From Our Editorial Staff we have gone out to seek the opinions of business school managers, professionals who, having gone through an MBA, report their experiences and also in general, what are the common spaces they have to face, both one and the other, if it is that they want to take advantage of the postgraduate programs and teaching.
The effects of the Covid-19 pandemic hit Jean-François Manzoni hard. It’s IMD, the Swiss business school he runs, which itself relies particularly heavily on executive education fees: short non-degree courses. These were drastically reduced when their international corporate clients postponed or canceled when they closed and adjusted budgets to accommodate the uncertain times of 2020-21.
This led Manzoni to reflect deeply on how he managed and what decisions he made: “I experienced a very interesting case of theory meeting practice.” He describes the importance of a management style that is engaged and aligned with the staff, and admits that he sometimes strayed too far from colleagues he disagreed with.
Manzoni stresses the importance of regular communication with his team; and “offensive” actions to invest in innovation, despite pressures to adopt a more defensive stance. It also highlights the need for managers to take care of themselves during a crisis, through exercise, nutrition and sleep, as well as showing gratitude and compassion to offset the inevitable and periodic anger, pain, fear and frustration. that they experience
It is interesting how Manzoni structures his reflections, based on the fact that business school leaders must give answers that humanize managerial thinking and make it broader by being based on personal decisions.
In the case of Peter Tufano, former director of Oxford’s Saïd Business School, he compares it to the evolution of five leading American institutions during World War II. Some took a transformational approach to leadership and were able to achieve significant long-term change.
As Eric Cornuel, president of the EFMD (European Foundation for Management Development) acknowledges, he says that there is a danger that the points of view that were held at the stage of the pandemic and that are reflected in this book that was published in May 2022 and called “Business School Leadership and crisis exit planning” may already seem outdated, as circumstances have changed and the pandemic has seemingly begun to fade, if only by subsequent events, including rising inflation, rising energy prices, and food insecurity, fueled in part by Russia’s war in Ukraine.
Indeed, while the Sars-Cov-2 virus may still be circulating widely, it has since been overshadowed by the consequences of the wanton loss of human life, physical disruption, and political destabilization of the post-Cold War deal unleashed. by Vladimir Putin.
The chapter by Valery Katkalo, dean of the Graduate School of Business at the Moscow Higher School of Economics, reads like a painful historical relic, with the institution’s strong reputation since undermined. Academics there and elsewhere in Russia have pledged allegiance to the Kremlin or been fired or fled abroad, and corporate clients and prospective students may be hesitant to attend.
Elsewhere, Yuan Ding, director of the pioneering China Europe International Business School (Ceibs) in Shanghai, partly founded and backed by EFMD, alludes to his country’s lockdowns and restrictions that have been placed on travel and classes. .
But he also quotes António Guterres, UN Secretary General, on the transformative forces of “climate change, mistrust of leaders, rising geopolitical tensions and the dark side of the technological revolution.”
The more aggressive and repressive actions by Putin and his Chinese counterpart Xi Jinping, not to mention Indian Prime Minister Narendra Modi, whose policies are not described in a chapter on the Indian Business School, are part of the forces broader ones that reshape entrepreneurship education.
Many of the book’s authors share a common vision of the need for business schools to adapt and embrace sustainability, social justice, and stakeholder capitalism. Some call for a more explicit adoption of “fuzzy” humanitarian training alongside “technical” hard skills. Others are frustrated that their own colleagues aren’t doing more to bring about change, or companies aren’t pushing for change by changing their hiring practices.
Several of the contributors also express concern about the gap between academia and business, with too much emphasis on abstract theoretical publications that are not sufficiently relevant, applied, or focused on social issues. There was also, they say, an absence of results that would have been valuable to decision makers during the pandemic.
Ironically, for a group of deans who write largely about their own institutions, the book lacks a strong analytical thread exploring which schools emerged from COVID-19 better off or whether there were common approaches in different regions of the world, about all on the historical EFMD base in Europe.
While employers and regulators need to do more to push for reform, the message is perhaps first for every business school: heal yourself.
Business schools and their deans must be attentive to the opinion of business leaders
Business leaders share invaluable lessons they have learned so far, especially in the last two years, which have seen massive change in the business world as we know it. And these managers have learned that no business school could have prepared them for what has happened in recent years. Does this mean that they are rejected? Of course not, because it is precisely the most cutting-edge companies on a global scale that, in order to search for and retain talent, are interested in what type of postgraduate courses their candidates have, and they give preference to executive MBAs, as well as assuming part of the cost of a course when they are clear that it will not mean neglecting the responsibilities assumed by the new executive in his role.
But it is quite evident that the lessons learned in business school will never be as valuable as the business lessons learned through real life experience. But without adequate education and training, companies will not have more adaptable and resilient personnel in the face of crises such as those caused by the pandemic.
Diversity in the workforce
Diversity in the workforce is often considered in the context of human resources, not in the context of business strategy. What we see from OUR EDITORIAL STAFF what a new management class has learned is that diversity can be a direct path to better innovation and better business results. It is not simply a human resources problem, but a strategic problem.
Diversity must be part of the fabric of organizations’ culture and reflected from the top down from their executive team to entry-level employees.
Diverse teams and better decisions
Diverse teams make better decisions. That has undoubtedly been the experience and firm belief of many executives as we have seen their statements. They believe that in the world’s leading companies, the ones that are always at the forefront, you can see that diversity is seen as a true value proposition. The pandemic has transformed the way businesses operate, demanding diversity to boost productivity. Driving this requires a consistent and active effort across the organization, and CEOs need to lead by example.
Perseverance can help you get through anything and ask for help when you need it.
Managers know that they have to trust their instincts, but to know how to have an open mind and stay firm in both personal and business purpose, they require knowledge, experience and training. And this is undoubtedly given by professional practice, but the road is greatly reduced, when you have a huge amount of knowledge and know how to apply it, with a methodology and critical thinking, which is not learned in the workplace, but rather that is perfected when it has previously been studied at the business school.
Train to face the challenges
Resilience is key and recent years have shown how capable we are of facing any type of challenge, no matter how insurmountable. Business school directors know that this can become a weak point, therefore, their postgraduate students have to be trained in change and crisis management.
The fact that scientists were able to find a vaccine in record time, companies built on their legacy systems, and we all found ways to come together and support each other is a testament to the human spirit and our will to survive.
It also helps to have a solid support network around you and the business school is ideal for having a solvent network that helps both personally and professionally, regardless of whether the growth and development in the company makes you build another very tight professional network. to the needs of the executive, but he is not going to do without the one he has generated in the school.
Combination of business and self-improvement
The most important lesson that most managers who have gone through an MBA have learned is that business growth comes down to finding the perfect combination of business and personal improvement. You can’t be afraid to make decisions outside of your comfort zone and honestly it will never get easier, but to trust yourself as a leader in what you are doing and know what is the right thing to do, you need training and knowledge.
A leader must continue to push himself and his team to grow beyond his wildest hopes. People and situations are constantly evolving and changing, and your resilience, strength, and determination will improve through each challenge.
The importance of connections
The biggest lesson that many managers point out that they have learned in their last years of professional practice in building their businesses as entrepreneurs, or in the positional growth in the company that has seen them develop, is to focus on the importance of connections and show up genuinely when building business relationships. So many incredible partnerships have been created for MBA managers and alumni through the ability to communicate and create meaningful connections with other people, consultants, and companies, regardless of school, that have fortified their experience that they have to apply daily in your workplace.
The point is that the team that runs the business is the company’s most important resource
It could be for health and wellness benefits, skills enhancement, and ever-important training conferences. The point is that the team that runs the business is the most important resource of the company, which means that a decent amount of time, money and effort should be spent on their development and happiness. If left unattended and neglected, these managers agree that companies will then have high staff turnover, or they may lack the skills and knowledge necessary for the company to grow. And this is perfectly well known to the directors of the schools who are going to encourage the programs to take these extremes into account.
When is the best time to plant a tree?
Every day brings a lesson, big or small, but perhaps the most important one for principals, and who know what is so from school principals, is that it is never too late to take an important step. The best time to plant a tree is twenty years ago, but the second best time is today. And there are many managers who have planted this second tree by going to a business school and having that special feeling back in the classroom.
Also when many of them have found themselves in the initial stages of developing their companies (the start-up), they had to bite off more than they could chew and then chew very fast. But once they raised the funds, they realized it wasn’t too late to invest in a new system or a key new hire. They may not have had them at first (the funding source), but they knew how to manage the situation and prioritize them.
Accept setbacks as normal
Accepting the hustle, according to some, is part of the preparation of any manager. Big goals can be daunting if they don’t generate personal stimulation and the opportunity to win in the process. This is what makes a competitive and empowering spirit. This point is also clear to those in charge of business schools, of course MBA program directors, because you have to learn to enjoy victories and overcome defeats. Life in general, but especially professional life, is a journey with many seasons in between. Business is a relentless sport and you have to get used to accepting the hustle and bustle, knowing where the curves in the road are and how to take them, knowing how to face them in such a way that you always score a positive point on the paths of prospering towards the goal.
There are hard lessons in making sure that contracts from, for example, customers and suppliers are strict, payment processes are clear, and that information and advice is received from trusted sources. Building a detailed product/market fit and having a clear market to target are critical elements that, if rushed, can be very costly. As is failing to articulate “value” to the buyer and instead focusing on the “what” and “how” of your offering. All this said, if all the most common experiences and lessons learned by managers, and of course well known to school principals, were to be summed up, it is that, ultimately, all businesses are about relationships.
Whether it’s the support of family and friends you need to get started, early teammates and investors to get you moving, or the later-stage clients, advisors, partners, and staff/investors who help you scale, building strong human relationships. Anchored in trust and respect, all of these are pieces that form part of the foundation of any good business.
In a period of exceptionally tight labor markets and increasingly competitive business landscapes, companies with strong human connections to staff and customers will prevail.”
The four key principles for building a business
– Innovate internally.
– Set the pace.
– Focus on the customer.
– Implement data with aplomb.
The majority of executives, and of course the directors of business schools, believe that the keys to success lie in investing in the teams and in future growth, focusing on the reality of the business itself and creating an environment conducive to innovation.
On wealth creation
Many executives say their mission is to democratize access to wealth creation and to work with their clients to make sure they deliver the kind of experience they demand.
That also means focusing on constantly evolving and adapting, as well as making sure they can be first to market by delivering rich and intuitive experiences to retail investors looking to gain exposure to new markets and asset classes.
Surround yourself with high-level teams
One of the greatest lessons for these managers is having surrounded themselves with a team of the highest level. They are delighted when they can lead such a strong team and are clear that one of the secrets to their success is making sure that each of the new challenges they face has their customers front and center in the decisions.
The strength of the mind
Mindset is everything when it comes to pursuing your goals and this is something these managers always talk about with their teams.
Using an analogy of being caught in a swell, instead of trying to fight the waves and getting thrown, they claim to have gone under them (or even jumped over them) and emerged on the other side stronger than ever.
Be prepared to take the hit
The way some managers put it, is that if you want to play your best and really get out of your comfort zone, you have to be prepared to literally get punched in the face pretty hard, and sometimes every day.
Years of checkered experience teach that, as business owners, you never have all the answers, nor should you always get them right. However, the more they recognize this, seek advice, and surround themselves with the right people, the more they will learn and succeed.
The path as a business owner is not linear and sometimes very difficult, but as founders you naturally gravitate towards challenge and growth so it can be really rewarding.
Synergies and experience
All entrepreneurs have one thing in common: a symbiotic team of entrepreneurs with complementary skills who shared the same vision.
Main challenges for directors of business schools
One of the main factors that business school directors mention as a worrying element is how things have changed so much in a short space of time and how the problems of 5 years ago have now been largely resolved, but now there is a new set of problems to tackle.
Regarding age
If, for example, the performance required by a commercial director is compared, it is evident that it is usually a position that is generally considered to have an overload of work. That employers want and value proven experience, but what they really want is someone in their 40s to 50s (generally) due to the belief that someone in their 60s isn’t too far from retirement and won’t be active enough to to have a positive effect and that it will be difficult for you to adapt to change.
It really comes down to the perception that older, more experienced candidates are (have been) who just want to get through the last few years with as little disruption as possible. Many see age as a representation of energy; younger age = more energy.
However, the key is how we use that energy. Not everyone is created equal, so even if someone has less energy, they can be a superior performer because they get more done in the same amount of time.
Many believe that the older the manager, the greater the perception that they might be less energetic and less inclined to change. Companies generally recognize this as a risk to their careers and, to continue in their role, these managers needed to demonstrate contributions to the economic value of the organization, making them understand that their choice is positive, that they add long-term value and, above all, all, showing willingness to adapt to change.
In the case of business school managers, the need to be visible to all facets of the school (even the board of directors and all the staff) and ensure that the perception of what they do goes well beyond the numbers It’s essential. But a note of caution: “If you go to a board meeting and the numbers are a little off or you can’t explain something, it ends up taking a bit of a toll on credibility.”
Regarding the technology
Business managers in general need to stay current on technology and the business environment to not only remain relevant, but also to continue to be valuable to the school. The problem with many business managers is that they don’t embrace new technology, or at least not fast enough, so instead of moving to a different position or upskilling when things are changing, they let it go. It is not always a matter of age.
The fact is, the world is changing rapidly, and no school business manager can afford not to keep learning. Keeping up with technology is necessary at any level of an organization, but this is especially true for the business manager. If you’re not developing, you’re falling behind, every day. It is necessary to avoid in the direction of the schools that the actions implemented and the decisions that are being made are not adapting quickly enough to the new trends and expectations of the business. Perhaps the business is no longer traditional and is evolving at a faster rate than it can by its own conventional parameters.
Have a seat in the direction
Too many business managers don’t have the prominence they should in school and need to work hard to prove themselves. Perhaps this is just a legacy of an old-school principal, or perhaps it is due to a lack of effort to improve, such as through leadership or technology courses. Independent business schools benefit from working toward a more integrated approach to leadership decisions that impact future programs and budgets, and the value that an experienced business manager can add to that process. A great business manager is first and foremost part of that senior management team and, a distant second, runs the finance function. It’s the value that he adds to the discussions that take place, that comes from understanding how a school works, understanding what’s important to his colleagues at that higher level, that makes all the difference. What really matters though is having the experience and confidence to sum up in simple words how you think you can improve the business of the school (data and analytics can help with this process) and if you can present that, it’s a position enormously powerful. But he can only do this if he’s part of the conversation, and if he’s not already an actual part of that conversation, then he needs to ask why and do something about it.
Affordability and financial sustainability
Since the International Financial Crisis in 2008, many independent schools have not taken continued enrollment growth for granted and view many decisions through an affordability lens. The important question is always whether the school can support each decision in the long term or, indeed, in perpetuity. Before a school can prosper, it must make financial decisions that it can sustain. This may mean changing prices (up or down) to accommodate the current economic circumstances of the community or school. It can mean abandoning topics or currents to be stronger and more sustainable. It may mean changing the name of the school or broadening the ethos to change what is perceived as a narrow focus to attract more students. It may mean increasing class sizes to be more profitable.
Business managers can, and should, play an increasingly important role in their school’s leadership by sharing relevant data, identifying resources, and providing their unique perspective on the challenges and opportunities facing the school.
Leadership development and succession planning
The reality of generational changes within the workforce over the next 5-10 years is that independent schools may face a dwindling pool of experienced leaders in many areas. So are we developing a next generation line of school business managers? How do we cultivate interest in a profession that many don’t identify until mid-career and, frankly, don’t see as very exciting? There have been quite a few inexperienced executive hires in the business school sector, and while they may be cheaper, they bring more costly problems because of that inexperience. Certainly, the labor cost differential is irrelevant in the big picture of executive compensation.
Business school directors and business managers from these institutions will need to justify their selection by showing that they bring a portfolio of skills and accreditation, including some recent achievements to demonstrate that they will add value. Similarly, as these types of experienced managers dwindle, schools need to make developing all team members high on their agenda to ensure redundancy and workable succession plans. The development of people is crucial, so coaching must be high on the agenda.
Long-term financial planning
We know that today almost any financial result can be easily planned for a year from now, but due to the rapid change in population and technology, how can we plan for what will happen after that? Most business school leaders share a strong belief in creating and leading a culture in their schools where the “long-term view” includes both financial planning and pedagogy.
Make enough changes
Schools need to be ahead of the curve to truly serve your children, but sadly, the financial practices of many schools are 15 years or more behind the times. Being that advocate and change agent is by far the biggest challenge, due to inertia and time constraints. Business school principals see themselves as the glue that keeps things running smoothly and also as the catalyst for change that keeps striving for the better. Most finance departments have unbalanced workloads that have simply accommodated to an unwillingness to upgrade systems simply by adding more people rather than innovating on a more efficient solution.
While the primary role may focus on the strategic direction of finance, we need to be something of a chameleon jumping in and out of the other roles of human resources, facilities, business and administration, and sometimes IT. Fundamentally, everything schools do must be aimed at improving student and staff outcomes. Priorities also change as you move from one project to another, be it for example the project management of a new building this week; restructuring and dismissals of personnel, establishing the budget that moves everything; provide support, coaching and guidance on a daily basis; review of insurance policies and risk assessment; present the proposal to improve the sports facilities; the liaison with the lawyers on the new IT managed service contract or staff disciplinary matter and then the more mundane but essential preparation for the monthly finance committee meetings, employee contracts, among other issues they need to address.