Business News - 2018 by Penn State Behrend

Black School of Business NEW S | 2018

LIVE AND LEARN Global Boarders living option fosters international experiences PAGE 6

MBA Students Score Big_____________________ 3 AACSB Accreditation Extended______________ 4 Student Gets Big-League Opportunity________ 8 Proof That Pop-Up Restaurants Can Work_____ 9 Students Help Advance Financial Literacy____11 1

DIRECTOR’S MESSAGE The start of a new academic year in the Black School of Business brought good news. Our accreditation by the Association to Advance Collegiate Schools of Business (AACSB)—the gold standard for busiDR. GREG FILBECK ness schools—has been extended through 2023. Accreditation by AACSB is a designation held by less than 5 percent of business programs worldwide, and we’re the only business school in our region to hold the distinction. Getting and keeping accreditation is no easy task. It requires significant investment in attracting and retaining outstanding faculty members, in rigorously assessing the quality of our programs, and in ensuring successful outcomes for our graduates. These efforts, in turn, deliver a return on that investment, as we continue to be identified by national sources as a top-rated school of undergraduate and graduate business education. This issue of Business News provides a glimpse of the many activities taking place in the school as well as the successes of a growing number of our students and graduates. Behind the scenes, we’ve expanded the Black School of Business Advisory Board to more than fifty members, creating three committees focused on program development and review, professional development, and professional networking. Building on the work of a faculty-led committee last year, we launched a strategic planning process that will extend our Strategy 2020 document to 2023. On the student front, we supported thirty-seven students earning professional designations over the past year. We continue to fund our Bloomberg terminal, helping students earn certifications in Oracle and Enterprise Resource Planning (ERP) with SAP. And plans are underway for the annual student trip to a major metropolitan area, in this case, New York City. These, along with numerous other initiatives, are providing Black School of Business students with the skills and tools to stand out in today’s competitive business world.

In Brief

Alumna recognized for early achievements This summer, Dr. Chuck Brown, associate director of the Black School of Business and associate professor of accounting, presented Amy Chapman ’09, above, with the Black School of Business 2018 Early Career Award. Chapman, an Accounting graduate, is the retirement planning and administration manager at Erie Insurance Group. She began her career at BKD CPAs and Advisors in Erie and is a certified public accountant and president of the Erie chapter of the Pennsylvania Institute of Certified Public Accountants.

ERIE conference draws leaders The Economic Research Institute of Erie, an applied research center of the Black School of Business, held its annual ERIE Conference this summer to facilitate an in-depth, data-driven discussion of the region’s economic needs. The event drew more than one hundred area leaders, including Erie Mayor Joe Schember, Erie County Executive Kathy Dahlkemper, and Pennsylvania Senator Dan Laughlin, all of whom addressed conference participants. Relying on economic analysis by Dr. Ken Louie, director of ERIE and associate professor of economics, and Dr. Val Vlad, assistant professor of economics, attendees explored the economic challenges facing Erie.

MBA students score big reflects our MBA program’s emphasis on a holistic Students in the MBA program of the Black School of understanding of business, which is achieved through Business scored in the top 9 percent in the nation on the integrated content, teamwork and applied learning,” said most recent Educational Testing Service (ETS) Master of Dr. Al Warner, associate professor of management and Business Administration Major Field Test, a comprehensive academic chair of the MBA program. assessment for program evaluation. “Our MBA faculty members have The fifty-eight Behrend students who significant experience in both the took the field test scored an average “Our students’ business and academic worlds of 260 out of 300 possible points on exceptional performance and are committed to sharing the exam, which is administered by the reflects our MBA their expertise with students from same company that creates the SAT and program’s emphasis on a wide range of fields, including GRE exams. That placed them in the management, banking, insurance, 91st percentile. a holistic understanding nursing, and the sciences.” Major Field Tests measure students’ of business.” Penn State Behrend’s MBA mastery of particular areas of study. DR. AL WARNER program is delivered in a hybrid The MBA field test includes 124 format—a blend of online learning multiple-choice questions that require and traditional class sessions, offered knowledge of marketing, management, at Behrend or at the Regional finance and managerial accounting, or a Learning Alliance in Cranberry Township. combination of those skills. For more information, visit behrend.psu.edu/mba. “Our students’ exceptional performance on this test 3

In Brief continued ACCREDITATION EXTENDED

Two More Executivesin-Residence Welcomed Ann Scott, community outreach manager for Erie Insurance Group, and George Emanuele, senior director at BNY Mellon Wealth Management and president of the Pittsburgh chapter of the Chartered Financial Analyst Society, have been named Executives in Residence (EIR) in the Black School of Business. Appointed to renewable one-year terms, executives in residence bring enthusiasm and industry perspective to the classroom environment, research projects, and learning-by-doing opportunities. Activities that EIRs

The Association to Advance Collegiate Schools of Business (AACSB) International has extended its accreditation of the Black School of Business through 2023. Accreditation by AACSB is the highest standard of achievement in business education. Just 5 percent of the world’s undergraduate degree programs earn the distinction. The Black School of Business is the only program in northwestern Pennsylvania to meet the standards of AACSB. The school was first accredited in 2003. “AACSB accreditation is widely rec-

ognized as the hallmark of excellence in business education,” said Dr. Greg Filbeck, director of the school. “The decision by the association to extend our accreditation affirms the commitment of our faculty, staff, and corporate partners to providing the highest-quality undergraduate and graduate business programs.” AACSB-accredited schools must demonstrate continuous improvement in order to maintain accreditation. Accreditors visit schools every five years to assess academic standards, the professional experience and intellectual contributions of faculty members, and the academic and career advising offered to students. AASCB also surveys companies that hire Behrend graduates, asking how prepared those graduates are for their work.

Ann Scott ’82, ’99 M.B.A.

George Emanuele ’98

may be involved in include speaking engagements, guest lecturing, leading workshops, serving on advisory boards, judging business competition entries, sponsoring class projects, and mentoring students. Scott ’82, ’99 M.B.A. and Emanuele ’98 join Justin Bloyd ’05, president of RB Sigma, and Mark Nachman, Sprint’s regional president for Pennsylvania, Ohio, and West Virginia, as current EIRs in the Black School of Business. In addition to her role as EIR, Scott was recently named vice chair of the

board of directors of the Penn State Behrend Council of Fellows. She also serves on the advisory boards for the School of Humanities and Social Sciences and the Black School of Business. Scott and her husband, Thad, recently established an Open Doors scholarship to help Penn State students in financial need. Emanuele has more than twenty years of investment experience in the wealth management field. He previously worked at PNC Wealth Management as a senior investment adviser.

WATERING THE DESERT Alumna and Erie lawyer collaborate to open year-round farmer’s market in an Erie ‘food desert’ Black School of Business faculty members often invite guest speakers from the business community to Behrend to share their experiences with students. Sometimes those contacts lead to greater things down the road. Faith Kindig ’16 was a student majoring in Project and Supply Chain Management when Erie attorney and TEDxErie organizer Jonathan D’Silva was a guest speaker in a class taught by David Causgrove, then a lecturer in marketing. Causgrove, who was mentoring Kindig on her business venture, Erie Sproutz, a planned community garden, marketplace, and hydroponics site, mentioned her work to D’Silva. D’Silva was impressed with Kindig’s efforts to improve access to fresh food in Erie’s urban areas. The two teamed up and this summer announced plans to open the Oasis Market in downtown Erie. They have leased a 5,600-square-foot space on State Street that sits within one of seven Erie food deserts— areas where at least a third of all residents live more than a mile from the closest grocery store. “The people who live near here don’t have many options when they shop for food,” Kindig said. “Some have to walk, so they go to Dollar General, or to Rite Aid. They can’t buy produce at those stores, so their diet is almost entirely canned goods.” The Oasis Market will offer healthy alternatives sold directly from the farmers who grew them. Additional space will be rented to local crafters.

Faith Kindig ’16 and Jonathan D’Silva, co-founders of the Urban Oasis Project.

PROFESSIONAL AFFILIATION ADDS UP FOR FINANCE STUDENTS In a number of financial fields, having the Chartered Financial Analyst (CFA) designation is beneficial, and in some, such as investment analysis, it is imperative. Earning CFA credentials is an investment of both time and money. It requires as much as 300 hours of study for each of the three levels of the CFA exam, and the cost for the level I exam alone is $1,000-$1,500, depending on when a candidate registers to take it. But many Finance students at Penn State Behrend pay as little as $350 thanks to the Black School of Business’ participation in the CFA Institute’s University Affiliation Program, which makes sixteen exam scholarships available to CFA candidates. “Our Finance curriculum is mapped to the CFA program, which makes us unique,” said Dr. Greg Filbeck, director of the school and professor of finance. This year, thirteen students have received scholarships to defray costs

of enrollment in the CFA program and the level I exam. In addition, scholarship recipients receive deep discounts from Kaplan Schweser, a

study-prep provider, which saves students 75 percent of the cost of CFA exam prep materials.

Global Boarders Live and Learn Special option offers international living experience on campus

Resident Assistant Hannibal Pharathikoune, a senior Chemistry major.

For college students, there are as many lessons to be learned in a shared living situation as there are in the classroom. From laundry to meal preparation to handling roommate conflicts, there is no limit to the soft skills honed while living away from home. And now at Penn State Behrend, students have the opportunity to expand their horizons further through Global Boarders, an internationalfocused living option in Trippe Hall, the college’s brand-new $28.5-million residence facility. Living-learning communities like Global Boarders enable students with common interests to live together and share learning experiences that extend beyond the classroom in an atmosphere

enriched by distinct academic and outof-class opportunities. “Global Boarders was designed to foster community among international and domestic students and extend the living-learning concept in a purposeful way,” said Dr. Ken Miller, senior director of administration and student affairs. Though it’s a natural fit for International Business majors and other Black School of Business students, Global Boarders is open to all Behrend students. Extras for those enrolled include in-house academic advising; group discussion and viewing of world events; special lectures and panel discussions; language seminars; house concerts; and world cuisine house dinners. The Black School of Business supports the

program’s academic enrichment components, coordinated by Dr. Diane Parente, Breene professor of management. Nearly fifty students signed up to participate in Global Boarders this inaugural year, with an almost even split of international and domestic students. The students share one floor of the new residence hall where Hannibal Pharathikoune, a senior Chemistry major, serves as resident assistant. Pharathikoune is an enthusiastic supporter of Global Boarders. Having grown up in a military family, he has witnessed first-hand how enlightening and inspiring it can be to live with people from different cultures and countries. “As I was growing up, I was constantly moving to a new state or country,” Pharathikoune said. “I was exposed to many unique cultures and people who ultimately inspired me to keep exploring. When I was asked to be part of Global Boarders, I was excited to have the opportunity to interact with a wide variety of residents and learn more about their culture, ideas, and passions, and help them do the same.” “All of the residents who joined Global Boarders came in with an open mind and desire to expose themselves to new things,” Pharathikoune said. “I

regularly see many of them in the study lounges and other common areas interacting and helping one another with homework.” Additionally, he said, students in the Global Boarders program have been taking turns cooking and sharing dishes from their home countries. “I’m a firm believer that food is a conduit that connects people regardless of their backgrounds,” Pharathikoune said. “These spontaneous feasts have brought the students from the Global Boarders floor as well as other residents in the building together. There may be nothing more impactful in embracing a new culture than sharing a meal with that person.” These formal and informal interactions are what campus administrators had hoped would occur. “Global Boarders residents are not required to attend the programs we offer in Trippe Hall,” said Kelly Shrout, associate director of student affairs. “It’s entirely up to them how much they want to participate. The experience is as much as they want to make of it.” Pharathikoune said many are taking full advantage. “Every other Wednesday, we have a guest speaker who presents a topic

unique to southeastern Asian countries, which is our focus region this semester, and these events have been well received by the residents. They are engaged and sometimes astounded by the information presented.” Pharathikoune is a native of Okinawa, Japan, where he said there is a cultural belief that the journey is just as important as the destination. That’s certainly true for students in Global Boarders who have chosen to make the journey to a degree as valuable as the degree itself.

For Penn State Behrend students, support from donors helps create valuable learning experiences, like Global Boarders programming and international travel. If you’d like to talk about the difference your philanthropy could make in the lives of our students, contact Development and Alumni Relations at 814-8986159 or email director Kevin Moore at kem7@psu.edu.

Dr. Yuan-Han Huang, assistant professor of industrial engineering, leads a special lecture about Asia in the Trippe Hall lounge for students in the Global Boarders program.

CONCESSIONS WORK LEADS BEHREND STUDENT TO BIG-LEAGUE OPPORTUNITY Senior thrives during internship at Minneapolis’ Target Field

“I just don’t think a desk job is for me. I’m an active person, and a people person. It was great interacting with fans on the job.” SEAN WITHER ‘18

From the time Sean Wither was in eighth grade, the Williamsport, Pennsylvania, native’s summers have been spent selling concessions at the Little League World Series. Initially, it was just a way to make extra cash. In retrospect, it was the start of a career. This past summer, Wither interned with Delaware North, a global food service and hospitality company that supports several of the country’s professional sports teams. Wither was stationed at Target Field in Minneapolis, home of Major League Baseball’s Minnesota Twins. “I like the sports environment, and I really like the sports supply chain realm,” said Wither, a senior Project and Supply Chain Management major. “There’s something new each day.” Wither looked into Delaware North after a conversation with his boss at the Little League World Series. While he had worked concessions there for years, he was unaware that Delaware North was the food provider.

TARGET FIELD SEEMED LIKE A NATURAL FIT. In May, Wither moved to Minneapolis for the summer to begin his first professional internship. Every day was different, which is why the role resonated with him. The work involved more than simply providing concessions to patrons. It entailed leading people and overseeing inventory,

and it required Wither to leave his comfort zone at times. “I found myself in some hard places,” he said. “While I had managed people before, I was not used to being firm in my communications, but it was something I had to do.”

THE CHALLENGE WAS NOT A BAD THING. “I like to be positive in managing people, so it was hard to put on my serious face, but it helped me grow,” he said. “I developed a thick skin, but I also was able to maintain my composure, and it will help me down the road.” Some days, Wither found himself with as many as thirteen different concession stands to manage. He also assisted in the commissary, where he oversaw inventory. The days could be long. During a Twins homestand, Wither estimated that he worked seventy hours a week. When the team was away, he averaged about thirty hours per week. Despite the rigorous workdays, the experience seemed to suit him well. “I just don’t think a desk job is for me,” he said. “I’m an active person, and I’m a people person. It was great interacting with fans on the job.” Wither, who will graduate in December, is already preparing for the future. He plans to apply for Delaware North positions and hopes to relocate to Buffalo, the company’s headquarters, after graduation.

PHOTOS BY LONI TATALONE.

Pop-up Kitchen Serves as Proving Ground for Alumnus PROVE IT.

FESTA’S BRUNCH IS NOT JUST OMELETS AND OJ.

It’s a challenge issued to every entrepreneur. Show us that your idea will work. Proof Kitchen, an Erie pop-up restaurant, is how one alumnus proved that he can make money serving a weekly gourmet brunch. Pop-ups are temporary restaurants that operate in a variety of venues, including homes, festivals, and established restaurants that allow pop-up chefs to use their facilities during off hours. Joe Festa ’18 was a student at Behrend majoring in Project and Supply Chain Management and cooking at a downtown Erie eatery when he learned about pop-ups. He thought it would be a great way to get in the game with a minimal investment of cash and equipment. “I liked the concept and thought: Let me figure out how to do this,” Festa said. “I started operating a little to-go operation out of my apartment. I made bread and had pulled pork and homemade chips.” It was a valuable learning experience for the budding entrepreneur. “I learned that I didn’t want to operate anything out of my home and that I needed help,” he said. Shortly after, he met Eli Kerr, a student at Gannon University, and found the partner he needed to handle the front end of the business while Festa ran the kitchen. “Eli’s personality was a good complement to mine, and I knew if we teamed up we could make a pop-up work,” Festa said. Festa formed a Limited Liability Corporation (LLC) for the restaurant, and he and Kerr started networking—Business 101—to put together a team and find a location. A few months later, they were buying plates and planning a menu for their first brunch at La Bella Bistro in Erie. It was meant to be a summer gig, but it was so successful that Festa and friends are still serving brunch every Sunday from 11:00 a.m. to 2:00 p.m. “I set aside $1,000 to get started,” Festa said. “I purchased $250 worth of plates because I had learned how important they are in food presentation. Other than that, our largest expense was, and still is, ingredients.”

“It’s a four-course dining experience,” he said. “We mean for people to linger and enjoy this brunch. They can even bring a bottle of champagne or wine, as it’s a BYOB restaurant.” The ingredients are all fresh, mostly local, and everything is cooked from scratch by Festa and another chef, Ella Julian. The menu varies from week to week but includes culinary creations such as red velvet pancakes, peanut butter fluff sandwiches, eggs Benedict, and breakfast hash. “For the hash, we take a whole slab of bacon, cube it, add potatoes, garlic butter, poblano peppers, pickled onions, smoked Gouda, and cheese sauce,” he said. “People love it.” They must. Proof fills its chairs every Sunday with diners who pay $25 per person for the brunch. Festa is quick to give credit to his Proof coworkers. “We have as much fun cooking and serving as our customers do eating.” Teambuilding is a skill Festa honed in his coursework at the Black School of Business. “We did a lot of group projects, and I learned a lot about how to work with people,” he said. “It really prepared me to lead the group in a way that allows everyone to have input and feel valued.” Want proof? Proof Kitchen serves brunch every Sunday from 11:00 a.m. to 2:00 p.m. at 802 West 18th Street in Erie. Contact them through Facebook (facebook.com/proofkitchen), Instagram (instagram.com/proofkitchen) or at prooferie.com to make reservations, which are required.

Joe Festa ’18

IN LOVE WITH THE JOB When Marketing alumna Susan Sherwood ’01, who has worked at Asbury Springhill in Erie since 2010, told us that she absolutely loves her job as marketing coordinator and hopes to spend her entire career working at the senior living community, we had to know more. Why do you love your job? There’s a family atmosphere here. Residents and staff members genuinely like and care about one another. I have the opportunity every day to make someone happy just by stopping to chat with them or helping them in some other small way. It is gratifying. I also am part of a great team in the marketing department. We are very close and it makes coming to work enjoyable. What do you enjoy about working with older adults? They are so kind and wise. I love listening to their stories, and I am amazed every day at the things residents have accomplished in their lives and the ways they are continuing to make a difference. What are your duties at Asbury Springhill? I wear many hats. I plan two or three events every month for people interested in learning more about living at Springhill. I also handle advertising, coordinate photo shoots, lead tours, help with promotional videos, update our website content, and maintain our social media accounts. There is no typical day, which is what makes my job fun and exciting. What are the misperceptions people have about senior living facilities? That older adult communities are nursing homes and that people have “given up” when they move into a facility. It’s actually the complete opposite of that. Often, they really start to live again when they come here. Many of them had been lonely and bored at home, and once they’ve moved here, they make friends and go places and participate in activities and events. 10

Word has it that there are some rockin’ Penn State football game parties there. Oh, yes, many residents are big Penn State fans. They have flags, cowbells, pom-poms, and all the trappings of a tailgate party—chicken wings, beer, pizza, chips and dip. The room is packed every time. How did Behrend prepare you? Aside from the marketing skills and techniques I acquired there, Behrend really helped me to grow up and break out of my small-town shell. College gave me the confidence I needed to be successful in my career. You minored in Psychology. Does that come into play in your current role? Yes, especially in understanding and connecting with our residents. Also, in one of my psychology classes, I learned that no amount of money will make you happy if you don’t like what you are doing to earn it. Enjoying your coworkers, feeling like you are making a difference, and finding personal satisfaction in what you do is what will ultimately make you happy at work.

Students Train Teachers to Advance Financial Literacy Two-thirds of the U.S. population cannot calculate basic financial transactions, including interest payments. Here’s $1,000. It’s a loan, offered at twenty percent interest. If you accept it, how much are you expected to pay back in the first year? If you say $200, you’re correct. You’re also more financially aware than most Americans: Nearly two-thirds of the U.S. population cannot calculate an interest payment, according to a study by the FINRA Investor Education Foundation. FINRA surveyed more than 27,500 Americans, asking basic questions about financial risk. Respondents were deemed financially illiterate if they missed three of five given questions. In those households, problems compound faster than a payday loan. Consumers who do not understand basic financial concepts tend to borrow more, and at higher rates. They also pay more in transaction fees. “If two-thirds of our population were book-illiterate, that would be considered a national crisis. We would be addressing it at every level of our educational system,” said Dr. Greg Filbeck, director of the school and professor of finance. “Financial illiteracy also can hold families back, but as a culture, we tend to not show the same level of concern for an issue so central to our lives.” Twenty-six states, including Pennsylvania, have no curriculum requirement for basic K-12 financial education. Students are not learning to budget, and that’s costing them money: Roughly a third of all bank fees and interest-rate overcharges are due to errors or oversights by borrowers. Two years ago, Filbeck and Dr. Jessica Zhao, professor of finance, surveyed teachers in fifty-three high schools. They asked about numeracy—the ability to grasp basic financial data—but

Jason Pettner, a 2018 Black School of Business graduate, and two classmates—Ben Lowery and John McDermitt—trained teachers at more than forty high schools to incorporate basic financial awareness in their lesson plans.

also about students’ confidence when handling finances. “That aspect shouldn’t be overlooked,” said Jason Pettner, a 2018 Black School of Business graduate who expanded the surveys and presented learning plans to teachers in Buffalo, New York, and Pittsburgh and Warren, Pennsylvania. “People fear what they don’t understand, and when they don’t understand budgeting or the basics of investing, they miss out on opportunities,” he said. “They plan for the future by putting money under the mattress.” Pettner’s passion for financial education began at home: He was just 10 when his father died. A financial planner helped the family invest the insurance money—a financial life raft that carried Pettner into college. Last year, he and two classmates—Ben Lowery and John McDermitt—trained teachers at more than forty high schools to incorporate basic financial awareness in

their lesson plans. A partnership with the CFA Society of Pittsburgh could expand the effort to eighty-five more schools in Pennsylvania and West Virginia. “Teachers are fighting an uphill battle,” Pettner said. “The data shows that this works, but it takes manpower. We need more people going out and talking to these classes.” He tells his own story when he meets with teachers. It gives them perspective. “This isn’t just about data sets,” Pettner said. “This is about people’s lives being changed through financial education. That change doesn’t occur overnight, but if you start early and stay with it, it really isn’t difficult to put yourself on solid financial ground.” Pettner graduated in May, but his work is being continued by Finance major John McDermitt. If you are a teacher interested in this program, email McDermitt at jym5556@psu.edu.

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WORLDLY EXPERIENCE: Melissa Lichtinger ’13, who graduated with degrees in Marketing and International Business, took her skills and knowledge halfway around the globe. She is currently a Peace Corps volunteer teaching English and American culture to residents of a small village in Indonesia. Lichtinger stopped by the Black School on a recent break. If you’re interested in the Peace Corps, you can email her at melissalichtinger@gmail.com.

ACCOUNTING KICKS PAST FINANCE All work and no play is no fun, so two student clubs—the Financial Management Association and the Accounting Club—came up with a great idea to pit faculty members and seniors in their programs against one another for a friendly game of kickball. The first annual Accounting vs. Finance kickball game was held under the lights on the college’s new soccer field this fall. Accounting earned bragging rights after they came up on top with a final score of 17-4.

Black School of Business News is published annually and provided free to alumni and friends of Penn State Behrend Black School of Business by the Office of Strategic Communications, William V. Gonda, wvg2@psu.edu, senior director. Editor: Heather Cass, hjc13@psu.edu. Designer: Martha Ansley Campbell, mac30@psu.edu. This publication is available in alternative media on request. Penn State is an equal opportunity, affirmative action employer, and is committed to providing employment opportunities to all qualified applicants without regard to race, color, religion, age, sex, sexual orientation, gender identity, national origin, disability or protected veteran status. U.Ed. EBO 19-183