Isabelle Bajeux-Besnainou - 10th Dean of the Tepper School of Business - Carnegie Mellon University
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Tepper School of Business | Carnegie Mellon University FALL / WINTER 2020 Isabelle Bajeux-Besnainou 10th Dean of the Tepper School of Business
FC EOANTTUERNETSS Eduardo Tobon (MBA 2000) ADMINISTRATION Leadership Advisor Isabelle Bajeux-Besnainou, Ph.D. Spencer Stuart Dean and M A G A Z I N E Pradeep UN (MBA 2003) Linda Argote, Ph.D. Director, Customer & Field Experiences Senior Associate Dean, Faculty and Research Microsoft Corp. TEPPER SCHOOL ALUMNI RELATIONS Willem-Jan van Hoeve, Ph.D. John M. Sengenberger Sr. BUSINESS BOARD OF ADVISORS Senior Associate Dean, Education Executive Director, Alumni Relations Homaira Akbari (MSIA 1996) President and CEO Jonathan S. Stern ALUMNI BOARD AKnowledge Partners LLC Associate Dean, Advancement Michelle Crottier (MBA 2014) 10 Winds of Change Finance Integration Darryl Britt (MSIA 1990) John Gasper, Ph.D. Google President and CEO Assistant Dean, Strategic Initiatives Apprio Inc. COV ER FE AT UR E Robert DeAngelis (MSIA 1985) Rhonda D. Fischer Retired Eric L. Butler (E 1981, MSIA 1986) Chief Operating Officer KeyBank CEO Aswani-Butler Investment Associates LLC Lynda W. Oliver Lyenda Simpson Delp (MSIA 1997) Chief Marketing and Communications Officer Deputy Head of Client Relationship Management, Mark A. Coblitz (MSIA 1982) The Tepper School of Business welcomes FIG Americas Senior Vice President, Nicola Secomandi, Ph.D. new Dean Isabelle Bajeux-Besnainou. BlackRock Strategic Planning (retired) Head, Ph.D. Program Comcast Corporation Cyanne Demchak (MBA 2009, MSHC 2009) Kathryn Barraclough, Ph.D. Chief Innovation Officer David A. Coulter (BSIM 1971, MSIA 1971, Trustee) Head, MBA Program Cigna Medical Group, Cigna Corp. Special Limited Partner Warburg Pincus Burton Hollifield, Ph.D. John Dischner (MSIA 1994) Head, Undergraduate Business Administration Program 14 Managing Director Christine DeFilippo (BSE 1990, MSIA 1994) 8 AlixPartners LLP Director of Operations Christopher I. Telmer, Ph.D. Apple Head, Economics Russell C.B. Ewing II (MSIA 1996) 3 18 Retired Duane J. Seppi, Ph.D. VERSATILE Stephanie Ercegovic (BSIM 1982, MSIA 1983) Goldman Sachs Asset Management Head, Master of Science in Computational TRENDING President Finance Program PATHFINDER Discovery Capital Management Lori Heinel (MSIA 1992) Executive Vice President, Deputy Global Chief Investment Officer Donald Heberle (MSIA 1994) Nicholas Hamilton-Archer TE PPE R TOPICS Head, Wealth Management Executive Director, Executive Education State Street Global Advisors A PRECISE ODYSSEY enterprising DI G E S T 20 The PNC Financial Services Group MAGAZINE STAFF Tal Heppenstall (MSIA 1985) President Keishi Hotsuki (MSIA 1989) Chief Risk Officer EDITOR Lynda W. Oliver Amit Sachdev (BSIM 1990) discusses leaders UPMC Enterprises Morgan Stanley Recent news from TEPPER EXPERTS FIND his journey to change Three intrepid alumni the Tepper School. POSITIVE WAYS TO SERVICE CREATIVE DIRECTOR health care at Vertex Michael Hermeston (MBA 2008) Zach Beresh LOOK TOWARD A tell the remarkable Claudia Jury (BSIM 1988) Pharmaceuticals. Director of Production Operations – Communication, stories of their individual Photos and Cloud Products Google Managing Director, Co-Head Global Currencies & Emerging Markets JP Morgan SENIOR DESIGNER Alex Hess POST-COVID FUTURE The unprecedented journeys through the entrepreneurial process. LEADERSHIP COVID-19 pandemic 24 Jertez Hunter (MBA 2013) LEADING AND SERVING Gunjan Kedia (MSIA 1994) PRODUCTION has stalled and shifted Lead Product Development Karen Boucher BY EXAMPLE Vice Chairman of Wealth Management priorities in every industry. Union Pacific 32 and Securities Services Mary Beth Green Scott Jubeck (BS 2003, MBA 2008) Vice President, Product U.S. Bank COVER STORY Seb Murray COLLABORATIVE 37 (MBA 2004) expresses the value of leading and 28 Jon R. Kinol (MSIA 1992) PARTNER serving others. TeleTracking Founder WRITERS Kalpesh Kapadia (MSIA 1999) Zenik Capital, LLC Aubrey Buberniak, Nicholas Ducassi, Tricia Miller Klapheke, Debbi Gardiner McCullough, DONOR CLASS Chief Executive Officer Deserve Inc. William M. Lambert (MSIA 1990) Chairman of the Board (retired) Courtney Ryan, Melissa Silmore BUILDING CONNECTIONS EMERGING I M PAC T NOTES MSA Safety CONTRIBUTORS Justin Kaufman (MBA 2004) Pittsburgh Office Managing Partner, Jack E. McGrath (MSIA 1961, Trustee) Alex Hess, Justin Jakovac, Kara Pasquinelli, Kevin Sprouls Ted Decker (MSIA 1995) is applying lessons learned INSIGHTS Participation highlights and three stories of how Updates, Highlights, Awards, Midwest Advisory Market Leader Senior Vice President (retired) PHOTOGRAPHY and Accolades. PricewaterhouseCoopers LLP, PwC Advisory Services at the Tepper School to Learn about recent together we can make Booz, Allen & Hamilton Zach Beresh, Ryan Connolly, Alex Hess, Howard Korn, Erica Johnson, Anthony Musmanno, The Home Depot. research from three an impact. Krista Markert (MSIA 1997) Derek White, Michael Williams Project Management Consultant Brian Olsavsky (MSIA 1989) Tepper School Senior Vice President and faculty members. Chief Financial Officer COVER ILLUSTRATION Jennifer Milacci (BSIM 1995) Amazon Alex Hess Managing Director, Head of Client Services Renaissance Institutional Management Marc A. Onetto (MSIA 1975) Tepper Magazine is published for alumni, students, Principal faculty, staff, and friends of the business school. Brittany Mithra (MBA 2013) Leadership From The Mind And The Heart LLC ©2020 Carnegie Mellon University. All rights reserved. Sr. Manager, Operations and Supply Chain Amazon Cindy Padnos (MSIA 1980) Please send letters to the Founder and Managing Director editor and address changes to: Rob Rice (MBA 2000) Illuminate Ventures Office of Advancement Affiliate Finance Manager Tepper School of Business ExxonMobil Corporation James E. Rohr (Trustee) Carnegie Mellon University Chair, CMU Board of Trustees 5000 Forbes Avenue Aurobind Satpathy (MSIA 1996) Chairman and CEO (retired) Pittsburgh, PA 15213 Senior Partner The PNC Financial Services Group 412-268-2268 McKinsey & Company teppermagazine@andrew.cmu.edu Manoj P. Singh (MSIA 1976, Trustee) Sujal Shah (MBA 2004) Chief Operating Officer (retired) President & CEO Deloitte Touche Tohmatsu Ltd. CymaBay Therapeutics Inc. David A. Tepper (MSIA 1982, Trustee) Ranjit Singh (MSIA 1999) President and Founder Principal, Pricing and Profitability, Appaloosa Management LP Management Practice Leader Deloitte Kevin D. Willsey (MSIA 1989) Chairman of Global Investment Banking Susan Smith (MSIA 1996) J.P. Morgan Securities Inc. Management Consultant FORCE Consulting Group LLC
NEWS FROM THE TEPPER SCHOOL OF BUSINESS TE PPE R READ MORE @TEPPER DIGITAL MAGAZINE DI G E S T Dean’s Class of 2020 Full-Time MBA Letter Employment Highlights 89% 87% MSBA Program Names Alan As I begin my journey as the 10th Dean of the Tepper School of Business, I am leading on behalf of our community: students, faculty, staff, our Carnegie Mellon colleagues, and our alumni. It is difficult to walk through the doors of our impressive Received offers by three months after graduation Accepted offers by three months after graduation Montgomery New Faculty Head but sparsely populated Tepper Quad and witness how our community has been impacted by $136K The online Master of Science in Business the events of the past year. From the effects of the coronavirus pandemic to our unrelenting Median salary Analytics (MSBA) named Professor of mission to end systemic racism within our community, we are indeed living through a Marketing Alan Montgomery as its new per year faculty head. He succeeds Professor challenging time. How do I lead Tepper into brighter days? Willem-Jan van Hoeve, who was recently named Senior Associate Dean One thing I know is that innovation is born of challenge, and uncertainty is a foundation of Education. from which we grow, thrive, and create monumental change that can impact the world. Montgomery will lead the program in For the better. bringing leading-edge techniques in Mid-Atlantic 15.9% Midwest 12.7% data analytics into a business context, occupying a niche space on the spectrum As Dean, I am emboldened to take on these challenges, because I know that we will come Northeast 27.0% South 2.6% between an MBA and a data science out stronger and smarter on the other side. I am committed to the success, health, safety, degree. He has been teaching the Southwest 6.3% and happiness of our entire Tepper community. I am confident that our powerful, collective West 28.0% Analytical Marketing course in the MSBA program since the program launched in expertise in technology, science, entrepreneurship, and leadership will continue to build a Asia 4.8% December 2017. culture of excellence that will propel us to new heights. Latin America & the Caribbean 2.6% Tepper School of Business | Carnegie Mellon University It is my mission to help grow and strengthen the Tepper School community and show the world all that we can accomplish when we work together. I thank you for this opportunity and look forward to serving as your Dean. With gratitude and excitement, 34.6% Consulting 33.0% Consulting 23.0% Marketing 31.4% Technology 20.9% Finance 13.1% Finance Function 13.1% General Management Industry 7.3% Manufacturing cmu.edu/tepper 5.8% Operations 6.8% Biotechnology/Health/Pharmaceuticals 2.6% Technology 3.1% Energy/Petroleum/Utilities 2.6% Other Isabelle Bajeux-Besnainou 1.0% Consumer Products Dean, Tepper School of Business 1.0% Media/Entertainment 0.5% Real Estate 2 3
TE PPE R NEWS FROM THE TEPPER SCHOOL OF BUSINESS DI G E S T TE PPE R DI G E S T U.S. News & World Report Tepper Economists The Tepper Undergraduate Receive King Mellon #7 Business Administration Taya Cohen Receives $4.4 Million Grant From program placed #7 on the U.S. News & World Foundation Grant the John Templeton Report list of 2021 Best Foundation Undergraduate Business Research aimed at understanding the effects of the coronavirus pandemic economics research project, “Developing a Pandemic Consumption Expenditure Alumni School Programs. on consumer behavior received a Index,” aim to identify and categorize Donors Taya Cohen, Associate Professor of $50,000 grant from the Richard King emerging patterns of consumer behavior. Organizational Behavior and Theory, is serving as a science of honesty project T E P P E R S C H O O L S P E C I A LT Y R A N K I N G S Mellon Foundation. The Richard King Mellon Foundation Support leader on a research team that is Laurence Ales, Associate Professor primarily funds projects relating to Nicholas Muller 2 2 2 2 7 9 of Economics; Rebecca Lessem, regional economic development and in Developing a exploring scientific and philosophical questions about honesty. The John # # # # # # Associate Professor of Economics; conservation, along with education New ESG Index Templeton Foundation is sponsoring Chris Telmer, Associate Professor and human services and nonprofit this project with a $4.4 million grant. of Financial Economics and Head of capacity building throughout Information Analytics Quantitative Production Finance Supply Chain Economics; and Ariel Zetlin-Jones, southwestern Pennsylvania. Systems Analysis and Operations Management Associate Professor of Economics, Along with Cohen, the Honesty Project Management and Logistics A sustainability initiative directed by includes three psychology professors through their micro- and macro- Nicholas Z. Muller, Lester and Judith from Wake Forest University and is led Lave Associate Professor of Economics by A.C. Reid Professor of Philosophy Engineering & Public Policy, has received and Principal Investigator Christian B. funding from two alumni donors. Miller, also of Wake Forest University. Dokyun Lee Wins Christopher A. Potter (MSIA 1973) and Emily Stark Joins Health Professions The research team will use a mix of field studies, surveys, laboratory Sponsorship from Kathleen O. Potter, John Levinson (MSIA 1980) and Ellen Levinson, along and online experiments, and coding of qualitative data to study honesty. McKinsey & Co. Program Advisory Board with the Levinson family, recently made contributions to this important initiative. Cohen—who conducts research on honesty, moral behavior, negotiation, In a first for CMU, McKinsey & Company announced V. Emily Stark, Assistant Teaching Professor of Business Led by Muller, the Tepper School Tepper School of Business | Carnegie Mellon University and conflict, and is known in particular research sponsorship for Dokyun Lee, Assistant Communication, was invited to join the advisory board for Sustainability Initiative offers students for her research on moral character Professor of Business Analytics, and Ph.D. students Carnegie Mellon’s Health Professions Program (HPP). an opportunity to pursue scholarship, in the workplace—will lead research Emaad Manzoor and Mao Chengfeng. The McKinsey coursework, and career opportunities in on honesty in difficult conversations & Co. sponsorship is in applying AI in The HPP is a university-wide advising resource that is the ever-growing field of sustainability. where people must deliver critical marketing promotion. available to all CMU students and alumni. Composed The initiative encompasses a wide feedback to mentees and teammates. of a diverse group of colleagues from MCS, DC, CIT, range of topics, including energy, Lee founded and co-directs ENAiBLE, a CMU Retail & SCS, Tepper, and the Center for Student Diversity and natural resources, the environment, Services Collaborative, which is a forum for industry Inclusion, the advisory board works with the HPP director health and social well-being, leaders to share their challenges with academic on policy review, resource development, programmatic engineering, and architecture. 14 experts at the forefront of new technology. ENAiBLE, enhancements, and alumni engagement. whose mission is to create more humane, efficient, cmu.edu/tepper This year, the Tepper School’s Ph.D. program and positive retail and service experiences, recently Stark has a background in biology and alumni relationships has welcomed 14 new students. Due to the held its first roundtable to address the use of AI and has helped to bring greater awareness of the HPP and pandemic and travel restrictions, five of the during the COVID-19 pandemic. its valuable resource to the Tepper community. students began the year remotely with the goal of joining in-person beginning January 2021. 4 5
TE PPE R In August, the American Accelerate NEWS FROM THE TEPPER SCHOOL OF BUSINESS TE PPE R Accounting Association DI G E S T Leadership inducted Shyam Sunder DI G E S T (Ph.D. 1974) into the Accounting Hall of Fame. The Accounting Hall of Fame honors Center Invites Marketing Science accountants who have made, or are making, MBA Students Institute Names significant contributions to Enroll in Ilker Baybars to the advancement of Jeff Galak 2020 MSI Scholar accounting since the beginning of the the Curiosity 20th century. Project Celebrates 50 The Marketing Science Institute announced its 2020 class of MSI Scholars, naming Associate Years at Tepper The Accelerate Leadership Center announced that all first-year Professor of Marketing Jeff Galak a 2020 full-time MBA students can enroll in the Curiosity Project. Scholar. The MSI Scholars Program was developed Ilker Baybars, George Leland Bach Chair, Professor An entirely optional program, the Curiosity Project is a curated to recognize excellence in marketing scholarship, develop a cohort across marketing disciplines, and strengthen ties Erina Ytsma student-to-student networking action plan focused on of Operations Management, and Dean and CEO Emeritus of the Qatar campus of CMU, is celebrating an impressive between scholars and MSI. Joins the World expanding key leadership skills, such as asking questions and listening with curiosity, as well as allowing students to share milestone of 50 years at Tepper. Galak specializes in behavioral psychology, behavioral Economic their lived experiences with peers. Baybars came to CMU in late August of 1970 as a student and experimentation, consumer behavior, decision-making, Forum’s Global Intended to be loose and fun, as well as insightful and personal, joined the faculty in 1978, eventually serving as Associate and marketing research. Future Council the goal of the Curiosity Project is to help increase empathy Dean in 1985, Deputy Dean in 1992, and Acting President of the Carnegie Bosch Institute for Applied International Fellows Program for others and awareness of oneself by practicing the art of conversation with someone new. It also aims to help students Studies in 1997. He was director of the Tepper School’s MBA program from 1984 to 1997, oversaw the Undergraduate strengthen their curiosity muscle so that they can use it with Business Administration program from 1990 to 1994, and The World Economic Forum’s Global Future Councils (GFC) ease when needed in professional settings. served for six years as the Dean and CEO of the Qatar named Erina Ytsma, Assistant Professor of Accounting, a campus of CMU. fellow for the council on the New Agenda for Work, Wages and Job Creation. GFC Fellows are postdoctoral scholars Sunkee Lee Awarded MK-AKMS at leading universities with a future-looking and systems- Young Scholar Award Ilker Baybars played a central role in oriented mindset. Fellows play a crucial role in councils by being responsible for capturing, synthesizing, and disseminating growing a small, innovative master’s INFORMS Awards knowledge and insights from the councils’ deliberations. Assistant Professor of Organizational program to one from which, each year, Nicola Secomandi Best Ytma’s research focuses on topics in organizational and labor Theory and Strategy Sunkee Lee was honored with the MK-AKMS Young Scholar hundreds of graduates assume leadership Publication Award economics and the economics of digitization and innovation. Award. The award was launched three roles in prominent companies throughout She is particularly interested in incentive systems and the years ago by Maekyung Media Group, the world. Having witnessed this The Institute for Management; and organization of work in the digital age and in the context of owner of South Korea’s largest business transformation, I am still in awe of Ilker’s knowledge work and innovation. newspaper, Maeil Business Newspaper, and Operations Research and Stephen Smith, Research the Association of Korean Management vision for what the school could become, the Management Sciences Professor at CMU’s Scholars (AKMS) to contribute to the career and his skillful management of the honored Professor of Robotics Institute. development of young Korean scholars transformation that realized his vision. Tepper School of Business | Carnegie Mellon University Operations Management Matthew Denes, Assistant in the global academic community. Lee’s and Ph.D. Program Head The ENRE Best Publication Professor of Finance, received a gift from The research focuses on organization design, Dennis Epple, Nicola Secomandi with Award in Environment Annie E. Casey Foundation organizational learning, exploration and Thomas Lord Professor of Economics a Best Publication and Sustainability is for his paper, “Securing the exploitation, incentives, spatial design, and Award in Environment given annually to the best Gig: Youth Employment, microfoundations of strategy. and Sustainability. refereed journal article in Entrepreneurship, and the Rise the areas of interest for of the Platform Economy.” Secomandi’s paper, Energy, Natural Resources, The Annie E. Casey Foundation “Managing Wind-Based and the Environment invests in innovative ideas, Electricity Generation in (ENRE) Section. The practices, and policies that Brianna Agyemang awarded Executive of the Year Award the Presence of Storage objective of the award is to help build a brighter future for cmu.edu/tepper and Transmission recognize the contributions children who face significant Brianna Agyemang (B.A. in Economics, Class of 2010) and Jamila Thomas of Atlantic Capacity,” was co-authored of ENRE members to the obstacles on the road to adulthood. Denes researches Records, who led ‘The Show Must Be Paused’ campaign in response to the deaths of by Yangfang (Helen) Zhou field of environment George Floyd, Breonna Taylor and Ahmaud Arbery earlier this year, will receive the empirical corporate finance, (Ph.D. 2012); Alan Scheller- and sustainability in private equity, venture capital, Executive of the Year Award at Billboard’s 2020 Women in Music Event. Wolf, Richard M. Cyert Operations Research and entrepreneurship, and Professor of Operations Management Science. political economy. 6 7
BY COURTNEY RYAN TEPPER E X PER T S FIND POSITI V E WAYS TO LOOK TOWA R D A POS T- COV ID FU T UR E TRENDING TOPICS the expected premature deaths due to air Yet while employers contend with where transparency, and visibility across digital supply pollution from personal vehicle travel and and how their employees physically work, a networks, and this ultimately increases the electricity use are estimated to have declined by new workforce option continues to emerge. adaptability and strength of digital approximately 360 deaths per month, or about Automation in manufacturing has long been supply networks. 25 percent of the baseline of 1,500 deaths. The underway as the Fourth Industrial Revolution, study also estimated that social distancing likely also known as Industry 4.0, has continued to “In the short term, basic AI technologies can resulted in a loss of roughly 46 million metric push for innovations in AI and smart technology keep the lights on in the factories, enable tons of carbon dioxide emissions per month — in order to improve production while lessening remote control of the shop floor activities essentially a 19 percent decline. reliance on human intervention. despite potentially large numbers of sick or quarantined employees and required social Further, by assuming a value of statistical life — In a recent study published in Social Science distancing measured,” concludes the study. a common measure of the value of reductions Research Network, Professor Sridhar Tayur, in the risk of mortality — of $9 million and a Ford Distinguished Research Chair; University Finally, Carnegie Mellon Associate Professor social cost of carbon of $50 per ton, the study Professor of Operations Management, along of Marketing Jeff Galak co-authored a paper estimated the environmental benefit of stay- with researchers from West Virginia University, with fellow behavioral scientists to help firms at-home and social distancing measures in the University of Iowa, and Johns Hopkins address how an era marked by uncertainty, United States is $5.5 billion per month. University’s Carey Business School, analyzed isolation, and excess information has how COVID-19 is improving the case for an affected consumers. While this study offers a silver lining for the AI-inspired digital transformation in current pandemic climate, it also suggests that manufacturing and supply networks. In the paper, the authors explain that in the institutions that promote remote work and context of high uncertainty, consumers are retail delivery opportunities will continue to The researchers observed that even as some more likely to seek control either by digging be necessary for societal health following the strapped organizations are abandoning “non- into the hobbies and interests where they feel pandemic. This in turn has sent researchers essential” plans to implement AI technology most like experts or, adversely, by adopting a digging for clarity and finding a few in an effort to concentrate all efforts on changed mindset and exploring new territories. positive results. responding to the immediate impact of the In either case, brands will benefit by pandemic in the short term, there is evidence remaining consistent in messaging and As companies continue to both embrace and that embracing AI could help manufacturers scruple with the effects of working remotely, combat uncertainty and become more resilient Anita Williams Woolley, Associate Professor to disasters. of Organizational Behavior and Theory at the Tepper School of Business, offers The team recognized that since job losses suggestions to ultimately minimize stress and in the U.S. exceeded 33.5 million by early communication issues while still promoting May 2020, it’s understandable that many are The authors warn that brands should also successful collaboration. concerned with the implications of a “jobless expect customers to appear less satisfied future” and are therefore hesitant to further with their purchases since uncertainty blunts In an op-ed titled “Best Practices for Working reduce human jobs by adopting AI technology. our ability to consider the consequences of Remotely,” Woolley draws from her research However, the study determined that the vast our actions. For this, the authors suggest that to posit that remote work opens the doors for majority of COVID-related job losses have brands adopt more flexible return policies to greater diversity. been concentrated in sectors with low AI, restore loyalty and trust. Additionally, since which suggests that an AI-inspired digital consumers are inundated with information Tepper School of Business | Carnegie Mellon University transformation might have actually helped to these days, they are more likely to view a brand mitigate job losses. favorably if said brand can offer a simple and clear purchasing process. And finally, all firms he unprecedented COVID-19 pandemic A new study conducted by Professor Using cell phone data to measure changes Throughout the study, the researchers observe can benefit by leveraging any social benefits has stalled and shifted priorities in Nicholas Muller, Lester and Judith in mobility from February to April 2020, the where and how AI technology is implemented, gained by using their products during this every industry, and uncertainty still Lave Associate Professor of Economics, researchers connected emissions from travel finding that AI-driven transformation can time of isolation. Ultimately, any brand that looms large on the horizon. While many Engineering, and Public Policy — along with and electricity use to changes in ambient address product lifecycle issues such as design, addresses some of these stressors among its of the pandemic’s direct consequences researchers at the University of Chicago, the fine particulate matter and manufacturing, sustainability, and resilience. consumer base is likely to build a more solid have been catastrophic, such as rising University of North Carolina, Greensboro, evaluated the associated she writes, explaining that diversity of surface- In turn, the adoption of such technologies has foundation post-pandemic. unemployment rates and a staggering loss of Dartmouth College, and the University of reductions in expected level characteristics among team members actually resulted in increased connectivity, human life, other consequences — including North Carolina at Chapel Hill — found that adverse health effects from tends to prime a heightened sense of attention While no study or theory may completely grasp cmu.edu/tepper the swift transition to remote work and stay-at-home policies have not only reduced exposure to pollution. The and concentration between members, which the entirety of the COVID-19 pandemic, it is learning — pose unexpected opportunities toxic emissions and energy use, but have results are promising: For a in turn promotes collective attention and clear that the crisis will eventually end and that for growth. likely prevented premature deaths. month of social distancing, satisfaction. “If time zones and technology organizations that make thoughtful decisions allow, people from all over the world can today may come out ahead in a different, and work together.” possibly better, future. ― 8 9
COVER STORY WINDS OF CH A NGE // DE A N IS A BELLE BA JEUX- BESN A INOU BY SEB MURRAY READ MORE @TEPPER DIGITAL MAGAZINE “The timing is not ideal; I was not actively She spotlights data analytics as being Evelyn Pierce, Teaching Professor of on the job market, but I was chased by a of special importance to this dynamic Business Management Communication and Winds of very persistent headhunter,” recalls Bajeux- environment; business leaders need to a member of the hiring committee, says Besnainou, 56. “And the more I learnt about analyze information in real time and use the Bajeux-Besnainou was distinctive because the Tepper School, the more I could see insight gleaned to make quick and effective she did not submit a strategic plan in the that it has all of the right ingredients to be a decisions. And recruiters find such abilities interview process; she wanted to speak to very top business school. It was an amazing to be invaluable. the key stakeholders first. Change opportunity that I could not pass up.” “Tepper is a top business school already, but “It wasn’t that she hadn’t done her research; She highlights the close collaboration I think it can become greater still because it’s she wanted to lead by relationship-building between world-leading faculty across at the center of a world-leading university — that was refreshing,” says Pierce. “It made Carnegie Mellon, from the School of that focuses on technology, data, and her the unanimous first choice of all the Computer Science to the College of Fine Arts. analytics,” says Bajeux-Besnainou. “This is deans at other CMU schools. They saw her Bajeux-Besnainou says cross-disciplinary the DNA of CMU.” as someone who will be their partner, learning is fertile ground for innovation and not a competitor.” creativity that will be crucial for companies And when it comes to cultivating data as they emerge from the pandemic. literacy and many other specialist abilities, This perspective of Bajeux-Besnainou is the experiential, skills-based learning that echoed by Gunjan Kedia, who serves on the *** She believes a wide array of perspectives is the Tepper School’s hallmark is the gold Tepper School’s Business Board of Advisors. also enriches the learning experience of standard. What’s more, cross-campus “Isabelle is likeable, relatable, empathetic, Isabelle Bajeux-Besnainou students through group discussion. And fresh infrastructure at the Tepper School collaboration is at the heart of this approach. “Practical learning forces us to think about very easy to talk to,” says Kedia, who met the new dean for the first time after her Dean, Tepper School of Business is the conduit through which this diverse academic knowledge flows, embodied by the the future, not only what happened in the past,” Bajeux-Besnainou says. “It pioneers a appointment. “She asked me about the role of the Business Board, what the other CMU new $201 million David A. Tepper Quadrangle new way of teaching and addressing schools needed, and what I think should be (Dammon’s legacy). The state-of-the-art business problems.” on her priority list.” teaching facilities connect all seven campus colleges and reimagine the purpose of a business school. *** I t was not exactly a warm welcome. Those who were involved in hiring Isabelle Bajeux-Besnainou was on the “I don’t think of Bajeux-Besnainou recall being endeared by long drive from Montreal to Pittsburgh, her balance of confidence and humility. Her to become the 10th Dean of the business as a siloed inclusive style of “servant leadership” made her an instant favorite with the faculty, who Tepper School of Business, when she was discipline,” says praise her empathy, listening, persuasion, struck by a visual reminder of what would become the toughest test of her tenure to Bajeux-Besnainou. and foresight. date. The closed border between Canada and the U.S. underscores the challenges “To solve problems, “She recognizes that — alone — she is not of the coronavirus pandemic and resulting you need to going to make anything happen,” says economic fallout. Anita Williams Woolley, Associate Professor build bridges of Organizational Behavior and Theory, and However, Bajeux-Besnainou, an academic between academic co-chair of the search committee. “She is committed to the idea of building a vision lifer, relishes the trials to come. She joined the Tepper School from McGill University’s disciplines. Because for the future together with the faculty. That quickly made her the frontrunner.” Desautels Faculty of Management on otherwise business Oct. 15 (taking over from Robert Dammon) and believes the business school is just doesn’t work. strategically positioned to succeed in There is no other cmu.edu/tepper the current age of upheaval. way to reinvent business in a post- COVID-19 world.” 11
COVER STORY DEAN ISABELLE BAJEUX-BESNAINOU WINDS OF CHANGE Jim Rohr, Chairman of the Board of After 21 years at George Washington, she study method of teaching that has among our professors, that does not bode Yet the closure of campuses nationwide in Trustees of Carnegie Mellon, highlights was headhunted for the dean’s job at McGill, underpinned graduate business education well with prospective students. We need to the spring, including Carnegie Mellon, and Bajeux-Besnainou’s strong track record as joining in 2015. She would spend five years for decades. “I would not say the case be incredibly supportive in making sure that coronavirus restrictions on their reopening “There is a huge effort an innovator. “She invented a number of new in Montreal raising research excellence, method is not useful, but it only looks at when we hire more diverse faculty, we offer have forced more investment in technology we have to make in programs when she was at McGill, and her financial sustainability, and community the past,” she says. “With the current crisis, the support they need to be successful. It’s to keep classes running remotely. The Tepper ability to integrate other disciplines into a impact through experiential and there is no blueprint about how to handle about intentionality.” School’s experience with its long-established communicating to business school is extremely important,” interdisciplinary learning. She also a pandemic. We need to invent different Part-Time Online Hybrid MBA meant the the business world he says. oversaw the expansion of teaching methods to solve business problems.” Change is required in the curriculum itself, transition for faculty was relatively smooth. facilities at the business school. she adds, noting that relatively few case and to prospective “We are a very forward-looking institution, Meanwhile, the standout success of studies feature a black or other minority And Bajeux-Besnainou expects online uniquely positioned with a focus on AI, Perhaps the crowning achievement of her specialized master’s programs across ethnic protagonist — a problem that is not learning to proliferate even after the students everywhere robotics, and big data. For Isabelle to be tenure, though, was the creation of the subject areas has convinced her that the unique to the Tepper School. pandemic. Yet the coronavirus has also that we have the able to incorporate these developments, so Bensadoun School of Retail Management MBA, long the flagship graduate business highlighted a craving for human interaction. crucial to the future of business, into various in collaboration with Circle K, the Canadian degree, will be diminished in prominence in “I have never thought that 100 percent online right positioning and management courses, would be terrific for convenience store. This is in addition to a the years ahead. “We need to ensure the programs are the way to go,” she says. strengths. I want the our students.” Retail Innovation Lab where students work with employers to define the future of retail. “In no way do I think the MBA is dead, but it professors are teaching “Teaching on these courses can be world to know that *** will become a slimmer market — it already about why diversity frustrating because you feel like you don’t Tepper is the business Former colleagues describe her as has become one, with some schools closing know the students well enough. The hybrid Born and raised in Paris, Bajeux-Besnainou highly imaginative and collaborative. their programs,” she says. “I believe there matters and how you version is a very powerful model as it school of the future.” Mark Michaud, Director of Administration will be more balance between MBAs and provides students with flexibility, but also the attended the École Normale Supérieure, at McGill’s Desautels Faculty of Management, specialist master’s degrees, which are improve businesses opportunity to network in person and have one of the most selective and prestigious graduate schools in France. She went on says, “She liked to solicit ideas. She was becoming very important and in ever higher and society when you a stronger sense of community.” forward-looking, whether it was designing demand. We will need to think carefully to earn a doctorate in mathematics from new programs or infrastructure. She was about this balance at Tepper.” bring diverse points Bajeux-Besnainou’s colleagues are hoping Université Paris-Dauphine-PSL, writing her thesis on applying mathematical models to fearless, never backed down, but yet was of view to problem- she will innovate at the Tepper School, which very warm. She always gave people the Like other deans across America, she is primed for continued success with its financial markets. opportunity to speak up. Her door was pledges to renew her institution’s focus solving,” says Bajeux- new building, its technology expertise, and From there, she was hired by France’s ESSEC always open.” on racial justice following the Black Lives Besnainou. “It’s not just its world-leading, online delivery capacity. Matter protests that erupted in response to “Isabelle’s job is to put all these ingredients Business School as a finance professor. After four years, she moved to New Jersey Liette Lapointe, Vice-Dean of Programs the police killing of George Floyd. Diversity about social justice. together and take us to the next level. I don’t at Desautels, says that Bajeux-Besnainou and inclusion have always been important know what that will look like, but boy am I in the U.S. with her husband and young son is one of the most driven people she has to Bajeux-Besnainou, who is one of Yes, that is crucial, excited to find out,” says Pierce. (“it was as close to New York as we could afford”), and worked as a visiting professor ever worked with. “She has tons of ideas relatively few female deans of top business but diversity is better and is very energetic. I know she has schools. “I’ve always been in a heavily male “The education landscape is changing so in Montreal. After having her second child grand ambitions and I’m sure she will push dominated environment,” she says, adding for both society quickly that there are many opportunities (she has three kids now) the family moved to Washington, D.C., where Bajeux-Besnainou forwards tons of new projects at the Tepper that she was the only woman in the and business.” for us to do something different. I believe School. They are lucky to have her.” finance department when she joined students want institutions that don’t just landed a job at George Washington George Washington. maintain the status quo, but are making University’s School of Business. Henry Mintzberg, a professor in the business education more relevant.” Desautels Faculty of Management, adds: Diversity and inclusion have long been Passionate about research and teaching, Tepper School of Business | Carnegie Mellon University “I found Isabelle to be very supportive and priorities at the Tepper School, giving Bajeux- *** True to form, Bajeux-Besnainou says that she she became Chair of the Finance very helpful with my sometimes challenging Besnainou a solid foundation to build on. will not impose her vision. “During the first Department. After discovering a love of requests. Managing a management school, “This is definitely a huge challenge,” she Looking ahead, one priority and challenge month as a dean, it’s incredibly important to leadership, she became Associate Dean with so many professors who think they says. “I think it’s incredibly important too. will be to continue to draw international listen and to learn, not to rush into changes,” for Undergraduate Programs. One key know so much about management, is no There’s an awakening right now in the U.S., students to the Tepper School amid a she says. “You need to grasp the aspiration achievement was reforming the bachelor’s easy task. Isabelle pulled it off.” and we need to take a very proactive, not clampdown on immigration in the U.S., as of all the constituents — professors, staff, degree in business administration, making reactive, approach to effect significant well as travel restrictions around the world students, alumni. Everyone has been it compulsory for students to select a positive change. The good thing is that and the temporary closure of embassies incredibly generous with their time.” double major outside the business school. *** there is recognition from the whole Tepper that issue visas. “The strength of the U.S. “Wall Street came to Washington to hire my community that this issue needs to has been and always will be thanks to Long-term, her goal is to raise awareness of students because they had a breadth and Outlining her vision for the future of business be addressed.” immigration, and in particular the ability the unique strengths of the Tepper School cmu.edu/tepper depth of knowledge, and could broaden education, Bajeux-Besnainou says she’s keen to bring top brains from so many different that drew her south from Montreal. the horizons of the banks,” she says. to develop closer links with industry so that She spotlights the dearth of black faculty at countries. I am quite optimistic this flow of students at the Tepper School develop skills the business school as being one of the key talent will continue after COVID-19,” says that make them ready for the job market. challenges. “If there is very little diversity Bajeux-Besnainou. She envisions a pivot away from the case Isabelle Bajeux-Besnainou, 10th Dean of Carnegie Mellon 12 University’s Tepper School of Business 13
VP A PRECISE V E R S AT I L E PAT H F I N D E R // A M I T S AC H D E V ( B S I M 19 9 0) BY NICHOLAS DUCASSI READ MORE @TEPPER DIGITAL MAGAZINE DYSSEY “I WANT THE COUNTRY THAT ELIMINATED POLIO AND MAPPED THE HUMAN GENOME TO LEAD A NEW ERA OF MEDICINE ... TO BRING THE COUNTRY CLOSER TO CURING DISEASES For Tepper alumnus and current Vertex EVP and Chief Patient Officer Amit Sachdev, the State of the Union represented a highlight of nearly a decade of tireless work. Having helped shepherd the Boston-based company to multiple breakthrough medical treatments, ten-fold growth, and R&D sites and offices I REALIZED PRETTY QUICKLY I WANTED TO DO SOMETHING THAT I FELT MORE PURPOSEFUL ABOUT — SOMETHING LESS ABOUT INVESTING AND MORE ABOUT PUBLIC LIKE CANCER AND DIABETES,” PROCLAIMED across four continents, the presidential mention further validated his decision to join Vertex when the company had just one office, POLICY AND HELPING IN PRESIDENT OBAMA IN HIS 2015 STATE OF THE no commercial operations, and no profit. OTHER WAYS. UNION ADDRESS. As Obama announced the launch of a new precision medicine initiative, the Capitol building erupted in “Precision medicine,” also known as “personalized medicine,” applause. 27-year-old cystic fibrosis patient Bill Elder, a guest that targets a disease’s genetic roots to modify the course of a disease night of First Lady Michelle Obama, listened live as the president or even prevent it. “That’s what Vertex does,” says Sachdev. “We explained the catalyst: “In some patients with cystic fibrosis,” a use different approaches — small molecules, cell therapies, gene rare, life-threatening genetic lung disease, “this approach has therapies — to create innovative, transformative medicine for reversed a disease once thought unstoppable.” serious diseases.” Tepper School of Business | Carnegie Mellon University That approach is Kalydeco, a breakthrough treatment developed But the journey from research to market can be decades-long, by Vertex Pharmaceuticals that targets the genetic roots of the laden with setbacks, and require serial rounds of massive financial disease, earning it the distinction from Forbes as “The Most investment. Sachdev’s odyssey from finance and data analysis Important New Drug Of 2012” and winning the First Annual Forbes classes at Carnegie Mellon to helping bring hepatitis C, cystic Breakthrough Drug Award for “dramatically improving the lives fibrosis, and hopefully Type 1 diabetes and sickle cell disease of patients and conquering a scientific challenge that had vexed treatments to the world was similarly winding, carrying him researchers for decades.” over a million miles across numerous international borders with stopovers at law school, Wall Street, and Capitol Hill. Over the last “I’m so lucky to be a living, breathing example of how precision two years, this has led to the creation of a new MBA track in health medicine can work,” Elder told the Cystic Fibrosis Foundation care at the Tepper School of Business. shortly after the State of the Union. “I started taking a cmu.edu/tepper breakthrough treatment for cystic fibrosis a few years ago, and it has changed my life. This new treatment is allowing me to pursue my dreams. Without Kalydeco, I know I would get sick a lot more Amit Sachdev (BSIM 1990) EVP and Chief Patient Officer often, but since taking the drug, I haven’t had a flare-up.” Vertex Pharmaceuticals 14 15
VP V ER S ATILE PATHFINDER A M I T S AC H D E V ( B S I M 19 9 0) TEPPER’S NATURE MEETS NURTURE As a child, Sachdev spent countless hours medicines sent to Africa, further sharpened his skills. “I was problem-solving from the number of patients who were diagnosed. Within two years, Sachdev also led the While it was initially approved to treat around 4 percent of CF patients, Vertex exposure to different types of problems and risks, but I still apply the same set of skills CURRICULUM inside the science labs at Louisiana State time I walked in to the time I left,” says opening of Vertex’s first ex-U.S. offices, has continued to develop Kalydeco since its I learned at Tepper to develop solutions to GAVE ME University, where his parents conducted research as chemistry and botany Sachdev. “Problem solving, data analysis, and assessing and managing risk are what including its commercial operations, sales, and marketing, in Canada. 2012 introduction to bring it to more eligible patients around the globe, including its those problems.” SKILLS AND professors. His genetic predisposition to I most took away from Tepper, and what I 2020 approval to treat babies as young as 4 And while Sachdev is working on bringing CAPABILITIES scientific curiosity met a love of computers, which he nurtured in his teens when he come back to every time.” But as Incivek advanced through clinical trials and awareness of hepatitis C months old. Today, Vertex has four approved medicines that have the potential to treat those medical therapies to the greater population, he’s also working hard on THAT I’VE began programming in Basic, Cobalt, A BLOSSOMING IN BIOTECH increased, so did the pressure on Vertex. up to 90 percent of CF patients in the future. bringing a special segment of the population APPLIED and Fortran. By 2004, a D.C. colleague called to gauge his interest in joining BIO, the life sciences “Leading up to Incivek’s approval, we had raised $4.5 billion in public markets without “We’re not done; there’s still 10 percent of patients that probably need some sort to Vertex: Tepper alumni. “We have as much need, want, and capability in innovative life THROUGHOUT Drawn to Carnegie Mellon for its prowess trade association that represents large generating a return for our shareholders. of gene therapy or cell therapy that we’re sciences as the Silicon Valley companies or MY WHOLE in technology, he had two predominant career goals in mind as he chose his major: companies like Celgene ($15B) and smaller venture-backed, innovative biotech It took us four years of working with the government, philanthropy, foundation, and working on,” cautions Sachdev. “But we feel good about what we’ve done.” Wall Street banks for those with analytical capabilities, data scientists, and the other CAREER. purposeful work and entrepreneurship. companies. “I wanted to experience the peer companies to set up a framework to skills that make Tepper graduates so special.” He decided to major in business: “Tepper’s private sector. I had done almost a decade enable the funding for treatment.” A DEEP COMMITMENT TO ITS PATIENTS curriculum gave me skills and capabilities in public service, which I found really But Vertex’s and its Chief Patient Officer’s To that end, he’s worked closely with Tepper that I’ve applied throughout my whole meaningful, but I didn’t know which part to After 15 years of development, Incivek hit missions have always been about more faculty and staff, including former Dean career,” says Sachdev. enter — hospitals, insurance, innovation. I the market in 2011, and by 2012, for the than just treating the disease: “We’re deeply Robert Dammon, to design and develop a thought going to BIO would give me a first time in its 23-year history, Vertex committed to the patients we serve, and our new MBA Health Care track in data analytics After graduating, he became an investment taste of that.” was profitable. “It was the fastest drug in responsibility goes beyond medicine. We that will include artificial intelligence for advisor for a large Wall Street brokerage the industry to reach a billion dollars in spend a lot of time thinking about what kind life sciences. house. It was short-lived: “I realized pretty At BIO, Sachdev met Joshua Boger, a doctor revenue,” says Sachdev. of outcomes patients have in terms of quality quickly I wanted to do something that I felt of organic chemistry who founded Vertex of life and how we can engage with them to The partnership between the Tepper School more purposeful about — something less in 1989 to pioneer work in structure-based It didn’t last. “It was also the fastest drug ensure we’re meeting their needs to make of Business Health Care Initiative and Vertex about investing and more about public drug design to treat serious diseases. By off the market. Within two years, it was sure their voice is heard.” will create an MBA curriculum for health care policy and helping in other ways.” 2007, nearly twenty years into its existence, replaced by a competitive product. After analytics and support the related research of the company had no commercial wing and Vertex went through a major investment That work also includes philanthropy — the faculty and doctoral students. He pivoted from business to Emory no profit. It had devoted all of its resources over many years to be the pioneer in Sachdev oversees The Vertex Foundation University’s law school and soon landed an to its founding mission. But it was on the hepatitis C treatment — to not win in the — to running programs that help patients “Our vision is to offer a comprehensive internship at the Department of Justice in verge of making history. strategy game of making sure you didn’t connect directly with the company. “We have deep dive into the study of health care Environmental Litigation and Defense. He just have the first treatment, but also the patients who show up on their vacations analytics,” says Soo-Haeng Cho, Professor eventually found his way to writing laws, Its antiviral treatment for hepatitis C, a best ... was tough.” and want to come meet our scientists,” so of Operations Management and Strategy running hearings, and negotiating bills in disease that killed more U.S. citizens in Sachdev built a program that allows patients at Tepper. The curriculum will draw from cybersecurity and critical infrastructure 2007 than HIV, was in clinical trials. Using THE VERTEX VORTEX to tour Vertex’s Boston labs, not unlike how Tepper School’s health care analytics courses as Senior Counsel for a senior a technique called protease-inhibition, “We had to pivot to a different disease Sachdev himself toured his parents’ labs and related courses in health care policies congressional committee. Vertex’s treatment, called Incivek, showed area. We had cystic fibrosis in mind, but the when he was a child. and AI applications to health care from the promise to stop the replication of the virus research was in an earlier stage, so we had Heinz School and the School of Computer Law school helped him get to Capitol Hill, that caused the disease. “If we succeeded, it to figure out how to stay alive through the Sachdev says he’s gained an extended family Science. Touching on everything from but Sachdev says the business negotiation would essentially be a cure. You would treat ‘divot’ period.” in the CF community. “When you have a rare hospital management, insurance policies, skills he learned in his undergraduate each patient once, and you would move disease, it’s a very small number of people, and patient records to medicine, diagnoses, Tepper School of Business | Carnegie Mellon University Mergers and Acquisitions class helped on,” says Sachdev. While rare — only around 35,000 Americans unlike the larger systemic diseases that and treatment, the track will culminate in him excel there: “I learned how to work are affected — cystic fibrosis is brutal to affect large swaths of the population. I know a capstone project course that exposes with other people and how to negotiate. But bringing that dream to fruition would those it afflicts: The life-threatening genetic them by name, know their family members, students to a real business problem in the Whether I was negotiating legislation in require help from someone with vast disease causes persistent lung infections know their communities ... that’s a privilege health care and life science industry. “The a bipartisan way or in a business experience in multiple sectors, including and limits the ability to breathe over time. that we have doing this work.” potential is limitless,” says Professor Cho. negotiation — the skills I learned at Tepper business, government, and policy — Vertex’s personalized treatment, known as really applied forward in my career.” someone like Sachdev. The opportunity to Kalydeco, was the first medicine to treat the On the horizon, Vertex has therapies in While the program is currently in simultaneously do good and help shape a underlying cause of the disease. various stages of research and development, development — like a cutting-edge Before long, he became Deputy company was the perfect marriage of the including potential treatments for Type 1 personalized medicine in a clinical trial — Commissioner of the Food and Drug career goals that pushed him to study Kalydeco exceeded expectations in its diabetes, beta thalassemia, and sickle cell the fall 2020 semester featured the first- Administration (FDA), which oversees at Tepper. clinical trials. “We were surprised. Not disease. Issues are sure to arise as they work ever Health Care concentration to build up cmu.edu/tepper nearly 25 percent of the U.S. consumer only could you get a modification in the to introduce them to the world, but Sachdev momentum and excitement for the track. economy. The breadth and diversity of his Sachdev came on as Vertex’s SVP of slope of the decline in lung function,” says his journey has equipped him to tackle “There’s no reason we shouldn’t connect workload from implementing key elements Corporate Affairs and Public Policy. He recalls Sachdev, “we also began to see any hiccups: “My career path — and it was these dots and help recruit more Tepper of the Medicare Modernization Act to led its market shaping, including raising improvement in lung function as well.” definitely a winding road, just gave me graduates to life sciences,” says Sachdev. ― ensuring the efficacy and safety of HIV awareness of hepatitis C and increasing the 16 17
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