Back to School

Juggling full-time employment while studying for an Executive MBA or a specialized executive education program may seem like a hefty task, but is a route many professionals are taking in order to enhance their skills and drive their careers forward. Business Management asked a number of experts for their views.

BM. Are you seeing a growing interest in executive education, and if so, what do you think is driving this demand?
DI. Yes, we’ve seen substantial growth in applications over the last three years averaging about 25 percent per year. A portion of that growth is attributable to our program moving from Champaign-Urbana to our new location in downtown Chicago, however some of this growth also appears to be part of a ‘bulged’ of younger managers that have forgone post-graduate education and now seem to be returning to the classroom, at least that has been my experience.

PO. Absolutely. And, while there are several factors influencing this trend, we think it’s driven primarily by economics. The best companies recognize that attracting and keeping talent is a strategic challenge. The premium paid in salary and bonus for a traditional MBA coming from a top b-school may cost more than sending an experienced, high-potential employee to a top executive MBA program. And, employees who receive company support to attend an executive MBA program—and who work for companies who help them develop a career path focused on leadership —tend to have a deeper commitment to their corporation.

For prospective students who are self-funded and considering both traditional and executive MBA programs, return on investment (ROI) is a core concern. Increasingly, these managers are concluding that the ability to continue working while getting an MBA is significantly positive in the ROI analysis.

BR. We are seeing an increase in interest in the MBA for Executive format program. I believe there are three reasons for the increase. First, established professionals do not have the opportunity to leave the workforce for two years for a full-time program. However, they recognize that an MBA is appropriate for their career goals. Second, we see many professionals who want to make a significant career change. Finally, many individuals want the MBA as a foundation that will lead to advancement in their organizations. This is frequently true for individuals with a technical background who are preparing for management positions.

BM. Is this trend likely to continue in the long-term or do you expect demand to level off once a new generation of employees hits the market?
DI. For the next few years, I do not expect applications at the University of Illinois to decline as long as the national and mid-west regional economies continue to remain stable. Whether our recent past growth, though, continues at the same pace or levels off is not clear. It’s unreasonable to believe it will continue to grow at the same 25 percent year over year rate, yet I also do not anticipate a meaningful contraction.

BR. We think demand for the Executive MBA will remain strong in the future. The market test reinforces this decision. The number of program offerings is expanding significantly. For example, four years ago we began offering a section of our program in Northern Virginia and we have seen competition growing significantly. We know that most individuals are making career changes several times in their careers. This trend is likely to continue and the MBA will an important part of these career transitions for many individuals.

PO. We expect to see this trend continue, because the race for talent is on. Companies must compete for the best talent, and the race today is a global one. This introduces another important trend impacting executive education: globalization.

To keep up with the demands of the global marketplace, executive MBA programs have forged the way for global MBA education. Programs like UNC Kenan-Flagler’s OneMBA are designed specifically for developing global leaders.

OneMBA is a global executive MBA program with partner universities on four continents. The Program’s unique format is comprised of three components: globally coordinated courses, global residencies and local courses. This allows participants to exchange experiences and build powerful relationships as they complete international projects and meet face-to-face during the global residencies. Executives maintain that the network of international contacts they develop through the OneMBA Program is one of the most valuable benefits of the program.

BM. How important is the location of the business school to the success of its courses and to what extent is your own faculty involved with the local and global business community?
PO. There’s no question that the location of UNC Kenan-Flagler is part of the school’s recipe for success. Chapel Hill is part of the famed Research Triangle in North Carolina. The Research Triangle Park (RTP) is the largest planned research park in the United States. Among recent accolades, this area has been rated number one for best place to live and work and number two for business development.

UNC Kenan-Flagler’s MBA for Executives students stay and attend classes at the Paul J. Rizzo Conference Center, located a short drive from the main campus. This is a beautiful facility that provides a comfortable learning environment including tiered classrooms, multimedia technology and wireless Internet access.

When we developed the OneMBA Program, we made a strategic decision to hold most classes near Washington, DC at Lansdowne Conference Center. Because this global program draws students from across the nation and around the world, Lansdowne’s location only eight miles from the Dulles International Airport (IAD) offers convenience to busy executives.

These prime business locations enable our faculty to spend a good deal of time within the business community. Hugh O’Neill, associate dean for the MBA for Executives, is one example. He has delivered executive programs for companies such as Wachovia Corporation, Quintiles Transnational Corp. and the US Navy.

BR. Location for our program is vital. We offer our classes on a weekly basis since we feel this is the most effective teaching method. Other schools who offer programs that meet every two weeks or so can broaden their geographic market somewhat. Our faculties are all senior level with impressive research and professional experience. This is vital to have credibility in the classroom and deliver a high quality product to our students who are well established in their own career.

DI. For our executive programs, we think the answer is quite clear. Several years ago, the college answered this question decisively by moving the Executive MBA program (along with a Masters in Taxation program) from downstate Champaign-Urbana to Chicago. In short, we’ve put action behind our words here. With our new location (at the base of the Sears Tower), we are indeed at the heartbeat of one of the most cosmopolitan cities in the world. This move allows the faculty to more easily integrate guest speakers from leading profit and not-for-profit entities and opens up new opportunities for a wide and diverse cross-section of students to join our program.

BM. Business management ideas, regulations and technologies are constantly changing. How do you ensure your courses and those administering them are always at, or ahead of, the leading edge?
BR. This is where using full-time senior faculty is critical. The way and what we teach will always be changing. Part of our responsibility as faculty is ensuring that our educational product is current and incorporates the contemporary business environment. Our Executive MBA faculty meets regularly to discuss curriculum requirements and finding opportunities to collaborate on course assignments, projects or case studies.

DI. The classroom environment, of course, is heavily dependent on leading faculty within the College of Business at Illinois. These faculty, in many cases, are engaged and living in the very research environment which is leading this change. With respect to technology innovation, that too is something that comes naturally to our program. Each new student is issued a tablet-pc computer during orientation. Students both type and handwrite notes (and in some cases read their virtual textbooks) directly on these machines. Each class is also audio/video recorded and made available on the web for review soon after each session. Students rely on all types of communication tools not because we expect it of them, but rather because it is a simple premise of how we operate.

Among the ‘leading edge’ ideas you mention, the critical unspoken one, without a doubt, is the globalization of business and the business enterprise. At Illinois, this is a key theme we integrate deeply into our degree through a capstone consulting experience. We do this however in the context of team-based international assignment. During the last nine months of their program, student teams are formed around projects we’ve identified with our corporate partners (which this year included Caterpillar, Boeing and the Shanghai Futures Exchange, for example) relating to projects in China. This extensive experience is, in turn, integrated into a course on global enterprise taught by one of our key faculty members. After substantial time and energy stateside, the entire effort culminates in a ten-day trip to China where the students present their findings to their respective clients. We are proud of our ability to integrate so many key learning objectives through this experience: teamwork, project management and communication skills and, of course, a rich appreciation for the ubiquitous nature of global business are, but a few, critical payoffs. The impact has been profound.

PO. Our greatest resource is our student body. Companies send their highest-potential leaders to executive MBA programs, and these managers don’t settle for less than the highest-quality business education. While in school, executive students can blend work assignments with class projects. This not only allows them to gain immediate, insightful feedback from their executive classmates and professors, but it also provides us with first-hand knowledge about key issues in today’s business marketplace.

In addition, our faculty regularly consults with leading companies around the globe. This provides another external perspective that provides the faculty and staff with information we need to keep our curriculum on the leading edge of business education.

BM. What other factors should companies look for when sending employees to executive MBA programs? Does it boil down to the flexibility or scope of the curriculum, or experience perhaps?
DI. Yes, for short-course executive education training, companies are often looking for flexible, custom course designs. Yet while we cater to various areas of emphasis, we also hear a common theme related to the overall classroom experience. This same theme carries throughout our open-enrollment Executive MBA program. At Illinois, that common theme which resonates among nearly all firms and all prospective student candidates is an emphasis on a few key, yet separate ideas: leadership, the ability to accomplish team-based project work, the ability to communicate across cross-functional areas in the business and finally a rich appreciation for the global nature of the business enterprise today. Whether it is for mid-level managers in operating units or high potential research scientists in need of learning the language of business, these common themes are core to our teaching philosophy.

PO. We find the fit is the most important factor. Successful corporate sponsors take the time to identify their goals for the employee entering a program, and they select the program that is the best match. For example, if the goal is to develop a high-potential employee into a senior management position within your company, you should look for schools strong in strategy and leadership. Finding the program that fits your company’s goals and learning style is far more important than a school’s location or facilities.

Of course, globalization requires that executives learn new knowledge in areas such as managing global logistics and economics. But just as important, executive MBA programs must teach executives a new set of interpersonal skills in addition to the analytical, functional, and strategic knowledge that companies expect from an MBA

BR. Really, I believe an organization should consider how successful the program has been overtime. Generally, this is a reflection of both the quality of the instructional faculty and administrative support. As someone evaluating executive education alternatives, I think recommendations from program participants and sponsors are the best source of evaluative information. I also believe a ‘test drive’ of visiting a class day where you can meet with current students and interact with faculty is time well spent!