MsM annual report 2012

© Unique Photo

MAASTRICHT SCHOOLOF MANAGEMENT

ANNUALREPORT

2012

Table of Contents

• Message from the Dean

• Leadership for Shared Success and Sustainability - Globally Relevant Business Education - Corporate Social Responsibility and Sustainability - Mentorship Program Builds Business Bridges to Limburg - Partnering for Success - Leadership in Quality

• Knowledge Generation and Dissemination - New Ideas that Matter -ScientificJournalArticles - New Books - Doctoral School - Sharing Knowledge and Networks

• Developing Organizational Capacity and Local Solutions - Institutional Capacity Building projects -FoodSecurityandAgribusiness Development projects - Water Governance projects

• A Vibrant MsM Community -MsMAlumniChaptersandAlumni Recruiters Program -AlumniEvents -AlumniNews

• Forward to 2013 - Netherlands-Russia Year - Book event and seminar - Diversity in Business: Celebrating International Women’s Day -AzerbaijanDayintheNetherlands - International Research Conferences

• Financial Situation and Key Indicators - General Review - Revenue, Margin and Expenses - Financing Ratios - Future

ANNUAL REPORT 2012

Message from the Dean

MaastrichtSchoolofManagement(MsM)isanuncommonorganizationwhereordinarypeople do extraordinary things. Our mission, values and common sense approach to management problems have been shaped by 60 years of scholarship and learning-by-doing across the world. In 2012 we celebrated our 60th anniversary amongst our partners, alumni, students and friends, honored by the presence of Her Royal Highness Princess Máxima of the Netherlands.

There are many highlights marking the progress of MsM since its establishment in 1952 inDelftastheResearchInstituteforManagementSciences.Afewcriticaljunctionsinoursubsequenthistorystandoutfortheirseismicimpactontheorganization,suchastherelocationtotheCityofMaastrichtin1989;thelaunchofthefirstMasterofBusinessAdministration(MBA)programin1991;andtheadoptionofthenameMaastrichtSchoolof Management in 1993.

Inthetwodecadessince1993MsMhasachievedremarkablegrowth.Todayweoffermorethan40programsinMaastrichtandinmorethan20countries.WhileourflagshipprogramremainstheMBAprogram,inrecentyearsandparticularlyin2012,wehavebeen innovative in offering newmasters’ programs. In 2012 we developed a jointprograminManagementandEngineeringwiththeRWTHAachenUniversitythatwilllead to an innovative new MSc-degree; we also developed a highly relevant Master in ManagementinEducation;andourDoctorofBusinessAdministration(DBA)program,amongst the best in the world, went from strength to strength. We developed an Energy MBA,setforlaunchin2013,inpartnershipwiththeAzerbaijanDiplomaticAcademy.AlloftheseprogramsareinternationallyaccreditedwhileourMaastricht-basedMBAprogramisalsoaccreditedbytheDutch-FlemishAccreditationOrganization.

In 2012, to an even higher degree, we based our relevance and quality on solid scholarship. Research outputs continued to grow impressively. MsM Faculty launched a record number of new books.Being a research-driven business school with a global presence we continued in 2012 to apply our expertise to solving practical challenges and problems in emerging and developing countries. What distinguishes MsM from many other business schools is not only our deep engagement in emerging and developing countries, and in fragile contexts, but also our expertise and impact in areas vital to social and environmental sustainability and development. Water governance and management in Egypt, food security and agri-business in Indonesia and Tanzania, as well as educationalinstitutional building in Ethiopia and Yemen, are only some examples of our continuing contribution to these issues of central concern for global development.

Iwish to thankour facultyandstaff for theirprofessionaldedicationandmoreoverpassion for MsM and its community; our Board of Trustees for their strategic leadership; our partner institutions for being not just business associates but also friends; and finally and most importantly all the participants in our programs – our students,alumni, sponsors, corporations and broader stakeholders: thank you for your trust in MsM. We look forward to the challenges and opportunities that 2013 will bring. Prof.WimA.Naudé,PhD

ANNUAL REPORT 2012

programisalsoaccreditedbytheDutch-FlemishAccreditationOrganization.

In 2012, to an even higher degree, we based our relevance and quality on solid scholarship. Research outputs continued to grow impressively. MsM Faculty launched a record number of new books.

Being a research-driven business school with a global presence we continued in 2012 to apply our expertise to solving practical challenges and problems in emerging and developing countries. What distinguishes MsM from many other business schools is not only our deep engagement in emerging and developing countries, and in fragile contexts, but also our expertise and impact in areas vital to social and environmental sustainability and development. Water governance and management in Egypt, food security and agri-business in Indonesia and Tanzania, as well as educationalinstitutional building in Ethiopia and Yemen, are only some examples of our continuing contribution to these issues of central concern for global development.

Iwish to thankour facultyandstaff for theirprofessionaldedicationandmoreoverpassion for MsM and its community; our Board of Trustees for their strategic leadership; our partner institutions for being not just business associates but also friends; and finally and most importantly all the participants in our programs – our students,alumni, sponsors, corporations and broader stakeholders: thank you for your trust in MsM. We look forward to the challenges and opportunities that 2013 will bring.

Prof. Wim A. Naudé, PhD Dean-Director

ANNUAL REPORT 2012

Leadership for Shared Successand Sustainability

Globally Relevant Business Education• In2012weofferedourMBAprogramsonlocationinChina,Egypt,Ghana,Kazakhstan,

Kuwait,Malawi,Namibia,Peru,Romania,Rwanda,Suriname,Tanzania,Vietnam,Yemen and Zambia.

• Atotalof535participantsgraduatedfromthesegloballyofferedprogramsin2012.Thisisanincreaseof16percentsince2011,andreflectsthecontinuedgrowthinthe demand for high-quality management education in emerging and developing marketsandtherelevanceandflexibilityofMsM’sprogramstoaddresstheneedsin these markets. This growth continued in 2012/2013 with 635 newly enrolled participantsstartingtheirMBAstudiesatourlocationsabroadduringtheyear.

• AsfarasourMaastricht-basedMBAprogramisconcerned,wehad45studentsfromintakeMBA28graduating;thisisadeclinecomparedtothe73studentsgraduatingin2011fromMBA27.ThedeclinereflectsthegeneraldownturninMBAenrolmentsintheWest,thereductioninscholarshipsofferedbytheDutchgovernment,andanincreaseinMBAofferingsinemergingcountries.Thedeclineseemshowevertohavestabilized,withanincreaseintheenrolmentsforintake29:wehad57participantsenrollinginourMaastrichtfulltimeMBAprogramduringtheyear.

• MsMcontinued to support lifelongmanagement learning in 2012. A total of 162participants attended 11 open enrolment Executive Education Programs at MsM during the year. This is a slight drop compared to the 176 participants in our

ANNUAL REPORT 2012

programsin2011,partlyreflectingthereductioninDutchscholarships,agreaterfocusinourprograms(wecutthenumberofofferingsfrom19to11)andageneraldecline in the popularity of Executive Education programs.

Corporate Social Responsibility and SustainabilityMsM is a signatory to the Principles for Responsible Management Education (PRME). Wedemonstrateourcommitmenttotheseprinciplesby,amongstothers,organizingCorporate Social Responsibility (CSR) and Sustainability seminars. In 2012 we held our tenth such event. Participants included multinational companies and organizations such as Shell,PharmAccess,theGlobalReportingInitiative,TransparencyInternationalNetherlands,ABNAMRO,ING,Rabobank,deGroeneZaak,ImtechandKLMRoyalDutchAirlines.In2012MsM’sMBAparticipantscooperatedwithDSMtosupporttheactivitiesoftheWorld Food Programme (WFP). In this context the students developed two initiatives: an awareness session for secondary school pupils in Maastricht, and participation as volunteersintheDSMBrightexperiencefair,heldinJune.

Mentorship Program Builds Business Bridges to LimburgParticipants in our Maastricht MBA program are linked through our mentorshipprogramwithlocalbusinessesandorganizations. In2012,ontheoccasionofMsM’s60th anniversary, the mayors of Maastricht, Heerlen and Sittard-Geleen acted as mentors to show their appreciation for and interest in MsM’s international mission. Thirteen senior managers of companies and organizations such as Philips, TNT,ING, Nedschroef, Parkstad Region, Province of Limburg, 6p Consultancy and Rotary Maastricht also contributed to the mentorship program.

ANNUAL REPORT 2012

Partnering for SuccessMaastricht School of Management offers its programs in Maastricht but also in 20locationsaroundtheworld.Attheendof2012,wehadpartnershipagreementswiththeorganizationsshownaside.

MsM hosted a successful Partner’s Conference in September in Maastricht. Quality assurance and accreditation topics were discussed in detail with representatives of ourpartneruniversities.Amorerobustassurancesystemissetfordevelopmentacrossall locations in the second half of 2013.

ReflectingthestronggrowthintheMBAmarketinemerginganddevelopingeconomies,particularly the BRICS and other resource-rich economies, MsM concluded a number of new partnerships in 2012, namely with the:

• NationalResearchUniversity,HigherSchoolofEconomics(HSE)inNizhnyNovgorod,Russia.

• AzerbaijanDiplomaticAcademy(ADA)inBaku,Azerbaijan.• RWTH Aachen, Germany for a joint MSc in Management and Engineering in

Production Systems (MME).

New joint programs with these partners will be implemented in 2013.

In 2012 we renewed our partnership with the Regional IT Institute (RITI) in Cairo, Egypt, one of our oldest partners.

A further highlight of our partnerships with organizations in emerging economies

ANNUAL REPORT 2012

in 2012 was the strengthening of our relationships with China’s Baosteel Group and Shandong Province.

InJunewewelcomedforthesecondyearadelegationofseniorgovernmentofficialsfrom China’s Shandong province for a training mission on Ecological Economic Zones. The mission comprised a week of seminars at MsM and a week of business facilitation meetings at major companies and business hubs such as Chemelot, Floriade, Brainport andtheWageningenFoodValley.

Leadership in Quality To ensure continual improvements in the quality of our educational programs, we are involved in international accreditation and ranking processes. In 2012 we held accreditations from the Dutch-Flemish Accreditation Organization (NVAO),theAssociationofMBA (AMBA), theAccreditationCouncil forBusinessSchoolsandPrograms(ACBSP),andtheInternationalAssemblyforCollegiateBusinessEducation(IACSBE).

ANNUAL REPORT 2012

Further milestones in 2012 include:• The Association of MBAs (AMBA) accredited MsM’s new Master of Management

in Education program in 2012. The awarding committee of the International AccreditationAdvisoryBoard (IAAB) confirmed the accreditationof theprogramuntil 2015.

• We started the reaccreditation of the residential full-time MBA program by theNVAO.Aspartofthisprocess,apanelofnationalandinternationalexpertscarriedout a site visit during the fall. The process is expected to continue throughout 2013.

• We also started preparations for the accreditation of the Master of Science in Global Business and Development for the NVAO. The self-assessment report is set forsubmissioninthefirsthalfof2013.

• The MSc in Management and Engineering in Production Systems (MME) joint programwithRWTHAachenUniversitywillbeaccreditedbyGermany’sASIIN.TheirsitevisitisscheduledforApril2013.

• We continued preparations for our eligibility application to the Association toAdvanceCollegiateSchoolsofBusiness (AACSB).Submission isplannedbymid-2013.

ANNUAL REPORT 2012

Atits5thWorldConventioninPeru,October2012,Eduniversalannouncedthe2012Ratings and Rankings of the Best Business Schools in 153 countries. MsM maintained its top position in the ranking of Dutch Business Schools, category 4 palmes (Top BusinessSchoolsinternationallyknown).MsMalsooccupiesfirstpositionworldwidein the 4 palmes category of the Top Business Schools.

Ms.KatalinKovacs,ManagerofQualityControlandAccreditationswasappointedViceChairoftheBoardofCommissionersforInternationalAssemblyforCollegiateBusinessEducation (IACBE)at theApril Annualmeeting inKansasCity,USA. In this capacityshe is responsible for reviewing and revising the standards for accreditation and for deciding on the status of institutions for initial accreditation and for reaccreditation.

ANNUAL REPORT 2012

Knowledge Generation and Dissemination

New Ideas that MatterGiven the global bandwidth of MsM’s operations and educational programs, we need to be ahead of the curve in terms of understanding the broader, global, socio-econom-ic and political trends and how they shape the nature of business and management. Thisrequiresafinelyjudgedfocusonthekeyissuesthatimpactglobalprosperity.AtMsM we deal with these by focusing our research on three themes or business-and-society related driving forces:

The “Innovative” Business: here we focus on entrepreneurship and innovation and its impactonbusiness,organizationalandregionalsuccess.Specialfociareonhowagri-business and innovative solutions in water management can contribute towards de-velopment, and on how women entrepreneurs can be supported in their communities.The“Trading”Business:herewerecognizethevitalimportanceforbusinessestobecompetitive in the global economy, and to be part of global value chains. Special foci are on partnerships for upgrading small businesses into global value chains; interna-tional entrepreneurship, and the impacts of trade and openness on sectoral develop-ment (e.g. tourism, manufacturing) and growth.

The“Performing”Business:herewerecognizethatexceptionalmanagementpracticesandorganizationaldevelopmentstrategiescanmakeasignificantdifferencetoanor-ganization’ssuccessandsurvival.Specialfociareonhighperformanceorganizations(HPOs)andorganizational/institutionaldevelopment.

In these three areas MsM generates new ideas that matter through research by its fac-

ANNUAL REPORT 2012

ulty,projectconsultants,doctoral(DBA)studentsaswellasbygalvanizingothersinour networks through regular workshops, conferences, guest lectures and the dissem-ination of our Working Paper Series.

Scientific Journal ArticlesAsaresearch-drivenbusinessschoolMsMiscommittedtowardstop-levelscholarship.We continued our program of investment in the research capacities, networks and in-frastructureoftheorganization.Theresultswere,asin2011,veryencouragingwithamaintainedupwardtrajectoryinthenumberofscientificpublications.

Peer-reviewedscientificjournalsbyourfacultyincreasedto42in2012,up17percenton the previous year. This represents a 40 percent rise since 2010.

0

5

10

15

20

25

30

35

40

45

2012

2222 2727 3030 3636 4242

ANNUAL REPORT 2012

New BooksMsM Faculty published the following books in 2012:• “PathwaystoIndustrializationinthe21stCentury”publishedbyOxfordUniversity

Pressandco-authoredbyWimNaudé.• “BRICSandBeyond”publishedbyWileyandauthoredbyStephanieJones.• “Key Concepts in Leadership” published by Sage Publications Ltd. and co-authored

byStephanieJones.• “WhatMakesaHighPerformanceOrganization:FiveFactorsofCompetitiveAdvan-

tagethatApplyWorldwide”publishedbyGlobalProfessionalPublishingandau-thoredbyAndrédeWaal.

• “Global value chains linking local producers from developing countries to interna-tionalmarkets:Theoreticalperspectivesandempiricalcases”publishedbyAmster-damUniversityPressandauthoredbyMeinePietervanDijkandJacquesTrienekens.

Doctoral SchoolMsM’sDoctorateofBusinessAdministration(DBA)programwasre-accreditedbyAMBAto2015.OurPhDprogram,offeredincollaborationwithanumberofDutchUniversi-ties, continued with the two successful public defenses.In2012atotalof25newDBAstudentsenteredtheprogram,whilesixsuccessfullyde-fendedtheirDBAdegree.

Doctoral students published 26 journal articles in 2012.Our doctoral school is supported by an intensive Research Methods and Skills (RMS) programofferedincollaborationwiththeUniversityofMaastricht.Atotalof33par-ticipants from19countries joined theprogram inSeptember2012, reflectinga135percent rise on the previous year’s enrolment.

ANNUAL REPORT 2012

Developing Organizational Capacityand Local Solutions

Throughout 2012 MsM’s International Projects and Consultancy (IPC) Department wasengagedincapacitybuildingassignmentsandtailor-madetraininginAfrica,Asia,EasternEuropeandtheMiddleEast.TheRoundTableAfrica(RTA)projectsuccessfullyendedin2012,afteraremarkablecooperationofmorethansixyears.The major foci of new and ongoing projects in 2012 was on (i) Institutional capacity building,(ii)FoodSecurityandAgribusinessDevelopment,and(iii)WaterGovernance.

Institutional Capacity Building Projects: China:Developingthestrategicdecision-makingcapabilitiesandinternationalizationperspectives of the senior leadership of the BaoSteel Group of Shanghai.

Ethiopia: Supporting the Ministry of Education in strategy and leadership development for 13 new public universities, including the establishment of training and research in educational leadership for the Ethiopian Higher Education Strategy Centre.

Indonesia:TrainingseniorstaffoftheMinistryofFinance,inareasofLeadershipandChange management.

Mozambique: Strengthening the organization capacity of the Higher PolytechnicInstitute of Tete (ISPT).

Romania: Designing courses and curricula for the business education programs of the Bucharest School of Business.

©JasonGutierrez/IRINPhoto

ANNUAL REPORT 2012

Tanzania: Advising the National Council for Technical Education (NACTE) in thedevelopment and implementation of competence based education and its piloting at the College of Business Education (CBE) and the Zanzibar Institute for TourismDevelopment (ZIToD).

Thailand:PreparingseniorstaffoftheRoyalThaiGovernmentintheareasofrisk-andchange management.

Yemen: Developing the capacity of theMinistry of Higher Education and ScientificResearch and providing support to the Ministry to conduct a labor market survey; also training and advising leadership within the National Women Council.

Zambia: Supporting two vocational institutions in their upgrading to become universitycollegesandsupporttotheNationalUniversity,UNZA,todeepenitsresearchcapabilities.

Food security and Agribusiness Development Projects:Indonesia: Launching a new research program together with Bogor AgriculturalUniversity(IPB)includingorganizingaresearchconferenceinBogorandestablishinga Center for Sustainable Business Competitiveness (CSBC).

Kenya: Doing cluster mapping for improvement of the dairy value chain in Kenya with Egerton University and the Dairy Training Institute.

SouthAfrica,Vietnam:Stimulatingthedevelopmentof leadershipcompetenciesforagricultural-oriented universities in these two countries.

©JasonGutierrez/IRINPhoto

ANNUAL REPORT 2012

Tanzania:Providingpolicy research in thefieldofagro-inputsandagro-taxation toBESTAC,theAgricultureCouncilofTanzania;aswellasmonitoringthreeassessmentinitiatives of the East African Common Market Protocol in the area of agriculture,tourism and manufacturing.

Water Governance Projects:Burundi, Congo, Palestine, Nepal and Ethiopia: Researching multi-stakeholder processes, service delivery and contribution to state building in the water and sanitation sectors in these countries.

Egypt: Supporting the Training Division of the Egyptian Government’s Ministry of WaterandIrrigation,specificallyininstitutionaldevelopmentandinnovationoftheireducational processes and their leadership development.

©JasonGutierrez/IRINPhoto

ANNUAL REPORT 2012

A Vibrant MsM Community

MsM Alumni Chapters and Alumni Recruiters ProgramTheMsMCommunityreferstoallofourcurrentstudents,staff,faculty,partnersaswellas our thousands of alumni. No business school can be successful without having a vi-brantalumnicommunity.AtMsMweareparticularlyproudofourpassionatealumni.In 2012, as in coming years, the aim is to further integrate MsM alumni into the broader MsM Community.

In 2012 some notable steps in this regard include:

• TheofficialinaugurationoftheEU-regionAlumniChapter.Thechapter’sobjectiveistoprovideanorganizationwherealumnifromtheNetherlands,BelgiumandGer-many can meet on a regular basis for intellectual and social enrichment through content driven activities.

• TheRegionalITInstitute(RITI)tookthefirststepstowardstheinaugurationoftheEgyptAlumniChapteron9December.

• TheintroductionofanAlumniRecruitersProgram.Thepurposeofthecontractisthat alumni are stimulated to actively recruit new students for the MsM programs.

In 2013 MsM plans to open alumni chapters in Bhutan, Egypt and Rwanda.

Alumni EventsOur 2012 alumni event in Namibia coincided with other celebrations to mark the 20th anniversaryoftheUniversityofNamibia(UNAM).NamibiaBusinessSchool(NBS) incooperationwithMsMhostedanAnnualFoundersandAlumniDinnerattheWindhoek

ANNUAL REPORT 2012

CountryClubandResorton24April2012.ThekeynotespeakerwasH.E.formerSouthAfricanPresident,ThaboMbeki,whogaveaspeechon“NurturingtheAfricanRenais-sance:TheroleoftheAfricanBusinessSchool”.

Peruvian alumni have been invited to the lectures of the Global Lecture Series “Global Challenges+GlobalPartnerships=GlobalOpportunities”heldon24AprilatCENTRUMCatólica,PontificiaUniversidadCatólicadelPerùinLima.Besidestheselecturesalum-ni were invited to a dedicated networking event.

Alumni NewsCongratulationstothefollowingMsMAlumni:

• Dr.VanessaBorg,ExecutiveDirectorofConsultancy&TrainingAcumenCentreLtdinMaltawasthewinnerofaBronzeStevie®Award in theCompanyof theYear -BusinessServicecategoryinthe2012AnnualInternationalBusinessAwards.

• Mr.MasreshaYazewAndarge,wontheprestigious ImpactAward fromtheSTARSFoundation, providing US $100,000 of unrestricted funding for his work.

• Mr.JacquesKayisere fromRwanda, founderof the “DreamTeamFootballAcad-emy” won the ‘Reach for Change’ Tigo Social Entrepreneurship Competition.

ANNUAL REPORT 2012

Other Events and Initiatives in 2012

60th anniversary of MsMMaastricht School of Management turned 60 years old in 2012. On Wednesday 6 Septemberthiswasformallycelebratedatthe‘TheateraanhetVrijthof’inMaastricht.The ceremony was graced with the presence of H.R.H. Princess Máxima of the Netherlands.

Speakers included:• Mr.RenévanderLinden,MSc-ChairoftheMsMBoardofTrustees• Prof.WimA.Naudé,PhD-MsMDeanDirector• Mr. Mohammad Gawdat, Alumnus MsM Egypt and Vice President of Emerging

Markets at Google• Mr. Meinhard Gans, MSc - MsM Director Projects and Consultancy • Mr.AmitBiswas,MBAClassRepresentative• Prof.LucSoete,PhD,RectorMagnificusoftheUniversityofMaastricht

Aspartof theanniversarycelebrations,MsMorganizeda specialdiner pensant and invited members from the Limburg business and government community to experience theworldofMsM.Mr.MohammadGawdat,VicePresidentEmergingSEEMEAatGoogleand MsM alumnus, and Ms. Petra Stienen, publicist and former diplomat of the Netherlands in Egypt and Syria, delivered the keynote speeches at this dynamic, high tech and international evening.

Aspartofits60thanniversarycelebrationsMsMhostedthreekeylecturesincooperationwith its partners around the world. The theme of these lectures was “Global Challenges

ANNUAL REPORT 2012

+ Global Partnerships = Global Opportunities”. The first global lecture was held atCENTRUM in Lima, Peru, the second at MSMRO in Bucharest, Romania and the third at NJUinNanjing,China.

Contributing to the Floriade 2012AsapartnerintheB2BprogramoftheProvinceofLimburg,MsMprovidedthefollowingseminarsat theFloriade, theworldhorticultureexpotakingplace from5April to7OctoberinVenlo,theNetherlands:

• Finding your Way in an Archipelago of Opportunities: Agribusiness in and withIndonesia.24April.

• Sustainable Food Production: Can the world be fed in a sustainable way? 8 May. • China as a Net Food Importer:Opportunity or Threat for Global Food Partnerships?

10 May.• InvestinginFoodSecurity&FoodMarketsinAfrica.19May.• TheBusinessofFood&NutritionSecurity.28August.

Doing Business in... SeminarsMsMorganizedaseriesofseminarstoshareitsexperiencesonhowtodobusinessinsignificantemergingmarketeconomies:• DoingBusinessinIndiawithMr.VipinMoharir,MsMalumnusandsuccessfulfounder

andownerofNINtecBVandMr.AmitParadkar,PhD.15March.• DoingBusiness inChinawithMr.PaulBooms,ChiefOperationsOfficeratTrespa

InternationalB.VandDr.WeihuaHuang,SeniorManageratKPMGAdvisory.7June.Doing Business in Turkey with Mr. Serkan Güner, PhD, Head of Turkey Netherlands Business Group at PricewaterhouseCoopers. 8 November.

ANNUAL REPORT 2012

Forward to 2013

MsMiswell-poisedtocontinuefulfilling itsmission in2013.Someanticipatedhigh-lights of the year will include the following.

Netherlands-Russia YearThe Bilateral Year of Russia and the Netherlands will be held in 2013, and MsM will be anofficialpartner.DuringtheyearwewillstartanexcitingnewExecutiveMBApro-gram in Russia, as well as a special executive program tagged Business in Russia and theNetherlands.Inadditionanumberofeventswillbeorganizedorsupportedtofa-cilitatescientific,academicandbusinessexchangesbetweenthecountries.

Book event and seminar This seminar, to be held on 28 February 2013, will include discussion of the book “Ex-port Promotion: Tools and Policies”. This sets out the DSM (Decision Support Model) approach to export promotion, as well as a presentation on the export support tools and assistance available to potential exporters from the Netherlands.

Diversity in Business: Celebrating International Women’s DayMsM will celebrate International Women’s Day on 8 March 2013 with a seminar on Di-versityinBusiness.Anumberofrenownedexpertswillleaddiscussionsaimedatthepromotion of gender equality in management and diversity and inclusiveness in the work place.

ANNUAL REPORT 2012

Azerbaijan Day in the NetherlandsTo recognize the growing business, scientific and cultural exchanges between theNetherlandsandtheRepublicofAzerbaijan,andtolaunchanewjointMBAwithADA,MsMwillbehostingtheAzerbaijanDayintheNetherlandson24May2013.

International Research Conferences Two major international research conferences are planned for 2013:

• On 30 and 31 May 2013, Maastricht School of Management and the Maastricht Grad-uateSchoolofGovernancewillorganizeatwodayconferenceon“Migrants:Trans-national Entrepreneurs or Entrepreneurial Refugees?” to review the state-of-the-art on the relationship between migration and entrepreneurship.

• MsM’s3rdAnnualResearchConferencewilltakeplaceinMaastrichton6Septem-ber 2013 on the theme ‘Revolutions in Education: New Opportunities for Develop-ment?’TheconferencewillbejointlyorganizedbytheDepartmentofEducationalResearch and Development of Maastricht University and the Maastricht School of Management.

ANNUAL REPORT 2012

Financial Situation and Key Indicators

MsMisanindependentand“notforprofit”organization.Themajorityofourrevenuescomefromtuitionfeespaidforbyourstudentsandprojectfinancingthatisreceivedfromdonororganizations.MsMalsoreceivesacontributionfromtheDutchGovern-ment for its activities related to developing countries and MsM students in Maastricht havebenefitedfromgovernmentsponsorships,“Nuffic”.

AnoverviewofMsM’skeyfinancialindicatorsisshowninthetablebelow:

Financial results 2011 -2013 (in Euros*1000)

2012 2011Revenues Educational activities MBA 3.969 4.368Short courses 1.024 1.885Research(DBA/PhD) 792 400Research projects 256 554InternationalProjects&Programs 1.626 1.672 Subsidies 2.503 2.864 Other 246 248

Total revenues 10.416 11.991

ANNUAL REPORT 2012

Financial results 2011 -2013 (in Euros*1000)

2012 2011Costs Personnel costs 5.773 6.472Education costs 2.917 3.619Other costs 2.321 2.278

Total costs 11.011 12.468

Net result -595 -477

General ReviewAsaresultofcontinuedDutchbudgetcuts(e.g.Nufficscholarships),MsMfacedafur-therdeclineingovernmentalsubsidies.However,aneffectivebelt-tighteningstrategyenabled MsM to achieve a break-even operational result despite a EUR 1.5 million drop in income.

Incidental costs tied to MsM’s 60th anniversary celebrations, combined with continued investment in research and doctoral programs, resulted in a net result of - EUR 595,000 for the year ending 2012. Revenue, Margin and ExpensesRevenuesfellby13percent,fromEUR9.1millionto7.9million.However,thegrossmar-gin of educational programs and project related activities rose by 10 percent, mainly duetothemoreeffectiveuseofinternalstaff,whichsubstantiallyloweredspending

ANNUAL REPORT 2012

RevenuesfellforeducationalactivitiesinMaastrichtduetoadeclineinNuffic(govern-mentsubsidized)studentnumbers.Meanwhile,revenuesremainedsteadyfromMBAprogramsofferedabroadbyMsMincollaborationwithpartneruniversities.Further,revenuesoftheDBAprogramincreasedsubstantially,mainlyduetothesuccessoftheResearch Methods and Skills program and continued investment in research capacity and culture.

Withthedecrease inrevenuesandtheeffectsofthecostreductionplan,personnelcosts and other operating cost subsequently decreased.

Financing RatiosThe solvency of MsM remains steady at 34 percent (2011: 33 percent) at the end of the 2012 Financial Year. Working capital decreased by 2 percent, but remains satisfactory. InordertofurtherimproveitsfinancialpositionMsMwillfocusonincreasingrevenuestreams and maintaining appropriate control over expenditure.

FutureMsMisinthemiddleofasignificantandexcitingtransitionphase,givenitsplansofcloser cooperation with the University of Maastricht, changes in government support and priorities, economic growth dynamics in emerging economies, and the rising im-portance of new technologies in making higher education cheaper, more accessible andmoreeffective.

In taking up these challenges and opportunities, MsM’s strategy is threefold: to focus on Quality,EfficiencyandRelevance(QER).IntermsofQuality,continuedinvestmentinresearch and doctoral programs, closer cooperation with the University of Maastricht,

ANNUAL REPORT 2012

and innovative development of new (accredited) programs and new partnerships will befollowedtoattractbetterandmoreprivatepayingstudentsanddifferentsourcesofgovernmentfunding.IntermsofEfficiency,upgradingofICTinfrastructure,ongoingorganizationalreformsandcostcontainmentwillresultinanevenmoreproductive,professional school; in terms of Relevance, MsM will establish even closer links with the private sector, more closely align applied research with education program con-tent, and demonstrate its contribution to personal and societal success through closer ties with its students and alumni.

ANNUAL REPORT 2012

General Contact Information

Visitors address: Endepolsdomein 150

6229 EP Maastricht The Netherlands

Postal address: PO Box 1203

6201 BE Maastricht The Netherlands

T+31433870808F+31433870802

[email protected] www.msm.nl