MBA Alumni Society

Meet and Recruit CBS’ Talented Full-time MBAs

Wed, 30 Jun 2010 11:17:52 +0200

Copenhagen Business School is proud to present the participants of the Full-time MBA Class 2009-2010 who will graduate mid August 2010.

As you will see in the CV book (see link below), the participants form an exceptionally diverse group: They represent 20 different nationalities and have work experience in areas such as consultancy, finance engineering, logistics, technology, architecture, law, media, marketing and communications. The candidates have nearly 7 years work experience on average from a broad range of industries in various functions.

All participants have been selected for the Full-time MBA Program due to their extraordinary credentials and academic performance, their intellectual capabilities and their professional talents.

If you or your company are looking to recruit MBA graduates this is a great opportunity - please contact candidates directly or Program Manager Michala Røder, phone 3815 3015, e-mail: mr.mba@cbs.dk.

For further information about the Full-time MBA Program, please visit the web-site www.cbs.dk/ftmba.

We hope to hear from you and encourage you to play an active role in supporting the 2010 Full-time MBA class transition to successful CBS MBA Alumni.

Chairman's update

Sun, 21 Feb 2010 21:20:41 +0100

Dear members

Winter is over us. Outside, on the market and in the boardrooms. Business initiatives are frozen as well as the waters surrounding Denmark. And this winter is tougher than we thought it would be. Our traditional sources of nutrition have been drained or at least reduced and we just have to reinvent the way we get our bread-and-butter just as the animals out there in the white and frozen scenery.

When meeting such challenges in business life, we appreciate our common background as CBS MBAs even more. We know how to analyse the market and our companies, how to deal with strategic issues and how to adapt to a changing environment. We have been trained to do so. Thanks to our educational background, it is easier for us to identify new business opportunities – and to take actions and turn the opportunities into accomplishments. And we are even better at doing that if we use our fantastic network in the CBS MBA Alumni Society to inspire each other to share the specific knowledge we have with each other. We are stronger when we stand together.

And so it is with our respected business school. CBS Executive has assessed that it will become stronger by merging with SIMI and thereby becoming the largest business school in Northern Europe. This merger will be to the benefit of the future students, but also all the graduated MBAs like ourselves. No doubt that an even stronger business school will also be to the benefit of the CBS MBA Alumni Society. We will have access to an even stronger faculty at the academic briefings and we will all benefit from the brand uplift this new market position will imply.

The merger also raises interesting questions for the CBS MBA Alumni Society. Should we then merge with the SIMI Alumni Association? And what will that imply for our members? The board strongly supports the merger of the schools as well as the merger of the alumni associations. However, we are still not sure how the future will be for members. A merger committee has been established with members from CBS, the SIMI Alumni Association and the CBS MBA Alumni Society with a view to decide what route to take. A preliminary result of this work will be presented at the Annual General Assembly on 26 March, and our members will have a chance to discuss these important issues with the board and to vote for the future that you find best for our Alumni Society. We hope to see many of you there – please book the date already now!

Jacob Therkelsen
Chairman

CBS MBA Alumni Society Newsletter for February 2010

Sun, 21 Feb 2010 21:24:35 +0100

Please use the link below, if you wish download and read the newsletter for February 2010.

MBA of the year 2009

Tue, 05 Jan 2010 22:34:53 +0100

See our video about the MBA of the year award 2009.

CBS MBA Alumni Society Newsletter for December 2009

Tue, 05 Jan 2010 22:06:21 +0100

Please use the link below, if you wish download and read the newsletter for December 2009.

CBS MBA Alumni Society Newsletter for October 2009

Tue, 05 Jan 2010 22:05:44 +0100

Please use the link below, if you wish download and read the newsletter for October 2009.

CBS’s MBA programme ranked 12th internationally

Thu, 24 Sep 2009 08:46:55 +0200

- Wall Street Journal has published a list of the world's best MBA programmes

CBS's full-time MBA programme has just been ranked 12th on a list of the best 1 year MBA programmes in the world.

It is the first time that Wall Street Journal ranks the 1 year MBA programmes. The ranking is based on evaluations by programme participants.

The flagship of business schools

- This is the ultimate sign that CBS has moved to the top level of business schools in the world. Only the best business schools run a full-time MBA programme and being one of the best is sensational. The full-time MBA is the flagship programme of business schools and spreads a golden haze over the whole school. The CBS management, faculty and staff should be congratulated on the outcome of long, dedicated efforts, says Christer Karlsson, CBS Executive Dean.

President Johan Roos is also pleased about the 12th place:

- There are hundreds of these programmes in the world, and since we compete with the world's best business schools, we are very happy about our placing. It confirms that we are creating value for the programme participants as well as the corporate sector, he says.

The first place was taken by the MBA programme at Instituto de Empresa in Madrid, while the MBA programmes of IMD in Switzerland and Cranfield School of Management in England were ranked 2nd and 3rd, respectively.

Read more
Read more about the ranking and see the complete list here
http://s.wsj.net/public/resources/documents/st_mbamainchart_20090910.html

Chairman’s update

Fri, 04 Sep 2009 13:57:19 +0200

Summer is slowly coming to an end and it is time for us to invite you to the coming season's interesting events. There will be both social events and very interesting business events on highly relevant topics - sustainability and turnaround/restructurings. All this before Xmas - see further details below.

In the Alumni Society Board we spent some time over the summer conducting a member survey, in order for us to get a better understanding of our members' needs and wishes. Some of the key findings were that our members look for more academic content in our events, and that they are happy with receiving newsletter by e-mail and not by ordinary mail. We will work hard to adjust our offers to fit the desires of our members, and you will continue to hear from us by e-mail.

Members who participated in the survey had the possibility to win a watch from Rosendahl. The lucky winners were René Steffensen and Soumitra Burman.

The main findings of the membership survey were:

Members are in general satisfied with Alumni Society arrangements, but the majority would like more academic arrangements (68%)
The majorityfinds, thatmembership fee price/value is not in balance (55%)
The majority finds, that the arrangements are adequately priced (68%)
Almost all respondents are satisfied with the quality and frequency of the communication (97%)
Almost all respondents prefer email correspondence and no additional communication by ordinary mail (94%)

As the survey shows, the majority of our members find the current membership fee is too high compared to the value. We appreciate this finding in the board and we are working on several possible ways to lower the membership fee - and to higher the value. However, it is important to note, that the membership fee is not decided by board, but by the members at the Annual General Assembly. We strongly encourage our members having comments to our membership fees, budget or activities to show up at the Annual General Assembly to influence such decisions. The next Annual General Assembly will take place on 26 March, 2010.

The membership survey has also brought us a lot of very useful comments to and suggestions for new activities - we thank you very much for that! Some of the suggestions have already resulted in activities this autumn, and others will be implemented during the winter and spring of 2010. We love to hear your comments, so please feel free to send us more at any time!

CBS MBA Alumni Society Newsletter for September 2009

Tue, 05 Jan 2010 22:05:02 +0100

Please use the link below, if you wish download and read the newsletter for September 2009.

Chairman’s update

Wed, 29 Apr 2009 11:35:21 +0200

The spring has come - the days are getting longer, the sun is shining more and the temperature is now close to comfortable - at least outside. In our offices and on the financial markets worldwide the climate is still very uncertain and indeed less comfortable. We hope that the markets will soon become stable so we can regain some of the dynamics we have had in the recent years’ business environments.

Until that happens, we have the opportunity to reevaluate our business plans and adjust the underlying assumptions that most likely are changed in the “new world”. The new set of assumptions will probably create a totally new landscape for us – and the strategies we execute should be revised accordingly. No doubt that a lot of wealth has been destroyed during the financial crises, but at the same time a lot of assets has become affordable to us, and a lot of new business development opportunities are arising. The forthcoming Executive Network Dinner on April 30th will have the aim to facilitate discussions regarding such new business opportunities, and the challenges we are facing when we at the same time are building new visions after several rounds of lay-offs. Don’t miss the opportunity to participate in these discussions, while having an exquisite dinner in company with your fellow MBA alumnies. You can sign-up through our website.

I hope that you will all enjoy the spring – inside as well as outside your offices.

Jacob Therkelsen
Chairman

CBS MBA Alumni Society Newsletter for April 2009

Wed, 29 Apr 2009 13:09:31 +0200

Please use the link below, if you wish download and read the newsletter for April 2009.

CBS MBA Alumni Society Annual Report 2008

Wed, 18 Mar 2009 15:16:17 +0100

To see the Annual Report 2008 in its entirety, please click on the download link below:

CBS MBA Alumni Society Newsletter for February 2009

Wed, 29 Apr 2009 11:34:20 +0200

Please use the link below, if you wish download and read the newsletter for February 2009.

Chairman’s update

Thu, 26 Feb 2009 09:58:48 +0100

2009 has now started. Many of you took the opportunity to celebrate that with each other at the CBS MBA Alumni New Years Lounge held at Burson-Marsteller on 23 January. I am sure that all of us there had a great time. Thanks to Maria for hosting this event.

With 2009 new challenges for our members and other business leaders have appeared. The financial crises we saw in the second half of 2008 has turned into a recession and almost all businesses have been and will be impacted even further by this. Many of us have been forced to reduce our workforce in order to adapt to the new economic environment. I am sure that all of us sense the uncertainty out there and do now appreciate – more than ever – the advice, the counseling and inspiration we can get from our fellow alumni members.

The CBS MBA Alumni Society would like to facilitate such advice, counseling and inspiration among our members at the next Executive Dinner which will take place on 30 April 2009. At this event you will have the chance to discuss and gain insights within five highly relevant leadership themes for the post crash economy. You can read more about the program for the evening and sign up by using the link in this newsletter and on our website.

Please also note that the time for the General Assembly is soon approaching. On 27 March you will have the chance to get an up-date on the strategy and financial position of our organization and you will have the possibility of impacting the future of the CBS MBA Alumni Society by voting for your personal favorite board members. Please also sign up for this event through our website.

I hope to see you at these events during the spring!

Jacob Therkelsen
Chairman

Offering to members

Wed, 04 Mar 2009 18:47:15 +0100

Each year, the CBS Fulltime MBA program runs MBA-level elective courses from April until July. Each elective comprises a week of lectures with CBS faculty as well as visiting faculty from abroad. Each elective concludes with an examination.

Keep abreast of hot business topics and get the opportunity of connecting with members of the CBS Alumni Society by signing up now. The electives being offered in 2009 include:

Corporate Governance (14-17 April 2009)
Managing Innovation (21-24 April 2009)
International Business (27 April – 1 May 2009)
Mergers & Acquisitions (4-8 May 2009)
Business Development (25-29 May 2009)
Design Management (2-5 June 2009)
International Negotiations (8-12 June 2009)
The Economic Consequences of the Financial Crisis (15-19 June 2009)
Corporate Social Responsibility (29 June – 3 July 2009)

Place: Copenhagen Business School, Dalgas Have Campus, Frederiksberg
Price: DKK 7.500 per elective

For more information, please contact Michala Røder at mr.executive@cbs.dk phone +45 3815 3015.
Registration: info.mba@cbs.dk

More information about content and program is also available on the Fulltime MBA website: http://www.cbs.dk/ftmba and in the file below.

CBS MBA Alumni Society Newsletter for January 2009

Thu, 12 Feb 2009 14:26:22 +0100

Please use the link below, if you wish download and read the newsletter for January 2009.

CBS MBA Alumni Society Newsletter for December 2008

Thu, 12 Feb 2009 14:25:24 +0100

Please use the link below, if you wish download and read the newsletter for December 2008.

CBS MBA Alumni Society Newsletter for October 2008

Thu, 12 Feb 2009 14:23:26 +0100

Please use the link below, if you wish download and read the newsletter for October 2008.

CBS MBA Alumni Society Newsletter for July 2008

Wed, 16 Jul 2008 22:23:09 +0200

Please use the link below, if you wish download and read the newsletter for July 2008.

General Assembly Announcement

Wed, 19 Mar 2008 21:21:52 +0100

Dear Fellow Alumni,
It is time for our ordinary General Assembly, which will be held on:

Friday 28 March 2008 at 16:30 – 18:00
CBS, Dalgas Have 15 (SØ089)
Frederiksberg

Use this opportunity to get influence on the Alumni Society’s work and activities and to network with your fellow alumni.

The Agenda is:

Election of Chairman for the General Assembly
Annual Report from the CBA MBA Alumni Society Chairman
Adoption of the Profit and Loss Accounts and Balance Sheet for 2007 and budget for 2008
Discussion of Proposals Submitted to the Board
Election of Board Members
Election of Auditors
Election of Auditor Substitute / Alternative Auditor
Miscellaneous

Election of Board Members

Candidates:

Members of the Board, who are up for election:

Jacob Therkelsen
Charlotte Fly Andersen
Maria Sennels
Anni Harazuk
Søren Ingerslev
Jens Blomgren

Members of the board, who are not up for election:

Christian Emborg
Mikkel Fälling

Members of the Board who would like to be re-elected:

Jacob Therkelsen
Charlotte Fly Andersen
Maria Sennels

The following wish to attend the Board:

Niels Pedersen
Troels Ottesen
Maud Transbøl

Annual Report from the CBA MBA Alumni Society Chairman

To see the Annual Report 2007 in its entirety, please click on the download link below.

Delicious tapas and great wine will be served at the General Assembly. Afterwards we will continue at Heidi’s Bier Bar, Vestergade 18A.

Please sign up here

CBS MBA Electives 2008

Wed, 19 Mar 2008 11:31:02 +0100

Each year, the CBS Full time MBA runs elective courses from April to August. Each elective comprises a week of lectures with CBS faculty and visiting faculty as well as guest speakers from Danish business life. The electives are meant to give the participants an opportunity to develop an in-depth understanding of a specific management topic.

We now offer the CBS MBA alumni to participate in these electives. Each elective ends with an examination which is optional to the MBA alumni. However, if you would like to receive a certificate of completion, you will be required to pass the exam. In 2008, you may choose to attend these electives:

Business Development
Corporate Governance
Corporate Social Responsibility
Design Management
International Business
International Negotiations
Managing Innovation
Mergers & Acquisitions

Download the file below and read more about fees and registration (pdf).

CBS MBA Alumni Society Newsletter for March 2008

Fri, 14 Mar 2008 13:35:46 +0100

Please use the link below, if you wish download and read the newsletter for March 2008.

MBA of the Year 2008

Wed, 20 Feb 2008 14:41:21 +0100

Again this year we want to celebrate success and motivate you to nominate fellow MBA alumni to the prestigious title ’MBA of the Year 2008’. We know that there there are a lot of success stories out there, so get to it and tell os about it.

The ’MBA of the Year’ awards honours the CBS MBA Alumnus who has achieved extraordnary results whether achieved as an entrepreneur, in a career position or by some other route.

To send your nomination:
We kindly ask you to nominate your fellow alumni by using this form.

The nomination must contain the following information:

Name and chapter number of the alumni nominated
Your reason for nominating the person
Your name, chapter number and contact details

We need to receive your nomination not later than 10 March 2008.

Selection process
The Alumni Society Board will, after thorough consideration, select the top candidates who will then be evaluated by the ’MBA of the Year’ commitee. The commitee is headed by Mogens Bjerre and with furthermore consist of members of the Alumni Society Board and2-3 external judges with relevant insight and knowledge.

The ’MBA of the Year’ will be announced at the Annual Gala Party to be held on 24 May 2008 – a date you won’t want to miss.

Read more about the press coverage of this award in the link below.

CBS MBA Alumni Society Newsletter for February 2008

Wed, 20 Feb 2008 21:16:34 +0100

Please use the link below, if you wish download and read the newsletter for february 2008.

CBS MBA Alumni Society Newsletter for December 2007

Mon, 17 Dec 2007 22:40:37 +0100

Welcome to the seventh edition of the CBS MBA Alumni Society digital newsletter.

Click on the link below to download a copy.

Photos and List of Participants from Christmas Party

Thu, 13 Dec 2007 01:55:22 +0100

For those of you who were not able to join us for the CBS MBA Alumni Society Christmas Party, all we can say is that you missed a great party.

Click on the link to see some of the photographs from the Christmas Party.

To find out who joined from your chapter, read on...

Chapter 1	Helge
Chapter 7	Jens
Chapter 8	Christian E Christian K Flemming B Flemming W Henrik Jan Niels Per Simon Søren I Søren S
Chapter 9	Arnt Bjarne Bo Carsten Charsten Jacob Jens B Jens P Joann Jonas Klaus Klaus R Klaus T Lars Majbritt Morten F Morten K Per K Per L Svend Søren
Chapter 11	Anni Christian Henrik Jean-Yves Jim Karl Henrik Kim Maria Martin Morten Sune Thomas Troels
Chapter 12	Alf Helle Inger Jan Jonathan Kim Kirsten Lars Arne Morten Sharmi Sumit Sven
Chapter 13	Anders Anne Christina Jens Jens-Christian Jesper Joe Kim Michael Mads Monika Natalia Niels Ole Peter Poul J Soulaima Søren Thomas Thorsten Uffe
Chapter 14	Poul S Susanne
FT2	Alicia Charlotte Karl Kristian Kristjan Line Madeleine
FT3	Charlotte Christine Edgar Mikkel
FT4	Thomas
FT5	Aila Bjarni Chris Erik Espen Helle Jason P Jason W Julia Julie Koji Lina Linda Manuel Meredith Mi Nathan Patricia Pål Svenja Sverrir Uffe Viktoria

Upcoming Events

Mon, 10 Dec 2007 11:31:56 +0100

For those of who were not able to join us for the Christmas Party, all we can say is that you missed a great event. Below please find some other events you will not want to miss.

Upcoming events you won't want to miss:

Informal Get Together at Heidi's Bierstube	Friday, 25 January 2008, 18:00
Alumni Executive Network Dinner	Thursday, 7 February 2008, 18:30-21:00
CBS MBA Alumni Society General Assembly	Friday, 28 March 2008, 16:00
Master Class 2008: Strategic Transformation - Creating Breakthrough Customer Value (the brochure can be downloaded by clicking on the download link located at the end of this page)	Tuesday, 1 April 2008, 15:00-19:30 Thursday, 3 April 2008, 15:00-19:30 Tuesday, 8 April 2008, 15:00-19:30 Thursday, 10 April 2008, 15:00-19:30 Friday, 11 April 2008, 09:00-18:00
Annual Gala Party	Saturday, 24 May 2008

Informal Get Together:

Join us on 25 January 2008 at Heidi’s Bier Bar where there will be ample opportunities to meet your fellow classmates as well as network with the rest of the Alumni Society.

The event will start at 18:00.

Heidi’s has reserved the entire first floor for us.

Heidi’s Bier Bar is located at:
Vestergade 18 A
1456 Copenhagen K

Bring your classmates along so we can enjoy an evening together.

Other events:

Further details concerning the other events will be supplied as they become available including an upcoming briefing which is in the works.

CBS MBA Alumni Society Newsletter for November 2007

Sun, 18 Nov 2007 15:03:50 +0100

Welcome to the sixth edition of the CBS MBA Alumni Society digital newsletter.

Click on the link below to download a copy.

Alumni Executive Network Dinner

Wed, 14 Nov 2007 20:26:31 +0100

Experience a new way of networking and gain insights into six (6) strategic topics!

Members of the CBS MBA Alumni Society are invited to experience a new concept that includes not only networking but also dinner and an in-depth discussion of relevant strategic topics.

The overall theme is: how to manage strategic thinking in an uncertain world.

The Alumni executive network dinner will take place on 7 February 2008. For more information and to register, please click here.

CBS MBA Alumni Newsletter for October 2007

Mon, 22 Oct 2007 09:50:15 +0200

Welcome to the fifth edition of the CBS MBA Alumni Society digital newsletter.

Click on the link below to download a copy.

CBS MBA Alumni Society Annual Christmas Party, 23 November 2007, 5 pm

Thu, 08 Nov 2007 23:25:54 +0100

It is a pleasure to invite all CBS MBA Alumni Society members to participate in this year’s great Christmas Party, which will be held at

Imperial Hotel, on 23 November, 2006, at 5pm

We have arranged a separate table for you, where you will have the opportunity to enjoy a sumptuous traditional Christmas Buffet and, of course, to see each other and learn what has happened for all the graduated students of CBS MBA during the last year.

After the buffet, you can choose to stay at your table or to do some networking with the alumni from all the CBS MBA chapters at the bar.

Please sign up for this great event by logging in and clicking on the “Christmas Party” event under “events” or by clicking here. The cost of participation is DKK 250.

The participation fee covers the traditional Christmas Buffet. Drinks will be on your own account (please bring cash).

So mark you calendar and bring your classmates along. We look forward to seeing you there.

Best Regards,

CBS MBA Alumni Society

CBS MBA Alumni Newsletter for September 2007

Wed, 19 Sep 2007 15:36:47 +0200

Welcome to the fourth edition of the CBS MBA Alumni Society digital newsletter.

Click on the link below to download a copy.

CBS EMBA Alumnus profiled in entrepreneurial magazine

Wed, 05 Sep 2007 14:51:56 +0200

CBS Executive MBA Alumni Klaus Toft Nørgaard, founder of RetNemt.dk, was profiled in special edition of "Iværksætteren", an entrepreneurial magazine.

"If you want to have success as an entrepreneur, you must begin by analyzing the client's needs instead of further develop on existing product lines," according to the founder of Retnemt.dk, Klaus Toft Nørgaard, "we instead chose to turn everything on its head". Klaus Toft Nørgaard describes in the article how the process began whilst he took his Executive MBA from Copenhagen Business School (CBS), what the company is currently doing, and offers some valuable advice for other entrepreneurs trying to get started.

Click on the link below to read the article (in Danish).

CBS MBA Alumni Society Get Together at Heidi's Bier Bar, 26 October 2007, 6 pm

Mon, 29 Oct 2007 12:55:06 +0100

Dear Fellow Alumni Society Member,

An informal event, where once again there will be ample opportunities to meet your fellow classmates as well as network with the rest of the Alumni Society, has been arranged for you at Heidi’s Bier Bar.

The event will take place on Friday, 26 October 2007, starting at 18:00. Heidi’s has reserved the entire first floor for us.

Heidi’s Bier Bar is located at:
Vestergade 18 A
1456 Copenhagen K

NB: Vestergade runs parallel to Strøget (the walking street) which is close to Copenhagen’s City Hall (Rådhuspladsen).

The entrance is via the bar located in the basement.

So mark you calendar and bring your classmates along. We look forward to seeing you there.

Best Regards,

CBS MBA Alumni Society

Upcoming Events

Mon, 20 Aug 2007 10:03:37 +0200

Upcoming events you won't want to miss:

Informal Get Together at Heidi's Bierstube	26 October 2007
Alumni Christmas Party	23 November 2007
Annual Gala Party	24 May 2008

Informal Get Together:

Join us on 26 October 2007 at Heidi’s Bier Bar where there will be ample opportunities to meet your fellow classmates as well as network with the rest of the Alumni Society.

The event will start at 18:00.

Heidi’s has reserved the entire first floor for us.

Heidi’s Bier Bar is located at:
Vestergade 18 A
1456 Copenhagen K

Bring your classmates along so we can enjoy an evening together.

Other events:

Further details concerning the other events will be supplied as they become available including an upcoming briefing which is in the works.

MBA News June 2007

Mon, 20 Aug 2007 15:07:51 +0200

Welcome to the third edition of the MBA digital newsletter.

Click on the link below to download a copy.

A very successful annual MBA alumni party

Wed, 28 Nov 2007 13:47:40 +0100

On 2 June 2007, Deloitte’s beautiful office
building in Copenhagen was transformed into a party scene where over 120 CBS MBA Alumni dressed up and participated.

View photographs

To view all the photographs from the party, please

click here (login required).

View video

A video of the MBA of the Year award is also available. Please click here to view the video (login required).

The next newsletter, which will be sent out on Tuesday will tell much more about the event.

For more information

For more information, contact Charlotte Fly Andersen at: charlotte.fly@mail.dk

Ch 12 Alum Per Dahl mentioned in Børsen

Wed, 13 Jun 2007 10:10:55 +0200

Click on the link below to read the article (in Danish).

MBA Award Winners Mentioned in Børsen

Fri, 08 Jun 2007 12:32:11 +0200

There were three nominated candidates to the MBA of the Year Award for the CBS' MBA Alumni Society. The winner was Dorte Krak.

The event was mentioned in Børsen Executive (pages 4-5) on 08-06-07. A pdf of the article is below. You can also click here to read the article in Børsen online.

This award was made possible through the generous donations of:

CBS MBA Alumni Jakob Sand featured in Børsen

Tue, 21 Aug 2007 11:46:33 +0200

Jakob Sand, graduate from the CBS Executive MBA Class of 2003 2004, was interviewed in the leading Danish daily, Børsen (7 May 2007), on his newly founded venture capital fund, Capital +. Capital+ gives private investors the possibility of investing directly in venture capital and share their knowledge with the companies they invest in. Capital+ also invests in highly potential companies within IT and Communication Technology.

Click here to find out more about Capital +.

Minutes from the Annual General Assembly

Thu, 26 Apr 2007 14:57:01 +0200

Held on 30 March 2007 at Copenhagen Business School

Agenda

Election of Chairman for the General Assembly
Annual Report from the CBA MBA Alumni Society Chairman
Adoption of the Profit and Loss Accounts and Balance Sheet for 2006
Discussion of Proposals Submitted to the Board
Election of Board Members
Election of Auditors
Election of Auditor Substitute / Alternative Auditor
Miscellaneous

1. Election of chairman for the general assembly

Mr. Mads Skov Andersen was unanimously elected chairman of the meeting and with all votes present.

2. The Chairman’s annual report

Mr. Jacob Therkelsen presented the Chairman’s annual report. The chairman’s report included:

The mission statement for the Alumni Society
The efforts which are taking place to improve the links to members including improvements in the database and expansion of the ambassador network
The launch of the new website
Electronic newsletters
Direct mails
Events and briefings
International cooperation efforts
The Annual MBA Alumni Party
The new master class

The general assembly applauded the chairman’s report and the chairman for his efforts as chairman of the board.

To view a copy of the Chairman's report, please click on the "download file" link located at the bottom of this page.

3. Adoption of 2006 annual accounts and budget for 2007

The annual accounts for 2006 and the budget for 2007 were presented by treasurer, Anni Haraszuk. The annual accounts were unanimously adopted by the general assembly and with all the votes present.

4. Discussion of proposals

No proposals have been received.

5. Election of board members

Two current members were unanimously re-elected as members of the board and will all votes present:

Christian Emborg (C8)
Jens Blomgren-Hansen (C9)

One member of the board of directors had resigned during his term, and the following had was elected as a substitute(alternate by the Board:

Mikkel Fälling (F3)

6. Election of the auditors

The general assembly unanimously and with all votes present re-elected Mr. Lars Knaack (C4) and Mr. Robert Thorndal (C7) as auditors.

7. Election of auditor substitute / alternate auditor

The general assembly unanimously and with all votes present elected Mr. Tom Davidsen (C9) as auditor substitute / alternate auditor.

8. Miscellaneous

A brief presentation of the new website as shown by Ms. Charlotte Fly Andersen (F2). Mr. Jacob Therkelsen presented the new Master Class program.

Minutes kept by:

Susan Agerskov

MBA News March 2007

Mon, 20 Aug 2007 15:08:13 +0200

Welcome to the second edition of the MBA digital newsletter.

Click on the link below to download a copy.

We're mentioned in Børsen

Tue, 06 Mar 2007 15:13:34 +0100

The Danish business magazine Børsen recently wrote a lengthy article about our MBA of the Year award as well as the Society. To read the article (in Danish), please click on this link.

CBS' new scholarship together with Danida is also mentioned. Click here to read the article (in Danish).

General Assembly Announcement incl. Accounts

Wed, 28 Mar 2007 16:10:26 +0200

The next ordinary General Assembly of the CBS MBA Alumni Society will be held on:

30 March 2007, 16:00, at
Copenhagen Business School’s Solbjerg Plads Campus in the
SPS 10 Deloitte Auditorium (note new venue).

The agenda for the meeting is as follows:

Election of Chairman for the General Assembly
Annual Report from the CBS MBA Alumni Society Chairman
Adoption of the Profit and Loss Accounts and Balance Sheet for 2006. Budget for 2007 including membership fee information.
Discussion of Proposals Submitted to the Board
Election of Board Members
Election of Auditors
Election of Auditor Substitute / Alternate Auditor
Miscellaneous

The board recommends that the general assembly, from this year, allow a non-member of the Society to chair the general assembly. Members are kindly asked to revert prior to the general assembly if they oppose this suggestion.

The following items merit particular attention:

Agenda Item	Proposal
4. Discussion of proposals submitted to the Board: Amendment of the Articles of Association	The board proposes to amend the Articles of Association, inter alia, to include the: Art. 8, 3rd para: the Society website is to be added as an official place of announcement. Art. 10, 1st para, last sentence: New wording: "The chairman shall not be a member of the board". The requirement that the chairman is a member of the society is deleted.
5. Election of board members:	The board recommends the election / re-election of the following candidates: Christian Emborg Jens Blomgren-Hansen Mikkel Fälling Nikolaj Qvade Rasmussen has decided not to run for re-election. Please note, submission of alternative candidates must to be received not later than 14 days prior to the Assembly (16 March 2007). Submissions must be sent to: support@cbsmba-as.dk.
6. Election of auditors:	The board recommends the current auditors be re-elected.
7. Election of auditor substitute / alternate auditor	The board recommends the current auditor substitute be re-elected.

Click here to register

Please find the Profit and Loss Accounts below:

CBS MBA Alumni Society Budget 2006/2007

	Budget 2006	Budget 2007
Revenue: Dues Students Gown rental Gala Sponsor Gala Others Distribute from Master Class from 2006	160.000 30.000 35.000 75.000 15.000 0	200.000 40.000 40.000 0 0
Total revenue	315.000	280.000

Expenses: Executive Briefings and other activities Galla Party Web-page MBA News General Assembly 06 Board meetings, rep. Board meetings Graduation Gifts Admin. Support, intern Admin. Support, financial Charges, fees Extraordinary expenses Adm. PBS Gowns International Network Membership survey Development of Alumni Society	30.000 100.000 10.000 60.000 11.000 5.000 15.000 500 5.000 50.000 18.000 3.000 0 0 21.000	40.000 10.000 15.000 10.000 10.000 10.000 15.000 1.000 5.000 100.000 25.000 4.000 0 0 25.000 25.000 25.000 25.000
Total expenses	328.500	345.000

Result before depreciation Depreciation	-13.500 -30.000	-50.000

Result before interest Interest	-43.500 10.000	-115.000 15.000

Net result	-33.500	-100.000

To see the Annual Report 2006 in its entirety, please click on the download link below:

Presentation Available from "Behind the Scenes of the Mohammad Cartoon Crisis"

Thu, 15 Feb 2007 11:55:07 +0100

About the Event

Naser Khader and Per Bech Thomsen provided behind-the-scenes insight into key decisions taken by the Danish government and by the protesting Muslim organizations to nearly 120 participants. They also discussed some of the consequences of the crisis and the many lessons to be learned. Click here to view Per Bech Thomsen's presentation (in Danish).

Background

In early February 2006, Denmark found itself at the centre of a worldwide diplomatic crisis caused by 12 caricatures of the prophet Muhammad which had been printed in one of the Danish newspapers. Thousands of angry Muslims from London to Lahore protested in the streets, embassies were set ablaze and more than 150 people were killed. Denmark found itself, for a short period of time, caught in the crossfire between democratic and religious traditions.

About the Speakers

Naser Khader was born in 1963 in Damascus, Syria and moved with his family to Denmark in 1974. Naser holds a master degree in political science from Copenhagen University. He has been a member of the Social Liberal Party since 1984 and has represented the Eastern Copenhagen district since 2000. Naser has published a number of publications and received innumerable awards. For more information, please visit: www.khader.dk

In addition to being the Denmark Bureau Chief for Reuters and writing his new book, Per Bech Thomsen, worked as foreign exchange trader in Copenhagen, Singapore and London (1988-1995). He now runs his own media consultancy, Common Sense Communications (www.commonsense.dk).

MBA News January 2007 (31-01-2007)

Mon, 05 Mar 2007 14:20:59 +0100

Welcome to the first edition of the MBA digital newsletter.

Click on the link below to download a copy.

Master Class: Rethinking your Strategy

Wed, 28 Mar 2007 12:31:15 +0200

This year's Master Class will take place 29 May 1 June (both days included). We have decided to plan the Master Class to take place 4 full days in order to have a concentrated period and for international students to be able to attend.

Entitled "European MBA Strategy Days 2007", this year's Master Class will be an opportunity for you to obtain fresh insights and new perspectives on strategy from the following leading thinkers and experts:

Professor Sandra Vandermerwe, Imperial College, London
Professor John Stuart Read, IMD, Lusanne
Assistant Professor Axel Rosenø, CBS

The key program headlines for this year’s Master Class are: Creating strategy in an uncertain world where you as a participant will get the opportunity to discuss and learn about open innovation, delivering superior Customer Value and how to execute strategy in a dynamic world. Click on the link below to download the program.

To book a seat, please click on this link.

For more information please contact: Jacob Therkelsen at jtherkelsen@deloitte.dk or Maria Sennels at maria.sennels@bm.com.

Updated Summer Party Information

Sun, 10 Jun 2007 21:22:07 +0200

The Annual MBA Alumni Party

Once again the CBS MBA Alumni Society provides you with an excellent opportunity to meet former classmates and network with other fellow MBA alumni.

The Annual MBA Alumni party will take place this year on 2 June 2007 at 18:00 in the beautiful surroundings of Deloitte's Copenhagen Headquarters.

During the party, the MBA Alumni Society Board will present the newly instated "MBA of the Year" award to the well-deserved winner.

Thanks to the generous support of Atlantis Rejser, Kromann Reumert and Deloitte, we are able to offer you:

enjoyable company
delicious buffet dinner with well selected wines
well equipped bar and
great music to ensure the perfect atmosphere

for only DKK 595 per person. Spouses, partners and significant others are most welcome to attend as well.

The dress code is modern gala.

Don’t miss this unique opportunity to network and party your former classmates and other fellow MBA alumni.

For more information about payment details and to register, click here.

For more information, please contact Charlotte Fly Andersen at charlotte.fly@mail.dk

This award is sponsored by:

Nominate Your MBA of the Year

Wed, 07 Mar 2007 14:15:10 +0100

The CBS MBA Alumni Society is growing rapidly and we are excited to see the ways in which our alumni prosper and set their mark on the business community.

New MBA of the Year Award Launched

Being inspired by these achievements, the Board recently launched an "MBA of the Year" award to honour the CBS MBA alumnus who has achieved extraordinary results whether achieved as an entrepreneur, in a career position or by some other route.

The "MBA of the Year" will be announced at the Alumni Party to be held on 2 June and the winner can look forward to being honoured by not only his/her fellow alumni but to receiving:

a luxurious trip and
special notice in Børsen

for his/her achievement as well.

Nominations Being Accepted

In order to ensure that all candidates are taken into consideration, we kindly ask that the alumni nominate their fellow alumni by either filling in our online form or by sending your nominations to:

Christian Emborg (ce@dkt.dk) or
Jens Blomgren-Hansen (jbh@kromannreumert.com).

The nominations should contain the following information:

Name, chapter number and contact data of the alumni nominated,
Your reason for nominating the person and
Your name, chapter number and contact data.

The nominations must be received not later than 10 March 2007 in order to be taken into consideration.

Selection Process

The Alumni Society Board will, after thorough consideration, select 10-20 candidates who will then be evaluated by the "MBA of the Year" committee. The "MBA of the Year" committee will consist of two Alumni Society Board Members and 2-3 external judges with relevant insight and knowledge.

We hope that you will welcome this initiative, help us find the right candidates and come to the Alumni Society party on 2 June to celebrate the first "MBA of the Year" award winner."

This award is sponsored by:

New Event: Behind the Scenes of the Muhammad Cartoon Crisis

Mon, 22 Jan 2007 13:08:32 +0100

A new Executive Briefing has been organized. Please look under "Events" for more information.

Copenhagen Island - Executive Briefing for Alumni Society Members

Thu, 11 Jan 2007 13:01:25 +0100

With the aim of increasing the networking possibilities and at the same time hearing an exciting story told by a fellow alumni CBS Alumni Society hereby invite you to the autumn’s first Alumni Briefing on - and at - Copenhagen Island Copenhagen’s brand new hotel.

The program consists of two parts and you are free to choose to take part in only one of the parts:

1) At 17:30 we gather in the bar of the hotel for a drink and some socializing. At 18:00 the program continues by the briefing itself where Dorte Krak, CEO of the Arp-Hansen Hotel Group, will present the new hotel, the development and the trends in the hotel business in Copenhagen, which is considered one of Europe’s most trendy cities. Mrs. Krak will expand on the decision making process for a project like Copenhagen Island, its success criteria and risks.

2) At 19:00 there is a possibility to network with old and new alumni during a 3 course dinner including wine and coffee, for those who have time for that. The price for the dinner arrangement is 495 DKK

We hope to see as many of you as possible at this extraordinary arrangement, which is testing how interested we all are in using the Alumni briefings for even more networking and socializing. Please reply by 25th of August.

The address of Copenhagen Island is: Kalvebod Brygge 53, 1560 Copenhagen V.

Parking is possible in front of the hotel and at Fisketorvet

Kind regards,
The Committee

Chris MacDonald on The Race Across America - RAAM

Thu, 11 Jan 2007 10:35:36 +0100

The next MBA Alumni Society Briefing on 28 March 2006 at 5.30PM - followed by the Annual General Assembly at 7.30 PM.

Come and see the award winning documentary film about Chris’s journey and hear his top rated seminar about, “The Journey to the Other Side”, where Chris talks about the mental tools he used to get through the race and what the entire endeavor has taught him about life.

GRACE: Gracefully Reaching After Continual Excellence.
Lessons learned from the he World’s Hardest Sporting Endeavor,

The Race Across America (RAAM). Chris MacDonald has become renowned both in Denmark and Internationally as one of the top motivational speakers. Hear how Chris prepared for and competed in what has been unanimously voted, “The Worlds Hardest Sporting Endeavor”. RAAM is the longest human
powered race in the World.

The race has been designed to test the limits of the human body, mind and spirit. Some might place the race in a category of “insane”, others put it in a category of “all inspiring”. Either way, it is hard not to be fascinated by the shear enormity of the race’s challenges. RAAM is a solo time trial bike race across the
United States, 5,400 km covering the hardest terrain North America has to offer.

Riders scorch in the 50+ degree desert traversing the infamous Death Valley region. Riders climb mountain elevation over 4,000 meters and the total climbing in the race exceeds climbing Mt. Everest 4 times. Riders sleep less than 1.5 hours a day, completing the entire race in a mind blowing 10 days or less. By day six riders have covered the distance of the Tour de France (which runs over 3 weeks), and at that point they are just over the half way mark.

Riders ingest over 20,000 calories a day, or the equivalent of 80 Big macs, or a normal mans food intake for 10 days. Riders ingest and drink over 60 kilograms of food and water a day, andburn over 200,000 calories over 10 days. This is what normal individuals burn off over 100 days.

Basically the race was designed to test every aspect of human limits, both physical and mental, and it lives up to the task. 800 men from around the world have qualified to partake in the race over the last 24 years, and of these only 170 have finished the race. People describe those that have completed the race
as, “transformed”.

Last summer Chris MacDonald started the race as a rookie (first year participate), riding against what was the strongest competition field and most challenging route ever in the races history. Chris crossed the finish line in Atlantic City in an impressive second place.

The seminar is about motivation, personal excellence, and learning to “dare to be better”. It is a seminar that every participant can walk away from with a strong input of inspiration and information in regards to squeezing and enjoying this thing called life. At the conclusion of the race Chris was asked the question, “Why are we here?” The journalist from NBC where not asking him, “why he and others where at the Race Across America”, but rather, why we are here as people, what is the purpose. After 10 days on the brink of life and death, Chris responded with a simple answer: “To Excel”.

MBA News January 2006

Mon, 08 Jan 2007 11:56:50 +0100

Massive industry consolidation creates Danish World Leader

Tue, 19 Dec 2006 21:53:55 +0100

On 31 August 2004 a very interesting Executive Briefing was conducted as kick-off for the Master Class in Mergers & Acquisitions, which commenced recently. The theme for the Briefing was industry consolidation through mergers and acquisitions, exemplified by the creation of the Anhydro Group.

Henrik Audon, Chairman of Audon Partners A/S (members of M&A International Inc.), who acted as financial advisors to the investors, outlined the strategic rationale and presented core elements of the complex transaction creating the World’s second largest supplier of evaporation and drying technologies, the Anhydro Group.

In the transaction, the Nordic private equity house CapMan plc together with a group of Danish industrialists acquired the US process equipment company, Dedert Corporation, the British engineering Group Invensys plc’s Danish drying business APV Anhydro and merged them with Danish Simatek A/S.

Net sales of the combined entity, the Anhydro Group, are estimated to amount to approximately EUR 100 million in 2004.

Carsten Hemme, Director of Audon Partners, explained the industry specific environment and the need for consolidation in order to implement global R&D, gain access to new markets and expand the current product offering.

Per Jespersen, CEO and investor in the Anhydro Group emphasised the need for global dominance in order not only to obtain cost efficiency but also to be able to constantly pursue business development. In terms of post merger integration, Mr. Jespersen emphasised the necessity to create a shared mindset throughout the entire new entity from the very beginning. However, separate brand names will be maintained in order to capitalize on the brand awareness of the individual companies in their respective markets.

Jan Dalqvist, Investment Director, CapMan plc expressed content with the transaction and indicated that CapMan might be interested in investing in similar consolidation transactions in other industries.

MBA News November 2005

Tue, 19 Dec 2006 22:48:57 +0100

MBA News June 2005

Tue, 19 Dec 2006 22:49:16 +0100

MBA News March 2005

Tue, 19 Dec 2006 22:51:35 +0100

MBA News February 2005

Tue, 19 Dec 2006 22:50:39 +0100

MBA News January 2005

Tue, 19 Dec 2006 22:49:34 +0100

Professor Thomas Ritter's Graduation Speech

Tue, 19 Dec 2006 22:13:13 +0100

Dear graduates, families and friends, Dear guests and colleagues.

I personally think that we write history today and that we all can be proud. The Copenhagen Business School is graduating its pioneering Fulltime MBA class, this day is significant not only for the graduates but also for the families of our graduates, CBS and Denmark.

Learning is often compared with a voyage of discovery a journey to explore something new. This program has been quite a journey, for the graduates as well as for the graduates’ families and CBS and its staff. And what a tour: 21 courses plus leadership mentoring scheme plus strategy project. Just short of 3000 hours of power sightseeing in business administration. The tour has brought you to the stone monuments of finance, to the temple of accounting, to the gardens of human resource management, to the tower of implementing change to name just a few.

All of you came to sites you really liked, and to parts of the tour which were not your favorite ones. But you all arrived and survived this tour the CBS Fulltime MBA program. And this is something you all can be very, very proud of.

And as it is with the Tour de France cycling event, you are different people: some of you are all-round winners like Lance Armstrong, others are mountain experts like Richard Virenque, while others are sprinter like Robbie McEwan. And for some, just to arrive at the final destination, your Arc de Triumph, is the greatest achievement ever. This is why we celebrate today graduation, and not grades.

On your journey, on our journey, I have often felt as the tour coordinator hurdling the class from one place of sightseeing to the next, always waving with my colored umbrella. But I not only waved to guide the class, I am actually responsible to get the tour guides, the faculty, lined up at very site we visited.

While being your tour coordinator, my role in relation to faculty can also be compared to that of an instructor of an orchestra. Over the last year, my orchestra has played many good songs for you, songs about “Money, money, money”, or songs about cross-cultural issues like “An English man in New York”. I wish to thank the faculty for their collaboration, their efforts and their commitment to this unique and outstanding program.

Apart from the many good songs we heard over the year, I sometimes heard mistunes from my orchestra or from the MBA audience, so not everybody played the same song at the same time or not everybody was always listening. Sometimes I heard more Monty Phytone’s “Always look on the bright side of life” or even Gloria Gaynor “I will survive”. Not that these are bad songs but today and in the future, I only hear “We are the champions” and “The winner takes it all”.

An orchestra cannot play without song books, instruments, rooms, and meeting schedules. As such I am very grateful for the support the faculty and I received from the MBA administration. Their commitment to this program has made a big impact and is one of the key assets of this program. A big thank you to you all.

I would like to personally thank the families of our graduates. Even when we celebrate the graduates today, we all know that they would not be here today without your support. We celebrate you today as well.

And last but not least of course, our graduates. I am proud of you you have done it. The MBA journey the voyage of discovery has come to an end. However, this world is a very dynamic place which demands life-long learning. In that respect this program has given you more than only an understanding of business administration. You have proven to be able to learn quickly, to understand and comprehend complex matters at the speed of light. As such, I am not worried for your future it will be bright and successful.

Being your tour coordinator has been quite challenging. Not because we are different but because we are quite equal. You have a pioneering spirit and are entrepreneurial and so am I and the program. You are ambitious and so am I and the program. You will go places and so will I and the program. So I have always felt comfortable in your company. It has therefore been my privilege and an honor to be your tour coordinator to be associated with you. I deeply hope that we stay in touch.

Today, I salute you, I congratulate you, and I wish you “bon voyage”

Managerial Risk Incentives, Strategic Growth Options and Value Creation in High-Tech Acquisitions

Tue, 19 Dec 2006 22:20:09 +0100

Lin Gao & Professor P. S. Sudarsanam
Finance & Accounting Group
School of Management
Cranfield University

It is now well documented that shareholders of acquiring firms experience value losses following acquisitions. Sudarsanam (Creating value from mergers and acquisitions: The challenges, FT Prentice Hall, 2003) after extensively reviewing the literature covering several countries concludes that acquisitions are on average value destroying for at least the acquirer shareholders although shareholders of acquired companies make substantial gains. Value gains, ex ante, arise from different sources of synergy between the merging firms broadly three sources of value: revenue enhancement, cost savings and creating of growth opportunities. These sources are more or less important in different types of acquisitions: cost savings in mergers driven by scale and scope economies, revenue enhancement in mergers driven by enhanced market power or sharing of marketing resources and capabilities and new growth opportunities in mergers of firms that share resources and capabilities such as R & D, intellectual assets etc.

The fifth merger wave in the USA and a parallel merger wave in Europe that occurred in the 1990s was characterised by a large number of acquisitions of firms operating in high technology areas such as the telecommunications, computers, the Internet, biotechnology, etc. Many of the mergers were also driven by the vision of technology convergence among media, telecommunications, the Internet, e.g. the acquisitions made by Vivendi and AOL-Time Warner. These mergers accompanied and, in fact, were triggered by stunningly high market valuations of high technology firms around the world. These valuations as well as the anticipated value gains in high technology mergers were based on expectations of revenue enhancements through, say, cross-selling of the merging partners’ products and services and new growth opportunities.
Given the dominance of new growth opportunities as a source of value gains in these mergers, the scope for valuation errors is greater than when value gains are expected to arise from cost saving or revenue enhancement that exploits established products and established markets. This larger scope means that acquirer shareholder value gains in high technology acquisitions are likely to be smaller or value losses greater than in other types of acquisitions.

Pursuit of growth opportunities is in the nature of investment in growth options, a type of real options. Such options are far more risky with more volatile payoffs than investments devoid of such options, e.g. acquisitions driven by cost saving. Which firms make acquisitions that are in the nature of growth options depends on the managerial risk incentives in acquiring firms - whether managers are risk-averse or risk preferring. Managerial risk incentive has been examined in the economics, finance, and management literature. The debate about managerial risk incentives and preferences, however, is still inconclusive.

On one side of the debate the agency model of the firm considers managers as rational, utility maximisers. Compared to shareholders in their firms, these managers hold undiversified portfolios of both their monetary and human capital and hence are likely to be risk averse. On the other hand, shareholders can diversify away the firm-specific risk and hence are risk neutral. Managers in making acquisitions are expected to display their risk-aversion. If, as a consequence, managers pass up valuable positive NPV but high risk projects, this causes an underinvestment problem for the shareholders who bear the opportunity cost of passing up.

It may, however, be in the interests of shareholders to encourage managers to undertake high risk-high payoff investments and moderate the risk impact of such investments through diversification. Managerial stock ownership and stock options, by transforming managers into shareholders may increase the incentive to undertake high risk investments. Nevertheless, even such transformation does not reduce the degree of non-diversification of the managerial portfolio. Thus in the classical agency model, managerial risk aversion is the norm and investment decisions that deviate from risk-aversion are considered anomalous. Corporate governance structure may reduce the underinvestment problem by monitoring managers’ investment decisions and ensuring positive NPV projects are undertaken. However, traditional corporate governance structures and regulations such as the requirements of the Turnbull report in the UK may discourage rather than facilitate risk taking by managers even when optimal. An appropriate and judicious mixture of fixed and performance-related compensation such as stock options may alleviate managerial concerns but also mitigate the underinvestment problems.

There may be other factors that alleviate the underinvestment problem and even encourage the opposite type of managerial behaviour overinvestment in high risk, and possibly value destroying, projects. Bounded rationality models suggest that managerial risk taking may be rational but not perceived as such by stock markets and shareholders who don’t share the same rationality bounds or the same information set. Corporate governance may correct both bounded rationality and informational asymmetry and allow optimal risk taking.

Recent developments in behavioural agency models argue that managerial risk taking is not a mere deviation from traditional agency assumption of rational risk aversion. Instead, managers may be “irrational” and, under psychological influences, have different risk attitudes in different situations. Managers may undertake risky projects because they overoptimistically underestimate the risk and overconfident that they can ‘handle’ the risk.
The cognitive biases may lead managers to undertake risky acquisitions, overestimate their benefits, underestimate their risks and overpay for what they buy. High tech acquisitions provide particularly suitable channels for such biases since they are more in the nature of growth options, with considerable uncertainty, the need to take a view of the future and the contingent nature of the subsequent investments. Paradoxically, the contingency of future investments may allow managers simultaneously to be overoptimistic about the upside potential and to downplay the risk because of the option not to make further investments.

Growth options are small speculative investments that offer very high payoffs if the gamble succeeds. Investments that may be rejected on a pure traditional NPV decision rule assuming irreversibility may be accepted if interpreted as real options since the latter offer opportunities for delaying, scaling up, scaling down or abandoning subsequent investments when better information is available. This strategic flexibility limits the downside risk whereas the upside potential is unlimited. High technology acquisitions offering such growth options may be ‘sold’ by optimistic and overconfident managers to various internal constituencies e.g. the board and external constituencies e.g. analysts and institutional investors. Thus in environments characterised by optimism as was the case during the dotcom bubble of the 1990s, many high technology acquisitions may have been driven by managerial overoptimism and hubris. These biases may have compounded the problem of valuation risk associated with high technology acquisitions leading to overpayment for targets and shareholder value losses to acquirer shareholders.
How does the corporate governance structure control managerial risk taking behaviour? An optimal governance mechanism should curb suboptimal risk avoidance as well as excessive risk preference among managers. In the case of high technology acquisitions, the latter problem is the more serious. If so, robust governance will drive the suboptimal overinvestment in risky acquisitions to the optimal level and this correction will be associated with value creation in high risk, high technology acquisitions. The research findings about the efficiency of corporate governance mechanisms in aligning managerial and shareholder interests produce many contradictory results.

In our research using UK M & A data from the 1990s, we examine various factors that may exert influence on managerial risk incentives such as fixed and short term executive compensation, long-term compensation and shareholdings, managerial hubris and monitoring mechanisms, in the context of high-tech acquisitions. We consider such acquisitions to be pregnant with growth options. We apply logistic regressions to predict the risk level of high-tech acquisitions by using those factors. Whether a high-tech acquisition is optimal or suboptimal will be determined by comparing its actual risk level with the predicted risk level. We track the post-acquisition performance of acquirers over three years. We then investigate how risk investment types-optimal, underinvestment or overinvestment-influence the shareholder wealth.

Our results so far show that managers could be risk seeking as well as risk averse. We support the argument of behavioral agency model that assumption of managerial risk aversion is too restrictive. Fixed and short-term compensation could encourage managers to take more risks. However, long term incentive plans (LTIPS) and managerial shareholdings in fact discourage managerial risk seeking. We do not find evidence that hubris may cause managerial excessive risk taking. But this might be because past performance is not a good proxy for hubris.

Institutional shareholders play an active role in disciplining managers to select less risky projects. The combination of CEO and chairman in one person would make the CEO more powerful, allowing him to gamble more easily on his firm’s assets to satisfy personal interests. Board independence has no impact on managerial risk incentives at all. The board subcommittees might encourage cross industry high-tech acquisitions. Growth options usually are not realized in high-tech acquisitions. High-tech acquisitions that are at suboptimal risk level generally destroy shareholder value. Excessive risk taking, however, might create value for shareholders if the gamble wins. Large acquirers have worse post-acquisition performance than small acquirers and payment method has no impact on post-acquisition performance. The research is continuing and further detailed results will emerge to confirm or modify the above conclusions.

The CBS Full Time MBA's graduated on 21 August

Tue, 19 Dec 2006 22:08:11 +0100

Copenhagen, 21 August 2004, Denmark's first full-time MBA class graduated today in a beautiful ceremony at the Copenhagen Business School. The participants originate from twenty different nations and are now ready to either go back to their home countries - or to stay in Denmark and work. In fact a majority is wanting to stay. This is an excellent opportunity for an international inflow of high talent to Danish business!

Speeches and official photos will be posted here and printed in the September issue of MBA News.

The CBS Alumni Society congratulates all 37 new CBS MBA's and is hoping to see them as active members of our Alumni Network.

If you are interested in employing one of the graduates, you should not hesitate to contact Mike Hall at the full time MBA program.

CELL Director, Claus Valentiner's Speech at the Full Time Graduation

Tue, 19 Dec 2006 22:11:24 +0100

Your Excellencies, ladies and gentlemen, dear Graduates,

Maybe you remember, that 11 months ago I asked you:

Do you know what day it is today?? And you answered September 15th, 2003, which was a correct and precise answer.

But I provoked you and stated that a more challenging and proactive answer could be:

It is the first day in the rest of your life (as an MBA student)!!

Our joint life has been a short one only 11 months and now we will celebrate those, who deserve to be celebrated.

You have been working day and night obtaining your MBA degree by inhaling this very special spirit here at CBS-Executive, learning from and with exciting professors from CBS and other acknowledged business schools around the world.

You have listened to and discussed strategic and other burning issues with senior executives and other representatives from the business community and society at large.

You have been coached and mentored by a distinguished group of senior executives, who have committed themselves and their precious time to assist your further development.

And you have been nurtured and nursed by our highly professional staff in SV 044, who now is almost crying, after getting used to all of you (and that wasn’t the easiest of tasks!!).

I hereby convey my gratitude to all our academic and business lecturers, all the mentors and our staff, who all did a splendid job.

Thanks from the bottom of my heart.

“I shall be retelling this with a sigh Somewhere ages and ages hence: Two roads diverged in a wood, and I I took the one less travelled by, And that has made all the difference!”

So said the famous poet Robert Frost and I quoted him for you during my change management lecture in May.

But the poem is too about our joint travel; the CBS Full-time MBA program, which has been a pilot one and where you have been the pioneers.

Why a full-time MBA program?

In modern business, it’s important not only to be able to outfight the competitors, but also to outthink them.
Therefore we need intellectual warriors, Men-of-War.

And for this purpose we built a vessel: MS Full-time MBA

First led by the shipbuilder, professor Per Jenster and his team of designers and craftsmen (our taskforce) the good ship took shape; then we lured onboard the global buccaneer Mike Hall (our program director) to get as many and exciting “passengers” as possible from the whole world and how he succeeded, just look at the graduates of today!!

Then with German precision a solid engine overhaul was needed midterm and with enthusiasm and juvenile dynamism professor Thomas Ritter took over the bridge and on we sailed towards smoother waters.

And now we are gathered here today to celebrate being safely in harbour again in the correct uniform - according to CBS Executive graduation dress code waiting for the big moment, when we hand over the MBA diplomas to you.

As you all know, CBS Executive is driven by 6 values: Passion for People, Trust, Integrity, Team-spirit, Entrepreneurship and Professionalism.

Having scrutinized, assessed and coached you through the last 11 months, you have all lived up to and lived these values.
The 6 values are the stepping stones for the Leadership part of all our executive programs at CBS and for how we would like to lead others and hopefully be led and treated ourselves.

It has been a privilege being the old man onboard, seeing the spiritual development and intellectual growth in each of you and in many different shapes and forms.
You have all matured enormously these last 11 months and I am very, very proud to have been so close to such a bunch of intellectual warriors and hopefully coming global leaders.

I wish you all the best in your new endeavours, a bright and prosperous future and please stay in touch you are our first borne ones as full-timers - and will hopefully continue in the years to become our most important ambassadors for this MBA program.

Thanks for a great year with “probably the best full-time MBA graduates in the world”!!

Due diligence - risk reduction in M&A transactions

Tue, 19 Dec 2006 22:18:40 +0100

Mergers and acquisitions can be risky and although recent research by The Boston Consulting Group indicates that acquisitive growth strategies create superior shareholder returns, a considerable proportion of transactions remain unsuccessful. Poor or insufficient due diligence, overestimation of synergies, inadequate post merger integration or a combination of these factors are typical reasons why mergers and acquisitions may go wrong.

Due diligence is a term traditionally used for the review process applied prior to a proposed acquisition, investment, divestment or merger. Due diligence investigations have evolved substantially in recent years and the level of detail and analytical framework now available allows companies to take better decisions. Furthermore new areas of due diligence have appeared. In essence, well conducted due diligence can facilitate a smooth transaction process and add value to an acquisition or a partnership.

The objective of due diligence is to verify the strategic attractiveness of the target company, the valuation of same and identification of risks associated with a transaction. Comprehensive and proper due diligence is thus one of the most efficient ways not only to reduce risk in M&A transactions, but also to improve the overall likelihood of success.

Different types of due diligence
Traditionally, there have been three main areas of due diligence: commercial, financial and legal. These are the most commonly applied areas of due diligence prior to conducting an acquisition or a merger. In recent years, however, a range of new areas of due diligence have evolved including environmental, technological, pension, cultural and other issues.

There is a close relationship between commercial and financial due diligence as they both seek to provide answers to the same type of questions. The distinction between the two is that commercial due diligence is mainly based on information outside the target company, whereas financial due diligence is mainly based on documents and sources from within the target company. However, commercial and financial due diligence are complimentary in providing information about the strengths, weaknesses and valuation of a company in order to assess whether to proceed with a proposed transaction.

Legal due diligence is conducted to ensure that the target company has a sound legal foundation, e.g. that appropriate supplier, customer and employment contracts exist, that the target company complies with all legislation relevant to its current and planned activities, and that no major disputes, commitments or claims are in progress .

Strategic due diligence
It can be argued that traditional due diligence primarily is focused on understanding financial reports, uncovering legal liabilities and hunting for unpleasant surprises. Traditional due diligence typically concentrated on the past and not on the future of the combined companies. Current financial due diligence, however, often include thorough analysis of historic as well as projected operational and financial data.

According to Accenture, acquirers must look ahead and measure the target company against the vision it aims to achieve. Such strategic due diligence investigations range from immediate post-merger integration issues, the anticipated reaction of customers and competitors to the longer-term impact on the industry . The objective of strategic due diligence is thus to assess whether the acquisition will succeed, and in particular to identify what needs to be done during the integration process to make the transaction successful.

According to Bain and Company, the strategic due diligence investigation begins with a company’s strategic planning process with the aim of assessing the rationale for pursuing M&A transactions . Bain & Company emphasises that M&A transactions should be made only when they improve the strategic position of the investor’s existing business or add to its core competencies. The strategic due diligence process thus identifies the drivers of earnings to establish whether the target is an attractive investment. It addresses four key aspects of business attractiveness including market definition, competitive positioning, customer evaluation and company analysis.

When to conduct due diligence?
The due diligence examination must be conducted before a buyer is committed to a deal and is normally commenced after the signature of the “Heads of terms” or similar not binding legal document, at which stage the involved parties have reached a principal agreement, which justifies the acquirer’s expenditure of the investigation. In view of the investigations, the acquirer might decide to renegotiate the “Heads of terms” or to withdraw completely from further negotiations .

Limitations
As stressed in a newly published and excellent Danish textbook on M&A acquirers will expect limitations to perform due diligence when the target company is listed on a stock exchange, or when the owner attempts to conduct an auction to sell the target company.

Who performs due diligence?
Apart from very large corporations, acquirers may not have the resources and possess the necessary skills to conducts intensive and proper due diligence investigation. Thus acquiring companies may decide to subcontract parts or the entire due diligence investigation to advisors specialising in this particular part of the transaction process.

Master Class
The CBS MBA Alumni Society Master Class in Mergers and Acquisitions starting in October 2004 will give participants a broad introduction to the various areas of due diligence, practical advise and analytical tools on how to conduct efficient and value creating due diligence.

Footnotes
1 The Boston Consulting Group, “Growing Through Acquisitions. The Successful Value Creation Record of Acquisitive Growth Strategies”, May 2004

2 Denzil Rankine, Graham Stedman & Mark Bomer. ”Due diligence. Definitive steps to sucessful business combinations”, Prentice Hall/Financial Times, London, 2003.

3 Michael May, Patricia Anslinger and Justin Jenk. “Avoiding the perils of traditional due diligence”, in Outlook. The Journal of ideas at work, Vol. XIV, No. 2, July 2002.

4 Geoff Cullinan & Tom Holland. “Due Diligence for Global Deal Making: The Definitive Guide to Cross-Border Mergers and Acquisitions, Joint Ventures, Financings, and Strategic Alliances”, Bloomberg Press, 2002.

5 Denzil Rankine et al., op. cit.

6 Peter Bisgaard, Stig Kjerulf & Ann Louise Orbesen. ”Vækst gennem opkøb og fusioner”, Børsens Forlag, København, 2004.

Limitations of Remedies in M&A

Tue, 19 Dec 2006 22:14:28 +0100

Usually, the sale of a company is a carefully planned process that will go through both a planning and an execution phase in which the buyer and the seller are represented by financial and legal advisors. However, M&A transactions are also from time to time executed by means of a so-called “quick and dirty” agreement which is characterised by the parties to the agreement skipping the planning and the due diligence phases of the transaction and proceed to the execution of the transaction documents right away. Typically, a “quick and dirty” transaction does not involve financial or legal advisors.

While the “quick and dirty” transaction from the outset may save the parties both time and costs, it also carries with it a number of risks that can be avoided by the simple use of standard M&A procedures as they are normally applied by professional M&A advisors. This has recently been illustrated by a verdict from the Danish Supreme Court.

The case
ASIS Holding ApS (“Buyer”) through the early spring and summer of 2001 negotiated the acquisition of 100 per cent of the shares in Ameta Elektronik ApS (the “Company”) from its owner Hartmann Invest A/S (“Seller”). The parties had discussed whether the transaction should be implemented through a due diligence process or through a “quick and dirty” agreement. The parties agreed on a “quick and dirty” agreement, in which a price/earning model was applied to establish the value of the Company.

Only Buyer retained professional assistance from advisors during the process, whilst Seller represented itself. It was the legal representative of Buyer who prepared the share purchase agreement that the parties entered into and which became effective on 1 October 2001.

Shortly after the closing of the transaction Buyer became aware of information regarding the Company, which in Buyer’s opinion materially deteriorated the value of the Company.

Prior to Buyer’s takeover of the Company a significant customer had notified the Company that its projected purchase from the Company would be significantly less than in previous periods

Also, Buyer became aware that a specific item on the balance sheet consisted not only of debts owed to suppliers but also of a significant amount owed in back rent to Seller from which the Company rented its premises. Finally, Buyer had an auditor review the income statement on the basis of which the purchase price had been calculated. The audit demonstrated that the profit for the period was significantly less than Seller had told Buyer prior to the transaction.

On the basis of its findings Buyer notified Seller in early December 2001 that Seller had defaulted its obligation pursuant to the share purchase agreement and claimed that Seller should repay the purchase price immediately. Seller did not repay the purchase price as claimed by Buyer and the Company was eventually declared bankrupt on 19 March 2002.

The judgement
The Maritime and Commercial Court in Copenhagen found that Seller had withheld important information from Buyer in that Seller did not inform Buyer that a major customer did not expect to buy further supplies from the Company, that Buyer should have been informed of the back rent owed by the Company to Seller, and finally the court found that the value of the Company was significantly less than established by the parties in the negotiations because further costs contrary to a specific warranty given by Seller - were unaccounted for in the income statement.

On 23 April 2003 the Maritime and Commercial Court in Copenhagen ruled that Seller must repay the purchase price to Buyer including interests accrued from 19 January 2002. Seller appealed to the Supreme Court and on 15 April 2004 the Supreme Court confirmed that Seller is obliged to repay the purchase price.

Remedies in M&A Transactions
It is probably not common knowledge that the Danish Sales of Goods Act applies to the purchase of a shareholding in a company in the same way as it applies to the purchase of other goods such as cars, machines and other items. The Danish Sales of Goods Act may be deviated from by specific provisions to that effect in a share purchase agreement, however, the standard provisions of the Sales of Goods Act will apply unless specifically deviated from.
This entails that an agreement to purchase a company may subsequently be terminated with the effect that the buyer may return the company to the seller if it is demonstrated by the buyer, that the company suffers from a substantial defect. Provided that a substantial defect is demonstrated by the buyer within the time limits set out in the Danish Sales of Goods Act, the remedies available to the buyer may include that the seller either cures the defect, repays a proportionate part of the purchase price or that the share purchase agreement is terminated.

In addition to these remedies the buyer may claim damages from the seller in the event that the seller has acted negligently.
It is often extremely difficult, if not impossible, for the buyer to return the company in the same condition as it was when the company was acquired by the buyer, and it will often be unacceptable for the seller to receive back ownership of the company after having been unable to control the development of the company in the interim period. On that background it is common in the professional M&A business environment to agree on specific limitations of the remedies available to the buyer.

Firstly, an exclusive remedy provision is normally agreed upon pursuant to which the buyer waves its right to terminate the share purchase agreement and to claim a proportionate reduction of the purchase price. It is normally stated that the exclusive remedy available to the buyer is monetary compensation covering the net costs of curing a specific warranted defect.

Secondly, it is common to agree on a limitation of the monetary claims, that the buyer can make against the seller setting both minimum and maximum amounts and a specific time limit within which the buyer must raise such claims against the seller.

Conclusion
While Hartmann Invest A/S, in the case referred to above, from the outset may have saved both time and costs in relation to the transaction process, I believe it is demonstrated by the judgement of the Supreme Court that Hartmann Invest A/S would have been well advised to seek professional assistance from an M&A advisor prior to entering into the share purchase agreement with ASIS ApS.

Hartmann Invest A/S had withheld important information from the buyer and on that background it may not seem too unreasonable that the share purchase agreement was terminated.

However, had Hartmann Invest A/S sought professional advice prior to the transaction, it would have been advised that provisions should be inserted into the share purchase agreement, to exclude termination of the share purchase agreement and to put a cap on the maximum liability payable by Hartmann Invest A/S.

It is frequently a valid and reasonable concern on behalf of the seller that the buyer should not be allowed to return the company to the seller once the transaction has been closed and the buyer has taken control of the company. Furthermore, it is often a valid and reasonable concern of the seller that it should not be subjected to unlimited liability for an extensive period of time.

Consequently, a limitation of remedies available in M&A transactions are commonly agreed between the parties. In my opinion, the Supreme Court judgement underline the importance of retaining professional advisors in M&A transactions where the parties to the transactions are not professionals themselves.

Value creation through M&A transactions

Tue, 19 Dec 2006 22:16:16 +0100

After the heavy M&A deal environment in the late 1990s and the early part of this decade, global M&A activity declined substantially. There is clear evidence that the M&A is again rousing from its slumber (see article elsewhere in this edition).

However, scepticism that M&A transactions fail to create significant shareholder value may prevent executives and managers from conducting attractive and profitable M&A transactions. It must be admitted that this scepticism to some extent can be backed by empirical evidence confirming that many transactions in fact remain unsuccessful. Half or more of the big mergers, acquisitions, and alliances fail to create significant shareholder value, according various studies by McKinsey & Co.

There are numerous explanations why transactions fail, the most important of which can be summarised under the following headings

Insufficient commercial logic
Flawed understanding of the new business
Insufficient due diligence
Overestimation of synergies
Poor deal structuring or negotiation
Wrong integration priorities
Management and people problems

An aggressive acquisition strategy can be an extremely effective way to build large, efficient companies more rapidly than can otherwise be obtained through organic growth. However, “acquisitions are often pursued because organic growth has halted or management teams are bored there is a real chance people are doing it for poor reasons”, according to Mike Fell, managing director of Granvill Baird Private Equity (RealDeals 1 July 2004).

Even when an industry is ripe for consolidation this cannot be the sole motivation. “Backing a pure consolidation play, combining companies in mature markets for better margins, incurs huge integration and financial risks”, says Philip Buscombe, CEO of West Private Equity (RealDeals 1 July 2004).

Is the answer that executives should eschew M&A transactions? No, of course they shouldn’t. The scepticism towards M&A transactions is unwarranted. New research by Boston Consulting Group (BCG) demonstrates that, contrary to the widespread academic opinion and the public record of acquisitions, acquisitive growth strategies do in fact create superior returns to the shareholders1.

Although some companies succeed to generate extraordinary shareholder value solely through an organic growth strategy, BCG says that on average the most successful acquisitive corporations outperformed the most successful organic growers.

According to Boston Consulting Group, successful acquirers choose acquisitive growth only when it is an inherent part of their strategy and they are confident that they can use it to create sustainable competitive advantage and thus deliver above-average returns.
Therefore, it is paramount that executives and managers constantly are aware of the fundamentals of successful deal-making including the following issues:

Developing an M&A strategy that enhances the overall business plan of the company
Conducting focused and rigorous due diligence
Negotiating a purchase price that reflects the true value ofthe acquisition target
Not ignoring post merger integration obstacles.

Master Class
The CBS MBA Alumni Society Master Class “Mergers & Acquisition”, which will start 25 October 2004, will provide a multidisciplinary approach by combining strategic, economic, financial, legal, technical, and organisational aspects of successful transactions. Furthermore, structuring and negotiation the acquisition will be part of the Master Class which aims to equip participants to conduct value creating and not value destroying transactions.

We trust that you will find the contents of the Master Class interesting and inspiring and encourage you to register for this unique opportunity to learn from highly experienced academics and practitioners.

As a kick-off for the M&A Master Class, a highly interesting Executive Briefing has been arranged for Tuesday 31 August 2004 at 5.30 p.m. Invitation with registration details will be distributed shortly.

Executive Briefing:
Anhydro Group. The creation of the World’s second-largest engineering company within drying and evaporating processing systems through a simultaneous cross border triple-merger.

Henrik Audon and Carsten Hemme, Audon Partners and members of M&A International Inc., who managed the merger process on behalf of two industrialists and a private equity fund will present and explain aspects of this unique transaction. Furthermore, Per Jespersen, CEO and investor in Anhydro Group, will talk about the development of the group after the closing of the transaction.

Positive Outlook for the M&A Activity

Tue, 19 Dec 2006 22:17:35 +0100

- driven by private equity capital
By the end of the 90s, the M&A activity rose dramatically. Among the drivers were a strong economy, a very positive stock market development, strong growth expectations (especially within the TMT sector) and a positive psychology in the market. However, after the bubble burst and the economic slow-down, the M&A has been at a moderate level in the new millennium.

When assessing the future development of the M&A activity, several factors have to be addressed. One of these is the availability of equity capital, either through the public stock market or private equity funds.
Private equity funds provide capital for LBO/MBO/MBIs. Their favourite investment target typically has the following characteristics:

A leading position within the market it is operating
A strong and predictable free cash flow
An experienced and complete management team with a proven track record
Clear growth potential, either organically or through add-on acquisitions

The private equity funds strive to add value to their investments through ongoing contribution to the enhancement of the company’s strategy and long-term competitiveness. Partly by focusing on value-creating elements such as topline growth, margin improvement and business consolidation, partly by making lasting improvements in corporate performance, for example within the areas of production, sales, marketing and logistics.

While the M&A activity decreased since the late 90s, the private equity funds have kept raising capital for investments. Hence, the private equity funds now have significant cash available for investments, which recently has increased the relative share of private equity in global M&A Activity. The Danish buyout market also rose slightly in value in 2003 compared to 2002. However, last year’s Danish figures are heavily impacted by one deal, Denmark’s largest recorded buyout to date, when CVC Capital Partners backed the public-to-private status of Danske Trælast.

As the availability of private equity capital is at an all time high at the moment, it will probably impact the M&A activity positively supported by other positive factors:

Cheap financing. The differential between government bonds and corporate bonds has decreased. Combined with the still relatively low interest rates, this provides a cheap funding possibility for acquisitions.
Positive psychology. An increasing faith in a positive development in the world economy and the general stock market increases over the last 14 months is generating a positive psychology, which increases the CEO’s daring and appetite for M&As.
Strategic tool. Ten years ago M&As were rather unusual, at least in the Nordic countries. However, for the front running CEOs today, M&A management is an important strategic tool to ensure the company competitive advantage, i.e. through increasing market shares, gaining critical mass or economies of scale or securing access to a unique and winning technology, distribution channel or raw material source.

The strategic, legal, structural and financial issues around LBO/MBO/MBIs and other M&A transactions will be discussed thoroughly in the coming Master Class focussing on M&A this autumn.

Corporate Reputation: Your Most Valuable Asset

Tue, 19 Dec 2006 21:53:05 +0100

Managing director of Publicis/REPUTATION Alexander Peitersen has been invited to comment on the well-attended Executive Briefing on “Strategic Corporate Communication as a Management Discipline” by Jens Gaardbo. Developing and nurturing a positive corporate reputation is essential in order to create shareholder value - a challenge Lundbeck indeed is facing.

A corporate reputation is the highest identifier of a corporation. It brings together the answers to all the fundamental questions about the company. What does the company want? What are its beliefs and values? What makes the company different? By providing the answers, the strong corporate reputation counteracts confusion both inside and outside the company - confusion causing misunderstandings, mistakes, delays and loss of money, goodwill and prestige. But defining the answers is a demanding process. And a process with many pitfalls, for example if the stakeholders find the values hollow and untrustworthy.

Creating a new communication
platform for Lundbeck
In the case of Lundbeck, Jens Gaardbo offered an interesting insight into the creation of a new communication platform - a new brand essence. Through meetings with an international advisory board assembled by Gaardbo himself, different value propositions were discussed. The final candidate, Mind People, encapsulates 3 dimensions: the business area (CNS and psychiatric disorders), staff specialisation, and the emotional and holistic approach (caring for patients, relatives and the people treating them). Once the essence of the corporate reputation was in place, a series of tactical projects translated and implemented this statement into specific actions - actions intended to stimulate the perception of Lundbeck. One such action is Art against Stigma - an international art exhibition of works produced by people suffering from psychiatric disorders.

Strong management required
But what does it take to strengthen a company’s reputation? First and foremost it takes a strong management, unafraid of change. Anyone who thinks you can change a reputation without changing the company is wrong. It goes for companies just as it goes for people; your reputation mirrors the absolute reality of who you are. Or rather the perception of who you are.

REPUTATION is currently conducting an analysis among European financial analysts to identify the most important drivers connected with assessing the value of a company. Preliminary findings show that financial analysts have 50% more focus on the strength of the management than on parameters such as PE ratio, cash flow, industry growth and other relevant figures. In the case of Lundbeck, much scepticism and outspoken criticism arose when the former CEO Erik Sprunk-Jansen was suddenly launched as a soft, caring, empathetic and friendly guy an example of too fast an attempt to change a negative impression of a company CEO.

The exact value
of corporate reputation
Measuring your reputation is difficult, as a reputation is an intangible and blurry entity. One thing is that the point of measurement is muddy; another very pertinent concern is the investment level. A reputation consists of far more than television commercials, print advertisements and brochures; it is the combined result of a string of activities such as investor meetings, recruitment activities, sponsorships, the architectural quality of headquarters, political activities etc. If you desire a true picture of your ROI, all such activities must be counted among your investments in improving your reputation. Because anything and everything a company says and does internally and externally affects its reputation. So besides money the corporate reputation is worth quite a lot of attention.

Executive Briefing: The Turn-around of BG Bank

Tue, 19 Dec 2006 21:50:17 +0100

Søren Kaare Andersen, CEO of BG Bank, gave a fine presentation on how Danish BG Bank has acheived a successful turn-around. 50 MBA Alumni members and invited colleagues were fortunate enough to have decided to devote a couple of hours to hearing about BG Bank and enjoying a glass of wine, a sandwhich and networking afterwards.

In MBA language (do you speak Porter?) the overall task was to move BG from a “stuck in the middle” strategy, trying to be everything for everyone in every segment, into a more focused strategy aimed at the "green segment" (33% of the Danish population), which is defined as being more modern, and/or ideological people.

One outcome of this process has actually been a lower market share - but rest assured focus on a more profitable customer base, which has increased the bottom-line and the bank is now focused on growing within its chosen segment. In fact, it believes it can double its market share over time.

The BG turn-around was essentially a large change management project and the “burning platform”, was provided by the fact that BG Bank was in a tight spot, standing in the shadow of a very blue (segment wise) parent company Danske Bank - having the blues?

Søren Kaare Andersen explained that a main task was to change the business culture, from being a slow organisation where the mantra was “us vs. them” (BG vs. Danske Bank) into a winner culture. In order to break down the barriers for change, 50-60 area managers were replaced by new area managers, who were selected in order to serve as change agents.

BG was also a very traditional product oriented company. And bank products are easy to copy - so a bank cannot base itself on differentiating its products on their main "bank parameters" as they will be copied within a fortnight if successful.

Therefore, the product development process was changed from product focus into a concept focus, i.e. based on the fact that consumers regard bank loans as a bi-product to buying a car and not as a product in itself.

“Story telling” was yet another important tool in the turn-around process, which has been very successful, with impressive results from BG over the past couple of years.

The bank that everyone had decided would die away, refused to accept its "fate" and has proven that a well executed, focused strategy does pay off. Handsomely.

After having built a compelety new foundation for growth, BG Bank can now focus on increasing its market share and increasing volume.

Thanks for an inspiring presentation.

Regards
Claus Lorents Sørensen, CEO Vejr2 A/S
EMBA, Chapter 6

Graduation Speech by Associate Dean Niels Bjørn-Andersen

Tue, 19 Dec 2006 22:02:33 +0100

Executive MBA graduates, families, colleagues, ladies and gentlemen.

Adult education has a long tradition in Denmark.

Already in 1849, when Denmark got the most democratic constitution in Europe, it was realized that knowledge is power. It was realized that Danes across the bank had to be given access to knowledge through the possibility of adult education.

The ideas of NFS Grundtvig, were allegedly inspired by a long discussion with a charming Clara Bolton in Cambridge on the evening of June 24 1824. And since they have been spreading across the Danish society, and gave rise to the folk high schools open to all.

The ideals of this education are based on the democratic ideals that no one can claim to have the privileged insight into the absolute truth. Accordingly, everybody should have the right to express his or her opinions. These were indeed great and challenging words in those days, and they are indeed challenging words in many countries still today.

With these words, Grundtvig wanted to stimulate people to fight against all forces threatening their self-esteem. Forces and individuals which in Grundtvigs own words inflated themselves into ’necessities that were set in stone’, and which created a feeling of powerlessness and apathy for the rest of us.

Instead Grundtvig wanted the common people and the population as a whole to rebuild their faith in their own judgment.

In our time the same type of mentality that lies behind management terminology of empowerment and commitment, where staff is actively involved and given more responsibility and self-determination.

And the a big jump of more than 100 years to the 1970’ies a new type of education started spreading in North America, that of the MBA. In sharp contrast to the ideas of Grundtvig, this was conceived and delivered for present and future top managers, the elite, not the masses.

For several years the MBA was viewed with skepticism by European companies and individuals because it fostered arrogant, ego-centered, graduates, which demanded high salaries, and understood very little of collaboration, group work, consensus building and business values.

But this has changed. European companies now cue up to recruit MBA’s. Even though the MBA programs are still filled with the traditional business topics of finance, accounting and marketing, the contents of the programs has changed to reflect the new attitudes of leadership, human resource management, collaboration, delegation, and sharing of responsibility.

Mads Øvlisen former president of Novo is quoted of saying: Enthusiasm, and interest in exploring new areas is the motivating force for the participants in an MBA program. An MBA course challenges the participants’ intellectual curiosity and expands their competence, but it is their enthusiasm that creates a dynamic environment. With this dynamism also comes the ability to learn and achieve good results’.

In this way, it has been our intention that this program has merged the old traditions of Grundtvig with the most modern business education to create a true learning experience.

Not a program, where you excel by being able to regurgitate what the professors have said, but excel by being able to search, analyze, understand and make sense. In one word learn. And secondly, apply this learning in a democratic, balanced way in collaboration and respect for modern management ideologies. In one word leadership.

This has been center stage in what we have tried to achieve in our Executive MBA program.

It has been estimated that there are around 10.000 MBA’s. You may even get one without studying as an add I got in the mail explained:

U N I V E R S I T Y D I P L O M A S

Bachelors, Masters, MBA, and Doctorate (PhD)

Obtain a prosperous future, money earning power, and the Admiration of all.

Diplomas from prestigious non-accredited universities based on your present knowledge and life experience.

No required tests, classes, books, or interviews.

No one is turned down.

Confidentiality assured.

CALL NOW to receive YOUR Diploma within days!!!

Why didn’t I tell you before you may ask well actually I have told many people.

An MBA is not a UN protected and policed title.
As always ‘the devil is in the details’ the little word ‘non-accredited’.

University diplomas like the one above do not come from a learning institution, they come from a print-shop.

But you know as well as I do that it is not just the MBA title but institution behind the diploma

And if we are narrowing the schools to those which are accredited like the AACSB in the US and the EQUIS in Europe we are down to less than 500 schools globally.

So there may be 10.000 schools/institutions offering MBA’s from St Petersburg City University to the MBA Institute in Aalborg but there is only one CBS MBA.

Well to be precise, you can only get a CBS MBA from CBS, but you can get it from going through several different programs like our
11 month full time MBA and
five executive MBA’s one of which of course is the Executive MBA program from which you are graduating

One of the key indications of the quality our ambassadors for the individual chapters/classes includes
Mads Øvlisen
Johan Schrøder
Anders Knutsen
Jørgen Lindegaard
Henning Dyremose
Lars Nørby Johansen
Lars Rebien Sørensen
Hans Skov Christensen
Alf Duch-Pedersen
a
We are not going to say as Grouco Marx ‘that I am not willing to be a member of a society which will have me as a member’. I believe that we are all interested in being members of a network, which includes these outstanding individuals, who have become icons of their time as the best and the brightest among leaders/top managers in Danish businesses

These outstanding individuals have chosen to have their name associated with the CBS EMBA.

We are pleased today that we may include you in the very select group of individuals who may call themselves CBS EMBA’s.

Over and above the accreditation, there are a large number of different rankings

These are primarily invented to meet the demand for an assessment of the quality of the individual programs, but we should not forget that they are also developed to sell journals/newspapers.

We believe that the Financial Times ranking is important, and in 2004 or no later than 2005 we expect that CBS will be on the list among the top 50 schools in the world.

This is not our BHAG big, hairy, audacious goal. Our BHAG is that we want to be the leading Nordic Business school and among the top ten in Europe.

We want to do that because it is valuable for the staff to be associated with a first rate program, but it is also valuable for you who have invested your time and who are carriers of the CBS brand.

We need to solicit your help to get this ranking. CBS needs to be a top school in research etc we will do that.

Another criteria which count 20% is the difference in salary between you’re the salary entering the program and the salary you have 3 years after completion.

You got my point you will do us a big favor in getting big salary increases now.

I have been one of only three CBS professors who have taught the first five years of the program.
I was then off the program in order to set up another EMBA program

I am
Proud of being associated with CBS
Proud of being associate dean of this fine program
Proud of this brilliant group of young, highly skilled young men and women who I am sure will make a substantial difference.

The quality of this chapter on average is better than any of the previous chapters.

Today we are confirming by bestowing the CBS EMBA degree on you that your intellectual luggage is first rate that you have the license and the skills to excel.

Use it and make sure in the future that we stay in touch
through our alumni network,
through contributions to our programs with cases/guest lectures, and
through taking part in telling the stories and the experiences from what you learned here
and become part of the CBS extended network.

Congratulations and all the best

Graduation Speech by CBS CELL director Claus Valentiner

Tue, 19 Dec 2006 22:03:25 +0100

Dear Graduates, spouses, families, sponsors and other company representatives and faculty, Ladies and gentlemen.

On behalf of Copenhagen Business School, it is a privilege for me as director of CELL Center for Executive Learning and Leadership to welcome you all here and first and foremost convey our heartfelt congratulations to your Executive MBA.

In a few moments Hans Skov-Christensen and I will hand you the diplomas and thus the great honour of the MBA title is bestowed upon all of you.

We all learned that in times of constant change one ability is vital for survival:

To learn - to unlearn and - to relearn - continuously all the time and all your life.

Therefore Copenhagen Business School has as one of its strategic goals the advancement of life-long-learning.
In order to meet the enormous demands of people with competencies like yours, CBS has made it a prime strategic focus to create several executive master programs with the relevant tools that enable you to manage and lead in turbulent and chaotic times.

I had the great privilege meeting you during the intro session 2 years ago; having a dialogue on Management and Leadership with all of you. We found that Management was the ability to cope with complexity and Leadership to cope with change. But as you have experienced and probably learned too through our Leadership Mentoring Scheme, leadership is much more than that.

Leadership is not to produce great or charismatic or well-known leaders, leadership is not the quality of the head, but the tone of the body and heart. Since you can’t work as a loner when you hold the top job in any organization, the signs of outstanding leadership appear primarily among your followers.

On your graduation day I therefore ask you to reflect upon the following questions:

Are your followers reaching their potential? Are they learning everyday? Are they serving the mighty purpose or only their egos? Do they change using force or with grace? Are they able to manage conflict? Are they resilient, i.e. able to bounce back in a decent way?

While management could be symbolized by a mental toolbox, leadership is much more an art, a belief, a condition of the heart, than a set of things to do.

The visible signs of artful leadership are expressed ultimately in its practices. To practice genuine leadership the following pieces of advice might help all of us:

We must understand, that Faithfulness is more important than success.
If we are successful in the world’s eyes but unfaithful in terms of what we believe, then we fail in our efforts in leadership.

We must understand that reaching our potential is more important than reaching our goals.

We owe each other the chance to reach our potential via belonging.

We must be willing and ready to risk.
Risk is like change; it’s not a choice.

Belonging requires intimacy.
Being an insider is not a spectator’s job; it means adding value and being fully and personally accountable.

Last we need to be learners together.
The steady process of becoming good and trustworthy learners goes on in most of us throughout our lifetime. We need to be searching for maturity, openness and sensitivity.

We at CBS are sure, that you will continue being good managers once back full-time into reality, but we perceive that some of you will even reach the next stage, becoming great leaders. We wish you all the best of luck in your future, which is not out there, but has to be shaped by yourself.
We are sure that you will be excellent ambassadors for CBS and the Executive MBA.

Finally we hope, that you will see the last 2 years as probably the hardest but also the most rewarding learning experience in your lives.
Graduation is one of life’s major milestones. It is a time of celebration of all the hard work that has been done, all the knowledge gained and the exams passed.
All of you are passing a milestone today. But the road ahead of you is open and broad. Claim it and use its breadth and its length with all your professional skills, your creativity and your commitment.

And do let us know how you are progressing and whether we can help, since our goal here at CBS-CELL is simple.... to help you reach yours.
Claus Valentiner, Director CELL

Graduation 2003 - Congratulations from the CBS EMBA Program Director

Tue, 19 Dec 2006 21:58:12 +0100

Despite the dark and cold time of year, the 43 Executive MBA’s were almost in a spring-like mood on Saturday, 6 December 2003 as they waited excitedly to put on their elegant black robes and the characteristic mortarboard hats.

The premises at Dalgas Have 15, too, exuded a completely different atmosphere than on a normal MBA Saturday teaching day, since on this particular day, the Copenhagen Business School was filled with proud parents, children dressed in their finest clothes, good friends and colleagues. It was quite a beautiful sight to see the 400 guests at the Centertorvet at Dalgas Have all of whom rose to their feet in respect for the procession of robed MBA’s and MBA teachers as they took their seats. I welcomed everyone and then the CBS Executive manager Claus Valentiner spoke to the newly graduated MBA’s and their guests. The “sponsor” of the class, Managing Director Hans Skov Christensen, myself and Chairman of the CBS Executive MBA programme Niels Bjørn-Andersen had some warm and well-intentioned words for the MBA graduates before the diplomas were presented by the CBS Executive Manager and Managing Director Hans Skov Christensen.

However, the ceremony did not end with the presentation of the 43 diplomas and 43 handshakes. The Chairman of the CBS MBA Alumni Society Jens Søndergaard presented an award to the Student of the Year. The award is given every year to the student in the graduating MBA class chosen by his or her fellow students subject to the following criteria:

The person was an inspiration to his/her colleagues professionally both in class and in group assignments.
The person supported and inspired activities outside the professional scope of the MBA.
The person has proven himself/herself to be a good and loyal friend who contributed actively to the class network.

The Student of the Year was Jacob Therkelsen, Assistant Director, M&A, Deloitte & Touche Corporate Finance, chosen from among the CBS Executive MBA students of 2002/2003 the newly graduated MBA’s. In keeping with the symbolism behind the award, the prize for the Student of the Year was a crystal ball, which could always be handy should the MBA knowledge and teachings prove not to be sufficient to deal with all of the situations life presents us with.

According to tradition, the Student of the Year gives a speech to the graduating class. Jacob Therkelsen did this very eloquently.

Publicis Reputation also donate an annual prize to the Student of the Year, so in addition to the crystal ball, Jacob Therkelsen also received a cheque for DKK 25,000 from the Contact Manager of Publicis Reputation Alexander Peitersen.

Then, celebrations continued with drinks and a buffet in the CBS cafeteria where the happy MBA’s met their guests and congratulated each other on their newly acquired and well-deserved degrees.

A heartfelt CONGRATULATIONS to all CBS Executive MBA’s 2003!

German deflation scares one of many challenges ahead

Tue, 19 Dec 2006 22:21:16 +0100

Peter Schlaikjer Bruhn is chief economist and head of the research department of HSH Nordbank in the Nordic region since 1999. His main work areas are macroeconomic and financial forecasting of the Nordic and international economy.

The German economy is hopefully on its way out of recession. GDP growth has been negative in the 3 quarters since Q4 2002. Even though there is reason to expect that the bottom have been passed in this business cycle, growth for 2003 as a whole will be very modest. Growth has been clearly below 1% in 2001 and 2002 as well. Add to this that average growth in 1992-2000 was only 1.6% and you have a picture of a disappointing growth laggard among the developed econo-mies for more than 10 years.

Most forecasters expect Germany to grow between 1.4-1.8% in 2004, but there are substantial downside risks to these estimates.

Why has Germany performed so badly? The recent slowdown can be attributed to a slowing of foreign demand due to the slowdown in the international economy since 2000. Second, invest-ments have decreased markedly in the same period after they increased quite robust in the boom period in the 2nd half of the 1990’ies, leaving Germany with substantial excess capacity.

Third, unlike in the USA or Denmark households have not been able to benefit from the decline in interest rates through the housing market because of legally prevented access to refinancing of mortgage loans. And fourth, the German construction sector has been hit very hard by the dis-mantling of subsidies to East Germany.

Since the reunification in 1991 structural forces have been in play as well. Productivity growth has held up reasona-bly well, but employment growth has declined due to among others a shift to more part-time jobs, shorter workweeks, and an increase in structural unemployment in East Germa-ny.

Low growth, structural problems and higher unemployment leave the German economy vulnerable in the years ahead because of a relative increase in the number of elderly. Germany is among the countries in the European Union that should see the biggest, relative increase in the number of elderly.

Low growth has also led to lower inflation. In Germany consumer price inflation has been around 1% y/y since summer 2002 certainly low compared to the ECB ceiling of 2%, but also clearly above zero per cent.

There is widespread concern that Germany could end up with a Japanese-style deflation, where growth is declining or stagnating because house-holds and companies are postponing their consumption and investment, because they expect prices to decline even further.

At the moment there are no signs that the low inflation has triggered deflation expectations to any serious extent. In that sense there is no immediate risk of deflation. But having a permanently low inflation increases the risk of periods with declining prices should Germany be hit by events that lower demand. In that sense a little higher inflation would increase the safety margin.

Program Director Mike Hall's Graduation Speech, 2004

Tue, 19 Dec 2006 22:05:50 +0100

Your Excellencies, Copenhagen Business School’s Deans and Directors, MBA faculty, Members of our MBA Advisory Board, MBA Mentors, fellow colleagues from CBS, MBA Participants, your family and friends, some of whom have flown almost half way around the world to be here, ladies and gentlemen.

Welcome to the graduation ceremony for our full-time Master of Business Administration programme - The MBA

For the second time during these last twelve months Copenhagen Business School is making history. Sitting in front of you is the first cohort of graduating full-time MBAs in CBS’s and Denmark’s history. Truly a milestone in the educational environment in Denmark.

I propose that I answer three questions for you. What is the MBA, what is it for and why do people do one?

Program Director, Mike Hall, speaking at the CBS Full Time MBA Graduation
Program Director, Mike Hall, speaking at the CBS Full Time MBA Graduation

What is the MBA? Basically the MBA is a non defined, relatively uncontrolled business degree that can almost be awarded by anyone who wants to do so. CBS is accredited by the European Foundation of Management Development and therefore we feel somewhat secure on the quality side. The length of an MBA varies from 11 months to 2 years. Its content varies enormously and the quality too. Yet it is the most highly regarded business degree in the world. In 1971 11% of all Master degrees were MBAs, and in 2001, 30 years later, the figure was 25%.

What is the MBA for? There are many discussion about this, but apart from getting news tools or updating old tools it gives the MBA graduate an ability to think critically and constructively, thus enabling decision making, and this all helps decision implementation. There has been huge growth in the MBA market. In Britain for example, a five year period in the late 1990s saw a growth of 35% in MBAs awarded. There has been a huge growth in China too. There are now 21 MBA programmes with US partners, as well as a further 40 MBA schools there. Much of this growth has happened in the last 5-10 years. In Russia, Central and Eastern Europe 1000 new business schools were started in the 1990s.

Why do people do an MBA? According to Market research done by the Economist about 65/70% do an MBA to either improve their current career or to change career so it’s definitely a major step for them to take. In front of you are a group of people who dared to take this step.

In front of you are 37 MBAs who a little later in the ceremony will be awarded their MBA degree. Yes they have all passed. With more than 75% of them coming from outside of Denmark they represent 21 nationalities from 17 different countries who between them speak 19 different languages. It has been this diversity of culture and background that has contributed to their experiences this last year. I’d like to share with you a comment from one of the interviews we do with all participants before they are confirmed a place in the MBA. This person said that he had never met someone from China and we have just given him a whole year in the company of that missing link in his life. What an experience that must have been. When they started the MBA their average age was 29.2 and although about two weeks ago they looked as though the average age was 35, I’m glad to see that they certainly look younger than that today.

When they started the MBA I offered them an alternative meaning to these three letters at the matriculation ceremony, A Major Brain Adjustment and I’ve since had it confirmed to me by some members of the class that it was very true.

It’s been a very tough year for them. They have been under continuous pressure to read, analyse, produce, perform and present, and on average they have done between 70 and 90 hours work a week for the year. For these last few weeks I suspect that this number is more likely to be well over 100. I know for a fact that on many occasions the number of hours sleep could be counted on one hand. It was by design that they were given 24 hour access to their group rooms. They were put into groups, which were changed twice, and learned the hard way how to work with people they perhaps didn’t want to work with. On the other hand they were also able to experience the good things in groupwork and I trust they’ll take those factors with them into their new professional life. In spite of the toughness of the MBA they have managed to squeeze even more out of this year. Some of them have trained for and completed the Copenhagen Marathon. We had two teams in the Børsen Adventure Race and in case the glass was pessimistically only half full there was always room for a beer or two. In fact I’m sure that one of the social highlights of the year was the Christmas party where we were all introduced to typical Christmas cuisine from Denmark accompanied by some very potent liquids from around the world ! As for the groupwork I know that they have enjoyed it so much that a new group has recently been formed and next week they are off to Greece to do more group-work (that’s what they told me anyway I wonder what type of work that is). Please do not take MBA brochures or my business cards with you.

The MBA class was originally chosen from our much larger pool of applicants because it was considered that each and everyone of them they represented something special. Today is proof of that. It’s their day let’s make them remember it.

Our opening speaker is Claus Valentiner who is the Director of the Executive Center here at CBS. He has been unqiquely involved with the MBA and has had almost a parental role to this year’s class.

As you heard from Claus there were changes that were made _ way through and I want to tell you that it’s not easy to take up a job _ way through a cycle. This is what our next speaker had to do. Fortunately he’s a rather organised person who wants all i’s dotted and all t’s crossed. He’s is the Associate dean of the MBA Programme, Professor Thomas Ritter.

Congratulations to you all and especially Jens and Torben.

Now its time to hear what it has been like on the inside of the MBA. Imagine for a moment that you had decided to go to some far off country and live there for a year and get a new education. A lot of our class have done exactly that. A new environment, a new culture, a new climate. We now have the chance to listen to someone who not only traveled the furthest to get here, but when she started was the youngest in the MBA class. Lets hear what it was like to complete the MBA from Micaela Camacho Engler from Uruguay.

Thank you Micaela,
Congratulations Marc. A unanimous vote from the class, but I’m glad to see that a number of our CBS professors were very close behind you. I think that they should legalise cloning of professors.

Micaela, (I remember that you accused me of making you feel very sentimental at the matriculation ceremony now it was your turn.) Thank you for your words to me personally and thank you of course on behalf of the class for letting us all share the inside track of the MBA.

Corporate Denmark, Look out they’re here right in front of you, 37 new baked MBAs fresh from the oven ready to take Denmark by storm. Except that not all of them are allowed to. Sitting here today is a mass of talent that Denmark probably has to say goodbye to. Can you believe that? They love Denmark, they are well educated and there would be nothing wrong in them staying here for a period of two years helping Denmark build a bridge to their country. I hope that a lot of you read the article in Børsen yesterday about exactly this subject. If you are a company in need of talent- its right here. But you’ll have to be quick. Many of them are getting snapped up. Companies such as Roche, Stelton, Winterthur in Switzerland, Mjølner Informatics, have already signed up some of our MBAs and other companies such as Siemens, IBM, McKinsey, Danfoss and ECCO have had a number of interviews with them.

Some of this contact is because of the CV book we produced. Other jobs have come through the Strategy Project. This is the capstone consulting report that they finished this week after 5 months of work. Work that has taken some of the class to the Czech Republic, Switzerland, England and Germany whilst they still had other MBA work to do. I’ve had the privilege of sitting in on a number of these reports and I was extremely impressed. A great job Denmark I wonder if you know what you’re missing.

Dear MBA graduates, that sounds good, dear MBA graduates, I really can not believe that 11 months 5 days and 4_ hours has gone since we matriculated you in the Auditorium behind me. Where has that time gone? It’s said that time flies when you’re having fun and /or when you’re getting old. The second part is definitely true for me but have I had fun. Yes and no. Yes because my ambition was to be able to start this programme as we started with a great group of participants from around the world ready to pioneer their way into the MBA. And No because I’m a bit of a perfectionist and having told you that this was going to be a brilliant MBA, I always wanted it to be like that.

You’ve heard me say on many occasions that our goal is be a top MBA school in Europe by 2010. We have even put a number on it. # 10 by 2010. And in there is the key. By 2010, so I suppose that we have some time to go yet. The foundation blocks that are solid will remain, those with a crack in will be repaired or changed. Most of you are well aware already of changes that will benefit next year’s class. I am only sorry that the benefits for you will come as the credibility of the programme improves year by year. Thank you for your contructive criticism, and expecially thank you to Kasper and Alejandro who started as class representatives, and then again Kasper and Rolands who served on the Study Board for the year.

In many ways it seems like yesterday when I saw in front of me a relatively innocent group of passionate people from around the world who had agreed to be part of this first ever full-time MBA in Denmark.

But my first meeting with many of you was much earlier. Micaela has already mentioned that we met in Uruguay, Martin was there too. Koushik in India, Duane in Toronto, Jason and Alexander New York, Alejandro Mexico City and so we have had the opportunity to grow into our relationship and because of that it’s going to be all the harder to let go as we come to the end.

There is probably much debate about the end of an MBA. In some ways I’d like to compare it with the love scene in the bath from one of my favourite films The English Patient. As Kristin Scott Thomas is washing Ralph Fiennes’ hair, he asks her “when are you most happy”, she replies “now”, and he continues “when are you most sad” her reply was the same. Could that be the same with today? that it’s both the best and the worst part I suspect so.

Today is a special and somewhat sad day. We have to say goodbye. We have to say goodbye to you as MBAs and watch, sort of as a proud parent may do, as you go out there and make a difference in the world. In my opening remarks on that day just a few months ago, I said that there are three types of people in the world of business. Those that make it happen, those that watch it happen and those that wondered what happened your job from now on will now be to make it happen.

On the other hand today is a happy day. We can say goodbye but hello to a new style of relationship with you as Alumni. A relationship that will, we hope, strengthen your ties to CBS, the MBA and Denmark. It is as an Alumnus that you will get even further value from your MBA year as you now move into a network that will continue to grow year by year. Use this network of contacts wisely and eventually you will reap the benefits. You already know some of the members of the MBA Alumni Society and I’m very glad to see that they are well represented here today.

Organising an MBA year like this one is team work. Thank you faculty, thank you Thomas and Claus, but mostly thank you Malene, Anne Lise, Lea, Jane, Christina and Christel.

I have an award to make. The award is sponsored by Publicis and is The MBA of the Year award. Although presented by the school it is the members of the MBA class that has chosen the winner by sending in one vote each. The criteria that were used to vote on were that:
The person has been a source of inspiration to his/her colleagues academically both in the classroom and during group work.
The person has been supportive and an inspiration to extracurricular activities.
The person has proven to be a good and loyal friend who has contributed actively to the network in the class.

and the winner is Kasper Langkilde

Finally MBAs, I want you to know something.
There is no doubt in my mind that in the future there will be individuals who will enter the MBA class who will be, one by one, better than you. However there is no way that any class can ever surpass you as a group. You were the pioneers, you are still the pioneers and you will always have the privilege of being called our best ever class. Thank you for a truly wonderful and fantastic year.

To help us build the MBA we started an Advisory Board. One of the members of that board has acted almost as an Ambassador for the MBA, a role that we will involve year by year within the MBA. He gave the class a fascinating lecture on building international management teams, he provided us with a Strategy Project, and having found two of the team so good he had to hire them and lure them off to Switzerland. Please welcome the Chief Operating Officer of Switzerland’s Winterthur - Chris Schnor.

CBS Executive MBA as the leading EMBA in the Nordic countries

Tue, 19 Dec 2006 21:59:53 +0100

The new CBS EMBA Dean, Professor Niels Bjørn-Andersen writes:

It is a great pleasure for me to assume responsibility for the academic side of the CBS EMBA program after Per Jenster. It is especially delightful since the program is in a very good shape with lots of applicants, excellent faculty and very high quality motivated students.

Especially I am pleased with the growing number of high quality applicants, we had for the start in 2003, and with the large number of applicants we have for 2004. The global decline in number of applicants most frequently reported at the level of 20 30% does not seem to have hit EMBA. I believe the reason is two fold. First of all, the market is slowly but surely recognizing the very high quality of the program including the new Leadership/Mentoring program and the effective in-company strategy project. Secondly, Anne Mette Dissing-Imrekær and her staff at the EMBA office are doing an excellent job at promoting the program in general.

It is customary when assuming a responsible job like this to present a vision and strategic initiatives.

And let it be said, I have high aspirations for the EMBA program. Many observers already today recognize the CBS EMBA as the leading program in the Nordic countries. Within the next three years it is my vision that this will be generally accepted, and that it will be ‘documented’ through a position among the top 25 on the Financial Times list of Executive MBA programs. Looking at the criteria, however, one will realize that this is going to be extremely difficult since this includes dimensions like growth in candidate salary before and after graduation. And since manager salaries in general are rather low in the Nordic countries, it will be hard to compete. However, a further realization of the objectives of CELL, ‘to help you realize your goals’, will solve that problem!

What is then going to be the future of the CBS EMBA? Over the last six month we have been discussing the possibility of introducing specializations. If the general intake is high enough it would be possible to introduce two or three specializations besides the general management line. We have discussed two types of specializations, by industry (E.g pharmaceutical, finance, service, shipping, construction) or by business issues (e.g. e-business, HRM, finance).

Such a specialization could be introduced in the second year, and it would more or less include the full third semester. Students in the program would select their specialization already in the first couple of month of their study, and as soon as we knew the number interested in the different specializations, we could start the detailed planning of the courses in collaboration with faculty at CBS and/or abroad. Clearly there would need to be a certain minimum in each specialization for it to become operational.

For the in-company-strategy-project we will not group students with other from their specialization. This could be difficult for competitive reasons, and we believe that it would be more inspiring to work in groups across topics/specializations.

It is important to stress that even with the specialization, we are still talking about an EMBA on a general management level. But we expect that the focus on special industries/issues will attract a new group of applicants since it allows for a somewhat deeper involvement at the expense of other issues. In this way we also expect that the in-company-strategy-project in a number of cases is likely to be even more valuable than today.

We are also considering the introduction of a Certificate of Business Administration. This would be a shorter program of up to half a year of study on the same high level as the EMBA. We believe that many managers would be very interested in such an offering which will be much more elaborate than commercial courses, and would be an attractive offer for somebody who can not spare the time for a full EMBA. It is my intention that the completion of such a program would count as credits in the EMBA program allowing a CBS Certificate owner to drop some of the EMBA courses, should he/she afterwards want to pursue an EMBA degree.

As you can see, there are many interesting innovations just around the corner. In actual fact we expect to be able to present a proposal within a few months. If you have any comments/ideas, we would be very happy to hear from you. At any rate, please stay tuned for more news on these exciting innovations.

Niels Bjørn- Andersen

Facts about our new Executive MBA Dean:

Niels Bjørn-Andersen took over as Associate Dean of the CBS EMBA on April 1st 2003 from Per Jenster. He started his academic carer as Ph.D. students at CBS in 1969, and was appointed full professor in informatics in 1987. He has written more than 150 articles and books, has been managing over 3o international research projects, and has excellent relations to industry especially within the IT/IS industry. He has also been managing the Global Executive E-management MBA, a collaborative venture with nine other leading business schools in Europe and North-America since its start in 2000. You can read more about him on www.cbs.dk/staff/nba

If you meet a Headhunter...

Tue, 19 Dec 2006 22:56:42 +0100

Chapter 9 had the pleasure to start our 4th semester on 8 August with an inspiring presentation by Kai Hammerich on the requirements to the “future leader”. Kai Hammerich is partner of Russell Reynolds Associates, one of the leading global search and selection companies, and head of the Copenhagen branch office.

In his presentation Kai Hammerich spoke about the changing business environment and the demands and wishes of the professionals. Earlier lifelong employment, where the employer takes care of the carrier plan of the employees is gradually being replaced. In today’s networking organisations employees are much more responsible for creating not only their present job, but also their future employment and carrier. Today employees want to control their own development, meet challenges, change position and be flexible. Knowing their own worth, professionals expect to be rewarded for their competence and efforts.

In the knowledge based companies, we will see more women leaders in the future. They will create their own positions based on competencies and network. For both men and women, the carrier must be speeded up in the beginning of the thirties, and one must make sure to be in an advantageous position by the end of the thirties. If things don’t move in your present organisation, move on. Change job or position every third to fourth year, depending on results and development.

The first year in a new job is often spent on knowing what is going on within the organisation. The second to implement new strategies and gaining respect. The third year you can harvest your success, and look for new challenges. This pattern will look perfect on the CV, and staying to long in the same company also has a negative side effect on your salary. You become under paid. One has to meet the job market to get the one’s salary calibrated.

In the future we will work as consultants and “information brokers”. It will be cultural based management, and based on common values. The “winner takes it all” society is going to rule.
The future leader in this environment has to be charismatic, motivating, visionary and self-confidential. No one respects the old fashioned boss behind the mahogany desk. The future leader knows his business and what is going on in the frontline. He has a passion for the task, and is a role model for the employees he leads. The success as a leader is also depending on the ability to employ and motivate people, helping them to gain success.

In the leaders chair, be yourself, be in balance, listen, be aware of your employee’s feelings and ambitions and don’t be naïve.

Finally, Kai Hammerich gave some piece of advice should you meet a “headhunter” in the future.
Be aware of your strong and weak sides. Be realistic, know yourself and be self-confident.
Show your results and make a result oriented CV, where you list the tasks and responsibility you have had. Exercise your skills and competencies or your market value will decline.

Competencies, experience and education are important, but having the right values that matches the requirements of the company are essential. However, there is also a clear tendency that “soft values” are decisive in the final selection of the “right person” for the job.

Does Diversity Matter? An American and Chinese view on the CBS EMBA

Tue, 19 Dec 2006 22:22:15 +0100

When an American and a Chinese participate in the Executive MBA program at Copenhagen Business School then what do they have to say about the program? By moving over to an English-only format, CBS opened the doors to a wide community of foreigners residing in the Copenhagen vicinity, either temporarily or longer term. Brianna Breen and Guo Weijian both believe they and their Danish classmates mutually benefit from the international environment in the classroom.

I am one of the four foreigners in the Chapter 9 class of approximately 40 students in total. We come from America, Egypt, India, and Sweden (is it a stretch to call the Swede a "foreigner?"...). We all reside in Denmark on a more or less permanent basis, meaning we are not in Denmark due only to a job assignment. To varying degrees, the English-only aspect of the Program was an important factor for all of us.

Growing Pains
Given that the EMBA program is quite young and the English-only feature is in its third year, it is clear that it may take a few rounds to completely grow into this new identity. That there is not a clear "middle road" can at times seem awkward - for instance, when holding a "spouse afternoon" at the Introduction Seminar in English, when in reality all those present spoke Danish comfortably. However, there will be no doubt that English is the lingua franca when a more significant proportion of the students are non-native Danish speakers; and in order for this to happen, it is clear that English must be the language of the Program.

The set-up in Chapter 10 is very similar: Out of 50 students a total of six come from abroad, namely from China, UK, Ireland, Russia and Sweden. Guo Weijian, C10, has previously worked for the Chinese Embassy in Copenhagen as commercial secretary, and is currently looking for a new job. I asked Guo how he felt about the EMBA and he explained that he is very satisfied with the EMBA program so far and has high expectations for the next three semesters.

But while Guo enjoys the mix of highly competent people from many different backgrounds, he is concerned that Danish continues to be one of the ‘official languages’ of the EMBA: ‘People are prone to speak Danish when they can leaving us out of the conversation. Although this does not happen much in class, Danish is obviously still seen as the natural language for the social chats’ Guo adds.

Raising the Bar
The English-only nature of the Program also requires a certain caliber of students, faculty, and staff. For the most part during my experience, the academic standard has been high, with only the exceptional few somewhat challenged by English. However, an international program is more than just speaking the same language. When a professor begins his opening comments in Danish, then asks our Indian classmate if he should instead try to speak "Indian," this cannot just be brushed aside as poor Danish humor.

Does diversity matter?
The benefit of a diverse study body, where nationality is one aspect, is the ability to exchange perspectives influenced by different experiences. I believe my chapter has drawn upon each other's unique strengths. One of our "financial guys" once helped save a Financial Accounting class. Another participant helps others relate to topics "as seen from a marketing point of view." Our Indian classmate has contributed her first-hand experience in relation to a business case dealing with a particular Western business expanding in Asia. And the list goes on.

The benefits of a diverse study body far outweigh the language challenges, which will most likely persist as long as the foreign students are but a small minority. But that does not mean that the MBA Program should consider the transition as completed. It is well underway, however, and it has been and continues to be a very positive experience to study at the CBS EMBA Program. Diversity does matter! BB.

Is China really the fourth world economic growth engine?

Tue, 19 Dec 2006 22:23:14 +0100

Is China turning into the fourth 'engine' which can create the demand that drives economic growth - alongside the three established 'engines' of the United States, Japan and Germany?

A few weeks ago Lehman Brothers concluded that 'China is already emerging as an important growth pole, not just for the Asia region, but also for the world.'

It has become part of our established outlook that China poses a threat to factories and jobs all over the Globe as China exports cheap, but high quality goods, in greater and greater quantity.

According to a recent article in Newsweek, the 'China threat' has not disappeared, but other key figures indicate that China may be gearing up to generating serious demand. For one thing, imports are growing faster than exports and, according to Asian Development Bank forecasts, China will become the world's biggest importer by 2005 - ten years sooner than it is expected to become the world's top exporter.

China is usually not considered in the same league as the United States, Japan and Germany. And granted, there is a long way when comparing GDP. The Chinese accounted for just 2.6 % of world-wide GDP - less than a third of Japan's contribution. But adjusted by PPP (Purchasing Power Parity) China contributes with 10% of world GDP and comes in second only to the United States.

According to Lehman Brothers, using the PPP analysis and a projected growth of 6 to 9 % per year (the current growth rate is closer to 10%), China could surpass Europe in contribution to grobal growth as early as 2008.

Already foreign direct investment in China surpassed the United States for the first time last year with a record 52.7 billion US dollars.

But that is not to say that operating out of China is simple.

Again according to Newsweek, Merril Lynch has 'found a pattern of excessive foreign direct investment, brutal price wars and a headlong rush rush to tap growth in China as demand slumps in America and Europe. While everyone talks about the importance of sales to China, there is little data on profits and margins other than anecdotal evidence from companies like Dell, Volkswagen, Unilever and Coke. Most multinationals are boosting production, admitting prices will fall and hoping that margins can be supported by cost cutting.'

But no matter how competitive the market the boom in demand is huge, Newsweek writes and concludes that 'China now looks like a supercharged engine of the world's only dynamically growing region.'

The Chinese economy has been hit by SARS and is not unaffected by the global downturn with Urban unemployment projected to reach 4.5% this year.

On the other hand, a record 2.12 million Chinese will graduate from the country's universities this summer... maybe they hold the key to the answer - and the economic growth engine: It is not a matter of 'if', but 'when.

PJT.

Sources and citations:
Newsweek International, vol CXLI no. 25 and 26.
Lehman Brothers, Asian Development Bank and World Bank figures.

Economic experts recommend to boost innovation

Tue, 19 Dec 2006 22:24:22 +0100

A recent report from the The Danish Economic Councel (Det Økonomiske Råd) strongly encourages Danish industry to enhance innovation.

For centuries, knowledge and technical progress have been essential for economic growth and employment. However, some aspects of the latest developments have increased the importance of a country's capacity to produce and utilise knowledge.

These structural changes are associated with reduced costs of gathering information and making economic transactions.
Another driving force has been internationalization, this being due especially to political decisions to create free trade in goods and services and free movement of capital.

International studies indicate that the current R&D level in Denmark is below the optimum. In 2001, Danish R&D expenditure amounted to 2.4 per cent of GDP. In an international perspective this places Denmark slightly above the EU average. However, compared to Sweden and Finland Danish R&D expenditure accounts for a considerably lower percentage of GDP. A similar pattern arises in an international comparison of the results of R&D effort
measured as the number of innovations and the number of patent applications.

Several Danish and international analyses find a statistically significant positive effect of R&D in influencing both the level of and changes in productivity.

Recently, a study conducted by PLS Rambøl Management among Danish industry leaders for the Danish daily, Jyllands Posten, confirmed that an increased
R&D intensity would enhance the overall competitivess of Danish companies (cf. Jyllands Posten, 7 July 2003).

The Master Class on "Driving Corporate Innovation" aims to equip participants with practical skills to manage the innovation proces in real life.

The recent report from the Danish Economic Council (Danish Economy, Spring 2003) is available on-line at http://www.dors.dk/

M&A - on the brink of a new tide?

Tue, 19 Dec 2006 22:25:08 +0100

After a three year drought, investment bankers aspirations of an upturn in mergers and acquisition have been boosted recently after a number of large-scale M&A transactions internationally as well as domestically. In Denmark the recent merger between Nykredit and Totalkredit is an examble of that tendency.

The decline in M&A transactions, which started in 2000 has continued well into 2003, but there are signs that a sustainable change might be under way. Investment bankers, who have been predicting a pick-up in activity during the second half of 2003 indicate that the recent surge of activity is likely to continue.

Although the volume of activity is still down on 2002, there has been a significant increase in activity during the last months. Figures recently published by KPMG indicate that the number of M&A transactions during the first half of 2003 were down by 19% on a global scale, whereas the decline in Denmark was even worse at 31%.

Embryonic signs of macroeconomic recovery, albeit still not manifest, could indicate that leaders should start preparing for the next acquisition, merger or divestment. In other words: We might be on the brink of a new tide in terms of M&A transactions.

Thus, start preparing for the future, whether you plan to be in the market for new acquisitions or not. You could be the acquisition target during the next wave of mergers and acquisitions, so it is paramount that you are able to calculate the real value of your company! A good reason to attend the Executive Learning Series event in "Valuation".

The activities of the Alumni Society will be centred on three different types of events.

Tue, 19 Dec 2006 22:35:34 +0100

The MBA Alumni Society calendar of events includes a monthly event in the Executive Briefing Series or Learning series except for the months of June, July and December.

Furthermore one Master Class is scheduled for each calendar year in the time frame October-November.

There has been some confusion regarding the definitions of the various events and we have also been confused ourselves. The following definitions have now been agreed and will be used in future:

Executive Briefing Series
These are our well known after working hour’s events. The briefings normally start at 5.30 p.m. with a presentation of a topic of current interest, the duration of which will typically be 45-60 minutes. A dialogue between the speaker and the audience succeeds the presentation. The total duration is about 90 minutes.

During the subsequent gathering, where we serve refreshments and sandwiches, participants have the opportunity to network with other Alumni or guests attending the event.

Participation is free for MBA Alumni Society members and guests invited by members.

Executive Learning Series
The events in the Executive Learning Series have a distinct learning perspective and aims to provide participants with new insight including new analytical and/or practical tools that are applicable for leaders in their daily work. The duration of an executive learning is typically 3-4 hours. It should be noted that "Valuation" is an event in the Executive Learning Series (the event was erroneously marketed as an Executive Briefing in the July edition of MBA News).

During the subsequent gathering, where we serve refreshments and sandwiches, participants have the opportunity to network with other Alumni or guests attending the event.

Participation is free for MBA Alumni Society members. Non-members pay 500 DKK upon registration.

Master Classes
The Master Classes are the flagship of the Alumni Society. A Master Class is a specifically tailored postgraduate program for the CBS Executive MBA's. Enrolment is also open for MBA's graduated outside Denmark, and for other senior executives.

The topic of a Master Class will either be a topic, which the MBA Alumni Society Committee deems to be of vital interest to our alumni, or, a topic that has recently been added to the CBS Executive MBA Program curriculum

A Master Class consists of seven-eight sessions, each with duration of 4-5 hours. Participants can optionally prepare and submit a project, which will be graded by the professors.

Diplomas will be issued to participants whose assignments pass the grading.

Participation is not free, but MBA Alumni Society members are eligible for a substantial discount of 20-25%.

The fee includes course materials and refreshments and a light meal in conjunction with each session.