KRANNERT SCHOOL OF MANAGEMENT

REPORT TO THE BOARD OF TRUSTEESACADEMIC AFFAIRS COMMITTEE

David Hummels, Dean and Professor of EconomicsOctober 8, 2015

KEY THEMES

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Changing Leadership

Programs• Innovation• Rising Enrollments• Program Excellence

Faculty• Research Centers• Rebuilding the middle

LEADERSHIP: DEAN TIMELINE

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1989-1999 Dean Dennis Weidenaar1999-2010 Dean Richard Cosier2010- Nov 2011 Interim Dean Gerald LynchNov 2011 – Sep 2014 Dean Christopher EarleySep 2014 – May 2015 Interim Dean David HummelsJune 2015 – present Dean David Hummels

The Interim - Oct - Nov 2014: School wide self-assessment (SWOT); Budget- Dec – Feb 2015: Faculty Hiring, Connections Across Campus- March – May 2015: Search Process- May – present Budget, Reshaping Masters Program Office, MBA Review

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BIG IDEAS DON’T CHANGE THE WORLD…

UNTIL THEY GO TO MARKET

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PROGRAMS

NEW PROGRAMS

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Undergraduate Finance

Marketing

Strategy and Organizational Management

Supply Chain Information and Analytics

Refresh: BS Industrial Management

GraduateMS Finance 

STEM‐MBA  (one year)

MS‐Econ (online)

MS Accountancy

MS Global Supply Chain

MS Marketing

MS Business Analytics and Information Management 

DEMAND FOR NEW TYPES OF LEARNING

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31 28 40152 204

420 328

606

880747

2010-11 2011-12 2012-13 2013-14 2014-15

Experiential LearningStudent Credit Hours

0.5K1.0K 1.2K

2.0K

4.1K

2.0K

0.9K1.7K

2.7K 2.9K

2010-11 2011-12 2012-13 2013-14 2014-15

Distance Learning Student Credit Hours

Undergraduate Graduate

772%Growth in UG

Distance Learning

Student Credit Hours between AY11 and AY15

78%Growth in GR Experiential

Learning Student Credit Hours between AY11 and AY15

ADVISING – MENTORING – CAREER GUIDANCE

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STUDENT SUCCESS

KPDCKrannert Professional Development Centerassists students as they transition from the classroom toprofessional careers by delivering leadership developmentpersonalized career coaching, and job search and careermanagement support.

BOPThe Dr. Cornell A. Bell

Business Opportunity Program was establishedin April 1968 to increase diversity and give all studentsaccess to a world-class Management education. Theprogram is one of the first of its kind at a major businessschool, and the first at Purdue.

LCSLeadership Communication Studio helpsstudents develop competency to converse and connect withconfidence in groups of 1 or 1000.

LBL & LGLLaunching Business (Global) Leaders uses acombination of curricular and co-curricular programming tohelp students build a personal brand, become proficient indeveloping professional relationships and expand theirleadership skills.

WIMWomen in Management provides scholarships toattract and retain successful women, funds research on theunique challenges of women in the workforce, expandsprofessional connections, and creates a supportive culture.

198 Mentors

386 Mentees

Student Mentoring Program since 2012

>600Studentsparticipating in Professional Mock Interviews

>100Alumni and Professional Volunteers virtually mentoring students

>1000 1:1 appointments with the KPDC

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ENROLLMENT

ENROLLMENT: MAJOR COUNTS

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2,6062,444 2,511 2,594 2,584

661 693 769 753 663

Fall 2011 Fall 2012 Fall 2013 Fall 2014 Fall 2015

Undergraduate Graduate

DEMAND ACROSS CAMPUS

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205 209256

314416

2010-11 2011-12 2012-13 2013-14 2014-15

UG Degree Earners w/ KRAN Minor (who are not KRAN majors)

24 73190 181 236

2011 2012 2013 2014 2015

Net CODO Students

CODO In (to KRAN) CODO Out (to ohter colleges) Net CODO

Of the students earning minors from Krannert over

the last 5 years

79%Science &

EngineeringMajors

RISING STUDENT DEMAND

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INSTITUTIONAL EXCELLENCE

+18% Other MajorsStudent Credit Hours

Over the last 5 years

+15% Krannert MajorsStudent Credit Hours

Over the last 5 years

7.4K

3.5K1.3K 2.9K 2.9K 1.8K

6.2K

9.5K

4.7K

2.1K3.5K 3.4K

1.9K

5.6K

29%

35%69% 20% 14% 9%

-10%

0

5.0K

10.0K

Engineering Science ExploratoryStudies

Pharmacy,Nursing &

HealthSciences

Liberal Arts Agriculture Other

Other Major Student Credit Hour Comparison 2011 vs 20152011 2015 % Change

36.6K 37.2K 38.5K 40.8K 42.1K

26.0K 26.7K 29.0K 30.4K 30.8K

2010-11 2011-12 2012-13 2013-14 2014-15

UG Student Credit HoursKrannert Majors Other Majors

CHALLENGES IN MEETING DEMAND

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1039 Students on Course Waitlists

Over the 2014 –2015 academic year

67% Krannert Majors

33% Seniors151-396

293

640

College Range

College Median

Krannert

Credit Hours Per FacultyAt Purdue

73% larger average class size compared to Top 20 Undergraduate Business Programs.

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PROGRAM EXCELLENCE

PROGRAM RANKINGSINSTITUTIONAL EXCELLENCE

MBA Program # 3 – One Year ROI, Businessweek

Human Resource Management #1 – MS in America, Eduniversal

Production/Operations Management #3 – UG USNWR #7 – GR USNWR

Quantitative Analysis/Methods #6 – UG USNWR

Supply Chain Management/Logistics #3 – worldwide, Eduniversal #9 – UG USNWR

Economics #13 – MS Financial Engineer

Marketing #15 – MS Financial Engineer

Management Information Systems #19 – UG USNWR

PROGRAM RANKINGSINSTITUTIONAL EXCELLENCE

0

10

20

30

40

50

60

1990 1995 2000 2005 2010 2015

UG USNWR

MBA Businessweek

MBA USNWR

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RANKINGS: KEY CHALLENGES

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1. Resources

2. Student quality and placement

3. Research leadership

4. Faculty recruiting / retention

RESOURCES

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Top 20 UG Krannert

Core Class Size 48 83Budget per FTE $573K $398K

$226M

$94M$65M $53M $40M

$1.4M$1.0M

$0.6M $0.5M $0.4M

1-10 11-20 21-30 31-40 Krannert

Businessweek MBA Rankings Data

Average Operating Budget Average Operating Budget per FTE Faculty

IMPROVING STUDENT QUALITY

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Undergraduate Direct Admit Program• Now one-third of entering class• SAT scores 100 points higher than class average

Student quality metrics have slipped in the Masters programs, reflecting intense competition for students.

Placement has also fallen off; reliance on international students facing VISA restrictions has hurt numbers.

Solutions1. Significant investment in Masters Program marketing, recruiting. 2. Strategy: aggressive return to our roots (STEM undergrads)3. Strong placement emphasis on recruiting firms with global scope.

RESEARCH LEADERSHIP

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Create research centers that become anchor points for 1. Critical mass of externally recognized excellence in select areas2. Engagement, across campus, and with corporate sponsors.

• Translational research.• Experiential opportunities for students

3. External fundraising• Emphasis: faculty led efforts.

Centers:- Existing: Dauch Center for Managing the Manufacturing Enterprise- In the works: Women in MGMT, Information & Analytics, Healthcare

Management, and other Functional and cross-Functional Areas.

FACULTY RECRUITING/RETENTION

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STRATEGIC PRIORITIES

Krannert has failed to retain faculty who should now be at peak productivity.

We will aggressively recruit to fill that gap with highly productive, leadership-minded, mid-career faculty.

This year: 6-8 senior hires.

Another 6 lines held in a strategic reserve.