FISHER NEWS May 16, 2008
  In this issue

Southwest CEO: Positive workplace, customer service keys to leadership excellence

Program to help businesses stay profitable while executing sustainability strategies

Study finds 2001 accounting rule on derivatives alters firms’ exposure to risk

Jeni’s Ice Creams founder speaks to MBAs about sweet success

Fisher Professional Services helps OSU launch tech store

Four undergraduates honored with Wolfe Study Abroad Scholarship

Fisher People: Joan Evans







Max M. Fisher College of Business > The Ohio State University Fisher College of Business
Southwest CEO: Positive workplace, customer service keys to leadership excellence
Gary Kelly, CEO and vice chairman of the board of Southwest Airlines, speaks to students during the Leadership and Professional Development’s Sander Flaum lecture on May 7.
Gary Kelly, CEO and vice chairman of the board of Southwest Airlines, speaks to students during the Leadership and Professional Development’s Sander Flaum lecture on May 7.

Dressing up as Hairspray’s Edna Turnblatt on Halloween is just a bit part the towering Gary Kelly, CEO and vice chairman of the board of Southwest Airlines, plays in his management role to ensure the company provides a pleasant workplace for employees.

Aside from parading around in make-up and size 14 pumps, Kelly said among his guiding principles of leadership strategy are empowered employees, emphasis on teamwork, competitive salaries and excellent customer service. Kelly shared his formula for success with Fisher College of Business MBAs and Ohio State aviation students who gathered at Pfhal Hall on May 7 for the Leadership and Professional Development’s Sander Flaum lecture.

Kelly began his career with Southwest in June 1986 as controller. He was promoted to chief financial officer and vice president of finance in 1989, and to executive vice president in 2001. He was appointed to his current role in July 2004.

Kelly said that Southwest, long dubbed, the “no-frills” airline, is now exceeding its competitors in the free amenities it provides passengers. Read More »

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Program to help businesses stay profitable
while executing sustainability strategies

People, places and profits are the metrics of business performance and experts say the foundation for sustainable practices. On June 19, Executive Education will conduct a “boot camp” for executives and senior managers to place them on the path to greener business practices and sustainability through triple bottom line measurements.

Area executives who have successfully established programs will join Neil L. Drobny, who teaches sustainability courses at Fisher as an adjunct faculty member, in Executive Education’s day-long “Triple Bottom Line Boot Camp: Executing Sustainable Business Practices.”

“Experienced business executives from different industry sectors will relate their own challenges and successes with triple bottom line practices,” said Susan Davis, the program manager for Executive Education.

Speakers will include: Rick Monty, executive vice president of environmental health and safety for Hexion Specialty Chemicals, Inc., who will discuss the global view; Richard Smith, executive vice president for NetJets, Inc., will give a presentation on “Managing a Corporate Carbon Footprint Program;” and a discussion on carbon trading and emerging laws and markets will be led by Dennis Hirsch of Porter Wright Morris & Arthur.

The event will include a field trip to the first green building on the Ohio State campus, where participants will learn the benefits and challenges of green building design and construction.

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Scholar Spotlight
Study finds 2001 accounting rule on derivatives alters firms’ exposure to risk
A new study by a Fisher accounting professor may put to rest a decade-old debate on the impact of Statement of Financial Accounting Standards rule on reporting derivatives such as options, swaps and futures contracts.

Haiwen Zhang
Haiwen Zhang
Effective in 2001, Statement of Financial Accounting Standard 133, accounting for derivative instruments and hedging activities required firms to record all derivatives as either assets or liabilities at fair value and recognize unrealized gains or losses in the income statement. Before the rule, derivative financial instruments were mostly recorded at historical costs. So any changes in their value were not reflected in income statements.

Haiwen Zhang, an assistant professor of accounting, examined how this new rule effects risk management behavior of non-financial firms.

Zhang received her bachelor’s and master’s degrees from Tsinghua University in China and a PhD from the University of Minnesota. Her research interests include accounting regulation, corporate risk management behavior and how capital markets use accounting information, and how accounting choices affect firms’ investment and production decisions. Read More»

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Jeni’s Ice Creams founder speaks
to MBAs about sweet success

Jeni Britton (right), founder of Jeni's Splendid Ice Creams speaks with, students at the W. Arthur Cullman Executive Luncheon Series on May 7.
Jeni Britton (right), founder of Jeni's Splendid Ice Creams, speaks with students at the W. Arthur Cullman Executive Luncheon Series on May 7.

Unique and all-natural ingredients blended with a careful eye for creating a superb customer experience have enabled Jeni Britton to successfully scoop out a niche in the crowded ice cream market.

Britton, the founder of Columbus-based Jeni’s Splendid Ice Creams, spoke about dealing with success and failure as an entrepreneur during the W. Arthur Cullman Executive Luncheon Series on May 7. With an audience of 30 MBA students, Britton’s presentation on her rise to national recognition as an innovative ice cream maker attracted the largest crowd of the academic year for the speaker series.

An artisan producer of fine ice creams that incorporate French pastry techniques, Britton uses imaginative flavor combinations and ingredients such as Amarena cherries from Bologna, Italy, spicebush berries and goat’s milk in her products. The company’s 11 signature flavors and 11 seasonal offerings are made from scratch everyday and delivered from the production kitchen to Jeni’s three stores daily.

“We definitely don’t do things the easy way, but I take pride in that because my name is on every package,” Britton said.

After her first attempt in the ice cream business failed, Britton spent two years crafting her flavors and creating a business plan that would keep her in business for good. In 2002, Jeni’s Splendid Ice Creams opened in Columbus’ North Market. While the company is on solid footing today, Britton constantly refines her business model planning for the next five years, she told the students.

Britton also emphasized the importance of creating an unforgettable experience for consumers. Her shops encourage sampling of flavors no matter how long the line to ensure each customer is happy with their selection. To perfect the in-store experience, Britton said she studied the customer relations tactics of larger retailers such as Nordstrom and Bose Corp.

Her success locally and savvy marketing skills utilizing the company’s Web site helped capture the attention of national media. Her appearances in the New York Times, Food & Wine magazine, DailyCandy.com and “Food Network” have created a demand for her products throughout the country. Orders through the Web site routinely come from New York City and Malibu, Calif.

“If not for the Web site, we would have never been featured in the New York Times and never we would have made it to the coasts,” she said “When we ship the pints of ice cream I want the recipient to open up the package like it’s a package from Tiffany & Co. except it’s ice cream.”

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Fisher Professional Services helps
OSU launch tech store

When the university decided it wanted to open a computer store to allow students to purchase laptops or iPods without leaving campus, central offices turned to Fisher Professional Services for help with a business plan.

On Monday, May 19, Wired Out, the university’s new technology store, will open for business.

Wired Out logoFPS advised the group and facilitated development of business, operational and marketing plans along with the university’s Office of Business Operations. Located in the Central Classroom Building, the store, which features a graffiti décor on the floor and walls, will offer a selection of laptops, printers, software, iPods and accessories.

“The individuals that were engaged in this program were excited to work on a project that was filling a need here at the university, while also working on an engagement that would allow them to see the impact of their work,” said Rob Harrold, a first-year MBA student and FPS consultant who worked on the project.

Five FPS student consultants contributed to the two-part project over the last 11 months. Throughout the first phase, the student consultants developed a concept book for the store to address consumer needs. Along with business, operational and marketing plans, the consultants provided financial projections for the store.

During the second phase, the consultants helped their clients focus on selecting store merchandise, made recommendations on inventory levels and refined Wired Out’s operational plan that outlined the nuts and bolts of how to run the business from day-to-day.

“The goal of this project was to help create a strategy to ensure the store was relevant to the needs of the students,” Harrold said. “Ohio State is one of the few campuses lacking a store of this nature, one where students can purchase a recommended laptop or software package.”

For more information about the store and the opening, visit its Web site at wiredout.osu.edu.


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Four undergraduates honored with
Wolfe Study Abroad Scholarship

Benjamin Borelli (center) talks to another student prior to the Wolfe Study Abroad Scholarship at the Faculty Club on May 1.
Benjamin Borelli (center) talks to another student prior to the Wolfe Study Abroad Scholarship luncheon at the Faculty Club on May 1.

Four Fisher undergraduate students were among 25 students selected by the Office of International Affairs to receive the Wolfe Study Abroad Scholarship. The students were recognized by Ohio State President E. Gordon Gee and John F. Wolfe, chairman and CEO of The Dispatch Printing Company, at a luncheon on May 1 at the Faculty Club.

Benjamin Borelli, a sophomore in international business and aviation management, Andrea Green, a junior in finance and political science, Phillip Gustafson, a junior in accounting, finance and insurance and risk management, and Sean Ivery, a senior in finance, will each receive $2,000 scholarships.

The scholarship, which was established in 1999, is the cornerstone of the university's study abroad programs and helps enhance the educational experience of Ohio State students.

This summer, Borelli will study at the German Language Program in Dresden, Germany, Green will take part in Oxford University’s Pre-Law Program and Ivery will study at Arcadia University in Florence and Rome, Italy. Gustafson will study at Singapore Management University as a part of the study abroad program through Fisher’s Center for International Business Education and Research during autumn quarter.

"These scholarships have helped the university attract those students seeking ways to enrich their academic program through international experience," said Dieter Wanner, interim associate provost of international affairs. "Studying abroad enables students to gain a sense of independence, become more confident and acquire valuable skills in preparation for today’s job market.”


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Fisher People: Joan Evans
 
Joan Evans
Title: Office Associate in the Department of Management and Human Resources

Hobbies: "I enjoy crocheting, my grandchildren, reading, watching my favorite TV programs and bowling."

FisherLure: "I enjoy talking with the people in the Fisher complex and especially trying to find a parking space first thing in the morning. Too bad we didn’t get the garage when the Fisher complex was in the planning stages."


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Calendar of Events

May 19
Tom Curley, president of Rolls Royce Energy Systems Inc., will be the featured speaker at the Cullman Executive Lunch Series from 12:30 to 1:15 p.m. in 150 Gerlach Hall. More information is available online at the Leadership and Professional Development HUB.

Marc Blubaugh, a partner at the law firm Benesch, Friedlander, Coplan and Aronoff, will speak about supply chain contracts and potential pitfalls at the Masters of Business Logistics and Engineering Association meeting from 12:30 to 1:20 p.m. in 375 Gerlach. More information is available online at the Leadership and Professional Development HUB.

May 20
The Logistics Association will host the event Logistics Sexy Time at 7 p.m. in 319 Schoenbaum Hall. More information is available online at the TLA Web site.

A representative from JPMorganChase will speak about forensic accounting at the Accounting Association meeting at 7:30 p.m. in 220 Schoenbaum Hall. More information is available online at the Accounting Association Web site.

The Asian Business Student Association will host a representative from Abbott Labs at its weekly meeting at 7:30 p.m. in 205 Schoenbaum Hall. More information is available online at the ABSA Web site.

May 21
A representative from Cardinal Health will speak at the American Marketing Association meeting. Pizza will be served at 7 p.m. in 319 Schoenbaum Hall and the meeting will start at 7:30 p.m. in 330 Schoenbaum Hall. More information is available through the AMA Web site.

May 22
Allen DiCenzo, founder of Circa Music, and Bill Patterson, associate producer for the label, will speak at an engagement sponsored by Fisher's International Programs Office and the College of Music’s new program, Music, Media and Enterprise in 355 Gerlach Hall from 12:30 to 1:20 p.m. Lunch will be provided for attendees who register by noon on May 19. More information is available online at the Leadership and Professional Development HUB.

Joel Pizzuti, president of Pizzuti Companies, will be the featured speaker at the Cullman Executive Lunch Series from 12:30 to 1:15 pm in 150 Gerlach Hall. More information is available online at the Leadership and Professional Development HUB.


News Briefs

Fisher gear now
at the Blackwell

Fisher-logo polo shirts, tumblers and travel mugs are now available in the hotel lobby gift shop at the Blackwell Inn. Fisher polo shirts, available in black, tan and white, are $38.50; travel mugs are $9 and tumblers are $12.75.

Marketing Department hosts boot camp for PhD alumni
Marketing doctoral graduates recently reunited for a boot camp to share their research efforts with faculty members, current marketing PhD students and fellow alumni. Organized by Greg Allenby, professor of marketing and the marketing PhD program coordinator, the boot camp welcomed a dozen doctoral alumni from around the world.

Eight of the 12 alumni in attendance made presentations on their current research work. The alumni participants, who all graduated between 1995 and 2007, included Rohini Ahluwalia, faculty member at the University of Minnesota, Neeraj Arora, faculty member at the University of Wisconsin, Lichung Jen, faculty member at National Taiwan University, Bob Jewell, faculty member at Kent State University, Ling-Jing Kao, faculty member at Santa Clara University, Jaehwan Kim, faculty member at Korea University, Qing Liu, faculty member at University of Wisconsin, Kyeong Sam Min, faculty member at the University of South Dakota, Nicole Montgomery, faculty member at The College of William and Mary, Sekar Raju, faculty member at Iowa State University, Deepak Sirdeshmukh, faculty member at North Carolina State University, and Sha Yang, faculty member at New York University.

The consumer behavior-oriented discussions dealt with brand stretchability, memory, the role of prior trust, the impact of planning difficulty and organizational exploration. The quantitative-oriented presentations explored variety seeking behavior, joint choice and under reporting bias.

Annual Chili Cook-off raises $134 for
Operation Feed
Miranda Spencer
won the coveted silver spoon as the judge’s top choice at the third annual Chili Cook-Off sponsored by the Staff Advisory Council held on May 6. The people's choice award went to the combination of Alan James and Steve Moore.

The event raised $134 for the Operation Feed Campaign, which is the equivalent to 268 meals.

26 students honored for undergrad achievement
Ohio State President E. Gordon Gee honored 26 Fisher undergraduate students for their work in the classroom during the President's Salute to Undergraduate Academic Achievement last month.

Fisher students honored at the event were: Jessica Ansley, marketing and information systems, Robert Arbogast III, human resources, Michaela Bailey, human resources, Ali Bertke, marketing, Jonathan Crawford, finance, Helen (Nellie) Debbeler, accounting and physics, Isaac Elking, logistics management, Gregory Groom, accounting, Sarah Hersch, finance, Sara Kinning, finance, Emily Jo Kline, finance, Erin Lyons, accounting and international studies, Michael Mozes, accounting, Molly Muzevich, accounting, Robert Nicholson, international business, Nathan Palmer, accounting and finance, Elias Papalios, finance, Maliha Peuli, human resources, Victoria Samuto, human resources, Diana Silveira, economics and philosophy, Ericka Spears, marketing, Tanisha Strong, marketing, Dana Washington, operations management and marketing, Ryan Watson, accounting and finance, Andrew Vicen, finance, and Danielle Verbeck, accounting.

Law firm donates green energy credits
Lawyers from Porter, Wright, Morris and Arthur recently donated green energy credits to offset 36.36 tons of CO2 in the honor of the students in Neil Drobny’s sustainable business practices class.

As a token of appreciation for being invited to talk to the class the lawyers presented the class with a certificate indicating they had donated one green energy credit for each student enrolled in the class.

Executive Education hosts Disney Keys to Excellence
Fisher’s Executive Education will host the Disney Institute’s professional development program, Disney Keys to Excellence, on Sept. 8 and 9 at the Blackwell Inn. The full-day event will give area business professionals a chance to discover, “the business behind the magic.” The program sessions will introduce participants to innovative Disney business strategies that they can implement in their own organizations.

The Disney Keys program will showcase four 90-minute sessions on leadership, management, service and loyalty, “Disney Style.” Registration fees for the program include course materials, continental breakfast and lunch. Group discounts are available by using promo code OSUNWSI. For more information or to register call 1-877-544-2384 or visit www.keyscolumbus. com.

JPMorgan Chase sponsors competition for undergraduates
Sixteen Fisher undergraduate students competed against one another in a new case study competition sponsored by JPMorgan Chase’s audit department on Friday, April 18. Students were selected to participate in this event based on their GPA, work experience and campus involvement.

Winners of the competition were Kunal Arora, Matthew Gaumer, Konstantin Katsman and Greg Shaskus. The students were divided into teams of four and tackled a case study related to the subprime mortgage market.

The event also introduced students to the financial institution’s audit internship program. The undergraduates were given the opportunity to meet and network with managers in the firm’s audit department and tour their Polaris offices.


Fisher in the News

H. Rao Unnava, professor of marketing, was quoted in a May 9 Columbus Dispatch article on the fallout from a 23-cent pizza sale offered by Papa John’s Pizza as an apology to fans of the Cleveland Cavaliers basketball team.

Unnava told the paper the pizza chain made a bad situation worse by not fully considering the large demand that could not be met. He was also quoted in a follow-up article in the May 10 edition of the Dispatch about Papa John’s efforts to please upset customers.

A portion of the Student Investment Management Class' portfolio was profiled by TheStreet.com on May 13. The article, which was a follow-up to a story that appeared on the Web site in January, tracked the performance of SIM’s five best-performing stocks since the beginning of the year.

Fisher News is published bi-weekly throughout the academic year. To submit story ideas, e-mail content and your contact information to fishernews@cob.osu.edu or use the online news submission form. The deadline for story submissions is 5 p.m. the Friday before the upcoming issue.


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