Annual Report 2014-2015

2 ANNUAL REPORT 2014/2015 CONTENTS

From the Dean

1 50 Years Forging Leaders

2 Developing Leaders Around the World

3 Ideas with Impact

4 Mission, People and Governance

5 Worldwide Support

6 Financial Information

7 Exhibits

IESE BUSINESS SCHOOL 3 FROM THE DEAN

ESE’s commitment to serving companies, entrepreneurs and senior managers worldwide can be seen in our deep and diverse range of programs, which build on more than half a century of experience. Their growth is more than an Iopportunity to access new markets; by embracing the fresh perspectives that other business cultures offer, we expand our own understanding of the challenges presented by globalization and share it with students and alumni. At the same time, it presents us with an opportunity to share the core values of IESE around the world, and to deepen our legacy of leadership built on excellence, integrity and service to the communities in which we live.

A significant step in IESE’s global development this year has been the opening of our new campus in Munich. I was honored to join more than 300 IESE alumni and business leaders on June 29 for the official opening ceremony, which featured a keynote presentation by Franz M. Haniel, chairman of the Haniel Group, one of Europe’s largest family-owned companies. The modern, permanent headquarters in Germany marks the beginning of a new chapter in the school’s 10-year history of activity there. It will allow us to meet better the needs of companies and executives in Germany and Central Europe, including our more than 1,100 German, Austrian and Swiss alumni.

The international reach of another of our campuses, New York, was demonstrated by a landmark in the IESE Global Executive MBA. The graduating Class of 2015 was the first to include a cohort that started the program in New York in February 2014.

In Asia, we prepared the launch of the pioneering World Executive MBA program, in partnership with CEIBS. The first cohort of senior executives will start in January 2016, embarking on a learning experience that covers five continents reinforcing our global reach.

4 ANNUAL REPORT 2014/2015 IESE has a longstanding involvement with the African personal and professional lives through many programs, business community. Besides helping develop associated with the support of the school's International Center for business schools in Nigeria, Kenya, and Côte d’Ivoire, we Work and Family. Companies can and should play a leading have maintained strong bilateral learning relationships role in building a more positive vision of management; with companies and institutions across the continent our initiatives around sustainability and corporate since 1992. The MBA Module developed in Kenya in 2012 is responsability. To that end, programs such as the Value attracting more students and companies. Creation Through Effective Boards Focused Program, delivered with Harvard Business School, have emphasized s we build the future, we must also consider responsible corporate governance. the solid foundations we inherit from the past. In these pages, you will read about Our own industry, management education, is undergoing the activities held to celebrate the 50th a period of rapid change as advances in digital technology anniversary of the IESE MBA program. The drive innovation. IESE is at the forefront of integrating programA has had an impact on the lives of more than online and face-to-face methodologies to enhance 8,600 graduates since 1964, the year it was launched as the experience of program participants. This year, we Europe's first two-year MBA with the help of Harvard introduced a range of initiatives. These include an online Business School. St. Josemaría Escrivá, founder of the knowledge management portal, course redesigns, the University of Navarra, encouraged Dean Antonio Valero implementation of a virtual campus, and the development and IESE faculty to develop this program for young of new teaching tools. Collectively, these innovations professionals. Many alumni have honored us by sharing help us to deliver global programs that align with the their stories and their wisdom, and by underlining the requirements of today’s executives. importance of the program in shaping their careers. The international anniversary events also provided None of this would have been possible without the support participants with a vantage point from which to look of our alumni, corporate partners, and clients. They have forward, with distinguished guest speakers imparting helped to create and consolidate the strong foundations insights into the trends and issues shaping tomorrow’s upon which we now build the future. Through their business environment. contributions to our global growth, their participation in our activities and their embodiment of our values, they hat we do as business leaders has an continue to play an essential role in the fulfillment of our effect on society. The impact of IESE's mission: to develop business leaders with a spirit of service, humanistic approach can be seen integrity and professional excellence who have a deep, directly in the emphasis on a human positive and lasting impact on people, firms, and society. and ethical view of management and companies,W or our commitment to job creation and the Jordi Canals more than 4,000 jobs created through the assistance of Dean, IESE Business School our venture capital fund Finaves and the business angel network. We have also striven to promote women's role as corporate leaders, through initiatives including the Women on Boards Program, and to help women integrate their

IESE BUSINESS SCHOOL 5 1. 50 Years Forging Leaders IESE’s has developed business leaders and managers for more than half a century. The impact of the school can be seen in the broad, positive vision of management shared by its alumni, in which social needs such as job creation, ethics, social responsibility, and quality of governance and management play an important role.

50 YEARS FORGING LEADERS THE 50THANNIVERSARY OF THE IESE MBA

An event with MBA students was celebrated in Barcelona in November 2014.

Our Roots added that “more than our common The Future interest in the case-study method, of the IESE MBA The IESE MBA was conceived by IESE what we really share is our interest Faculty in 1963 under the leadership in upholding the same values.” How will the IESE MBA change in the of Dean Antonio Valero. St. Josemaría On September 21, 1964, a pioneering future? Program Director Prof. Franz Escrivá, the founder of Opus Dei and class of students began Europe’s first- Heukamp believes that “there will be Chancellor of the University of Nava- ever two-year MBA program. Their an intensification of current trends. In rra, gave impetus to the initiative. graduation ceremony in 1966 was at- teaching, there will be more integrative In October 1963, the HBS-IESE Com- tended by George P. Baker, the Dean courses. There will also be more empha- mittee was set up to help IESE launch of HBS. From that time, the program sis on developing abilities such as leader- the first two-year MBA Program in has gone from strength to strength: ship and teamwork. We will continue to Europe. This collaboration, which entrepreneurship was added to the make the most of the dynamism invol- proved so useful in the early days of curriculum in 1974; in 1980 it became ved in creating companies. Finally, the- the MBA, continues to contribute to the world’s first bilingual MBA and in re will be a well-thought-out use of new IESE’s growth. Nitin Nohria, the pre- 1982 the Executive MBA (EMBA) was technologies; content that now is deli- sent HBS Dean, came to Barcelona to added, followed by the Global Executi- vered in class will take on new formats. commemorate the 50th anniversary ve MBA (GEMBA) in 2001. The growth However, the IESE MBA will continue to of the Committee in 2014 and recalled of the MBA is set to continue with the focus on interaction between the parti- that “it’s a relationship with very close launch in January 2016 of the World cipants. The program is a school where ties. For us, it’s important to be able Executive MBA, in partnership with one learns to function as an executive to work with a school such as IESE, CEIBS. and what dealing with other people en- which is so thoroughly committed to Today, there are more than 8,600 tails and, at the moment, none of this can principles that we also share.” Nohria IESE MBA alumni around the world. be learned without personal contact.”

8 ANNUAL REPORT 2014/2015 1

“Something amazing happened 50 years ago,” IESE Dean Jordi Canals told a packed auditorium at the opening event of the business school’s MBA half-century celebrations. He referred to the launch of the IESE MBA program in 1964, supported by Har- vard Business School (HBS) through the HBS-IESE Committee. The anniversary has been commemorated by a series of 20 events held around the world.

LISBON LONDON COPENHAGEN THE HAGUE SHANGHAI July 2, 2015 May 18, 2015 June 4, 2015 December 1, 2014 March 21, 2015 50th MBA 50th MBA 50th MBA 50th MBA 50th MBA Anniversary Anniversary Anniversary with Anniversary Anniversary CELEBRATIONS with Joao Cotrim, with Martin Soren Skou with Jan AROUND THE WORLD Mario Nuno dos Sorrell Zijderveld Santos, Nuno Ferreira and José PARIS Carlos Pinto 2016 NEW YORK CITY November 2015 50th MBA Anniversary

SAN FRANCISCO 2016

MEXICO CITY MIAMI BARCELONA MUNICH TOKYO July 16, 2015 May 28, 2015 November 24, June 29, 2015 March 23, 2015 50th MBA 50 MBA 2014 First event at the 50th MBA Anniversary with Anniversary 50th MBA Munich campus to Anniversary with Pedro Aspe Anniversary celebrate the 50th Ken Shibusawa Opening Event MBA Anniversary, BOGOTÁ May 23, 2015 with Franz M. 2016 MBA Alumni Haniel HONG KONG Reunion March 24 LIMA ZURICH 50th MBA 2016 MADRID 2016 Anniversary April 29, 2015 with George Yeo SANTIAGO (CHILE) MBA’s Meet June 17, 2015 in Madrid 50th MBA Anniversary with Antonio Gallart, SAO PAULO MILAN NEW DELHI SINGAPORE Lionel Olavarría June 19, 2015 October 1, 2015 November 2015 November 2015 and Rodrigo Pérez 50th MBA 50th MBA 50th MBA 50th MBA Mackenna Anniversary with Anniversary with Anniversary Anniversary José Formoso Marco Drago

More about the anniversary events: http://mba.iese.edu/50

Hong Kong New York London Sao Paulo

IESE BUSINESS SCHOOL 9 50 YEARS FORGING LEADERS THE 50THANNIVERSARY OF THE IESE MBA

THE MBA IMPACT: 50 YEARS OF THE IESE EXPERIENCE

“Our education “We have a greater “Fashions change “I learned a lot “It’s how you do “You need to be prepared us for a responsibility to our but the basics of doing the MBA at things that defines passionate about profession in which work colleagues, general management IESE. In general you at IESE.” what you do and do we work with and for employees, clients, that I learned at terms, I would point Leslie Rubio it as well as you can. people, rather than suppliers and IESE have been to the vision and (MBA ’90), Managing This is a value I saw just amass wealth.” families. IESE taught fundamental to my the multifaceted, director of Corporate in the faculty at IESE and Investment Gerardo Salvador me that.” understanding of integrated approach Banking at CITI and something that I (MBA ’66), President Baldomero Falcones how companies that IESE brings to try to apply to my job of Fundación María (MBA ’72), Chairman work. At IESE you the MBA program.” every day.” Francisca de Roviralta of Fomento y Expan- can also learn what it Patricio Jottar Nuria Cabutí sión Empresarial means to lead.” (MBA ’88), CEO of the (MBA ’92), CEO Spain brewery Compañía & Latam of Penguin Rafael Villaseca (MBA ’76), CEO of Gas Cervecerías Unidas Random House Natural Fenosa (CCU)

“I recall long days “In business, not “IESE provided “Learning and “I learned to “You are who you of study, great everything is about me with all the incorporating certain surround myself with are thanks to what friendships, inspiring making a profit. knowledge and values into your spirit the best people and you do, and IESE has professors who We’re here because tools for company is one of the most listen to them before played an important made you question there’s something management that important things that making a decision.” role in my life.” things, passionate more: a higher I would have had you can get from María del Pino Alejandro Beltrán discussions. But purpose, a desire to to acquire through IESE.” Velázquez (MBA ’98), Managing (MBA ’91), Chairwo- director of McKinsey in the most important serve.” many slip-ups had I Francisco Reynés man of the Unisono Spain and Portugal aspect was always Antonio González- not done the MBA.” (MBA ’89), CEO of Abertis group the ethical question.” Adalid Tomás García Madrid (MBA ’75), CEO of Lionel Olavarría (MBA ’88), CEO of (MBA ’75), Vice Cartera Industrial Rea Grupo Villar Mir chairman of the Bci

10 ANNUAL REPORT 2014/2015 1

Alumni gathered to reflect on the enduring values of the school and the impact of the program on their careers, while guest speakers provided insight into the trends shaping the business world of tomorrow.

“I’m from Belgium “What is success in “After completing “We need a new “Internal commu- “During difficult and I grew up life? Most business my two-year MBA, I business model nication is a critical times, there are surrounded by schools equate went back to work in which business issue for CEOs. always opportunities. people from other success with having with a much greater becomes a force for Getting companies What makes the di- countries, speaking a good salary and capacity for critical good.” to face in the same fference is focusing other languages, but an important job thinking and the abi- Jan Zijderveld direction at the same on the right track.” when I came to IESE, title. IESE allows lity to offer perspec- President of Unilever point of time is the José Formoso my understanding you to look inside tives that exceeded Europe biggest challenge.” CEO of Embratel of cultural diversity and develop your the expectations of Martin Sorrell was taken to a whole own definition of the company.” CEO of WPP different level.” success.” Enikö Matanov Kristoff Puelinckx Christopher Daniels (MBA ’10), Director of (MBA ’96), Founder (MBA ’00), Head of Revenue Optimization and CEO of Delta Partnerships and & Business Insights Partners Communications at at American Express Hybrid Air Vehicles Global Business Travel

“The big lesson from “During the program, “People still “When we deal with “Moving the “Great leaders don’t the MBA was how to you are building your think that price is one another, the organization in the extrapolate, they make decisions quic- network, your circle equivalent to value. respect for diversity, same direction at anticipate; they kly, but also how to of trust; you are sha- We need to change for individuality, the same time, has are courageous remain permanently ping yourself through this way of thinking.” for the uniqueness had an enormous enough to abandon a curious and with a a lot of inputs.” Ken Shibusawa of every person impact on our successful practice desire to learn.” Juncal Garrido Founding partner and is critical. In capacity to achieve if necessary; they chairman of Commons Fuencisla Clemares (MBA ’03), Partner this regard, IESE our objectives. And in accept their social (MBA ’00), Google at Rusell Reynolds Asset Management provides one of the a global organization responsibility, build sales director and Associates best environments in that is no easy task.” a culture of trust leader of mobile initiative the world’s leading Søren Skou and cooperation and business schools.” CEO of Maersk Line empower others.” George Yeo Franz M. Haniel Chairman of Kerry Chairman of the Group Supervisory Board of Franz Haniel & Cie

IESE BUSINESS SCHOOL 11 50 YEARS FORGING LEADERS

The IESE MBA program MBA helps future business leaders to develop knowledge, capabilities and a general management perspective. Its curriculum, which offers a cross-cultural learning experience and 60 nationalities are entrepreneurial emphasis, represented in the MBA program. is closely aligned with the school’s values. This year, the program celebrated its 50th anniversary with a series of events around the world.

Overview

Academic Innovation: The 2014-2015 academic year saw the MBA’s educational impact continue to increase. There was a special focus on clear thinking, action orientation, and the human and ethical dimensions of business. Cross- course integration was increased to create a more seamless learning experience. Specific workshops and seminars were introduced to improve teamwork skills, a characteristic of IESE MBA graduates valued highly by employers.

MBA BY THE Capstone In-Company Project: First- NUMBERS year IESE MBA students solved real- world business problems in nine parti- 583 4.5 cipating companies – the biggest project Students Years of experience to date. These were AirBnb, Altadis, (average) Blinklearning, Dorot, Espuña, GKN Dri- veline, Goldengekk, Holaluz.com and Isdin.

International Elective Courses: Students had the opportunity to learn about specific business environments and make % valuable contacts with recruiting com- 60 28 panies and business leaders in locations Countries Women such as Nairobi, New York, Sao Paulo and Shanghai. The second edition of the Ken- ya module, led by Prof. Alejandro Lago, 5

12 ANNUAL REPORT 2014/2015 INTERNATIONAL EXCHANGE “THE SCHOLARSHIP PROGRAM PARTNER SCHOOLS HAS PROVIDED ME WITH THE TOOLS TO • BERKELEY: Haas School • IAE: Escuela de • NYU: New York PURSUE MY CAREER of Business, U.C. Dirección y Negocios, University, Leonard Berkeley, US Universidad Austral, N. Stern School of GOALS. IT HAS ALSO • CEIBS: China Europe Argentina Business, US International Business • IPADE: Instituto • RSM: Rotterdam School GIVEN ME ACCESS TO School, Shanghai, Panamericano de Alta of Management, The IESE’S EXCEPTIONAL China Dirección de Empresa, Netherlands • CHICAGO: The Mexico • TUCK: Tuck School of EDUCATION AND University of Chicago, • ISB: Indian School of Business at Dartmouth, Booth School of Business, Hyderabad, US ITS INCREDIBLE Business, US India • UCLA: The Anderson • COLUMBIA: Columbia • KBS: Keio University, School at UCLA, US COMMUNITY.” Business School, Yokohama City, Japan • UNC: The Kenan- Andrea Hayem (MBA ’16) El Salvador, Columbia University, • KELLOGG: Kellogg Flagler Business IESE Trust Scholarship. Summer Associate US School of Management, School, University of at Morgan Stanley • CORNELL: Johnson Northwestern North Carolina, US Graduate School of University, US • WHARTON: The Management, Cornell • LBS: London Business Wharton School of University, US School, University of the University of Students by geographic area • DARDEN: Darden London, UK Pennsylvania, US Percentage Graduate School of • MBS: Melbourne • YALE: Yale School of Business, University of Business School, Management, US Virginia, US The University of • YSB: Yonsei University 6% Rest 23% • DUKE: The Fuqua Melbourne, Australia School of Business, of the World Asia School of Business, • MICHIGAN: Stephen South Korea Duke University, US M. Ross School of • HEC: HEC School of Business at the Univ. of Management, France Michigan, US • HKU: Hong Kong • MIT: MIT, Sloan School University, China of Management, US 32% 39% Americas Europe • HKUST: Hong Kong • NTU: Nanyang University of Science Technological and Technology, China University, Singapore

IESE BUSINESS SCHOOL 13 50 YEARS FORGING LEADERS MBA

5 269 students graduated in the Class of 2015. focused on the reality of doing business in Africa and featured guest speakers from GE Africa, UNICEF and Ciel Group, Placement by region as well as company visits. Students also Percentage had the opportunity to work with local businesses including Airtel, Sandoz, Mo- NORTH AMERICA 6% tion Pics, and Rusinga on real issues they EUROPE 52% were facing. MBA Placement

Within three months of graduating, 91 LATIN AMERICA 13% percent of MBA students had job offers. Students received coaching, interview ASIA 21% practice, and workshops to prepare them for the many opportunities organized MIDDLE EAST & AFRICA 8% to meet recruiters. There were three Ca- reer Forums on the Barcelona campus, as well one in Singapore and in New York, hosting a total of 110 companies. Two more MBA Career Forums were organized in conjunction with other top European business schools that focused specifically on careers in Asian and Latin Placement by industry American companies. Percentage

Young Talent Program STRATEGY/MANAGEMENT CONSULTING 28.7 FINANCIAL SERVICES 23.3

Designed for current undergraduates E-COMMERCE 10.8 and recent graduates that wish to secu- re a place on the IESE MBA, the Young HEALTHCARE* 6.3 Talent Program (YTP) currently has 182 INFORMATION TECHNOLOGY 5.4 net candidates enrolled from 33 different CONSUMER GOODS 2.7 countries who will join the Next Steps Seminars before starting at IESE. This RETAIL (BtoC) 3.1 year, seven YTP participants were ad- REAL ESTATE 1.3 mitted to the MBA. ENERGY & UTILITIES 1.3

OTHER INDUSTRIES 17.1 *Pharma, Biotec, Med. Devices & Hosp. Mngt

14 ANNUAL REPORT 2014/2015 1

The Executive MBA (EMBA) EXECUTIVE MBA helps young managers develop executive abilities with a humanistic focus. They gain the in- depth knowledge needed to The Executive MBA is delivered in Barcelona, manage companies. And it Madrid and Sao Paulo, provides them with a global and has intensive modules in New York City and vision of the business world. Shanghai.

EMBA BY THE NUMBERS 513 Students 32.5 Average age

Overview New York, Sao Paulo or Shanghai with elective courses and the executive ma- Academic Innovation: Changes were nagement simulation (EXSIM) program. implemented during the 2014-2015 aca- 8 demic year to enhance the program’s Club Activities: The EMBA entrepre- Years of professional international scope and student expe- neur, energy, aeronautics and transport, experience (average) rience. The EMBA programs in Barcelo- healthcare, finance, marketing, and na and Madrid, and Sao Paulo beginning IT & media clubs organized a packed 2015, offer different options for the three calendar of networking activities for intensive compulsory weeks in the se- students and alumni this year. A new cond year. Students combine immersion group, WEMBAC (the Women Executive experiences in the international hubs of MBA Club), was also created.

IESE BUSINESS SCHOOL 15 50 YEARS FORGING LEADERS GLOBAL EXECUTIVE MBA

The program is targeted toward senior executives with Overview over 10 years of work experience and is designed to One Class, Two Tracks First Gradua- deliver significant career impact and leadership growth. tion: The Global Executive MBA Class It develops advanced decision-making capabilities of 2015 produced the first cohort of participants who began the program within the context of global business and the challenges in New York. The “One Class, Two that lie ahead. The Global Executive MBA offers a unique, Tracks” format, launched during the collaborative learning experience with a focus on people, 2013-2014 academic year, saw groups study either in Barcelona or New York ethics and values, as well as the opportunity to develop a before coming together in Asia, Europe general management perspective underscoring strategy, and North America. planning and execution. The program is built on a blended learning methodology, combining mandatory residential modules in strategic global business hubs with online, distributed activities. These connect the cohort, which comprises executives from diverse cultures, sectors and geographic regions. The curriculum draws on discussion-based learning and the case method to expose participants to new ideas and approaches. Company visits, contact with international business leaders, diverse cultural experiences and in-company project work help participants expand their outlook and test their ideas.

Academic Innovation: One-on-one coaching started as an option and received excellent feedback from all participants. Live e-sessions in pre- and post-residential modules led to a greater focus on discussion-based classroom learning. There was also more interaction and collaboration within teams due to the increased integration of learning tools on the Virtual Campus. 62 students graduated in the Class of 2015.

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“BLENDED World Executive MBA LEARNING MAKES GLOBAL EXECUTIVE MBA A TRULY GLOBAL EXPERIENCE.”

“Being able to study together from anywhere in the world is the foundation of a truly global learning experience. Technologies like Blackboard, Thunderbird and WebEx helped connect us when we were on different continents and boost the effectiveness of our time together. This was enhanced further by the small class sizes and skill of the professors in promoting live discussions. We were also able to visit A new program global companies and see first-hand what makes them leaders in their The new World Executive MBA is an respective fields. This gave me context and confidence to apply what I’d 18-month immersive learning expe- learned during the Global Executive MBA in the real world.” rience that spans five continents and exposes participants to first-hand ex- David Howes (GEMBA ’15) UK, Head of CRM and Content at Thomas Cook perience of how business is done across borders. The 21st century designed program is delivered jointly by IESE and China Europe International Business School (CEIBS). Residential modules every two months are mixed with innovative online sessions that happen in Barcelona, Ghana, India, Sao Paulo, Shanghai, Shenzhen, Silicon Valley, GLOBAL EXECUTIVE New York and Munich. Participants MBA BY THE are high-impact leaders with a signi- NUMBERS ficant responsibility in their business, with global and cross-border responsibilities. The first cohort will begin the journey in January 2016. 82% 106 International Students students 3 8 32 38 Countries Average age represented

IESE BUSINESS SCHOOL 17 50 YEARS FORGING LEADERS GUEST SPEAKERS IN A YEAR OF CELEBRATIONS *IAB: International Advisory Board

Lech Walesa Former President of Franz M. Haniel* Chairman The Haniel Paul J. Fribourg CEO of the Continental Poland and Nobel Group Grain Company Laureate

Kerry Logistics Chairman Paul Polman* CEO of Unilever George Yeo* José Viñals Financial counsellor and director of monetary and capital markets at the IMF

Thomas Rabe Bertelsmann’s Chairman Robert E. Rubin Former U.S. Treasury Ibukun Awosika* Chief Executive Officer of and CEO Secretary Sokoa Chair Centre

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Benita Ferrero- Former European Andrea Enria Chair of the European Romano Prodi Former President of the Waldner* commissioner and board Banking Authority European Commission member at Munich Re

Valentín Fuster Director in chief of New José María COO of Telefónica Richard Gingras Senior Director of News York's Mount Sinai Álvarez-Pallete at Google Hospital

Janne Haaland Professor at the University Ferdinando CEO of GE, Europe Luis Cantarell Executive vice-president Matláry* of Oslo and former state Beccalli-Falco of Nestlé secretary in Norway’s Ministry of Foreign Affairs

René Aubertin CEO Haier Europe Jürgen Stackmann Chairman of the executi- Davis Mills CEO Europe at Ricoh ve committee at SEAT

IESE BUSINESS SCHOOL 19 50 YEARS FORGING LEADERS GUEST SPEAKERS IN A YEAR OF CELEBRATIONS *IAB: International Advisory Board

Aymar de Senior vice president and Guy Kawasaki Apple’s first ‘Chief Marc Puig Chairman and CEO of Lencquesaing president of EMEA at Evangelist’ Puig Lenovo

Hans Langer Chairman of EOS Herman Daems Chairman of the board of Patricia Francis* Chairwoman of public BNP Paribas Fortis sector transformation for the government of Jamaica

Denise Kingsmill* Board member of Gonzalo Gortázar CEO of CaixaBank Juan Manuel CEO of Advisory Hispanic International Airlines Ferrón America Services at PwC Group Mexico

20 ANNUAL REPORT 2014/2015 1

Olafur Ragnar President of Iceland Grímsson

Ken Shibusawa Founding partner and Martin Wolf Head of economic Jan Zijderveld Chairman of Unilever chairman of Commons analysis at the Financial Europe Asset Management Times

Antonio Gallart CEO of Compañía Erwin Rauhe Vice president for BASF Luis Maroto CEO of Amadeus General de Electricidad Group Europe South

Patricio Jottar General manager of CCU, José Formoso CEO of Embratel Ricardo Setúbal Chairman of the board at Compañía Cervecerías Itautec Unidas

IESE BUSINESS SCHOOL 21 2. Developing Leaders Around the World IESE’s diverse portfolio of programs has been created for executives at every stage of their careers. Our Executive Education programs are designed to meet the specific needs of companies and their leaders around the world. All share a common goal: to have a positive and lasting impact on the way the world does business.

DEVELOPING LEADERS AROUND THE WORLD IESE EXECUTIVE EDUCATION AT A GLANCE

IESE Executive Education programs were ranked this 2014-2015, the program had a total of year as number one in the world by the Financial Ti- 54 participants. mes. Programs are designed to meet the professional Custom Programs needs of individuals and the strategic goals of organiza- • IESE delivered bespoke, customized tions. They are backed by rigorous and recent research, learning programs to 64 companies refined through robust feedback from thousands of worldwide. participants around the globe each year, and delivered • More than 5,000 executives took part by renowned faculty members. Companies on every in programs across Europe, North America, South America and Asia. continent trust IESE to help keep their executives at the • New blended programs were laun- forefront of excellence in management. ched, in which a part of the content was delivered through online syn- Leadership and General chronous sessions integrated with Management Programs face-to-face programs. • 15 IESE general management programs Focused Programs were held, with 1,094 participants. • Programs were delivered in 13 cities in • 40 intensive programs in two to five- Europe, North America, Asia and Latin day formats tackled specific issues America. facing companies and industries. • African business leaders participated • 916 mid-level and senior managers in programs held in Spain, Kenya, Ni- participated. geria and Côte d’Ivoire. • Programs were held in diverse cities, • The Global CEO Program: A Trans- including Barcelona, Madrid and New formational Journey, held in partner- Ranking FT York. ship with CEIBS and Wharton, saw 33 • Six new programs were introduced. senior leaders with at least 20 years • For the second consecutive year, experience take part in an educational Value Creation Through Effective experience across China, the United Boards was held on the Barcelona States and Europe. campus. Conceived and delivered in • Complementary modules of the Global partnership with Harvard Business CEO Program took place in Indonesia School, the program covered the de- and Singapore. sign, role and monitoring of boards. • The Global CEO Program for China is a special executive education initiative Healthcare Management offered through an educational a part- IESE number one in Program (HMP) nership of HBS, CEIBS, and IESE. It is executive education programs, according organized in three modules, with one to the Financial The program provides a practical, module taking place at each school. In Times. hands-on approach to gaining new

24 1 ANNUAL REPORT 2014/2015 2

knowledge and perspectives on healthcare management. The latest healthca- “AS AN ENTREPRENEUR, I THINK WE ARE re research is used as a base to develop outstanding managerial, decision-ma- BORN WITH THE CONVICTION THAT BUSINESS king and leadership insights for industry professionals. The program design IS GLOBAL SO I WANTED AN INTERNATIONAL stimulates in-depth discussions and PROGRAM. ONE OF THE BEST THINGS ABOUT THE analyses based on authentic cases in the field. AMP IS HAVING ACCESS TO THE EXPERIENCE OF Industry Meetings PEOPLE FROM ALL OVER THE WORLD.” “We have on our course people from Colombia, South Africa, China, Europe • These platforms for knowledge ex- and more. Every time a challenge is posed to the room, the answer comes change among business executives, from a different perspective. academics and thought leaders and I love the learning by doing, compared with other academic methodologies. cover a wide range of industries. When you have to implement things as well as think about them is when • This year, the Banking Industry Mee- you really learn – your brain gets wired differently. ting celebrated its 10th edition. Par- The modular structure is quite intense. For one week you are fully focused ticipants including the governor of on the program, but it allows you to travel around and continue your daily the Bank of Spain, the CEOs of BBVA, working life. Caixabank and Banco Sabadell, and Sometimes you make decisions intuitively, but the AMP teaches you to an executive board member of Banco consider all the options. It is leading me to become a better manager and Santander analyzed the European to take my company and my team forward.” financial situation and talked about new opportunities. Ana Maiques (AMP ’15) Spain, CEO of Starlab • A total of 11 Industry Meetings with 1,404 participants took place in Bar- celona, Madrid and Mexico City in Leadership Programs from the European Union (Decision- 2014-2015. for Public Sector Making for European Parliament • The Industry Meetings covered the Management Senior Managers) and the design of following industries and areas of a program for senior officials from expertise: automotive, health care, • Seven programs helped 236 leaders Europe. ICT-digital, food & beverage, energy, in governmental and public orga- • The Communication, Leadership and banking, sales & marketing, chemi- nizations to professionally manage Campaign Management Program, as cal, insurance, and CFOs. public resources. Participants deve- well as the Evaluation of Public Poli- • New offerings included the first Food loped new managerial capabilities, cies and Social Programs are delive- & Beverage IESE-IPADE Industry learned how to motivate better their red in cooperation with the Harvard Meeting and the initial CFO’s Indus- teams and implement management Kennedy School of Government. try Meeting. models to carry out public policies. • Additional courses for 2014-2015 included a program for managers

IESE BUSINESS SCHOOL 25 DEVELOPING LEADERS AROUND THE WORLD

Internationalization has A NEW MILESTONE: always been an important THE MUNICH CAMPUS objective for IESE; the school was founded to develop a management education model with a global reach.

The new Munich campus facilities are located near the Ba- varian parliament.

THE 2014-2015 academic year ended led to the creation of Europe’s first two Munich Campus with a milestone for IESE: the start of year MBA program, which has attracted activities on the new Munich campus. students from Europe, Asia, Africa and Activities commenced at IESE’s new IESE launched its first program in the the Americas. IESE began in Barcelona campus in Munich on June 29, 2015, con- Germany city in 2005, the Advanced but its activities and presence have consolidating the school’s 10-year presence Managment Progra, (AMP), which was tinued to expand around the world. It in Germany. followed by the Program for Manage- grew its operations to include in Madrid ment Develpment (PMD) and Custom in 1974 and opened a permanent cam- Transforming German Programs. pus in Munich in 2015, after ten years Businesses Since 2005 IESE’s global reach dates back to 1958, of activity there. The school also has an IESE began its activities in the country when IESE faculty members began to Executive Education Center in Warsaw with the launch of the Advanced Ma- undertake research in international plus offices in London. Outside of Euro- nagement Program (AMP) for senior institutions. in 1963, the school entered pe, IESE has had a campus in New York executives, which celebrated its 10th into its first international alliance, in this since 2010 and currently delivers pro- anniversary this year. Since then it has case with Harvard Business School. This grams in Africa, Asia and Latin America. added the Program for Management

26 ANNUAL REPORT 2014/2015 2

“I THINK THAT IT IS IMPORTANT TO HAVE A HUB OF ACADEMIC LIFE: A PLACE TO RUN PROGRAMS, TO INVITE GUESTS AND GUEST SPEAKERS, TO GIVE IESE organized 10 alumni activities in Germany in 2014-2015. RECEPTIONS; AND Development (PMD) for high-potential Opening the Doors functional managers plus Executive Edu- to Growth in Germany MOST OF TO CREATE cation and Custom Programs for many As well as consolidating IESE’s presen- ALL A PLACE WHERE of Germany’s multinational businesses. ce in Germany, the new facilities will The school currently has over 1,100 also reinforce the international status PEOPLE CAN GET alumni in German-speaking countries of Munich itself. This was emphasized and around 50 German students in its by one of the guests of honor at the ope- A FEEL FOR THAT MBA programs every year. Fifteen IESE ning ceremony, Bavarian deputy prime faculty members are German. The new minister Joachim Herrmann, who sta- SPECIAL SPIRIT THAT facilities will allow the launch of a port- ted that the campus will “help to stren- YOU CAN ONLY GET folio of programs for the German. gthen Munich’s position in Germany The new facilities will allow the launch and abroad as a hub for innovation, AT IESE.” of a portfolio of programs for the German research and technology.” Herrmann and Central European markets and the told the more than 300 alumni and "IESE’s Munich campus is a hosting of international MBA modules. business leaders in attendance that unique location to connect with Two research centers are planned, one the school had an “extraordinary his- a wide range of companies from centered on family business and the tory” in Germany. The ceremony also the strongest economy in Europe. other on manufacturing and innovation. featured a presentation by Franz M. You’ll get personal access to global IESE Munich will be the hub for exe- Haniel, chairman of the Haniel Group, players, as well as to leaders of cutive education for international com- who spoke about the characteristics of many Mittelstand companies. This panies located in Germany and Central great leadership. opportunity is priceless.” Europe. Georg von Boeselager (AMP Munich ’08) President of the IESE Germany Alumni Chapter. Senior partner at Merck Finck & Co.

Franz H. Haniel, chairman of the Haniel Group.

IESE BUSINESS SCHOOL 27 DEVELOPING LEADERS AROUND THE WORLD A NEW MILESTONE: THE MUNICH CAMPUS

The Munich campus is located in a historical manor, redesigned and refitted by the renowned architect André Behncke.

LOCATION PROGRAMS THE MUNICH Maria-Theresia-Strasse 15 81675 Munich AND ACTIVITIES CAMPUS FIGURES

Advanced Management Program (AMP) F B Program for Management Isar IESE M Development (PMD) 1,419

HOSPITAL Custom Programs Square meters

MAXIMILIANEUM • Allianz

M F Train • BASF M Metro • Bertelsmann B Bus • BMW • Deutsche Bank • EADS 2 2 • Haniel Group Classrooms Multi-purpose rooms • Henkel • MAN • Opel • Phoenix • Volkswagen Opening with Vicepresident of the Bavarian Alumni Events 6 1 Government & the Chairman of The Haniel Group. 350 alumni participated at this event. Eighteen events for the 1,100- Workrooms Chapel plus IESE alumni in German- speaking countries were held in Munich, Düsseldorf, Frankfurt, Berlin, Vienna and Zurich. 30 1 Office spaces Dining room

28 ANNUAL REPORT 2014/2015 2

CLASSROOM

DINING ROOM

OFFICES

HALL CLASSROOM

WORKROOM CHAPEL

MULTI-PURPOSE ROOM

WORKROOMS

IESE BUSINESS SCHOOL 29 DEVELOPING LEADERS AROUND THE WORLD

With the inauguration of US: its New York campus in THE NEW YORK 2010, IESE gained a firm footing for its expansion CAMPUS in the United States. Since then, the number of activities, sessions, events, custom clients, programs, professors and participants CAMPUS ALUMNI MBA PROGRAM EXECUTIVE IESE CHAPTER PARTNER SCHOOLS EDUCATION CENTERS has continued to grow. in-house, VIP breakfast events that attracted more than 100 senior executives. GEMBA Americas Track Reaches Destination The Class of 2015 of IESE’s Global Execu- tive MBA was the first to include senior international executives who started the program in New York. The One Class: CANADA Two Tracks edition, launched during the 2013-2014 academic year, saw two groups begin to study in Barcelona and New York before coming together in Europe. CHICAGO, US TUCK, US US Advisory Council KELLOGG, MICHIGAN, US MIT,US US Since 2011, 20 US executive directors US NYU, USCOLUMBIA, YALE,US US CORNELL, US WHARTON, US SILICON VALLEY NEW YORK CITY and CEOs have provided the school with advice for the long-term development of DARDEN, US UNC, US BERKELEY, UCLA, USUS activities in the United States. The cou- DUKE, US MIAMI ncil also offers guidance on how these activities can benefit IESE in other parts of the world.

IESE’S NEW YORK CAMPUS currently MBA students came from the US and hosts general management programs, 6 percent of the graduating Class of three Focused Programs, and Custom 2015 landed jobs there, thanks to an Programs for companies including the MBA career forum held in New York. BMW Group, Eurovision, Oracle, SAB The school’s brand and profile were Miller and UNICEF. In 2014-2015, there boosted through the activities of the were 700 senior executives attending IESE North American Business Club programs in our New York Campus. (NABC).

Global Leadership Guests. Robert Rubin, former Secretary of MBA & EMBA the US Treasury (left); Paul Fribourg, CEO of Breakfasts Continental Grain Company (right) The New York campus played an integral role in the delivery of the MBA Prestigious guests, including former Se- and Executive MBA programs, with cretary of the US Treasury Robert Rubin 79 participants choosing to comple- and Continental Grain Company CEO te the US module. Twelve percent of Paul Fribourg, were interviewed at these

30 ANNUAL REPORT 2014/2015 2

“THE AMERICAS TRACK OF IESE'S GEMBA COMBINES A BROAD INTERNATIONAL SCOPE WITH SOME OF THE GREAT ELEMENTS OF THE AMERICAN BUSINESS AND CUL- TURAL LANDSCAPES.” "The products and talents of Silicon Valley and New York constantly shape the world. Participating in the GEMBA's Americas track helped me deepen my appreciation for this and also realize where I may best apply my own talents. IESE has a lot to offer the entire world and America is no exception. While the United States boasts some of the world's greatest universities on its own soil, IESE offers a global reach and a unique perspective on developing outstanding business leaders who are committed to making a positive difference in society for all stakeholders.”

Matthew Larkin (GEMBA ’15) US, Lieutenant Commander in the US Navy and Officer-in-Charge (OIC) of Personnel Support Detachment Great Lakes (Illinois)

PROGRAMS MBA PROGRAM IN NUMBERS AND ACTIVITIES PARTNER SCHOOLS

General Management • BERKELEY: Haas School of • TUCK: Tuck School of Programs Business, U.C. Berkeley Business at Dartmouth • Senior Executive Program • CHICAGO: Booth School of • UCLA: The Anderson School at (SEP), New York-Miami Business, The University of UCLA • Advanced Management Chicago • UNC: The Kenan-Flagler 1,127 Program in Media and • COLUMBIA: Columbia Business Business School, University of Alumni in the US Entertainment (Media AMP), School, Columbia University N. Carolina New York-Los Angeles. • CORNELL: Johnson Graduate • WHARTON: The Wharton • Program for Leadership School of Management, School of the University of Development (PLD), New York- Cornell University Pennsylvania Miami • DARDEN: Darden Graduate • YALE: Yale School of • Global CEO Program: A School of Business, University Management Transformational Journey - Sao of Virginia Paulo-Philadelphia-Shanghai. • DUKE: The Fuqua School of 7 Alumni sessions in New Business, Duke University York, Miami and San Fran- Focused Programs • KELLOGG: Kellogg School of cisco with a total of 500 • Advanced Digital Media Management, Northwestern participants in 2014-2015 Strategies (ADMS) University • Making It Work (MIW) • MICHIGAN: Stephen M. Ross • Doing Business Globally (DGB) School of Business at the Univ. of Michigan Custom Programs • MIT: MIT Sloan School of • BMW Group • Microsoft Management • Boing • Oracle • NYU: Leonard N. Stern • Citi • Pfizer School of Business, New York 15% • Eurovision • SAB Miller University of IESE MBA students • HP • UNICEF come from the US

IESE BUSINESS SCHOOL 31 DEVELOPING LEADERS AROUND THE WORLD

IESE has developed and LATIN AMERICA. BRAZIL offered programs in Sao Paulo since 2001. The school’s activities in Brazil are designed to strengthen service to existing clients throughout the country and to increase the number of organizations there ALUMNI ASSOCIATED MBA PROGRAM OFFICES CHAPTER BUSINESS SCHOOLS PARTNER SCHOOLS that we can serve. from IESE, IPADE and IAE. It includes a week on IPADE’s campus in Mexico, one week on IESE’s New York campus, MEXICO and a final week on IAE’s campus in IPADE, IPADE, MEXICO MEXICO Buenos Aires. UNIS, GUATEMALA Alumni COLOMBIA IESE’s Latin American network con- INALDE, COLOMBIA tinued to grow during the academic year thanks to its students, alumni, academic alliances and the develop- IDE, ECUADOR ment of associated schools. The 2,168 PERU alumni in Latin America represent 20 BRAZIL PAD, PERU percent of the international alumni community as a whole. During the ISE, BRAZIL academic year, 26 alumni events were organized throughout the region with

SÃO PAULO the assistance of its six alumni chapters: Argentina-Uruguay, Brazil, Chile,

URUGUAY Colombia, Mexico and Peru. CHILE IEEM, URUGUAY MBA Modules ESE, CHILE

IAE, ARGENTINAARGENTINA During the academic year, 55 MBA and EMBA students took an overseas mo-

IAE, ARGENTINA dule in Sao Paulo. An elective module of the Global Executive MBA (GEMBA), General Management Sao Paulo had participants from 17 titled Managing Complexity, took pla- Programs different companies and included nine ce in Sao Paulo at the ISE campus. modules: seven at ISE facilities in Sao Sixteen percent of IESE MBA stu- IESE delivers three general manage- Paulo plus two intensive weeks at dents came from Latin American ment programs in Brazil: the Global IESE Campuses in Barcelona and New countries and 13 percent of graduates CEO Program, the AMP Sao Paulo York. The PMD Sao Paulo had two co- went on to get jobs there. The MBA’s and the PMD Sao Paulo. The Global horts with a total of 41 participants. Latin American Business Club held CEO program is jointly delivered by IESE launched a new program in events to expand knowledge of LATAM IESE, CEIBS and Wharton. In 2014- Latin America for senior leaders with opportunities and business culture. 2015, a module was held in Sao Paulo regional responsibility. The PADLA for the fourth consecutive time, with (Programa de Alta Dirección para Lí- the other two modules taking place in deres de las Américas) started in Sep- Philadelphia and Shanghai. The AMP tember 2015 and is a joint program

32 ANNUAL REPORT 2014/2015 2

“ECONOMIC GROWTH ALONE IS NOT ENOUGH. WE NEED A BROADER VISION OF SUSTAINABILITY WITH THE AIM OF LEAVING THE COUNTRY HABITABLE FOR FUTURE GENERATIONS.”

Ricardo Setúbal Itautec's chairman of the board, Brazil

PROGRAMS ASSOCIATED AND ACTIVITIES BUSINESS SCHOOLS

• 4 General Management IESE played a key role in the Programs: Global CEO Program, foundation and development of Advanced Management nine associated business schools Program, Program for in Latin America: Management Development and PADLA (Programa de Alta • IPADE: Instituto Panamericano Dirección para Líderes de las de Alta Dirección de Empresa, Américas) Universidad Panamericana, • UNIS: UNIS Business School, 37 students graduated in the second • 1 MBA Program: The Executive Universidad del Istmo, Guate- promotion of the EMBA Sao Paulo. MBA Sao Paulo was launched mala (1977) in 2012 is delivered at the ISE • IAE: IAE Business School, Uni- campus versidad Austral, Buenos Aires, Executive MBA Argentina (1978) Sao Paulo • 2 MBA and EMBA optional • PAD: Escuela de Dirección de overseas modules la Universidad de Piura, Peru The ceremony for the second gradua- (1979) ting class of the IESE EMBA Sao Pau- • 1 Global EMBA module • INALDE: Instituto de Alta Direc- lo took place in June 2015. The chair- ción Empresarial, Universidad man of the board at Itautec gave the • 26 alumni events in 2014- de la Sabana, Bogota, Colombia keynote speech for the 37 graduates. 2015 in seven Latin American (1985) The EMBA Sao Paulo was launched in countries, involving more than • IEEM: Instituto de Estudios 2012, becoming IESE’s first MBA pro- 1,300 alumni Empresariales de Montevideo, gram in Latin America. It is delivered Universidad de Montevideo, at the ISE campus plus a residential Montevideo, Uruguay (1986) module in Barcelona. • IDE: Instituto de Desarrollo Em- presarial, Guayaquil, Ecuador Advisory Committees (1992) • ISE: Instituto Superior da Em- Advisory committees with IESE facul- presa, Brazil (1996) ty as members supported the develo- • ESE: ESE Business School, pment of schools in Chile, Argentina, Universidad de Los Andes, Brazil, Ecuador, Uruguay, Colombia, Santiago, Chile (1999) Mexico and Peru.

IESE BUSINESS SCHOOL 33 DEVELOPING LEADERS AROUND THE WORLD

The Global CEO Program for China ASIA offers participants an experience of international learning through modules at Harvard Business School, IESE and CEIBS.

OFFICES ALUMNI ASSOCIATED MBA PROGRAM CHAPTER BUSINESS SCHOOLS PARTNER SCHOOLS

General Management Programs JAPAN SHANGHAI YONSEI, SOUTH KOREA Two programs for CEOs were delive- CHINA KEIO, JAPAN red in Asia this year in partnership with other business schools. Top exe- TOKYO CEIBS, CHINA cutives from five continents came to NEW DELHI INDIA CEIBS, CHINA Shanghai as part of the sixth edition HONG KONG TAIWAN of The Global CEO Program (GCP), an HONG KONG ISB, INDIA IESE-CEIBS-Wharton joint program. The program had an optional module, HKU, HONG-KONG GCP Asia Week that was held in Singa- HKUST pore and Indonesia, with 33 executives taking part. The Global CEO Program for China (GCPC), by IESE, CEIBS and UA&P, PHILIPPINES HBS, was delivered in Chinese. Fifty- SINGAPORE / MALAYSIA SINGAPORE NUS, SINGAPORE four business leaders took part in this NANYANG, SINGAPORE year’s edition. New Program: IESE has been developing business leaders from Asia for World Executive MBA almost 50 years, since it admitted its first student from The World Executive MBA is an the Philippines into the full-time MBA in 1964. Today, 18-month immersive learning expe- 26 percent of IESE MBA students come from Asia. In rience that spans five continents and recent years, the increasing strategic importance of the exposes students to first-hand expe- region has been reflected in IESE’s activities. The school rience of how business is done across borders. The program is a joint venture has offices in Hong Kong, Tokyo, Shanghai, Singapore between IESE and CEIBS with a focus and New Delhi and has continued to expand its initiati- on Asian business. The first cohort ves through various program modules. This year, IESE will begin their journey in January 2016. This is IESE’s first MBA degree launched the World Executive MBA in partnership with program in Asia. CEIBS (China Europe International Business School).

34 ANNUAL REPORT 2014/2015 2

“THIS PROGRAM, HELD IN THREE DIFFERENT COUNTRIES, IS TEACHING ME A LOT ABOUT DEVELOPED ECONOMIES, WHICH HAVE VERY ADVANCED MANAGEMENT TECHNIQUES. THE CONCEPT OF LEADERSHIP IS ALSO DIFFERENT IN THE WEST.”

Liza Li (Global CEO Program for China 2015) Chairwoman of Xinjiang Yi’er High-Technique Agriculture, China

MBA Modules Twenty-two program participants elec- PROGRAMS MBA PROGRAM ted to complete an overseas module in Shanghai this year. There were two AND ACTIVITIES PARTNER SCHOOLS Asia-focused events organized by Ca- reer Services: the Asia Career Summit (Singapore) and the Asia Career Fair • General Management Pro- • CEIBS: China Europe (London). This was a factor in 11 per- grams: Global CEO Program International Business School, cent of the Class of 2015 going for jobs and Global CEO Program for China in Asia. China • HKUST: Business School, Shanghai was also the delivery lo- • Focused Program in Singa- Hong Kong University of cation for a module of the Executive pore: Digital Mindset: How to Science & Technology, China MBA this academic year, which was Innovate Your Business for the • HKU: University of Hong Kong, completed by 86 students, and the third Future China module of the Global Executive MBA, • Custom Programs • ISB: Indian School of titled Leading Across Borders. • MBA Program: the World Business, India Executive MBA, a new joint • KBS: Keio Business School, PhD Program IESE-CEIBS program for senior Japan executives with cross-border • NUS: National University of Students from Asia were the largest in- responsibilities (launching Singapore, Singapore ternational group this year, with a total January 2016) • NTU: Nanyang Technological of 12. • MBA and EMBA optional University, Singapore overseas modules • YSB: Yonsei University School Alumni on the Rise • Global EMBA module of Business, South Korea • PhD program in partnership In 2014-2015, IESE organized 25 events with CEIBS for alumni and friends in 14 cities with • Alumni Chapters: China, 950 attendees. Around 900 IESE alum- India, Japan, Singapore and ni are currently based in Asia. Alumni Taiwan Association chapters in Singapore and Taiwan were launched to join those al- ready thriving in China, India and Japan.

IESE BUSINESS SCHOOL 35 DEVELOPING LEADERS AROUND THE WORLD AFRICA

ASSOCIATED PARTNER BUSINESS SCHOOLS SCHOOLS Programs and Activities on Africa

In the Global CEO Program, the optional Africa Experimental Week module provided practical insights into how investors and companies operate in South Africa and Ghana. The Pan-African AMP and EMBA modules brought together students from Lagos Business School and

MDE, CEIBS, COTE D'IVOIRE GHANA LBS, NIGERIA Strathmore Business School on IESE’s Barcelona campus. • Pan-African AMP modules started in 2009. In 2014-2015, there were 48

SBS, KENYA participants. • Pan-African EMBA modules started in 2010. There were 111 participants AESE, ANGOLA this year.

Over 30 AMP and 40 PMD participants from MDE Business School (Côte d’Ivoire) also came to the IESE Barcelona campus this year to complete program modules. During their stay, the school organized the IESE-Afri- For over 20 years, IESE has supported the development ca Think Tank & Networking Event, of management education in Africa. The School works which brought European executives together with CEOs, presidents, and alongside African business schools on the development other senior executives from the Côte of joint projects. It delivers management development d’Ivoire. related to Africa for senior executives in both IESE and Around 250 executives attended the partner school programs, as well as promoting and Europe-Africa Business Summit, held in Warsaw. The event was a platform supporting numerous business communities through for exchange and networking for both research initiatives, expertise sharing and networking European and African entrepreneurs events. The school’s various activities are organized un- and companies. der the umbrella of its Africa Initiative and have helped to form strong ties across the continent.

36 ANNUAL REPORT 2014/2015 2

Pan-African AMP modules brought together students from Lagos Business School and Strathmore Business School on IESE’s Barcelona campus.

MBA Modules “IF I COULD TEACH The MBA program offered an opportunity to gain insights into the realities THE WORLD ONE of doing business in Africa. Thirty-two BUSINESS SCHOOLS THING ABOUT AFRICA second-year students took the chance IN AFRICA DEVELOPED to study an overseas module in Nairobi, WITH IESE’S SUPPORT IT WOULD BE THAT IT Kenya, experiencing the country’s potential in-situ, and discovering the oppor- IS A MARKET WHERE tunities and challenges that it presents • LBS: Lagos Business School, to business leaders. The module also Lagos, Nigeria (1991) BUSINESSES THRIVE.” included a course on Social Innovation • SBS: Strathmore Business and Social Entrepreneurship in Africa. School, Nairobi, Kenya (2005) "Many successful businesses are Two MBA student initiatives, the Afri- • MDE: MDE Business School, started and built even in spite of ca Business student club and the Middle Abidjan, Côte d’Ivoire (2011) the talk of instability. East and North Africa (MENA) club, pro- Do your own research, draw your vided educational opportunities based IESE also collaborates with own conclusions. If you only listen around relevant themes. CEIBS on Custom Programs to the press you’ll miss a lot of and on the EMBA, delivered by opportunities.” Alumni CEIBS in Accra, Ghana, and with Chidi Anosike AESE in Angola. (EMBA Pan African Module 2014) Nigeria, IESE’s international calling was evi- CEO of Ingres Quality Rollout dent from the start. The first edition of the MBA, launched in 1964, included an African student. Since then, the school’s growing profile in the continent has led to an increasing alumni community, currently with 518 members. Africa on the International Advisory Board The Nigerian serial entrepreneur, author and CEO of The Chair Center Group Ibukun Awosika (GEMBA ’04 and GCP ’13) was appointed to the school’s Inter- national Advisory Board in 2014. She brings extensive boardroom experience from her roles in companies including the First Bank of Nigeria and Cadbury.

IESE BUSINESS SCHOOL 37 3. Ideas With Impact IESE’s faculty members include world- renowned names in academic fields. Full- time professors hold doctorates from the world’s leading academic institutions. They balance their roles as educators with a constant commitment to rigorous research and the development of knowledge. Their experience and perspectives from around the world and their ongoing roles as consultants and board members with international organizations ensure that their work remains relevant and fully acquainted with the needs of today’s companies and industries. Many IESE professors serve on boards of global professional associations and prestigious academic journals.

IDEAS WITH IMPACT

Several faculty members FACULTY received awards and honors this year that recognized their accomplishments in the generation of new ideas for the business and academic communities.

PROF. AFRICA ARIÑO was elected as a Fellow of the Strategic Management So- ciety (SMS). The purpose of the Fellows is to recognize and honor SMS members who have made significant contributions to the theory and practice of strategic management. The International Fran- cqui Chair, awarded by the Francqui Foundation, went to Prof. Stefan Stre- mersch. This chair, which is honorary in nature, is given to professors who excel in their respective fields of expertise. Prof. Victor Martínez de Albéniz received the prestigious XIV Sabadell Herrero Prize for Economic Research in recognition of his work in the field of business management. Prof. Antonio Argandoña received the Ramón Mullerat Prize for the Promotion of Social Responsibility and Sustainability, and Prof. Nueno was granted the Order of Isabel la Católica by FACULTY PROFILE 2014-2015 King Felipe of Spain in recognition of his promotion of the country abroad. These are just some of the awards received by the IESE faculty, which comprises 101 full-time members from 31 countries. The school welcomed four new professors during the 2014-2015 academic year: Assistant Professor of Financial Mana- 101 31 68 gement Christian Eufinger (PhD Goethe Full-time Countries External University), Assistant Professor of Mana- Professors Collaborators ging People in Organizations Yuan Echo Liao (PhD Simon Fraser University), As- sistant Professor of Managing People in Organizations Raphael Silberzahn (PhD University of Cambridge) and Assistant Professor of Managing People in Organi- zations Álvaro San Martín (PhD Insead). 11 4 — See also Exhibit I (IESE Faculty Articles in Inter- Visiting New national Refereed Journals 2014-2015) and Exhibit Professors Professors II (Academic Appointments).

40 ANNUAL REPORT 2014/2015 3

Antonio Argandoña, Emeritus Professor of Pascual Berrone, Associate Professor Economics and Business Ethics. of Strategic Management.

AWARDS & HONORS

ARGANDOÑA, A., Ramón Mullerat Prize for Nueno, P., Commander by Number of the Promoting Social Awareness and Sustainabi- Orden de Isabel la Católica awarded by his lity, 2014 Majesty the King of Spain in recognition of fostering cooperation between Spain and Ariño, A., Strategic Management Society other countries. Fellow, 2015 Stremersch, S., IJRM Best Paper Award Berrone, P., Academy of Management Best 2014 for the paper “From Academic Re- Pedro Nueno, Emeritus Professor Paper Proceedings 2015 for the paper titled search to Marketing Practice: Exploring the of Entrepreneurship. “The Power of One: How CEO Power Affects Marketing Science Value Chain,” published Corporate Environmental Sustainability,” in Vol. 31, issue 2 of IJRM in 2014 (co- submitted for the 2015 Academy of Manage- authored with J.H. Roberts and U. Kayande). ment Meeting, which took place on August 7-11 in Vancouver, Canada. Stremersch, S., International Francqui Chair awarded by the Francqui Foundation. Berrone, P., IBM Faculty Award 2015, These chairs are given to professors who awarded by IBM in recognition of his work in excel in their respective fields of expertise researching and teaching strategies for cities and are honorary in nature. and urban development. Vaccaro, A., 2014 Alziator Price Special Ferraro, F., 2014 Sustainalytics Academic Mention for his book “Addiopizzio. La Research Prize for papers of excellence on Rivoluzione dei Consumi Contro la Mafia,” responsible investment for his working paper co-authored with Pico Di Trapani. “Why Talk? A Process Model of Dialogue in Shareholder Engagement,” co-authored with Vaccaro, A., Academy of Management Best D. Beunza. Paper Proceedings 2015 for the paper titled “How Multiple Embeddedness Can Facilitate Martínez de Albéniz, V., XIV Premio the Implementation of Institutional Change,” Sabadell Herrero a la Investigación Econó- submitted for the 2015 Academy of Manage- mica awarded by Fundación Banco Sabadell ment Meeting, which took place on August in recognition of his research in the field of 7-11 in Vancouver, Canada. business management.

IESE BUSINESS SCHOOL 41 IDEAS WITH IMPACT FACULTY

ALUMNI ASSOCIATION “Research must be AWARDS a priority for every institution that

Four IESE professors were honored aims to nurture the with 2014 Research Excellence progress of our Awards, given by IESE’s Alumni As- sociation. Since 2002, these awards society.” have recognized outstanding research contributions. The winners were: “It would not be possible for the faculty to transfer • Víctor Martínez de Albéniz, for his knowledge without learning article “Split-Award Auctions for Supplier Gaizka Ormazabal Víctor Martínez from the environment. We must Retention,” published in Management de Albéniz try to improve the world by Science. The author proposes a model of understanding it better, recognizing auction in which, unlike those involving a the principles governing it in single bidder, the bidding price determines order to be capable of taking the what part of the business goes to each of appropriate action, and staying true the suppliers. to our moral principles.” • Gaizka Ormazabal, for his article “Proxy Advisory Firms and Stock Option Gaizka Ormazabal Repricing,” published in the Journal of Assistant Professor of Accounting and Control Accounting & Economics. The article debates whether or not to follow the advice Heinrich Rob Johnson of proxy advisors. Liechtenstein • Heinrich Liechtenstein and Rob Johnson, for the MBA course “ENFI Financing Entrepreneurial Opportunities,” which analyzes the entrepreneurial process within the financial sector.

42 ANNUAL REPORT 2014/2015 3 PhD & MRM 16 22 MRM students PhD students 32.5 average age 34% Europe 16.9% women 31% Asia 31% Americas 4% Africa

These programs provide • KHILJI, KEILSON, SHAKIR & Studying Dialogue among Firms and SHRESTHA (2015): “Self, Follower, Outside Actors on Social and Envi- opportunities for acade- Organization and the Context A ronmental Issues,” announced by The mically talented students Cross Cultural View of Authentic Academy of Management. with a passion for research Leadership.” South Asian Journal of • DANIELA IUBATTI: the Best Reviewer Global Business Research, 4 (1), 2-26. Award for the 74th Academy of Mana- who seek to have a pro- • ROUSSEAU, H. E., BERRONE, P., & gement Annual Meeting 2014. found impact on mana- WALLS, J. L. (2014). “Let’s Talk: Stu- • FEDERICA FOCE MASSA SALUZZO: gement thinking at the dying Dialogue among Firms and Finalist Strategic Management Socie- Outside Actors on Social and Envi- ty 2014 Best Conference PhD Paper: world’s leading business ronmental Issues.” Included in the “When Complexity Clarifies: Sense- schools and universities. 2014 Academy of Management Best making in an Institutionally Complex Papers Proceedings. Setting.” • BILGEHAN UZUNCA: Finalist Stra- Overview Several awards and distinctions were tegic Management Society 2014 Best achieved, including: Conference PhD Paper: “From Decan- RESEARCH PAPERS were presented ter to Bottleneck? How Industry Evo- at highly prestigious international • HORACIO ROUSSEAU: AOM One Divi- lution and Governance Inseparability events such as the Strategic Manage- sion Best Paper Award, for “Let’s Talk: Shape Value Migration in Ecosystems.” ment Society International Conference, the Academy of Management Annual Meetings, the Marketing & Innovation Science Conference, the American Eco- “THE PhD PROGRAM AT IESE SHAPES YOU nomic Association Conference, the So- ciety for Industrial and Organizational NOT ONLY AS A PROFESSIONAL BUT ALSO AS A Psychology Conference and the Strate- PERSON. OVER THE YEARS I HAVE DISCOVERED gy Research Initiative. PERSONALITY TRAITS THAT I DIDN´T KNOW I HAD, PhD students who published papers in academic journals include: ESPECIALLY RESILIENCE.” “I am a better and more confident researcher now • GUZMÁN, F. A., & ESPEJO, A. (2015): because I know that I can deal with the frustration “Dispositional and Situational Di- that the work sometimes involves. fferences in Motives to Engage in I decided to study a PhD at IESE because the Citizenship Behavior.” Journal of school had a very high level of research output and it Business Research, 68 (2), 208-215. granted full financial support to PhD students. The • CARRASCO C. AND SOBREPERE X. fellowship gave me the freedom to truly understand (2014): “Open Government Data: An that academia was my vocation.” assessment of the Spanish Municipal Situation.” Social Science Computer Federica Foce Massa (PhD '15) Italy, Post-doctoral Review, 1-14. fellow at the University of Bologna

IESE BUSINESS SCHOOL 43 IDEAS WITH IMPACT PhD & MRM International Faculty Program

Seven PhD students defended their “THE MAIN CHALLENGE of the Inter- countries, spanning Africa, Asia, Europe theses. Their graduation ceremony took national Faculty Program (IFP) is to and Latin America. IFP graduates enga- place at the University of Navarre (Pam- improve the academic training of the ge in research and teaching at over 200 plona, Spain) in June 2015. participants. We want them to be not schools of management, departments only excellent professors capable of tea- of business and economics, and other • ANNA BAYONA (Spain) September ching science produced by others, but educational institutions. 2014. Thesis: Essays on Incomplete also excellent scholars that generate new The 24th edition of the IFP saw 20 Information in Markets. Dissertation knowledge through their own research,” participants from 10 countries study on Director: Prof. Xavier Vives. explained the program’s academic di- IESE’s Barcelona campus. Over the cour- • Florian Deutzmann (Germany) rector, Prof. Miguel A. Ariño. The IFP is a se of three weeks and 11 modules, the July 2014. Thesis: Essays on New Pro- unique program that covers essential as- school's faculty presented methodologies duct Launch in System Markets. Dis- pects of business management teaching. for teaching business administration. sertation Director: Prof. Stefan Stre- It prepares business school professors to Participating professors received prepa- mersch make outstanding contributions to their ration on the case method and support • Daniel Ferrés (Uruguay) June institutions through the development of in the preparation of new business cases 2014. Thesis: Essays on Corporate critical teaching and leadership skills. and curriculum planning. Governance and Cartel Prosecution. Since 1991, the program has develo- Dissertation Director: Prof. Gaizka ped more than 500 professors from 70 Ormazábal. • Burçin Güçlu (Turkey) July 2014. Thesis: Decision Making of a Business- Intelligent Manager. Dissertation Di- rector: Prof. Miguel A. Canela. • Iván Guitart (Chile) June 2014. The- sis: Quantitative Models to Guide Ad- vertising and Innovation Decisions in the Automotive Industry. Dissertation Director: Prof. Stefan Stremersch. • Elizabeth Torres (Mexico) June 2014. Thesis: On the Relationships between Family Activities and Work/ Health Outcomes for Parents and Chil- dren. Dissertation Director: Prof. Mar- ta Elvira. • Bilgehan Uzunca (Turkey) De- cember 2014. Thesis: Unraveling the Within Industry Heterogeneity: Sub- markets, Ecosystem Niches and Their Impact on Firm Survival, Entry and Value Capturing. Dissertation Direc- tor: Prof. Bruno Cassiman. Since 1991, IFP has developed more than 500 professors from 70 countries.

44 ANNUAL REPORT 2014/2015 3 RESEARCH

IESE is an international hub for the generation of new bility Mechanism; and Professor David Miles of Imperial College and member ideas to help solve management challenges. The school’s of the Bank of England’s Monetary Po- faculty members contribute cutting-edge research to licy Committee. The message from the academic publications, conferences and seminars, and meeting was clear and consistent: the way forward should be built on a light help to shape public discussions around critical issues. regulatory touch that delivers a clear IESE’s Research Centers and Chairs play a leading role framework and transparent penalties. in creating and disseminating new knowledge, which is IESE hosted the first ever Search developed from a solid ethical foundation with a general Funds Conference, organized in Euro- pe under the supervision of Prof. Rob management perspective. Johnson. It brought together search fund entrepreneurs and investors involved in around 20 search funds in Europe, Afri- Overview academic director is Prof. Joan E. Ricart, ca, Latin America and Asia. is attached to the International Centre of The school became a key partner in The Strategic Management Society's 34th Excellence on PPPs (ICOE) of the UNECE, the new EIT Health consortium, ap- Annual Meeting was held in Madrid in a network that helps governments deve- proved by the European Institute of In- September 2014, chaired by Prof. Africa lop efficient, sustainable PPP projects. novation & Technology, an independent Ariño and Prof. Pascual Berrone. One It operates as part of the Public-Private body of the European Union. The goal of of the most important gatherings in the Research Center. EIT Health is to contribute to increasing field, the meeting had a record atten- The Public-Private Sector Research the competitiveness of European indus- dance of over 1,100 academics and pro- Center, led by Prof. Xavier Vives, and try, and to improve the quality of life of fessionals from 80 countries. “Only five the Cities in Motion Initiative are part- Europe’s citizens and the sustainability years ago, we viewed strategy as resour- ners in a new Horizon 2020 project fi- of its healthcare systems. ce-based. Now we are shifting toward a nanced by the European Commission. more behavioral conception focused on The project, entitled GrowSmarter, those who will be making the decisions,” brings together cities and industry to said Ariño at the meeting. Berrone noted demonstrate “12 smart city solutions” that companies operate in an ecosystem in energy, infrastructure and transport. “The world is not as interconnected made up of various players that establish The Challenges for the Future of Ban- as it could or should be. Deepening links between each other that create va- king discussion forum, held by IESE global connectedness could be a lue. “Those who understand how these in London in November 2014, gathered powerful lever for boosting global links function are in a better position to thought leaders including Andrea Enria, growth - adding trillions of dollars create competitive advantage,” he said. chair of the European Banking Authori- to world GDP.” IESE signed an agreement with the ty; Professor Jeremy Stein, Moise Y. Safra Pankaj Ghemawat United Nations Economic Commission Professor of Economics at Harvard Uni- Professor of Strategic Management. for Europe (UNECE) to launch a new versity and former member of the Board DHL Global Connectedness Index, 2014 Specialist Centre for Public-Private of Governors of the Federal Reserve Sys- Partnerships in Smart and Sustainable tem; David Vegara, deputy managing di- Cities (PPP for Cities). The center, whose rector for banking at the European Sta-

IESE BUSINESS SCHOOL 45 IDEAS WITH IMPACT RESEARCH

Furthering Management The Challenges of Global of Healthcare Management, published Knowledge Leadership various studies. One of them, "Hospital Prof. Sebastian Reiche conducted nu- Financial Pressures and the Health of Senior managers are not alone in their merous studies on challenges for exe- the Uninsured: Who Gets Hurt?", appea- search for answers to questions such cutives involving managing intercul- red in the International Journal of Health as: What skills will tomorrow's global turalism and global teams, giving rise Services in 2015. leaders need? How should organiza- to articles such as "Why and How does tions be governed to create economic Shared Language Affect Subsidiary Entrepreneurship: and social value? And what regulations Knowledge Inflows? A Social Identity Building the Future Today could prevent a repeat of the current Perspective" and "Recent Developments Entrepreneurial initiative and inno- economic crisis? IESE faculty devote and Emerging Challenges in Interna- vation are key to solving the growth a third of their working hours to in- tional Human Resource Management," problems most countries are currently depth research on matters that are, or which were published in 2015 in the experiencing. IESE's faculty have been will soon become, crucial to business Journal of International Business Studies pioneers for decades in these areas. In management. In 2014-2015 some of the and The International Journal of Human 2014-2015 they continued to play a lea- key questions to be tackled were: Resource Management respectively. ding role. Joan E. Ricart and Christoph Global companies need to be aware Zott were involved in the Strategic En- of how the perception of career success trepreneurship Journal's special issue on “Technology is a neglected, yet differs from one country to another and business models. And where more social fundamental, driver of effective the implications this has for manage- undertakings are and where social en- health care industry consolidation. ment. Prof. Mireia Las Heras was part trepreneurship is concerned, Antonino The findings could apply to similar of an international research group that Vaccaro is at the forefront. In March 2015 industries in which complex studied the matter in 11 countries. The he launched the Social Entrepreneurship technologies have a crucial impact International Journal of Human Resource Network, an initiative that connects the on competition.” Management published its findings. IESE community with enterprises that pursue social objectives. In nine months, Núria Mas Professor of Economics. The Quest for Economic Stability “Technology Complexity and Target it supported over 40 projects for NGOs Selection”, Oxford University Press, 2015 and Sustainability and social enterprises in Asia, Africa, IESE's economists perform detailed Latin America and Europe. analyses of the effects of the economic crisis and possible solutions to sustaina- Digital Transformation and bility-related problems in the public and Greater Customer Participation private sectors. Prof. Xavier Vives exem- Digital transformation affects business plified such work in a paper, published models, technology, and approaches to in The Review of Financial Studies, on managing and developing talent in orga- new banking regulations' impact on the nizations. Its impact is an issue for exe- financial sector's fragility. cutives from all sectors. A particularly The health sector has been particu- relevant article by Prof. Robert Gregory, larly hard hit by the present shortage "Paradoxes and the Nature of Ambidex- of resources. Prof. Núria Mas, holder of terity in IT Transformation Programs," the recently created Jaime Grego Chair was published in Information Systems

46 ANNUAL REPORT 2014/2015 IDEAS WITH IMPACT 3

“Only five years ago, we viewed RESEARCH strategy as resource-based. Now we are shifting toward a more behavioral concept focused on those who will be making the decisions.” África Ariño Professor of Strategic Management. The 34th Strategic Management Society Annual Meeting

Furthering Management The Challenges of Global of Healthcare Management, published Knowledge Leadership various studies. One of them, "Hospital Prof. Sebastian Reiche conducted nu- Financial Pressures and the Health of 2014-2015 Senior managers are not alone in their merous studies on challenges for exe- the Uninsured: Who Gets Hurt?", appea- BY THE NUMBERS: search for answers to questions such cutives involving managing intercul- red in the International Journal of Health as: What skills will tomorrow's global turalism and global teams, giving rise Services in 2015. leaders need? How should organiza- to articles such as "Why and How does tions be governed to create economic Shared Language Affect Subsidiary Entrepreneurship: Research. Operations professors Phi- and social value? And what regulations Knowledge Inflows? A Social Identity Building the Future Today lip Moscoso and Alejandro Lago pu- could prevent a repeat of the current Perspective" and "Recent Developments Entrepreneurial initiative and inno- blished a paper on their research into economic crisis? IESE faculty devote and Emerging Challenges in Interna- vation are key to solving the growth customers' new role in service design in a third of their working hours to in- tional Human Resource Management," problems most countries are currently the International Journal of Qualitative depth research on matters that are, or which were published in 2015 in the experiencing. IESE's faculty have been 87 53 18 Research in Services. will soon become, crucial to business Journal of International Business Studies pioneers for decades in these areas. In New cases Articles published Articles published management. In 2014-2015 some of the and The International Journal of Human 2014-2015 they continued to play a lea- in refereed journals in refereed Beyond Economic Value key questions to be tackled were: Resource Management respectively. ding role. Joan E. Ricart and Christoph published on paper journals published IESE believes that all advances in busi- Global companies need to be aware Zott were involved in the Strategic En- electronically ness management should not only be of how the perception of career success trepreneurship Journal's special issue on geared toward economic value but also “Technology is a neglected, yet differs from one country to another and business models. And where more social toward making a positive impact on or- fundamental, driver of effective the implications this has for manage- undertakings are and where social en- ganizations, individuals and society. A health care industry consolidation. ment. Prof. Mireia Las Heras was part trepreneurship is concerned, Antonino number of projects undertaken in 2014- The findings could apply to similar of an international research group that Vaccaro is at the forefront. In March 2015 2015 made waves in that regard. industries in which complex studied the matter in 11 countries. The he launched the Social Entrepreneurship In the area of finance, Prof. Fabrizio Fe- technologies have a crucial impact International Journal of Human Resource Network, an initiative that connects the 43 13 14 rrraro and Prof. Heinrich Liechtenstein on competition.” Management published its findings. IESE community with enterprises that Articles in non- Books Research worked on the Measuring Impact Beyond pursue social objectives. In nine months, refereed journals Centers Financial Return project, which received Núria Mas Professor of Economics. The Quest for Economic Stability funding from the European Investment “Technology Complexity and Target it supported over 40 projects for NGOs and magazines Selection”, Oxford University Press, 2015 and Sustainability and social enterprises in Asia, Africa, Fund and the Paris-based Europlace IESE's economists perform detailed Latin America and Europe. Institute of Finance. In the managerial analyses of the effects of the economic decision-analysis field, Prof. Roberto crisis and possible solutions to sustaina- Digital Transformation and García Castro carried out a comprehen- bility-related problems in the public and Greater Customer Participation sive study of stakeholders' appropriation private sectors. Prof. Xavier Vives exem- Digital transformation affects business of economic and non-economic value, plified such work in a paper, published models, technology, and approaches to leading to the publication of an article in in The Review of Financial Studies, on managing and developing talent in orga- 62 14 the Strategic Management Journal. Pro- new banking regulations' impact on the nizations. Its impact is an issue for exe- Teaching notes New competitive fessors Miguel Á. Ariño, Joan E. Ricart financial sector's fragility. cutives from all sectors. A particularly and technical research projects and Miguel Á. Canela investigated how The health sector has been particu- relevant article by Prof. Robert Gregory, notes an ethical work context can contribute to larly hard hit by the present shortage "Paradoxes and the Nature of Ambidex- a company's internal social capital, and of resources. Prof. Núria Mas, holder of terity in IT Transformation Programs," the Journal of Business Ethics published the recently created Jaime Grego Chair was published in Information Systems a report on their findings.

46 ANNUAL REPORT 2014/2015 IESE BUSINESS SCHOOL 47 IDEAS WITH IMPACT

“One novel implication of the RESEARCH open innovation paradigm is that inflows and outflows of knowledge are complementary. Engaging simultaneously in buying and selling knowledge should allow firms to increase innovation outcomes.”

Bruno Cassiman Professor of Strategic Management. “Open Innovation: Are Inbound And Outbound Knowledge Flows Really Complementary?”, Strategic Management Journal, 2015 Research Events During the academic year, IESE hosted CHAIRS 30 academic events and 73 other events for practitioners, with 5,218 participants registered overall. IESE’s New York campus hosted three events featuring leading scholars from some of the world’s most renowned universities. Abertis Chair of Regulation, Chair of Business Ethics José Felipe Bertrán Chair of Competition and Public PROF. DOMÈNEC MELÉ Governance and Leadership Competitive Research Policy in Public Administration Projects PROF. XAVIER VIVES Chair of Family-Owned PROF. JOSÉ RAMON PIN Business Fourteen new competitive research pro- Alcatel-Lucent Chair of PROF. JOSEP TÀPIES Nissan Chair for Corporate jects were launched during the acade- Technology Management Strategy and International mic year. These included the European PROF. ANTONIO DÁVILA Crèdit Andorrà Chair of Competitiveness Commission-financed Grow Smarter, Markets, Organizations and PROF. BRUNO CASSIMAN which brings 12 cities together with in- Anselmo Rubiralta Chair of Humanism dustry to demonstrate “smart city so- Strategy and Globalization PROF. JOSEP MARIA ROSANAS PricewaterhouseCoopers lutions” in energy, infrastructure and PROF. PANKAJ GHEMAWAT Chair of Corporate Finance transport. IESE also partnered with the Eurest Chair of Excellence in PROF. PABLO FERNÁNDEZ European Commission in the new EIT Banco Sabadell Chair of Services Health Consortium. Emerging Markets PROF. PHILIP MOSCOSO Schneider Electric Prof. Pascual Berrone received the PROF. ALFREDO PASTOR Sustainability and Business IBM Faculty Award grant for his pro- Grupo Santander Chair of Strategy Chair ject on Smart Governance; Prof. Fabrizio Bertrán Foundation Chair of Financial Institutions and PROF. PASCUAL BERRONE Ferraro and Heinrich Liechtenstein’s Entrepreneurship Corporate Governance project on “Measuring Impact Beyond PROF. PEDRO NUENO SEAT Chair of Labor Financial Return” was financed by the Indra Chair of Digital Strategy Relations European Investment Fund; and Prof. CELSA Chair of PROF. JOSEP VALOR PROF. CARLOS J. SÁNCHEZ- Christian Eufinger’s project “Challen- Competitiveness in RUNDE ges of the Financial Fragmentation in Manufacturing Jaime Grego Chair in Europe” was funded by the Europlace PROF. FREDERIC SABRIÀ Healthcare Management “La Caixa” Chair Institute of Finance. PROF. NÚRIA MAS of Corporate Social Carl Schroeder Chair in Responsibility and Corporate Strategic Management Governance PROF. JOAN ENRIC RICART PROF. ANTONIO ARGANDOÑA

48 ANNUAL REPORT 2014/2015 3

“Fragility is affected by how the balance sheet composition of financial intermediaries, the precision of information signals, and market stress parameters all influence the extent of strategic complementarity among investors’ strategies. A solvency and a liquidity ratio are required to control the likelihood of insolvency and illiquidity.” Xavier Vives Professor of Economics and Financial Management. "Strategic Comple- mentarity, Fragility, and Regulation", Review of Financial Studies, 2014

Academy of Management - BPS (Business Policy and Strategy) Winter Meeting, RESEARCH CENTERS ACADEMIC CONFERENCES organized by Prof. Chris Zott, IESE BCN, March AND WORKSHOPS 6-7, 2015 ORGANIZED AT IESE 1st Fashion Operations Conference, organized by Prof. Victor Martínez de Albéniz, IESE • Center for Business in Society Barcelona, March, 26-27 2015 • Center for Globalization and Strategic Management Society – Extension Strategy Conference on “New Approaches for Studying 4th International Colloquium on Christian • Center for International Strategy in Family and Business”, organized Humanism in Economics and Business, Finance by Prof. Roberto García-Castro, IESE BCN, organized by Prof. Melè, IESE Barcelona, April, • Center for Public Leadership September, 19, 2014 20-21, 2015 and Government • Center for Innovation IV Madrid Work & Organization Symposium, Business Strategy Interfaces and Frontiers Marketing and Strategy organized by Prof. Marta Elvira in collaboration Conference, organized by Prof. Pankaj • Center for Research in with the IRCO, Instituto de Empresa and Ghemawat, IESE New York, May 15-16, 2015 Healthcare Innovation Universidad Carlos III de Madrid, IESE Madrid, Management October 20, 2014 Conference on Finance from an Organization • Center for Sport Business Theory Perspective, organized by Prof. Fabrizio Management EIASM’s Doctoral Education Network (EDEN) Ferraro, IESE New York, May 22, 2015 • Entrepreneurship and Doctoral Seminar, organized by Prof. Govert Innovation Center Vroom, IESE Barcelona, November, 17-21, 2015 PhD Boot Camp of the Strategy • Institute for Media and 2014 Research Initiative, organized by Prof. Bruno Entertainment Cassiman, IESE New York, June 1-2, 2015 • International Center for Challenges for the Future of Banking, Competitiveness organized by Profs. Juan José Toribio and 2015 Strategy Research Initiative (SRI) • International Center for Miguel Antón, Somerset House, London, Annual Conference, organized by Prof. Bruno Logistics Research November 26, 2014 Cassiman, IESE New York, June 3-4, 2015 • International Center for Work and Family 1st IESE Strategy and Entrepreneurship Workshop on Information Frictions and • International Research Center Conference, organized by Profs. Massimo Learning, organized by Prof. Xavier Vives in on Organizations Maoret and Thomas Klueter, IESE Barcelona, collaboration with the PPSRC, Barcelona GSE • Public-Private Sector December 16, 2014 Summer Forum, Barcelona GSE, June, 15-16, Research Center 2015 Workshop on Global Trends in Cities and Lessons for the Barcelona Metropolitan Area, ICWF-VI International Conference of Work organized by Prof. Xavier Vives in collaboration and Family, organized by Profs. Nuria with the PPSRC, IESE Barcelona, February 17, Chinchilla and Mireia Las Heras in collaboration 2015 with the ICWF, IESE Barcelona, July 1-2, 2015

IESE BUSINESS SCHOOL 49 IDEAS WITH IMPACT RESEARCH IESE Insight

25 Issues of IESE Insight

As well as being featured in prominent global publications, IESE’s research is also shared through IESE Insight, the school’s knowledge portal and quarterly magazine. This year, the IESE Insight review celebrated the publication of its first 25 issues. Since the magazine’s launch, readers of both the Spanish and English-language editions have been able to access actionable insight into a wide range of critical management issues. A total of 100 articles have been published in executive dossiers on topics including compensation, sustainability, social media, emerging markets, innovation, customer centricity, entrepreneurship and CEO strategies. For practicing managers, 50 additional articles have been published on subjects such as stakeholder management, multichannel marketing, digital strategies and big data. As well as research-based knowledge, the magazine’s first 25 issues featured in- formed opinions and perspectives from figures at the top of their fields. World- class thought leaders and Nobel Prize winners, including Umran Beba, Colin Camerer, Henry Mintzberg, Robin Shar- ma, Hermann Simon, Robert M. Solow, Lech Walesa, and Muhammad Yunus, wrote columns for the magazine, and 25 C-suite executives gave exclusive face- to-face interviews, including Narayana Murthy (Infosys), Kevin Roberts (Saatchi & Saatchi), Daniel Servitje (Bimbo), Paul Polman (Unilever), Carlos Ghosn (Renault- Nissan) and Howard Schultz (Starbucks). In each issue, a business case was analyzed by senior executives who an-

50 ANNUAL REPORT 2014/2015 3

swer the question, “What would I do?” Business dilemmas were resolved for top companies such as Spotify, Samsung, Henkel, Vodafone, Puma and ElBulli. The online version of the magazine IESE INSIGHT BY THE NUMBERS is distributed to 16,000 members and (2009-2015) 16,200 non-members. Dissemination of IESE Insight standalone articles and reviews continues to grow through distributors’ sales, as well as through the online resource EBSCO. IESE Publishing 100 Articles published in executive dossier The school’s publishing arm is an international producer of cases and other management and leadership teaching materials for academic institutions. Sales increased by 2 percent during the 2014-2015 academic year through IESE’s Business Schools Network (BSN), The Case Center, Harvard Business Publis- 50 hing and other third-party distributors. Extra articles for practicing managers The IESE Library

The IESE Library aims to simplify access to information and services in line with the needs of its users. To that end, a new library website www.iese.edu/li- 75 brary was launched during the 2014-2015 Columns by world-class thought leaders academic year. It includes an improved quick-search tool and easy-to-find data- bases and search guides. It also features a fresher design and more responsive set up. New services were created to improve the experience of library users, including express training capsules and a self-guided tour. Indicators show that 25 a 100 percent digital library goal is close Face-to-face interviews with C-suite executives to achievement.

IESE BUSINESS SCHOOL 51 IDEAS WITH IMPACT

Digitalization, the LEARNING introduction of new INNOVATIONS digital technologies, is transforming many areas of human life and education is no exception. IESE is at the forefront of using technology to respond to the needs of program participants by making its offerings more flexible, innovative and personalized.

Programs Omni-Learning

The Global Executive MBA and Custom The goal of “omni-learning” is not enhance the delivery of foundational Programs are leading initiatives in deve- simply to combine online and offline knowledge and the implementation loping hybrid models that are based on training, but to integrate continuous of learning in the workplace, partici- the case method, but also include online education in managers’ daily activi- pants’ time on campus can be more content and discussions. ties, allowing them to participate in focused on discussion-based learning. the learning process from anywhere at Methodologies tested in 2014-2015 in- any time. cluded the integration of face-to-face Innovative distance-learning ini- sessions in the classroom with syn- tiatives have been in place at IESE chronous online sessions (distance for many years, but the most recent learning in real time), asynchronous developments allow a rethink of how online modules (in which the partici- classroom time is best used. By taking pant decides when to log on) and inte- advantage of technological tools to ractive in-class teaching tools.

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Massive Open Online Webinars Alumni Learning Courses (MOOCs) Program

IESE professors offered some MOOCs The school offered a portfolio of 24 Live streaming lectures or prerecorded through Coursera, one of the most glo- webinars, available to any user. These e-conferences made up 25 percent of the bally recognized platforms providing free programs are based on specialized 247 Alumni Learning Program sessions universal free access to quality edu- content and delivered in Spanish and offered to IESE alumni. New, especially cation. These helped raise awareness English. Up to 3,000 people can par- designed online content, the Alumni Di- of IESE and spread knowledge in new ticipate simultaneously through the gital Series, will be offered in 2015-2016. markets around the world. WebEx application. The webinars are moderated and comprise a 30-minute session with an IESE professor and a 15-minute Q&A period.

IESE BUSINESS SCHOOL 53 4. Mission, People and Governance The development of leaders who embody integrity and professional excellence, and who work with a spirit of service for the betterment of both business and society, is the constant focus of the school’s strategic decision- making and the motivation for its dedicated team members. Since its foundation in 1958, IESE has been driven by people committed to positive change.

MISSION, PEOPLE AND GOVERNANCE

IESE is a mission-driven MISSION institution. The school’s programs and culture emphasize respect for others, commitment to the common good of companies and society, humility, learning and listening, and teamwork.

THE SCHOOL’S MISSION is to develop leaders who aspire to have a deep, positive and lasting impact on people, firms and the world in which we live; to inspire leaders to work with a spirit of service and integrity, basing their actions on the highest standards of professionalism and accountability; and to educate leaders to whom we can confidently entrust the future of business and society. IESE is an initiative of Opus Dei, a Per- sonal Prelature of the Roman Catholic. The school’s ethical and moral values are based on the Christian tradition and emphasize the intrinsic rights and dignity of every person, which underlie any successful organization and society. The IESE Difference

IESE stands out as a result of its global in Latin America and Africa. One of the Ideas scope and mindset, reinforced by its school’s major international projects IESE produces around 100 business ca- presence on four continents. It is defi- this year has been the launch of the ses, 13 books and 62 scientific research ned by its humanistic view of manage- World Executive MBA in partnership articles each year, and organizes forums ment and by its focus on ethical values, with CEIBS, an 18-month program for and conferences with global thought- leadership and entrepreneurship, as senior managers with cross-border res- leaders. The school has 20 Chairs and well as its general management pers- ponsibilities. 14 Research Centers. The generation of pective – all with a long-term perspec- ideas allows IESE to support the advan- tive. Four concepts guide its strategy: Innovation cement and understanding of business Programs and learning methodologies management. Internationalization are constantly improved. Two dozen IESE was founded with a global mindset new courses have been developed in Impact and continues to develop strategically the MBA Program in the past five years. The school has a positive impact on so- in accordance with it. It currently has Five new long open executive programs ciety at large through its activities and its three campuses in Europe (Barcelona, have been launched since 2012. In re- alumni around the world but also works Madrid and Munich), one in the United cent years, this has been supported by on areas of specific strategic focus. These States (New York), one in Latin America developments in digital technology. In include support for entrepreneurship, (Sao Paulo) and offices in London, War- 2014-2015, some Custom Programs for public sector management programs, a saw, Shanghai, Singapore and Tokyo. leading companies incorporated pio- drive for better corporate governance, job The school has also helped to develop neering technologies to enhance the creation, initiatives in Africa and emer- 15 associated business schools, mainly learning experience. ging countries, and women in leadership.

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MILESTONES

1958 IESE is founded and the 1981 The first Executive MBA is 2002 The first AMP takes place 2011 The first edition of the PADE program (Programa de launched in Madrid. in Sao Paulo and the first PMD AMP Media & Entertainment Alta Dirección de Empresas – the following year. takes place in the US. Advance Management Program) 1989 The IESE International launched. Advisory Board (IAB) is esta- 2003 IESE launches the Busi- 2012 The Executive MBA in blished. ness Angels Network. Sao Paulo is launched. 1959 The first PDD (Programa de Desarrollo Directivo – Pro- 1991 The International Faculty 2004 Expansion Madrid 2013 The first edition of the gram for Leadership Develop- Program begins. Campus. Fast Forward Program takes ment) begins as well as the first place and the PMD Munich and Alumni Learning Program. 1991 Lagos Business School 2005 The school begins its acti- PLD New York are launched. becomes IESE’s first associated vity in Munich with the Advan- 1961 The IESE Alumni Associa- school in Africa. ced Management Program. 2014 The Global EMBA offers tion is established. the US track in New York. 1993 IESE launches inter- 2006 IESE launches the AMP 1963 The Harvard-IESE Com- national Executive Education Warsaw and begins the Global 2015 The World Executive MBA mittee is set up. programs. CEO Program for China together is launched (classes begin in with HBS and CEIBS. 2016). 1964 IESE launches the MBA, 1994 IESE’s first international the first two-year MBA program alliances with the University of 2007 IESE establishes its New 2015 Munich Campus opens. in Europe. Michigan and MIT Sloan School York Office. of Management are established. 1967 IESE helps establish 2007 New North Campus in IPADE in Mexico, with an additio- 1995 IESE’s first joint program Barcelona is opened. nal 15 schools on four continents with Harvard takes place. to follow in the years to come. 2009 The school launches the 1996 IESE launches its first Global CEO Program for Latin 1969 The PhD program begins. Focused Program. America.

1974 The first executive edu- 2000 FINAVES, a venture 2010 IESE inaugurates its New cation programs begin in IESE capital fund that provides seed York Campus. Madrid. money for selected entrepreneurs, is founded. 2010 Global CEO Program 1980 The school launches the IESE-CEIBS-Wharton begins. bilingual MBA. 2001 The Global Executive MBA begins.

IESE BUSINESS SCHOOL 57 MISSION, PEOPLE AND GOVERNANCE INITIATIVES AND IDEAS WITH SOCIAL IMPACT

IESE develops a number founding of new companies IESE assists Africa in its fight through its Entrepreneurship against poverty through the work of initiatives through Department. It also provides of its professors and by helping to its programs and guidance and access to funding develop institutions, and executive research that have an through initiatives such as Finaves, education across the continent. important social impact the Business Angels Network, It helped create Lagos Business the Social Entrepreneurship and School (LBS) in Nigeria in 1991, by addressing of the Innovation Platform, the IESE-La Strathmore Business School challenges facing society Caixa Social Entrepreneurship (SBS) in Kenya in 2005, and MDE today. Areas of particular Program, and the Entrepreneur Business School in the Côte d’Ivoire Alumni Platform. in 2011. IESE also organized the interest include: Pan-African AMP Module and the Women in Management Pan-African EMBA Module, which IESE’s International Center bring together participants of for Work and Family (ICWF) the SBS and LBS. The IESE MBA Job Creation Research Center, headed by Profs. program offers an overseas module More than 4,000 jobs have been Nuria Chinchilla and Mireia Las in Nairobi, Kenya, and the school generated directly by IESE, Heras, analyzed and promoted organizes opportunities such as the through business plans presented the professional advancement Africa Think Tank & Networking in Finaves, the school’s venture of women and the integration of Event. capital fund, and through the different areas of their life. The Business Angels Network. IESE center’s goal is to help women to Good Corporate Governance is also working on promoting maximize their contribution to The school has developed programs vocational training to governments, their families, to their companies and research with the goal of unions, companies and other and to society. In 2014-2015, a improving corporate governance. employers. We had five alumni number of courses were delivered The Value Creation Through events to discuss how to accelerate to promote the advancement of Effective Boards Focused Program, job creation. women in the corporate world, delivered in partnership with including the Women on Boards Harvard Business School, covered Entrepreneurship Focused Program and the Women the design, role and monitoring The school encourages Leadership Program. of boards. The Grupo Santander entrepreneurship through its Chair of Financial Institutions education and research, and The Future of Africa and other and Corporate Governance, the 'la supports start-ups and the emerging countries Caixa' Chair of Corporate Social

58 ANNUAL REPORT 2014/2015 4

Responsibility and Corporate since 2003, which has become an Developing Business Schools Governance, and faculty research international benchmark the CSR in Emerging Countries and publications all promoted good sector. IESE has helped develop 14 corporate governance practices. In April 2015, the IV Conference international business schools on Management and Christian around the world. Its key role in Corporate Responsibility Humanism was held on campus, these institutions has expanded & Ethics with more than 100 scholars the reach of its mission to All IESE programs are created with a attending the sessions and communities, individuals and humanistic approach to business that presenting 40 papers. companies across Africa, Latin is reflected in course curricula. There In 2014-2015, a wide range of America, Asia and Europe. The is a clear social focus throughout research with social impact was school’s support for emerging the entire MBA curriculum. This can published, including the papers countries extends even further be seen in courses such as Leading Consistency and Ethics in Decision- through the assistance it provides Organizations: Systems, Values Making, and Virtues in Leadership to young professors and PhD and Ethics; and in summer social by Prof. Antonio Argandoña; and students in many countries. internships that teach students how Christian Humanism in Economics business skills can benefit non- and Business by Prof. Domènec IESE’s work would not have been profit organizations like UNICEF. Melé, who also authored two books: possible without Bishop Alvaro Students also have the chance to Humanism in Economics and del Portillo, Prelate of Opus Dei attend a Responsible Investment Business, and Human Foundations and Chancellor of the University course during their overseas module of Management: Understanding the of Navarra between 1975 and 1994, in New York, and a Social Innovation Homo Humanus. Prof. Melé also who supported the development and Entrepreneurship course if they contributed chapters to Three Keys of the school and its international choose to complete an overseas Concepts of Catholic Humanism for expansion. He was beatified by module in Nairobi. MBA students Economic Activity: Human Dignity, Cardinal Angelo Amato on behalf have organized the “Doing Good & Human Rights and Integral Human of Pope Francis in Madrid on Doing Well” Conference every year Development. September 27, 2014.

IESE BUSINESS SCHOOL 59 MISSION, PEOPLE AND GOVERNANCE

Attracting, managing and PEOPLE developing a team of people of the highest caliber is a critical determinant of the school’s performance and outreach. To that end, IESE creates the professional context needed for the professional and personal development of its faculty and staff. Professional Development

Professional development continued to be a priority during the 2014-2015 academic year, and every member of the IESE team was involved in char- ting a personalized development plan. Staff took part in eight long programs and 43 short programs, plus 1,560 training and development hours. These included new workshops for program coordinators and assistants, as well as division workshops for Executive Education and MBA programs, among others. Specialized training was offered for all positions requiring specific technical knowledge. The goal of these innovations was to ensure that people are as well prepared as possible for the time spent in their respective roles. The assessment process for all employees, aimed at developing their careers, continued to be improved with the goal of providing better coaching, mentoring and feedback. Professors joined staff in reminiscing about how the MBA began. Attracting Committed Top Talents Work and Family Balance A new benefit was implemented this year offering personalized educatio- IESE offers competitive compensation IESE is committed to establishing po- nal and/or professional advice for the packages and incentives, together with licies that facilitate work-family life children of the IESE community. For appealing working environments, in or- balance. These include flexible wor- parents with disabled children, there der to attract outstanding talent. These king hours, work-at-home policies for was an improvement to the existing Fa- efforts resulted in 59 new hires joining executives and faculty, extensions of mily Assistance package. Several con- the team during the academic year. maternity and paternity leaves, and sultations for academic or professional Every December the University of Na- time-off policies for family needs. The orientation were conducted, while Fa- varre and IESE award the Silver Medal school also offers other benefits, such mily Assistance for disabled cases was to employees who have completed 25 as the Assistance for Child Education, improved in seven cases. years of service. This year, eight staff which in 2014-15 helped 55 families (for The celebration of the 10th edition of and faculty received the medal. 59 children between 0-3 years old). IESE’s Families Day involved more than

60 ANNUAL REPORT 2014/2015 4

Eight employees received the Silver Medal for 25 years of service.

500 people, who enjoyed a full day of Our People by the Numbers activities. The school’s family-friendly policies AUGUST 2014 AUGUST 2015 have earned it The Family Responsi- Full-time Faculty 104 101 ble Enterprise (FRE) certificate, which External & Visiting Faculty 76 82 is granted to organizations for their Research Assistants 43 48 efforts to facilitate work-family life Managers 136 146 balance and promote corporate social Professional Staff 45 68 responsibility. Administrative & IT Staff 243 243

IESE BUSINESS SCHOOL 61 20 80% Nationalities of the managers represented in IESE’s MBA divisions are IESE MBA graduates

A Diverse Community of those in its Executive Education divisions are themselves IESE MBA “While I was IESE’s diverse and multicultural envi- graduates. This demonstrates that ronment is one of its greatest strengths. IESE staff identify and closely align finishing my MBA, I People of over 20 nationalities work at themselves with the school’s mission. searched for ways IESE, speaking 15 different languages. The school is committed to the princi- Social that I could have a ples of equal opportunity and provides Awareness opportunities and support for disabled long-term impact on employees and suppliers. IESE conti- Assistance campaigns based around so- nues to empower women to fulfill their cial responsibility organized by IESE in people, companies leadership potential both through its 2014-2015 included the Etimoé-Makoré and society over programs and its own policies. Seventy- project in the Côte d’Ivoire, which rai- five percent of the IESE community as sed €15,829; and Smile for Christmas, generations a whole and 51 percent of its managers in collaboration with the Cooperación are women. Internacional NGO, which collected 177 through education.” gifts for children and young people. Shared History “I was proud of being part of IESE and Shared Values and its mission to make the world a better place and I wanted to find In the 50th anniversary year of the The Etimoé-Makore an entrepreneurial opportunity school’s MBA program, it is worth no- project in the Côte d'Ivoire was one of those where I could create something ting that 80 percent of the managers in supported by IESE staff new. I took the opportunity to IESE’s MBA divisions and 67 percent fundraising efforts. help develop IESE's presence in Japan and other Northeast Asian countries. I believed that not many other people could do it. Now, after five years, I am very proud of the projects that we are developing, in spite of the challenges.”

Junichi Kagaya (MBA '11) Japan, IESE director of Corporate Relations in North East Asia

62 ANNUAL REPORT 2014/2015 4

Good governance isn’t GOVERNANCE only in the hands of the board of directors and the company’s senior management because every team member has a role. His or her commitment, professionalism and trust make a difference.

IESE IS GOVERNED BY ITS SENIOR management team, and advised by its International Advisory Board (IAB), US Advisory Council, and Alumni As- sociation Executive Committee. The Harvard-IESE Committee also plays a IESE SENIOR very relevant advisory role. MANAGEMENT IESE’s senior management team is TEAM responsible for the strategy and management of the school. The Internatio- nal Advisory Board and the Executive The team is responsible for defining and executing the school’s Committee of the IESE Alumni Asso- strategy. It oversees its operations, faculty and senior staff hiring, ciation provide strategic orientation investments and program portfolio. The Dean reports to the on IESE’s initiatives and governance, president of the University of Navarra, the Alumni Association’s as well as offering their advice on edu- executive Committee and the International Advisory Board. cational programs and corporate involvement. The US Advisory Council provides DEAN ASSOCIATE the school with support for the long- Jordi Canals DEAN FOR FACULTY term development of activities in the Javier Quintanilla United States, particularly those ba- ASSOCIATE DEAN sed around the New York campus. The Eric Weber MADRID CAMPUS, Harvard-IESE Committee also offers DIRECTOR support in terms of strategic initiatives SECRETARY GENERAL Francisco Iniesta and joint programs. Fernando Peñalva The Executive Committee of IESE’s PEOPLE DIVISION Alumni Association approves the GENERAL Marta Castán Association's educational activities, ADMINISTRATOR/CFO reunion and budgets. The governing Jaime Alonso CORPORATE MARKETING board comprises the Executive Com- & COMMUNICATIONS mittee, alumni chapter presidents, ASSOCIATE DEAN Teresa Gener class presidents and secretaries. FOR MBA PROGRAMS Franz Heukamp MADRID CAMPUS, ASSOCIATE DIRECTOR ASSOCIATE DEAN FOR THE PHD Juan A. Galán PROGRAM & RESEARCH Marta Elvira

ASSOCIATE DEAN FOR EXECUTIVE EDUCATION Mireia Rius

IESE BUSINESS SCHOOL 63 MISSION, PEOPLE AND GOVERNANCE GOVERNANCE

International Advisory Board members at their 2015 meeting.

IESE’s International Advisory Board (IAB) welcomed three new members this year: Paul Polman (Unilever, CEO), Benita Ferrero-Waldner (former IESE INTERNATIONAL European commissioner and Munich Re board member), and Ibukun ADVISORY BOARD Awosika (entrepreneur and CEO of the Chair Center Group).

Isak Andic Oscar Fanjul Franklin P. Johnson Liz Mohn Maria del Mar Kees J. Storm Mango, Spain Omega Capital, Asset Management, Bertelsmann, Raventós, Aegon, Netherlands Spain US Germany Codorníu, Spain Ibukun Awosika Francesco Vanni The Chair Centre Benita Ferrero- Denise Kingsmill Stanley Motta Helena Revoredo D‘Archirafi, Group, Nigeria Waldner IAG, UK Motta Internacional, Prosegur, Spain Citi, US Munich Re, Panama Hans-Jacob Bonnier Germany Bruno Di Leo Franck Riboud Werner Wenning Bonnier Group, IBM, US N. R. Narayana Groupe Danone, Bayer, Germany Sweden Patricia Francis Murthy France International Trade Hans Ulrich Maerki Infosys, India George Yeo Michel Camdessus Center, Switzerland ABB, Switzerland Siegfried Russwurm Kerry Group, China Banque De France, Paul Polman Siemens, Germany France Victor K. Fung Klaus Mangold Unilever, UK Ermenegildo Zegna Li & Fung Group, Daimler, Germany Johan Schrøder Ermenegildo Zegna, Andrea Christenson China Rafael Del Pino Schrøder Italy Käthe Kruse Janne Haaland Ferrovial, Spain Foundation, Puppen, Germany Franz Haniel Matláry Denmark The Haniel Group, University of Oslo Mariano Puig Brian Duperreault Germany and Government of Fundación Puig, Roberto Servitje Marsh & McLennan Norway, Norway Spain Bimbo, Mexico Companies, US J. Gerhard Heiberg Norscan Partners, Martin Sorrell Norway WPP Group, UK

64 ANNUAL REPORT 2014/2015 4

“I CAN SAY THAT IESE IS DOING A GREAT JOB OF BEING INCLUSIVE. WHEN YOU LOOK AT THE PATTERN OF THE WAY THEY HAVE HELPED TO SET UP BUSINESS SCHOOLS ALL AROUND THE WORLD, YOU UNDERSTAND THE AGENDA

OF IESE IS TO HELP BUILD during their annual meeting. A BETTER WORLD WHERE US Advisory Council members The council was formed in 2010 BUSINESS IS CONCERNED.” with a mission to help guide IESE's development in the United States, “There is synergy in sitting around the THE US ADVISORY based at its New York campus. table and sharing the learning and COUNCIL thoughts of great men and women from different parts of the world, all with different talents and capabilities. It is by looking at the issues from different William F. Baker Claire Huang Tom Rogers perspectives that we create value.” Channel Thirteen JP Morgan Chase Tivo Inc. Ibukun Awosika (GEMBA '04 & GCP '13) CEO of the Chair Gerry Byrne Jay Ireland John Schmitz Centre Group and one of the newest PMC (Penske Media GE Africa Bingham members of IESE's IAB Corporation) McCutchen Tom Kane Tom Castro CBS John Sturm El Dorado Capital University of Notre and Time Warner Kate O’Sullivan Dame Cable Microsoft Corporation Christopher Vollmer Carmen DiRienzo, Strategy& DiRienzo Consulting Carlos Padula Stelac Advisory Kathryn Wylde Alan Glazen Services Partnership for New Glazen Creative York City Studios Juan Pujadas PwC Frank J. Hager OppCAP Edward T. Reilly American Management Assn.

IESE BUSINESS SCHOOL 65 MISSION, PEOPLE AND GOVERNANCE GOVERNANCE

HBS-IESE Committee during their annual meeting in Barcelona. “HARVARD BUSINESS Harvard Business School and IESE have had a close relationship since 1964. The first fruit of SCHOOL WAS THERE HARVARD-IESE this partnership was IESE’s full-time MBA Pro- WHEN IESE WAS BORN, COMMITTEE gram, currently celebrating its 50th anniversary. As well as guiding the program’s launch, the SO TO SPEAK, AND SINCE Harvard-IESE Committee also played a key role in further development of the MBA program THEN WE HAVE SEEN THE and in developing joint international executive education programs. The committee, which SCHOOL DEVELOP INTO meets annually, serves as a forum to exchange WHAT IT IS TODAY: ONE ideas and experiences, reflect on the big issues facing global business and business education, OF THE WORLD’S FINEST and find new perspectives. The committee met in Barcelona on June 6, 2015. BUSINESS SCHOOLS,

HBS IESE WITH EXTRAORDINARY GLOBAL REACH AND Srikant Datar Jordi Canals Arthur Lowes Dickinson Dean INTERNATIONAL SCOPE Professor of Accounting Franz Heukamp WE HAVE A GREAT DEAL Carl Kester Associate Dean for MBA George Fisher Baker Jr. Programs TO LEARN FROM EACH Professor of Business OTHER.” Administration José L. Nueno Professor of Marketing HBS Professor Carl Kester Richard Vietor Paul Whiton Cherington Joan E. Ricart Professor of Business Professor of Economics and Administration and Senior Strategic Management Associate Dean for the Asian Initiative Eric Weber Associate Dean and Professor of Accounting and Control

66 ANNUAL REPORT 2014/2015 4 COMMUNICATION

IESE aims to communicate its mission, programs, of the current homesite, microsites for specific languages and special content. strategy activities and research, both internally and The school’s YouTube channel added externally, to broaden our positive impact. more than 300 videos with a 60 percent increase in views to nearly a million. IN 2014-2015, the school was broadly fea- the findings of academic studies, current IESE’s social media channels reached tured in media with more than 4,600 hits, issues and other strategic areas for the almost 94,000 followers altogether, an from publications including Financial school. Traffic experienced a 70 percent increase in audience of more than 30 Times, The Economist, The New York Ti- growth, reaching over 500,000 sessions. percent. mes, Bloomberg Businessweek, The Wall IESE’s website was redesigned to be- IESE has two magazines: a quarterly Street Journal, Handelsblatt and Die Welt. come responsive and adapted to the new research review, IESE Insight, and an IESE’s blog on Forbes was the second corporate image. A new web approach Alumni Magazine sent to over 43,000 most widely read by a business school, to programs was implemented with readers. with 155,914 page views in 2014-2015. three new microsites: MBA, Executive A weekly newsletter, monthly re- Relevant ideas were disseminated MBA and The World Executive MBA. The search-based newsletter and regular through the school’s own blog network, school also developed a web marketing emails facilitated internal and external which publishes daily articles based on strategy based on three axes: geolocation communications.

IESE was broadly featured in media with more than 4,600 hits.

IESE BUSINESS SCHOOL 67 MISSION, PEOPLE AND GOVERNANCE SUSTAINABILITY

IESE’s operations are based on sustainable use of natural resources and respect for the environment. The school’s Environmental Action Plan 2014-2015 centered on the principles of the European Union’s Sustainable Development Strategy and implemented the results of Electricity consumption CO2 the energy audit carried out in IESE in 2013-2014. emissions decreased by 3 percent.

THE PLAN articulates two main lines Reduce CO2 emissions Help protect our environment of action: sustainable use of resources The steps taken to lower energy con- IESE makes a notable effort to maintain the in day-to-day operations and promo- sumption brought about a proportional landscaped surfaces in perfect condition tion of environmental awareness. reduction of CO2 emissions, by 3 percent, on its campuses in Barcelona and Madrid,

to 1,400 tons of CO2. using eco-friendly products for the various Sustainable use IESE's activities generate a considera- treatments. of resources ble volume of transit between the different campuses; these activities primarily Environmental awareness Reduce energy consumption consist of sessions taught by professors.

The 2014-2015 academic year saw ongoing This school year, 16,828,343 kg of CO2 Increase students and staff's environ- implementation of measures designed were emitted. Students and staff com- mental awareness to increase energy efficiency. Electricity muting between home and IESE produ- IESE organized a variety of activities consumption was reduced by 3 percent. ced emissions of 2,800 tons of CO2. to raise students and staff's awareness Proposals implemented included repla- about the need for environmentally cement of lamps with LED solutions, ins- Working with social productive friendly behavior that contributes to tallation of solar filters, zoning of lighting enterprises the sustainable development of society. to adjust light levels to the requirements IESE has partnerships with printing, · Doing Good and Doing Well (DGDW) of activities, installation of detectors in transport, taxi and paper companies conference organized by MBA stu- passageways and store rooms, and up- that have strategic environmental ob- dents featured talks on sustainability dating of equipment for air conditioning jectives. The school started using a green in the framework of socially responsi- systems, as per general upgrade plan for taxi company, whose fleet is made up ble companies. climate-control installations. entirely of hybrid vehicles with low CO2 · Activities which involved renewable emissions. energy. Promote responsible use of water · Students and staff contributed to the Measures were implemented to impro- Reduce the generation of waste separation of waste (paper, plastic, ve the management of water-saving sys- Proper waste management and separa- glass). tems. Proposals implemented included tion processes were put into place, lea- · Digital temperature indicators were replacement of conventional restrooms ding to a reduction of 42 percent this aca- implemented in classrooms. with waterless sanitary models and the demic year. Special attention was paid to · A system was installed in the work- drawing of well water for irrigation of a the management of waste derived from rooms to minimize energy consump- landscaped area. the facilities upgrade works. tion.

68 ANNUAL REPORT 2014/2015 4 ACCREDITATIONS

IESE HAS ACCREDITATION FROM THE FOLLOWING ORGANIZATIONS:

AACSB (THE ASSOCIATION TO ADVANCE EQUIS (The European Quality AMBA COLLEGIATE SCHOOLS OF BUSINESS) Improvement System) (The Association of MBAs) Founded in 1916, AACSB is the longest serving EQUIS is the accrediting body of the European AMBA is based in the UK and accredits global accrediting body for business schools Foundation for Management Development graduate business programs worldwide. that offer undergraduate, master's and doctoral (EFMD), and is dedicated to raising the stan- degrees in business and accounting. Less than dard of management education worldwide. five percent of the world’s business schools hold an AACSB accreditation.

IESE BUSINESS SCHOOL 69 5. Worldwide Support Many alumni, institutions, firms, foundations and other friends of IESE help us to carry out our projects. Without them, especially our alumni and Partner Companies, we would not be able to sustain our commitment to business and society.

WORLDWIDE SUPPORT ALUMNI

This year, the IESE Alumni Association re-elected Jorge Sen- dagorta (PADE ’90) as its president for the next three years. ALUMNI PROFILE Sendagorta first took up the position in 2012 and will continue to lead the mission of the association to offer lifelong learning, professional support, and networking opportunities for graduates of the school’s core programs. During 2014-2015, the Alumni Association – which was founded in 1959 – has redesigned the Alumni Learning Program to improve the integration of special digital content, and include face-to-face sessions around the world and a new career support service for alumni. 43,049 Alumni 38% Alumni Association members

“THE NEW PROJECTS, AS WELL AS OTHERS THAT HAVE BEEN CONSOLIDATED, WOULDN’T 117 BE POSSIBLE WITHOUT THE ENCOURAGEMENT, Countries CONTRIBUTION AND HELP OF THE ALUMNI WHO MAKE UP THIS GREAT COMMUNITY.”

Jorge Sendagorta (PADE ’90) President of the IESE Alumni Association

72 ANNUAL REPORT 2014/2015 5

IESE ALUMNI CHAPTERS

• Carlos Costa (MBA ’86), EUROPE ASIA Mango ALUMNI EXECUTIVE • Antonio Esteve (PDD-I-87), Austria China COMMITTEE Laboratorios Esteve Belgium and Luxembourg Hong Kong • Baldomero Falcones France India (MBA ’72), FCC Germany Japan • Joaquín Faura (MBA ’78), Italy Singapore-Malaysia PRESIDENT Telefónica The Netherlands Taiwan • Antonio González-Adalid (MBA Poland • Jorge Manuel Sendagorta ’75), Cartera Industrial Rea Portugal SPAIN (PADE-II-90), SENER • Gloria Perrier-Chatelain (EMBA Russia ’93), SAP Scandinavia Andalucia VICE-PRESIDENTS • Helena Herrero (PADE-A-02), Switzerland Aragon Hewlett Packard United Kingdom Balearic Islands • Joan Molins (PDG-I-71), • Luis Maroto (MBA ’89), Catalonia Cementos Molins Amadeus THE AMERICAS Galicia • Tomás García Madrid • Marta Martínez (PADE-A-05), Levante (MBA ’88), Grupo Villa Mir IBM Argentina-Uruguay Madrid • Amparo Moraleda (PDG-II-95), Brazil Navarre-Basque Country- MEMBERS CaixaBank Board Member Canada La Rioja • Javier Muñoz Parrondo (MBA Chile • Salvador Alemany (PDD-I-74), ’03), IESE Colombia Abertis Infraestructuras • Kristoff Puelinckx (MBA ’96), Mexico • Juan Asúa (MBA ’89), BBVA Delta Partners Peru • Alejandro Beltrán (MBA ’98), • María del Mar Raventós United States: McKinsey&Company (PADE-I-01), Codorníu · Mid-Atlantic • José Felipe Bertrán • Mireia Rius (MBA ’94), IESE Regional Club (PADE-I-65), Fundación • Javier Emilio Robles · Pacific South West Bertrán (PDG-I-90), Danone Regional Club • Núria Cabutí (MBA ’92), • Julio Rodríguez (PDG-I-97), · Southern Atlantic Random House Mondadori Schneider Electric Europa Regional Club • Jordi Canals, IESE • José Luis de Rojas (MBA ’88), 35 • Aurora Catá (MBA ’89), Zertem Communication Group Alumni chapters Seeliger y Conde • Mª del Pino Velázquez (MBA ’91), Unisono Business Solutions • Rafael Villaseca (MBA ’76), Gas Natural Fenosa

—See also Exhibit IV (Alumni Boards).

IESE BUSINESS SCHOOL 73 WORLDWIDE SUPPORT 243 105 Alumni Learning Sessions Program Sessions outside Spain

ALUMNI LEARNING PROGRAM

ANDORRA 2

ARGENTINA – URUGUAY 2

AUSTRIA 1

BELGIUM & LUXEMBOURG 5 Alumni Learning Program BRAZIL 8 CANADA 1

The Alumni Learning Program con- LEARNING CHILE 4 tinued to be one of the pillars of the PROGRAM SERIES Alumni Association. In 2014-2015, 243 CHINA 3 activities were held in 47 cities in 30 cou- COLOMBIA 2 ntries, with 23,191 participants. These FRANCE 5 activities were arranged in cycles that · Board of Directors offered an up-to-date and in-depth look · Business Ethics GERMANY 10 into the challenges that executives face. · Corporate Governance & Risk ITALY 3 Of particular note were a number of on- Management line education sessions, in the form of e- · Digital Marketing JAPAN 4 conferences, WebEx (live sessions) and · Entrepreneurship MEXICO 6 webinars. Currently, 25 percent of these · Family Business NETHERLANDS 5 sessions are digital, in the form either of · Financial and Fiscal · live streaming lectures or prerecorded Management NORDIC COUNTRIES 2 e-conferences. “One of our main goals · FINAVES: Investment and PERU 3 is to reach 50 percent digitalization in Entrepreneurship POLAND 5 the next few years,” says Javier Muñoz, · Innovation and Transformation IESE director of Alumni and Institutio- · Large Business Sectors PORTUGAL 3 nal Development. · Leadership SWITZERLAND 4 · Real Estate · Sales Management UNITED KINGDOM 9 · Social Entrepreneurship UNITED STATES 7 · Taxation OTHER COUNTRIES (Panama, UAE, Singapore) 11 · The Economic Overview

74 ANNUAL REPORT 2014/2015 5 105

Lech Walesa, Kenneth Rogoff, Nobel Laureate and Professor of former President of economics at Poland. Harvard University.

José Viñals, Links Reunion were Profs. Philip G. Moscoso Director of monetary and Juan Manuel de Toro. and capital markets at the IMF. The Alumni Association strengthens the ties between IESE and its gradua- Support tes, and among the graduates themselves. The role of the association in kee- As well as a packed program of Alumni ping the alumni community connected Learning opportunities, members of can be seen in the global calendar of the IESE Alumni Association can now events it organized in 2014-2015, which take part in an annual career-support included 25 major events attended by session with an accredited advisor to 2,209 6,852 alumni. The largest and most im- identify how to reach professional ob- People registered portant of these, the 53rd Global Alumni jectives. They have the chance to analy- in the 53rd Global Reunion, took place in Madrid in Octo- ze their current situation and evaluate Alumni Reunion ber 2014. The reunion had the largest options, opportunities and risks. The attendance to date, with a total of 2,209 service is provided by professional ad- registrations. Under the title, “Chan- visors, specialists and former headhun- ging Tack: Shaping Europe as a Global ters on IESE campuses in Barcelona, Reference,” it featured guest speakers Madrid, Munich and New York, and in including Lech Walesa, Nobel Laureate other cities like London, Vienna and and former President of Poland; Ken- Zurich for our international alumni 500 neth Rogoff, professor of economics community. Alumni accessed the at Harvard University; Ferdinando Alumni can also access the SUCCEED SUCCEED platform "Nani" Beccalli-Falco, president and platform, which organized five webi- CEO of General Electric Europe; and nars, four educational workshops for José Viñals, director of monetary and more than 500 alumni, plus commu- capital markets at the IMF. The acade- nication campaigns with recruiters mic directors of the 2014 Global Alumni during the academic year.

IESE BUSINESS SCHOOL 75 WORLDWIDE SUPPORT PARTNER COMPANIES

This year 15 companies joined the list of Partner Companies: Advance Medical, Electrosteel Europe, Eurofragance, Flui- dra, Garrido Abogados, Germans Boada, Mirabaud, Merck Sharp & Dohme, Mo- bility Services Network, Ordesa, Otsuka Pharmaceutical, SCM-Schibsted, Seidor, VidaCaixa, and Xerox. Over 200 companies generously support IESE in its projects, including the development of young faculty and new research, programs and innovations in teaching, as well as in the improvement and advancement of campuses. 28th Annual Meeting of Partner Companies.

• ABERTIS CONSULTANTS • BBDO ASESORA • ERICSSON • FUNDACIÓN RAFAEL • ACCENTURE • AMERICAN EXPRESS • BBK • COVAP • ERMENEGILDO ZEGNA DEL PINO • ACCESO GROUP DE ESPAÑA • BBVA • CRÈDIT ANDORRÀ • EUREST • FUNDACIÓN RAMÓN • ADECCO TT • ANFABRA • BP • CUATRECASAS • EUROFRAGANCE ARECES • ADP • ARDANUY INGENIERÍA • CAIXABANK • DANONE • EURO-FUNDING • GARRIDO ABOGADOS • ADVANCE MEDICAL • AREAS • CAJA RURAL • DELOITTE ADVISORY GROUP • GARRIGUES • AEGON • ARTEOLIVA CASTILLA-LA MANCHA • DEUTSCHE BANK • EUROSTAR • GAS NATURAL • AENA • ASCENSORES ERSCE • CALIDAD PASCUAL • DIAGEO MEDIAGROUP FENOSA • AF STEELCASE • ASEPEYO • CAMBRA DE • DKV (PREVIASA) • EVERIS • GENERAL CABLE • AGBAR • A.T. KEARNEY BARCELONA • DOW CHEMICAL • EY • GENERAL ÓPTICA • AGROLIMEN • ATREVIA • CAPRABO • ECOEMBALAJES • FERROVIAL • GERMANS BOADA • AGRUPACIÓN • ATRIAN • CARAT • EL CONSORCI DE LA • FICOSA • GFT IT CONSULTING NACIONAL DE • AYESA • CASER ZONA FRANCA DE INTERNATIONAL • GORDILLO CONCESIONARIOS • BACARDI • CEMENTOS MOLINS BARCELONA • FLUIDRA PROCURADORES RENAULT- ANCR • BANC SABADELL • CITIBANK • ELECTROSTEEL • FMC FORET • GRUP CATALANA • AIRBUS MILITARY • BANCO ESPIRITO • CLEAR CHANNEL EUROPE • FOSTER WHEELER OCCIDENT • AIR LIQUIDE SANTO INVESTMENT • COALIMENT • ELOGOS • FUNDACIÓN BERTRÁN • GRUPO BANCO MEDICINAL • BANCO MEDIOLANUM GRANOLLERS • ENAGÁS • FUNDACIÓN POPULAR • ALCATEL LUCENTL • BANKIA • CODORNÍU • ENCOFRADOS J. HORIZONTE XXII • GRUPO BARCELÓ • ALLIANZ • BANKINTER • COFACE ALSINA • FUNDACIÓN Mª. • GRUPO CELSA • ALPHABET • BARCLAYS • COMSA EMTE • EPSON IBÉRICA FRANCISCA DE • GRUPO DAMM • ALTAIR MANAGEMENT • BASF • CORPORACIÓN • ERES RELOCATION ROVIRALTA • GRUPO ELOSA

76 ANNUAL REPORT 2014/2015 5

• GRUPO ENDESA • INTERMAS NETS DOHME • PEPSICO • SCHIBSTED • TEXSA • GRUPO ESTEVE • INVERSIONES SINFIN • MERCURY CAPITAL • PHILIP MORRIS • SCHNEIDER ELECTRIC • THE ROYAL BANK OF • GRUPO GESTESA HOLDING • META4 • PLÁSTICOS TA-TAY • SDL-TRIDION SCOTLAND • GRUPO LOGISTA • IN2 • MICRO-BLANC • PORT DE BARCELONA • SEAT-VOLKSWAGEN • THOMSON REUTERS • GRUPO NOVARTIS • ISS FACILITY SERVICES • MICROSOFT IBÉRICA • PPG IBERICA • SEIDOR • TOUS • GRUPO PARERA • IZASA • MIQUEL Y COSTAS & • PRONOVIAS • SENER INGENIERÍA Y • URALITA • GRUPO PERSONA • JOHN DEERE MIQUEL • PROSEGUR SISTEMAS • VALINSA • GRUPO PUIG • JOHNSON CONTROLS • MIRABAUD • PWC • SEUR • VESTAS • GRUPO SANTANDER • KELLOGG • MOBILITY SERVICES • RANDSTAD • SIEMENS • VIDACAIXA • GRUPO TELEFÓNICA • KONSAC NETWORK • RED ELÉCTRICA • SOCIAL TRENDS • VORTAL CONNECTING • GRUPO VILLAR MIR • KPMG • MUTUA MADRILEÑA • REDUR INSTITUTE BUSINESS • GUINEU INVERSIÓ • LABORATORIOS LETI • NATIXIS • REINFORCE • SOCIÉTÉ GÉNÉRALE • WILLIS • HENKEL IBÉRICA • LEAR CORPORATION • NEGOCENTER CONSULTING • SOLVAY • WÜRTH • HEWLETT-PACKARD • LENER • NESTLÉ • REPSOL • SONY • XEROX • IBERDROLA • LINEA DIRECTA • NEXTRET • RICOH • STAIG GRUPO • ZANINI AUTO GRUP • IBM ASEGURADORA • NISSAN • ROCA INMOBILIARIO • ZARDOYA OTIS • ICL • LUCTA • ORDESA • ROCHE • SWAROVSKI • ZURICH • IDOM • MAHOU-SAN MIGUEL • OTSUKA • ROLAND BERGER • SYNTHESIA • IMS HEALTH • MANGO • PALEX MEDICAL • SABA • TALDE • INDRA • MARTINSA-FADESA • PANRICO INFRAESTRUCTURAS • TANDBERG • INGESPORT HEALTH & • MECALUX • PENTEO ICT ANALYST • SANITAS • TECHNO TRENDS SPA CONSULTING • MERCK SHARP & • PEOPLEMATTERS • SANOFI AVENTIS • TETRA PAK

IESE BUSINESS SCHOOL 77 WORLDWIDE SUPPORT DONATIONS

IN THE 2014-2015 ACADEMIC YEAR, contributions were invested in the following areas:

• 33 percent of funds donated supported research: chairs, research centers, academic events and ground- breaking research initiatives. • 25 percent of funds donated supported faculty development and scholarships, helping attract the world’s most outstanding students and faculty. DONATIONS • 42 percent of funds donated sup- BY AREAS ported innovation and learning: new and better campuses and improved learning technology increased the impact of IESE programs. 42% Innovation We would like to acknowledge the sup- and learning port of the alumni, firms and friends of IESE who have contributed to the fulfillment of our mission. Sponsorship donations to IESE allow us to meet our commitment to society by developing 33% leaders who have a positive and lasting Research development impact on it through their professio- 25% Faculty nalism, integrity and spirit of service. development In today’s complex economic and social environment, we believe that it is more important than ever to prepare managers, in both the private and public sectors, who will work with a long-term vision for the common good of the societies in which they live. The business world can do more, and do To learn more about joining our community better, in this regard and we continue through sponsorship, please contact: in our efforts to facilitate this. [email protected]

78 ANNUAL REPORT 2014/2015 6. Financial 5 Information

IESE BUSINESS SCHOOL 79 FINANCIAL INFORMATION EXECUTIVE SUMMARY

or International Financial Reporting Standards (IFRS) apply. IESE-USA Inc. and IESE GmbH carry out the school’s activities fter several years marked by a slow growth in in the United States and Germany, respectively. These entities Europe, the 2014-2015 academic year showed maintain their accounting records according to the legislation indications of a gradual recovery on the hori- in their respective countries. As a result of its nonprofit status zon. Total revenue was €92.2 million, reflecting and in accordance with current legislations, IESE, IESE-USA a 4 percent increase over the previous year. This and IESE gGmbH are exempt from paying corporate taxes. growthA was mainly driven by Custom Programs. Expenses grew in similar proportion, reaching a total of Income Statement €91.8 million. This growth is indicative of resources allocated Academic activity generated most revenue, through programs to strengthen sales teams in different regions around the and research projects. Programs and research expenses include world. This growth in expenses also reflects IESE’s efforts in all direct expenses related to these activities, except for faculty the digital transformation investments made. and staff costs reported separately. This led to a positive close for the year of €358,174, after allo- In addition to its teaching and research revenues, IESE recei- cating €1.5 million to development projects on the campuses ves funding for research from strategic partners, individuals in Barcelona, Madrid, Munich and New York. and corporate sponsors. The IESE Alumni Association donates part of its revenue to initiatives such as MBA scholarships, the Accounting Criteria professional development of young faculty, and research pro- This financial report is based on IESE’s accounting records jects. Corporate partners support IESE through gifts allocated from all programs and activities, and reflects all related eco- to similar activities nomic flows. Legal requirements and accounting principles The criteria used for the budget aim to balance revenue and have been applied to reflect the school’s assets and financial expenses, and allocate any surplus to new facilities, research, situation accurately. and future academic initiatives. This explains the reduced As the graduate business school of the University of Navarra margin reported. In fact, during the last four academic years, – a not-for-profit entity – IESE accounts are audited with those a total amount of €8.7 million has been dedicated to these of the rest of the University (available at www.unav.edu). See ‘Development Projects’. the audited profit and loss statement in Exhibit IV. As well as the activity-related income and expenditure The accounts are compiled in accordance with the provisions streams reported in the income statement, there are those specified in the Corporate Law Code in Spain and the New that correspond to activities held on the New York and Mu- General Accounting Standards, whose main administrative nich Campuses, which are registered in their own accounting framework is that of a nonprofit organization. In addition, records. The income generated in the New York Campus in financial statements follow the standards and procedures of 2014-2015 was €4.2 million, while €0.7 million was generated the Spanish Association of Accounting and Business Admi- in Munich. In both cases the income came from Executive nistration and the pertinent fiscal regulations. The financial Education activity. statements obtained using Spanish accounting standards are not substantially different from those obtained when US GAAP —See “Independent Auditor’s Report,” Exhibit IV

80 ANNUAL REPORT 2014/2015 6

IESE BUSINESS SCHOOL INCOME STATEMENT in euros

2011/12 2012/13 2013/14 2014/15

REVENUE 88,120,669 86,797,180 88,957,848 92,199,953 Programs 79,355,441 78,739,090 79,670,638 83,172,080 Research projects 2,341,622 2,850,840 3,678,830 3,622,559 Alumni and sponsoring companies 4,644,386 4,414,190 4,441,520 4,302,322 Other income 1,779,221 793,060 1,166,860 1,102,993

EXPENSES 87,550,254 86,484,689 88,730,222 91,841,779 Faculty and staff 40,155,630 40,345,718 40,908,697 41,726,922 Programs and research 19,146,631 18,522,375 20,221,637 22,600,960 General services* 8,461,956 8,617,435 8,701,190 9,003,818 Facility services** 8,214,955 8,041,431 7,981,797 8,611,015 Other expenses 3,112,506 3,058,210 3,685,311 3,530,215 Extraordinary expenses 864,126 955,560 832,550 646,804 Depreciation 4,511,121 4,943,950 4,299,030 4,222,030 Development projects 3,083,329 2,000,010 2,100,010 1,500,015

DIFFERENCE 570,415 312,491 227,626 358,174

* Includes the expenses of library administration, publishing, marketing, communications, information technology and services. ** Includes all expenses associated with use of the buildings, such as maintenence, supplies, rents and building insurance, etc.

IESE BUSINESS SCHOOL 81 FINANCIAL INFORMATION MAIN AREAS OF ACTIVITY

Executive Education Executive Education programs drove growth in the 2014- Degree Programs 2015 academic year, with a total revenue of €45.3 million, an The MBA programs maintained the same number of students 8 percent increase over last year. Custom Programs stood out as the previous year, generating total revenue of €39.1 million. among other programs, growing 20 percent over the previous The full-time MBA program, which generates slightly more year and representing more than one-third of total Executive than 50 percent of the income of MBA programs, continued Education income. More incisive marketing and the careful carrying out focused actions in the admissions process around design of content adapted to the needs of companies have led the world. This led to a full class with good students and a to increasingly positive results. better international balance among them. The executive education program portfolio includes also Other degree programs include the Master of Research in Long Open Enrollment Programs (AMP, PMD, SEP, PADE, PDG, Management and PhD in Management, which in 2014-2015 and PDD) and Focused Programs, Seminars, Industry Mee- included 47 students from 22 countries. The International tings and others. Some of the long extended programs have Faculty Program (IFP), designed to enhance the teaching and been offered uninterruptedly for many years and in multiple leadership competencies of junior economics and business locations, including Barcelona, Madrid, Miami, Munich, New management professors, enrolled 32 professors from 24 cou- York, Pamplona, Sao Paulo, Santiago, Shanghai, Valencia and ntries during the academic year. Warsaw.

82 ANNUAL REPORT 2014/2015 6 RESEARCH

staff who conduct research and academic activities. Academic centers are self-financed via public research funding and agre- Resources for Research ements with companies or institutions, and over the course In 2014-2015 IESE contributed €13 million — approximately of 2014-2015 more than €1.9 million was raised for projects. 14 percent of annual outgoings — directly to research and to expenses related to personnel: research and administrative Dissemination of Intellectual Output support and faculty salaries corresponding to research acti- The school’s intellectual output, including teaching materials vity. Funding came from IESE competitive research grants, and the business management review IESE Insight, is produced and agreements with companies, institutions and others. An and disseminated through IESE Publishing. additional €234,000 was provided by the Alumni Association. IESE Publishing distributes business-related cases and tea- More than 400 documents have been published and are ching materials in Spanish, in addition to cases from IESE, available to alumni, sponsors and the business and academic Harvard Business School, INSEAD, Stanford, Darden and communities. These include books, articles, cases, conference several schools in Latin America. It also disseminates other papers and other publications in the scientific and scholarly educational materials, including books, technical notes, DVDs, fields. and articles. The IESE Publishing catalog currently includes over 38,572 business management products. Chairs and Research Centers In 2014-2015, sales of business cases reached 275,000 copies, Research is coordinated by academic departments, 20 acade- similar to the previous year. Also worth noting is the number mic chairs and 14 research centers, who foster the interchan- of subscribers, which has almost tripled over the last six years, ge of knowledge and the development of interdisciplinary increasing from 14,400 in 2006-2007 to more than 54,000 in projects. 2014-2015. Chairs are generally bestowed by an individual or organi- IESE Insight, which includes the school’s business knowled- zation for whom the position will be named. Typical chair ge portal and its management magazine, aims to become a endowment is between €1-3 million, the net yield of which go-to source of information for the international academic will be invested by the chair holder in their research projects. community. The portal received an average of more than 44,000 IESE professors head up research centers, and some will have monthly visits in 2014.

IESE BUSINESS SCHOOL 83 FINANCIAL INFORMATION IESE ALUMNI ASSOCIATION

At the same time, staff and general management expenses were contained. The IESE Alumni Association is led by its Executive Com- mittee. In 2014-2015, the association’s total income grew Special Projects to €4.2 million. Alumni fees, as well as income through Alumni continue to contribute principally to junior faculty sponsorships which come mainly from the Global Alumni development, scholarships, and research. In 2014-2015, the Reunion, decreased slightly, in line with projections for this Executive Committee allocated €858,000 to these categories. year. Fee amounts were maintained, while an increase in During the previous academic year, the association granted association memberships brought about a higher propor- eight scholarships to the MBA program which together totaled tion of alumni based in areas with reduced fees. €210,000. It represented 24 percent of the surplus. Expenses increased for services, offered to effectively 24 percent percent of the Alumni Association’s surplus was carry out planned projects. The most significant changes earmarked to finance research projects. were: 48 percent was devoted to training junior faculty. The as- • International Alumni Learning Program: the increase was sociation dedicated the largest portion of the surplus to this due to the Miami Summit held in May 2015, as well as events category because it is the cornerstone of the school's teaching organized to celebrate the 50th MBA anniversary. and research efforts. • Class reunions (PADE, PDG, PDD and MBA): Expenses rose The Alumni Association devoted €30,000, 3 percent of the due to efforts to gain a higher level of participation in acti- surplus, to research prizes. These prizes, created in 2002, recog- vities to strengthen alumni networking. nize excellence in IESE faculty research in three areas: articles, • Organization of the IESE Global Alumni Reunion in Madrid. books and courses.

84 ANNUAL REPORT 2014/2015 6

IESE ALUMNI ASSOCIATION in euros

2011/12 2012/13 2013/14 2014/15

INCOME 4,253,344 4,249,905 4,317,695 4,204,105 Alumni Contributions 4,184,160 4,121,489 4,110,655 4,065,075 Sponsorships 69,184 128,417 207,040 139,030

EXPENSES 3,361,209 3,361,209 3,180,455 3,345,803 Association Services 1,944,569 1,879,041 1,628,722 1,800,341 Personal Expenses 970,812 987,589 1,058,454 1,057,653 General Expenses 502,099 494,579 493,279 487,809

MARGIN FOR SPECIAL PROJECTS 835,864 888,697 1,137,240 858,302 Fellowships 150,000 165,000 165,000 210,000 Research Awards 30,000 30,000 30,000 30,000 Faculty Development 439,429 464,777 635,185 412,102 Research Projects 216,435 228,920 307,055 206,200

IESE BUSINESS SCHOOL 85 FINANCIAL INFORMATION SCHOLARSHIPS AND OTHER FINANCIAL AID PROGRAMS

Other entities that benefit from this scholarship program include NGOs, foundations and other non-profit organizations, IESE works continuously to attract donations to fund strategic which receive partial scholarships for executive education projects aimed at developing junior faculty, student grants, programs for their managers. In 2014-2015, €296,000 was allo- large-scale research projects, etc. These efforts help ensure cated for this purpose, which had a positive impact on both the sustainable growth and competitiveness on an international participants and the organizations that they serve. level while at the same time allowing the school to exercise In collaboration with the International Foundation, IESE corporate responsibility with its alumni, academic community offers a scholarship program aimed at helping professors from and society in general. emerging countries in their doctoral studies. During the past One of the priorities of corporate development is to fund academic year, €780,000 in scholarships was awarded to 47 student grants and scholarships. Each program establishes students from 24 countries. The financial support package specific criteria for awarding financial support, with the ove- includes the annual tuition fees €420,000 and a yearly stipend rall objective of attracting the best candidates and promoting to cover living expenses €360,000. diversity among participants. Some contributions are donated exclusively to fund grants With the help of several institutions, IESE dedicates appro- while others are unrestricted corporate donations that the ximately 4 percent of its academic income to an ambitious school allocates to student grants. Among the grant donors scholarship program aimed at promoting enrollment among is the Alumni Association, which donates €210,000 toward students, especially women, from emerging economies. MBA grants. Lastly, a portion of these donations proceeds from Moreover, to increase the enrollment of students from Africa, the interest generated from the IESE endowment fund. The in 2014-2015, the school allocated €3.4 million to this program fund is the result of the generous contributions from alumni (detailed information may found on each of the programs’ and corporate sponsors destined mainly to finance research websites.) initiatives and scholarships.

86 ANNUAL REPORT 2014/2015 6 COOPERATION FOR DEVELOPMENT

to companies and society. The economic impact of this aid, around €1,5 million including executive education scho- In addition to scholarships, IESE’s areas of social action larships granted to the schools’ faculty and managers, is include development initiatives in emerging countries and substantial. education. IESE as an institution, and its faculty members Another important initiative is the fundraising campaign on a personal level, are committed to the development of held during the year with the academic community (stu- academic institutions in distinct regions around the world. dents, alumni, faculty and staff). The annual campaign or- The school works closely with these institutions to promote ganized in collaboration with the IESE Foundation, aims to their development and in many cases also has an academic help different social projects in Africa. In 2014-2015 funds alliance with them. were raised for Etimoé-Makoré primary and secondary In this regard, the projects that commenced years ago school, an initiative of the Foundation Famille et Education with two African schools, Lagos Business School in Nige- in Ivory Coast. Etimoé-Makoré is a recent school in a very ria and Strathmore Business School in Kenya, are parti- disadvantaged part of Abidjan called Cocody, with the aim cularly noteworthy. Over the last two years, IESE has also of reducing illiteracy and providing a quality education to helped launch and consolidate MDE Business School in Cote children of all social conditions, ethnicities and religions. d'Ivoire. IESE professors have taken an active role during As a result of the campaign, €15,600 in aid was sent to this the school’s first phases and have also organized executive school. education modules. This aid has an important social multiplying effect, since the institutions in question exercise considerable influence in the societies that they serve. Furthermore, they transmit a notion of professional excellence and an ethical perspective

IESE BUSINESS SCHOOL 87 FINANCIAL INFORMATION OTHER SUPPORTING ORGANIZATIONS

The US IESE Foundation The IESE Foundation is a US 501[c]3 nonprofit organization The school benefits from contributions from several foun- whose mission is to support management-related research dations, which are independent entities with their gover- and education programs in the fields of economics, sociolo- ning bodies and as such have no legal ties to IESE. These gy, psychology and other areas. It pursues these objectives foundations contribute to the school in accordance with by supporting nonprofit organizations in the US and other their statutes. More information about these foundations countries with programs and activities aligned with its can be found in their annual reports. mission. The activities carried out by the IESE Foundation in- IESE International Foundation clude the support of the Continuous Education Program The IESE International Foundation is dedicated to promo- sessions for IESE alumni. The foundation is continuing ting excellence in teaching, research and innovation from a its fundraising campaign in the US and around the world humanistic standpoint and to the highest global standards. to help IESE establish a research center in New York and One of the Foundation’s initiatives in 2014-2015 was to raise fund other activities. scholarship funds for highly qualified foreign students who had recently enrolled in the IESE’s Master of Research in International Foundation for Educational Development Management or PhD program, and the MBA. Furthermore, The International Foundation for Educational Develop- the Foundation collaborates with the research that IESE ment supports culture and training by awarding university leads through the endowed chairs. It also works with the scholarships. Moreover, providing funding for cultural and African business schools with which IESE has a strategic educational centers; promoting scientific research; sup- alliance. www.fiiese.org porting university and educational initiatives and school libraries; and leading social and economic development Fundación IESE and volunteer work. Fundación IESE promotes and develops comprehensive Since partnering with IESE 10 years ago, the foundation academic, cultural and professional education. Among has helped build some of the school’s facilities, including other initiatives, it provides funding for tuition, board the expansion of the Barcelona campus in 2007. The Foun- and grants for university students and researchers. The dation led an extensive fundraising campaign that bene- Fundación IESE has also contributed for many years to fited the school. the construction of some of IESE’s facilities. Currently there are fundraising campaigns for the expansion of the Madrid campus and to refurbish the campus in Munich. www.fiese.org

88 ANNUAL REPORT 2014/2015 7. Exhibits EXHIBITS EXHIBIT I IESE FACULTY ARTICLES IN INTERNATIONAL REFEREED JOURNALS 2014-2015

Almandoz, J., “Founding Teams as Carriers of Camacho, N., De Jong, M., and Stremersch, De Linares, Postigo, I., Belmonte, J., Canela, Competing Logics: When Institutional Forces S., “The Effect of Customer Empowerment on M.A., and Martínez, J., “Optimization of the Predict Banks’ Risk Exposure,” Administrative Adherence to Expert Advice,” International Measurement of Outdoor Airborne Allergens Science Quarterly, Vol. 59, No. 3, 2014, pp. Journal of Research in Marketing, Vol. 31, No. Using a Protein Microarrays Platform,” Aerobio- 442-473. 3, 2014, pp. 293-308. logia, Vol. 30, No. 3, 2014, pp. 217-227.

Amorim, M., Moscoso, P., and Lago, A., “Cus- Campos, R. and Reggio, I., “Consumption Demil, B., Lecocq, X., Ricart, J.E., and Zott, C., tomer Participation in Services: A Framework in the Shadow of Unemployment,” European “Introduction to the Special Issue on Business for Process Design,” International Journal of Economic Review, Vol. 78, 2015, pp. 39-54. Models: Business Models within the Domain of Qualitative Research in Services, Vol. 2, No. 1, Strategic Entrepreneurship,” Strategic Entrepre- 2015, pp. 47-61. Caro, F., Martínez de Albéniz, V., and Rus- neurship Journal, Vol. 9, No. 1, 2015, pp. 1-11. mevichientong, P., “The Assortment Packing Andreu, R., Riverola, J., Rosanas, J.M., and Problem: Multiperiod Assortment Planning for Estrada, J., “Rethinking Risk (II): The Size and De Santiago, R., “Capability Building and Short-Lived Products,” Management Science, Value Effects,” Journal of Wealth Management, Learning: An Emergent Behavior Approach,” Vol. 60, No. 11, 2014, pp. 2701-2721. Vol. 17, No. 3, 2014, pp. 78-83. International Journal of Management and Eco- nomics, Vol. 44, No. 1, 2014, pp. 7-38. Costamagna, R., Pin, J.R., Susaeta, L., Ferraro, F., Etzion, D., and Gehman, J., “Tac- Fernández-Hidalgo, R., Suarez, E., and Apas- kling Grand Challenges Pragmatically: Robust Argandoña, A., “Las virtudes en el directivo,” caritei, P., “Repsol-YPF: An “Illegal” Expropria- Action Revisited,” Organization Studies, Vol. Impresa Progetto. Electronic Journal of Manage- tion,” Journal of Business Research, Vol. 68, 36, No. 3, 2015, pp. 363-390. ment, No. 3, 2014, pp. 1-11. No. 2, 2015, pp. 255-262. Flores, J.E., Boada, P., and Moscoso, P., “An Arrondo, G., Aznárez-Sanado, M., Fernández- Cruz, C., Larraza-Kintana, M., Garces-Gal- Empirical Analysis of Sell-through in a Fashion Seara, M.A., Goñi, J., Loayza, F.R., Salamon- deano, L., and Berrone, P., “Are Family Firms Setting,” International Journal of Supply Chain Klobut, E., Heukamp, F., and Pastor, M.A., Really More Socially Responsible?,” Entrepre- Management, Vol. 3, No. 4, 2014, pp. 13-22. “Dopaminergic Modulation of the Trade-Off Bet- neurship Theory and Practice, Vol. 38, No. 6, ween Probability and Time in Economic Decision- 2014, pp. 1295-1316. Fontrodona, J. and Sison, A., “Work, Virtues, Making,” European Neuropsychopharmacology, and Flourishing: A Special Issue from the EBEN Vol. 25, No. 6, 2015, pp. 817-827. Dávila, A., Foster, G., and Nia, J., “The 25th Annual Conference,” Journal of Business Valuation of Management Control Systems in Ethics, Vol. 128, No. 4, 2015, pp. 701-703. Beck, R., Gregory, R., and Marschollek, Start-Up Companies: International Field-Based O., “The Interplay of Institutional Logics in IT Evidence,” European Accounting Review, Vol. García-Castro, R. and Aguilera, R., “Incremen- Public-Private Partnerships,” Data Base for 24, No. 2, 2015, pp. 207-239. tal Value Creation and Appropriation in a World Adances in Information Systems, Vol. 46, No. 1, with Multiple Stakeholders,” Strategic Manage- 2015, pp. 24-48. Dávila, A., Foster, G., He, X., et al., “The Rise ment Journal, Vol. 36, No. 1, 2015, pp. 137-147. and Fall of Startups: Creation and Destruction Cabral, L. and Salant, D., “Evolving Techno- of Revenue and Jobs by Young Companies,” García-Ruiz, P. and Rodríguez-Lluesma, logies and Standards Regulation,” International Australian Journal of Management (University C., “Consumption Practices: A Virtue Ethics Journal of Industrial Organization, Vol. 36, of New South Wales), Vol. 40, No. 1, 2015, pp. Approach,” Business Ethics Quarterly, Vol. 24, 2014, 48-56. 6-35. No. 4, 2014, pp. 509-531.

90 ANNUAL REPORT 2014/2015 7

Gelper, S. and Stremersch, S., “Variable Larcker, D., McCall, A., and Ormazabal, Pastoriza, D., Ariño, M.A., Ricart, J.E. and Selection in International Diffusion Models,” G., “Outsourcing Shareholder Voting to Proxy Canela, M.A., “Does an Ethical Work Context International Journal of Research in Marketing, Advisory Firms,” The Journal of Law and Eco- Generate Internal Social Capital?,” Journal of Vol. 31, No. 4, 2014, pp. 356-367. nomics, Vol. 58, No. 1, 2015, pp. 173-204. Business Ethics, Vol. 129, No. 1, 2015, pp. 77-92. Ghemawat, P., “How Global is Your C-Suite?,” Malek, M. A., Budhwar, P., and Reiche, MIT Sloan Management Review, Vol. 56, No. S., “Sources of Support and Expatriation: A Pavan, A. and Vives, X., “Information, Coordi- 4, 2015, pp. 73-82. Multiple Stakeholder Perspective of Expatriate nation, and Market Frictions: An Introduction,” Adjustment and Performance in Malaysia,” Journal of Economic Theory, Vol. 158, 2015, Ghosh, A. and Rosenkopf, L., “Shrouded in International Journal of Human Resource Ma- pp. 407-426. Structure: Challenges and Opportunities for nagement, Vol. 26, No. 2, 2015, pp. 258-276. a Friction-Based View of Network Research,” Pudelko, M., Reiche, S., and Carr, C., Organization Science, Vol. 26, No. 2, 2015, Mas, N., “Hospital Financial Pressures and “Recent Developments and Emerging pp. 622-631. the Health of the Uninsured: Who Gets Hurt?,” Challenges in International Human Resource International Journal of Health Services, Vol. Management,” International Journal of Human Gregory, R. and Muntermann, J., “Heuristic 45, No. 1, 2015, pp. 53-71. Resource Management, Vol. 26, No. 2, 2015, Theorizing: Proactively Generating Design pp. 127-135. Theories,” Information Systems Research, Vol. Mas, N. and Valentini, G., “Technology Com- 25, No. 3, 2014, pp. 639-653. plexity and Target Selection: The Case of US Rafecas, M., Arranz, L.I., García, Mireia, Hospital Mergers,” Industrial and Corporate and Canela, M.A., “Improvement of Weight Gregory, R., Keil, M., Muntermann, J., and Change, Vol. 24, No. 2, 2015, pp. 511-537. and Body Composition in a Group of Women Mähring, M., “Paradoxes and the Nature of through a Weight Management Program Using Ambidexterity in IT Transformation Programs,” McAllum, K. and Elvira, M., “Zeroes, Service Food Supplements with or without a Hypoca- Information Systems Research, Vol. 26, No. 1, Providers, or Heroes? Dignity and the Com- loric Diet,” Journal of Pharmacy and Nutrition 2015, pp. 57-80. municative Politics of Care Work,” Electronic Sciences, Vol. 4, No. 4, 2014, pp. 238-245. Journal of Communication, Vol. 25, No. 1&2, Hidalgo, O., Vallès, J., Romo, A., Canela, 2015. Reiche, S. , Harzing, A., and Pudelko , M., M.A, and Garnatje, T., Genome, “Size Varia- “Why and How does Shared Language Affect tion in Gymnosperms Under Different Growth Moschieri, C., Ragozzino, R., and Campa, Subsidiary Knowledge Inflows? A Social Identity Conditions,” Caryologia, Vol. 68, No. 2, 2015, J.M., “Does Regional Integration Change the Perspective,” Journal of International Business pp. 92-96. Effects of Country-Level Institutional Barriers Studies, Vol. 46, No. 5, 2015, pp. 528-551. on M&A? The Case of the European Union,” Kapoor, R. and Klueter, T., “Decoding the Management International Review, Vol. 54, Revilla, M., Saris, W., Loewe, G., and Adaptability-Rigidity Puzzle: Evidence from No. 6, 2014, pp. 853-877. Ochoa, C., “Can a Non-Probabilistic Online Pharmaceutical Incubents' Pursuit of Gene Panel Achieve Question Quality Similar to that Therapy and Monoclonal Antibodies,” Aca- Mueller-Frank, M., “Does one Bayesian of the European Social Survey?,” International demy of Management Journal, Vol. 58, No. 4, Make a Difference?,” Journal of Economic Journal of Market Research, Vol. 57, No. 3, 2015, pp. 1180-1207. Theory, Vol. 154, 2014, pp. 423-452. 2015, pp. 395-412.

IESE BUSINESS SCHOOL 91 EXHIBITS

San Martin, A., Swaab, R.I., Sinaceur, M., Tortoriello, M., McEvily, W.J., and Krac- and Vasiljevic, D., “The Double-Edged Impact khardt, D., “Being a Catalyst of Innovation: of Future Expectations in Groups: Minority In- The Role of Knowledge Diversity and Network fluence Depends on Minorities’ and Majorities’ Closure,” Organization Science, Vol. 26, No. 2, Expectations to Interact Again,” Organizational 2015, pp. 423-438. Behavior and Human Decision Processes, Vol. 128, 2015, pp. 49-60. Vaccaro, A. and Palazzo, G., “Values Against Violence: Institutional Change in Societies Shen, Y., Demel, B., Unite, J., Briscoe, J.P., Dominated by Organized Crime,” Academy of Hall, D.T., Chudzikowski, K., Mayrhofer, Management Journal, Vol. 58, No. 4, 2015, pp. W., Abdul-Ghani, R., Bogicevic Milikic, 1075-1101. B., Colorado, O., Fei, Z., Las Heras, M., et al., “Career Success Across 11 Countries: Vives, X., “On the Possibilty of Informationally Implications for International Human Resource Efficient Markets,” Journal of the European Management,” International Journal of Human Economic Association, Vol. 12, No. 5, 2014, pp. Resource Management, Vol. 26, No. 13, 2015, 1200-1239. pp. 1753-1778. Vives, X. “Strategic Complementarity, Fragility, Standifer, R., Raes, A., Peus, C., Passos, and Regulation,” Review of Financial Studies, A.M., dos Santos, C., and Weisweiler, S., Vol. 27, No. 12, 2014, pp. 3547-3592. “Time in Teams: Cognitions, Conflict and Team Satisfaction,” Journal of Managerial Psychology, Vol. 30, No. 6, 2015, pp. 692-708.

Stremersch, S., Camacho, N., Vanneste, S., and Verniers, I., “Unraveling Scientific Impact: Citation Types in Marketing Journals,” International Journal of Research in Marketing, Vol. 32, No. 1, 2015, pp. 64-77.

Strike, V., Berrone, P., Sapp, S., and Congiu, L., “A Socioemotional Wealth Approach to CEO Career Horizons in Family Firms,” Journal of Management Studies, Vol. 52, No. 4, 2015, pp. 555-583.

Tortoriello, M., “The Social Underpinnings of Absorptive Capacity: The Moderating Effects of Structural Holes on Innovation Generation Based on External Knowledge,” Strategic Management Journal, Vol. 36, No. 4, 2015, pp. 586-597.

92 ANNUAL REPORT 2014/2015 7 EXHIBIT II ACADEMIC APPOINTMENTS

Argandoña Rámiz, Antonio, Member of the Cassiman, Bruno, Department Editor, Martínez de Albéniz, Victor, Associate Editor, editorial board, Journal of Business Ethics Management Sciences Production and Operations Management

Argandoña Rámiz, Antonio, Member of Cassiman, Bruno, Member of editorial board, Melé, Domènec, Member of editorial board, the editorial board, Journal of International Review of Economics and Business Corporate Governance: The International Business Education Journal of Business in Society Dávila Parra, Antonio, Member of editorial Ariño Martín, Africa, Associate Editor, board, Advances in Management Accounting Melé, Domènec, Section Editor, Journal of Academy of Management Discoveries Business Ethics Dávila Parra, Antonio, Member of editorial Ariño Martín, Africa, Associate Editor, Global board, Contemporary Accounting Research Melé, Domènec, Member of editorial board, Strategy Journal Philosophy of Management Dávila Parra, Antonio, Member of editorial Ariño Martín, Africa, Member of editorial board, Management Research: The Journal of Ormazabal, Gaizka, Member of editorial board, Journal of Strategic Management the Iberoamerican Academy of Management board, Spanish Journal of Finance and Education Accounting (Revista Española de Financiación y Dávila Parra, Antonio, Member of editorial Contabilidad) Ariño Martín, Africa, Member of editorial board, Sport, Business and Management board, Management Research: The Journal of Peñalva Acedo, Fernando, Member of the Iberoamerican Academy of Management Estrada, Javier, Associate Editor, Emerging editorial board, European Accounting Review Markets Review Ariño Martín, Africa, Member of editorial Peñalva Acedo, Fernando, Member of board, Oxford Research Reviews: Business and Ferraro, Fabrizio, Member of editorial board, editorial board, Spanish Journal of Finance and Management Academy of Management Discovery Accounting (Revista Española de Financiación y Contabilidad) Ariño Martín, Africa, Member of editorial Ferraro, Fabrizio, Member of editorial board, board, Strategic Management Journal Academy of Management Review Quintanilla Alboreca, Javier, Member of editorial board, Human Resource Management Berrone, Pascual, Member of editorial board, Fontrodona Felip, Joan, Member of editorial Journal Management Research: The Journal of the board, MediaResponsable Iberoamerican Academy of Management Raes, Anneloes, Member of editorial board, Klueter, Thomas, Member of editorial board, Small Group Research Berrone, Pascual, Member of editorial board, Strategic Entrepreneurship Journal Strategic Management Journal Rahnema, Ahmad, Member of editorial board, Lee, Yih-teen, Member of editorial board, Harvard Deusto Business Review Berrone, Pascual, Member of editorial board, Revue économique et sociale Harvard Deusto Business Review Rahnema, Ahmad, Member of editorial board, Lee, Yih-teen, Member of editorial board, International Review of Management Berrone, Pascual, Associate Editor, Leadership Quarterly "Organization and Environment" Journal Reiche, B. Sebastian, Associate Editor, Human Resource Management Journal

IESE BUSINESS SCHOOL 93 EXHIBITS

Reiche, B. Sebastian, Member of editorial Stremersch, Stefan, Member of editorial Zott, Christoph, Member of editorial board, board, International Journal of Cross-Cultural advisory board, Marketing ZFP - Journal of Strategic Management Journal Management Research and Management

Reiche, B. Sebastian, Member of editorial Suarez, José L., Member of editorial board, board, International Journal of Human International Review of Management Resource Management Tortoriello, Marco, Member of editorial Reiche, B. Sebastian, Member of editorial board, Academy of Management Journal board, Journal of International Business Studies Tortoriello, Marco, Member of editorial Reiche, B. Sebastian, Member of editorial board, Organization Science board, Journal of World Business Villanueva Galobart, Julián, Member Ricart Costa, Joan E., Member of editorial of editorial board, International Journal of board, Harvard Deusto Business Review Research in Marketing

Ricart Costa, Joan E., Member of editorial Vives Torrents, Xavier, Co-Editor, Journal of board, Management Research: The Journal of Economic Theory (JET) the Iberoamerican Academy of Management Vives Torrents, Xavier, Associate Editor, Ricart Costa, Joan E., Member of the Recherches Economiques de Louvain Scientific Committee, Journal of Management and Governance Vives Torrents, Xavier, Consulting Editor of Editorial Board, Finance at ECGI Sieber, Sandra, Member of editorial board, International Review of Management Vives Torrents, Xavier, Member of editorial board, Journal of Economics and Management Stremersch, Stefan, Member of editorial Strategy board, AMS Review Vroom, Govert, Member of editorial board, Stremersch, Stefan, Member of the policy Journal of Management board, International Journal of Research in Marketing Vroom, Govert, Member of editorial board, Strategic Management Journal Stremersch, Stefan, Member of editorial board, Marketing Research Zott, Christoph, Member of editorial board, Journal of Business Venturing Stremersch, Stefan, Member of editorial board, Marketing Science Zott, Christoph, Co-Editor, Strategic Entrepreneurship Journal

94 ANNUAL REPORT 2014/2015 7 EXHIBIT III ALUMNI BOARDS

MADRID ALUMNI US ALUMNI GERMANY ALUMNI CHAPTER BOARD CHAPTER BOARD CHAPTER BOARD

PRESIDENT PRESIDENT PRESIDENT Tomás García Madrid, Grupo Villar-Mir, MBA ’88 Alan Pace, Citibank New York, MBA ’94 Georg von Boeselager, Merck Finck & Co, Privatbankiers, AMP ’08 BOARD MEMBERS Board Members • Esther Alcocer, Fomento de Construcciones Mid Atlantic Regional Club Board Members y Contratas, PADE ’10 • Dye-Sun Chen de Swaan, Glocap Search, • Till Blaessinger, Josef Blässinger Gmbh & Co, • Javier de Andrés, Indra Sistemas, EMBA ’91 MBA ’08 MBA ’99 • Juan I. Apoita, BBVA, PDG ’95 • Charles Davlin, Corporate United, MBA ’89 • Franz Borgers, Johann Borgers Gmbh & Co, • Carmen Becerril, Acciona, PADE ’00 • Morid Kamshad, Massif Partners, MBA ’89 AMP ’05 • Jordi Canals, IESE Business School • Anosha Lewis, Tiffany, MBA ’07 • Ralph Bräunlein, Bridging People, MBA ’00 • Juan A. Castellanos, Apple, GEMBA ’02 • Lorraine Merghart, Events, Development • Bernhard von Canstein, Gieseck & Devrient • Alberto Durán, Corporación Empresa- & Creativity, MBA ’84 Gmbh, MBA ’98 rial ONCE, MBA ’96/PADE ’08 • Noelle Robins Sadler, Mac Cosmetics, MBA ‘07 • Andrea Klette Christenson, Andrea Christenson, • Miguel Escrig, Telefónica, MBA ’90 MBA ’83 • Juan A. Galán, IESE Business School, Southern Atlantic Regional Club • Klaus Peter Müller, Roland Berger, MBA ’96 EMBA ’92 • Francisco Larenas, UBS International, • Rudolph Repgen, IESE Business School, • Francisco García Paramés, Bestinver Sociedad GEMBA ’05 GEMBA ’02 de Valores y Bolsa, MBA ’89 • José Ramón Aragón, NBC Universal, MBA ’01 • Wim den Tuinder, IESE Business School, • Juan C. García Centeno, Sigrun • Ignacio Fiterre, International Realty Marketing, MBA ’89 Corporación, EMBA ’95 MBA ’72 • Sven Wahle, Accenture, MBA ’99 • Ignacio Gómez-Llano, Grupo Santander, • Fernando García Verdejo, Ingenium Latin EMBA ’94/PADE ’05 America, GEMBA ’03 • Francisco Iniesta, IESE Business School, • Montserrat Garrido, Citibank, MBA '94 & MBA ’90 AMP '10 • Javier Marín, AENA, PADE ’02 • Steven Hickson, Atlanta Technology Angels, • Jesús Martínez de Rioja, Narruri, PADE ’06 GEMBA ’02 • Carlos Mas, PwC, PDD ’98 • Carlos Lemos, Banco Santander, GEMBA '07 • Amparo Moraleda, SSIE, PDG ’95 • Víctor Sopena, JP Morgan, MBA '09 • Catalina Parra, Philanthropic Intelligence, • Clemencia Inés Restrepo de Tobón, MBA ’96 MCTR & Associates, MBA ’76 • Mireia Rius, IESE Business School, MBA ’94 • Pablo Sagnier, Egon Zehnder Internatio- Pacific South West Regional Club nal, MBA ’90 • Robb Bittner, Autodesk, MBA ’98 • Antonio Tavira, Elzaburu, EMBA ’90 • Anna Binder, MuleSoft, MBA ’05

IESE BUSINESS SCHOOL 95 EXHIBITS

BRAZIL ALUMNI ALUMNI CHAPTER CHAPTER BOARD PRESIDENTS

PRESIDENT IESE ALUMNI ASSOCIATION Latin America Adriano Amaral, ITEC Engineering, President, Jorge Sendagorta, PADE ’90 Argentina-Uruguay Martín Agramonte, MBA ‘99 AMP-Brasil-07 / MBA ’94 Director, Javier Muñoz, MBA ’03 Brazil Adriano C. Amaral, MBA '94/ AMP ‘07 Chile Lionel Olavarría, MBA ‘75 BOARD MEMBERS Europe Colombia Luis Fernando Londoño, MBA ’03 • João Gustavo Catalani Racca, Ramos Austria Markus Schwarz, MBA ‘96 Mexico Gérard Schoor, MBA ‘91 Andrade Engenharia, PMD-Brasil-2010 Germany Georg von Boeselager, AMP ’08 Peru Hugo Alegre, MBA ‘91 • Fabio Cerquinho, ISE Business School, Belgium-Luxembourg Laurence Battaille, MBA PhD ’10 ’95 Asia • Sebastiao Ferreira, Queiroz Galvao France Axel Lambert, MBA ’01 China Myra Yu, MBA ‘99 Renewable Energy, MBA ’08 Italy Marco Morgese, MBA ’03 Hong Kong Luis Go MBA ’96 • Fabio Guimaraes Seabra, Poland Piotr Kaminski, AMP ‘07 India Vinay Kothari, MBA ‘92 DBG Private Equity, MBA ’03 Portugal José Gabriel Chimeno, PDG ‘95 Japan Ken Inouye MBA ’10 • Filipe Benato Jeronimo, Aoka Labs, MBA ’11 Russia TBC Singapore-Malaysia Juan Claudio Laya MBA ’03 • Melissa Afonso Ferreira, Scandinavia Martin N. Knudsen, MBA ’05 Taiwan Raymond Hsu, MBA ’09 IESE Business School, MBA ’08 Erik Boyter Koch, GEMBA ’05 • Mauricio Monteiro Da Rocha, Switzerland Bence Andras, AMP ‘07 Johnson & Johnson, MBA ’09 The Netherlands Philip Alberdingk Thijm, • Bruno Paro, Netquest, MBA ’09 MBA ’89 • Wesley Ríos, MasterCard, MBA ’07 United Kingdom Paco Ybarra, MBA ’87

Spain Andalusia Pedro Guerrero, MBA ‘90 Aragon Javier Loriente, PDD ‘91 Balearic Islands Raúl González, MBA ‘86 Galicia Luis Fernando Quiroga, PADE ‘83 Levante Íñigo Parra, MBA ‘90 Madrid Tomás García Madrid, MBA ‘88 Navarre-Basque Country Javier Chocarro, MBA ‘88

NORTH AMERICA United States Alan Pace, MBA ‘94 South Atlantic Region Francisco Larenas, GEMBA ‘05 Western Region Robb Bittner Stuart, MBA ‘98 Canada Alfonso Soriano, MBA ‘84

96 ANNUAL REPORT 2014/2015 7 EXHIBIT IV INDEPENDENT AUDITOR’S REPORT

IESE BUSINESS SCHOOL 97 EXHIBITS EXHIBIT IV INDEPENDENT AUDITOR’S REPORT

BALANCE SHEET in euros

ASSETS 2014/15 2013/14

Intangible non-current assets 6,304,731 5,092,214 Computer software 5,929,216 4,604,044 Rights over leased assets in use 375,515 488,170

Tangible non-current assets 6,788,906 6,903,407 Land and buildings 1,734,036 1,697,135 Technical installations and other items 3,112,158 3,227,464 Under construction and advances 1,942,712 1,978,808

Non-current investment 17,898,802 13,896,044 Equity instruments 15,576,528 10,348,490 Debt securities of related parties 650,000 0 Other debt securities 1,530,976 1,375,050 Other financial assets 141,298 2,172,504

Total non-current assets 30,992,439 25,891,665

Trade and other receivables 14,944,106 11,625,814 Trade receivables 10,642,024 8,743,926 Other receivables 3,406,162 2,035,281 Personnel 883,653 825,193 Public entities, other 12,267 21,414

Current investments 3,637,343 2,978,088 Equity instruments 0 172,826 Debt securities 264,487 466,338 Other financial assets 3,372,856 2,338,924

Prepayments for current assets 3,209,190 3,036,144

Cash and cash equivalents 1,092,565 7,361,707 Cash 1,092,565 6,612,418 Cash equivalents 0 749,289

Total current assets 22,883,204 25,001,753

TOTAL ASSETS 53,875,643 50,893,418

98 ANNUAL REPORT 2014/2015 7

LIABILITIES AND NET ASSETS 2014/15 2013/14

Funds and reserves 20,109,394 20,299,979 Retained surplus 19,751,220 20,072,353 Surplus/(deficit) for the year 358,174 227,626

Valuation adjustments 575,502 854,621 Available-for-sale financial assets 575,502 854,621

Grants, donations and bequests received 1,657,636 1,770,292

Total net assets 22,342,532 22,924,892

Non-current liabilities 2,989,187 2,736,132 Long-term employee benefits 2,989,187 2,569,517 Other provisions 0 166,615

Total non-current liabilities 2,989,187 2,736,132

Current liabilities 2,196,735 1,386,225 Other financial liabilities 2,196,735 1,386,225

Trade and other payables 10,105,195 10,272,511 Current payables to suppliers 4,047,018 4,181,239 Other payables 145,909 143 Personnel (salaries payable) 4,666,234 4,862,847 Public entities, other 1,246,034 1,228,282

Deferred revenues 16,241,994 13,573,658

Total current liabilities 28,543,924 25,232,394

TOTAL LIABILITIES AND NET ASSETS 53,875,643 50,893,418

IESE BUSINESS SCHOOL 99 EXHIBITS EXHIBIT IV INDEPENDENT AUDITOR’S REPORT

INCOME STATEMENT in euros

CONTINUING OPERATIONS 31.08.2015 31.08.2014

Revenue from ordinary activities 89,340,891 86,396,116 Services rendered 87,950,639 84,202,499 Grants, donations and bequests recognised in surplus for the year 1,490,252 2,193,617

Other operating income 1,673,116 1,276,635 Non-trading and other operating income 1,673,116 1,276,635

Personnel expenses (43,933,152) (43,454,111) Salaries and wages (35,774,770 (35,913,150) Employee benefits expense (8,158,382) (7,540,961)

Other operating expenses (43,584,382) (40,692,865) External services (43,546,722) (40,677,211) Taxes (15,245) (15,654) Losses, impairment and changes in trade provisions - -

Amortisation and depreciation (4,222,030) (4,299,025)

Grants, donations and bequests taken to surplus for the year 112,655 112,655

Other income (expenses) (26,921) (78,515) Results from operating activities (639,823) (739,110)

Finance income (expense) 297,741 404,096

Finance costs (19,156) (15,000)

Foreign exchange gains/(losses) (16,737) (14,376)

Impairment and gains (losses) on disposal of financial instruments 736,149 592,016 INet financial income 997,997 966,736 Surplus before tax 358,174 227,626

Income tax expense Surplus from continuing operations and surplus for the year 358,174 227,626

100 ANNUAL REPORT 2014/2015 7

IESE BUSINESS SCHOOL 101

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