largest ment to the school. fundraising goals in higher education, 46 $2.5 billion to support Executive MBA: A Fast scholarships, endowed 36 Business School’s MAP: Track to Business professorships, academic programs, facilities and other projects. Theory+Practice= Literacy for Busy Senior The Michigan Difference Executives 21 Dean Dolan: Alumni Working in teams Michigan’s Executive Support Critical of four to six, MBA MBA program students bring ana- prepares mid-career The Ross School of lytical skills, the latest professionals like Business’ strategy to research findings, and former astronaut create a distinctive new approaches to Donald McMonagle, Michigan approach firms and nonprofits MBA ’03, Arkansas to business education through Multidisciplinary Action Arts Center Director Nan Plummer, has become the Projects, the largest action-based MBA ’03, Landmine Survivors cornerstone for learning program in the nation. Network Executive Director Jerry the school’s $350 million campaign, White, MBA ’05, and entrepreneur The Michigan Difference: Leading John Kennedy, MBA ’05, to lead and in Thought and Action. create value in their organizations.

DIVIDEND 1 FALL 2004 CONTENTS INTELLECTUAL DEPARTMENTS CAPITAL

12 Is America Really Facing 14 Faculty Research Dean: Robert J. Dolan Director of Communications: Cynthia Shaw a Crisis of Values? It’s a Small World Norway Executive Editor: Mary Jo Frank Denmark After All for Directors Is the United States Class Notes and Copy Editor: Fred P. Wessells c ian Protestant of Corporate Boards Europe straying from its tradi- Switzerland Designer: UM Marketing Communications Finland tional focus—beliefs A tightly woven, N resilient network of Photographers: Jennifer Altman, Philip Dattilo, Belgium in religion and God, Iceland D.C. Goings, Paul Jaronski, Colleen Kelly, Steve France family values, absolute directors leads the Austria New nation’s largest companies— and Kuzma, Marcia L. Ledford, Lorraine Pantic, Bill Italy Britain Canada moral authority, and A spreads ideas, attitudes and practices Sharpsteen, Peter Smith, Mary Vingerelli, Martin national pride? Is Vloet, and John Wheeler the gap between conservatives and among them, says Gerald Davis. liberals, between religious Americans Plus: Updates on leading change and Printer: University Lithoprinters and those who eschew organized judging how we stack up to our peers. Vol. 35, No. 2: ©2004 religion a sign that the country is in Stephen M. Ross School of Business the throes of a culture war? at the University of Michigan. 16 Alumni at Large This publication is produced twice a year by the Office of Communications and made possible Putting More Pop through the generosity of private donations. in Tops: For more information, contact Dividend, A profile of Sandra Stephen M. Ross School of Business, University of Michigan, DEPARTMENTS Beach Lin, MBA ’82, president of Alcoa 701 Tappan, Ann Arbor, Michigan 48109-1234. Closure Systems International. 3 Across the Board The University of Michigan Regents: Connecting Urbanites with Nature: David Brandon, Laurence B. Deitch, Olivia P. A short news roundup, A profile of Joseph E. Shacter, BBA Maynard, Rebecca McGowan, Andrea Fischer including Business ’82, CEO of the Peggy Notebaert Newman, Andrew C. Richner, S. Martin School opens center in Nature Museum. Taylor, Katherine White, Ex-Officio Member, Bangalore...President Mary Sue Coleman, President, University of Mary Sue Coleman Michigan. receives Women in 51 Alumni Activities The University of Michigan, as an equal Leadership Award… opportunity/affirmative action employer, com- Norbert Schwarz elected to American Club news from plies with all applicable federal and state laws Academy of Arts and Sciences… Beijing, Chicago, regarding nondiscrimination and affirmative Dream leads to Asia’s automotive Mexico, Minnesota, action, including Title IX of the Education markets…Medical devices move up New York, North Amendments of 1972 and Section 504 of the the charts…Empowering business Carolina, Shanghai Rehabilitation Act of 1973. The University of Michigan is committed to a policy of non- through technology…and more. and Switzerland. discrimination and equal opportunity for all persons regardless of race, sex, color, religion, creed, national origin or ancestry, age, marital 11 Quote Unquote 53 Class Notes status, sexual orientation, disability or Vietnam- era veteran status in employment, educational Ross School of The goings-on of friends, classmates programs and activities, and admissions. In- Business faculty are and colleagues. quiries or complaints may be addressed to the called upon by the Senior Director for Institutional Equity and media to provide Title IX/ Section 504 Coordinator, Office for expert commentary 61 Obituaries Institutional Equity, 2072 Administrative on everything from Services Building, Ann Arbor, Michigan 48109-1432, 734-763-0235, TTY 734-647-1388. breaking news to 63 Alumni Network Update business trends. Read about who is For other University of Michigan information saying what—and where. call 734-764-1817. Stephen M. Ross School of Business Web site: www.bus.umich.edu

DIVIDEND 2 FALL 2004 across 20 countries, E. Han Kim, director of the Business School’s Mitsui Life Finan- cial Research Center, told symposium Across the Board participants. In addition to providing an overview of information available, MEMIS INDIA create the right debate, both in the busi- reports the cost for retrieving data from ness community and in public policy.” the various databases. Learn more about Business School For a decade, researchers at the MEMIS at www.bus.umich.edu/MEMIS. Business School have studied business In opening remarks at the symposium, Opens Center practices in India and have taught execu- Hirokazu Ishikawa, chairman of the tive education classes to Indian business board of the Mitsui Life Insurance in Bangalore managers and executives through the Company, said the Mitsui Life Financial ore than 175 business executives, school’s Executive Education Center. With Research Center “provides an excellent M government officials, scholars and its physical base in Bangalore, the school opportunity for academic research in the media representatives celebrated the open- has expanded its research agenda and growing Asian financial market. Its ing of the Michigan Business School’s new Executive Education offerings and added activities are bringing an abundance of Center for Global Resource Leverage: a new project component for students. new ideas and knowledge to the field of India in Bangalore on June 17. For more information about the Center financial management.” for Global Resource Leverage: India, visit www.bus.umich.edu/ResearchIndia. HUMAN RESOURCES

MITSUI LIFE Center of Excellence Database Research Focuses on Tool Unveiled Best Practices he Mitsui Emerging Markets uman resource executives from top T Information Source (MEMIS)—a H companies across the United States new database that points researchers to gathered in April at the Business School financial data about firms in Japan and for a day-long leadership conference on emerging markets—was rolled out at the research and best practices in the human 9th Mitsui Life Symposium on Global resources field, the first to be sponsored Left to right, Infosys Chairman N.R. Narayana Financial Markets: Microanalysis and by the Center for Strategic Human Murthy and Professors C.K. Prahalad and M.S. Emerging Markets at the Michigan Resource Leadership. Krishnan tour the India Institute for Information The 140 participants at the HR Leader- Technology-Bangalore campus. ship Conference heard presentations rep- resenting the center’s portfolio, including The center is located on the India how to link strategy to business results, Institute for Information Technology- develop effective leaders, manage talent Bangalore campus and in close proximity and create market-centric organizations. to Infosys and other leading Indian firms, MARCIA LEDFORD The Center for Strategic Human as well as multinational corporations such Resource Leadership is one of 10 new as Hewlett-Packard and General Centers of Excellence introduced this year Electric. The center represents an on-the- as part of the next-generation strategy for ground commitment by the Business the school’s Executive Education programs. School to study at the source of next prac- tices in global business, says M.S. Krishnan, the Michael R. and Mary Kay Right, Wayne Brockbank, director of Executive Hallman Fellow and professor of busi- Education’s new Center for Strategic Human ness information technology. Resource Leadership, welcomes human resource About a dozen Business School faculty Left, Tak Wakasugi, co-director of the Mitsui executives to the HR Executive Leadership are affiliated with the center, which is co- Life Financial Research Center, and M.P. Conference. PHOTO BY PHILIP DATTILO directed by C.K. Prahalad, the Harvey C. Narayanan, professor of finance, participate in Fruehauf Professor of Business the Mitsui Life Symposium. Administration and professor of corpo- rate strategy and international business, Business School this summer. The sympo- and Krishnan. “We are focusing on next sium drew a standing-room-only crowd. practices, not best practices,” says MEMIS contains information about 66 Prahalad, adding, “The center’s first pri- databases, from single-country to large ority is to isolate issues of great impor- international sources. Researchers can tance for the future and frame them to query for as many as 174 variable items

DIVIDEND 3 FALL 2004 ACROSS THE BOARD To be a successful social entrepreneur, Shainis said, it is important to develop WOMEN FELICIDADES plans and timelines and to be efficient, honest and humble. Intercambio volun- President Coleman School Honors teers and staff are encouraged to follow the platinum rule: “Treat others as they Receives Women in Social Entrepreneur want to be treated.” Leadership Award hen social entrepreneur Lee Shainis already is thinking about his W Shainis, BBA ’99, talks about the next project: A more effective way to very time you convince a young founding of the nonprofit organization measure how business schools and com- “Ewoman to enter the Business Intercambio de Comunidades in Boulder, panies contribute to communities and to School, you are doing your part to create Colorado, in 2000, it is a classic start-up make that information accessible and the next wave of leaders,” President Mary story: no cash, a low-tech home office and transparent. Sue Coleman told members of the audi- an idea to meet an unmet social need. ence who gathered to honor her at the Intercambio’s mission is to reduce the KUDOS Business School’s Women in Leadership language and cultural barriers that pre- Award ceremony held on April 14 in vent native Spanish speakers from Schwarz Elected Hale Auditorium. becoming part of the community. Today, more than 300 volunteers teach free to AAAS evening and weekend English classes arketing Professor Norbert attended by more than 600 Latino adults, M Schwarz is to be inducted into the ages 17 to 70, and conduct field trips to American Academy of Arts and Sciences familiarize students with the Boulder (AAAS) in October. The AAAS, the MARCIA LEDFORD County community. Intercambio also nation’s oldest learned society, includes holds workshops and provides resources more than 150 Nobel laureates and 50 to help Latinos meet medical, education- Pulitzer Prize winners. al, residential and other social needs. Schwarz, who also is a professor of “Intercambio has become my life,” psychology and a research professor at the Shainis told students, faculty and others Institute for Social Research, is an expert who gathered to honor him at a March on human judgment and cognition, 16 lecture and dinner, where he received including the the Michigan Business School’s interplay of Left, Jodie Eason, MBA ’05, chats with Entrepreneur Award. feeling and President Mary Sue Coleman following the Securing initial funding is a huge hur- thinking, the Women in Leadership Award ceremony. dle when starting a nonprofit, Shainis socially situ- Constance Cook, director of the University’s said. During Intercambio’s first year, he ated nature Center for Research on Learning and Teaching, worked 35 hours a week at a before- and of cognition, is in the background. after-school program in addition to 60 and the hours a week without pay at Intercambio. “Leadership means being a leader at implications The nonprofit, which raised $200,000 last of basic cog- all levels of one’s career,” added Coleman, year, has two full-time and three half- who said as a University of Kentucky fac- nitive and time employees and an 11-member board communica- ulty member she never anticipated of directors. becoming a university president. When tive processes for public asked to direct the University of Successful social entrepreneurs must opinion, con- Norbert Schwarz Kentucky Cancer Center, Coleman dis- develop plans and timelines and be sumer behav- covered she enjoys building programs efficient, honest and humble, says ior and social science research. and raising money. “Things happen in Lee Shainis. life that you never expect. Always be Prior to joining Michigan in 1993, open to new possibilities that make Schwarz taught psychology at the possible a totally different career,” University of Heidelberg in Germany Coleman advised. and served as scientific director of ZUMA, an interdisciplinary social science On behalf of the Michigan Business VLOET MARTIN Women (MBW) and the Michigan research center in Mannheim, Germany. Business School Women in Business The Cambridge, Massachusetts-based Initiative, BBA MBW Co-presidents AAAS was founded in 1780 to “cultivate Jennifer Lazar and Megan Melvin, both every art and science which may tend to BBA ’05, presented a crystal vase to advance the interest, honor, dignity and Coleman, “recognizing achievements that happiness of a free, independent and promote the success of women in business.” virtuous people.”

DIVIDEND 4 FALL 2004 ACROSS THE BOARD professor of business law, and Michael Ryan, professor of marketing, who were FACULTY granted emeritus status by the University of Michigan Regents. 12 Honored at Thomas C. Kinnear, the Eugene

D.C. GOINGS Applebaum Professor of Entrepreneurial Awards Ceremony Studies, professor of marketing and director welve faculty members were honored of the Samuel Zell & Robert H. Lurie T for research, teaching and service at Institute for Entrepreneurial Studies, the Business School’s faculty awards cere- received the Andy Andrews Distinguished mony held in May. Faculty Service Award. The award was Gautam Ahuja, PhD ’96, the Michael created in memory of Richard W. (Andy) R. and Mary Kay Hallman Fellow and Andrews, associate professor of statistics, professor of corporate strategy and inter- who died on May 29, 2002. Kinnear, who national business, achieved the unusual also has served as chair of the marketing distinction of winning two Teaching Michel Wedel, the Dwight F. Benton Professor area, said, “The school has given me far Excellence Awards in one year, from doc- of Marketing, received the Senior Faculty more than I’ve given to it. I am doubly toral students and MBA students. Roman Research Award. His research interests include honored to receive the award named in Kapuscinski, associate professor of opera- the application of statistical and econometric honor of my friend, Andy Andrews.” tions and management science, was methods to marketing problems and the design selected by students to receive the BBA of the visual aspects of advertising. TEACHING Teaching Excellence Award. Ahuja and Kapuscinski received Professor of Marketing, received the Scott Moore Named standing ovations at spring commence- Senior Faculty Research Award for ment. “Life can’t get any better than this research contributions made in the last Thurnau Professor from a teaching perspective,” said Ahuja, three years and the scholarly signifi- cott Moore, associate professor of busi- who shared two questions his mother cance of his publications. S ness information technology and BBA taught him to consider: Did I do the right Valerie Suslow, associate professor of program director at the Business School, thing? Did I do it to the best of my ability? business economics and public policy, is one of five faculty members named by the “They are the only exam questions worth received the Victor L. Bernard Teaching University of Michigan Regents to the asking in life,” Ahuja said. Leadership Award, which recognizes Arthur F. Thurnau Professorship, which Also honored for teaching were: teaching, work with students and col- recognizes faculty for outstanding contri- M.P. Narayanan, professor of finance leagues, and course design. butions to undergraduate education. (Executive MBA award) Fred Feinberg, the Michael R. and Gautam Kaul, the John C. and Sally S. Mary Kay Hallman Fellow and associ- Morley Professor of Finance (Global ate professor of marketing, was named MBA award) the Bank One Corporation Assistant Professor of Business Administration. Other faculty members honored: VLOET MARTIN The one-year appointment recognizes Michel Wedel, the Dwight F. Benton promising non-tenured faculty. Venky Nagar, assistant Dean Robert J. Dolan, left, congratulates George D. Cameron III, pro- professor of accounting, fessor emeritus of business law, on his retirement at the Business School was named the Sanford faculty awards ceremony. Cameron, who joined the faculty in 1971, has R. Robertson Assistant received numerous teaching awards. In 1998, the Michigan Daily named Professor of Business his course focusing on enterprise organization law the best course on Administration. The campus. Cameron also was listed among the school’s outstanding one-year named profes- faculty in the Business Week Guide to the Best Business Schools. sorship recognizes early Scott Moore career achievement. E. Han Kim, the Fred Moore designs courses in which stu- M. Taylor Professor of dents are actively engaged in projects Business Administration based on real-world examples. Students and director of the Mitsui have recognized his efforts by awarding Life Financial Research him the outstanding BBA Teacher of the Center and East Asia Year Award twice. Management, received Thurnau Professorships, which the Contribution to the include $20,000 grants to support teach- Research Environment ing activities, are named after Arthur F. Award. Thurnau, a Michigan student from 1902 to 1904. The professorships are supported D.C. GOINGS Also recognized were George D. Cameron, by the Thurnau Charitable Trust.

DIVIDEND 5 FALL 2004 ACROSS THE BOARD said. Education is a debt that can never be repaid except by providing the same GLOBAL MARKETING SCHOLARSHIP for others, he added, noting that he tries to create an environment for students Vern Terpstra School Celebrates similar to what the Business School and University of Michigan provided for him. Recognized 20 New PhDs Ahuja, co-chairperson of the Corporate ern Terpstra, BBA ’50, MBA ’51, he Business School celebrated its Strategy and International Business V PhD ’65, professor emeritus of inter- T 20 newest PhDs and two other group at the Business School, received the national business at the Business School, Michigan-trained scholars at the school’s MBA teaching award in 2003. received the 2004 Significant Contribu- fifth annual Doctoral Recognition Izak Duenyas, associate dean for facul- tions to Global Marketing Research Program on April 8. ty development and research, noted that Award from the American Marketing Students presented the PhD Teaching the 2004 graduates will be teaching at Association (AMA) Global Marketing Excellence Award to Gautam Ahuja, many of the top business schools in the Special Interest Group at the 2004 AMA PhD ’96, the Michael R. and Mary Kay nation. Summer Educators Conference in Hallman Fellow and professor of corpo- Graduates honored were: Neveen Boston. The award recognizes marketing rate strategy and international business. Farag Awad, computer and information faculty members who have made signifi- Tridas Mukhopadhyay, PhD ’88, systems; Brian H. Boyer, finance; Mei cant contributions to the advancement of the Deloitte Consulting Professor of Feng, accounting; Marcin Kacperczyk, global marketing thought. E-Business and director of Master of finance; Christo Karuna, accounting; Science in E-Commerce Program at Irene Y. Kim, accounting; Renáta Carnegie Mellon University, received the Kosová, corporate strategy and interna- Distinguished Alumni Award. tional business; Nandini Lahiri, interna- Mukhopadhyay, who also gave the tional business; Katherine A. Lawrence, management and organizations; Ying Li,

MARTIN VLOET MARTIN keynote address, told the graduates schol- arly success hinges on the choice of operations management; Sarah E. McVay, research problems. “Pick a real-life prob- accounting; Kiwan Park, marketing; lem, not one driven by the literature, and Linda Court Salisbury, marketing; you have the best chance of making a Shalini Singh, finance; Alexander contribution,” Mukhopadhyay advised. Sleptsov, corporate strategy; Markus Ahuja expressed gratitude to the Vodosek, management and organiza- University of Michigan. “I am a graduate tions; Timothy J. Vogus, management of this program. Clearly this program did and organizations; Zhi (Jay) Wang, something that added value. This award finance; Hong Yuan, marketing; and Vern Terpstra is about mentoring. We become mentors Zheng (Jane) Zhao, corporate strategy based on how we were mentored,” Ahuja and international business. Terpstra joined the Business School faculty in 1966 and retired in 1992. He served as chair of International Business from 1977 to 1987. Terpstra taught at the Wharton School of the University of Pennsylvania from 1964 to 1966. He has written more than 55 books and articles. His textbook, International Marketing, co- authored with Ravi Sarathy, is in its eighth edition. During his career, he has served as a visiting professor for institu- tions in the Congo, China, Indonesia, England, the Netherlands and other countries on three continents. Terpstra, president of the Academy of International Business in 1970 and 1971, was elected a Fellow of the Academy in 1978. The AMA, with 38,000 members, is one of the largest professional associations MARTIN VLOET for marketers, providing resources for professional and collegiate chapters Among those honored at the Doctoral Recognition Program were, left to right: front row, Katherine throughout the United States and Canada. A. Lawrence, Mei Feng, Hong Yuan, Neveen Farag Awad, Sarah E. McVay; back row, Alexander Sleptsov, Kiwan Park, Irene Y. Kim, Christo Karuna, Zhi (Jay) Wang, Marcin Kacperczyk, Renáta Kosová and Timothy J. Vogus.

DIVIDEND 6 FALL 2004 ACROSS THE BOARD Historically doctors have treated patients with congestive heart failure PACIFIC RIM Southeast Asian Nations, talked about (CHF), the number-one cost for the warming in Sino-U.S. relations and Medicare, with a cocktail of drugs. Dream Leads to China’s desire to develop economically, Treatment options expanded recently which has been a boon for Southeast Asia. when Minnesota-based Medtronic came Asia’s Automotive “When I look at General Motors in out with an implantable device that Markets Detroit, I see what someone else has built. shocks a CHF patient’s heart back into Asia offers an opportunity for me to build,” hen Michael Dunne, MBA/MA in explains Dunne, a Detroit native whose W Asian studies ’90, left Ann Arbor for father writes an automobile column for “The FDA has become an essential part Popular Mechanics magazine. “My passion Thailand shortly after graduation, he didn’t of the development process. It is vital to have a job or promising leads. He did have is languages, and I love the energy of a dream: to start his own business in Asia. Asia,” says Dunne, who is fluent in develop that partnership.” Mandarin Chinese, Thai and French. “I immediately met an abrupt smack down.” After repeatedly being asked In 1993, he founded Automotive over a six-month period “Who are you Resources Asia Ltd. (ARA), a marketing rhythm, Gunderson said. Researchers and what do you know?” Dunne, now a company specializing in Asia’s automotive also are working on a pacemaker-type leading expert on Asia’s emerging auto- markets. In 1998, ARA and the Association device for the brain to treat patients for motive markets, admits, “I began to have of Southeast Asian Nations Automotive chronic depression. lots of doubts.” Federation published the region’s first Gunderson advised entrepreneurs to directory of automotive suppliers. meet with the Food and Drug Adminis- ARA has an office in Thailand, which tration (FDA) early when developing a ranks second only to the United States in new medical device and learn the production of pickup trucks, and two agency’s rules for design control and offices in China. Dunne predicts China, reporting data results. “The FDA has which ranked third in world automobile become an essential part of the develop- production last year, will be the second- ment process. It is vital to develop that largest producer of automobiles by 2010 partnership,” he reported. and the largest by 2020. Stephen N. Oesterle, senior vice presi- dent for medicine and technology at EMERGING INDUSTRY Medtronic, talked about the medical device industry’s critical role in providing Medical Devices site-specific controlled delivery systems to patients. Michael Dunne, founder of Automotive Move up the Charts Resources Asia Ltd., and Linda Lim, professor he high-flying medical devices mar- of corporate strategy and international business T ket (think joint replacements, pace- and adviser to the Asian Business Conference makers and stents that keep heart arteries open) will skyrocket in the years ahead JARONSKI PAUL Dunne’s break came when he was as it converges with biotechnology, invited to write about cars in Thailand, a according to speakers at the University report which caught the attention of a of Michigan’s fourth annual Emerging senior Thai government official who Industry Symposium. hired Dunne to organize a trade delega- More than 275 entrepreneurs and tion to visit the United States. On the trip investors attended the March symposium, Dunne met representatives of Chrysler, MedTech: The Business of Medical Devices, Ford and General Motors, which led to sponsored by the Samuel Zell & Robert assignments from U.S. automakers. H. Lurie Institute for Entrepreneurial Thomas J. Gunderson, senior research analyst Dunne returned to the Business School Studies at the Business School and the at Piper Jaffray, discusses the trends and forces in February to share his story as a pan- University’s Office of Technology Transfer. that will influence the medical devices market. elist at the 14th Annual Asian Business Increasingly, medical devices are mov- Conference (ABC). The ABC attracts ing into traditional drug markets, noted more than 500 students and business The former associate professor of Thomas J. Gunderson, senior research leaders annually, making it the school’s medicine at Harvard University Medical analyst at Piper Jaffray. Gunderson, largest and longest-running student- School noted medical devices alleviate named an all-star analyst for medical organized conference. pain, improve health and extend life, but stocks by The Wall Street Journal in 1996 Conference keynote speakers Kishore rarely cure. In the not-too-distant future, and 2000, cited new drug-coated stents as Mahbubani, Singapore ambassador to the intelligent, wireless devices will restore an example. United States, and Ong Keng Yong, organ function, Oesterle predicted. “This secretary-general of the Association of is the most exciting time in medicine in the last 50 years,” he said.

DIVIDEND 7 FALL 2004 ACROSS THE BOARD in 2002, provides worldwide business pro- cess outsourcing in the areas of customer FUTURTECH delivers are “smart”—electronically service, human resource service and inte- coded so they move through the sys- grated billing. The outsourcing market, Empowering tem from sender to delivery by a UPS estimated at more than $1 trillion, is huge carrier without additional sorting. and growing, said Dougherty, who described Business through Technology allows UPS to vary routes Convergys as a “stealth company serving based on volume and load trucks faster major Fortune 500 corporations. They Technology and more accurately. UPS’ ongoing don’t want their competition to know echnology makes us work $1 billion annual investment in tech- we’re doing work for them. They want “Tsmarter, enhances our customer nology has worked. Customers can to retain their competitive advantage.” focus, provides future growth opportuni- enter identifying information neces- He acknowledged that outsourcing is a ty and supports sustainability,” UPS sary for billing, delivery and tracking serious public relations and political issue. Chairman and CEO Michael L. Eskew via the Internet. Six years ago, it cost “However, big companies must lower costs. told several hundred students enrolled in UPS $2 each time a customer called to When we do it, the profits come back to Michigan’s Business School, College of track a package. Today it costs 1.5 the United States,” explained Dougherty, Engineering and School of Information. cents to track a package online, Eskew who added that about 85 percent of noted, “and service is better.” Convergys’ approximately 55,000 employ- UPS’s 360,000 employees no longer ees work in the United States. Looking fill out time cards. Instead, they use a ahead, Dougherty predicted that finan- key-entered system. Checks are cut cial services and healthcare are the next

STEVE KUZMA electronically and transferred into areas to benefit from the cost cutting and employees’ accounts, enabling UPS to organization resulting from outsourcing. completely automate payroll. Before joining Convergys 14 years ago, Malis-Henderson of Montreal, which Dougherty worked for Procter & Gamble manufactures bridal veils and head- and for LensCrafters Inc. Launching a pieces, used UPS technology to over- career at a large firm is smart, he said, come delivery delays, expand its U.S. because “you learn things you’ll never learn market and shorten its cash cycle from in a small company in terms of communica- 30 days to three days. tion skills, data analysis, financial discipline Best Buy moved laptop warranty and managing people.” For example, disci- UPS Chairman and CEO Michael L. Eskew, repair out of its stores to an on-call pline and procedures such as performing center, shares a break with FuturTech service parts and replacement center, personnel reviews every six months are built Conference co-chairs Susan Winslow Tahir and eliminating long customer service into the Procter & Gamble organization. Ben Silverman, both MBA ’04. lines. In the future, Eskew said, Best Dougherty also warned against trying Buy customers will be able to drop off too hard to manage one’s career. “Life is Eskew and Larry Lesley, MBA ’78, their computers for repairs and pick like a golf swing. The harder you swing, senior vice president of consumer imag- them up at a UPS store. the worse the results.” Instead, he recom- mended, “keep your head down and ing and printing in HP’s Imaging and Innovation and investment in intellec- focus on how you can help the company Printing Group, were keynote speakers tual property also will sustain growth at be successful. Stay focused on the job.” at the FuturTech 2004 Conference, HP, predicted Lesley, who noted that HP To be a leader, you must have a team, he “Pervasive Technology and the Advantages developed or bought 1,000 patents last year. of the Informed,” held at the Business added, which means sometimes following. School in January. “I routinely look to see if someone working UPS, founded as a local messenger SUPER SIZE for me is more qualified to do something service in Seattle by Jim Casey in 1907, is than I am and tell them ‘you are the leader. the world’s largest package delivery com- Big Firms You tell me where I need to be to help.’” pany and a global leader in supply chain services. UPS moves six percent of the Offer Leg Up David Dougherty U.S. gross domestic product, more than o to a big company, David F. 13 million packages daily. Under Eskew’s G Dougherty, BBA ’78, counsels leadership, UPS has streamlined opera- Michigan Business School students and tions and expanded its capabilities into new graduates. new lines of business that complement its Dougherty, executive vice president of global package delivery operations. UPS global information management for offers firms everything from multi-model Convergys, participated in the Dean’s transportation services to supply chain Seminar Series in March. Seminars give consulting and financial services. students opportunities to talk with suc- Business strategy drives technology, cessful alumni about business issues of Eskew said. Among the examples he cited: the day and career development. 93 percent of packages that UPS Convergys, with $2.3 billion in revenues STEVE KUZMA

DIVIDEND 8 FALL 2004 ACROSS THE BOARD understood so insiders are proud of what they are doing and others support the RELATIONSHIPS ferable experience” as counsel to KKR, organization’s activities. Ted Turner, Drexel and cable television Strong leadership. A nominating Think About clients. process must match talents with organi- As an investment banker, Levitt found zational needs. Your People “better but still endless hours” at Morgan Strategic thinking and programs. he first thing in the morning, Stanley and later Smith Barney. Clients Activities and services of the highest “Tafter I walk the dogs and work included Viacom CEO Sumner M. quality must reflect strategic thinking out, I think ‘What are my people work- Redstone, Citigroup Chairman Sanford and produce measurable results. ing on?’ The most important thing to do Weill and Saudi Prince al-Waleed. Communications. Internal and external is to think about the people who work for In his investment career, Levitt communications must be relentless so you. Are they engaged, active, working became a principal rather than an agent. people within the organization under- hard, occupied, busy? No one has ever Together, Levitt and his colleagues stand how their efforts fit into the whole quit,” Michael J. Levitt, BBA ’80, told helped build businesses, as at Hicks, and others want to contribute. Michigan Business School students at a Muse, Tate & Furst, where they brought Dean’s Seminar this spring. in profits of $800 million on investments Levitt, who worked as an attorney, of $250 million. investment banker and investor before As an entrepreneur and sole owner of D.C. GOINGS becoming an entrepreneur, shared the his company, Levitt brings yet a different principles that have guided his career: perspective to business: “What are the hard work, focus, relationships, serendip- returns, not what are the fees?” He con- ity, building businesses, having fun, and cluded, “Relationships are portable. If you balancing business and personal life. have good relationships, opportunities will present themselves. Work hard and enjoy.”

HONORING KING

STEVE KUZMA Civil Rights Leader Deborah Brittain, center, talks with Diane Promoted Justice, Kaplan Vinokur, left, associate professor of social work, and Lynn Perry Wooten, assistant Equality professor of corporate strategy and international business, following Brittain’s lecture honoring onprofit organizations need look no the late Martin Luther King Jr. N further than the late Martin Luther King Jr. and the Southern Christian Branding and image. This is one area Leadership Conference for a blueprint where many nonprofits fall short, said for success, says Deborah Brittain, imme- Brittain, adding, “If you have a good brand Michael Levitt talks informally with students diate past president of the Association of and image, it says you do good work.” following his Dean’s Seminar presentation. Junior Leagues International. Technology. The latest technology King used his mind, mouth and money must be used at every level, from mem- In addition to being chairman of Stone to promote a vision of justice and equity bership and finance to public relations, Tower Capital LLC, with over $500 million for all in his “beloved community,” noted to save time and money. in managed assets, Levitt has been a mem- Brittain, whose January 14 Martin Luther Nonprofits also must pay close atten- ber of the board of directors of the Make- King Jr. lecture was sponsored by the tion to such basics as sound budgeting, A-Wish Foundation of Metro New York Business School and Michigan’s Nonprofit updating bylaws, building links with the for eight years and chairs the advisory and Public Management Center. The community, and recruiting and retaining board of the Make-A-Wish Foundation center is a collaboration of the Business members, Brittain said. of America. He also is on the board of the School, the Gerald R. Ford School of The veteran nonprofit leader encouraged New York Police and Fire Widows’ and Public Policy and the School of Social audience members to use their minds to Children’s Benefit Fund Inc. and a direc- Work. Earlier in the day, Brittain spoke assess their organization’s mission and tor of IDT Corporation. At Michigan, to students enrolled in Strategic Manage- vision, analyze trends, establish interim Levitt serves on the Business School’s ment of Knowledge in Professional and long-term goals, and monitor and Corporate Advisory Board and on the Service Firms, an upper-level undergrad- evaluate progress so the nonprofit can University’s Investment Advisory Board. uate course taught by Lynn Perry “change by design.” Volunteers and paid “It’s important that your job be engag- Wooten, assistant professor of corporate staff also must use their mouths to contri- ing. Pick a career you find interesting and strategy and international business. bute to discussions and ask for resources, fascinating,” he advised. As an attorney, Effective nonprofit organizations share Brittain said, and support the organiza- Levitt found that with “endless hours” of the following characteristics, Brittain said. tion’s work with their money and time. work he and co-workers “established a Mission. The group’s mission must be reputation” and gained “valuable, trans- clear, concise, compelling and well

DIVIDEND 9 FALL 2004 ACROSS THE BOARD numbers geek. And I can speak with authority about the economic conse- PEWABIC POTTERY Kathleen Dolan, who serves on the quences of policies that are unfair to Business School’s art committee, began women and minorities and people at the Marking a Milestone researching the home’s architectural his- lower end of the economic scale. My head tory, she discovered that Mary Stratton’s serves my heart. I am one of those lucky he discovery by Michigan Business husband, William Buck Stratton, was the people who can go home each night feel- School Dean Robert J. and Kathleen T architect. He also designed the Pewabic ing good about what I do,” Stewart said. Dolan of an architectural link between Pottery studio, a National Historic John Madigan, BBA ’58, MBA ’59, their Ann Arbor home and Detroit’s his- Landmark. received the David D. Alger Alumni toric Pewabic Pottery led to the design Achievement Award for his professional and production of a distinctive gift for accomplishments. Madigan retired as members of the Class of 2004. Each COMMENCEMENT chairman and CEO of the Tribune graduate received a light-blue, four-inch- Company in 2003. He joined the Tribune square Pewabic tile. “My Head Serves Company in 1975 as vice president and My Heart,” Stewart chief financial officer and went on to become president of the firm and pub- Tells Graduates lisher of the Chicago Tribune. Madigan said he had no idea what he wanted to do kill combined with passion will when he graduated. “I never thought of

MARY VINGERELLI sustain you,” Fannie Mae “S the media business.” Foundation President and CEO Stacey Madigan recommended students retain Davis Stewart, MBA ’87, told members their optimism, observe people who are of the Class of 2004 at the Business successes and underachievers to see what School’s spring commencement. More makes them succeed or fail, read biogra- than 900 students were honored at the phies and newspapers, and play a team April 30 ceremony in Crisler Arena. game. “It works in sports and in the busi- The global economy will reward those ness world,” said Madigan, who has who take risks and have the preparation served on the Business School’s Visiting This commemorative tile symbolizes and passion to do non-routine work, said Committee, is a founder of the Henry the 100-year friendship between the Stewart, who has served as head of the Carter Adams Society and has participat- University and Pewabic Pottery. country’s largest foundation devoted to ed in the Dean’s Seminar Series. In 1996, affordable housing and community he and his wife established the Holly and The tile with Pewabic’s patented matte development since 1999. The Business John Madigan Endowed Scholarship to glaze bears an imprint of the Business School’s interdisciplinary curriculum, benefit BBA and MBA students. School’s brand mark on the front and the outstanding professors and Dean Robert year, Pewabic Pottery’s stamp and a J. Dolan’s leadership are giving Michigan Pewabic centennial stamp on the back. graduates the skills that this economy ALUMNI SOCIETY The Business School tile also will be will reward, predicted Stewart. given to visiting dignitaries and speakers Although her passion provides direc- Three Join Board as a token of appreciation. tion for the Fannie Mae Foundation, hree new members have joined the In addition to recognizing outstanding Stewart said it is preparation that enables T University of Michigan Alumni academic achievement, the tile symbol- her to pursue her vision effectively. Society Board of Governors. They are: “When necessary, I can be a detached izes a century-long friendship between Jonathan Bilzin, BBA ’94, partner, the University and Pewabic Pottery, note Soros Private Equity Partners LLC, Lauryn Hale, BBA ’04, past-president the Dolans, who spearheaded the com- New York, New York of the Michigan student chapter of the missioning of the tile. Jeffrey Mott, MBA ’95, vice president National Association of Black Accountants, Pewabic Pottery was founded by the of retention and base management, receives a congratulatory hug. late Mary Chase Perry Stratton and Sprint Corporation/Customer Horace Caulkins at the height of the Arts Solutions, Overland Park, Kansas and Crafts Movement. The studio gained Kathleen Sample, MBA ’89, vice national acclaim for its tiles, vessels, president of global market develop- architectural ornamentation and jewelry D.C. GOINGS ment, GKN Sinter Metals, Auburn with unusual iridescent glazes. Stratton Hills, Michigan also founded the University’s ceramics department. The board strives to strengthen the Tile and other Pewabic pieces are network and fellowship among faculty, found in public and private spaces alumni, students and friends of the throughout Michigan: the University of Business School. The group’s semi- Michigan Museum of Art, churches, annual meetings provide a forum for an commercial buildings and residences, exchange of ideas between board mem- including the Dolans’ home. When bers and the school.

DIVIDEND 10 FALL 2004 QUOTE UNQUOTE here still is concern that analysts at “T investment banks were pumping In today’s post-Enron world, share- up the stocks of their clients. We don’t find strong evidence of that but we find “holders are more suspicious of how companies strong evidence that all analysts hype the report performance. Companies that make stock whenever any company is out there excuses may appear to be dishonest and not issuing stock.” to be trusted. Richard G. Sloan, the Victor L. Bernard PriceWaterhouseCoopers Collegiate Professor Fiona Lee, associate professor of management and organizations, ” of Accounting and director of the John R. and discussing research findings showing that stock prices of companies Georgene M. Tozzi Electronic Business and that took responsibility for poor financial performance outperformed Finance Center, noting research suggests stocks of companies that attributed problems to external factors. analysts routinely hype stocks of companies —The Wall Street Journal, April 21, 2004 raising capital. They forecast prices an average of 80 percent too high. f you look at globalization, the wheel hese people are much more —Australian Financial Review, February 20, 2004 “I is not going to stop. It’s not a question “T mobile. They have multiple of the cheapest resources. It’s a question of careers with a variety of companies. They high quality and low price. If U.S. com- may choose to stay in one country and ffshoring is just the latest exam- panies compete globally, it’s unavoidable move from one company to another. “O ple of the creative destruction that that they will have manufacturing in They are professional expats.” made the United States the most econom- China and Taiwan, design and software ically successful nation in the history of Edwin L. Miller, professor emeritus of business in India, probably marketing and strategy the world. The best policy is to embrace administration, discussing research showing that in the United States. If our MBA students this development and smooth the adjust- increasingly international employees are less are going to work in those global companies, ment for dislocated workers. But turning loyal to their companies and more willing to we have to expose them to these cultures.” away from globalization, slowing wealth change companies and careers to use their skills. creation and trying to ‘protect jobs’ is des- M.S. Krishnan, the Michael R. and Mary Kay —The International Herald Tribune (France), tined to fail and will ultimately make Hallman Fellow, chair of the Business June 26, 2004 everyone worse off.” Information Technology area and co-director of the Center for Global Resource Leverage: India, Robert E. Kennedy, executive director of the explaining why it is important for the Business he deeper issue is that we’re William Davidson Institute and professor of School to conduct research in India. “T addicted to work. This is not a business administration, writing in an editorial —Detroit Free Press, May 18, 2004 minor issue. In our culture, work has about why moving employment offshore helps the United States. become fundamental to our identity. It’s a socially sanctioned addiction.” —The Detroit News, February 1, 2004 thought after Enron and Jeff DeGraff, clinical associate professor of WorldCom, people would want to “I management education, commenting on an stay a million miles away from account- ax cuts played only a fairly modest Expedia.com study showing that 14 percent ing, and it’s really been just the opposite.” “T role in the recovery. The recovery of Americans do not take any vacation time. was coming sooner or later anyway.” David W. Wright, associate professor of accounting —Detroit Free Press, June 24, 2004 and director of the Master of Accounting Program, Joel Slemrod, the Paul McCracken Collegiate anticipating a record enrollment of more than Professor of Business Economics and Public Policy, 60 students this fall in the Michigan Business t was a methodology to capture the commenting on Bush Administration assertions School Master of Accounting Program, up from “I mental model of what it means to that it deserves credit for fast economic growth. 24 in 1998, the program’s inaugural year. be professional. Visually, how do people —The San Francisco Chronicle, January 17, 2004 —CFO magazine, June 2004 perceive it? When they thought the person was unprofessional, they associated that with much more personal stuff. It wasn’t erhaps the lowly meeting has think the presumption is that if you one particular item that did it. It was the “Ptaken on a new cultural impor- “I take on America frontally, you amount of content. But all the personal tance—one that allows us to actually get aren’t going to grow wealthy and strong items represented a life outside the office.” work done. We can pretend to work on because there’s such a chasm in terms of corporate affairs while getting our own Jeffrey Sanchez-Burks, the Sanford R. Robertson capacity, economic and military.” business under control.” Assistant Professor of Business Administration Kenneth G. Lieberthal, the William Davidson and assistant professor of management and John E. Tropman, adjunct professor of manage- Professor of International Business and profes- organizations, explaining research findings that ment and organizations and professor of social sor of political science, commenting on concil- show personal work space decor influences work, talking about how employees use meetings iatory overtures by China’s leaders to the perceptions of a person’s professionalism. to work on unrelated projects, from catching up United States and the international community. —Chicago Tribune, January 6, 2004 on paperwork to writing thank-you notes. —The Economist, June 26, 2004 —The Wall Street Journal, May 19, 2004

DIVIDEND 11 FALL 2004 INTELLECTUAL CAPITAL

Is America MARCIA LEDFORD Really Facing a Crisis of Values? BY WAYNE E. BAKER

Baker is professor of management and organizations at the University of Michigan Business School, professor of sociology in the College of Literature, Science and the Arts, and faculty associate at the Institute for Social Research. His Wayne E. Baker research expertise includes culture, economic sociology, social capital and groups have become more absolutist organizations. He is principal investigator of the 2003 Detroit Area Study on over time. Compared to other nations, values and information in today’s society and principal investigator and team America has an unusually high propor- leader of the Detroit Arab American Study. Baker, a contributor to the American tion of absolutists. Only 17 of 79 nations Sociological Review, American Journal of Sociology, Journal of Mathematical have a higher proportion of absolutists, Sociology and Criminology, is the author of America’s Crisis of Values: Reality and all these are low-income and devel- oping societies such as Morocco, Ghana, and Perception, which will be published this year by Princeton University Press. Tanzania, Uganda, Vietnam, Zimbabwe, Chile and Peru. Most economically s this year’s U.S. presidential race, The percentage of Americans holding advanced democracies have many more fueled by attack ads and inflammatory citizens with a relative viewpoint than a viewpoint that clearly delineates right I rhetoric, another example of a nation those who view the world in absolute in turmoil? Is the gap between conserva- from wrong has grown—despite the terms. For example, more than 70 tives and liberals, between religious percent of the citizens of Denmark, Americans and those who eschew organ- claims by many social critics that Japan, the Netherlands and Sweden ized religion a sign that the country is Americans are losing their capacity to are relativists. in the throes of a culture war? Is there a crisis of values? make moral judgments. America’s Contrary to the perception of pundits Traditional Values and the general public that the nation is In addition to being one of the most becoming increasingly polarized, research and judgment in God, religion and society. traditional societies in the world, the shows that most Americans continue to Today, however, the percentage of United States is also one of the most hold and share the traditional values Americans holding a viewpoint that religious, according to the World Values upon which the democracy was founded clearly delineates right from wrong has Survey, which tracks traditional and more than 200 years ago: firm beliefs in grown — despite the claims by many secular-rational values. Only 19 of 75 religion and God, family values, absolute social critics that Americans are losing nations rate higher than the United moral authority, and national pride. their capacity to make moral judgments. States on a religiosity scale, and all these By 2000, 49.2 percent of Americans are poor or developing countries, such The Rising Tide agreed with the statement: “There are as Uganda, El Salvador, Iran, South of Absolutism absolutely clear guidelines about what is Africa, Peru and Turkey. Numerically, Americans have always tended to be good and evil. These always apply to Protestants are the largest group in moral absolutists, but this moral stance everyone, whatever the circumstances.” America. According to a 2003 Gallup has strengthened in recent decades. About 46.6 percent agreed with the state- poll, 49.4 percent of Americans identify According to findings from the World ment: “There can never be absolutely themselves as Protestants. Roman Values Surveys, two decades ago clear guidelines about what is good and Catholics, at 23.7 percent, are the next- Americans’ views of moral authority evil. What is good and evil depends largest group. In the same poll, 60 percent were more relative than absolute, 60 entirely upon the circumstances.” of Protestants and 55 percent of Catholics percent vs. 37 percent. Moral relativism This rising tide of absolute values in answered “yes” to the statement that locates the source of moral values and America swept over all social classes, gen- religion is “very important in your own judgment in the self, while moral abso- erations, men and women, whites and life.” Protestants also attend church more lutism locates the source of moral values nonwhites, married and single. All these frequently than Catholics. For Americans,

DIVIDEND 12 FALL 2004 INTELLECTUAL CAPITAL

God, country and family are tightly LOCATIONS OF 65 SOCIETIES ON TWO connected. Americans, whether they are DIMENSIONS OF CROSS-CULTURAL VARIATION traditionalists or embrace secular-rational World Values Surveys, 1990–1991 and 1995–1998 values that emphasize the right of per- 1.8 sonal choice, are among the world’s most East patriotic. i s t Germany u n Japan In contrast, on a second cultural dimen- m West Sweden m Germany sion examined by the World Values 1.3 o Norway C Estonia Latvia Denmark Survey, survival vs. self-expression, the x - Czech E ltic United States continues to undergo Ba Protestant Lithuania S. Korea rapid change. Survival values are held by Russia Europe 0.8 China Confucian people whose lives are characterized by Ukraine Bulgaria Switzerland Finland uncertainty, insecurity, and political and Yugoslavia Taiwan Slovakia Slovenia Netherlands economic turmoil. They emphasize eco- Belarus Croatia Armenia Hungary nomic and physical security above other 0.3 Catholic Belgium Moldova Macedonia Europe France Iceland goals, feel threatened by foreigners and Romania Austria diversity, and are distrustful and resist New Zealand Orthodox Bosnia cultural change. Self-expression values, Georgia Italy Britain Canada 0.2 Australia such as trust, tolerance and subjective Portugal Azerbaijan well-being, emerge once material needs Poland Uruguay Spain are satisfied, allowing post-industrial English societies (like 0.7 speaking Argentina South India Asia U.S.A. Chile Mexico N. Ireland Bangladesh Americans are unusual in that they 1.2 Latin Ireland Turkey Dominican cherish traditional values as well as Republic Philippines Pakistan a high degree of self-expression. South Brazil America 1.7 Africa Peru TRADITIONAL VS.TRADITIONAL SECULAR-RATIONAL AUTHORITY Colombia Nigeria Venezuela Ghana Puerto Africa Rico the United States) to move from survival 2.2 mode to increased emphasis on self- - 2.0 - 1.5 - 1.0 - 0.5 0 0.51.0 1.5 2.0 expression and quality of life. Americans SURVIVAL VS. SELF-EXPRESSION increasingly embrace self-expression SOURCE: “MODERNIZATION, CULTURAL CHANGE, AND THE PERSISTENCE OF TRADITIONAL VALUES” BY RONALD values, which manifest themselves in INGLEHART AND WAYNE E. BAKER; AMERICAN SOCIOLOGICAL REVIEW, 2000, VOL. 65 (FEBRUARY:19-51) rising environmental concerns, demands for equality, and the search for meaning cultural traditions. In contrast, America reminder of America’s traditional val- and purpose in life beyond the mere has a set of shared ideas and values ues—alongside the symbols of these val- consumption of goods and services. that overcomes differences in ancestry ues, such as “In God We Trust” on U.S. America’s cultural heritage anchors and ethnic origin, religion, customs and currency, the U.S. Supreme Court invo- the country in tradition, counteracts the language. cation that includes “God save the United secularizing effect of economic develop- What is perceived as a “crisis of val- States and this honorable court” and the ment that has caused most economically ues” in the United States really is a case “Pledge of Allegiance” recited daily in advanced nations to lose their traditional of mistaken identity. Americans are schools across the country. values, and promotes self-expression. unusual in that they cherish traditional America’s first immigrants, many of values as well as a high degree of self- The first chapter of America’s whom were religious exiles, brought to expression. Even the current debate Crisis of Values: Reality and the New World strong religious beliefs, about values, framed by presidential Perception is on Baker’s Web site, fierce independence, a preference for lim- election politics, serves an important http://webuser.bus.umich.edu/wayneb. ited government and a distrust of formal rhetorical function. Repeated warnings, To contact Baker, send messages to authority. They were joined by independ- public alarm and political and intellectual [email protected]. ent-minded entrepreneurs. Together, the debates about the loss of traditional values religious exiles and risk takers crafted a or a crisis of values remind Americans of unique constellation of American values the ideals that undergird the nation. that continues to exert influence today. These debates also affirm and reinforce The national cultures of most coun- the ideological core of the nation’s sense tries are based on a common ancestry, of community—the values that define language, religion, history, customs and who we are. Such rhetoric is a forceful

DIVIDEND 13 FALL 2004 FACULTY RESEARCH

It’s a Small World MARCIA LEDFORD After All for Directors

of Corporate Boards Gerald Davis Business Professor Gerald Davis says social connections among prominent this intertwined network—like the pri- players in corporate governance contributed to wild inflation of share prices mary hub in an airline’s flight schedule— in the 1990s and the subsequent market collapse. A tightly woven network the researchers re-ran their analysis after removing the 10 most-connected boards. of directors continues to wield influence over the operation, structure, strategy The impact was modest: An increase and character of U.S. companies. from 3.38 to 3.48 degrees of separation in 1982 and from 3.46 to 3.6 in 1999. “The n 1914, future Supreme Court Justice ing practices, corporate alliances, approach short social distances among directors and Louis Brandeis wrote that a small to investor relations, charitable contribu- boards do not require planning by some I inner circle of U.S. banks wielded tions, political ideology and decisions central authority,” Davis and his colleagues enormous economic power and sought to regarding on which stock market to list. wrote in the Strategic Organization paper. control American business and capture its Corporate cronyism even contributed “No particular node or tie is critical for rewards. This de facto financial oligarchy, to the wild inflation of share prices in the maintaining the small world of the cor- Brandeis argued, exercised influence over 1990s and the subsequent market collapse, porate elite, in the same sense that no the nation’s companies through an “end- Davis concludes in the Contexts article. particular router is essential to the opera- less chain” of interlocking corporate tions of the Internet.” boards of directors. In that era, directors It’s a Small World for three powerful banks—National City In a study published last year in Strategic The Bubble Bursts Bank, J.P. Morgan and First National Organization, Davis and colleagues Mina Interlocking corporate connections Bank of New York—served on 169 other Yoo from the University of Washington enable the sharing of experience and corporate boards. and Wayne Baker, professor of manage- insights that lead to better corporate Today, it’s still commonplace for direc- ment and organizations at the Business decisions, Davis says, and also spread tors to serve multiple companies. A tightly School, demonstrated that the interlock- detrimental ideas and practices. woven, remarkably resilient network of ing network of directors is resilient even In the 1990s, for example, the web directors leads the nation’s largest compa- during times of monumental change. of connections accelerated the adoption nies — and spreads ideas, attitudes and The researchers analyzed connections of tactics designed solely to inflate share practices among them, says Gerald Davis, between directors at the several hundred prices—without concern for their long- the Sparks Whirlpool Corporation Research largest U.S. corporations in the 1980s and term effect on the bottom line, he says. Professor and chair of Management and 1990s—a period of economic, social and Companies announced share buyback Organizations at the Business School. corporate upheavals that might be expect- programs that were never implemented, If a flu virus infected the Enron board ed to affect connectivity. Both companies described earnings in laudatory terms they of directors in January 2001, Davis wrote and their directors came and went at a did not merit and even divested profitable in a recent edition of the journal Contexts, high rate—fewer than one in three of companies to avoid being perceived as a the bug could have spread to 650 of the the largest corporations in 1999 also was conglomerate. Meanwhile, Davis says, the Fortune 1000 companies within five among the largest in 1982. Yet Davis and web of relationships among executives, months through directors’ handshakes at his colleagues found the degree of con- directors, financial analysts, auditors and monthly board meetings. nectivity between corporate boards to be investment bankers led to a breakdown of Studies have shown this pervasive virtually unchanged. They reached this corporate governance and a loss of faith in interconnection is not intentional, but conclusion by applying the “small world” the market. Brokerage houses gave com- rather results mainly from executives’ concept—the line of research that popu- panies favorable ratings to acquire financial preference to recruit experienced direc- larized the idea that any two people are services business, auditors skewed the tors, Davis says. It does, on the other connected, on average, by no more than books of corporate clients they relied on hand, have enormous influence over the six “degrees of separation.” They found for lucrative consulting contracts and operation, structure, strategy and charac- the boards of the largest U.S. companies directors failed to adequately scrutinize ter of U.S. companies. The intertwined were separated, on average, by 3.38 steps in their companies’ suspect dealings. network of directors has been shown to 1982 and 3.46 steps in both 1990 and 1999. “The American corporate system is influence companies’ acquisition activi- To test whether a few key connections thick with social connections among the ties, response to takeover threats, borrow- or “linchpins” might be responsible for most important decision makers. This

DIVIDEND 14 FALL 2004 FACULTY RESEARCH

system is highly susceptible to ‘contagion’ among managers,” Davis wrote in Contexts. Redefining How Most of Us “From who serves on boards of directors We Think About Are Poor Judges to which bank underwrites new securities issues and how financial analysts rate and Develop Leadership of Our Own Abilities them—personal connections were cen- tral to inflating the financial bubble and ifty percent of ost of us to its subsequent burst.” all organiza- believe F tional-change M we can Global Ties, efforts fail. One accurately gauge MARTIN VLOET MARTIN MARTIN VLOET MARTIN Shared Ownership reason for this diffi- how our personal culty is change lead- performance and The number of foreign firms listing on ership. Too often we abilities stack up the NASDAQ and the New York Stock confuse leadership against those of Exchange (NYSE) increased from about with a title or our peers, but 170 to more than 750 during the 1990s— position, such as Robert E. Quinn research suggests Katherine Burson raising the question of whether interlocking president or CEO, that we are, in boards are becoming a global phenomenon. and believe that authority is enough to fact, poor judges of our own comparative To investigate, Davis and doctoral stu- alter people and move organizations, says talents, reports Katherine Burson, assis- dent Christopher Marquis studied 209 Robert E. Quinn, the Margaret Elliott tant professor of marketing. companies listed on the NASDAQ and Tracy Collegiate Professor of Business Burson and colleagues from Duke NYSE from the United Kingdom, France, Administration and professor of manage- University and the University of Chicago Germany, Japan, Chile and Israel. In a ment and organizations. report that people at all skill levels are sub- paper written for The Economic Sociology In his book, Building the Bridge As You ject to similar degrees of inaccuracy and of Capitalism, they reported that few of Walk on It: A Guide for Leading Change bias in making interpersonal comparisons. these firms shared directors with U.S. (Jossey-Bass, 2004), Quinn launches a study These errors in judgment are tied to companies or adopted U.S. governance on what he calls the normal state and the perceptions about the difficulty of an practices—although many emphasized fundamental state of leadership. Most assigned task. When the task seems hard, their American listing because it appealed people spend the majority of their time in top achievers underestimate their stand- to investors and boosted share value. “U.S.- the normal state. Although they claim they ings relative to their peers, resulting in listed firms may wear American fashions,” are committed to change, they actually are less accurate predictions. When a task Davis and Marquis wrote, “but they con- committed to remaining comfort-centered appears too easy, poor performers over- tinue to speak in their native tongue.” (staying on the path of least resistance), estimate their relative standings, making In a recent paper for the French jour- externally driven (complying with existing their predictions less accurate. nal Gerer et Comprendre, Davis and Mina social pressures), self-focused (egocentric) “Overestimates of relative ability can Yoo explored how corporate America is and internally closed (neutralizing external lead to frustration, loss and even physical increasingly interconnected through com- signals for change). harm, as in the case of beginning skiers mon ownership by institutional investors. When a person is forced to make deep who attempt to ski advanced trails,” FMR Corporation, the parent company personal change, he or she has to move Burson says. “On the other hand, there of the Fidelity mutual funds, owned 10 forward without control. In effect, that also are significant domains in life where percent of 94 companies in 2001, compared person has to learn to “build the bridge relative ability may be underestimated, so with 13 in 1990. The French financial as he or she walks on it.” In the process, people fail to participate when they would services conglomerate AXA held 10 per- people tend to move from the normal have succeeded.” cent stakes in 35 U.S. companies in 2001, state to a state in which they become Burson and her colleagues conducted a followed by Wellington Management more results-centered, internally driven, series of 10 tasks involving quizzes, trivia Company at 26 and Capital Research other-focused and externally open. and word games to investigate the cogni- & Management Inc. at 18. When people make the shift, they often tive processes underlying judgments of Davis and Yoo found that institutions report they are more focused, feel increased relative standing. Test results revealed that with large stakes in multiple companies integrity, are more connected to others and skilled and unskilled participants were generally don’t seek to influence the firms experience great increases in awareness inaccurate in estimating their relative in which they invest. The researchers and learning. Quinn calls this condition performance. However, exactly who speculate that this “passive” ownership the fundamental state of leadership. appeared to be more or less accurate style may occur, in part, because mutual “Developing leaders is not about getting depended on the difficulty of the task funds don’t want to jeopardize potential them to imitate the thinking and behavior because the perceived difficulty affected contracts—to provide employee benefits of other people who have been successful,” estimates of relative ability, but not actual administration, for example—with the Quinn says. “It is about attracting people ability. companies in which they own large stakes. to the decision of entering the unique The researchers found that estimating state from which their own great thinking one’s performance standing is difficult Dave Wilkins and great behaviors emanate.” regardless of skill level. Contact Quinn at [email protected]. Contact Burson at [email protected].

DIVIDEND 15 FALL 2004 ALUMNI AT LARGE place,” she observes. “What’s Spain and Hong Kong,” she exciting is creating new prod- marvels. “It opened the world ucts, entering new geographies to me.” and exceeding customer Lin scaled back somewhat Putting More expectations.” during 1990-93 after her two Lin discovered her love of daughters were born, and business as a teenager in Junior she and her husband Patrick Achievement. On scholarship began building their dream Pop in Tops at the University of Toledo, house. Then Allied Signal she interned four years with (now Honeywell) offered SANDRA BEACH LIN, MBA ’82 the Dana Corporation, which her the chance to head up its exposed her to every area from new specialty wax business in accounting to production. She Asia. The family was off to was immediately accepted at Singapore. “I have often been Michigan, where she found placed in a first-time position, mentors and enduring friend- building an operation from ships. scratch,” she reflects. “Again, She joined the sales force at it comes down to the need to American Cyanamid, quickly establish credibility and earn absorbing the technology of trust as quickly as possible.” tire adhesion chemicals and And she continued, through holding her own in the male- several more management dominated automotive arena. transitions, including presi- Working from home, making dent of Bendix Commercial cold calls and growing the Vehicle Systems, leading to customer base over a five-state joining Alcoa in 2002. From territory increased her self- truck brakes to bottle caps, reliance and ability to build Lin focuses on three areas: customer relationships. strategic planning, year-to- year operations and develop- ing her team — as individuals and as talent for the Alcoa “I have often been placed in pipeline. She is particularly committed to mentoring a first-time position, building women through such organi- an operation from scratch,” zations as the Committee of 200 and Women Unlimited. She she reflects. “Again, it comes also is active on the Business down to the need to establish School’s Women’s Leadership Council and the Tauber Manu- credibility and earn trust as facturing Institute board. JOHN WHEELER quickly as possible.” Each venue creates new networks. Recently, Lin was ost of us reach for a “We lead the beverage mar- among the Alcoa leaders beverage because of ket by continuously improving instrumental in combining M the drink itself, not key performance needs that “Establish credibility, earn funds from the Committee the bottle cap that seals it. most soft drink consumers their trust.” This became her of 200 and Alcoa Foundation But it’s no small concern to happily take for granted.” first objective in every position to sponsor a Girl Scout pro- Sandra Beach Lin, MBA ’82, Alcoa produces more than that followed. Soon she was gram: From Badge to Busi- president of Alcoa Closure 70 billion closures a year world- responsible for marketing ness. Piloted in Chicago, it is Systems International. “Our wide, from push-pull spouts of eight lines of chemicals, from expanding to several other job is to provide an easy-to-use, sports drinks to peanut butter aerospace to cosmetics, out- cities. “The goal is to teach tamper-evident closure, with lids. Coca-Cola and Pepsi are side the U.S. Two years later, girls what I learned at an maximum eye appeal,” she her biggest customers. she moved into international early age,” she concludes. states. “As a result of our work, Under her leadership, the marketing of medical devices. “Business is an outstanding consumers benefit in ways they company operates 29 manu- “I toured tire factories in career choice for women.” may not be fully aware of: facturing plants in 20 countries Italy and watched airplane fresher, better-tasting products; and is constantly improving sub-assemblies being built in Pat Materka resealable bottles; lowered its nearly 60 varieties of clo- Japan. Then when I shifted packaging costs; product sures. “Packaging is a rapidly to medical products, I saw integrity and ease of opening. changing, competitive market- surgeries being performed in

DIVIDEND 16 FALL 2004 ALUMNI AT LARGE Connecting Urbanites with Nature JOSEPH E. SHACTER, BBA ’82

n 1999, the Chicago Aca- he spent three years as associ- demy of Sciences moved ate director at a boys summer I its native prairie flora and camp in Wisconsin. At North- fauna to a sunny new building, western, he earned a master’s and thus the Peggy Notebaert degree in journalism along Nature Museum was born. with an MBA, with an eye Board members soon real- toward becoming a business ized the museum, devoted reporter. After working for the to environmental education, CBS affiliate in Little Rock, must update its exhibits to Arkansas, Shacter returned to provide visitors a more mem- his native Chicago to manage

orable, hands-on experience. large exhibits at the Museum JOHN WHEELER They hired Joseph E. Shacter, of Science and Industry, BBA ’82, as president and including the Titanic exhibit. To enhance the visitor experi- premiere of Animal Grossology. CEO to do the job. To enhance the visitor Last year, the museum ence at the Nature Museum, Shacter had managed major experience at the Nature mounted an exhibit that grew exhibits at Chicago’s Museum Museum, Shacter and his staff Shacter and his staff began by out of Chicago Metropolis of Science and Industry. He began by defining the muse- 2020, a nonprofit organization also brought a strong business um’s role. “It goes back to defining the museum’s role. created to offer ideas for man- background, including a BBA Marketing 101. What’s the “It goes back to Marketing aging future population growth from the Michigan Business niche, where’s the need and in the Chicago area while School and an MBA from how are we fulfilling that 101. What’s the niche, limiting urban sprawl. The Northwestern University. need?” he says. By focusing where’s the need and how exhibit showcased the projected Board members were attracted on environmental education consequences of current life- by his business knowledge and and encouraging urbanites to are we fulfilling that need?” styles on the Windy City, familiarity with nonprofits — reconnect to the natural world, including longer commutes and a sought-after combination in the Peggy Notebaert Nature the loss of 500 square miles museum management. Museum occupies a special on” habitat that features a of open land to development. “Traditionally, museums space in Chicago’s rich cultur- two-story tree house, and a Shacter also is excited about were run by curators who al repertoire. Its butterfly two-story home inside the the “greening” of the museum’s would become museum man- sanctuary—an airy atrium museum that models environ- building, which began this agers,” Shacter says. In the where dozens of varieties of mentally friendly behaviors spring. Rooftop plantings, last two decades, however, butterflies flit around and and introduces visitors to the climbing native vines and a running a museum has land on visitors—also offers a animals that share our homes. limestone wall that resembles become more akin to running respite from midwestern win- The museum also hosts ravine walls in Illinois will a business. Increasingly, “not- ters for visitors, who number temporary exhibits. Grossology: mirror the museum’s mission for-profit institutions are almost 200,000 annually. The (Impolite) Science of the and brand identity: an oasis expected to bring in their By this October, the museum Human Body was one of where native flowers flourish own revenue,” from admis- will have redone five permanent the most popular. Exploring and butterflies alight on visi- sions, facility rentals, stores exhibits to include more live every imaginable bodily func- tors’ shoulders. and cafes, Shacter explains. animals and make the exhibits tion, the exhibit included a Shacter has spent most of more interactive: the butterfly large-scale replica of human Mary Jean Babic his career working for non- sanctuary, an exhibit on how skin, a burp machine and a profit organizations. After rivers work, a midwestern vomit center. This fall, the graduating from Michigan, wetlands gallery, a “hands- museum will host the world

DIVIDEND 17 FALL 2004 T HE M ICHIGAN D IFFERENCE: L EADING IN T HOUGHT AND A CTION University Launches $2.5

PAUL JARONSKI

ore than 1,200 donors and President Mary Sue Coleman and members of the University capital campaign leadership team join friends of the University of donors and friends in “Hail to the Victors” at the campaign kickoff rally in Rackham Auditorium. “Our M Michigan, including many students and alumni challenge us. What we do in this campaign will resonate for decades,” she said. Business School alumni, gathered in Ann Arbor on May 14 to launch the four-year University’s core academic mission: $400 honorary chairs of The Michigan public phase of the University’s $2.5 bil- million for student scholarships and fellow- Difference campaign. The University of lion capital campaign to support scholar- ships; $425 million for faculty support; $625 Michigan has had such a profound influ- ships, endowed professorships, academic million for programs and research; $500 ence on my life that I believe strongly in programs, facilities and other projects. million for facilities; $150 million for labs, giving back to this institution. We are proud Michigan’s goal is one of the largest in infrastructure and discretionary support; to lend our support and commitment to higher education. and $400 million in bequests. Since the quiet this effort that will make a difference to “The Michigan Difference will focus phase of the campaign began in 2000, students and faculty now and in the on maintaining and building the depth of more than $1.36 billion has been raised. future, and in turn to the state, the nation excellence that is the foundation of the Former President Gerald R. Ford and and the world. University of Michigan’s pre-eminence as Betty Ford are honorary chairs of the a public research university,” said campaign. Ford, a 1935 Michigan gradu- Betty Ford and former President Gerald R. Ford President Mary Sue Coleman. “Fourteen ate who has held leadership roles in two of the University of Michigan’s colleges previous University campaigns, said, and programs rank among the top 10 in “Betty and I are delighted to serve as the nation, a claim no other university can make. Our breadth of accomplish- ment and activity—in Ann Arbor, “As a leader in previous campaigns for Dearborn and Flint—gives Michigan stu- dents and faculty an unparalleled array of the University, I have seen over and over opportunities. The title of the campaign, that our donors have always provided a The Michigan Difference, captures the remarkable capability of the University of substantial margin of excellence, making Michigan to make a difference for our the difference between a good university students, for our state and for society.” The campaign focuses on the and a great public institution.”

DIVIDEND 18 FALL 2004 Billion Capital Campaign

“Fourteen of the University of Michigan’s colleges and programs rank among the

top 10 in the nation, a claim no other STEVE KUZMA university can make. Our breadth of accomplishment and activity— in Ann Arbor, Dearborn and Flint— gives Michigan students and faculty an unparalleled array of opportunities.” “As a leader in previous campaigns for

the University, I have seen over and over STEVE KUZMA that our donors have always provided a Sanford Robertson, BBA ’53, MBA ’54, left, and Stephen M. Ross, BBA ’62, chat at the May 14 substantial margin of excellence, making reception and dinner celebrating the launch of the Business School’s fundraising campaign. The the difference between a good university evening gala was one of many University campaign-related events held May 14-15. and a great public institution. We look to Enrich the Student Experience. Michigan students study with faculty whose excellence has been rewarded with prestigious prizes and nominations to the STEVE KUZMA nation’s most respected scholarly societies. Fundraising will provide for student scholarships and fellowships, programs and new facilities to make the student experience the best it can be. Inspire a Life of Arts and Culture. In the classroom and in its museums and theaters the University stimulates creativ- Speaking at the school’s May 14 campaign ity and engages tomorrow’s performers Dean Robert J. Dolan, left, and Regent David Brandon kickoff dinner held at the University’s new and artisans. The University educates Palmer Commons, President Mary Sue actors, architects, dancers, musicians Coleman told donors, “Our Business School and designers, while exposing the entire is one of the best in the country and student body and the community to our aspirations must continue to be high.”

outstanding cultural offerings, enriching STEVE KUZMA STEVE KUZMA the quality of life for all. Advance Health and Society’s Well- our supporters once again to join us in being. University doctors and researchers, making The Michigan Difference cam- social scientists, public policy experts and paign a success.” scientists obtain new knowledge, introduce In setting priorities for the campaign, treatments, provide insights and identify the University’s 19 colleges and schools, trends that advance healthcare delivery, three campuses and numerous other units inform government decision making, collaborated to define five themes that care for the planet, increase understand- Left to right, Thomas C. Jones, BBA ’68, MBA express core activities across the institution. ing and improve the human condition. ’71, and Michael Jandernoa, BBA ’72, talk Fulfill the Promise of Science and Prepare Leaders for the Local and with Focus: HOPE co-founder Eleanor Josaitis Technology. University colleges, schools Global Community. The University and Joseph Petrosky, MBA ’91, at the Business and departments collaborate to discover puts force behind its maxim of “Leaders School’s fundraising kickoff. knowledge and develop technologies that and Best” by imbuing students with a improve and save lives, create innovative commitment to citizenship, by encourag- markets and business practices, and solutions for sustaining the environment ing deeper knowledge of various cultures by imparting an appreciation of our and make information technology secure and understanding of the world’s global connectedness. and accessible for all.

DIVIDEND 19 FALL 2004 Business School Alumni Lend Leadership, Expertise to Fundraising Campaign

hen President Mary Sue Coleman BBA ’56, MBA ’63. recruited leaders for Michigan’s Campaign chairs and vice chairs carry W capital campaign, she tapped on the campaign’s day-to-day work. They a deep bench—the Business School— STEVE KUZMA talk to donors and host events. Honorary for talent. campaign leaders assist the campaign More than a third of the 28 members through their public endorsement and of Michigan’s National Campaign Leader- willingness to share their prestige with ship Cabinet have Business School con- the endeavor. nections, and four of the eight campaign William Davidson, BBA ’47, and co-chairs are alumni: Michael Jandernoa, Allan Gilmour, MBA ’59, both of BBA ’72, of Grand Rapids, Michigan; Detroit, and Nicki and J. Ira Harris, Sanford Robertson, BBA ’53, MBA ’54, of BBA ’59, of Palm Beach, Florida, are Left to right, Joel Tauber, BBA ’56, MBA ’63, San Francisco; Richard Rogel, BBA ’70, honorary co-chairs as are Ann Lurie Kathleen Dolan and Stephen M. Ross, BBA ’62 of Vail, Colorado; and Stephen M. Ross, (widow of Robert H. Lurie, BEEIE ’64, BBA ’62, of New York City, who recently and MSE ’66) of Chicago and Helen and gave $100 million to the school. Samuel Zell, AB ’63, JD ’66, also of Business School alumni also are Chicago. Ann Lurie and Samuel Zell are prominent on the vice chair roster, the driving forces behind the Samuel Zell

STEVE KUZMA including Detroiters Stanley Frankel, & Robert H. Lurie Institute for Entre- MBA ’64, Doreen Hermelin (widow of preneurial Studies at the Business School. David Hermelin, BBA ’58) and Joel Tauber,

Left to right, Cliff Sheldon, MBA ’65, Betty Barfield and John Barfield, a member of the Visiting Committee

William Davidson Allan Gilmour Nicki and J. Ira Harris STEVE KUZMA

Michael Jandernoa Ann Lurie Sanford Robertson More than 125 alumni, donors, faculty and student leaders enjoyed the music of a jazz ensemble from Ann Arbor’s Community High School at the May 14 reception and dinner marking the beginning of the four-year public phase of the Business School’s $350 million fundraising campaign.

Richard Rogel Helen Zell Samuel Zell

DIVIDEND 20 FALL 2004 T HE M ICHIGAN D IFFERENCE: L EADING IN T HOUGHT AND A CTION Dean Dolan: Alumni Support Critical

n spring 2003, Dean Robert J. Dolan William Davidson, BBA ’47, chair- “Michigan’s programs require great hearts unveiled a strategy to create a distinc- man, president and CEO of Guardian I tive Michigan approach to business Industries Corporation, a Michigan- and minds,” Dolan says. “Our programs education. Today, that strategy is the based glass products manufacturer. In also require state-of-the-art facilities due cornerstone for the school’s $350 million 1992, Davidson, honorary co-chair of campaign, The Michigan Difference: the University fundraising campaign, to their multidisciplinary nature, their Leading in Thought and Action. The cam- gave $30 million, the largest gift at the team orientation and their global scope.” paign has earned endorsements from some time associated with the University of the school’s most prominent and gen- and the school, to establish the insti- erous donors, including Stephen M. Ross, tute. Through the institute, faculty $4 million from Samuel Zell, AB ’63, JD William Davidson, Sanford Robertson, and students help nations around the ’66, chairman of the board of Equity John R. Tozzi and Samuel Zell. world make successful transitions Group Investments LLC in Chicago, Students, alumni, faculty and business from a command economy to a mar- to advance the work of the Samuel leaders have embraced the school’s strate- ket economy. Davidson also recently Zell & Robert H. Lurie Institute for gic position, which is anchored on four gave an additional $5 million to the Entrepreneurial Studies begun with core values: University for new facility construction. $10 million in 1999. In addition to Develop broad-based intellectual $5 million from Sanford Robertson, being the driving force behind the Zell capital with impact BBA ’53, MBA ’54, principal founder Lurie Institute, Zell serves on President Innovation in business education of Francisco Partners in Menlo Park, Coleman’s Advisory Group and the Capitalize on co-creation opportunities California. Robertson is co-chair of Michigan Law School Visiting Connect theory and practice the University’s $2.5 billion fundraising Committee. campaign. He is a member of President “People in the work world see what Mary Sue Coleman’s Advisory Group, Alumni and friends across the country we are doing as a way to differentiate the the Ross School of Business’ Campaign are being invited to learn more about the Ross School of Business from the indus- Cabinet, the Western States Campaign strategy that has captured the imagination try as a whole. The feedback is we are Committee and the University’s and financial support of donors, and to on the right track,” says Dolan. “We talk Investment Advisory Committee. examine the reality behind The Michigan about the need to develop leadership Robertson’s capability, to help people do more than $5 million solve well-defined problems. We want to gift in help students figure out what the issues expendable are and handle complicated objective funds allows functions encompassing profitability and Dolan to a corporate/social responsibility motive.” respond to In a dramatic announcement in Hale the school’s Auditorium the morning of September 9, most press- the University announced that New York ing needs City real estate developer Stephen M. Ross, and exciting BBA ’62, had given $100 million to the initiatives. school. Earmarked for facilities and $2 million endowment, the gift is more than three from John times larger than any received in the R. Tozzi, Professor Tyler Shumway teaches in the 5,800-square-foot Tozzi Electronic University’s history and the largest ever MBA ’67, Business and Finance Center. The Tozzi Center includes a financial analysis and given to a business school. Prior to the and trading floor classroom, a flexible and wireless electronic classroom and an E-lab announcement, the Regents in special Georgene seminar room. The center is equipped with the latest in live financial data feeds, session voted to rename the school the M. Tozzi for information services, and research and trading tools to allow students to experi- Stephen M. Ross School of Business at the state-of- ence the look and feel of a trading floor environment. PHOTO BY STEVE KUZMA the University of Michigan in honor of the-art John the Detroit native and founder, chairman R. and Georgene M. Tozzi Electronic Difference: Leading in Thought and and chief executive officer of The Related Business and Finance Center in Action. “The Ross School of Business’ Companies, L.P. the Electronics Resources Building. long-term success depends on this Capital The school, under Dolan’s leadership, John Tozzi is president and CEO of Campaign. Our action-based learning already had raised $100 million before Cambridge Investments Ltd. of San approach is both extremely high-value Ross made his intentions known. Lead Francisco and of Jackson, Wyoming, and high-cost. How are we going to gifts include: an investment management firm that make it happen? Alumni support is a Nearly $20 million for support of the specializes in the energy industry. critical piece of the story,” Dolan says. William Davidson Institute from

DIVIDEND 21 FALL 2004 Intellectual Capital “It’s begin- Generating intellectual capital with ning to look impact—new ideas developed through as if a positive research that faculty quickly transfer to the workplace classroom and share with the world—forms atmosphere is the school’s foundation. worth devel- People and the intellectual capital they oping, and create through research are high on the not merely campaign priority list. The school seeks to for its own raise funds for endowed professorships, sake; it may additional clinical faculty and research. be the foun- The schools that Michigan competes dation of true Right, C.K. Prahalad, the Harvey C. Fruehauf Professor of Business Administration and with for the best faculty talent all receive organizational professor of corporate strategy and international business, talks with students at the substantial infusions of cash through success,” India Institute for Information Technology (IIIT)-Bangalore campus about outsourcing alumni support, notes Dolan, quickly Fryer con- as part of the opening of the school’s new Center for Global Resource Leverage: adding, “These schools also establish the cludes. To India, in Bangalore. The center is bringing together scholars to study managerial issues market level of what we must pay to hire learn more and emerging practices in leveraging global resources and accessing new markets. the best people.” about POS, One of the most visible examples of big visit the POS idea research is Positive Organizational special report at www.bus.umich.edu/ Innovation in Scholarship (POS), a new movement NewsRoom/SpecialReports/POS.htm. Business Education pioneered at the Ross School of Business. Dolan cites research being done by The school provides innovative educa- Harvard Business Review (HBR) has iden- C.K. Prahalad, the Harvey C. Fruehauf tional experiences through a core curriculum tified POS as one of 20 “Breakthrough Professor of Business Administration and and cutting-edge electives aided by advanced Ideas for 2004.” Drawing on path-breaking professor of corporate strategy and inter- technology. work in the organizational and social national business, and his student team “The pace of change in the business sciences, POS focuses on the dynamics on ways to unleash entrepreneurship and world today is obvious. What this means in organizations that develop human serve the poor of the world profitably as is that it is no longer sufficient to be up to strength, produce resilience, foster vitality another example of creating intellectual date, monitoring changes that occur. If and cultivate extraordinary individuals. capital with impact. Their work is featured you really want to be on top, you have to HBR Senior Editor in The Fortune at the Bottom of the Pyramid, be the source of new ideas. Innovation in Bronwyn Fryer published by Wharton School Publishing in research and in teaching methodologies is a writes, “POS August. “Given that the project involved hallmark of the Ross School of Business,” takes a rigorous 25 students working in five countries, we Dolan says. look at the more couldn’t fund this kind of research from One example is the school’s new widespread social general operating funds,” Dolan says. Leadership Transition Workshop (LTW) constructs, values In June, the school opened its Center for second-year MBAs, offered for the first and processes that for Global Resource Leverage: India, a time to the Class of 2004. The weekend- make organizations new research center in Bangalore, India. long life skills workshop earned high great. And because it Directed by Prahalad and M.S. Krishnan, marks from the 350 students, 50 spouses measures results, POS the Michael R. and Mary Kay Hallman and more than 30 alumni volunteers who goes beyond platitudi- Fellow and professor of business infor- participated. nous talk about the mation technology, the center is bringing LTW helps students make a smooth virtues of being good.” together scholars from the Ross School of transition to corporate life. “We want to Studying such success- Business to study managerial issues and ensure MBAs are well prepared for a suc- ful firms as Southwest emerging practices in leveraging global cessful career launch,” explains Graham Airlines, POS researchers resources and accessing new markets. Mercer, assistant dean for strategic plan- find that employee happi- The school’s goal is to become a world ning and special projects. He describes ness pays for companies. leader in research at one of the leading LTW as the second “bookend” in the edges of change—global restructuring of MBA curriculum, with the Leadership Cutting-edge research fea- industries and global resource leverage, Development Program being the first. tured in such books as Dolan says, explaining that the center is a Here are some excerpts from e-mail Positive Organizational response to the emerging pattern of restruc- messages Dolan received from LTW par- Scholarship: Foundations turing of industries and the value chains of ticipants: of a New Discipline and firms. Increasingly, managers are focusing “The industry workshops were excel- The Fortune at the on methods to leverage resources globally, lent. I attended the consulting breakout Bottom of the Pyramid he notes, and India presents a promising session, which had two presenters: one are examples of how opportunity to do that. “When we say from McKinsey and one from PWC. faculty develop and create intellectual capital, we’re really We were still going strong when the share new ideas in talking about path-breaking research and time ran out.” Peter Conway, MBA ’04. the classroom and that kind of research requires significant “I want you to know these types of with the world. investment,” Dolan adds. events do truly help our school differ-

DIVIDEND 22 FALL 2004 T HE M ICHIGAN D IFFERENCE: L EADING IN T HOUGHT AND A CTION

entiate itself from the rest of the top- Practicum students use the University this partnering, this co-creation, allows tier schools and, in a way that may as a living lab. Working in small teams us to do is offer the unique capability to have been unintended, have a pro- with researchers who have taken steps to research truly multidisciplinary problems found impact on alumni such as me. bring their research to market through and also offer students the kind of train- I believe every alum who has a chance the University of Michigan Technology ing that crosses boundaries, the training to experience this type of weekend Transfer Office, students are involved at they need if they’re going to be the leaders would be rejuvenated, and this would an early stage in the process, analyzing in the boundary-less world of today.” refresh their belief in the values of a market opportunities and resources A new dual master’s degree in business Michigan education.” James E. needed and preparing a first draft of a administration and educational studies Perkins, MBA ’91, vice president, business model and a financial model offered in cooperation with the School of human resources, Citigroup Inc. derived from it. Education is an example of what can be “I cannot tell you how happy I am to “They’re not expected to know the accomplished when University units col- see the school is now taking the time details of the technology or life science laborate. It prepares graduates to design to help second-year MBAs transition concepts involved but are closely involved and lead charter schools and to work in back into the workforce by giving with scientists who do. An early-stage private schools, professional development them a clear and impactful reminder business plan will be the deliverable. programs within companies and tradi- of just who is truly important as you Successful high-tech entrepreneurs and tional educational publishing companies. move through your career. As an venture capitalists are serving as mentors,” “The increasing involvement of the alum, it is great to see the Michigan Brophy says. private sector in education at all levels— Business School continue to have such Executive Education also is under- from charter elementary schools to talented students and an amazing pro- going a transformation, trading in its profit-centered graduate schools—along gram. It was a strong reminder of the broad product line offering for a tailored with the clarion calls for virtually all benefits of staying connected to MBS portfolio of programs that capitalize on organizations to become better learning long after one graduates.” AnneMarie faculty expertise and pinpoint specific busi- organizations, suggest that the integra- Suarez-Davis, MBA ’99, brand man- ness needs. New “Centers of Excellence” tion of business acumen and educational ager for Apple Jacks and Corn Pops, focus on topical areas that mirror the principles is a highly relevant degree Kellogg Company. multidisciplinary nature of the issues program for leaders of 21st-century facing businesses today. organizations,” says Kim Cameron, pro- The recently revised MBA curriculum Michigan’s Executive MBA program, fessor of management and organizations reflects the school’s commitment to con- launched in fall 2001 and ranked seventh and professor of higher education. tinually innovate and improve, says by U.S. News & World Report magazine The Erb Environmental Management Associate Dean for Degree Programs in 2004, prepares mid-career professionals Institute, a joint program of the Ross Eugene W. Anderson, who spearheaded from diverse backgrounds to lead and School of Business and School of Natural the two-year review process that led to create value in their organizations. Resources and Environment, endowed by faculty approval of the new curriculum The school is raising funds for the core Frederick A. Erb, BBA ’47, and his wife in 2003. curriculum, cutting-edge electives and Barbara, is another example of co-creation. For members of the Class of 2006— scholarships. “If Michigan is to continue the first to experience the school’s revised to innovate, we must have the resources MBA curriculum—benefits include care- to invest in program development,” fully sequenced core courses, more electives Dolan says. and the opportunity to focus on specific areas of interest prior to internship inter- views. The changes will give MBAs a leg Capitalize on Co-creation up in the job market, Anderson predicts. Opportunities Among recent additions to the BBA Instead of receiving a pre-packaged set curriculum is a practicum course titled of ideas, students join with faculty, staff, Finance Research Commercialization, alumni and business partners to co-create designed by David J. Brophy, associate educational experiences that fit the needs professor of finance, and offered for the and interests of each individual. Also, the first time this fall. Second-year BBAs and Ross School of Business works with other second-year MBAs enrolled in the course University of Michigan schools and colleges— are working on technology-based Engineering, Natural Resources and University start-ups. Environment, Medicine, Education, Social Right, Viveca Chan, chair and CEO of Grey Global “The basic premise is that we’re moving Work and Law —on complex issues that Group China, an integrated marketing communi- toward an intellectual property-based world. benefit from a multidisciplinary approach. cations group, talks with students at the 14th For the U.S. to maintain leadership, partic- “One of the key assets of the Ross Annual Asian Business Conference (ABC) about ularly with the growth of outsourcing, we School of Business is our position within China and the new global economy. Through must leap ahead. Higher and higher tech- one of the great research universities events such as the ABC, the school’s largest and nology is part of the answer. This involves of the world,” says Dolan. “Everywhere longest-running student-organized conference, disclosing inventions, defining markets, you look around campus you find a great students hone their leadership and organiza- justifying patents and moving ahead to intellectual partner for studying the most tional skills and enliven the school’s intellectual commercialization,” explains Brophy. important problems in the world. What environment. PHOTO BY STEVE KUZMA

DIVIDEND 23 FALL 2004 Connect Theory ity related to the nation’s obesity epidemic?” and Practice The competition, launched in 2002, Action-based learning and interdisciplinary, honors Walter Shipley, retired chairman team-oriented situations develop leaders and of the board of the Chase Manhattan ideas that change the world. Corporation and Chase Manhattan Bank, “An essential element of our MBA his leadership and the importance he program is the melding of theory and placed on the social and ethical impact of practice. Though we know it is essential business decisions. to impart basic skills and knowledge to In April, the school’s Delta Epsilon Chi our students in the classroom, the true (DEX) Quiz Bowl team, comprised mostly way in which we develop their leadership of undergraduate students, won its third capability is through our action-based international championship. The Michigan Scott Baron, MBA, ’04, shown here at the 2003 team, which has dominated the Quiz Bowl American Wind Energy Association Conference learning programs,” Dolan says. “Our hallmark action-based learning program event since the chapter was founded four in Austin, Texas, received the school’s MBA years ago, also won in 2001 and 2003. Entrepreneur of the Year Award in 2004. is the Multidisciplinary Action Project (MAP) in which, for the final seven DEX is a professional development busi- ness club open to all majors; most members The Erb Institute’s educational arm, the weeks of their first year at the school, all our MBA students go out into the world are pre-business or business students. Each Corporate Environmental Management year, DEX participates in major competi- Program (CEMP), was launched in 1992 of practice where they tackle real-world problems.” tions at state and international career and offers a wide-ranging curriculum development conferences. leading to both the MBA and Master of Richard H. Rogel, BBA ’70, who has worked with students in the MAP Two months later, three promising Environmental Studies degrees. CEMP young brand marketers from Michigan also supports experiential education program and summer internships, says, “I think it totally broadens their horizons represented the United States at the inter- through internships and team projects in national finals of the L’Oréal Marketing the business and nonprofit sectors; pro- and gives them a lot of practical experi- vides academic enrichment through sem- ence. I think that is absolutely critical inars, executive education, lectures and to their education.” Rogel of Avon, Colo- special conferences; and supports multi- rado, is former chairman and chief exec- disciplinary research on business and the utive officer of the Preferred Provider environment. Organization of Michigan, a co-chair of This spring, CEMP student Scott the University of Michigan’s fundraising Baron, MBA ’04, received the school’s campaign and a member of the advisory MBA Entrepreneur of the Year Award. board of the Samuel Zell & Robert H. Baron was a finalist for the best overall Lurie Institute for Entrepreneurial Studies. business plan at the 2004 Global Social In 1996, he and his wife Susan established Venture Competition, which provides a an endowed scholarship to assist business global forum for entrepreneurs to show- school undergraduates with financial case their plans and for investors to sup- need. Each year up to 10 business stu- port groundbreaking social ventures. The dents receive awards. In addition to the business school endowment, the Rogels Left to right, Jennifer Trepeck, Rebecca Paroby Samuel Zell & Robert H. Lurie Institute and Jaclyn Podor, all BBA ’05, won the U.S. for Entrepreneurial Studies helped Baron established the Rogel Scholars Program, which supports out-of-state undergrad- finals in the L’Oréal Marketing Award competition prepare for the competition held at the in New York City this spring. London Business School in April. His uate students at Michigan. Their $22 plan focused on distributed generation million gift is the largest the University has received for financial aid. Award competition in Paris. The team microgrids in unelectrified areas of devel- composed of undergraduate business stu- oping countries. From MAP to business competitions, Michigan students team up to put into dents Rebecca Paroby, Jaclyn Podor and Many Fridays from September to April, Jennifer Trepeck, all BBA ’05, took top the school’s Ford Conference Center is the practice what they learn in class, notes Dolan. In March, Michigan business honors at the U.S. national finals on site of panel discussions and lectures on April 28 in New York City, defeating business topics organized by student clubs. students won the $20,000 first-place prize in the Walter V. Shipley Business teams from Princeton University, the Through student-led conferences—from University of Pennsylvania, New York Entrepalooza, the European Business Con- Leadership Case Competition “Meeting Ethical Challenges in the Business World.” University, Spelman College, Morehouse ference and FuturTech to the Women in College, Clark Atlanta University and Leadership Conference and the Black The team—Tony Pandjiris, Ed Chao, Karimah Malcolm and Russel Weir, all the Fashion Institute of Technology. Business School Students’ Annual Con- “The Michigan difference is clear: We ference and Alumni Weekend—Michigan MBA ’05 —proposed the award-winning case solution to the question: What would are leading in thought and action,” Dolan business school students enhance the intel- says. “We are confident we are on the right lectual environment for classmates and you do if you were Roger Deromedi, CEO of Kraft Foods Inc., facing a number path. We need alumni support as we seek the wider community while honing their to ignite young minds, develop fresh and own leadership and organizational skills. of marketplace challenges, including increased competition and negative public- impactful ideas on business practice and

DIVIDEND 24 FALL 2004 T HE M ICHIGAN D IFFERENCE: L EADING IN T HOUGHT AND A CTION

continue our legacy of excellence. “Michigan’s programs require great hearts and minds,” Dolan continues. 2004 Class Gift “Our programs also require state-of-the- art facilities due to their multidisciplinary GRADS SUPPORT TELECOMMUNICATIONS CENTER, nature, their team orientation and their global scope.” Ross’ $100 million gift, SCHOLARSHIP AND SPEAKER SERIES three-quarters of which is earmarked for facilities, moves the school closer to the embers of the Michigan Business located on the second floor of William goal of a functional, unified, state-of-the- School Class of 2004 wrapped Davidson Hall, near the Office of Career art campus that supports the learning M up the academic year with a Development recruiting interview rooms. community of the future, Dolan says. He generous farewell gift to the school: a All members of the Executive MBA hopes to bring a proposal to the Regents record $539,182 in donations and pledges. class contributed to their class gift, raising for discussion and approval later this Former MBA Global Blue president $244,065 for an Executive MBA Speaker year. He also acknowledges additional Anuja Rajendra, who presented a check to Series. funding beyond the $75 million from the Dean Robert J. Dolan, noted the high stu- Graduates presented their gifts and Ross gift will be needed to provide the dent participation rate in this year’s cam- pledges at an April 30 celebration under world-class facilities Ross, he and others paign: 97 percent of MBAs and 46 percent the portico prior to commencement. envision. of the BBAs pledged their support over the Dolan thanked the graduates for their In announcing the Ross gift, President next two years. Seventy-nine percent of the generosity, noting it “signals students’ Mary Sue Coleman said, “Steve Ross’ students in the MAcc class contributed to continuing commitment to the school.” donation will animate every facet of the their class gift, an alumni scholarship. Class Gift Campaign leaders were: school’s ambitious vision for the future, Students in the MBA, MAcc and BBA BBA—Jonathan Gleicher, Kyle Yam and will ensure its continued reputation programs raised $295,117. MBA and and Tina Wung as among the very best business schools BBA gifts and pledges funded the con- MBA—Tara Backhaus, Jeff Bluestein, in the world.” struction of a telecommunications center Nick Hailey, Ruchi Misra, Anuja With his gift, Ross joins an elite group that features private phone booths, copy Rajendra and Sunil Thakur of Michigan philanthropists, including and fax machines, and Internet services MAcc—Ted Kanluen, Ann Mickley Horace and Mary Rackham, who endow- in a lounge-type setting similar to that and Adam Wise ed the Horace H. Rackham Graduate found at airports and hotel business cen- Executive MBA—Dan Dolan, Dan School and the Rackham Building; ters. The center, which opened this fall, is Salinas and Donna Zobel William W. Cook, who endowed the Law School; and William Davidson, who established the William Davidson Institute. Looking back on his days at Michigan, Bill Davidson says, “I was always very much interested in sports. I joined a fraternity. We played softball games — probably would have been better doing a little more studying than playing, but I enjoyed the life.” Davidson, who continues to enjoy sports and life, owns three professional sports teams recently in the spotlight: Donna Zobel, MBA ’04, presents the Executive MBA class gift to Dean Robert J. Dolan. the Tampa Bay Lightning, which won In the background, left to right, are Sunil Thakur and Jeff Bluestein, both MBA ’04. hockey’s Stanley Cup in June; the Detroit Pistons, which captured the NBA cham- pionship, also in June; and the Detroit Shock, the 2003 Women’s National Basketball Association champions. When it comes to donating money, Davidson says, “I really don’t have much to say to other donors. Each one of them has to find their reasons for giving. The only thing I would say is once you’ve made your fortune so to speak and you have excess monies, clearly an area that you want to give major consideration to Presenting the Class of 2004’s gift check to Dean Robert J. Dolan, left to right, are Jonathan Gleicher, is education.” BBA ’04, Ann Mickley, MAcc ’04, Tina Wung, BBA ’04, Kyle Yam, BBA ’04, Sunil Thakur, MBA ’04, Jeff Bluestein, MBA ’04, Ted Kanluen, MAcc ’04, Anuja Rajendra, MBA ’04, Tara Backhaus, MBA ’04, Ruchi Misra, MBA ’04, and Nick Hailey, MBA ’04. PHOTOS BY D.C. GOINGS

DIVIDEND 25 FALL 2004 Two Men, One Vision With $100 Million Gift, Steve Ross

STEVE KUZMA T HE M ICHIGAN D IFFERENCE: L EADING IN T HOUGHT AND A CTION Honors the Past, Looks to the Future

he delicate transaction that would way of putting it. Then, with nothing Michigan had utterly transform the University of decided, but with the sense that some- spent at least T Michigan Business School began thing big had begun, they parted. $30 million with a conversation between two men sit- on its physi- ting comfortably in an elegant but unpre- urely by coincidence, Bob Dolan is cal plant in tentious corner office on the ninth floor P one of the world’s leading experts in the last five of 625 Madison Avenue in New York the field of pricing. His published case years. City in September 2003. The tone was studies, written during 21 years at the Then casual, the topics commonplace—sports, Harvard Business School, have sold more came cost business, kids. Then Dean Robert J. than a million copies. Now, quite suddenly estimates for Dolan raised the key item on his agenda. and unexpectedly, he found himself KPF’s earli- “Well,” Dolan said, “we have this wrestling with the most important pric- est studies— fundraising campaign coming up.” ing problem of his career. It was the prob- more than “Yeah,” said his host, “I know.” They lem of how to price a commodity that $100 million. laughed. essentially has no price—the name and And this was “Well, Steve, have you thought about reputation of the school he leads, the not for a plan what we might be able to ask you to do?” alma mater of some 36,000 alumni and to build a Stephen M. Ross, BBA ’62—founder many thousands to come. new facility and chairman of The Related Companies, He knew from his fundraising team that but simply to PETER SMITH arguably the largest real estate firm in the naming a business school hadn’t come fix up the old “It is extremely gratifying to me U.S., developer of Time Warner Center, cheap lately—$62 million for an institute one. Dolan to be able to provide the gift the $1.7 billion complex overlooking the at the Darden School of Business Admini- was stunned. that will have an enduring southwest corner of Manhattan’s Central stration at the University of Virginia; Yet from impact on the University’s Park—said that yes, in fact, he had been $60 million for the Garvin School of Inter- faculty, ability to incorporate Dean thinking about that. national Management in Arizona. Any gift alumni and Dolan’s vision of becoming “I really want to help you so I figure in this range would far exceed the largest students, he the world’s foremost business fifty minimum,” Ross said. He meant single gift ever given to Michigan—$33.2 was hearing school,” Steve Ross, right, said. $50 million. “But what would it take to million from the Lincoln Knorr estate. a drumbeat name the school?” But Dolan also knew that even Ross’ for a transformative change. “People were The dean had thought about how he extraordinary offer of $50 million would saying, ‘Let’s do this right,’” he said. “‘You would answer such a question. not approach the cost of the physical have to do it for the long-term viability of “Well, that would be a pretty big num- improvements the school needed to be the school.’” ber,” he said. “But if that’s what you’d like the best business school in the nation— Then there was the signal that a trans- to do, Steve, I’d really like to work with a goal that he and Ross shared. Coming forming gift would send, both inside and you to make that happen.” to Ann Arbor from Boston in 2001, Dolan outside the campus. “I was thinking, Ross said, “You know, my uncle had found a physical plant that simply ‘What’s the number that will get the school named Ohio State.” did not meet the needs of business educa- excited?’” Dolan recalled. “What’s the Dolan knew that very well. He knew tion in the 21st century. Professors were number that really says, ‘Wow! Michigan the little-known story of two separate teaching case studies — a form of instruc- is a player against Harvard, Northwestern, fortunes made by members of the same tion that demands horseshoe seating— Wharton, all those’? family, first Max M. Fisher, the Detroit in classrooms shaped like bowling alleys. “In my own mind, I got fixed on the industrialist and philanthropist, who Students were required to work in groups figure of $100 million.” endowed the business school of his alma in a complex that has only a handful of But how would that figure strike Steve mater in Columbus; and now Max’s sister’s group study rooms. On the city block that Ross? son, Steve Ross, who left Detroit for New comprises the school, newcomers were “He wanted to help the school as much York in the 1960s to make his own way. greeted by no fewer than five discordant as he could,” Dolan said. “And it was “Two people from the same family architectural styles. From architects at something I was pretty sure he could do.” naming a business school,” Ross mused. Kohn Pedersen Fox (KPF), the New York But would he? And why would he? “That would be really cool.” firm hired to assess the school’s physical Why would anyone? The dean said: “Steve, the school has needs, Dolan learned that of the top 13 had some great partnerships between deans U.S. business schools, Michigan ranked teve Ross grew up in the 1940s and and donors. I’d like you to take a leader- twelfth in square feet per student. (Only S ’50s around Livernois and Six Mile ship role for this decade and beyond.” Columbia, packed into upper Manhattan, Road in Detroit, a diverse neighborhood It seemed to Dolan that Ross liked that had less.) Of the top 10, every one but of middle-class businessmen and profes-

DIVIDEND 27 FALL 2004 T HE M ICHIGAN D IFFERENCE

now majority investment firms, then in 1972 he wrote a owner of The business plan. His long-term goal was to Related Com- develop real estate. What he knew best, in panies of Florida. the short term, were the intricate tax laws “He felt, growing governing federally subsidized housing. up, that Michigan His start-up idea was to organize deals by was the greatest which wealthy investors incurred risk-free school in the tax losses in affordable housing to shelter world.” other income. Ross made $150,000 in his Then Ross’ first year and was on his way. His mother family moved to had lent him $10,000 to cover living expens- Miami Beach, es. His uncle had lent him nothing. where his father “He never asked me,” Max Fisher, now had taken a job 96, remembers. “I felt that he was a man with his grand- of unusual qualities, and he was going to father in the go a long way. He didn’t need my help.” JENNIFER ALTMAN hotel industry. Syndicated tax shelters led to develop- Ross was miser- ment deals for affordable housing com- Kara and Steve Ross in his office at able. “I didn’t like Florida, let’s put it that plexes, financial services for the affordable The Related Companies way. I really didn’t care about school. I housing industry, property management, didn’t get into any trouble; I just wasn’t a and more and more real estate ventures— sionals where the kids went to Mumford good student.” He desperately wanted to go apartments, condominiums, retail, office High. His father was a bright man but to Michigan, but his grades weren’t good parks and mixed-use developments, ini- less than successful, at least by the high enough. There were a couple of unhappy tially concentrated largely in the northeast standard set by Ross’ uncle Max, who was years at the University of Florida, then, and Florida. building a business empire in oil and gas, after a second application, a transfer to “I was a pretty determined person in and becoming one of the nation’s leading Michigan’s BBA program. It was a turn- those days,” he says now. Then he smiles, philanthropists. David Ross invented an ing point. “I studied hard so I could get as if to himself. “Certain things haven’t early coffee vending machine and was one into Michigan, and then, when I got changed.” of the first to put additives into oil. But he there, it gave me the self-esteem I needed. His associates attribute Ross’ success couldn’t turn his ideas into money. Ask It was an environment that challenged me to a range of talents. Jeff Blau, BBA ’90, Ross about his family history and his more, really kind of set me straight in the 36-year-old who, as president of The answers about his father come in short- terms of where I wanted to go. And put Related Companies, is the firm’s number- hand phrases —“Very creative; not a more fire in my belly.” two figure and heir apparent, cited Ross’ good business man. Never made a lot of After earning a law degree at Wayne insistence on high-quality architecture and money. Struggled, if you will.” Ask about State and a master’s in tax law at New engineering, a tenacious grasp of details, his grandfather and his uncle Max, and York University, Ross worked as a tax an eye for talent, an ability to inspire strong he opens up, telling stories about their lawyer for two years at the accounting loyalty among subordinates and great business prowess and their generosity. firm of Coopers & Lybrand in Detroit. ingenuity in the financing of highly com- Clearly, these two Almost immediately, he tired of tax law. plex deals. Jorge Perez emphasizes Ross’ men set the stan- And he had fallen in love with New strategic vision: “He’s always had a great dards by which York. On the day after Robert Kennedy ability to see where the trends are going Ross would was assassinated in 1968, Ross was sitting and the nimbleness to change accordingly.” measure his own in his office, pondering the unpredictabil- In the mid-1980s, Ross moved the life and career. ity of life and death, when a partner in company to its current quarters. Looking As a boy, the firm came in and asked if he’d like to west along Central Park South, he could Ross followed attend a seminar in New York. Without see the massive old Coliseum, a shabby Michigan sports a moment’s thought, Ross replied: “That relic just across Columbus Circle. Year avidly. “Being a sounds great. But I think I want to go to after year, Ross looked out his window kid from Detroit, New York for good. In fact, I’m quitting.” at that site. It occurred to him that if this the association He remembered: “I wanted to do some- was the best available site for a new with Michigan thing else with my life. I had worked with development in Manhattan, which it was very, very clients in real estate, and I saw the success probably was, and if New York was the strong,” said they had. And I realized that I really greatest city in the world—a belief to Jorge Perez, a loved real estate and the deal business.” which Ross holds devoutly—then it Michigan mas- And there was another reason to leave. stood to reason that he was looking at ter’s graduate in “People in Detroit were always saying, the single greatest real estate site in the “To me, your great success is ‘You’re Max Fisher’s nephew; why do world. When other deals to replace the with people,” Max Fisher, left, urban planning who became Ross’ you need anything?’ In New York, I was Coliseum fell apart, Ross jumped in. told his nephew Steve Ross. my own man.” Dismal parades of resistance had blocked PHOTO BY PETER SMITH business partner and close friend, Ross picked up experience at two other efforts, but Ross pushed through

DIVIDEND 28 FALL 2004 his plan to create Time Warner Center— two 80-story towers atop a soaring glass atrium covering top-drawer retailers, a jazz concert hall (which Ross and his partners funded with their own dona- tions) and a luxury hotel, the Mandarin Oriental. The development put Ross and Related among the all-stars of major- league developers, which led in turn to more major projects, now underway, in New York, Los Angeles and elsewhere. Time Warner Center, home to the media giant with its studios and headquarters, opened in early 2004. It has been called the most significant development in mid- town Manhattan since Rockefeller Center. The Related Companies will move in soon, as will Ross and his family—his wife, Kara, her two daughters and Ross’ The company has approximately two daughters from a previous marriage. Architectural Excellence: $4 billion in projects under construction, As that seven-year mega-project neared The Related Companies making it one of the most prominent completion, Ross, then entering his 60s, developers in the United States. The was looking for new things to do. He he Related Companies, with its Related Companies is also the largest became one of the driving forces in NYC T team of more than 1,500 profes- shareholder in CharterMac, the largest 2012, the organization that is seeking to sionals who oversee a real estate portfo- financier of affordable housing in the bring the Summer Olympics to New York. lio valued in excess of $8 billion, is a United States, with approximately And he started to take a larger interest in fully integrated real estate firm with 250,000 units in 44 states. his alma mater. He already had given sig- divisions specializing in development, For more about The Related nificant gifts to the University — to endow acquisitions, financial services, property Companies, visit www.related.com. a professorship in the Business School and management, sales and marketing. to help launch the new athletic academic Founded in 1972 and headquartered center. Now his interest intensified as he in New York City, Related has become came to know the new business dean. synonymous with architectural excel- Ross’ office was one of Dolan’s first lence throughout the country and has stops as he made his rounds to meet lead- major developments, partners and ing alumni. Dolan sought the developer’s offices in Miami, Chicago and Los advice on the changes he was undertak- Angeles, as well as New York. ing to expand the school’s emphasis on Key members of The Related action-based learning programs in real- Companies’ management team, world settings. When Ross gave a dinner President Jeff Blau, BBA ’90, and CFO at the Metropolitan Club to introduce Michael J. Brenner, MBA ’68, graduat- Dolan to other New York alumni, he and ed from what is now the Stephen M. Kathleen Dolan met and hit it off, and she Ross School of Business. PETER SMITH watched as a friendship began to germinate between the New Yorker and her husband. Top: Time Warner Center, which opened in “He’s a maverick,” Ross told her. “And early 2004, has been called the most signifi- I love mavericks.” cant development in midtown Manhattan since Rockefeller Center. olan, admittedly, was not the seasoned D negotiator that Steve Ross was. In all Middle: The Related Companies President those years at Harvard, even as a senior Jeff Blau, left, met Steve Ross in a Michigan faculty member, he had never raised a dime. real estate class when Blau was a student. Once, when he was asked to run a fund drive at one of his kids’ schools, he asked Bottom: Metronome, the 98-foot by 200-foot how much they needed, thinking he might art wall commissioned by The Related Com- ante up for the total to avoid the chore. Now panies for the façade of One Union Square he faced the prospect of asking a master in New York City, was created by artists dealmaker for the gift of a lifetime. “If Kristin Jones and Andrew Ginzel. Metronome someone had asked me what’s the likeli- is an investigation into the nature of time— hood of me, a kid from Boston, connect- geological, historical, celestial and real time. ing with a big New York City real estate

DIVIDEND 29 FALL 2004 T HE M ICHIGAN D IFFERENCE: L EADING IN T HOUGHT AND A CTION

developer, I’d say, ‘Gee, I don’t know.’” arly in 2004, Dolan was back on “I can’t give you an ‘economic rationale’ Traditionally, Michigan has not named E Ross’ couch. Since the dean’s “no” for a gift like this,” the dean wrote. “I can, its schools and colleges. The A. Alfred in December, the two had continued to however, assure you that a gift of this Taubman College of Architecture and correspond and talk. Ross was intensely magnitude will propel the school into a Urban Planning and the Gerald R. Ford interested in the Business School studies new era of greatness. School of Public Policy are the exceptions. being done at KPF, the architecture firm, “Truthfully, it comes down to a simple The honor can be granted only once for which, by coincidence, was around the fact: This would be an incredible, inspi- each school, so it must not be granted easily. corner from The Related Companies, rational act of generosity on your part.” Dolan knew such a change would require though Ross had never done business with the approval of President Mary Sue the firm. Each talk was good-natured, with hrough all their discussions, Ross was Coleman and the Regents. He also knew much discussion of the college plans of T the most determined advocate of an that a benefactor preparing to make the Ross’ oldest daughter. (“He wants every- argument that Dolan was hearing in sort of monumental gift that Dolan want- body’s kids to go to Michigan,” Jorge many quarters. Buildings are built from ed had every right to expect recognition. Perez confides.) the inside out, Ross said, and he trusted “There has not been a meeting in which Dolan to find out what the school needed there isn’t some humor and laughter,” on the inside—the right classrooms, study Dolan said. “There was never any doubt rooms, offices and technology. But on the in my mind that Steve was going to do outside, there must be a “unified look and something very significant. It was never feel.” He said a new Business School must MARTIN VLOET MARTIN going to happen that I was going to say, make the same sort of visual impression on ‘It’s a hundred million,’ and he was going visitors and the campus community that to say, ‘Get out of here and don’t come is made by the Law School—a single, back.’ His love for the school was such harmonious statement conveying the that we were always going to work some- school’s purpose and standing. thing out.” But to do that, Dolan was learning, the Ross, too, was pleased with the rela- cost would be high. One option was to tionship that was developing between build additions that would integrate well himself and the dean. with the existing facilities, and “reclad” the “He’s not a real blow-hard,” Ross said. Davidson Tower to match both the new Robert J. Dolan, left, and Steve Ross “But when you listen to the guy, you realize and the old. But KPF reported that the that he’s someone with a vision, and he’s cost of such a plan would be enormous— willing to make changes to accomplish it.” for changes that in part would be merely He met again with Ross in December, But they were still $50 million apart. cosmetic. in New York. Michael Andreasen, assis- Sitting over lunch that day, Ross showed Dolan reported all this to Ross. tant dean for development, came along. that he had done his homework. He cited “I’d say, ‘I need to get a hundred because Ross went straight to the point. He naming gifts at other business schools I have to be able to do this building right, said he wanted to make a naming gift to that were much less than $100 million. and because we need to grow our endow- the Business School of $50 million. “What you’re asking me—it’s just not ment,’” Dolan recalled. “‘You’re encour- “I sat on his couch,” Dolan remembers, a good deal,” he said. “Everybody I talk aging me to do this building right, and “and I’m thinking to myself, ‘I can’t believe to says fifty million is the right number.” that’s really expensive.’ He’d say, ‘It can’t what I’m about to do.’” “Well, this is Michigan,” Dolan said. be that expensive.’ I said, ‘It is.’” The dean said: “No. Can’t do it.” “This is different.” A turning point came when Ross sent Ross laughed. “Well, I think that’s Ross asked the dean to put down on one of his experts, Michael Loughran, to enough,” he said. “I even talked to my paper “an economic rationale” for giving make his own inquiries with the architects uncle about it.” $100 million to name the school. “Tell at KPF. Loughran came back a believer. Dolan smiled. “That’s not fair. I had me: How is this a good deal?” He assured his boss that the cost estimates intended to enlist him as my adviser.” Dolan returned to Ann Arbor. He was were legitimate, and reminded him that Ross asked: “Well, how much is it?” back to his pricing problem. Dolan knew state-of-the-art educational facilities are “Steve, we’re looking at north of a that Ross, despite his enormous love for highly sophisticated structures that carry hundred million bucks to name the Michigan, was still thinking as a developer larger costs than office and residential Business School.” and a dealmaker. It would go against buildings. Discussions now edged higher Still smiling, Ross said, “That’s nuts.” He Ross’ instincts to consider the matter in than $50 million, toward $75 million and went to his door and called across the hall: any other way. The challenge, Dolan beyond, though nothing was certain, and “Hey, Blau, come here! You won’t believe realized, was to get Ross to do just that— the structure of the gift was up in the air. these guys! It’s way more than we thought!” to change the terms of his thinking. On April 15, Dolan arrived in New Afterward, Andreasen turned to Dolan composed a letter. He cited sev- York for what turned into a full day of Dolan and said: “It’s amazing. People go eral recent gifts of $100 million and much work—intermittent meetings with Ross, through their whole development careers more that had brought about the naming waiting time while Ross dashed to his hoping they’ll get a $10 million gift. And of various schools at other universities— conference room for other business, we just turned down fifty.” though none for business schools. Then lunch, talks with the KPF architects. he came to his main point. Finally, at the end of the day, Ross said:

DIVIDEND 30 FALL 2004 “I’m excited to help create facilities that A Name Change will enhance Dean Dolan’s impressive vision ividend readers will find the school for team-based learning and leadership.” MARTIN VLOET MARTIN Dreferred to as both the Michigan Business School and the Stephen M. Ross School of Business in this issue. Because fter a quick trip to Athens for the of the historical significance of the Ross A Olympics, Ross spent the last few days story, Dividend’s fall publication schedule of the summer at his bay-side retreat near was delayed to include articles about Ross the eastern end of Long Island. One late and the gift. Articles and advertisements afternoon, he stepped off his boat, walked done prior to September 9 refer to the up the long lawn and sat down to reflect school by its old name and include the on his native and adopted states. old brandmark. “I’ve always liked Michigan,” he said. By January 1, all school publications and “I came to New York because being offices will refer to the school by its proper Robert Dolan, left, and Steve Ross young and smart it was a place where, if under the portico name—the Stephen M. Ross School of you could make it there, you could make it Business at the University of Michigan or “You really want to announce this at a anywhere—and at the same time have a Ross School of Business for short. hundred, don’t you?” lot of fun. Yet there’s still a sense of eastern Dolan said: “It would be great for the entitlement that exists, and I don’t think school. It would be great for me. And I you feel that when you go to Michigan. I think it would be good for you, too.” think the work ethic there is a little “Yeah,” Ross said. “I think you’re right.” stronger. Students there are just as bright Then he asked: “What would the name as any students in any college. I think of the school be?” Michigan students sometimes undervalue Dolan said: “Well, I’ve been thinking themselves. They’re a little awed by the a lot about that.” He stood up, put out his East. But I think when you get somebody hand, and said: “Anything you want.” who can see through that, and have con- The figure of $100 million had been fidence in themselves, you have some- agreed upon. As to the structure and tim- body who can go a lot further.” ing of the gift, there were many details to He talked proudly of the Michigan be worked out, and many more meetings. graduates in his company—Jeff Blau; to the front and Bob Dolan stepped to the The final arrangements specified $75 mil- Jorge Perez; his CFO, Mike Brenner, lectern, before anyone said a word into lion for the renovation and expansion of MBA ’68; and others. the microphones, there was a spontaneous facilities and $25 million for the endowment “You get by giving,” he said. “What did I standing ovation. And Ross leaned down of the Stephen M. Ross School of Business. end up with as a result of my previous giv- ing to Michigan? I ended up with a future for a word with his uncle Max, who said president of my company. And I tell Jeff, to him: “Steve, I’m very proud of you for Dean Robert J. Dolan, right, said to Steve ‘Hey, I started this; you’re the next guy.’ what you’ve accomplished and what you’ve Ross, “Your gift is a powerful expression of It’s very important that people believe in done today.” your belief in us. We’re really proud of the con- giving back. Life is not a one-way street. At the end of the day, when Ross and fidence that you have in us, and we are most I’ve had so many good things happen to Dolan walked out the front door to leave, thankful for this transforming gift.” me that I want to help the next genera- they saw first-year MBA students perform- PHOTO BY MARTIN VLOET tion. That’s how companies survive, that’s ing their section chants in the Alessi how schools survive— Courtyard. When the two men strolled and we all do better.” over to watch, the students— again, spon- taneously — broke into a new, impromptu he gift was chant: “THANK YOU, ROSS! THANK T announced on YOU, ROSS!” And after a few minutes, September 9. It was a when Ross and Dolan waved and began long, good day in Ann to move off, the students began to sing Arbor. It began at 7:30 “The Victors.” a.m., when the Regents, “Oh, man,” Ross said later. “I’ll never in a special session, gave forget that. It was incredible. That whole the Business School its day was so exhilarating—recognizing new name. At 11 a.m., that something you did was so much in Hale Auditorium, a more important than you even thought it crowd gathered and would be. It was fantastic. overflowed into the “At that moment, if they’d have said, nearby hallways, and ‘Hey, gimme another hundred!’ I’d have when Steve Ross came said, ‘Okay!’” James Tobin

DIVIDEND 31 FALL 2004 Hundreds Gather to Cheer and Celebrate Historic Gift The Related Companies CEO says, “It is important to never forget where STEVE KUZMA one comes from and how one got there.”

s the packed Hale Auditorium crowd rose to its feet to salute A Stephen M. Ross, BBA ’62, for his $100 million gift to the University of Michigan Business School, his daughters motioned for him to turn around. On a video screen behind the podium, the Michigan Business School’s logo and slogan had been replaced by the words “Stephen M. Ross School of Business at the University of Michigan.” The University community, friends and family give Steve Ross a standing ovation. Ross peeked over his shoulder, turned around and smiled broadly at his daugh- was that, as everyone here knows, the was spoken, the entire auditorium rose ters. He then turned back around a few University of Michigan is an extraordinary as one to give him a long, rousing ovation more times to look at the words as if to institution unlike any other in the United as he entered. make sure his eyes weren’t failing him. States,” Ross said. “It’s a place of commit- “This wonderful donation of Steve “It seems it was only yesterday that I was ment, compassion and camaraderie. It is a Ross will animate every part of the here as a student,’’ Ross told the audience place of academic excellence and esteem, Business School’s aspirations and plans,” of students, faculty and administrators. one that feels more like a large extended President Mary Sue Coleman said. “The “Never would I have dreamt that the family than a large public university.” ambitious vision of the future will help school would one day bear my name.” Ross, who earned his degree in account- our students; it will help students not The gift from Ross, a New York City ing from the Business School, is founder, even born yet. This really does propel this real estate developer, is the largest donation chairman and chief executive officer of business school to the future.” ever to a U.S. business school and the The Related Companies, L.P., developer Ross, co-chair of The Michigan largest gift to the University in its 187-year of Time Warner Center on Columbus Difference, the University’s $2.5 billion history. In recognition of it, the University’s Circle in New York City. The company fundraising campaign, credited Dolan’s Board of Regents met September 9 in special is one of the most prominent real estate leadership, vision and “great salesman- session to rename the school in his honor. developers in the country. ship” for convincing him to make the “What inspired me to make the gift “The University of Michigan made a $100 million gift. difference in my life,” Ross said. “I know Dolan said a portion of the money will President Mary Sue Coleman and Steve Ross firsthand the truly exceptional academic go to the endowment to attract faculty at the announcement PHOTO BY MARTIN VLOET programs Michigan offers its students. and students, as well as fund the school’s The days I spent here laid the foundation innovative programming. for my career and taught me lessons I The Ross gift and other donations the will never forget.” school hopes to receive “will enable us to Many of the school’s students wedged develop the facilities that we really need themselves into Hale and two overflow to support our programs and the learning rooms to hear the announcement they had community of the future,” Dolan said. previously only been teased about. Signs The dean said he and others have spent and an e-mail from Dean Robert J. Dolan the past 18 months talking with students, promised an “extraordinary announce- faculty, alumni and friends of the school, ment and celebration.” trying to answer the question, “What does But soon word spread among the stu- the plan look like that will enable us to be dents about Ross’ gift, so before a word the best business school going forward?”

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Dolan hopes to bring to the Board of Regents specific proposals for discussion and approval later this year. Ross’ previous gifts Remembering an to the University include a $5 million lead gift toward funding of a new athletic aca- demic center. He donated $1 million to Extraordinary Day establish an endowed professorship in real estate at the Business School and $50,000 to establish the Henry Pearce Endowed Fellowship in the College of Literature, Sci- he buzz began early September 9, A quiet moment ence, and the Arts. He also inspired the increasing in intensity as news spread for Steve Ross Business School’s annual Real Estate Forum. T of a major announcement scheduled and his wife Kara “It is important to never forget where at 11 a.m. in Hale Auditorium. Bright in the midst of a one comes from and how one got there,” blue fliers were posted at entrances to the hectic day. school, and Dean Robert J. Dolan invited Ross told the exuberant audience. He PETER SMITH thanked family members, including his students, faculty and staff by e-mail to an uncle, well-known financier and philan- “extraordinary, historic announcement.” thropist Max M. Fisher, for their support. Here, Dividend photographers Steve Ross also expressed gratitude for lessons Kuzma, Peter Smith and Martin Vloet he has learned from Fisher—about busi- share images of the festivities and people ness and about life. marking the day the Michigan Business Fisher, 96, told the audience that he School became the Stephen M. Ross School turned his nephew on to gift-giving to his of Business. alma mater. Fisher attended Ohio State PETER SMITH STEVE KUZMA Provost Paul Courant and Vice President for Communications Lisa Rudgers STEVE KUZMA Dorothy Tessler and her brother Max Fisher Roger Sutton, manager of broadcast media celebrate a family giving tradition. at the University’s News Service, prepares Steve Ross, center, and Dean Robert J. Dolan for University and contributed $20 million to a live CNBC broadcast from the William OSU’s College of Business building cam- Davidson Institute studio on September 9. paign in 1993. In recognition of his gift, MARTIN VLOET the college was designated the Max M. Fisher College of Business. Wearing a blue blazer with yellow Richard H. Rogel, BBA pocket kerchief, Fisher recalled that when ’70, co-chair of the Ross was an undergraduate student, Fisher University’s Michigan loaned his nephew money. After gradua- Difference campaign, tion, Ross tried to repay his uncle. “I said, applauds his friend, Steve ‘Stephen, I don’t want your money. But I Ross. Later, in luncheon would like to see you use that money for remarks, Rogel would another fine purpose.’ I want you to describe the Ross gift as know that I started all of this. a “tremendous send-off for “A lot of people make a lot of money the campaign.” and don’t know what to do with it,” Fisher said, speaking to Ross. “But all through the years I’ve known you, you were always thinking about helping somebody else. To me, your great success is with people. I love you and appreciate everything you stand for.” Dan Shine Mary Sue Coleman, Athletic Director Bill Martin and Steve Ross STEVE KUZMA

Steve Ross waves to family STEVE KUZMA T HE M ICHIGAN D IFFERENCE: L EADING IN T HOUGHT AND A CTION

Christine Hayes, BBA ’06, thanks Steve Ross for Making his gift and asks him to autograph her textbook. the Business Case for New Facilities ifteen years ago, Michigan Business STEVE KUZMA School facilities were among the F best of the nation’s top 10 business schools. “Almost everyone looked at Michigan with admiration. In 15 years, we have gone from the top to the bottom of the heap in terms of facilities,” asserts Kim S. Cameron, professor of manage- ment and organizations. Except for two classrooms originally designed for executive education and the

PETER SMITH new John R. and Georgene M. Tozzi Detroit Fox 2 News cameraman Dale Electronic Business and Finance Center, Pegg and WWJ reporter Pat Sweeting inter- classrooms in Davidson Hall, Paton view Steve Ross. In all, more than 130 Accounting Center and Assembly Hall newspapers and magazines and 50 radio are “inadequate, outdated and behind the and television stations covered the story. times,” says Cameron. “We simply do not STEVE KUZMA have any flexible space. We also have much less space per student than other Left, Provost Paul Courant, top business schools.” Regent Olivia Maynard and The school’s prospects improved dra- University CFO Tim Slottow matically on September 9, of course, MARTIN VLOET MARTIN when President Mary Sue Coleman Steve Ross, left, relaxes announced Stephen M. Ross’ $100 million with friends Sally Martin, gift, including $75 million for facilities. Bill Martin, MBA ’65, and The business case for a new campus Professor Robert Kennedy. makes the needs apparent. Competitors—Harvard University, Stanford University, University of Pennsylvania (Wharton), Northwestern University (Kellogg), Columbia University, President Mary Sue Coleman University of Chicago, University of celebrates with MBA ’05 students, California-Berkeley (Haas), Emory left to right, Marcelo Freitas, Marcello University and the University of Wisconsin- De Zagottas, Roxana Spitaleri and Madison— have made substantial capital Alejandro Risso. improvements within the last five to seven years. In contrast, the Business School— Coleman, left, and Dorothy now the Stephen M. Ross School of Tessler, Steve Ross’ aunt Business—campus has developed piece- PETER SMITH PETER SMITH meal over 30 years. It no longer reflects the school’s academic mission, says Dean Left to right, Jeff Blau, Robert J. Dolan. “Our physical plant BBA ’90, Stephen Gaffney, doesn’t support the team-based programs MBA ’05, and Steve and we are running. And among top-tier Kara Ross read all about business schools, the competition for the the gift in the Ann Arbor best students and faculty stars is intense. News. Modern facilities can make the critical difference in recruiting and teaching.” Cameron was dean of Case Western Reserve University’s Weatherhead School PETER SMITH of Management in 1998–2000 and worked Graham Mercer, assistant dean for with architect Frank O. Gehry to design strategic planning and special projects, Weatherhead’s six-level, $61.7 million has been working with the New York Peter B. Lewis Building, which was dedi- architectural firm Kohn Pedersen Fox STEVE KUZMA cated in October 2002. “Learning is a social Associates (KPF) and a school steering event,” Cameron says. “You must have lots committee to develop a strategic facilities of chance meetings in buildings, and we plan. KPF designed and built Wharton’s have no such space.” The school’s cramped new Huntsman Hall and created the strate- quarters also limit growth, including gic plan for the University of Chicago’s expansion of the BBA and Executive new business school campus, now under MBA programs, he adds. construction. Cameron, Kinnear and Dana Faculty can’t find rooms large enough to Muir, the Louis and Myrtle Moskowitz accommodate all the students who want to Research Professor of Business and Law, take the most popular classes, says Thomas represent faculty on the steering committee. Professor Tyler Schumway teaches in C. Kinnear, the Eugene Applebaum Pro- Lesa Chittenden Lim, MBA ’86, chair- the Tozzi Center, one of the school’s fessor of Entrepreneurial Studies. “Our person of the Ross School of Business state-of-the-art teaching spaces. larger classrooms are inflexible and lack Alumni Society Board of Governors, also good sightlines for both faculty and students serves on the committee. The Philadelphia Design, fundraising and Regent and such common amenities as multiple resident, president of the management approvals are all interconnected, notes white boards.” The majority of rooms consulting firm LMCL and professional Dolan, who hopes to bring a proposal to are not suitable for our more interactive artist, says, “Our strategy is to create leaders. the Regents for discussion later this year. curriculum, with its emphasis on action- We differentiate ourselves from other top “The design influences fundraising, and based learning and students working in schools by providing an environment that the actual amount raised will influence small groups, Kinnear adds. facilitates teamwork and fosters team the design and the Regents’ decisions,” he “Facilities were an issue I recognized as leadership. We need the right facilities — says. If ballpark estimates are correct, the soon as I arrived three years ago,” Dolan study rooms — to enable teamwork.” school would need an additional $50 mil- says. In May, the school announced as Drawing on the KPF program review, lion to erect the kind of structure Ross part of its fundraising campaign—The strategic facilities plans under discussion and Dolan envision. Michigan Difference: Leading in Thought to create the home for the learning com- Chittenden Lim believes alumni will and Action—intentions to renovate and munity of the future include: rise to the fundraising challenge. “It is upgrade the school’s existing 439,000- Construct a new building that would compelling. There is a critical need, and square-foot campus to address major house 12 new tiered classrooms and individuals can make a difference. This is shortcomings and improve functionality. six flat floor classrooms to accommo- something we must do. Michigan alumni For Ross, BBA ’62, replacing his alma date a variety of teaching styles. benefit from keeping the Ross School of mater’s aging, outmoded buildings with Build 36 new enclosed group study Business a top-ranked school. A strong unified, functional, aesthetically pleasing rooms combined with informal/open reputation helps all alumni in their careers,” facilities on the existing footprint is an group study spaces and seating in the she adds. “Our strategy to create leaders exhilarating challenge. café, library and lounges to provide includes recruiting best-in-class students, “Having the right facilities will give group study seats for 66 percent of the providing an educational environment our faculty an edge. I would like to see MBA and BBA students. The school, that fosters best-in-class leadership, and the school have a clearly defined front with more than 2,800 BBA and MBA marketing the skills and training of our door so the outside is as impressive when students, now has only 12 formal graduates to best-in-class organizations. people walk through that door as what is group study rooms, all located in We need our facilities to create a best-in- happening inside,” Ross says. Kresge Library. class image to potential students and In addition to its major benefactor, the Create a hub of student spaces in a glass- recruiters,” says Chittenden Lim. school has another powerful ally and fund- enclosed winter garden in the center Dolan agrees: “The Michigan Difference: raiser, President Coleman. Speaking at the of the MBA/BBA portion of the cam- Leading in Thought and Action is all school’s campaign kickoff dinner held at pus, which is now an open courtyard. about creating a facility that supports our the University’s new Palmer Commons, Organize a student services suite com- mission and enables us to be the premier Coleman told donors, “Our Business prised of Academic Services, Financial developer of business leadership talent.” School is one of the best in the country, Aid, Admissions and the Office of and our aspirations must continue to be Career Development. Mary Jo Frank high.” She noted that Dolan has been Expand the number of faculty offices talking with her about facilities since from 168 to 210 and cluster the offices she arrived on campus in 2002. However, together to promote interaction among it was a trip to the University of North faculty and nurture a vigorous faculty EDITOR’S NOTE Carolina that persuaded her. “I left North culture. At 11 a.m. on September 9, the Ross Carolina in 1993. When I returned and Create an attractive and obvious School of Business celebrated the saw the Kenan-Flagler Business School entrance, a “front door” that would gift and renaming of the school and what a difference its wonderful new take advantage of the school’s central with the debut of a new Web site, conference center has made, I became University campus location. www.bus.umich.edu/RossB-SchoolGift/, the convinced of what we need to do.” first in the University’s history to honor a donor.

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a vast network of corporate emphasizes leadership. and nonprofit relationships On many of the MAP teams, students Business and are screened for busi- rotate responsibilities, including being in ness challenge and rigor- charge. Working in teams of four to six, ous analysis potential. students bring analytical skills, the latest School’s MAP The largest program research findings and new approaches to of its kind in the nation, firms and nonprofits that compete to be “MAP exemplifies the MAP sponsors. MAP serves as a capstone, Business School’s com- giving students an opportunity to practice mitment to connecting lessons learned and, for many, influenc- theory and practice ing second-year elective decisions. through action-based This year 84 MAP teams participated learning and inter- in four variations of the program: CMAP disciplinary, team- (corporate), IMAP (international), EMAP oriented situations (entrepreneurial) and XMAP (experi- that develop lead- mental). In addition, 59 senior managers ers and ideas in the Executive MBA program partici- that change the pated in 12 ExecMAP assignments. world,” says The majority of students participate Dean Robert J. in CMAP and IMAP. Originally begun Dolan. as a domestic program in 1992, MAP Financial ventured into the international realm in support for 1995 with one IMAP team. A year later, MAP and other IMAP grew to six teams with the support field-based experiences, of Stanley Frankel, MBA ’64, who now which are more costly to operate funds more than half of the school’s than a traditional case study/lecture class, Global Projects Program each year. is one of the goals of the school’s capital Since 1995, 853 Michigan students campaign—The Michigan Difference: have traveled to Africa, Australia, —short for Multidisciplin- Leading in Thought and Action. Central and South America, Europe MAPary Action Projects— is Reflecting on their MAP experiences, and the Middle East to work on business one reason Mariana Nikolova, MBA ’05, Mark Tholke, MBA and MS ’03, who plans and marketing strategies as part traveled from her native Bulgaria to Ann served as co-president of Michigan Net of IMAP. In 2004, a record 164 students Arbor to earn an MBA. The Michigan Impact, and Daryl Leach, MBA ’03, a worked on 36 IMAP teams. Among the Business School’s MAP program tips the past president of the Business School’s projects, teams consulted for Habitat for decision for many students looking for a Student Government Association, recall Humanity in Hungary, South Africa and top MBA program that excels in develop- MAP as a highlight of a Michigan Costa Rica; Rainforest Expeditions in ing leaders. Business School-branded curriculum that Peru; and Alfa Romeo in Russia. “MAP was an opportunity to learn how American companies work. I learned Former President Jimmy Carter and Rosalynn Carter, center, met with faculty adviser Len Middleton, they have the same problems as organiza- top left, and members of the Habitat for Humanity International IMAP team at the Plains Inn in Plains, tions at home. Georgia, in March when the team visited Habitat’s international headquarters in Americus. Left to I also learned right, students Jeehyang Kim, Russatta Buford, Chandra Coleman, Katherine Richardson, Jonathan more about Soffin and Pritesh Patel helped Habitat create its first international strategic plan. As part of their how multina- research, team members worked in subgroups on projects in El Salvador, Hungary and South Africa. tional compa- COLLEEN KELLY nies operate,” explains Nikolova, one of more than 400 Michigan MBA stu- dents who participated in MAP last Mariana Nikolova, MBA ’05 spring. MBA students enroll in MAP, a seven-week, intense- immersion program at the end of their first year. Students bid on management consulting projects that are derived from

DIVIDEND 36 FALL 2004 Left to right, Pritesh Patel and Jonathan Soffin Left to right, Interlink Networks liaisons Debbie Ziolkowski, Randy Dence and EMAP team members pitched in on a Habitat work day in South Alejandro Matoso, Mitchell Hollberg, Addison Golladay, Akash Randhar and Brian Loh relax follow- Africa. Habitat’s goal is to eliminate poverty ing the team’s final presentation. housing and homelessness.

Andrew Lawlor, director of the Global customers the Ann Arbor-based with stressed team members at 9 o’clock MBA projects at the Business School, Interlink should target and how that night to talk about what must be says, “We couldn’t have sustained the Interlink should reach them. done. “The report needed to be organ- growth in our international programs Providing the early-stage biotechnolo- ized differently. The text needed to be without Stan Frankel. Through his gy company Velcura Therapeutics Inc. restructured and sequenced so that their tremendous generosity, he is providing information and strategies to create insights and recommendations came amazing opportunities for our students revenue-generating partnerships. through clearly and with impact,” and the school.” Velcura, located in Ann Arbor, is Erdman says. EMAP, begun as a pilot program in working on new therapies for treating By noon the next day, the students had 2001, fielded 10 teams this spring. osteoporosis, bone fractures, gum dis- the report reorganized and the Power- Projects included: ease and other bone diseases. Point presentation under control, a crisis Developing a market strategy for Each MAP team experience is one- averted. The students went on to dazzle launching Interlink Networks’ of-a-kind, shaped by participants and Domino’s Pizza leaders with their wireless security software product circumstances. In the following pages, detailed analysis and suggestions of ways codenamed Soft Padlock. The five- students, faculty and MAP liaisons share to boost sales in stores located in low- member team focused on which a few of the lessons they learned through density areas. MAP. The Domino’s Pizza experience For more information about sponsor- demonstrates what Dean Robert J. Dolan ing a MAP team, contact Gale Amyx, heralds as a benefit of action-based learn- managing director, at [email protected] ing programs such as MAP: Students or call 734.763.2463. move from gathering facts to making

BILL SHARPSTEEN sense of a situation, developing a team, analyzing data and finding the solution Learning to Manage: to a defined problem. “Encountering and resolving unexpected difficulties prepare Everything from students for when projects blow up on that first job after graduation,” Dolan says. Scope and Timelines For Domino’s Pizza MAP team mem- to Deliverables bers Amy Eger and Gregory LaFiura, both MBA ’05, MAP was a perfect lead- Mark Tholke, MBA and MS ’03 ust days before their final written in to summer internships. GE Wind Energy report to high-level executives was “The organizational frameworks we Jdue, members of the Domino’s Pizza learned during MAP were helpful Daryl Leach, MBA ’03 Multidisciplinary Action Team (MAP) because my internship assignment was Ethicon Endo-Surgery were mired in research data, struggling very broad. I was responsible for defining to separate the meaningful from the the project scope and an action plan,” minutia. says LaFiura, who interned in corporate “They had worked hard and had finance at Ecolab in St. Paul, Minnesota. reams of data as well as anecdotal feed- Eger, who worked as a strategy

COLLEEN KELLY back. Everything was there,” recalls intern with the Carlson Companies in Katherine Erdman, adjunct lecturer of Minneapolis, says, “It helped that business communication and a MAP through MAP we grew accustomed to team adviser, describing how she met

DIVIDEND 37 FALL 2004 team members had the heady experience of talking about leadership development with Bob Corcoran, vice president of cor- porate citizenship, General Electric, and MARTIN VLOET MARTIN Michael McGranaghan, vice president of group finance, Johnson & Johnson. The conversations were a highpoint of what the students, Dutton and Daryl Leach, MBA ’03, senior analyst in Ethicon Endo-Surgery’s finance division, agree was an outstanding MAP assignment. Members of the Domino’s Pizza MAP team met with CEO David Brandon in the main lobby of Leach, who put the project proposal Domino’s Pizza’s Ann Arbor headquarters prior to their final presentation. Left to right, Daniel Oh, together and served as Ethicon’s MAP Gregory LaFiura, Weizhu (Simon) Hong, Brandon, faculty adviser Damian Beil, Amy Eger, Jae Jang liaison, was confident the students would and Marcello DeZagottis stand in front of a 1960 Volkswagen Beetle, the first delivery vehicle used do well. “They pushed the envelope. They by Domino’s when Thomas and Jim Monaghan opened their first pizza store in 1960. did a fantastic job dealing with some really politically charged issues. We’ve touching base with faculty and liaisons Making Connections: already decided to implement more than once a week for coaching and validation half of the team’s recommendations.” as opposed to receiving day-to-day super- Reaping the Rewards Leach was vital to the team, says vision. Through MAP we learned to Mariana Nikolova, MBA ’05, who is manage scope, timelines and deliverables. of Networking, interested in a career in strategy and Finally, meeting as many key people in Developing the Talents organizational development. “He intro- the organization as possible in a short duced us and helped set up interviews amount of time and leveraging that net- of Others with 35 individuals in the finance divi- sion. He also helped push forward two work for information and support proved etworking pays. Just ask the surveys.” crucial to success in the MAP project and Multidisciplinary Action Project Mark Still, MBA ’05, plans to take our internships.” N(MAP) team that tapped faculty more management organization courses, With MAP—one of the ways Michigan connections with high-profile business thanks to the MAP experience. “So much innovates in business education—faculty executives as part of their research on in an organization is more than number also are learners, says Damian Beil, assis- leadership development strategies for crunching. The relationships with people tant professor of operations management, Ethicon Endo-Surgery’s financial divi- and how they are managed are impor- who is in his second year teaching at sion. Ethicon Endo-Surgery, based in tant. Communication problems can be Michigan. “MAP exposed me to fields Cincinnati, develops and markets a drag on an organization. We need to such as marketing and organizational advanced surgical instruments and med- understand how to develop people.” behavior that are outside my discipline. ical devices for minimally invasive and This will help me in teaching and research, traditional surgeries. leading to ideas I might not otherwise Thanks to introductions from Jane have thought about.” Dutton, the William Russell Kelly Faculty members work together in Professor of Business Administration, Left to right, Daryl Leach from Ethicon Endo- small teams of three or four to advise and Noel Tichy, director of the Global Surgery and faculty adviser Jane Dutton worked each MAP team. “Our MAP lunch meet- Leadership Program and professor of with MAP team members Mark Still, Terri Lewis, ings were on-the-job training,” says Beil, management and organizations, the MAP Shinya Momose and Mariana Nikolova. who adds, “The challenge of action-based learning is to coach and not take over. COLLEEN KELLY With a good team, a faculty member serves as a coach. We’re not problem solvers. We do suggest approaches for students to think about or try. We raise flags and ask questions.” Following the final presentation at Domino’s Pizza headquarters in Ann Arbor, CEO David Brandon, who is also a University of Michigan Regent and mem- ber of the Business School Visiting Com- mittee, congratulated the students on their work. “I have sat through a lot of presenta- tions where people didn’t talk our lan- guage. It is like you’ve been here a long time,” Brandon said. “I don’t hand out compliments lightly. You’ve impressed me.”

DIVIDEND 38 FALL 2004 T HE M ICHIGAN D IFFERENCE: L EADING IN T HOUGHT AND A CTION

Earning Trust: the GE Wind Energy site in Tehachapi, address a few life issues such as learning a small town northwest of Los Angeles. to park a car after getting my first dri- Sharing Information, The team worked on two assignments: ver’s license.” Exploring market drivers for long- Team members rotated leadership Leadership with Others term contractual service agreements roles and relied on faculty for feedback, hen GE Wind Energy commit- Creating a turnkey model for small financial models, assistance constructing ted to sponsor a Multidisciplin- projects of one to 10 wind turbines marketing surveys and help in managing Wary Action Project (MAP) team, the project’s scope. it took a risk, acknowledges Mark “Some of the team’s conclusions were “We tried to limit the level of detail Tholke, MBA and MS ’03, who served surprising,” says Tholke, “but the stu- and focus. We could have spent a year on as the firm’s liaison with MBA students dents anticipated the questions and confi- the project,” Milcarek says. from the Michigan Business School. dently defended their recommendations.” “By all accounts, it was a good deci- Two team members, Ruth Scotti and sion. When the students made their four- Heather Milcarek, both MBA ’05, con- Building Loyalty: hour presentation to senior management, ducted market research at the American the reaction was very favorable,” adds Wind Energy Association Conference Treating People Tholke, commercial analyst, Commercial in Chicago. The team also relied heavily Operations, GE Wind Energy. The on GE for data, notes Sze Wan (Winnie) (and Pets) Well Pays firm, one of the world’s leading wind Ho, MBA ’05. ams and Eukanuba customers are energy companies, designs and produces “One of the biggest challenges when wild about their four-legged family wind turbines ranging from 1.5 to 3.6 sponsoring a MAP team is ensuring that Imembers, and employees who work megawatts. team members have access to the right for the Iams Company are just as zealous Michigan’s six-member MAP team decision makers inside the company,” about providing world-class quality foods experienced wind’s power firsthand at says Tholke, who counts his MAP team and pet products. Their passion is conta- experience and serving as co-president of gious, report members of the Business Left to right, back row, GE Wind Energy MAP Michigan Net Impact among the high- School’s Iams Multidisciplinary Action team members Jonathan Forrester, Kejing lights of his Business School education. Project (MAP) team, who worked longer (Anthony) Ying, Susana Saja, Ruth Scotti, Net Impact is a network of business lead- hours than many consultants and loved it. MAP liaison Mark Tholke; front row, Heather ers committed to responsible business The Iams project was “true marketing Milcarek and Sze Wan (Winnie) Ho at the GE models, policies and practices. because you are selling a product to peo- Wind Energy site in Tehachapi, California. “We received incredible support from ple who will never use it” since the ulti- GE. We’d say we needed something and mate consumer is the dog or the cat, they would meet with us the next day. explains Daniel Tretola, MBA ’05, one of Mark was an advocate for sure,” adds two team members interested in going Scotti, who returned to GE Wind Energy into brand management after graduation. for a summer internship. Iams, located in Dayton, Ohio, is part of

BILL SHARPSTEEN Scotti and Jonathan Forrester, MBA Procter & Gamble’s Health Care Global ’05, are enrolled in the three-year Corpo- Business Area. rate and Environmental Management Beginning with a tour of the Iams Program (CEMP), the program from Lewisburg, Ohio, production facility, stu- which Tholke graduated. CEMP is part dents followed a week-by-week timeline of the Erb Environmental Management developed jointly by the students and Institute, jointly administered by the Busi- ness School and the School of Natural Left to right, Iams MAP team members Ryan Resources and Environment. Mitton, Matthew Matros, Ryan Elvers, Daniel For Forrester, the GE Wind Energy Tretola, Jae Ahn and David Ragones at the project was a perfect alignment of envi- Iams Lewisburg, Ohio, production facility. ronment and business. “I also was impressed that MAP allowed us to inte- grate what we learned in the core. We drew from marketing, finance and opera- tions coursework,” Forrester adds. Kejing (Anthony) Ying, MBA ’05, found the school’s Excel class helpful for the cost modeling part of the MAP assignment. Ying, who is from Shanghai, says, “MAP is very meaningful for inter- national students. Through the interaction with American peers, I improved my communication skills and understanding of American culture. I even was able to

DIVIDEND 39 FALL 2004

PHOTO COURTESY OF THE IAMS MAP TEAM Michael G. Stanis, Iams finance group manager and liaison to the MAP team. “The tour was really valuable because you

can see why Iams is a better product,” D.C. GOIINGS says Tretola. “You learn how they make kibble and see how clean the plants are.” At the onset, team members spent four days in meetings with key people, includ- ing senior management, to make sure there was an alignment with their project and all levels of the company from assistant brand managers and brand managers to Left to right, Rina Horiuchi, faculty adviser Sudheer Gupta, Jonathan Windham, Michael Schostak, President Jeffrey Ansell. Nancy Poderycki, Juma Ventures Executive Director Jim Schorr and Toria Crichlow celebrate the “We were treated like employees. conclusion of a successful MAP project in the Business School Board Room. They treated us really well. As a result, we worked harder. It was like a cycle feeding on itself,” explains Tretola, who mendations, making this a worthwhile program for creative solutions. now buys Iams for his dog Meadow, a experience for all.” Juma MAP team member Michael E. rottweiler/Labrador retriever mix. MAP, Stanis says, “is an opportunity Schostak, MBA ’05, says, “For young The schedule was intense: The team for students to be exposed to a real-life people, working at Ben & Jerry’s and the worked from 8 a.m. to midnight Monday business experience and immerse them- ballpark is cool. Juma’s challenge is to through Thursday in Dayton, returned to selves in the corporate culture of our create businesses that are trendy, cool and Ann Arbor late Thursday night, met company. We would definitely be open fun for employees and make money, or at with faculty advisers on Friday and to doing it again.” Stanis, who earned an least cover their costs.” worked weekends on the project. They MBA from Duke University, has worked With an eye for profitability, social also traveled across the United States to for Procter & Gamble for 12 years. mission, feasibility and brand equity, meet Iams employees in the field and “Our team was fortunate to work Schostak, who worked as a consultant observe how consumers make pet food with an industry leader,” says Tretola. for Booz Allen Hamilton Inc. before purchase decisions. enrolling at Michigan, and his teammates It was worth the effort, says Matthew examined dozens of options in the food Matros, MBA ’05, who describes MAP as Achieving the service, retail, distribution, service and “a differentiating experience,” noting that Double Bottom Line: manufacturing areas before narrowing it acts as a capstone, incorporating all their recommendations to three: Juma first-year MBA coursework, particularly Making a Difference Vending Service (vending machines), finance, organizational behavior and Juma Gifts (gift baskets) and Juma marketing. “I think it gives Michigan and a Profit Threads (clothing resale shop). All are students a leg up on other business school he San Francisco-based nonprofit easily scalable and would develop the grads,” Matros says. Juma Ventures, which helps youth brand, Toria Crichlow, MBA ’05, told “For us, it was a great opportunity to Tfrom low-income communities Juma Executive Director Jim Schorr at interact with faculty,” says Stanis. “Pro- make the successful transition from high the team’s final presentation. The MAP fessor Michel Wedel came to Iams to talk school to college and careers by providing Team also recommended that Juma close about MAP. We kept in touch throughout employment and other youth develop- two of its ice cream shops, which lost the process. We had excellent communi- ment services, would like to make a more than $70,000 in 2003. cation among students, faculty and Iams.” transition of its own—to profitability. Crichlow, who served as a consultant The MAP students were professional, Each year, Juma employs more than to nonprofits before coming to the respectful to people in the organization 200 youths from low-income backgrounds Business School, says working with Juma and not afraid to challenge the status in the six businesses it owns: Three Ben helped her achieve a personal goal: to quo, says Stanis. “They were upfront & Jerry’s stores, two concession businesses learn more about the “double bottom- and honest and identified 30 opportunities at Candlestick (San Francisco 49ers) and to increase business. Senior management SBC (San Francisco Giants) parks, and decided to devote resources to implement a tourist lodge near Yosemite National This colorful mural, one of many that brighten six big ones. Some of our account execu- Park. Until now, income from the busi- Juma Ventures’ walls, was painted by youth tives already are using their materials on nesses has not fully covered the business in 2003 in honor of the nonprofit’s 10th sales calls, and customers like it.” and program expenses; the nonprofit anniversary. “The MAP team members uncovered relies on grants and donors to make up terrific insights in their work,” says Ansell. the $1.5 million shortfall in its annual “They came forward with a set of recom- $3.5 million budget. mendations that highlighted for me the When Juma’s leaders were looking for value of having a fresh, inspired group new, more profitable business models, tackle an important area. We will cer- they turned to the Business School’s tainly implement several of their recom- Multidisciplinary Action Project (MAP)

DIVIDEND 40 FALL 2004 T HE M ICHIGAN D IFFERENCE

line” business model that includes achiev- sultants in the past, ing a social mission and being profitable. “2004 was the first “I’m a big believer in applying what I time Juma worked learn. MAP provided a framework for with a Michigan implementing what we’ve learned. I never MAP team. We thought the managerial accounting class really wanted to would apply, but it did,” Crichlow says. show the value of Jonathan Windham, MBA ’05, says he Michigan MBAs. It wanted to be a member of the Juma was a way to prove MAP team “because I have had no expo- ourselves and show- sure to social enterprise. I learned it takes case our school,” even more skill than running an ordinary Horiuchi adds. business.” Windham worked in equity Schorr, who research prior to returning to school. learned about the The different skills and work experi- MAP program from

ence the MAP team members brought to Juma board member LORRAINE PANTIC the table influenced their research process Dina Denham and final product, says Nancy Poderycki, Smith, MBA ’98, Left to right, Michelle Ryan, MBA ’93, of Matrix and MAP team members MBA ’05. “Some came with a strong says, “The MAP Benno Marbach, Danielle Shea, Mustafa Guner, Shalaka Tamhane, William project went excep- Link, Christina Yen and faculty adviser Gretchen Spreitzer met at Matrix’s Juma Ventures MAP team members exam- tionally well. I was headquarters in New York City for the team’s final presentation. ined other social enterprise models, includ- truly blown away ing bicycle sales and repair services by the quality of the work. We received a with consumers. We do this frequently offered by Golden Gate Community Inc. genuine portfolio strategy for our collec- but sometimes it is hard to get more gen- tive set of businesses—something we eral feedback from consumers and a knew we needed to consider. It was nice competitive standpoint. to have objective confirmation of what “The students gave us an objective we need to do. The final presentation view of what competitors are doing and was extremely well done. examples of what brands in other areas “The Michigan MAP project is by far are doing to remake themselves,” the most valuable one I’ve been involved explains Ryan, who met with Gale in. MAP is structured so students are Amyx, managing director of MAP, when fully dedicated to the project rather she invited Matrix to submit a project than fitting it in with other classes. This proposal for consideration. lends itself to a better product,” Schorr, “I wanted to support the University. It a Northwestern University Kellogg is a great opportunity for students to gain School of Management MBA, adds. experience and for us to get a fresh perspec- tive on some real-life projects we’ve been working on,” Ryan says. The team kept Balancing Inquiry in touch with Ryan and others at Matrix with Advocacy: through trips to the firm’s New York City headquarters and weekly conference calls. Human Dynamics “We felt we had a high profile within Matrix,” says Danielle Shea, MBA ’05. Matter “We met with leaders in marketing ichelle Ryan, MBA ’93, was a research and distribution and went on student when the Michigan sales calls. The biggest challenges were finance background; others brought proj- MBusiness School piloted Multi- information overload and conflicting data ect management experience. Jon, for disciplinary Action Projects (MAP). from stylists and consumers.” example, is the Excel whiz, and Rina “Unfortunately I wasn’t in one of the The group also worked on team [Rina Horiuchi, MBA ’05] adds style and sections in which it was offered,” says dynamics and communication skills. pizzazz to our work products. The Ryan, vice president of marketing for hair Shalaka Tamhane, MBA ’05, says, “We process really couldn’t have worked with- care products at Matrix, a division of were all pretty direct in our communica- out each team member. Also, we wanted L’Oréal, who served as liaison to Michigan’s tions on our peer evaluation forms and to educate each other. We went out of Matrix MAP team this spring. didn’t take comments personally.” our way to bring up opportunities to help “The team gave us new ways to look at “It also was an opportunity to practice each other learn.” Both Poderycki and marketing our brands and to get in touch what we learned in organizational behav- Horiuchi have spent time working in with the pulse from a consumer stand- ior about balancing inquiry and advocacy,” nonprofits. point,” Ryan says. “They talked to a huge says teammate Christina Yen, MBA ’05. Although Juma had used MBA stu- number of stylists and did quantitative “Advocacy is pushing your idea. Inquiry dents from other business schools as con- research with stylists and focus groups is understanding the other person’s input.”

DIVIDEND 41 FALL 2004 Michigan Alumni Shine in Star-Studded Industry

ennifer Hollingsworth earned “I didn’t go to Business School to get other more practical options open but her MBA from the University a job I didn’t want or to get a job I not taking big risks. I had fought that J of Michigan Business School in battle my whole life, and I finally won.” 2002, just months after the September had before. I love entertainment and “I think the Michigan student truly 11 terrorist attacks. The tragedy led movies—the broad-appeal things is a unique student,” says Elizalde, to an economic downturn that meant who is also running for one of many companies were not hiring at that everyone enjoys but not every- California’s seats in the U.S. House their usual levels. But it did some- one gets to work on. I had to try it.” of Representatives. “They have the thing more, as well. For Hollings- absolute raw quantitative skill—and worth and others, the attacks caused they know how to use this for a qual- a subtle itative reason. Let’s say you have $100 shift in ever, she discovered what few fellow million to make a movie; what movie priorities, grads —including some in the biz— are you going to make? inspiring actually know: the existence of many “You can take a cultural look at them to others like her, who risked stability something, but you also have to be reevaluate and certainty to land jobs they love, able to analyze the quantitative their lives. and who’ve become a sizable and side—what if it fails, what is the “I reflect- influential corps of Business School risk? Michigan students can do that.” ed,” she grads in the entertainment field, For months, Hollingsworth lived says. “I holding positions in everything from out of a low-rent apartment where didn’t go finance to creative development. she didn’t even have a bed. But the to Business After packing up her truck, sacrifice paid off. Today, she is a School to Hollingsworth drove to Los Angeles manager of business development for Jennifer Hollingsworth, get a job without a place to live or knowing the Columbia TriStar Home Entertain- MBA ’02, is manager of I didn’t city and with no personal contacts— ment, where she works on elaborate business development for want or to except one. Through a Los Angeles models to determine the profitability Columbia TriStar Home get a job forum organized by the school’s of potential films—and thus helping Entertainment. I had before. Entertainment, Media and Sports decide which projects ultimately I love enter- Club, she had met Victor Elizalde, get “green-lit,” or the go-ahead for tainment and movies— the broad- director of business development production. She is also active in the appeal things that everyone enjoys at Columbia TriStar Motion Picture University of Michigan Entertain- but not everyone gets to work on. Group, a division of Sony, and a ment Coalition (UMEC), a group I had to try it.” Michigan alumnus with a master’s resurrected by another Business Soon after, Hollingsworth embarked in applied economics. Elizalde hired School alumnus, Dominic Cianciolo, on a path that she thought few Hollingsworth for a competitive BBA ’91, to enable better networking Michigan Business School alumni internship—that paid only $12 an and develop brand recognition for attempt—the search for the elusive hour. “It was hard to hear that,” she the Michigan name in the entertain- success of the American entertain- says. “But I knew I had to do this. I ment field. ment industry. Along the way, how- generally hedge my bets by keeping

DIVIDEND 42 FALL 2004 The group’s treasurer is another Busi- annual trips to New York and Los wide. More ness School alumnus, Paul Wycoff, BBA Angeles for students to meet with alum- than 40 years ’86, who has a background in film finance ni and business professionals in the field. after earning and is currently an independent producer. Typically, about 30 students —BBAs, his degree, The group’s communications chair, MBAs and Master’s in Accounting — Shaye still Christopher Derrick, BBA ’93, writes, and prospective students attend the credits the forums, in addition to more than 100 Business directs and produces independent films. alumni. School with “The thing I’ve found really amazing helping him HBO Executive Robert Roth, is the enthusiasm Michigan alumni have develop the MBA ’79, enjoys being part “You can take a cultural look at some- for helping people,” says club president skills to turn of a creative team. thing, but you also have to be able to Colleen Newvine, MBA ’05, a former New Line newspaper reporter who is an informa- into the suc- analyze the quantitative side —what tion officer at the University’s News cess it is today. He’s thankful for one if it fails? What is the risk? Michigan and Information Services. “When I ask class in particular. Michigan alumni to do something for “I’m still grateful to my accounting students can do that.” current students, they almost can’t do professor,” he says. “That first course enough. There’s a real passion for this served me so well. In general, the community.” Business School offers valuable tools for While UMEC and the club hold a someone who wants to shape their own “We have a lot of people out here, great deal of promise for the future, professional lives. These are lessons one way more than I realized,” says Michigan Business School alumni have doesn’t forget whether one is in enter- Cianciolo, an independent filmmaker had a long and impressive impact on tainment or real estate. I was very glad who has produced several short films, the entertainment industry. Perhaps the to have the kind of grounding that commercials and music videos. “It was most recognizable name in the field helped in starting a company.” just a matter of looking under the right today is Robert Shaye, BBA ’60, founder The Business School also has alumni rocks and finding the right people.” and co-chairman and co-CEO of New in key positions in other premier enter- Since Cianciolo revived UMEC in Line Cinema, which produced the tainment companies such as Home Box April 2003, it has blossomed into an immensely popular The Lord of the Rings Office (HBO), Disney and Warner, to impressive organization, with 110 mem- trilogy, the third installment of which name a few. bers in Los Angeles and hundreds more recently garnered a record-tying 11 on the New York and general e-mail Academy Awards, not to mention net lists. UMEC sponsors a wide range of revenues of more than $1 billion world- “The thing I’ve found really amazing is the enthusiasm Michigan alumni have for helping people. When I ask Michigan alumni to do something for current students, they almost can’t do enough. There’s a real passion for this community.”

Robert Roth, MBA ’79, is executive vice president and CFO of HBO, the premier cable television network respon- sible for hit series such as The Sopranos, Sex in the City and Curb Your Enthusiasm. Roth’s story is different in that he didn’t start out with the intention of getting Robert Shaye, involved in entertainment. He was work- ing as an accountant at Arthur Young activities, including a mentorship pro- BBA ’60, is & Company in 1981 when he received gram, regular forums and networking co-chairman a call from a young, upstart company opportunities. and co-CEO looking for someone with a strong UMEC works closely with another of New Line accounting and business background. Michigan organization, the Business Cinema, which “I literally said, ‘What’s HBO?’” Roth School’s Entertainment, Media and Sports produced The recalls. He decided to take a gamble Club. Along with bringing speakers to Lord of the with the company, and the gamble paid Ann Arbor to talk about the entertain- Rings trilogy. off. He moved up the ranks quickly and ment business, the club also organizes

DIVIDEND 43 FALL 2004 “At the beginning, my Michigan fits of his success to other Business In addition School alumni, as well. He recently to being pres- education was very helpful in gaining met with the Entertainment, Media ident of the entrée to certain positions because of the and Sports Club during its trip to Los New York Angeles. In the past, he also has helped chapter of name recognition. It also gave me a lot alumni like Alan Guño, BBA ’93, get UMEC, last of experience in finance and marketing, their proverbial foot in the door. Guño year Candace is director of finance at Buena Vista TenBrink, which was very helpful.” Pictures Distribution and Marketing, a MBA ’97, Candace TenBrink, MBA ’97, division of the Walt Disney Company. founded Altos combines business and acting He is also pursuing a career as a pop music Entertain- skills in Altos Entertainment, today is one of HBO’s top executives. singer, with one CD out already. Guño, ment, a pro- a production company “If you told me before I started I’d be who has a large, framed poster of the duction com- that makes films with strong here for 22 years, I wouldn’t believe it,” Backstreet Boys hanging in his office, pany devoted female lead characters. he says. “I really enjoy being part of a emphasizes that he found work at Disney to making creative team in making decisions about films with strong female lead characters. HBO’s future. You spend a lot of time She and her partner, Richard Guay, are on something, pulling out your hair, tak- currently raising $6 million to fund five ing it for granted—until you hear what films they’ve selected for their first crop. everyone else is doing, and that what TenBrink, an energetic and multi-talented you’re doing is something that most peo- woman, has an extensive resume as an ple would tear off their right arm for.” actress and a businesswoman. She has At Disney, Mark Silverman, MBA ’91, acted in several films and plays and also is general manager and senior vice presi- was named “Best on the Street” by The dent of the ABC Family Channel, a Wall Street Journal in 2001 for earnings position he reached after several years in forecasts. entertainment. Silverman’s job is multi- Altos and UMEC give her the oppor- purposed, involving everything from tunity to put all her skills to work. “I was developing and buying programming acting, but I really missed the business to developing advertising and improving Stephanie Atlas, BBA ’98, who was responsi- side,” TenBrink says. “I began thinking viewership. In the eight months since he’s ble for the U.S. video marketing of The Last about how to mix my business skills with Samurai, is working on the video marketing my talent. The company has been so campaign for Troy. much fun, so crazy, but I love network- ing and doing things myself. I’ve been after following up with Silverman very lucky, but you have to be prepared persistently. for luck. How can you raise $6 million “Now I get a lot of calls from people without a business background?” who want to do things,” Guño says. Dave “Disco Dave” Shayman, BBA “I feel like I’m passing on the torch. ’02, got his start as an urban dance hall Michigan grads are typically strong, DJ and is now a founding partner of independent, good thinkers, and I’m proud to be part of that tradition.” Dave Shayman, BBA ’02, a founding partner of Guño also met with the club, a group the Triple Crown music label, also has released that Stephanie Atlas, BBA ’98, helped his first CD. jumpstart while she was a student. After Alan Guño, BBA ’93, who works in finance she graduated, Atlas spent three years at Disney, also is pursuing a pop music career. working at American Express before moving west. Now she’s marketing been there, Silverman reports that ratings manager of theatrical new releases for for the channel are up 50 percent. Warner Home Video. “Seeing the results of your work and “I never wanted to market diapers,” she watching that as you make changes is says. “I knew I wanted to be involved in very satisfying,” he says. “At the begin- entertainment. Networking is the number- ning, my Michigan education was very one reason I am where I am today.” helpful to gaining entrée in certain posi- But like Shaye, other alumni have tions because of the name recognition. decided to combine their entertainment It also gave me a lot of experience in dreams with the entrepreneurial resources finance and marketing, which was very they honed at the Business School, start- helpful.” ing their own production and distribu- Silverman has passed along the bene- tion companies.

DIVIDEND 44 FALL 2004 an up-and-coming music label in New an open and kind city. There’s none of York called Triple Crown. He also has the cutthroat behavior you see in other contributed music to several commer- places. People help each other.” Entertainment cials and network television promotions Saltiel, an attorney with Bell, Boyd & through his connection to Expansion Lloyd, got his start the hard way—by Coalition Hosts Team, a marketing collective. providing legal advice for free to talented “My business background gave me clients who, like him, were getting started Film Festival a level of credibility going into other in entertainment. As his clients blossomed, ventures,” says Shayman, who released so did his practice. his first CD, A Night at the Booty Bar, Kathryn Montgomery Moran, BBA he University of Michigan last year. “People know I know what ’81, is a partner in the Chicago law firm Entertainment Coalition’s I’m talking about.” of Lord, Bissell & Brook, but in her spare T (UMEC) first film festival, With assistance from an $8,000 grant time serves on the board of directors at sponsored by Jet Blue and Red Bull in from the Samuel Zell and Robert H. the renowned Steppenwolf Theatre June, featured eight films by University Lurie Institute for Entrepreneurial Company, which features actors like of Michigan grads. Studies’ Dare to Dream Program for John Malkovich, John Mahoney and The UMEC draws on the expertise Laurie Metcalf. Like Saltiel, Moran of high-profile entertainment industry became involved with Steppenwolf in professionals who serve on the advi- “Michigan grads are typically strong, the late 1980s when it was housed in a sory board, including Michigan alumni independent, good thinkers, and I’m much smaller facility. Today, she uses Peter Benedek, partner of United her business skills to help direct develop- Talent Agency; Hal Cooper, director proud to be part of that tradition.” ment and fundraising. and producer of network-television What kind of advice do these success- ful alumni have for all those who aspire situation comedies such as Maude, All entrepreneurs at the Business School, to succeed in the competitive field of in the Family, The Brady Bunch and I Tom Anstead, MBA ’04, got his start in entertainment? One mantra was repeated Dream of Jeannie; Lawrence Kasdan, the entertainment business before he by virtually everyone in the business: film writer, director and producer, graduated. Anstead founded Lightkeeper Be positive, be persistent and be prepared whose films include Raiders of the Films, which transfers the films of inde- to make big sacrifices—especially in the Lost Ark, The Empire Strikes Back, pendent filmmakers to DVDs and dis- beginning. Getting your foot in the door The Big Chill and Silverado, as well as tributes them on demand. Anstead also is crucial. Endeavor founder Rick Rosen. holds an MFA from Boston University “If somebody comes in thinking For more information in film production. they’re going to be hobnobbing with about UMEC, visit “After making my own film when I James Gandolfini (of The Sopranos), www.uofmentertainmentcoalition.org. was in film school, I found there were they’re going to be disappointed.” Roth limited opportunities to get my film out says. “Do you want to be here because to a general audience,” he says. “There you think it’s sexy, or because it matches are thousands of independent films being your skill set? I get people who say to this business made every year and most filmmakers me, ‘I’d really love to be at HBO — what operates, you cannot get their films distributed. I see opportunities do you have at the VP have to learn the key to developing a successful busi- level?’ If you’re expecting to come in at it by being in ness in film or entertainment as one that that kind of level, that’s not going to the business. involves new ways to do business.” happen. If you want to understand how Someone Like Anstead, not everyone who has coming out dedicated part of their lives to entertain- David Saltiel, BBA ’75, was ranked by of Business ment lives on one of the coasts. There is also Chambers USA as one of the top enter- School today a strong alumni contingent in Chicago. tainment lawyers in the nation. has to be With clients ranging from producers willing to to screenwriters to actors in film, televi- take that sion and theater, Chicago-based lawyer entry-level Kathryn Montgomery Moran, David Saltiel, BBA ’75, was ranked by position.” BBA ’81, a partner in the law Chambers USA as one of the top enter- For all of firm of Lord, Bissell & Brook, tainment lawyers in the nation. At first, them, though, serves on the board of directors when he told people he wanted to be an the sacrifice of the Steppenwolf Theatre entertainment lawyer in the Midwest, was worth it. Company. they laughed at him, saying it was only “It’s hard to possible in Los Angeles or New York. leave that “I said, ‘I’ll show you, I’ll go home comfort zone,” says Hollingsworth. “But and do it from Chicago,’” Saltiel says. in the end you know you got the job you “I made the right decision. Chicago is truly wanted.” Christopher Farah

DIVIDEND 45 FALL 2004 Executive MBA: A Fast Track to Business Literacy for Busy Senior Executives

ormer astronaut Donald McMonagle, Arkansas Arts Center Director F Nan Plummer and Landmine Survivors Network Executive Director Jerry White are senior-level executives, respected in their fields. High-flying professionals, the three also were, until recently, self-described “business illiterates.” When McMonagle, MBA ’03, left government service after 25 years to join aircraft engine manufacturer Pratt & Whitney, the former NASA space shuttle commander says, “I realized the language used in business included terms with which I was unfamiliar.” Plummer, MBA ’03, who holds three degrees in history of art, including a PhD Arkansas Arts Center Director Nan Plummer, MBA ’03, is responsible for a $4 million budget. from the University of Michigan, is responsible for the art center’s $4 million budget, 35 percent of which is raised McMonagle said, “We have sought and Art in 2002 when she was tapped to join through retail sales, facility rental, classes achieved a deeper understanding of the the Arkansas Arts Center. and ticket sales for a children’s theater. business environment than calculations McMonagle, a retired U.S. Air Force She learned, while working on her MBA, and bottom lines—an understanding of colonel who served as spacecraft commu- that “even if the medium is numerical, the spectrum of elements that support nicator on NASA’s Mission Control Team, it’s really all sustained success, an understanding that says having an MBA “has helped me com- about human will serve us well when we are seated at municate more effectively with the CFO behavior.” the boardroom table. We are now collec- and our legal department. I also have a White, tively aiming to achieve new heights, to greater appreciation of the roles finance MBA ’05, a fly higher in the realm of business than and legal departments play in industry.” land mine we originally envisioned.” Michigan’s Executive MBA program, a survivor and The Executive MBA program, launched newcomer in a competitive market, is meet- leader in the in fall 2001 and ranked seventh by U.S. ing its enrollment goals despite a stalled international News & World Report magazine in 2004, economy and the September 11, 2001, campaign to attracts more seasoned business executives terrorist attacks, notes Executive MBA ban land as well. It prepares mid-career profes- Program mines, says, sionals from diverse backgrounds— Director Jerry White, MBA ’05 “I’m a non- finance, law, manufacturing and market- David Ardis, profit guy ing, to name a few—to lead and create MBA ’92. Donald McMonagle, MBA ’03 with a reli- value in their organizations. He attributes gious studies Plummer chose to pursue an MBA success to background. “because I knew it would give me per- innovative I took microeconomics but never had a ceived and actual advantages” to make faculty; a rig- finance or accounting class in my life.” the leap from educational programming orous cross- Today, McMonagle, Plummer and to director of an art museum even though disciplinary their classmates are “business literacy” most directors come from a curatorial curriculum; masters, having completed the Michigan background. “My dream job was sup- an academic Business School’s 20-month Executive posed to come after the MBA, not in the schedule that MBA program. In a commencement middle,” quips Plummer, who was head allows stu- speech to the first Executive MBA class, of education at the Toledo Museum of dents to bal- D.C. GOINGS

DIVIDEND 46 FALL 2004 ance work, school and family; the Business School’s overall top-10 ranking; and the school’s outstanding reputation for non- degree executive education offerings. Unlike other executive MBA programs that require students to spend two week- ends per month on campus, Michigan’s Executive MBAs attend a 10-day residency in August of their first and second years and return to Ann Arbor for once-a-month, all-day Friday and Saturday sessions. In addition, students spend a minimum PHOTOS STEVE KUZMA of 15 hours a week studying faculty- developed material online. Delivering basic course content and exams online allows faculty to reserve the limited face time with students for higher-level learn- ing, explains Susan Ashford, academic

“I appreciate Michigan’s reliance on distance learning technology—CD lectures, conference call networking and e-room document exchanges. The program allows you to participate in a full MBA curriculum with little collateral damage ABOVE (top) John O. Renken, MBA ’04, and classmates. ABOVE (bottom) M.P. Narayanan, professor of to personal and professional life.” finance and winner of the 2004 Executive MBA Teaching Excellence Award course work. Working with faculty, director of the Executive MBA program, more strategic perspective since it pre- they create professional development who also teaches the program’s negotia- pares executives for higher levels of lead- plans based on feedback from co- tions course. “You can’t learn to negotiate ership. “We aren’t teaching participants workers and other professionals. As via CD,” says Ashford, the Michael and to be CPAs. We do make sure they part of the professional development Susan Jandernoa Professor of Business understand how to read annual reports track, nationally recognized business Administration. “By using a CD to present and can identify when organizations are leaders such as Arthur Levitt, former introductory material, we gain time to work not operating at the most efficient levels,” chairman of the U.S. Securities and directly with students on their skills.” Ardis explains. Exchange Commission, and high-level The once-a-month residency was one The program’s focus on practical executives from companies such as reason attorney John O. Renken, MBA application and working across disci- Motorola Inc., Borders Group ’04, head of the Washington, D.C., office plines earns high marks. White says, Inc., Domino’s Pizza and Eaton of Miller Canfield Paddock and Stone “Almost every class calls for applying Corporation meet with students. PLC, chose Michigan. The father of two what is taught, real time. Faculty use a Customized skills workshops are preschoolers says, “I appreciate Michigan’s layered approach to applying the tools. designed based on students’ profes- reliance on distance learning technology— Business faculty do an excellent job sional development plans. Topics CD lectures, conference call networking weaving classes together.” range from managing senior staff to and e-Room document exchanges. The The curriculum mirrors the real working with corporate boards and program allows you to participate in a world. “Businesses don’t function in handling media during times of crisis. full MBA curriculum with little collateral silos,” Ashford notes. She cites a second- All Executive MBA students partici- damage to personal and professional life.” year capstone course about how to grow pate in an Executive Multidisciplinary Still, Renken adds, he appreciates the a company taught by M.P. Narayanan, Action Project (ExecMAP), a team- sacrifices his wife, family and colleagues professor of finance, and Aneel Karnani, oriented learning situation that con- made so he could balance the demands associate professor of corporate strategy nects theory and practice and develops of husband, father, lawyer and student. and international business, as an example leadership skills. MAP, a linchpin of The Executive MBA curriculum covers of Michigan’s cross-disciplinary approach. the school’s positioning strategy, dif- the basics—accounting, business law, Michigan’s Executive MBA differs ferentiates Michigan’s MBA program finance, human resources, marketing and from competitors in other ways: and is one of the school’s signature organizational behavior—but from a Students pursue a professional devel- opment track in addition to regular action-based learning programs.

DIVIDEND 47 FALL 2004 “MAP’s value is in provoking debate and because, “I find it is helpful to bring new ing that everything can be boiled down thinking into the business environment. to a PowerPoint presentation. At the end thinking as you plan strategically rather The class is outstanding in terms of of the day, Bosnia doesn’t respond to than thinking that everything can be boiled the makeup of the group. The way the PowerPoint.” Michigan program is set up, you learn John Kelly, MBA ’03, who is managing down to a PowerPoint presentation. as much or more from your peers as you director of line maintenance operations At the end of the day, Bosnia doesn’t do from the teacher,” says Kennedy, for Northwest Airlines at Detroit Metro- who would like to teach business at the politan Airport, is proud of the inventory respond to PowerPoint.” college level. management project his ExecMAP team The Michigan Business School’s did for Borders, which received an excel- emphasis on action-based learning differ- lent rating from the sponsor and faculty ExecMAP assignments this past sum- entiates it from competitors and opens advisers. Kelly manages day-to-day aircraft mer included: doors. “I was familiar with the Michigan maintenance operations for about 400 Developing a five-year, multi-tiered MBA program because I had sponsored departures a day at Northwest Airlines’ business plan to position the a MAP team my first year at Pratt & largest hub. Landmine Survivors Network to Whitney,” McMonagle says. He worked Kelly, who also has a bachelor’s degree expand services to more than 500,000 with five students “who compiled a great in engineering, found MBA coursework survivors through eight to nine deal of valuable information about our intellectually stimulating, particularly the regional offices supply chain.” Also, he adds, “I was born course on supply chain management Creating a business plan for a start-up project to buy land and develop con- dominiums in Florida Performing a strategic review for hot tub manufacturer Emerald Spas Corporation of Kentwood, Michigan, STEVE KUZMA and developing a growth strategy Entrepreneur John Kennedy, MBA ’05, bought the then-bankrupt Emerald Spa 10 years ago. “We have done very well since then and have a good, young management team,” reports Kennedy, who sponsored a second ExecMAP that worked on a project for his Autocam Corporation, also of Kentwood and Hayward, California. The Autocam ExecMAP team explored a roll-up strate- gy for the firm’s medical device division John Kelly, MBA ’03, with a new Airbus in Northwest Airlines’ new hangar at Detroit Metropolitan Airport in California, similar to that which has contributed to Autocam’s and raised in Flint. Had I not gone to taught by Izak Duenyas, associate dean success in the the Air Force Academy, I wanted to go for faculty development and research automotive to Michigan. It was an opportunity to and the John Psarouthakis Professor of components get back to my roots.” Manufacturing Management. “I loved market, Jerry White too had worked with being in school. Learning about other where the MAP students, through an introduction businesses has rounded out my background firm achieved from Landmine Survivors Network patron and enabled me to put theory behind more than Queen Noor of Jordan. “We’ve done work I had done as a consultant. For me, $325 million MAP projects in El Salvador, Jordan, an engineer, to understand marketing in sales in Bosnia and Washington, D.C.,” says was a high point.” Kelly and Northwest 2003. White. “We get free research and are able were so impressed with the program that “In both to orient these very smart kids to devel- the airline is sending another employee, cases we had oping countries so they can apply what Kai Duell, head of international opera- they learn. Americans tend to have a tions at Northwest’s Detroit facility, to John Kennedy, MBA ’05 business issues fast, formulaic solution to chronic, deep- Michigan. She started Executive MBA PHOTO: D.C. GOINGS we needed some help rooted, historic conflict-resolution prob- classes in August. with to move lems. Sometimes, when students tell us For more information about the Execu- the companies forward. With ExecMAP, if you do this in three months, you can tive MBA, visit www.emba.bus.umich.edu. we had some very smart people doing the solve world problems in a year, you want legwork on these projects. It was almost to roll your eyes. However, MAP’s value Mary Jo Frank like free consulting,” says Kennedy, who is in provoking debate and thinking as enrolled in the Michigan program you plan strategically rather than think-

DIVIDEND 48 FALL 2004 Partnership with Michigan Jerry White: Is Helping Me Be a Better CEO

he value of the Executive MBA “The trillion dollar nonprofit sector is TOP LEFT (Left to right) Executive MBA students program is not in the laboratory, very competitive. In the international Patrick Dempsey, Ken Davis, Jackie Slaga, ‘‘T formulas or tools in themselves, arena, we’re competing over a smaller Jerry White and Mitch Henderson discuss this but it is a great place to think through piece of the pie with big issues at stake, year’s Landmine Survivors Network (LSN) these things,” says Jerry White, MBA ’05, and battles are tough,” says White, ExecMAP project: a five-year, multi-tiered executive director of Landmine Survivors adding, “The organizational principles strategic plan to position LSN for social Network (LSN), an organization that have to be applied as rigorously in the investors. Not pictured is LSN ExecMAP team empowers individuals and communities nonprofit sector as in business.” member Steve Tuzik. PHOTO: D.C. GOINGS affected by land mines to recover from The father of four admits, “I had no free trauma, reclaim their lives and fulfill time before I started the Executive MBA TOP RIGHT Jerry White meets with Jordanian their rights. LSN was a leader in the program. I would have left in two months Royal Corps of Engineers before final stockpile International Campaign to Ban Landmines, if I hadn’t seen an impact.” Instead, the destruction in April 2003. which won the 1997 Nobel Peace Prize. pressure of homework assignments and PHOTO: LANDMINE SURVIVORS NETWORK White was a junior at Brown University working with a team has forced him to BELOW Jerry White shows his prosthesis to when he stepped on a Russian-made focus. “It’s been an opportunity to increase Ethiopian children. mine on a camping trip in Israel in 1984. my own capacity, to step up to responsi- PHOTO: LANDMINE SURVIVORS NETWORK The unmarked minefield had been laid bility and strike a balance in life. But during the 1967 Arab-Israeli war. Land I’m definitely a less-pleasant person since mines kill or maim some 26,000 people starting business school,” White jokes. per year, mostly civilians, notes White. Business training has changed the way Every 22 minutes a person is killed or he thinks, White says. “Half the time injured by a land mine. I am listening to the lecture and jotting After graduation, White, who majored down notes that apply to LSN. When the in Judaic Studies and international relations, professor is discussing flow analysis for worked 10 years as a nonproliferation factories, I am thinking what is the flow analyst, tracking the spread of nuclear, analysis for turning a growing number biological and chemical weapons for the of mine victims into true survivors and Wisconsin Project on Nuclear Arms active citizens? Instead of thinking about Control before he and land mine survivor shareholder value, I have to ask who are Ken Rutherford founded the Landmine my stakeholders and how do I market to Survivors Network (LSN). More than them? I am mastering information I have 130 LSN staff work in seven countries, never studied before and trying to trans- including Jordan, where they work with late it immediately to the nonprofit sector.” Iraqi amputees. Michigan is helping him build a global social change movement, White says. “To partner with Michigan is a gift to The father of four admits, “I had no free my organization. I’m delighted to have time before I started the Executive MBA this partnership. It is helping me to be a better CEO and will help LSN have a program. I would have left in two months if bigger impact on the world. I have a deep I hadn’t seen an impact.” Instead, the pres- gratitude for this.” To learn more about the LSN, visit sure of homework assignments and work- http://www.landminesurvivors.org/. ing with a team has forced him to focus.

DIVIDEND 49 FALL 2004 T HOUGHT

A CTION

Earlier this year, the Business

School launched the public phase of

its campaign to further its role as a

leader in thought and action.

Your participation, regardless Your gift to the of the size of your gift, provides resources for: Business School • path-breaking faculty research • innovations in the classroom Annual Fund • student scholarships • our action-based programs helps to transform Make your tax-deductible gift to

our vision into reality. the School’s Annual Fund by using the attached envelope, calling

734.763.5775, or giving online at

www.bus.umich.edu/annualfund. ALUMNI ACTIVITIES

Beijing Michigan Business School alumni living in Beijing welcomed Kristina (Corzine) Martinez, MBA ’03, of Hunt Valley, Maryland, when she recently visited the city on a business trip. Martinez works at Procter & Gamble Company Cosmetics. To contact the group, e-mail Hao Sun, MBA ’00, at NEW YORK—Left to right, Michael Goss, MBA ’02, Jennifer Alspach Goss, MBA ’02, and [email protected]. University of Michigan alumni Miki Rosenbluth, David Leitner, Todd Rosenbluth and Illana Feiglin were among those who attended the Rose Bowl.

and last September’s dinners were held at the Omei Restaurant, owned by Kuan New York Tai, MBA ’00. Mexico Alumni Club On New Year’s Day, a group of 16 mem- leader Gerardo Ruiz, MBA ’99, can be bers of the Michigan Business School reached at [email protected]. Alumni Club of New York traveled to Southern California to root for the Wolverines against the Trojans of the Minnesota University of Southern California in the Pictured left to right are Hao Sun, MBA ’00, Congressman Mark Kennedy, MBA Rose Bowl. Following the game, the New Kate Feng, MBA ’03, Kristina (Corzine) Martinez, ’83, from Minnesota’s Sixth District, was Yorkers enjoyed a fun evening of net- MBA ’03, David Wu, MBA ’99, Jessie Zhang, the guest speaker at a program titled working with the local host alumni clubs, MBA ’03, and Lin Zhou, MBA ’03. “MBA Goes to Washington” at the the Business School Alumni Club of Los Calhoun Beach Club in Minneapolis on Angeles and the Alumni Club of Los April 19. Thirty-five people, including Angeles. For the latest on alumni activities Chicago admitted students, attended the program in New York City or to become involved, The Michigan Business School Club of sponsored by the Michigan Business e-mail Cecil Shepherd, MBA ’00, at Chicago held its annual Spring Business School Club of Minnesota. Kennedy, first [email protected]. Conference titled “Leadership in Changing elected to Congress in 2000, serves on the Markets” on May 27 at Chicago’s Gleacher House Financial Services and the Trans- Center. More than 75 alumni from portation and Infrastructure committees. North Carolina Michigan and several other top business For more information about the Minnesota Business School alumni living in North schools attended the conference, which club, contact Neil Janmohamed, MBA Carolina gathered at the home of Karen featured a presentation by Business ’02, at [email protected]. Mishra, MBA ’88, and Aneil Mishra, School Professor Robert Quinn about PhD ’92, on January 22 in Winston- leadership and Positive Organizational Salem for networking and a presentation Scholarship. A panel of distinguished by Timothy L. Faley, managing director business leaders shared their experiences and insights on leadership. Panelists included Mary Kay Haben, MBA ’79, senior vice president, Kraft Foods; John Fox, MBA ’67, retired vice chairman and global managing partner, Deloitte Consulting; and David Hiller, senior vice president, Tribune Publishing Company. For information about Business School alumni activities, contact Greg Bolino, MBA ’92, at [email protected]. Mexico The Mexico Alumni Club organizes a dinner for Michigan alumni twice a year. At the club’s April dinner, alumni met with prospective students, talked about NORTH CAROLINA—Left to right, James Morton, MBA ’65, Mimi Morton, Tony DeBiase, MBA ’99, their experiences at the Business School Timothy Faley, Milton Goetz, BBA ’53, Doretta Hill, James Thompson Jr., MBA ’79, Jeanne Wilkinson and answered students’ questions. April and Brian Shull, MBA ’86, PhD ’91, gathered at Karen and Aneil Mishra’s Winston-Salem home.

DIVIDEND 51 FALL 2004 ALUMNI ACTIVITIES from other leading business schools, attended Kennedy’s presentation titled of the Samuel Zell & Robert H. Lurie about the Shanghai Alumni Club, contact “Offshoring and the Globalization of Institute for Entrepreneurial Studies, Chen at [email protected]. Service Activities.” titled “Innovation and Entrepreneurialism.” The Club of South Florida also spon- “We had a lively discussion and enjoyed sored a forum about investment opportu- meeting other Business School people nities in real estate within Florida at the from around the state,” Karen Mishra downtown Miami Hyatt Regency Hotel reports. Participants came from Raleigh- on November 26. Two hundred people Durham, Chapel Hill and Greensboro. attended the event moderated by For more information about alumni Business School lecturer Peter Allen and activities in North Carolina, e-mail chaired by Dan Susik, MBA ’83. The [email protected]. forum featured several prominent South Florida community and industry leaders, including Frank Nero, chair of the Pictured left to right: Daniell Chen, MBA ’00, Seattle Beacon Council, which is Miami-Dade David Zhang, MBA ’02, Sophie Wong, Chem More than 35 Michigan Business County’s economic development organi- Engineering ’97, Jerry Liu, MBA ’02, and School alumni and members of the zation. Club President Dario Epstein, Kevin Liu, MBA ’02 Seattle Business School Alliance (SBSA) MBA ’91, a member of the Alumni turned out on a chilly January 17 for a Society Board of Governors, organized winter wine reception at the Columbia Singapore both events. For more about the club of Winery, outside Seattle, sponsored by South Florida activities, contact Epstein More than 80 participants from indus- the Seattle Alumni Club. The SBSA is at [email protected]. try and academic institutions attended comprised of alumni from top business a lecture by Izak Duenyas, the John schools living and working in the Puget Psarouthakis Professor of Manufacturing Sound area. For more about the Seattle Switzerland Management, on November 28 in Alumni Club, contact John Gearty, MBA Walter B. Kielholtz, chairman of the Singapore. The event was sponsored by ’02, [email protected]. Credit Suisse Group, was the keynote the University of Michigan Executive speaker at a March 24 event sponsored Education Center and the Logistics by the Michigan Business School Alumni Institute-Asia Pacific in Singapore. The Organization of Switzerland and the seminar focused on challenges faced by Swiss alumni club of the universities of firms in integrating supply chains and Chicago, Northwestern, Wharton and innovative approaches from Duenyas’ Stanford at the Hotel Baur au Lac in research and Tauber Manufacturing Zurich. More than 120 alumni attended Institute student projects to overcome this lively program and dinner party. these issues. For more information about Members of the Michigan hosting team alumni activities in Singapore, contact included Martin Brändli, MBA ’96, Richard Lui, MBA ’01, at [email protected]. Bernhard Brunner, MBA ’98, Philip Pictured left to right are Ravi Gopal, MBA ’02, Dykewicz, BBA ’80, MBA ’86, Beat MaryAnn and Karl Roberts, Mark Kotzer, Geissler, MBA ’95, Alain Held, MBA ’99, Siddharth Mangharam, MBA ’01 (holding a and Chris Muggli, MBA ’72. To become copy of the Monroe Street Journal), Norman involved in Michigan’s Swiss alumni Sigler, MBA ’92, Krisanne Combs and Vikram organization, contact Geissler at Mangharam. [email protected]. Shanghai On April 3, the Michigan Business School Shanghai Alumni Club and Professor Izak Duenyas discusses the Shanghai American Club hosted a happy challenges of integrating supply chains. hour for alumni and 15 newly admitted students. Guests came from as far away as Hong Kong. Daniell Chen, MBA ’00, South Florida reports that the new students cited “the The Michigan Business School Club warm hearts, patience and achievements of South Florida sponsored a forum fea- of the Michigan Business School alumni Alumni and guests gather at the Hotel Bauer turing Robert Kennedy, director of the they had met during their application au Lac in Zurich. William Davidson Institute at the process” among the reasons they decided Business School, on April 29 at Miami to enroll at Michigan. For information Beach’s Eden Roc Renaissance Resort and Spa. About 50 people, including alumni

DIVIDEND 52 FALL 2004 Currently he prepares Global Indicators: U.S. Financial Markets, a monthly newsletter that synthesizes U.S. financial Class Notes highlights with supporting documenta- tion about emerging trends. It is available Rome J. Kubic Jr., MBA ’50 James C. Holmes, MBA ’53 free at www.gwu.edu/~sbppm/ recently was named an honorary 50-year is chairman of H. P. Holmes in news/indicators.htm. member of the American Institute of Birmingham, Michigan. A nationally Certified Public Accountants. Rome was known real estate counselor and apprais- Johanna (Bannon) Becker, MAS ’69 raised in Elizabeth, New Jersey, and was er, his father was a 1917 graduate of the retired in May 2004 from MetLife after the youngest person to receive the rank of University of Michigan. He and his wife 35 years with MetLife/New England Eagle Scout in November 1941. He served Helen have three sons, all of whom have Life. She resides in Westwood, in the Pacific Theater in WW II, received graduated from the University. Two of Massachusetts. his BA from Columbia in 1949 and then those sons are partners with him in the came to the University of Michigan. He Holmes & Layton real estate company. Richard E. Hollander, MBA ’72 started his career with Price Waterhouse After graduation, Jim became an instruc- has been named executive vice president in New York City, received his CPA in tor in real estate at the Business School. of the Society of Industrial and Office 1952 and in 1954 was the first American “Stephen Ross, currently a leader in real Realtors. He will be responsible for the sent to Hamburg, Germany, to train estate development in New York City, day-to-day management of the 2,200- German staff in American audit standards was one of my students,” he says. Two member organization and ensuring that and techniques. Upon completion of his outstanding athletes, Red Berenson and product and service offerings are cutting- assignment in 1956, he resigned from Bill Freehan, also were his students. “I edge and of exceptional value. Previously Price Waterhouse and joined Mobil Oil think the Business School’s high interna- he was managing director of Washington Corporation, working around the world. tional ranking is due in part to the quali- Investment Partners, where his responsi- He returned to the U.S. in 1971 and retired ty of faculty who blend academics with bilities included acquiring retail real in 1986. He then spent several years their own practical background. I’ve had estate in the southeast. He also has been working with H&R Block, and in 1991 the pleasure of meeting Dean Robert senior vice president and managing joined the Susan Fund as its treasurer, a Dolan and President Mary Sue Coleman, director with Randall H. Hagner and position he still holds today. The Susan and I am confident in their abilities to Co., a Washington, D.C., brokerage firm, Fund is dedicated to assisting Fairfield face the challenges ahead for higher edu- and was an executive at Cushman & County residents who have been diag- cation,” he adds. Wakefield, where he established and nosed with cancer to pursue their educa- managed its Washington, D.C., down- tional goals through scholarship grants. Stephen Hunter, BBA ’62, MBA ’63 town and suburban offices. “We have three children (one UM grad- uate) and five grandchildren, living in Don R. Leclair, MBA ’76 Chelmsford, Massachusetts, Boulder, is group vice president and CFO of Ford Colorado, and Carmel, Indiana, which Motor Company. Since August 2003, he gives us lots of travel opportunities. has had overall responsibility for Ford’s Volunteering is my hobby, and I am financial operations, including the con- currently serving on the village planning troller’s office, treasury and investor rela- board and the boards of the local United tions. Since joining Ford in 1976 as a Way and daycare center,” reports Stephen. financial analyst at the Lorain Assembly Plant, Don has held a number of key David Howe, BBA ’64, MBA ’65 finance positions. is minister of administration for the First Donald R. Kingdon, BBA ’51, MBA ’55 Baptist Church in Sierra Vista, Arizona. Timothy D. Leuliette, MBA ’76 served as an officer in the U.S. Navy for David previously was the chief operations is chairman, president and CEO of several years in the 1950s. He earned his officer at Shadow Mountain Ministries in Metaldyne in Plymouth, Michigan. He PhD and went on to positions at General El Cajon, California, where he began his oversees operation of the global metal Electric and Litton Industries, while doing third career as a church administrator company, which is comprised of the for- consulting for TRW Systems and Bechtel after having careers in the Marine Corps mer MascoTech, Simpson Industries and Corporation. He also was a full-time faculty and the defense industry. Global Metal Technologies. He also is a member at the University of Southern founding partner and senior managing California, and finally became a senior William C. Handorf, MBA ’67 director of Heartland Industrial Partners, organization consultant at Atlantic Richfield has been re-appointed to a three-year term a private equity firm focusing on select Company. Don retired from there in 1985, on the board of directors of the Baltimore industrial companies primarily located but undertook several other positions— branch of the Federal Reserve Bank of throughout the midwest. He is chairman from antique importing, consulting and sales Richmond. He is a professor of finance at of the board of the Detroit branch of the to keno dealer. He now serves as a home- the George Washington School of Business Federal Reserve Bank of Chicago. less activist in Santa Monica, California. If and Public Management, and wrote The you wish to contact Don, call 310.396.7043. Corporate Finance Letter for 10 years.

DIVIDEND 53 FALL 2004 CLASS NOTES particularly for Main Street, mom-and- pop small firms. Ron has been active in Carolynn Walton, BBA ’76 testifying against tax increases, drafting was named vice president and treasurer legislative proposals, organizing NFIB for Blue Cross Blue Shield of Michigan activities in Hawaii and working with in October 2003. Carolynn joined the other business-oriented groups. He Blues in January 1996 from Kellogg is a director and stockholder of the Company, where she served as manager- Torkildson Katz law firm in Honolulu, benefits and trust administration and where he does tax law and business/com- manager-property and casualty insurance. mercial litigation. You can reach him at Prior to that she was with Federal-Mogul [email protected]. Corporation and PriceWaterhouseCoopers. Mary Lincoln Campbell, MBA ’79 She is a member of the American is founder and general partner of EDF Institute of Certified Public Accountants Ventures in Ann Arbor. As a member of and the Michigan Association of their healthcare practice team, Mary has Certified Public Accountants. led the firm’s investments in multiple healthcare and information technology Margaret W. (Peggy) Carroll, MBA ’78 companies. She is a member of the steer- is a sales associate with Charles Reinhart ing committee for the state of Michigan’s Company Realtors. In 2003 Reinhart was Life Sciences Corridor, is chairman of the the market share leader in Washtenaw board of trustees for Northern Michigan County, both in terms of total units closed University and is active with the Michigan and total dollar volume. You can reach Business School and its Wolverine Peggy at [email protected]. Venture Fund. Wendy Barth, MBA ’80 was recently promoted to senior vice Ron Heller, MBA ’79 president of product management and has been selected by the National Federa- innovation at Rich Products Corporation. tion of Independent Business (NFIB) as Wendy joined Rich’s in 2001 as vice pres- FAX your class note to Dividend “Small Business Champion” for the state ident of the bakery strategic business unit. of Hawaii and for the six-state southwest 734.647.2401 Prior to that she worked with Ahold region of the U.S. The award recognizes USA/Tops Supermarkets and 7-Eleven. efforts to improve the business climate, Wendy volunteers her time on the board

DIVIDEND 54 FALL 2004 CLASS NOTES Bruno Piperno, MBA ’84 in Iraq. He was awarded the Bronze Star is president of Business Value in Rome. for his service in Kuwait and the Army of trustees of the Buffalo Philharmonic You can contact him at bpiperno@ Commendation Medal for his service in Orchestra, has worked with Child and businessvalue.it. Iraq. Pete has three sons, Robert, David Family Services in several positions and and Michael, and currently resides in with the Zion Lutheran Church. Pete Bosse, MBA ’86 Minneapolis. You can reach him at returned in March 2004 to his position [email protected]. Eric Leininger, MBA ’81 as vice president of business development left Kraft Foods in March and joined at Best Buy World Headquarters in Wendy Marx, MBA ’87 McDonald’s Corporation as senior vice Richfield, Minnesota, after a 14-month is president of Marx Communications, a president of global business research. stint in Kuwait and Iraq with the U.S. Connecticut-based public relations agency “Claire and I celebrated our 28th Army Reserve. Bosse is a Lt. Colonel in specializing in public relations and mar- anniversary this spring as our daughters the Army Reserve and served as a base keting communications for business-to- both graduated—Liz from Swarthmore camp commander in Kuwait and as business companies. Her firm has helped College and Emily from Barrington director of logistics at Camp Anaconda bring numerous brands and executives to High School,” says Eric proudly. the limelight in the financial services,

Diana Freeburg, BBA ’83 vice president of Comerica Securities, has been named among the country’s top bank investment representatives, according Lesa Chittenden Lim to Bank Investment Consultant magazine. Diana is one of 32 investment representa- Grows Her Portfolio tives from around the country honored by the magazine for their ability to exem- esa Chittenden Lim, MBA ’86, plify their institutions’ values, provide chairperson of the Michigan excellent customer service and mentor L Business School Alumni other employees. She joined Comerica Society Board of Governors and Securities in 1985 and resides in nearby president of the management con- Bloomfield Hills, Michigan. sulting firm LMCL, is adding a new career — artist — to her personal portfolio. The Dearborn, Michigan, native’s interest in art developed at an early age. She took ceramic classes at Pewabic Pottery and won a prize from The Detroit News Art Show in her late teens. Chittenden Lim’s pas- sion for art was only exceeded by her desire to excel in business. As a junior at Michigan, she put her art Chittenden Lim’s passion for art was career on the back burner to focus on reignited in 1998. She took night classes Jack Dolmat-Connell, MBA ’84 business. A mechanical engineering to relearn the basics, started daytime is senior vice president of global human degree from the College of Engineering courses in 2001 and is in the third year resources for Geac Computer in South- gained her a position in DuPont’s Field of a four-year painting program at the borough, Massachusetts. “After spending Engineering Program for high-potential Pennsylvania Academy of the Fine Arts the last 10 years in HR/executive compen- employees. After successfully completing in Philadelphia. Chittenden Lim’s work, sation consulting, I’ve returned to corpo- several engineering assignments, including “Etude # 1” in the photograph rate, heading HR for this $400 million Chittenden Lim realized she could con- above, won an award in fall 2003. It enterprise software company. Last year I tribute more to a company if she had a also was featured at the academy’s 103rd had an article published in Forbes on a stronger business foundation, so she Annual Student Exhibition and 12th major study I conducted on executive stock returned to Michigan for her MBA and Annual Graduate Thesis Exhibition in ownership and firm performance,” reports found her niche in corporate strategy. May and in the school’s April-June 2004 Jack. “My wife Carrie heads her own She served as an engagement manager at alumni magazine Preview. thriving legal practice after 10 years in McKinsey & Company, director of strate- Chittenden Lim’s goals include main- major law firms. Stephanie has graduated gic planning at FMC, and vice president taining her consulting business while from Yale, where she was a four-year and general manager of the $500 million expanding her art business. The Penn- Academic All-American field hockey specialty chemical division at Allied sylvania Academy has asked her to teach player, and Scott is a junior in high Signal before starting a management a business course for artists. She can be school — as well as aspiring actor and consulting firm. contacted at [email protected]. bicycle racer.” You can reach Jack at [email protected].

DIVIDEND 55 FALL 2004 CLASS NOTES includes a collection of more than 4,000 Northville. Julie and I are now the proud maps, including many old State of parents of a bustling bakery — Great professional services and technology Michigan maps and photos, several of Harvest Bread Co. Our three kids are in arena. Wendy has written for The New Ann Arbor and of the stadium and heaven helping us with the store at the York Times, Advertising Age and other games. His business has become quite current pay rate of one gumball per publications. She previously did PR and successful; he offers a map for everyone hour,” says Dave. Order your bread at marketing for AT&T and GE Capital. and every occasion. You can reach Jim at [email protected]. Having been single for many years, she [email protected]. is delighted to report she is now happily Timothy A. Wild, MBA ’89 married to George McGoldrick. They are Philippe Prufer, MBA ’88 is vice president of Battelle Capital residing in Trumbull, Connecticut, and has been working for Eli Lilly since Advisors, a mergers and acquisitions she welcomes hearing from classmates at graduation in various sales, marketing, operation started by Battelle & Battelle [email protected]. strategic planning and general manage- LLP, one of the Dayton area’s largest ment positions in the U.S., Brazil and accounting firms, in August 2003. Tim Sarah Raiss, MBA ’87 Argentina. He was named general man- formerly was with Associated Business is executive vice president, corporate ager of Eli Lilly Brazil in May 2001, and Investment Corp. He has a daughter, services, of TransCanada Corporation in in January 2004 became responsible for Eleanor, 3, and twins Luke and Lillie, 1. Calgary. She was named one of the top Eli Lilly Brazil and Eli Lilly Southern Contact him at [email protected] 100 most powerful women in Canada Cone (Argentina, Chile, Uruguay and (sponsored by the Toronto Globe & Mail Paraguay). The combined operation has Thomas Kushner, MBA ’90 newspaper, Ivey Business School and around 800 employees and sales of roughly was elected to the board of directors of WXN Women’s Executive Network), and $150 million. “I will be reporting to the the Joe Torre Safe at Home Foundation, within this list among the top 30 corpo- president of intercontinental operations a domestic violence education nonprofit. rate women. She also was named co-chair and will continue to live in Sao Paulo, Check it out at www.joetorre.net. of the United Way campaign for the city Brazil,” says Philippe. “My wife Alexandra of Calgary. She has been appointed to the will finish her art program at Escola Dario Epstein, MBA ’91 Senior Advisory Group on International Panamericana in Sao Paulo by the end of Business Wire Latin America (BWLA), Trade and the Advisory Group on 2004, and we have three children, Thomas, a subsidiary of IMS Companies, has Retention and Executive Compensation 15, Nicholas, 13, and Stephanie, 8.” established an annual award to recognize for the government of Canada. Philippe continues to serve on the board efforts promoting the development of of the Brazil Alumni Club, and can be emerging Latin American markets based contacted at [email protected]. on ethics, transparency, disclosure and equal opportunity for investors. The first Andy Arvidson, BBA ’89 BWLA Annual Prize for the Promotion founded Imagine Fulfillment Services in of Market Ethics in Latin America has Torrance, California, six years ago and been awarded to Dario Epstein, president built its revenues to $13.6 million in 2002, of Sur Investment Company and former with expected revenue in 2004 of $18 director of the Argentine National Secu- million-$20 million. Imagine Fulfillment rities Commission. Dario, a member of Services provides inventory tracking, the Alumni Society Board of Governors, credit card order processing and shipping has been living in Miami for the past two for its customers, which now number years, where he advises companies with Stacey Davis Stewart, MBA ’87 more than 40. “We do order fulfillment a presence or interest in Latin America. president and CEO of the Fannie Mae less expensively and more efficiently with “I am profoundly honored to receive Foundation since September 1999, deliv- a high sense of urgency,” he says. He an award that recognizes my passion for ered the 2004 commencement address founded the company in June 1998, and transparency, information and investor on April 30 at Crisler Arena. Stacy leads soon brought on partner Jim Heffernan, protection, which I consider as or more the country’s largest foundation devoted then an order fulfillment manager at important than what may have been my to affordable housing and community 20th Century Fox. They have moved sound decisions on financial projections,” development issues. She oversees a team three times and are now in a 150,000- says Dario. of more than 100 professionals, and square-foot warehouse close to the ports under her direction the foundation has of Los Angeles and Long Beach, as well Lois Marler, MBA ’92 become one of the largest private founda- as Los Angeles International Airport. is chief financial officer for EDF tions in the country. In 2001, the Fannie They currently have 275 employees. You Ventures in Ann Arbor, a small-business Mae Foundation was responsible for can learn more by contacting him at: investment company. Lois manages nearly 20 percent of all housing and com- [email protected]. EDF’s relationship with the Small munity development grants in the country. Business Administration and also over- David Cole, MBA ’89 sees the firm’s information technology James Lantos, BBA ’88 “After six years with Borders, my family and administrative services. runs a three-year-old start-up in Pittsburgh, and I pulled up our roots from Ann www.historicpanoramicmaps.com, that Arbor and moved 20 miles away to

DIVIDEND 56 FALL 2004 University of Michigan Business School Creating a Lifetime Community Alumni Services The University of Michigan Business School boasts a powerful, international alumni network of more than 35,000. To help unite and strengthen this diverse and influential community, the Business School and Development and Alumni Relations are pleased to offer the following services, programs, tools and products—all designed to help alumni communicate easily and network effectively with both the Business School and one another. Professor Gretchen M. Spreitzer

SERVICES & PROGRAMS COMMUNICATION TOOLS iMpact (www.bus.umich.edu) Lifetime E-mail Get connected to the Business School’s password- (www.bus.umich.edu/AlumniCommunity/ protected online community for students, faculty, staff EmailForLife) and alumni. Via iMpact, members can access the Sign up for a free “@umich.edu” e-mail forwarding Business School Alumni Directory, class and club Web address! Stay in touch with classmates and other sites, career listings and more. members of the Business School community, even To get an iMpact login name and password, during career transitions and changes in Internet contact Development and Alumni Relations at providers. [email protected] with your name, your name while MichiganMail in school (if different) and your degree and year of (www.bus.umich.edu/AlumniCommunity/ graduation. Requests will be answered within 24 hours. Washington, DC, Club members with Professor Michiganmail) Alumni Directory Jan Svejnar (third from left) Update your e-mail address at [email protected] (www.bus.umich.edu/Networking/ and receive Development and Alumni Relations’ e-newsletter, packed full of information about the AlumniDirectory.asp) MBS Marketplace Business School, the University and alumni. Connect with Business School alumni in your city, (www.MBSmarketplace.com) country, company or class with this easy-to-use, The MBS Marketplace offers a wide variety of apparel, searchable database located in iMpact. business accessories and gift items for the whole For more information about these and other services for Business School alumni, visit the Class Web Sites family. Show the world your pride in being a member (www.bus.umich.edu/Classsites) of the Business School community! Development and Alumni Relations Web site Find out what your classmates have been up to lately, at www.bus.umich.edu/AlumniCommunity. and publish personal and professional updates of your LIFELONG LEARNING TOOLS own. To help develop your class Web site, contact Kresge Library Development and Alumni Relations at [email protected]. (http://eres.bus.umich.edu/web/alumni2.html) Visit the Kresge Business Library to access online business information and career resources. Kresge now offers 11 subscription databases free of charge BUSINESS SCHOOL to Business School alumni, including WetFeet Press DEVELOPMENT Insider Guides, InfoTech Trends and Reference USA. AND ALUMNI RELATIONS The Library also offers links to hundreds of business Phone: 734.763.5775 Web sites, access to Mentor (the library catalog) and Fax: 734.615.6103 faculty working papers. E-mail: [email protected] Executive Education (http://execed.bus.umich.edu) Michael Andreasen, Assistant Dean, Class of 1997 alumni Executives know that the key to continuing job success Development and Alumni Relations is continuing education; the Executive Education [email protected] Center offers the programs that can help you achieve Ann LaCivita, Director of Alumni Relations Alumni Clubs Network success in every aspect of your professional life. [email protected] (www.bus.umich.edu/AlumniCommunity/ AlumniClubs) Julie Antis, Assistant Director–Reunion Get involved in the Business School alumni community [email protected] in your city or country. To join or establish a club in Marla Mast, Assistant Director–Clubs your area, contact Marla Mast at [email protected]. [email protected] Development and Alumni Relations www.bus.umich.edu/AlumniCommunity For more information about University of Michigan Business School Creating a Lifetime Community alumni activities in your area, e-mail your regional contact or club leader or contact Development and Alumni Relations at Alumni Clubs & Contacts [email protected]. Regional Clubs Toledo* AFRICA & MIDDLE EAST India (New Delhi) England* (London) John McCarty, MBA ’82 Israel* Atul Bahadur, MBA ’87 Otto Driessen, MBA ’00 & Contacts [email protected] Benzi Ronen, MBA ’98 [email protected] [email protected] EAST [email protected] Japan* France* (Paris) SOUTH Boston* Ivory Coast Takeo Suzuki, MBA ’76 Stéphane Blondeau, MBA ’93 Atlanta* Lowell Kim, MBA ’98 Bernard Kouassi, PhD ’83 [email protected] [email protected] Barry Trout, MBA ’94 [email protected] [email protected] Pakistan (Karachi) Germany* (Frankfurt) [email protected] Hartford United Arab Emirates Nabeel Batlay, BBA ’99 Andreas Kirschkamp, EX ’98 Austin* Laurie Leonard, MBA ’97 (Dubai) [email protected] [email protected] Julie Lehne, MBA ’02 [email protected] Sunil Khanchandani, BBA ’03 Singapore* Greece* [email protected] New Jersey [email protected] Richard Lui, MBA ’01 Sylvia Salibi, MBA ’84 Dallas/Fort Worth Jeff Norman, BBA ’89 [email protected] [email protected] Tom Dolan, MBA ’94 [email protected] THE AMERICAS South Korea Italy (Rome) [email protected] Argentina* (Buenos Aires) New York* Sang-Wook Ahn, MBA ’94 Riccardo Cesarei, MBA ’98 Houston Cecil Shepherd, MBA ’00 Christian Sieling, MBA ’96 [email protected] [email protected] Ed Watts, MBA ’03 [email protected] [email protected] Taiwan Norway [email protected] Brazil* (São Paulo) Philadelphia/ Chin-Feng Sun, MBA ’95 Sverre Lorentzen, MBA ’79 Louisville Raul Aguirre, MBA ’92 Delaware Valley* [email protected] [email protected] Dan Skeeters, MBA ’98 Grace Tsuei, MBA ’03 raul.aguirre@ Thailand Spain* (Madrid) [email protected] [email protected] diamondcluster.com Vichien Kulvaraporn, MBA ’97 Jeff Hassman, MBA ’99 Norfolk Canada* (Toronto) Washington, DC* [email protected] [email protected] Loren Heckelman, MBA ’89 Steve Hennessey, MBA ’90 Mitch Green, MBA ’01 Vietnam Switzerland* (Zürich) [email protected] [email protected] [email protected] My-Hao Nguyen, MBA ’97 Beat Geissler, MBA ’95 North Carolina Central America [email protected] [email protected] MIDWEST Karen Mishra, MBA ’88 Klaus Stadthagen, MBA ’97 [email protected] [email protected] Chicago* EUROPE Special Greg Bolino, MBA ’92 Puerto Rico* Chile* (Santiago) Austria* [email protected] Manuel Calderon, MBA ’95 Juan Carlos Altmann, MBA ’02 Interest Clubs Joerg Windbichler, MBA ’96 Black Alumni Association* Cincinnati [email protected] [email protected] [email protected] (UMBS-BAA) Heidi Neuroth, MBA ’02 South Florida* Costa Rica Benelux Harry McElroy, MBA ’78 [email protected] Darío Epstein, MBA ’91 Marco Gutierrez, MBA ’03 Sue Hung, MBA ’97 [email protected] Cleveland [email protected] [email protected] [email protected] University of Michigan Jonathan Histed, MBA ’00 Tampa/St. Petersburg Mexico* (Mexico City) Central & Eastern Europe Entertainment Coalition [email protected] David Everett, BBA ’93 Gerardo Ruiz, MBA ’99 Gregor Strazar, MBA ’98 Dominic Cianciolo, BBA ’91 [email protected] [email protected] Detroit* [email protected] lapresident@uofm Steve Morris, BA ’71 Peru* WEST entertainmentcoalition.org [email protected] Fernando Fort, MBA ’96 Denver* Fort Wayne [email protected] Jane Okun, MBA ’89 Paul Campbell, BBA ’61 Venezuela Attendees at the Alumni Leadership Workshop in October [email protected] 260.747.7592 Pedro Blanco, MBA ’99 2003 included Michigan Business alumni club leaders Los Angeles* Indianapolis [email protected] and contacts, members of the Alumni Board of Governors, Harry McElroy, MBA ’78 Mike Shingler, MBA ’90 faculty and staff. [email protected] [email protected] ASIA Oregon Australia (Sydney) Iowa Rod McInnis, MBA ’03 Carolyn Loudenslager, MBA ’03 Miguel Madrigal, MBA ’99 [email protected] [email protected] [email protected] San Diego China* (Beijing) Kansas City* Drew Hoffman, MBA ’00 John Copaken, MBA ’93 Hao Sun, MBA ’00 [email protected] [email protected] [email protected] San Francisco Bay Area* China* (Shanghai) Milwaukee* Shelley Scipione, MBA ’01 Kurt Cumming, MBA ’98 Daniell Chen, MBA ’00 [email protected] [email protected] [email protected] Seattle* Hong Kong* Minnesota* John Gearty, MBA ’02 Neil Janmohamed, MBA ’02 Richard Chow, MBA ’97 [email protected] [email protected] [email protected] Utah India* (Mumbai) St. Louis Jeff Hatch Jordan Pratzel, BBA ’03 Ashish Khemka, BBA ’99 [email protected] [email protected] [email protected]

Development and Alumni Relations *Denotes established or forming clubs as of May 2004 www.bus.umich.edu/AlumniCommunity CLASS NOTES that he was a financial analyst at Intel Candace TenBrink, MBA ’97 and a design and race engineer for Ford is founder and managing partner of Altos Richard Paulk, MBA ’92 Motor Company. He received his BSME Entertainment LLC, a newly formed has been named vice president and CFO from MIT and his MSME from Cornell company that develops and produces of Kaplan Professional, a division of prior to coming to Michigan. female-centric feature films for the global global education services provider market. She also is a founding member of Kaplan Inc. He will oversee financial Jincheon Kim, Global MBA ’96 the newly created University of Michigan operations and business development for had been deputy general manager in the Entertainment Coalition of New York the division, which provides licensing office of the chairman for Daewoo Group, and serves as its chair of professional and continuing education programs for overseeing the human resource practices development. She and her husband professionals. Richard will be based in and managing international executive recently moved to New York and wel- the division’s Chicago headquarters. programs for Daewoo Group’s 1,000 come contact at [email protected]. Formerly he was at iPilot, an Illinois- executives and 120,000 personnel world- based technology company, where he wide when he started his MBA program. Tracy (Brown) Marshall, MBA ’98 served as COO for five years. Prior to In 1999, he formed VenturePeople, an founded Marshall Consulting Group and that, he was CFO of the product services executive search firm “owned by several is currently managing an engagement division and manager of investor rela- leading venture companies and their with America’s largest nonprofit health- tions for Sears Roebuck. management who share the same venture care organization. Tracy, husband John spirit,” says Kim. It has become one of Marshall, MBA ’97, and son Cole recently Jonathan A. Browy, MBA ’94 Korea’s top HR firms. “I definitely moved to Danville, California. is vice president of commercial banking acknowledge my MBA skills for what for Am South Bank in Tampa. He and I have achieved, and frequently ask Andrea (Damusis) Memenas, MBA ’98 his wife Marion are proud to announce whether I could have started a business “After five years working in various mar- the birth of their second child, Madeline if I had not entered the MBA program.” keting communications positions across Paige, born on April 8, 2004. Madeline In Korea, people with an MBA have the Ford Motor Company, I joined up with joins big brother, Christopher, age 2. competitive advantage. The Asia Global two friends and we started a relationship MBA Program offers not only the management consultancy—Matrix David Himmel, MBA ’94 degree, but also the opportunity for Consulting Partners,” says Andrea. “We married Ellen Pincus last year, and they students to learn about the backgrounds focus on helping companies optimize have relocated to Jupiter, Florida. “I am and cultural differences of Asian coun- their customer experiences by employing starting a new business down here after tries,” adds Kim, who is still involved relationship-based business strategies. years of working in New York as a product in the Seoul Alumni Association and Though I’m still working hard, I now and services marketer. Any classmates com- the Michigan Business Club. have more control over my schedule, ing down this way are welcome to visit. which makes it easier to spend time with Contact Dave at [email protected]. Greg Arnson, MBA ’97 my husband Victor and our two boys moved to Utah in late 2002 to be closer to Justin, 3, and Adam, 2. We currently live Michael Tarlowe, BBA ’94 family and began working virtually for in Laguna Niguel, California. I’d love to is the founder and president of Virt Records Root Learning. “So far, working virtually hear from you at [email protected].” LLC, a Seattle-based independent record has been wonderful, especially consider- label. The label’s roster includes Vienna ing that Sarah and I had our third child Menno Ellis, MBA ’99 Teng, Shane Nicholson and Brenda Weiler, last September,” says Greg. “I have two “Last year I married Keri Heye in Dallas. among others. Michael is responsible for locking doors that act as sanity barriers so Attendants included Carlos Zavala, MBA discovering and signing artists, publicity I can actually get work done. After seven ’99, Trevor Wilson, MBA ’99, Eric and the overall strategic direction of the years, I still enjoy working at Root very Stettler, MBA ’99, and Larent Laffineur, company. “For our fourth year, 2005, we much,” he adds. You can reach Greg at MBA ’99. I also recently made a career plan to expand, but we are very selective [email protected]. change, joining the marketing strategy when signing artists and don’t want to be consulting firm of Achenbaum, Bogda & in a position where we can’t put all our Rebecca Meurer, MBA ’97 Associates as a partner in Dallas,” reports resources, time and effort behind each and “Jan, Noah and I recently moved to Menno, who adds that after five years every release,” adds Michael. For more Cincinnati from Geneva, Switzerland. with A.T. Kearney’s strategy practice, he information, visit www.virtrecords.com It’s funny to be back in the states after decided to move to a smaller, more entre- and www.viennateng.com. six years abroad, but it’s nice to be closer preneurial group that would allow him to family and friends again,” reports to concentrate on marketing and revenue Andrew Chien, MBA ’95 Rebecca. They were expecting baby num- growth consulting. You can congratulate is now heading the new North American ber two in May, and Rebecca adds, “I’m Menno at [email protected]. operations of Ricardo Strategic Consulting, enjoying being a stay-at-home mom.” To with offices in Detroit and Chicago. He check on the new offspring, e-mail rebecca. Erin (Penniman) Mott, MBA ’99 has held a variety of consulting positions [email protected]. was married in June 2003 to David Mott since 1995, and most recently was vice of Minneapolis. Erin continues to work president of A. T. Kearney’s automotive at General Mills in marketing where she practice in Southfield, Michigan. Prior to has been since graduation.

DIVIDEND 59 FALL 2004 CLASS NOTES building, and teaching on organizational graduation, I joined the Peace Corps, behavior and leadership are the best skills where for two years I will learn a lan- Michael DelGrosso, MBA ’00 I could have built to make change hap- guage, gain international experience and is making a major foray outside his busi- pen at work,” he adds. The warm waters help Ukrainian businessmen make the ness career into politics. To learn more of the Pacific also have turned Herman leap from a planned to a free market about his political ambitions, visit his Web into a self-proclaimed surfer dude, espe- economy. I am currently working with site at www.delgrossoforcongress.com. cially after a trip to Bali. If you want to a small NGO that is trying to establish know more, contact Herman at a business training and consulting center Sujit Kumar, MBA ’01 [email protected]. with hope of eventually opening a busi- “Kshama and I moved to Charlottesville, ness incubator. It’s fascinating, frustrating Virginia, last month, and I’ve taken a Jonathan Chizick, MBA ’02 and rewarding, and I would never be new job with GE’s GE-Fanuc division,” “My wife, Tristan, and I are proud to here without my MBA.” To learn more says Sujit. “The place is gorgeous and announce the birth of our daughter, about Ed’s very giving experience, you work is going very well so far.” You can Braelan Aileen, on February 4, 2004.” can reach him at [email protected]. reach Sujit at 434.978.5452 or by e-mail to Congrats may be sent to Jonathan and [email protected]. Tristan at [email protected]. Michael Goss, MBA ’02 married Jennifer Alspach Goss, MBA ’02, Herman Chein, MBA ’02 Edward Gibney III, MBA ’02 and celebrated their first anniversary in “I cannot say enough about how well my “From my first days at the Business the Bahamas. They met in Washington, Business School education has prepared School, I was inspired by the burden of D.C., before business school, “and Michigan me for my work over the past two years,” responsible leadership the faculty and was kind enough to accept both of us,” says Herman. “Working in a Taiwanese staff stressed were now ours,” says Ed. says Mike. Mike has been working for electronics company has presented chal- “My summer internship sent me to con- BOC Gases in Murray Hill, New Jersey, as lenges that are unseen outside U.S. multi- sult with Eskimos in Alaska, and it made a senior business analyst for the planning nationals. I enjoy solving our problems by me realize how fulfilling it could be to group. Jennifer is working at American working on management of R&D, manu- share the skills I learned in the classroom Express. Both are involved in the MBA facturing, marketing and finance at the with people who might not otherwise Alumni Club of NY, Mike as vice presi- same time. The rigorous analytical work, be able to afford them, while also being dent of general management, and Jen as IMAP, emphasis on teamwork and team immersed in a foreign culture. Upon vice president of marketing. To find out

DIVIDEND 60 FALL 2004 CLASS NOTES businesses. She lives with her husband, work. Currently, they have three chil- Andrew Wilson, son Yan Diego, 7, and dren, Alejandro Salinas Estefan, 8, more about them and the NY Alumni daughter Maya, 4. Sebastian Salinas Estefan, 3, and Ana Club, contact [email protected]. Sofia Salinis Estefan, born in October Sze-Yunn Pang, MBA ’02 2002. You can reach him at Jill Hungerford, MBA ’02 married Stephen Lo, MBA ’01, in [email protected]. has joined Cerner Corporation, a lead- Singapore in June 2003 in a rooftop ing provider of healthcare information garden wedding and Chinese banquet. Rodolfo Quiles, MBA ’03 technology, after five years as a finance Many friends from Michigan attended is manager of Latin American Inter- manager with Ford Motor Company. Jill the wedding, including some who trav- national Government Affairs for Bristol- primarily serves in Kansas City as a busi- eled from the U.S. “Thanks to everyone Myers Squibb (BMS) in New Jersey. He ness development manager, where she is who attended or sent greetings,” they say. is responsible for creating and leveraging responsible for strategic decision analysis “We have now settled in Washington relationships among BMS country man- in the intellectual property organization. state and look forward to your visits.” agers, foreign government leaders and More recently, though, Jill returned from You can reach them at [email protected]. federal government departments to create working in London for six months as part a fair competitive environment for BMS of Cerner’s global operations. You can Jose Salinas, MBA ’02 and the U.S. research-based initiative. You reach her at [email protected]. founded Ayudate AC in August 2003, can reach him at [email protected]. a firm specializing on microcredits ($50 Darys Estrella Mordan, MBA ’02 to $200 US) to people in rural Mexico. Mark Tholke, MBA ’03 an associate in the fixed income currency “The future is still up in the air,” says is working as a commercial analyst, and commodities division of Goldman Jose, “but we are working on receiving Commercial Operations at GE Wind Sachs & Company in New York, shares additional resources in 2004.” Jose also Energy, LLC, in Tehachapi, California. her financial expertise with corporations will be teaching in the MBA program at Mark can be reached at his permanent in her native country, the Dominican ITAM, his former university in Mexico. e-mail address, [email protected]. Republic, helping them to expand their His wife Lizette is eager to get back to

OBITUARIES ’74, have been residents of Jupiter, for friends remember him as “an amazingly more than 12 years. Prior to that, Chip dynamic and impassioned individual,” was a resident of Blue Bell, Pennsylvania, adding that Joe “was an ever-present voice Daniel E. Sealey III and Avalon, New Jersey. In addition to in the classroom and a genuinely caring MBA ’68 Andrea, he leaves his sister, Arlene Pew and kind individual who gave countless passed away on November 18, 2003. Gussman of Gladwyne, Pennsylvania. hours and energy to help others.” He “Des” was a proud alumnus who carefully interned with the Boston Consulting followed the lacrosse team, since he was Group in Chicago during summer 2003. one of its founding members. His entire Joe also enjoyed traveling with his family career was in the boating industry, for and learning about people and their cul- many years with Outboard Marine tures, having been to Italy and Egypt Corporation and later in the marina and last year. On April 30, Joe received a boat manufacturing industries. In 1998, posthumous degree at commencement, Des was a heart transplant recipient at the recognizing his achievements at the Medical University of South Carolina. Business School. Additionally, a memorial He was able to see his two daughters, bench is being placed in the portico, and Gail and Janet, graduate and walk them the Boston Consulting Group sent $3,000 down the aisle. To his son Kevin, he was to start a scholarship fund under Joe’s a mentor and friend. To Cheryl, his wife, Joseph Edward Hadeed name. He is survived by his parents, he was a wonderful partner and husband. Diann and Nab Hadeed, brother Brian, Unfortunately, he battled with cancer for BBA ’04 (DDS ’04), sisters Marianne, who gradu- the last year before his death. A fighter to a second-year BBA student, died in a ated from Michigan in 2001, and Suzanne, the end, his sense of humor and optimism weather-related car accident on January a sophomore at the University. Gifts to will remain with all of us. 18, 2004, at age 21, while returning home the Joseph Edward Hadeed Memorial with friends from a ski trip in Ontario. Scholarship can be sent directly to Elsie A graduate of Eisenhower High School L. Orb, Scholarships and Fellowships, Walter C. (Chip) Pew III in Shelby Township, Michigan, Joe came University of Michigan Business School, MBA ’74 to the University in fall 2000 with keen 701 Tappan St., 1235 Davidson Hall, Ann Arbor, MI 48109-1234. passed away at age 52 on July 30, 2003, at determination to become a member of his residence in Jupiter, Florida. He and the Business School. He was a member of his beloved partner, Andrea Saks, MBA the debate team and Delta Sigma Pi. His

DIVIDEND 61 FALL 2004 If you sit here, you probably do most of the coaching. But who coaches you?

-Coach EXECUTIVE COACHING AND ADVISING

A New Option for Executive Development Unlike a strategy consultant who may press a generic model team effectiveness, developing strategies for effective group of competition on an organization, the M-Coach partners decision making and using teams to manage change. Michigan now offers executive coaching and advising services directly with the CEO and senior team to build a strategy from Coaching Workshops for individuals and teams. M-Coach services are designed within. Throughout the deployment process, this guidance and Michigan offers custom-designed, multi-day coaching sessions to support executives at various levels of the organization, support helps leaders focus on both their own professional that can be delivered at your location. These programs are from high-potential middle managers to the CEO. M-Coaches development and that of their employees. are among today’s most acclaimed thought leaders, and have for managers with wide-ranging responsibility for engaging extensive experience in advising and developing executives Executive Coaching people, and who wish to build coaching strategies and skills on a global basis. Never before have organizational expectations been so high to develop other leaders. for how executives deliver their objectives. Our M-Coaches Sara Patel Tel 734.763.1009 Services are offered across four broad categories: utilize the Best-Self Feedback tool, a highly lauded exercise Associate Director Email [email protected] Strategy Coaching and Advising for CEOs grounded in Michigan’s Positive Organizational Scholarship and Senior Executives research. Working one-on-one with our experts, executives Today, expectations of CEOs and senior executives are can learn what kinds of work situations elicit their best enormous, and the time frame for producing results has performances and unlock unknown potential to improve all but collapsed. As senior leaders develop new competitive productivity and performance. strategies, having a trusted partner and advisor becomes Executive Team Coaching essential for their success. M-Coaches help leaders and This service helps develop the managerial and leadership their senior teams navigate a wide array of business skills required to create and promote high-performing executive challenges, such as mergers and acquisitions or changes teams. Coaching sessions focus on diagnosing and improving www.execed.bus.umich.edu in corporate strategies. University of Michigan Business School Creating a Lifetime Community Alumni Network Update Keep your contact information up to date with Development and Alumni Relations Development and Alumni Relations. Connect with University of Michigan Business School your classmates and ensure you receive all 701 Tappan St., Ann Arbor, MI 48109-1234 Business School correspondence, including our Phone: 734.763.5775 Fax: 734.615.6103 e-newsletter MichiganMail. E-mail: [email protected]

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ON THE COVER: Stephen M. Ross met with BBA students, left to right, James Kempa, Christine Hayes, Nathan Suh, Amy Borer, Juli Gilliam, Ikedichi Nwankwo and Nancy Stano on September 9. Photograph by Steve Kuzma

n addition to being the top candidates (No. 7) and in such aca- business school in the nation demic specialties as marketing I according to the 2005 Wall (No. 2), operations management Street Journal / Harris Interactive (No. 4), corporate strategy (No. 7) On a Roll survey, the Stephen M. Ross and accounting (No. 9). School of Business rates highly Journal reporter Ron Alsop sum- among companies hiring minori- med it up: “Michigan is on a roll.” ties (No. 1), providing women job

D.C. GOINGS