1 New Directions for Management Education SBAA Annual Meeting November 7-9, 2004 John Fernandes President and CEO AACSB International

2 New Mission and End Statements FY03-04 Highlights and FY04-05 Plans Accreditation Update Thought Leadership Initiatives Relocation Update

3 New Mission and End Statements

4 AACSB International Mission AACSB International advances quality management education worldwide through accreditation and thought leadership. AACSB International advances quality management education worldwide through accreditation and thought leadership.Globalization In accordance with its mission statement, AACSB is committed to its role as the world’s leader in the advancement of management education. This global mindset is an integral and pervasive element in each end statement and is reflected in all organizational functions and actions. In accordance with its mission statement, AACSB is committed to its role as the world’s leader in the advancement of management education. This global mindset is an integral and pervasive element in each end statement and is reflected in all organizational functions and actions.

5 New Mission Reinforces commitment to accreditation AACSB International’s “raison d’être” Focuses AACSB on its emerging role as thought leader for management education

6 End Statement 1 - Accreditation AACSB assures quality management education by providing the world’s most prestigious business school accreditation. End Statement 2 - Knowledge Services AACSB provides high quality data, information, and reports about the characteristics, practices, trends and environments of business programs worldwide.

7 End Statement 3 - Member Services AACSB products and services fulfill member needs and preferences and help to increase knowledge and skills, develop relationships, and broaden awareness of global management education issues. End Statement 4 - Thought Leadership AACSB is regarded as the world’s most respected and informed voice regarding significant issues in management education.

8 End Statement 5 - Advocacy for Management Education AACSB reinforces and influences public perception of key management education issues through advocacy campaigns that engage a broad range of relevant publics.

9 FY03-04 Highlights and FY04-05 Plans

10 FY03-04 Highlights 32 schools in business and 6 in accounting entered pre-accreditation New accounting accreditation standards passed 34 new OUS members GFME established

11 85% of accredited schools reported BSQ data Assessment and ethics resource centers launched 12 conferences and 18 seminars held on four continents FY03-04 Highlights

12 Implement a distance-based peer review training program New campaign on value of accreditation Implement doctoral education resource center and promotional initiatives FY04-05 CEO Goals

13 Hold 34 conferences and seminars on three continents Issue reports on the value of business education and rankings Design and implement an effective PR plan for thought leadership reports FY04-05 CEO Goals

14 Accreditation Update

15 The Accreditation Council is now at 482 members (419 US and 63 OUS) There are 165 separately accredited accounting programs (161 US and 4 OUS) Accreditation Update

16 Accreditation Quality Committee (AQC) Interpretations ABD’s are academically qualified for up to 3 years past comprehensive exams. (Standard 10) A graduate degree in law will be considered academically qualified to teach business law and legal environment of business. (Standard 10) Accreditation Update

17 AQC Interpretations (contd.) Institutions awarding business degrees must provide a majority of learning. (Standards 17 & 20) Accreditation Update

18 AQC Interpretations (contd.) Accredited accounting programs will be asked to approve the application of Standard 10 to accounting programs seeking and maintaining separate accounting accreditation which was inadvertently left out of document submitted for vote in April, The writing committee intended for it to be included. Accreditation Update

19 AQC Other Activities Adopted a revised “Conflict of Interest” statement for reviewers and “Member Responsibility Statement.” Approved revised complaint procedure policy that incorporates such from faculty, students, alumni, etc. into the normal accreditation review process and requiring clear linkage to accreditation standards for the complaint to be brought into the review process. Accreditation Update

20 AQC Other Activities Established January as the annual date that all updates of Standards and interpretive materials will be effective Feedback from participants in maintenance of accreditation reviews indicate very positive opinions about such reviews. Accreditation Update

21 AQC Other Activities (cont’d) Some concerns on length of the visit and use of the benchmark data on peer schools Responding to accounting curricula proposals from NASBA/AICPA 150-Hour Task Force on Education Rules clearly stating AACSB International’s perspective on ethics education and stressing flexibility in curricula structures. Accreditation Update

22 Accreditation Coordinating Committee Actions Acted on eligibility and program inclusion/exclusion requests Adopted a policy to allow schools to get a response for “out-of-cycle” program inclusion/exclusion requests to address new program proposals and modifications Accreditation Update

23 In Summary AACSB accreditation is making great strides in strengthening its position as “the Global Accreditor” for b-schools AACSB is restructuring its accreditation staffing and committee membership to reinforce its global mission

24 Thought Leadership Initiatives

25 Thought Leadership Initiatives Essentially a new role for AACSB Formalized through new thought leadership end statement Role of Committee on Issues in Management Education

26 Previous/ongoing Initiatives Management Education Task Force Doctoral Faculty Commission Learning Outcomes Assessment Task Force Ethics Education Task Force Thought Leadership

27 Current Initiatives Continuation of work related to doctoral faculty shortage Possible extension of work of Ethics Education Task Force Rankings Value Proposition for Business Schools Alliance for Management Education Thought Leadership

28 Relocation Update

29 Achieve successful relocation Identified and continuously monitor 25 major relocations risks Utilize proven, systematic recruiting process to ensure that we have the best staff available Successfully relocate employees from St. Louis to Tampa Stay within time and spending budgets Relocation Update

30 Harbour Island Office (Downtown Tampa) Planned occupancy November 8 Currently occupying temporary space Construction of permanent office space on schedule Relocation Update

31 Relocation Logistics Final packing of St. Louis office contents on November 19 Transitional staffing in both locations during move period Network server and website downtime minimized Full operations in Tampa on November 29 Closely monitoring relocation expenditures to stay within budgets Relocation Update

32 Working together, we will Working together, we will advance to the next level of mission fulfillment