By Francesca Di Meglio
Former Hollywood heavyweight and California Governor Arnold Schwarzenegger announced last week that Tom Campbell, dean of the University of California Berkeley's Haas School of Business, will be the new director of the state's Finance Dept.
Starting Dec. 1, Campbell will take a one-year leave of absence, with an option for two years, from his post as dean. UCLA-Berkeley Provost and Executive Vice-Chancellor Paul Gray will consult the Haas School on selecting an acting dean, most likely someone from the B-school faculty. Campbell says he'll probably return to helm at Haas after two budget cycles. He's midway through a five-year term with the school and says he'll try to help out at Haas on an as-needed basis.
"I hope the school continues on its present trajectory of adding distinguished faculty, adjusting its curriculum to current business conditions, and continuing to emphasize the teaching of skills to create opportunity and the values to share what we create," Campbell says.
SHORING UP THE DEFICIT.
In his new role, Campbell's main focus will be to determine California's $100 billion budget as the state continues to recover from its fiscal crisis. California has financed some of its deficit with loans but continues to accrue billions in debt, and some reports suggest it could face a $5 billion to $7 billion shortfall next year. Campbell promises to avoid an increase in taxes to dig the Golden State out of this hole. "I'll do my best to bring business back to California," he says.
Campbell picks up where Floridian Donna Arduin left off. Citing personal reasons, Arduin resigned after just one year on the job as finance director. Legislators criticized her for being a partisan outsider who didn't understand California's fiscal situation. In September, Schwarzenegger named Campbell as part of his 16-member Council of Economic Advisers to propose ways to make the state's economy more competitive.
Although he's fiscally conservative, state Democrats says Campbell holds liberal views on many social issues. Legislators and his colleagues add that Schwarzenegger chose Campbell because of his ability to work well with others regardless of ideological differences. "I think [Campbell] has bipartisan appeal," says Richard Lyons, associate dean for academic affairs at Haas. "He's wicked smart, has a pragmatic approach to many issues, and gets to know various constituencies."
A NATURAL LEADER.
Campbell is no stranger to politics. Before arriving at Haas in 2002, he was on Stanford University's law school faculty for 19 years. He also was elected to the U.S. Congress five times as a Republican and represented the Silicon Valley district of Santa Clara from 1989-93 and 1995-2001. From 1993-95, he was a state senator.
When Campbell arrived at Haas, he made corporate social responsibility and business ethics a top priority. Under his leadership, the school developed the Center for Responsible Business. Lyons says when the leader of a school has to take a leave of absence, it's always disruptive. But he adds that, overall, Campbell's new post with the state is a positive for the Haas community. Campbell agrees: "If I can do some good for California, it will also benefit Haas, the state's premier public business school."
Wharton Admissions Director Heads to Chicago's B-School
Rosemaria Martinelli, who has directed admissions at the University of Pennsylvania's Wharton School in Philadelphia for the last six years, will take on the same role at the University of Chicago's Graduate School of Business next May. Martinelli says she wants to change the quality of her life and live closer to her family in Chicago after surviving a recent bout with breast cancer.
Chicago GSB started approaching her around the same time that she resolved to move back home. "We view Rose as the best admissions professional in the business school arena," says Stacey Kole, deputy dean for the full-time MBA program at GSB. "She has the expertise, passion, and foresight to lead our MBA Admissions efforts by fully leveraging the resources of the whole GSB community."
A RETURN TO HER ROOTS.
Martinelli will be dividing her time between Wharton and GSB until she officially takes over as associate dean of student recruitment and admissions at GSB in May, 2005. She says leaving Wharton is going to be "a great loss," and she didn't want to leave the administration in a lurch for a new admissions director. Martinelli will continue to work at Wharton until Apr. 30, 2005. But to make her transition smoother, she'll be going to Chicago about once a month to consult GSB on admissions strategy.
Administrators at both schools say they're confident that Martinelli's temporary dual role won't be a conflict of interest. Martinelli says she won't be participating in the candidate-selection process for the GSB program until next year. As a consultant, she'll be getting to know the GSB staff, advising on strategy, and planning for her future role. "My integrity is something you can't muck with," she adds.
Wharton administrators say they're sad to see Martinelli go. "Under her leadership, our staff and the large team of alumni, graduate assistants, and student volunteers have elevated our admissions processes to new levels of professionalism, transparency, and rigor," says Anjani Jain, vice-dean and director of the Graduate Division at the Wharton School. "With her passion and commitment, she has earned warmth and admiration of her colleagues and the thousands of students she has guided through the admissions process."
The Wharton School has already organized a search committee of administrators, faculty, students, and alumni to find Martinelli's replacement. Jain says this group plans to appoint a new admissions director before she departs, so she can help train her replacement.
Before arriving at Wharton, Martinelli worked for four years in the president's office at the University of Pennsylvania. She received her undergraduate and master's degrees in music from Northwestern University in Evanston, Ill.
By Francesca Di Meglio
New Nobel Winners for Carnegie Mellon
Business professors Finn Kydland and Edward Prescott won the 2004 Nobel Prize in economics for their macroeconomic research on time consistency of economic policy and the driving forces behind business cycles. The Royal Swedish Academy of Science in Stockholm, the group that gives out the prestigious award, cited Kydland and Prescott for research they did while professors at Carnegie Mellon University's Tepper School of Business in Pittsburgh. With six Nobelists on record, Tepper now ties the University of Chicago's Graduate School of Business for the most winners.
Kydland is on leave from Tepper and will be teaching at the University of California-Santa Barbara this winter. Prescott is now a faculty member at Arizona State University. Other CMU Nobel laureates include Herbert Simon ('78), Franco Modigliani ('85), Merton Miller ('90), and Robert Lucas ('95).
Harvard Democrats Rise Again
In the weeks before President George W. Bush won reelection, some Harvard Business School students -- who are typically known as Republicans -- started showing their blue side. HBS Democrats, a student-run group that relaunched a year ago, has made itself heard on campus. They've attracted 200 dues-paying members, vs. 75 for the HBS Republicans. A recent poll taken by HBS Democrats showed that around 55% of HBS students consider themselves Democrats.
The club sponsored a key appearance by Warren Buffett, chief exec of investment group Berkshire Hathaway and adviser to Democratic Presidential candidate Senator John Kerry. Says Jenny Abramson, co-president of the club: "You can be a Democrat and be pro-business and in favor of a sound economic policy."
Abramson spent Election night in South Dakota driving voters to the polls and says Bush's victory won't slow down the club's efforts. "We're really excited to help prepare other B-school students to be leaders in business and the broader community," she says.
Italian Prof Gets ISBM's Top Job
The International Schools of Business Management (ISBM), a 30-year-old group that educates business faculty, last week named Italy's SDA Bocconi Professor Ferdinando Pennarola chairman of the ISBM's board of directors. ISBM, which has taught more than 1,000 professors, covers teaching methods for all programs from undergraduate to executive education.
Pennarola, 41, says he wants to maintain continuity and tradition at ISBM. He adds that a practitioner's view is essential in every business classroom. A professor of organization and management of information systems, Pennarola says he tries to combine established theories with simulations and hands-on exercises to prepare his students for today's business world.
B-schools have to function in a low-cost economy and still produce high-quality education, Pennarola says. International schools have an additional burden: competing with well-known U.S. programs. Non-U.S. B-schools have to creatively leverage their distinctive local features and their global mindset, he adds. "Research excellence is important, only if combined with teaching excellence that ultimately impacts on the quality of learning."
Pennarola's main research is about service-management and professional-service firms. He joined the Bocconi faculty in 1986. In 1993, he established the Center for New Learning Technologies at Bocconi, a research and application lab that creates new teaching materials. He also consults for the Italian government on developing broadband telecommunications.
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