2012 Report to Investors

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HIGHLIGHTS 2012 2012 was another year of great progress for the Wisconsin School of Business. We aim to be an exemplary knowledge enterprise true to our university’s commitment to research and public service, inspiring and supporting students of business to personal and professional success as members of a loyal and engaged Wisconsin School of Business community.

2012 HIGHLIGHTS WE ARE PROUD TO SHARE: • Welcomed to the school four new faculty members, a CEO of

REPORT TO INVESTORS 2012

Executive Education, and a chief communications officer overseeing our infrastructure and brand

• Developed and launched a new approach to curriculum design: KDBINTM • Hosted Bill George, former CEO of Medtronic, and Bud Selig, the commissioner of Major League Baseball, to speak with our students about ethics and leadership

• Secured more than $3.5 million in unrestricted gifts to help support school strategy

• Received philanthropic investments from 100 percent of the Dean’s Advisory Board and the Wisconsin Business Alumni Board in 2012 This Report to Investors serves as an overview of our progress in 2012. Over the upcoming year, we will continue to implement our strategic priorities, refine our targets, and track our progress.

bus.wisc.edu

BACK

COVER

2


visit bus.wisc.edu/bba .

BBA APPLICANTS Increase in number of applicants between 2011 and 2012

2012

2011

Number of applicants

1,216

972

Percent admitted

50%

62%

Percent yield

99%

99%

Median GPA

3.6

3.5

604

606

Percent female

45%

41%

Percent minority

7.4%

4.5%

Percent international

12.0%

9.3%

Percent Wisconsin resident

52.0%

47.4%

2012

2011

701

586

Class size

GRADUATING CLASS Class size Placed at graduation

78.03%

73.90%

Median base salary

$52,000

$52,000

Median signing bonus

$4,000

$5,000

Percent receiving bonus

33.73%

38.80%

35%

37%

14.10%

9.30%

Percent Wisconsin resident

52.8%

47.4%

Percent graduating with internship

71.3%

70.0%

Percent with international experience (travel) Percent international

25% 1,216

SIZE OF MAJORS

MACC

2012

INCOMING CLASS

2012

2011

2010

2009

2008

Number of applicants

433

508

511

524

506

Percent admitted

24%

30%

31%

32%

32%

Percent yield

91%

73%

75%

70%

76%

Median GPA

3.35

3.35

3.41

3.43

3.34

Median GMAT

680

690

680

670

660

4.8

4.3

4.0

4.8

4.0

94

111

118

117

123

Percent female

31%

24%

41%

32%

29%

Percent minority

17%

17%

17%

15%

11%

Median years of work experience Class size

Percent international

18%

9%

16%

5%

19%

Percent Wisconsin resident

19%

43%

30%

42%

36%

GRADUATING CLASS

2012

2011

2010

2009

2008

117

116

124

106

116

86.0%

91.0%

87.0%

82.5%

94.2%

Median base salary

$93,000

$94,000

$87,500

$87,500

$90,000

Median signing bonus

$18,520

$20,000

$16,750

$15,000

$15,000

Class size Placed within three months of graduation

2011

Accounting

450

458

Percent receiving bonus

76.0%

77.0%

61.0%

72.1%

74.0%

Actuarial Science

181

198

Percent salary increase

59.0%

65.2%

51.6%

51.6%

72.0%

Finance, Investment, and Banking

635

679

33

38

International Business

139

171

Management and Human Resources

380

402

Marketing

484

509

33

29

Real Estate and Urban Land Economics

136

150

Risk Management and Insurance

231

222

3

*

Operations and Technology Management

2011

To learn more about the full-time MBA program, visit bus.wisc.edu/mba .

2012

Information Systems

972

The full-time MBA program updated its core curriculum in 2012 to build blended learning experiences (online and in-classroom) into the accounting and economics classes. A new five-week introductory leadership and teams course based on the research of Assistant Professor Mary Triana was also developed.

Undeclared

* Data unavailable

MASTERS OF ACCOUNTANCY PROGRAMS

The Master of Accountancy (MAcc) programs at the Wisconsin School of Business have grown steadily throughout the past two years, from a graduating class of 95 in 2010 to 104 in 2012. The placement rates have increased considerably as well, from 85% in 2010 to 96% in 2012.

STUDENT COMMENCEMENT CAMPAIGNS The Wisconsin School of Business Commencement Campaigns are student-led initiatives to encourage giving among MBA and BBA graduates. Through gifts that range from $20 to $2,000, the school’s newest graduates have the opportunity to shape the culture of giving and contribute to the school for years to come.

MBA CAMPAIGN STATISTICS

BBA CAMPAIGN STATISTICS Percentage of class participation and amounts pledged

45% $15,129

97% $80,470

100% $94,677

Percentage of class participation and amounts pledged

2012 104 students graduated

2011 87 students graduated

2010 95 students graduated

3.62 median incoming GPA 96% placement $53,088 average base salary

3.64 median incoming GPA 94% placement $52,000 average base salary

3.61 median incoming GPA 85% placement $50,200

average base salary

16% $5,635 2011

The Wisconsin School of Business has expanded its following on social media networks throughout the past year. We encourage you to follow us to learn more about what our students, alumni, friends, faculty, and staff are doing. Check us out on Facebook, Twitter, LinkedIn, Pinterest, and Instagram!

SOCIAL MEDIA STATS

1,415 like the Wisconsin School of Business page 1,338 follow Wisconsin School of Business @UWBUSINESS 1,192 follow Wisconsin Business Alumni @WISCBUSALUMNI 818

• These numbers include May, August, and December grads • Matching dollars are not included in these numbers

5

follow Dean François Ortalo-Magné @FORTALOMAGNE

6,449 members of the Wisconsin Business Alumni Group 80

follow Wisconsin School of Business (NEW as of December 2012)

52

follow Wisconsin School of Business (NEW as of December 2012)

39,985 TOTAL ALUMNI

Data is current as of 12/31/2012.

WE NEED YOUR HELP! We’ve lost touch with more than 2,000 of our Wisconsin Business Alumni. We want to stay connected with you! Fill out this quick online contact information form (mobile friendly!) for a chance to win a mini Memorial Union chair. Share the link with a fellow Business Badger alum and help us track down our lost alumni. We look forward to reconnecting with you! Send us your updates: http://bit.ly/WBAUpdate Win Me!

ALUMNI CONTACT INFO STATISTICS Emails

2012

Data is current as of 2/21/2013.

Or scan this QR code:

To learn more about the Masters of Accountacy programs, visit bus.wisc.edu/degrees-programs/msmacc .

LIFELONG CONNECTIONS

To learn more about the Bachelor of Business Administration program,

INCOMING CLASS

FULL-TIME MBA

UNDERGRADUATE

In 2012, the Wisconsin School of Business introduced the Compass Program to help newly admitted undergraduate students with professional and personal development. The pilot program started in the fall of 2012 with a requirement for all incoming students to complete academic advising and community service hours. In fall 2013, the incoming class will also be required to complete a one-credit leadership course during their first year. The focus on academics and career development will help prepare students for life after business school. These types of premium learning experiences continue to attract students, as evidenced by the growth in applicants from 2011 to 2012.

2011

2012

Number of alumni without

Percentage of alumni without

18,294

45.75%

Mailing Addresses

3,645

9.12%

Titles

9,417

23.55%

10,714

26.80%

Employers


2012

1,794

Undergraduate BBA Students

UNDERGRADUATE

2

nd

2

nd

9th

Ranked 17th in the U.S. (8th among public universities) by U.S. News & World Report 9/12/2012 Real Estate Ranked 2nd in the U.S. by U.S. News & World Report 9/12/2012 Risk Management and Insurance Ranked 2nd in the U.S. by U.S. News & World Report 9/12/2012 Marketing Ranked 9th in the U.S. by U.S. News and World Report 9/12/2012

FULL-TIME MBA

25th

Ranked 25th in the U.S. (8th among public universities) by U.S. News & World Report 3/13/2012

34th

Ranked 34th in the U.S. (13th among public universities) by Businessweek 11/15/2012

A

Received an A grade for career services, teaching quality, and caliber of classmates by Businessweek 11/15/2012

26th

Ranked 26th in the U.S. (8th among public universities) by Poets & Quants 12/07/2012

PROGRAM PROFILE

2012

2011

2010

2009

2008

Number of Applicants

298

325

357

321

309

Percent admitted

9%

5%

6%

9%

11%

Percent yield

3%

3%

3%

4%

5%

53

51

56

59

56

40%

60%

54%

53%

50%

0%

0%

8%

0%

0%

40%

30%

54%

62%

55%

4

10

13

4

14

Class size Percent female Percent minority Percent international Number of graduates

224 Executive and Evening

(Admissions=starting in fall of that year. Graduates=finishing in spring of that year.)

49 Ph.D. Students 3,704

Professional Development Students

In 2012, the Wisconsin School of Business hired four new faculty members to contribute to the school’s focused research and teaching excellence. The new faculty include: Hart Posen in the Management and Human Resources Department; Jaime Luque in the Real Estate and Urban Land Economics Department; Jordan Tong in the Operations and Information Management Department; and Briana Chang in the Finance, Investment, and Banking Department. To learn more about our faculty, visit bus.wisc.edu/faculty. 2012

2011

2010

2009

2008

Number of full-time faculty equivalent

66

71

74

78

75

Number of publications in peer review

57

68

56

62

58

109

110

108

105

111

Number of editorial positions

More than

9,500

Total Business Students

Serving more than

3,500

In 2012, more than $5 million philanthropic dollars were spent in support of faculty research endeavors. Without donor support, it would be extremely difficult to recruit and retain leading faculty. Unrestricted gifts, like those to the school’s Annual Fund, provide the foundational support necessary to allow our faculty to explore educational innovation and thought leadership.

from Wisconsin Naming Gift

Serving more than

600

from Faculty Excellence Fund

Corporate Partners

$830k

44%

29% School program revenues

Operations

44% Number of business alumni who give to the University of Wisconsin-Madison

Number of business alumni who give to the Wisconsin School of Business

5,962

22% Student support

Faculty salaries

2012

34%

13%

3,179

31% Staff salaries

YOUR INVESTMENT MATTERS

$2.5m

To read more about the impact of philanthropy or to make a gift, please visit

bus.wisc.edu/update-investment .

$1.6m

Number of living alumni

2012

2011

2010

2009

2008

39,985

39,185

38,492

37,848

37,152

Number of alumni donors

3,179

3,462

3,911

4,154

4,353

Total number of donors

4,160

4,432

5,001

5,230

5,438

Number of donors giving more than three years out of the five preceding years

3,929

4,167

4,297

4,404

4,344

Total dollars received (in millions)

$14.6

$12.8

$17.3

$18.5

$21.2

$1.6

$1.3

$1.3

$1.7

$1.9

$154.3*

$146.7

$155.5

$144.5

$111.6

Total dollars to Wisconsin School of Business Annual Fund (in millions) Endowment market value (in millions)

8

University budget allocation*

2012

*Represents our portion of state support and tuition combined

* Total as of 9/30/2012

3

8%

8%

11%

GIFT DATA from Endowed Chairs

Philanthropy (expendable)

Philanthropy touches every corner of the school: facilities, technology, students, faculty, and staff. From annual gifts to transformational investments, generations of alumni have helped further the school’s vision and, in doing so, changed not just business, but the world.

PHILANTHROPY SUPPORTS FACULTY RESEARCH

Ranked 21st in the U.S. (13th among public universities) by U.S. News & World Report 3/13/2012

Visit bus.wisc.edu/update-rankings to see all rankings.

Philanthropy is a critical component to the future of higher education and is essential to the school’s ability to Philanthropy recruit top faculty and staff and (Wisconsin Naming Gift) provide premium learning experiences. The University of Philanthropy Wisconsin-Madison provides less (endowments) than 50% of the Wisconsin School of Business’ budget. The Annual Fund provides the school with the freedom to innovate, make the most of new educational tools, bring the thought leadership of top researchers into the classroom, and provide inspiring educational experiences to students.

MBA Students

Non-Business Majors Taking Business Classes

EVENING MBA

21st

223 Full-Time MBA Students

FACULTY

17th

To learn more about our Ph.D. program, visit bus.wisc.edu/phd .

FINANCIAL METRICS

RECOGNIZED IN

PH.D.

2012 FAST FACTS

2012 accomplishments in the Ph.D. program at the Wisconsin School of Business included Xiao “Sean” Ma’s doctoral dissertation proposal being accepted into the top conference of the information systems discipline, Wenyu Wang entering his second year as a visiting scholar at the Wharton School of Business, and funds being awarded to 16 Ph.D. students to attend national or international conferences to present their original research.

9


EVENING MBA In 2012, the Wisconsin Evening MBA program curriculum was revised to include a finance elective, a marketing elective, and a new capstone applied-learning strategy course in which students work on a real business challenge for an organization and present their report to the client’s representatives. To learn more about the Evening MBA program, visit bus.wisc.edu/evening-mba .

INCOMING CLASS

2012

2011

2010

2009

2008

68

65

85

77

87

Percent admitted

85%

86%

82%

100%

75%

Percent yield

86%

94%

81%

91%

96%

49

47

52

65

59

Median years of work experience

5.25

7.25

6.00

6.50

5.50

Percent female

42%

21%

28%

30%

29%

Percent minority

11%

10%

17%

18%

5%

8%

2%

5%

2%

8%

98%

100%

98%

100%

97%

2012

2011

2010

2009

2008

63

58

55

42

43

Median salary at start

$60,000

$60,100

$58,000

$55,000

*

Median salary at graduation

$75,000

$74,000

$82,000

$77,000

*

Number of applicants

Class size

Percent international Percent Wisconsin resident

GRADUATING CLASS Graduating class size

* Data unavailable

STUDENT CAREER PROMOTIONS 2012 EVENING MBA

EXECUTIVE MBA

Students receiving promotions during the program

15%

10%

Students receiving promotions within six months of graduation

52%

55%

EXECUTIVE MBA Beginning in 2012, the Executive MBA program office began offering career management services for all alumni. These services include, but are not limited to, career coaching, mock interviews, job search support groups, and access to employer job listings at the executive level. To learn more about the Executive MBA program, visit bus.wisc.edu/executive-mba .

INCOMING CLASS

CORPORATE PARTNER SPOTLIGHT: ANN SCHWISTER, P&G Ann Schwister (BBA ’89), VP, Procter & Gamble, serves as the P&G university liaison to the University of Wisconsin-Madison and leads a team of 150+ P&G Badgers to attract top Wisconsin talent every year. P&G defines their partnership with the Wisconsin School of Business as helping all Badgers achieve their career potential and ensuring P&G Badgers have a network to inspire success. Highlights of their engagement include P&G executives participating on six school advisory boards, a company-sponsored grant for marketing research students to participate in a consumer immersion learning experience, and hosting a picnic to welcome the newest P&G Badgers to Cincinnati.

Number of applicants

2012

2011

2010

2009

2008

62

51

40

34

50

Percent admitted

89%

82%

93%

91%

88%

Percent yield

84%

88%

100%

87%

80%

36

38

39

27

34

16

14

13

12

14

Percent female

19%

28%

38%

31%

23%

Percent minority

16%

13%

8%

24%

20%

Percent international

14%

10%

8%

8%

14%

Percent Wisconsin resident

92%

90%

92%

96%

91%

2012

2011

2010

2009

2008

Class size Median years of work experience

GRADUATING CLASS Graduating class size Median salary at start Median salary at graduation

38

27

33

46

31

$85,000

$80,500

$98,000

$102,000

*

$110,000

$105,000

$129,750

$115,500

*

PROFESSIONAL DEVELOPMENT

The Wisconsin School of Business partners with more than 600 companies annually to connect students with meaningful educational and employment opportunities and to serve as a knowledge enterprise for corporate leaders. Below is a sampling of the school’s corporate partners who have built relationships with the school to recruit, engage with, and inspire students, as well as provide support for fulfilling the school’s mission.

EVENING AND EXECUTIVE MBAs

2012

NOTABLE CORPORATE PARTNERS

EXECUTIVE EDUCATION Any individual in the midst of a professional transition or organization in the process of business transformation can benefit from a lifelong relationship with the Wisconsin School of Business. The Center for Professional and Executive Development aims to provide its customers with the skills and resources necessary to make those business transformations and professional transitions successful. To learn more about Executive Education, visit exed.wisc.edu .

OPEN-ENROLLMENT COURSES These cutting-edge courses help individuals solve specific, real-world workplace problems. 2012 Number of courses Number of students

6

2010

2009

2008

134

129

111

151

238

2,247

2,102

1,952

2,666

3,978

6.6

6.6

6.5

6.5

6.5

Customer satisfaction (on 7-pt. scale)

CUSTOM PROGRAMS These practical, interactive learning sessions use discussion, team exercises, and case studies tailored to the client’s needs. 2012 2011 2010 2009 2008 Number of programs

71

64

63

50

77

Number of corporate customers

31

26

21

23

27

6.6

6.4

6.5

6.6

6.9

Customer satisfaction (on 7-pt. scale)

CORPORATE EXECUTIVE MBA The Wisconsin Corporate Executive MBA program is a customized experience created in partnership with an organization and offered exclusively to a select group of its employees. Kohl’s Corporation is the school’s first corporate partner, and the school is exploring similar partnerships with other organizations. Students in the program integrate work and class projects seamlessly with others from their own functional area as well as those from other areas across the firm. The partnering organization enjoys an enhanced ability to recruit and retain top talent, as well as the immediate benefits delivered on the job by current participants. To learn more about the Corporate Executive MBA, visit bus.wisc.edu/corporatemba .

REGENTS APPROVE FLUNO CENTER FOR ALUMNI USE The Wisconsin School of Business is excited to announce that the University of Wisconsin System Board of Regents approved revised guidelines for individuals or groups wishing to stay at the Fluno Center on the UW-Madison campus. As of December 7, 2012, individuals and groups enrolled at or connected to the university—which include alumni, donors, advisory board members, corporate recruiters, job candidates, and special guests of the Wisconsin School of Business—will be able to use the guest rooms. The school is eager to provide even more alumni, donors, and friends a comfortable, welcoming place to stay on campus. To make a reservation online, visit fluno.com .

* Data unavailable

10

2011

7

FLUNO CENTER OCCUPANCY Goal for increased occupancy between 2012 and 2015

65% 45%

2012

2015


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