From the Associate Dean
A New Year and New Opportunities – that's our theme for Krannert
Executive Education Programs as we enter 2012. Although the
past several years have seen more uncertainty than we would like,
we are convinced that 2012 has the potential for all of us to reach
new heights and create something better than before. Here at
KEEP, we are looking at ways to develop new opportunities for
both our current and future alumni. Our 'Research for Executives'
feature provides new ideas for better incentive systems for you
as managers. Our KEEP Calendar lets you see the upcoming
opportunities we offer. We've also been updating our website
which provides more details on the opportunities our programs
offer. And our last page shows you the people helping make the
opportunities in our programs a reality. There you will see some
familiar faces and new names - together they represent a team
that has been great to work with and that is ready to help you.
We look forward to strengthening our
ties with you and hearing how you are
doing as well as what we can do for
you. I would like to encourage you to
share your successes and concerns as
we work to make the KEEP Connection
a resource that you look forward to
Happy New Year!
Share the Date
KEEP is inviting prospective
students to our Profile Day on
Friday, January 13 from 9 am
to 12:30 pm. It is open to all who
are considering an MBA and believe
our Executive MBA or International
Master's of Management degree
programs may help them achieve
their career goals. The day's
Check In and Tour of Facilities
Profile Program Presentation
Opportunity to Attend Class
Lunch with current
For more information or to register,
please email JoAnn Whitford
(email@example.com) or go to:
||Krannert School of Management
RESEARCH FOR EXECUTIVES
Creating Ownership in Your Organization
So, what is the key to motivating your employees to take ownership of the long term wellbeing and performance of your company? One evidence based answer is that open book management (information sharing) and decentralized decision making practices are far more likely to foster ownership attitudes and behavior than stock ownership in isolation.
For more information or a copy of the published research study referenced in this article, please contact Professor Dunford directly at firstname.lastname@example.org.
Enter the search phrase “rental car abuse” into YouTube, and you will find dozens of extreme examples of the principle that owners treat objects differently than do non-owners. In the absence of significant accountability, renters may have little interest in the long term performance or well-being of a rental car, and may even mistreat it. Conversely, car owners have strong incentives to care for their car and maximize its long term performance.
This principle of ownership applies to organizations which are increasingly seeking to motivate their employees to take actions to preserve the wellbeing of the firm, and maximize its long term performance. For example, stock based rewards are now commonly given to make workers feel and act like owners of the firm. The National Center for Employee Ownership estimates that 36% of the US workforce now owns stock in their own firm through various forms such as 401(k) plans, stock purchase plans, broad based stock options and profit sharing. Conventional wisdom suggests that shares of stock give employees a salient financial incentive to engage in activities that facilitate the long term performance and wellbeing of the firm.
Recent research by Professor Benjamin Dunford and colleagues at the Krannert School of Management advocates an update to this conventional approach.The study indicates that stock ownership may be rather ineffective for motivating employee ownership attitudes and behavior, unless it is accompanied by other participative management initiatives.
In a sample of 510 employees from a commercial real estate firm, Professor Dunford and colleagues show that three conditions must be met before employees are likely to feel and act like owners. First, they must perceive that they share substantially in the profits of the firm. Second, they must perceive that they have control over relevant decisions in the firm. Third, they must perceive that they have access to relevant information concerning the firm.
In a statistical analysis of survey and stock ownership data, Dunford and colleagues found that employee perceptions of control and information were significantly stronger predictors of their loyalty to the firm and job performance than was their stock ownership. This is an important finding because stock based rewards on their own rarely give recipients a meaningful voice in decisions that are relevant to them nor do they give recipients access to information concerning the firm.
Calendar of Upcoming Opportunities at KEEP
Executive MBA 2012 Residency #5
(West Lafayette, IN)
KEEP Profile Day (9 AM – 1:00 PM)
Veterinary Management Institute (VMI): Finance Module
Veterinary Management Institute (VMI): Strategy Module
IMM 2012 Residency #3 in Mexico City and Puebla, Mexico
Executive MBA Residency #6 in Shanghai, Xi’an, and Beijing, China
IMM 2013 Program Launch (West Lafayette, IN)
Advanced Management Principles (AMP) (West Lafayette, IN)
Chinese Entrepreneurship Training (West Lafayette, IN)
IMM 2012 Residency #4 in West Lafayette, IN
IMM 2013 Residency #1 of one week each at Tias/Nimbas
(Tilburg, the Netherlands) and GISMA (Hannover, Germany)
Entrepreneurship Bootcamp for Veterans with Disabilities (West Lafayette, IN)
Executive MBA 2014 Program Launch (West Lafayette, IN)
Veterinary Management Institute (VMI): Human Resource Management Module
IMM 2012 Residency #5 in China
Technical Management Institute
Veterinary Management Institution: Marketing Module
28 -Nov. 10
IMM 2013 Residency #2 at CEU (Budapest, Hungary)
Executive MBA Program –
An Improved Program for a Changing World
In November 2011, the faculty of the Krannert School of Management approved a new curriculum for the KEEP Executive MBA program. This new curriculum provides for a mix of in-class and on-line learning that cover the core skills needed for MBA graduates. Additional benefits for participants starting in September 2012 include: a reduced core that allows students to customize their plans of study, selection of three functional electives from a pool of 5-7 options, immersion electives focusing on a student selected subject for in-depth study, and active learning projects where students combine their experience and classroom skills to solve business problems for a company.
Congratulations to IMM 2011 Graduating Class
On the weekend of December 17-18, we welcomed the IMM graduating class of 2011 along with their friends and families. After a warm and energetic reception the evening of the 17th, the graduates and their guests participated in commencement exercises the next day. We were glad to have so many attend from around the world and look forward to hearing of your successes in the future.
People to Know at KEEP
JoAnn Whitford, Assistant Director of Admissions, has been with
the executive programs at Purdue since 1993. She has a deep
dedication to recruiting for our degree programs and assisting
prospective students move through the admissions process with
ease. She is a Southerner by birth, a graduate of Louisiana State
University, and prior to Purdue, worked as a writer. JoAnn's favorite
pastime is reading — both fiction and non-fiction. She is also very
interested in the American Civil War era and enjoys visiting historical
sites and watching the History Channel.
Cathy Garrison is the Senior Program Manager for Krannert
Executive Education Programs (KEEP). Cathy manages the
EMBA and IMM degree programs and our four certificate
programs. Cathy has been in the KEEP department since
1994. Cathy spends her spare time with her family including
five grandchildren. She also enjoys golf, racquetball, tennis,
reading, and sewing.
Yvonne Ray's official title is Administrative Assistant, but she is
more of a Logistics Manager. In that role, she manages the logistics
for all of our programs, oversee all aspects of the student workers
and building sitters and "other duties as tasked" (of which there
are many). She's been with KEEP since 1998 and has helped to
graduate over 40 executive classes. In the summer, Yvonne enjoys
spending time at the lake going boating, tubing, fishing, and riding
in golf carts along wooded trails. Winter is reserved for crocheting,
cooking, and reading. However, her favorite activity is spending
time with her husband, children and granddaughter.
Aldas Kriauciunas is the Executive Director of KEEP and the
new kid on the block. He has been at Krannert since 2003 as
an assistant professor of strategic management and officially
started his director position on January 2, 2012. In that role,
he undertakes program reviews, ensures the programs meet
participant needs, and creates custom programs for companies.
In his spare time, Aldas enjoys travelling with his family,
backpacking/camping, and anything Lithuanian.
The KEEP Connection
is published quarterly for
alumni and friends of the
Krannert Executive Education
Programs (KEEP) at Purdue
University. We welcome your
comments, opinions, and
questions. Please contact
The KEEP Connection
425 West State Street
West Lafayette, IN 47907-2056
Purdue is an equal access/equal
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with us, please email
Help us KEEP connected!