Advisory Council Meeting

March 11, 2011

Welcome and Introductions

Current Advisory Council Members

Members’ Spouses

School Leadership

Recognitions

Tom Gilligan, Dean

Student Presentations

Center for Customer Insight and Marketing Solutions Marketing Fellows

Lamar Johnson

Dean’s Advisory Council Meeting

March 11, 2011

CCIMS Overview

PurposeCCIMS enables interaction between marketing faculty, students and industry to

enhance:

• Research opportunities (HEB, Walmart, Dell)

• Academic growth (Events/workshops, Marketing Fellows, Marketing Camp)

• Real world problem solving (practica, company requested projects)

• Student career opportunities (AMD, Marketing Case Competition)

Sponsors

Executive Level Sponsors

Small Business Sponsors

nFusion PURSUIT

Constituent Interdependencies for Success

Students

Faculty

IndustryCCIMS

WIN

WIN

WIN

WIN

WIN

Key Strategies

Create corporate sponsorship levels with

corresponding benefits

Align faculty to work with sponsor

companies on mutually interesting research

Improve alignment of marketing student

activities with faculty and sponsor

companies

Offer a broad range of opportunities for

constituent interaction, intellectual

challenge, and problem solving.

Table of Benefits

Executive AssociateSmall

Business

*Membership on Marketing Department Advisory Council (inputs into curriculum and

Marketing Department direction)

* * * Opportunity to collaborate on research with Marketing faculty

* * * Participation in MBA CCIMS Marketing Fellows classes/events

* Recognition on signage in McCombs (3rd floor hallway near faculty lounge)

* Invitation to submit two practicums each year

* * Invitation to submit one practicum each year

* * * Invitation to two events with faculty each year

* Participation in the “Marketing Challenge” at the “Gold Level”

* Participation in the “Marketing Challenge” at the “Silver Level”

* * * Recognition in CCIMS/Marketing Department communications

* * * Free registration to all CCIMS events

* * * Access to student resumes

* * * Receipt of CCIMS newsletter

* * Opportunity to submit articles for inclusion in newsletter

Marketing Fellows Class of 2012

Mission Statement

To cultivate and inspire a select group

of McCombs MBAs to be future

marketing leaders through exclusive

insights from today’s leading marketing

executives, strategic marketing

practicum projects, and guidance from

experienced, distinguished CCIMS and

McCombs faculty.

Cultivating and inspiring

future marketing leaders

Competitive, Multi-step Process:

•August: Brand Boot Camp

•September: Information Session

•September: Application Deadline

•Mid-October: Interviews

•Late October: Announce New Class

Application & Candidates

• Competitive, In-depth Application Process

• First year students who are:• Committed to pursuing a marketing career in any

industry

• Passionate about leadership and want to make a change

• Demonstrate strong, foundational marketing skills (curiosity, creativity, analytical, strong communication, etc.)

• Dedicated to evolving/building the program while enhancing the McCombs marketing curriculum as a whole

Fall 2011

• Marketing Fellows

restricted Speaker Series

class featuring top

leadership

• Live consulting projects

with participating companies

during class sessions

• Opportunities to participate

in national case

competitions, and network

Spring 2011

• 8-10 student-designed and

executed class sessions

• Group consulting projects;

guidance from faculty

members

• Opportunities to participate

in national case

competitions, network,

mentor undergrads

Program Structure

Curriculum

• Current class works with newly elected class to select topics for

study

• This year’s speakers came from Deloitte, Dr Pepper Snapple

Group, P&G & Walmart

• With help of CCIMS, new members organize class sessions for

2011:

• Focus on how companies are using new, innovative

tactics/strategies to gain marketing advantages

• Involve executives from external companies, internal faculty

and/or their research, local entrepreneurs/consultants

• Completely student run and managed: opportunity to learn

about the topics of your choosing

Michael Feferman, Marketing Director, C3

Dr. Donna Romea, Cultural Anthropologist, Frito-Lay

John Ellett, CEO, nFusion

Ken Landis, Sr. Partner, Deloitte

Erin Nelson, CMO, Bazzarvoice

Manish Mehta, VP Social Media, Dell

AG Lafley, retired CEO, P&G

Jim Trebilcock, EVP Marketing, Dr Pepper Snapple Group

Tony Rogers, VP Marketing, Walmart

Nigel Dessau, CMO, AMD

Rob DeMartini, CEO, New Balance

Presenters

Experiential Learning

Strategy

Creative

Execution

Leadership

Marketing Fellows are surveyed so projects that fit their personal interests can be identified

These projects are strategic in nature and not limited to research oriented projects; real-time business issues requiring action

Projects can turn into summer internships or ongoing “consulting” projects

Project Timeline

Data Analysis BenchmarkingDefine

StrategyDeliverable

Project Partners

Germany Pilot

Performance of initiative in terms of

Brand Health perceptual objective.

Drivers of Brand Health and Business

Performance.

Recommendations to the organization on how to optimize

our investment strategies going

forward.

Performance of initiative in

terms of Brand Health

perceptual objectives.

Performance in terms of Business

Performance metrics

(Revenue, Profitability,

New Accounts, Leads, etc.)

Cross business unit

impact

Drivers of Brand Health and Business Performance.

The Future

SUB-GOALS:Own a brand to provide real world brand

management experience

TARGETS:

• National multi-brand companies

• CCIMS sponsors

• Small, local brands

METHODS:

• Convince CCIMS sponsor company to assign

responsibility to Marketing Fellows to run a small

brand OR

• Encourage small companies to allow us to run a

brand

MEASUREMENT:Have 5 Marketing Fellows run a brand throughout

the year (in place of a practicum)

Long term goal: Provide a complete brand management experience

Brand Options to be Researched

BEVO

(Marketing Fellows

worked on branding in

2009)

LOCAL NON-

PROFIT

SMALL

LOCAL

BRAND

SMALL

BRAND OF

CCIMS CO.

Is This Even Possible?

Yes. Indiana (Kelley) MBAs are already

doing it:

Experiences for the students have included working with an advertising

agency, repositioning the brand to fit within the overall Scotts portfolio of plant

foods, writing market research briefs, managing a cost reduction program

and, together with the Scotts sales team, developing trade marketing

programs for major retailers such as Wal-Mart, Lowe's and Home Depot.

CCIMS Interaction with Fellows

Provide funds for activities

Schedule high profile speakers (both

semesters)

Engage Companies for

Praticums/Projects

Enable field trips

Enable engagement with faculty and

sponsors at CCIMS events

Assist with promotion/publicity

CCIMS/Fellows Partnership

• Win/Win

• Sponsors get first priority with Fellows

• Other Companies are welcome, with priority

being:

• Companies already recruiting McCombs

students, but not CCIMS sponsors

• Companies who are POTENTIAL customers

for McCombs students

• Local companies who are potential small

business sponsors

Together

Making a stronger

McCombs!

Break – 15 minutes

Breakout sessions begin at 10:00:

Business Honors Program: Building a Community of Leaders

(Salon D)

Accounting: An Insider’s Look at the #1 Program in the Country

(Salon E)

CIBER: A Student’s Passport to a Global Experience

(Tom and Cinda Hicks Room #301)

Dean’s Update

Tom Gilligan, Dean

Student IndebtednessAmounts Borrowed at UT Austin

Undergraduate StudentsMay 2010 Graduating Class by College or School

College or School

Degree

Recipients

Who

Borrowed

Average

Amount

Borrowed

College

Degree

Recipients

Who

Borrowed

Average

Amount

Borrowed

Architecture 13 (32) $25,392 Geosciences 4 (11) $44,361

Business 223 (773) $23,566 Liberal Arts 927 (1,759) $24,080

Communications 362 (766) $23,958 Natural Sciences 443 (876) $25,990

Education 133 (255) $25,967 Nursing 51 (81) $23,969

Engineering 224 (588) $24,361 Social Work 24 (43) $23,645

Fine Arts 93 (180) $23,380

Average debt of UT seniors (in 2009) - $21,363

Average debt of Texas undergraduates - $20,015 (58%)

Average debt of National undergraduates - $24,000

Amounts Borrowed at UT Austin

Graduate and Professional StudentsMay 2010 Graduating Class by College or School

College or School

Degree

Recipients

Who

Borrowed

Average

Amount

Borrowed

College

Degree

Recipients

Who

Borrowed

Average

Amount

Borrowed

Graduate Students

Architecture 37 (71) $50,832 Information Sciences 42 (49) $32,565

Business 297 (586) $57,250 Liberal Arts 92 (137) $28,291

Communications 63 (97) $52,440 Natural Sciences 28 (62) $30,708

Education 76 (79) $42,580 Nursing 23 (29) $54,254

Engineering 51 (192) $31,160 Public Affairs 46 (99) $36,140

Fine Arts 95 (108) $36,521 Pharmacy 2 (3) $20,976

Geosciences 8 (17) $16,480 Social Work 93 (110) $43,384

Professional Students

Law 289 (370) $80,235 Pharmacy 104 (117) $63,521

Student Indebtedness

National average debt

MBAs - $31,927 Master’s - $31,031 Professional - $87,308

Student Indebtedness

What’s included

100% of Federal and State loans (Perkins, NDL,

etc.)

100% of “certified-private” loans

What’s not included

Uncertified loans

Game changers

71% of Federal and State loan money is “on the

block”

Accreditation Association to Advance Collegiate Schools of

Business (AACSB)

Reaccredited every 5 years (February 2011)

Business and accounting programs are accredited separately

Visiting Committee

Business Robert Bruner, University of Virginia, Darden

Christine Poon, Ohio State University

Accounting Joe Fisher, Indiana University

Peter Wolnizer, University of Sydney

The accreditation of both the business school and the

accounting programs was unconditionally extended for an

additional five years

Accreditation Positives

Accounting program and faculty

Students/selectivity

Faculty productivity

Strong support for and alignment behind strategic

plan

Good portfolio of degree programs

Good connection to University

Morale of students is good

Trends in curriculum development are good

New department makes sense

Faculty Merit Review Process is “best in practices”

Accreditation

Concerns

Funding and autonomy

Faculty turnover (demographics and competition)

Facilities

Assurance of learning

Mission/strategy – curriculum development

Reporting and cadence

Balance in Merit Review Process

Intellectual contributions, teaching, service

Alternative career paths for faculty

Non-tenure track and research inactive faculty

Budgetary Environment Approximately $2M cut out of approximately

$95M budget

Effect

Last year, reduction in staff of 22 (roughly 7%, ~$1M

and 10% reduction in PhD funding)

Planned reductions (additional $1.9M)

Faculty (43% of the planned reduction)

Operations, equipment and technical subscriptions (30%)

Faculty travel (13%)

Teaching assistants and student workers (3%)

Programs & activities (2%)

Additional staff salaries & wages (2%)

Other (5%)

Financial Performance – AT&T EECC

Opening-2008/09 2009/10 YTD 2010/11

(first 4 months)

Total Revenues $18,190,056 $22,016,434 $7,951,709

Net Profit (Loss) ($3,725,300) $829,000 $430,000

Support UT/McCombs Executive

Education

Partnership with Athletics Department

Strategic Initiatives Energy – Energy Management and Innovation Center

3/24 – Symposium: The Economics of Electricity

Generation

5/5 - Media Launch of the UT Energy Poll, Washington

D.C.

Entrepreneurship – Texas Venture Labs

50 students, 20 teams

8 teams have received funding

Health Care Management

4/21-22 – Symposium: Innovation in Health Care Delivery

Systems

Business, Government and Society

Deloitte gift

Recruiting strategy

Facilities Master Plan

Architects preparing final report

Preparing financial models for

President’s review

Next step

Proposal to Board of Regents (tentatively in

August)

Considerations

Land acquisition

Contingencies

Questions, comments, discussion?

Dates to Remember…

Fall 2011

October 27, 2011 – New Member Orientation

October 28, 2011 – Council Meeting, Spouse

Program and Hall of Fame

October 29, 2011 – Dean’s Pre-Game Reception

Spring 2012

March 8, 2012 – Advisory Council Dinner

March 9, 2012 – Council Meeting and Spouse

Program

Thank you!