I am pleased to share with you the 2010 Annual Report for Harvard Business School. As you will see in the pages that follow, it was a better than anticipated year for the School. This resulted partly from belt-tightening efforts that trimmed our expenses substantially from the previous fiscal year, and partly from outstanding results in our Executive Education and Publishing groups, which managed strong contributions even in the face of significant industry-wide challenges. More than anything, though, this was the result of incredible foresight and leadership by the School’s ninth dean, Jay Light, who completed his tenure on June 30th. We all owe Jay a tremendous debt of gratitude for his stewardship of the School. He navigated a path for HBS that protected key priorities, from student fellowships to faculty research, while investing strategically in areas such as MBA Career & Professional Development. He rallied everyone in the community—staff, faculty, students, and alumni—to think and work creatively. And he pushed forward on important efforts such as our global initiative. As a result, I was able to step into the deanship confident not just in the School’s financial stability, but its overall strength. Jay was a remarkable leader during difficult times.
This year’s report has taken on a slightly different format. The School’s financials remain comprehensive and our Chief Financial Officer, Rick Melnick, provides insight into our economic model at a high level and expenses and revenues at a more detailed level. In the Highlights section, you’ll find an effort to bring meaningful data to life about our key activities, including our educational programs, Harvard Business Publishing, and the work of the faculty, as well as important ongoing work in the areas of sustainability, community engagement, and entrepreneurship, among others.
In each of these areas, 2010 brought with it new developments both large and small. In the MBA Program, for example, in addition to the January Term offerings you'll read about in the pages that follow, we welcomed our first cohort of 2+2 students to campus over the summer for an introduction to HBS and to each other. This is a remarkable group of individuals who were admitted to the MBA Program while finishing their undergraduate degrees; they will work for two years and then join us full-time. We also launched a new loan program for our international students—a crucial component of ensuring that we always are able to attract the best students to our campus, regardless of their need or country of origin—replacing a comparable program that was withdrawn during the economic crisis.
In our Doctoral Programs, we continued to increase the number of students we admit, as well as the support we provide to them, thanks to the generous gift of Hansjoerg Wyss. Even in a difficult job market the placements of our graduates remain strong, and in 2010 six went on to teaching positions at top-tier schools.
Executive Education demonstrated that its post-recession trajectory is firmly positive, with growth in both applications and enrollments and a rise in the number of program weeks. An important area of focus during 2010 was global programs—specifically, programs in China and Europe, with the former capitalizing on the new classroom space in the Harvard Center Shanghai. During the coming year we will add programs in India and Latin America to the portfolio, and our hope is to reach a steady state where at least a few dozen programs are offered in strategic regions around the world. We will, of course, maintain our commitment to our on-campus portfolio, and next year you’ll hear more about plans for Tata Hall, a new state-of-the-art facility encompassing participant living space, classrooms, and administrative offices that we anticipate will be completed in 2013.
Harvard Business Publishing has held steady in a landscape where its peers are struggling. Following significant upgrades to its technology platform, work to expand its global reach, and investments in its core products—including Harvard Business Review, the case collection, and Harvard ManageMentor—it is solidly positioned to meet future challenges.
Perhaps less visible, but still exciting, have been advancements in our efforts around sustainability. We launched an initiative on business and the environment to bring together faculty, students, staff, and alumni doing work in this increasingly important arena. And as part of the University’s efforts to reduce greenhouse gas emissions 30 percent from 2006 levels by 2016, we installed a 5,200 square-foot “green roof” on Shad Hall, and introduced a “Green Corps” of MBA students who promote sustainable living through peer-to-peer education.
This is but a small flavor of the entrepreneurial activity you'll encounter on the HBS campus on any given day or week. As I begin my tenure as Dean, I am excited by the work we are doing and the opportunities ahead of us, and eager to move forward on the priorities—innovation in our educational programs, intellectual ambition, international engagement, inclusion, and integration with Harvard—we have identified. We truly stand poised to enter a glorious second century of innovation for the School.
Dean of the Faculty