2013 Report to Investors

HIGHLIGHTS 2013

At the Wisconsin School of Business, it was a year of forward momentum, building on successful first steps.

2013 HIGHLIGHTS WE ARE PROUD TO SHARE:

• We began the process of expanding the BBA class by 33 percent, growing the sophomore class from 600 to 800 and the freshman class from 40 to 60.

• Professor Randy Wright offered our first massive open online course (MOOC) on Coursera.

• In their first year participating in our commencement campaign, 100 percent of our Master’s in Accounting (MAcc) graduates pledged a gift to the school.

• We closed the first wave of the Innovation Fund investments, exceeding our target of $5 million.

• Our Corporate Champions program launched with two corporate pilots, engaging more than 300 alumni.

We offer our Report to Investors as an overview of the school’s achievements and progress in 2013.

2013: A YEAR OF EXPANSION

bus.wisc.edu

2013

MAcc MASTERS OF ACCOUNTANCY PROGRAMS

UNDE

RGRA

DUAT

E 2013 marked the beginning of the Compass™ program, with the aim of helping students create a clear path toward success at the Wisconsin School of Business and beyond. Focusing on academic, career, and personal development, Associate Dean of Undergraduate Programs Joann Peck, works with a team of staff coaches and student facilitators to bring this unique experience to all first-year students. The program is a collaboration of 53 undergraduate facilitators, five MBA graders, 17 BBA staff coaches with help from multiple Wisconsin School of Business units and other campus departments.

INCOMING CLASS 2013 2012

Number of applicants 1,375 1,304

Percent admitted 60.1% 50.4%

Percent yield 99% 98%

Median GPA 3.51 3.61

Class size 819 644

Percent female 41% 45%

Percent minority 7.1% 7.4%

Percent international 14.6% 12%

Percent Wisconsin resident 62% 52%

GRADUATING CLASS 2013 2012

Class size 635 701

Percent placed at graduation 86% 84%

Median base salary $52,000 $52,000

Median signing bonus $5,000 $4,000

Percent receiving bonus 38.8% 33.7%

Percent with international experience (travel)

33% 35%

Percent international 14.1% 14.1%

Percent Wisconsin resident 52.7% 52.8%

Percent graduating with internship 73.0% 71.3%

FULL

-TIM

E M

BA

INCOMING CLASS 2013 2012 2011

Number of applicants 460 433 508

Percent admitted 33% 33% 30%

Percent yield 66% 65% 73%

Median GMAT 680 680 690

Median years of work experience

4.6 4.8 4.3

Class size 101 94 111

Percent female 33% 31% 24%

Percent minority 14% 17% 17%

Percent international 15% 18% 9%

Percent Wisconsin resident 42% 19% 43%

GRADUATING CLASS 2013 2012 2011

Class size 110 117 116

Percent placed within three months of graduation

85.0% 86.0% 91.0%

Median base salary $97,250 $93,000 $94,000

Median signing bonus $20,000 $18,520 $20,000

Percent receiving bonus 76.0% 76.0% 77.0%

Percent salary increase 78.0% 59.0% 65.2%

In 2013, the full-time MBA program put an added emphasis on soft skills by creating a Peer Coaching program, assigning second-year students to mentor teams of first-semester students. Every incoming student was assigned a communication coach and required to have at least one coaching session and one team presentation during the fall semester.

More than 14,000 alumni of the Wisconsin School of Business are on LinkedIn. Have you connected with them? You’re probably familiar with using LinkedIn as a résumé posting service, but it’s so much more—a powerful network that can help you build your personal brand and forge connections to create strategic partnerships, secure interviews, and communicate with others to find solutions that enhance your workplace.

2013 2012100 students graduated 104 students graduated

3.58 median incoming GPA 3.62 median incoming GPA

98% placement 96% placement

$53,679 average base salary $53,088 average base salary

LIFE

LON

G CO

NN

ECTI

ON

S

Student-led Commencement Campaigns encourage giving back among MBA, MAcc, and BBA students. Through gifts that range from $20 to $4,000, the school’s newest graduates shape a culture of giving and commit to continuing the tradition of a strong, supportive alumni network. In 2013, a generous donor matched all student pledges. Together, the campaign total exceeded $240,000.

STUDENT COMMENCEMENT CAMPAIGNS

To learn more about the Bachelor of Business Administration program, visit bus.wisc.edu/bba.

SIZE OF MAJORS 2013 2012

Accounting 438 450

Actuarial Science 179 181

Finance, Investment, and Banking

659 635

Information Systems 30 33

International Business 170 139

Management and Human Resources

417 380

Marketing 547 484

Operations and Technology Management

55 33

Real Estate and Urban Land Economics

145 136

Risk Management and Insurance

196 231

Undeclared 77 3

2013 2012

To learn more about the Masters of Accountancy

programs, visit bus.wisc .edu/degrees-programs/msmacc.

Expanded reach to the corporate community

and alumni

In 2013, we increased alumni

engagement in the recruiting process and

connected student organizations with the corporate community.

We increased the number of corporations involved in applied learning, mock

interviews, and case competition sponsorships.

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

BBA

MBA

MAcc

52%

100%

92%

Number of Students Pledged

333

100100

$27,299Amount Pledged

$20,305

$107,585

80.4%

from 2012

Up

13.6%

from 2012

Up

1ST

YEAR

Graduates of the MAcc program ranked in the Top 10 for first-time pass rates on the CPA exam. Additionally, two recent graduates are currently working at the Financial Accounting Standards Board for a one-year post-graduate technical internship—only 10–15 students nationwide are chosen each year for this prestigious post.

“LINKEDIN ALLOWS ME TO BUILD AND MAINTAIN PROFESSIONAL CONNECTIONS. IT’S AN EXCELLENT TOOL TO FIND OTHERS IN MY FIELD.”

MO

RE T

HA

N

GROW YOUR NETWORKConnect with alumni from the Wisconsin School of Business to build your professional network and interact with alumni who are already in the organizations you’re hoping to join.

Create or update your LinkedIn profile. Make sure you link your degree to the University of Wisconsin–Madison School of Business.

Visit the University of Wisconsin–Madison and the Wisconsin School of Business pages on LinkedIn. Use the search filters to connect with alumni who can help you reach your professional goals.

Join the Wisconsin Business Alumni group to begin a dialogue with more than 7,000 fellow WSB alumni. Discuss hot topics, view exclusive job postings, and more.

32%

23%

15%

Finance

Sales

Marketing

Operations

Entrepreneurship

14%

16%

TOP FIVE industries for our

alumni on LinkedIn

JOIN US ON LINKEDIN TO PARTNER WITH THEM TODAY.Total number of business alumni on LinkedIn

Percent of Class Participation

Campaign Statistics

30th

18th

2013 FAST FACTS

FACU

LTY In 2013, the Wisconsin School of Business hired 11 new faculty members in five departments:

Accounting, Actuarial Science and Risk Management, Marketing, Operations and Information Management, and Real Estate and Urban Land Development. Their contributions to our research excellence, infused into our classroom experiences, will shape the future of business education and reaffirm our commitment to research and premium learning experiences.

PH.D

.

2013 graduates were placed at many peer institutions across the nation, including Michigan State University, Georgia State University, the University of Kansas, and the University of Massachusetts. In addition, 17 students earned teaching awards in 2013. To keep the tradition of success strong, the program was proud to introduce substantial improvements in the admission and orientation processes.

PROGRAM PROFILE 2013 2012 2011




Number of students 51 53 51




Number of graduates 9 4 10

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

FACULTY STATS 2013 2012 2011

Number of full-time faculty equivalents 76 69 71

Number of editorial positions 114 109 110

Number of academic articles published 48 59 66

FIN

ANCI

AL M

ETRI

CS

An increased allocation from the university budget is allowing us to increase the size of our undergraduate program from 1,700 to 2,500 students. Your philanthropic investments will now touch the lives of even more students and help us increase the pace of growth of the Business Badger Community.

YOUR INVESTMENT MATTERSPhilanthropy touches every corner of the school. In 2013, philanthropy funded more than 60 faculty, 35 staff, and hundreds of students. Together, they are creating knowledge and taking it to the world. You are making a difference. Thank you.

GIFT DATA 2013 2012 2011

Number of living alumni 40,608 39,985 39,185

Number of alumni donors 3,138 3,179 3,462

Total number of donors 4,178 4,160 4,432

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

3,729 3,929 4,167

Total dollars received (in millions) $14 $14.6 $12.8

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

$1.4 $1.6 $1.3

Endowment market value (in millions) $170.1* $154.3 $146.7

* Total as of 9/30/2013

In 2013, the school allocated nearly $5 million of philanthropy to support faculty, as competition for outstanding researchers and teachers continued to grow. Together, the many donors who contributed to the faculty excellence

funds, our named chairs, and the Wisconsin Naming Gift provided the critical funding to address these market pressures.

PHILANTHROPY SUPPORTS A STRONG FACULTY

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

bus.wisc.edu/update-investment.

UNDERGRADUATE Real EstateRanked 1st in the U.S. by U.S. News & World Report 9/11/2013

Risk Management and Insurance Ranked 2nd in the U.S. by U.S. News & World Report 9/11/2013

Ranked 16th most beautiful Business school in the world by Top Management Degrees 2013

Ranked 18th in the U.S. (8th among public universities) by U.S. News & World Report 9/11/2013

Ranked 32nd in U.S. by BusinessWeek 2013

FULL-TIME MBA Ranked 30th in the U.S. by Poets & Quants 2013

Ranked 34th in the U.S. (15th among public universities) by BusinessWeek 2013

Ranked 34th in the U.S. (15th among public universities) by U.S. News & World Report 9/11/2013

EVENING MBA Ranked 19th in the U.S. by U.S. News & World Report 2013

16th

34th

34th

19th

32nd

2nd

1st

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

RECOGNIZED IN 2013

Female students in the 2013 Ph.D. program

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

51%

Business alumni who give to the University of

Wisconsin–Madison

6,119

Business alumni who give to the Wisconsin School

of Business

3,138from Faculty Exellence Fund700K

from Endowed Chairs1.6M

from Wisconsin Naming Gift1.8M

54%21%

5%

20%2013

University budget allocation*

Transfers from UW Foundation (Other)

School program revenues

Transfers from UW Foundation (Naming Gift)

38%

32%

18% 2013

Faculty salaries

Staff salaries

Services and supplies (Operations)

Student support

12%

*Represents our portion of state support and tuition combined

1,990 Undergraduate Business

Students

27 Masters of Science

(ASAP, GMAcc, GREM)

193 Full-Time MBA Students

214 Executive and Evening

MBA Students

51Ph.D. Students

632 Certificates & Capstones

(Business, Entrepreneurship, Strategic Innovation, Actuarial Science)

Serving more than

3,950Non-Business Majors Taking

Business Classes

3,778Professional Development Students

More than

10,200Students Served

Serving more than

600Corporate Partners

More than

40,600Alumni (Living)

2013 2012 2011

Number of courses 129 134 129

Number of students 2,054 2,247 2,102

Customer satisfaction (on 7-pt. scale)

6.6 6.6 6.6

EVEN

ING

& EX

ECUT

IVE

MBA

s

EXECUTIVE MBAExpanded career management services brought new opportunities to more than 90 percent of Executive MBA students. Services include one-on-one coaching, workshops, videos and webinars, networking, and guest speakers. These services have equipped students with the skills and techniques to successfully manage and market their personal brands and careers for a lifetime.

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

CENTER FOR PROFESSIONAL & EXECUTIVE DEVELOPMENTIn 2013, Executive Education changed its name to the Center for Professional and Executive Development (CPED) to better reflect the center’s comprehensive training. Current center offerings include courses for individuals, helping professionals move their careers forward, and custom programs for organizations to help them grow and succeed. Additionally, the center’s Family Business Center helps family businesses transition leadership to the next generation, and the Small Business Development Center focuses on giving start-ups the tools and strategies they need to succeed.

To learn more about Executive Education, visit bus.wisc.edu/cped.





Class size 34 36 38

Median years of work experience 14 16 14






Graduating class size 37 38 27

Median salary at start $92,000 $85,000 $80,500

Students receiving promotion during program

65% 55% 56%

Median salary at graduation $120,000 $110,000 $105,000

EVENING MBAIn August 2013, the incoming Class of 2016 experienced an enhanced student orientation that emphasized the KDBIN™ learning outcomes of Knowing, Doing, Being, Inspiring, and Networking. Through these outcomes, students gain the necessary knowledge, skills, and behaviors in areas such as career development, global learning, and organizational socialization, preparing them to become successful and engaged alumni.





Class size 50 49 47

Median years of work experience

5 5.25 7.25






Graduating class size 52 63 58

Median salary at start $55,000 $60,000 $60,100

Students receiving promotion during program

83% 52% 52%

Median salary at graduation $82,000 $75,000 $74,000

CURRICULUM GROWTH RESULTS IN SEVERAL KEY PROGRAMSThe center added and revamped key management and leadership programs to reflect its new emphasis on supporting professionals through common career transitions. Last year CPED introduced the five-day Transition to Manager Boot Camp. This program focuses on the transition from individual contributor to front-line manager.

In addition, the center revamped its long-running Leadership Beyond Management course to include topics particularly relevant to professionals in the middle of their careers, such as managing an inclusive workplace and various situational leadership tools. Later this year, the center will introduce its Transition to General Management program, a multiple-module, six-month exploration of the key skills needed to move successfully into senior general management roles.

These, along with other curriculum enhancements, pivot around the notion that formal education is best leveraged in those moments of career and organizational transitions. The mission of CPED is to support every participant and custom client through those transitions.

PRO

FESS

ION

AL D

EVEL

OPM

ENT

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 corporate partners that have built relationships with the school to recruit, engage with, and inspire students.

S.C. Johnson & Son, Inc. has established strong brand recognition among students in our MBA and BBA programs through participation in career fairs, informational events, on-campus recruitment, guest lectures, applied learning, student organizations, case competitions, and site visits, helping the company achieve its annual hiring outcomes.

Each spring, Kohl’s Department Stores, Accenture, and General Mills, Inc. join together to sponsor Ignite the Potential, a two-day event designed to inspire freshmen and sophomores to identify their personal and career goals and enhance their teamwork, leadership, and essential business skills.

The Center for Professional and Executive Development at The Fluno Center helped design and lead a ten-month learning experience for Dean Clinic and St. Mary’s Hospital that provided 30 physician leaders with the business acumen and leadership skills they needed to strategically navigate changes in the nation’s healthcare delivery and economic systems. Participants reported a new level of engagement in their roles and in organizational leadership. They overwhelmingly agreed that the program’s return on investment was significant.

NOTABLE CORPORATE PARTNERS

2013 2012 2011

Number of programs 79 71 64

Number of corporate customers

33 33 26

Customer satisfaction (on 7-pt. scale)

6.5 6.6 6.4

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

MEDIAN SALARY INCREASE AT GRADUATION

Evening MBA

Executive MBA

49%

30%

$55,000median salary at start

$92,000median salary at start

$82,000median salary at graduation

$120,000median salary at graduation

OPEN-ENROLLMENT COURSESThese cutting-edge courses help individuals solve specific, real-world workplace problems.

CUSTOM PROGRAMSThese practical, interactive learning sessions facilitate discussion, team exercises, and case studies tailored to the client’s needs.

17 NEW CUSTOMERS IN THE FIRST HALF OF 2014.

Custom Program Customers for the first six months of FY 2013

18Custom Program Customers

for the first six months of FY 2014

35RECRUIT & HIRE

INSPIRE

LEARN & DEVELOP

FY

FY

FY

FY

FY

FY

Documents

2013 Report to Investors