Mba New Leaders New Perspectives

EXECUTIVE SUMMARY

BACKGROUND Net Impact is an international nonprofit organization whose mission is to make a positive impact on society by growing and strengthening a community of new leaders who use business to improve the world. We offer a portfolio of programs to educate, equip, and inspire more than 10,000 members to make a tangible difference in their universities, organizations, and communities. Net Impact conducted a survey in October, 2006, to measure the attitudes and perspectives of MBA students on the relationship between business and social / environmental concerns. Our goal was to get a representative sample of MBAs to address questions related to business graduate education, career goals, and the role of companies in society. The 31 question survey included demographic questions; career history and aspirations; the role for business school education in preparing values-based leaders; and general questions on the role business should play in addressing social and environmental concerns. Our goal is to repeat the survey over time to measure changes in perspectives, as well as to compare the MBA answers with those of college students and other populations.

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EXECUTIVE SUMMARY There were 2,113 current MBA students who answered the survey, representing 87 different graduate business programs. Most of the students surveyed are currently based in the U.S. or Canada (82%). 37% of the survey respondents indicated a current affiliation with Net Impact.

Across all demographics, the majority of students tells us that social and environmental issues should be important considerations for business schools, career goals, and the private sector in general. In terms of their MBA education, 78% of those surveyed agree that corporate social responsibility is a topic that should be integrated into core curriculum classes at MBA programs. Seventy percent agree that business schools should place more emphasis on training socially and environmentally responsible individuals than they currently do. Only 9% of students say they do not want to learn more about corporate responsibility during their business school education.

Overall, 79% of students say they will seek socially responsible employment at some point during their careers; 59% say they will do so immediately following business school. The majority of respondents

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A similar survey was conducted among undergraduate students in January 2007.

MBA Perspectives Net Impact, Spring 2007

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(63%) would prefer to work in medium to large business after the MBA degree; this number drops to 33% when asked about goals for five to ten years after graduation.

In terms of general perspectives on business, 81% of students surveyed believe companies should try to work toward the betterment of society, while 18% think most companies are pursuing that goal currently. Nine out of ten respondents say that business leaders should factor social and environmental effects into their business decisions, with 60% believing that this approach can be profitable.

Of the survey respondents, 63% are not affiliated with Net Impact. Of this group, 38% say they would like to learn more about the organization, and 25% say they are not interested in learning more or joining. Even of the segment without any interest in Net Impact, the majority agree with the opinions stated above. For example, 60% of students with no interest in Net Impact agree that they will seek employment that is socially responsible during their career, 64% agree that corporate social responsibility should be integrated into core curriculum in MBA classes, and two-thirds (67%) believe that business should work towards the betterment of society.

The implications of this study are especially important for business school programs and employers. The survey results show that students today are interested in examining the social implications of business during their MBA programs. Universities should consider adding corporate responsibility and related topics to core and elective courses, as well as supporting relevant activities such as a speakers series and case competitions. In addition, employers can benefit from addressing more social responsibility issues in their workplaces, and by communicating their values to potential hires. This may be especially true for medium to large companies: one in two MBAs who plan to enter the corporate sector immediately following graduation say they plan to stop working for larger companies after five to ten years. Those that plan to leave the corporate sector are more likely to say they want a socially responsible career than those who plan to stay. This indicates that companies might have an opportunity to retain more employees if they can place more emphasis on corporate responsibility.

Of all demographic segments examined, the most varied perspectives were observed when segmenting the data by gender. Women are more interested in learning about almost all surveyed topics than men, and are significantly more likely to seek socially responsible employment. As an underrepresented segment in both MBA programs and in the corporate workforce, women are an important demographic for employers to recruit and retain - emphasizing corporate responsibility and related themes may be a key way to do so.

For further information, please contact Alejandra Villalobos, Analyst, at [email protected].

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METHODOLOGY PROCESS The findings presented here are taken from a survey conducted between September 25 and October 15, 2006. During that time, 2,112 current MBA students responded to an online questionnaire, which consisted of 30 multiple-choice Likert-scale questions, plus one open-ended question to allow for further qualification of answers (see Appendix C). Announcements for the online survey were sent to Net Impact club leaders at 100 MBA programs, asking them to send the survey to their student body email list (see Appendix D). In total: 

87 programs were represented



41 programs had 10+ student responses



13 programs had 50+ respondents

Participants answered questions about the relationship between business and broader social and environmental issues. The survey focused on three key areas: 

Career: Do students express an interest in socially responsible careers?



Curriculum: Do students express an interest in learning about corporate social responsibility, sustainability, international development, and social entrepreneurship during their MBA?



Business and social responsibility: How important do students think social responsibility is for the private sector?

For the purposes of this report, we combine Agree and Strongly Agree into Net Agree when speaking of students who agree with a statement. Net Disagree includes those respondents who Disagree and Strongly Disagree.

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STATISTICAL TESTING 

Where appropriate, proportions testing was utilized to measure differences between groups of respondents in our study.

or



A confidence interval of 95% was used, which indicates that we maintain 95%+ certainty that the responses of two groups being compared are meaningfully different if we are to label these differences as statistically significant findings.

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STUDY POPULATION The figures in this section provide a snapshot of the population of respondents in this study. As figure 1 2

st

indicates, the majority of participants (56%) is male . The majority of respondents (70%) were 1 year students [Figure 2] and enrolled in a full-time MBA program (87%) [Figure 3].

Fourth Fifth 1% Third 1% 2% Female 44%

Second 26% First 70%

Male 56%

Figure 1: Gender

Figure 2: Program Year

Multi-racial 3%

Part-time 13%

Native American/ Alaska Native 0%

Asian 19%

Full-time 87%

Figure 3: Program Type

2

White, not Hispanic 66%

African American/ Black 3% Hispanic, non-White 2% Hispanic, White 7%

Figure 4: Race/ Ethnicity

According to GMAC data, males represent 70% of MBA students globally

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The majority of participants (66%) were Caucasian [Figure 4]; our study population is more diverse than the U.S. business school population, which is 85% Caucasian. Perhaps not surprisingly, given that the survey questionnaire was available only in English and that the announcements for the survey were posted to mailing lists primarily in American universities, 85% of the respondents reported that they lived in the United States. 37% of respondents are currently Net Impact members; 38% would consider or like to learn more about Net Impact; and 25% are not interested in joining [Figure 5]. Finally, prior or concurrent to enrolling in their MBA program, 14% of respondents had nonprofit work experience; 8% had public sector and 76% had private sector work experience [Figure 6].

Single person business 1%

Not interested 25%

Learn more 38%

Figure 5: Net Impact Membership/ Interest

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Yes 37%

No work experience 2%

Small business 17%

Nonprofit 14%

Public Sector 8%

Medium to large business 58%

Figure 6: Most Recent Work Experience

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DETAILED FINDINGS Overall Career Most students plan to look for socially responsible employment at some point in their careers, and many intend to look beyond medium and large corporations, which are the more traditional MBA employers. Close to eight in ten respondents (79%) indicate that they will seek socially responsible employment during the course of their careers, while 59% say they will seek such work immediately after graduating from business school.

Q: Immediately following business school, I plan to focus on securing a job that is socially responsible. Disagree (Net) Neutral/No Opinion Agree (Net) Total respondents

Response Percent

12.1% 28.7% 59.1% 1907

Net Agree includes those who agree and strongly agree. Net Disagree includes those who disagree and strongly disagree

Q: During my employment career, I will seek employment that is socially responsible Disagree (Net) Neutral/No Opinion Agree (Net) Total respondents

Response Percent

5% 15.8% 79.2% 1907

Net Agree includes those who agree and strongly agree. Net Disagree includes those who disagree and strongly disagree

Q: Immediately after you receive your MBA degree, which employment site do you most prefer to work in? Nonprofit Organization Public sector – municipal, state, federal Medium to large business (100+ employees) Small business (under 100 employees) Single person business (no employees) I am not sure at this point Total respondents

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Response Percent

5.9% 2.2% 63.3% 13.4% 0.4% 14.9% 2112

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Q: Five to ten years after you received your MBA degree, which employment site would you prefer at that time? Nonprofit Organization Public sector – municipal, state, federal Medium to large business (100+ employees) Small business (under 100 employees) Single person business (no employees) I am not sure at this point Total respondents

Response Percent

12.9% 4.5% 33.2% 26.3% 1.8% 21.3% 2114

Curriculum Most students think that social and environmental topics should be integrated into the business school curriculum. Seventy-eight percent of students agree that the subject of corporate social responsibility (CSR) should be integrated into the MBA core curriculum, and 71% agree that business schools should place more emphasis on training socially and environmentally responsible individuals than they currently do.

Q: Please indicate whether or not you would like to learn more about any of the following concepts while you are pursuing your MBA. Yes Possibly No 63% (1309) Corporate Social Responsibility 28% (582) 9% (197) 57% (1185) Environmental Sustainability 31% (655) 12% (245) 47% (969) Nonprofits 35% (721) 19% (392) 59% (1226) Social Entrepreneurship 31% (653) 10% (209) 53% (1099) Microfinance 34% (717) 13% (266) 54% (1118) Renewable Energy 33% (679) 14% (286) 67% (1402) International Development 26% (536) 7% (153) Total respondents 2105

Q: Corporate Social Responsibility is a topic that should be integrated into core curriculum classes at MBA programs. Disagree (Net) Neutral/No Opinion Agree (Net) Total respondents

Response Percent 9.5% 13% 77.6% 1907

Net Agree includes those who agree and strongly agree. Net Disagree includes those who disagree and strongly disagree

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Q: Business schools should place more emphasis on training socially and environmentally responsible individuals than they currently do. Disagree (Net) Neutral/No Opinion Agree (Net) Total respondents

Response Percent 8.7% 20.8% 70.5% 1907

Net Agree includes those who agree and strongly agree. Net Disagree includes those who disagree and strongly disagree

Q: I believe that graduate business schools are currently preparing students to lead businesses towards the betterment of society. Disagree (Net) Neutral/No Opinion Agree (Net) Total respondents

Response Percent 25.5% 31.3% 43.2% 1907

Net Agree includes those who agree and strongly agree. Net Disagree includes those who disagree and strongly disagree

Q: I am (or plan to be) a leader in a club or activity at business school that emphasizes CSR, nonprofits, or other social/environmental benefits. Disagree (Net) Neutral/No Opinion Agree (Net) Total respondents

Response Percent 28.6% 26.1% 45.4% 1900

Net Agree includes those who agree and strongly agree. Net Disagree includes those who disagree and strongly disagree

Business and social responsibility Close to nine in ten students (89%) say that business professionals should take into account social and environmental impacts when making business decisions. Eighty-one percent agree that businesses should work towards the betterment of society (such as a healthier environment, the eradication of poverty, and other societal issues); however, only 18% believe most corporations are currently working towards that goal. Sixty percent agree that corporate social responsibility makes good business sense because it leads to financial profits.

Q: I believe that businesses should work towards the betterment of society (such as a healthier environment, the eradication of poverty, and other societal issues). Disagree (Net) Neutral/No Opinion Agree (Net) Total respondents

Response Percent 7.1% 11.9% 81% 1907

Net Agree includes those who agree and strongly agree. Net Disagree includes those who disagree and strongly disagree

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Q: I believe that most corporations are currently working towards the betterment of society. Disagree (Net) Neutral/No Opinion Agree (Net) Total respondents

Response Percent 51.8% 30% 18.2% 1907

Net Agree includes those who agree and strongly agree. Net Disagree includes those who disagree and strongly disagree

Q: Business professionals should take into account social and environmental impacts when making business decisions. Disagree (Net) Neutral/No Opinion Agree (Net) Total respondents

Response Percent 3.1% 7.5% 89.5% 1903

Net Agree includes those who agree and strongly agree. Net Disagree includes those who disagree and strongly disagree

Q: The for-profit sector should play a role in addressing social and environmental issues. Disagree (Net) Neutral/No Opinion Agree (Net) Total respondents

Response Percent 4.3% 9.5% 86.2% 1901

Net Agree includes those who agree and strongly agree. Net Disagree includes those who disagree and strongly disagree

Q: Corporate Social Responsibility makes good business sense because it leads to financial profits. Disagree (Net) Neutral/No Opinion Agree (Net) Total respondents

Response Percent 10.6% 29.6% 59.9% 1907

Net Agree includes those who agree and strongly agree. Net Disagree includes those who disagree and strongly disagree

Q: Corporate Social Responsibility is the “right” thing for companies to do. Disagree (Net) Neutral/No Opinion Agree (Net) Total respondents

Response Percent 4.2% 13.9% 81.8% 1907

Net Agree includes those who agree and strongly agree. Net Disagree includes those who disagree and strongly disagree

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Differences by MBA segment Please see tables in Appendix A for more detail on the statistics below. Findings are statistically significant, unless otherwise indicated.

Gender Forty-five percent of survey respondents identified themselves as female. Findings suggest that women are more likely than men to seek socially responsible careers. 

Nearly 87% of female (compared with 73% of male) students polled want to find socially responsible employment at some point in their careers



86% of female (compared with 71% of male) students agree that classes in corporate social responsibility should be part of the core curriculum in MBA programs



87% of female (compared with 71% of male) respondents say companies should try to work toward the betterment of society

Political Affiliation Among MBA students polled, 44% identified themselves as Democratic, 31% as Independent, and 25% as Republican. Findings suggest that Democratic students are more likely than Republican students to seek socially responsible careers. 

86% of Democratic (compared with 68% of Republican) students polled want to find socially responsible employment at some point in their careers



87% of Democratic (compared with 70% of Republican) students agree that the subject of corporate social responsibility should be integrated into the MBA core curriculum



86% of Democratic (compared with 65% of Republican) respondents agree with the statement that businesses should work towards the betterment of society

Career History We compared students whose last job was in the nonprofit or public sector with those who previously worked in a medium to large corporation. 

Respondents whose last job was in the nonprofit or public sector are more likely than respondents who previously worked in a medium to large business to agree that during their career they will seek employment that is socially responsible (90% vs. 75%)



Respondents whose last job was in the nonprofit or public sector are also more likely to agree that classes in corporate social responsibility should be part of the core curriculum in MBA programs (82% vs. 76%)



They are also more likely to agree that businesses should work towards the betterment of society (84% vs. 80%)

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Career Plans We compared the responses of students who agree that they intend to seek socially responsible employment during their careers with those who disagree. 

There are no significant differences between these groups in terms of whether they believe that graduate business schools are preparing students to lead business towards the betterment of society



However, students who say that they will seek socially responsible employment are significantly more likely to agree that corporate social responsibility should be integrated into the MBA core curriculum as opposed to those who disagree or are neutral about seeking socially responsible employment (85% vs. 51%)



Students who say that they will seek socially responsible employment are also more likely to believe that businesses should work towards the betterment of society (87% vs. 56%)



Of the students who say that they will seek socially responsible employment 8% prefer to work in a nonprofit organization immediately after receiving their MBA, 3% prefer to work in the public sector, 58% prefer a medium to large business, and 15% prefer a small business



Of the students who say they will not seek socially responsible employment, 82% prefer a medium to large business, 8% prefer a small business, 1% prefer to work in a nonprofit organization and 0% prefer to work in the public sector immediately after receiving their MBA

We analyzed differences between students who plan to work with a medium to large corporation long term (5 years or more) with those who intend to shift careers to small business, nonprofit, government, or entrepreneurial endeavors. 

Students who prefer to stay with a medium or large company after five years are less likely to say that during their career, they will seek employment that is socially responsible (69% vs. 81%)



Students who prefer to stay with a medium or large company are also less likely to believe that businesses should work towards the betterment of society (76% vs. 83%)



However, there is no statistically significant difference between these groups in their agreement that corporate social responsibility is a topic which should be integrated into the MBA core curriculum (73% vs. 75%)

Net Impact Membership We analyzed differences between students who are Net Impact members and those who are not interested in joining Net Impact. 

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91% of Net Impact member students (compared with 60% of the general MBA population ) polled want to find socially responsible employment at some point in their careers

3

Here we refer to non-members who are not interested in joining Net Impact.

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

87% of Net Impact member students (compared with 64% of the general MBA population) agree that the subject of corporate social responsibility should be integrated into the MBA core curriculum



89% of Net Impact member respondents (compared with 67% of the general MBA population) agree with the statement that businesses should work towards the betterment of society

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APPENDIX Appendix A: Overall Gender During my employment career, I will seek employment that is socially responsible. Disagree (Net) Neutral/No Opinion Agree (Net)

Are you: MALE

STATISTICAL SIGNIFICANCE

FEMALE

FREQ.

TOTAL

%

FREQ.

TOTAL

%

AT 95%

68 206 759

1033 1033 1033

7% 20% 73%

24 85 721

830 830 830

3% 10% 87%

YES YES YES

Net Agree includes those who agree and strongly agree. Net Disagree includes those who disagree and strongly disagree.

Corporate Social Responsibility is a topic that should be integrated into core curriculum classes at MBA programs. Disagree (Net) Neutral/No Opinion Agree (Net)

Are you: MALE

STATISTICAL SIGNIFICANCE

FEMALE

FREQ.

TOTAL

%

FREQ.

TOTAL

%

AT 95%

130 165 738

1033 1033 1033

13% 16% 71%

47 72 711

830 830 830

6% 9% 86%

YES YES YES

Net Agree includes those who agree and strongly agree. Net Disagree includes those who disagree and strongly disagree.

I believe that businesses should work towards the betterment of society. Disagree (Net) Neutral/No Opinion Agree (Net)

STATISTICAL SIGNIFICANCE

Are you: MALE

FEMALE

FREQ.

TOTAL

%

FREQ.

TOTAL

%

AT 95%

101 139 793

1033 1033 1033

10% 13% 77%

21 83 718

830 830 830

3% 10% 87%

YES YES YES

Net Agree includes those who agree and strongly agree. Net Disagree includes those who disagree and strongly disagree.

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Political Affiliation During my employment career, I will seek employment that is socially responsible. Disagree (Net) Neutral/No Opinion Agree (Net)

STATISTICAL SIGNIFICANCE

If registered to vote, are you: DEMOCRATIC REPUBLICAN FREQ.

TOTAL

%

FREQ.

TOTAL

%

AT 95%

17 59 486

562 562 562

3% 10% 86%

28 73 219

320 320 320

9% 23% 68%

YES YES YES

Net Agree includes those who agree and strongly agree. Net Disagree includes those who disagree and strongly disagree.

Corporate Social Responsibility is a topic that should be integrated into core curriculum classes at MBA programs. Disagree (Net) Neutral/No Opinion Agree (Net)

STATISTICAL SIGNIFICANCE

If registered to vote, are you: DEMOCRATIC REPUBLICAN FREQ.

TOTAL

%

FREQ.

TOTAL

%

AT 95%

33 40 489

562 562 562

6% 7% 87%

48 49 223

321 320 320

15% 15% 70%

YES YES YES

Net Agree includes those who agree and strongly agree. Net Disagree includes those who disagree and strongly disagree.

I believe that businesses should work towards the betterment of society. Disagree (Net) Neutral/No Opinion Agree (Net)

If registered to vote, are you: DEMOCRATIC REPUBLICAN

STATISTICAL SIGNIFICANCE

FREQ.

TOTAL

%

FREQ.

TOTAL

%

AT 95%

22 58 482

562 562 562

4% 10% 86%

54 58 208

320 320 320

17% 18% 65%

YES YES YES

Net Agree includes those who agree and strongly agree. Net Disagree includes those who disagree and strongly disagree.

Career History

During my employment career, I will seek employment that is socially responsible. Disagree (Net) Neutral/No Opinion Agree (Net)

Prior (or concurrent) to enrolling in the MBA program, which of the following BEST describes your work experience? NONPROFIT/PUBLIC MEDIUM TO LARGE SECTOR BUSINESS

STATISTICAL SIGNIFICANCE

FREQ.

TOTAL

%

FREQ.

TOTAL

%

AT 95%

13 33 401

447 447 447

3% 7% 90%

63 208 820

1091 1091 1091

6% 19% 75%

YES YES YES

Net Agree includes those who agree and strongly agree. Net Disagree includes those who disagree and strongly disagree. MBA Perspectives Net Impact, Spring 2007

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Corporate Social Responsibility is a topic that should be integrated into core curriculum classes at MBA programs. Disagree (Net) Neutral/No Opinion Agree (Net)

Prior (or concurrent) to enrolling in the MBA program, which of the following BEST describes your work experience? NONPROFIT/PUBLIC MEDIUM TO LARGE SECTOR BUSINESS

STATISTICAL SIGNIFICANCE

FREQ.

TOTAL

%

FREQ.

TOTAL

%

AT 95%

38 43 366

447 447 447

9% 10% 82%

111 146 834

1091 1091 1091

10% 13% 76%

NO YES YES

Net Agree includes those who agree and strongly agree. Net Disagree includes those who disagree and strongly disagree.

I believe that businesses should work towards the betterment of society. Disagree (Net) Neutral/No Opinion Agree (Net)

Prior (or concurrent) to enrolling in the MBA program, which of the following BEST describes your work experience? NONPROFIT/PUBLIC MEDIUM TO LARGE SECTOR BUSINESS

STATISTICAL SIGNIFICANCE

FREQ.

TOTAL

%

FREQ.

TOTAL

%

AT 95%

25 46 376

447 447 447

6% 10% 84%

87 136 868

1091 1091 1091

8% 12% 80%

NO NO YES

Net Agree includes those who agree and strongly agree. Net Disagree includes those who disagree and strongly disagree.

Career Plans I believe that graduate business schools are currently preparing students to lead businesses to work towards the betterment of society. Disagree (Net) Neutral/No Opinion Agree (Net)

During my employment career, I will seek employment that is socially responsible. YES NO

STATISTICAL SIGNIFICANCE

FREQ.

TOTAL

%

FREQ.

TOTAL

%

AT 95%

394 478 638

1510 1510 1510

26% 32% 42%

93 119 185

397 397 397

23% 30% 47%

NO NO NO

Net Agree includes those who agree and strongly agree. Net Disagree includes those who disagree and strongly disagree.

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Corporate Social Responsibility is a topic that should be integrated into core curriculum classes at MBA programs. Disagree (Net) Neutral/No Opinion Agree (Net)

During my employment career, I will seek employment that is socially responsible. YES NO

STATISTICAL SIGNIFICANCE

FREQ.

TOTAL

%

FREQ.

TOTAL

%

AT 95%

97 136 1277

1510 1510 1510

6% 9% 85%

83 111 203

397 397 397

21% 28% 51%

YES YES YES

Net Agree includes those who agree and strongly agree. Net Disagree includes those who disagree and strongly disagree.

I believe that businesses should work towards the betterment of society. Disagree (Net) Neutral/No Opinion Agree (Net)

During my employment career, I will seek employment that is socially responsible. YES NO

STATISTICAL SIGNIFICANCE

FREQ.

TOTAL

%

FREQ.

TOTAL

%

AT 95%

50 139 1321

1510 1510 1510

3% 9% 87%

85 88 224

397 397 397

21% 22% 56%

YES YES YES

Net Agree includes those who agree and strongly agree. Net Disagree includes those who disagree and strongly disagree.

During my employment career, I will seek employment that is socially responsible.

Disagree (Net) Neutral/No Opinion Agree (Net)

Respondents who immediately after MBA will work in a medium to large enterprise, and then 5 years later either SHIFT career paths and work in a nonprofit, small or single person business, or in the public sector, or whether they will STAY and work in a medium to large enterprise SHIFT STAY

STATISTICAL SIGNIFICANCE

FREQ.

TOTAL

%

FREQ.

TOTAL

%

AT 95%

17 71 385

473 473 473

4% 15% 81%

50 128 349

527 527 527

9% 24% 66%

YES YES YES

Net Agree includes those who agree and strongly agree. Net Disagree includes those who disagree and strongly disagree.

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Corporate Social Responsibility is a topic that should be integrated into core curriculum classes at MBA programs.

Disagree (Net) Neutral/No Opinion Agree (Net)

Respondents who immediately after MBA will work in a medium to large enterprise, and then 5 years later either SHIFT career paths and work in a nonprofit, small or single person business, or in the public sector, or whether they will STAY and work in a medium to large enterprise SHIFT STAY

STATISTICAL SIGNIFICANCE

FREQ.

TOTAL

%

FREQ.

TOTAL

%

AT 95%

49 67 357

473 473 473

10% 14% 75%

58 87 382

527 527 527

11% 17% 72%

NO NO NO

Net Agree includes those who agree and strongly agree. Net Disagree includes those who disagree and strongly disagree.

I believe that businesses should work towards the betterment of society.

Disagree (Net) Neutral/No Opinion Agree (Net)

Respondents who immediately after MBA will work in a medium to large enterprise, and then 5 years later either SHIFT career paths and work in a nonprofit, small or single person business, or in the public sector, or whether they will STAY and work in a medium to large enterprise SHIFT STAY

STATISTICAL SIGNIFICANCE

FREQ.

TOTAL

%

FREQ.

TOTAL

%

AT 95%

35 45 393

473 473 473

7% 10% 83%

51 78 398

527 527 527

10% 15% 76%

NO YES YES

Net Agree includes those who agree and strongly agree. Net Disagree includes those who disagree and strongly disagree.

Net Impact Membership

During my employment career, I will seek employment that is socially responsible. Disagree (Net) Neutral/No Opinion Agree (Net)

Are you a Net Impact member? NO, I am not interested in YES joining.

STATISTICAL SIGNIFICANCE

FREQ.

TOTAL

%

FREQ.

TOTAL

%

AT 95%

18 49 679

746 746 746

2% 7% 91%

53 124 261

438 438 438

12% 28% 60%

YES YES YES

Net Agree includes those who agree and strongly agree. Net Disagree includes those who disagree and strongly disagree.

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Corporate Social Responsibility is a topic that should be integrated into core curriculum classes at MBA programs. Disagree (Net) Neutral/No Opinion Agree (Net)

Are you a Net Impact member? NO, I am not interested in YES joining.

STATISTICAL SIGNIFICANCE

FREQ.

TOTAL

%

FREQ.

TOTAL

%

AT 95%

54 46 646

746 746 746

7% 6% 87%

69 88 281

438 438 438

16% 20% 64%

YES YES YES

Net Agree includes those who agree and strongly agree. Net Disagree includes those who disagree and strongly disagree.

Are you a Net Impact member? NO, I am not interested in YES joining.

I believe that businesses should work towards the betterment of society.

FREQ.

TOTAL

%

FREQ.

TOTAL

%

AT 95%

Disagree (Net) Neutral/No Opinion Agree (Net)

19 67 660

746 746 746

3% 9% 88%

64 83 291

438 438 438

15% 19% 66%

YES YES YES

STATISTICAL SIGNIFICANCE

Net Agree includes those who agree and strongly agree. Net Disagree includes those who disagree and strongly disagree.

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Appendix B: Knowledge ratings4 Q: Please rate your general knowledge today about each of the following categories. First year MBA Overall Male Female Category student (N = 2109) (N = 1033) (N = 829) (N = 1467) Corporate Social 3.32 3.32 3.36 3.24 Responsibility Environmental 3.08 3.21 2.98 3.01 Sustainability Nonprofits 3.01 2.85 3.28 2.95 Social Entrepreneurship 2.77 2.74 2.87 2.72 Microfinance 2.42 2.49 2.34 2.35 Renewable Energy 2.77 3.03 2.50 2.74 International 2.93 3.00 2.88 2.87 Development Scale: 1 = very low; 2 = moderately low; 3 = moderate; 4 = moderately high; 5 = high

Second year MBA student (N = 549) 3.50 3.22 3.13 2.92 2.60 2.80 3.07

Q: Please indicate whether you would like to learn more about any of the concepts while you are pursuing your MBA. Overall Male Female First year MBA Second year MBA Category (N = 2105) (N = 1033) (N = 829) student (N = 1464) student (N = 548) YES NO YES NO YES NO YES NO YES NO Corporate Social 56% 73% 64% 59% 63% 9% 11% 6% 9% 11% Responsibility Environmental 55% 62% 57% 56% 57% 12% 13% 9% 12% 12% Sustainability Nonprofits 47% 39% 59% 48% 44% 19% 23% 12% 18% 21% Social 59% 55% 67% 61% 55% 10% 12% 6% 9% 12% Entrepreneurship Microfinance 53% 53% 55% 54% 51% 13% 13% 13% 12% 13% Renewable 59% 50% 53% 56% 54% 14% 12% 15% 12% 13% Energy International 64% 72% 67% 65% 67% 7% 8% 5% 12% 7% Development

The percentage not shown is Possibly

4

Note: these have not been tested for statistical significance.

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Appendix C: Online Survey Form New Semester, New Perspectives: The Net Impact Survey of MBA Student Opinions on Business and Society Net Impact is embarking on a multi-year, longitudinal study of MBA students. Results will be shared with the media and broader public to demonstrate how current MBA students view the relationship between business and broader social and environmental concerns. Our goal is to conduct this survey annually to determine how MBA perspectives change over time. Please note: ONLY CURRENT MBA STUDENTS should participate in this survey. Thank you.

1. For how many years have you been enrolled in your MBA program?  1  2  3  4  5 2. Are you currently a part-time or a full-time student?  Part-time  Full-time 3. Which MBA program are you in? 4. Are you a Net Impact member?  Yes, I have been a member for six months or less.  Yes, I have been a member for more than six months.  No, but I plan to join in the next month or so.  No, but I would like to learn more about it.  No, I am not interested in joining 5. Prior (or concurrent) to enrolling in the MBA program, which of the following BEST describes your work experience?  Nonprofit organization  Public sector - municipal, state, federal  Medium to large business (100+ employees)  Small business (under 100 employees)  Single person business - no employees  No work experience to date 6. Immediately after you receive your MBA degree, which employment site do you most prefer to work in?  Nonprofit organization  Public sector - municipal, state, federal  Medium to large business (100+ employees)  Small business (under 100 employees)  Single person business - no employees  No work experience to date 7. Five to ten years after you received your MBA degree, which employment site would you prefer at that time?  Nonprofit organization  Public sector - municipal, state, federal  Medium to large business (100+ employees)  Small business (under 100 employees) MBA Perspectives 21 Net Impact, Spring 2007

 

Single person business - no employees No work experience to date

8. Please rate your general knowledge today about each of the following categories.  Corporate Social Responsibility  Environmental Sustainability  Nonprofits  Social Entrepreneurship  Microfinance  Renewable Energy  International Development 9. Please indicate whether or not you would like to learn more about any of the concepts while you are pursuing your MBA.  Corporate Social Responsibility  Environmental Sustainability  Nonprofits  Social Entrepreneurship  Microfinance  Renewable Energy  International Development 10. Corporate Social Responsibility is a topic that should be integrated into core curriculum classes at MBA programs.  Strongly disagree  Disagree  Neutral/ No opinion  Agree  Strongly agree 11. Business schools should place more emphasis on training socially and environmentally responsible individuals than they currently do.  Strongly disagree  Disagree  Neutral/ No opinion  Agree  Strongly agree 12. I believe that graduate business schools are currently preparing students to lead businesses to work towards the betterment of society.  Strongly disagree  Disagree  Neutral/ No opinion  Agree  Strongly agree 13. I am (or plan to be) a leader in a club or activity at the business school that emphasizes CSR, nonprofits, or other social/environmental benefits.  Strongly disagree  Disagree  Neutral/ No opinion  Agree  Strongly agree 14. Immediately following business school, I plan to focus on securing a job that is socially responsible.  Strongly disagree MBA Perspectives Net Impact, Spring 2007

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   

Disagree Neutral/ No opinion Agree Strongly agree

15. During my employment career, I will seek employment that is socially responsible.  Strongly disagree  Disagree  Neutral/ No opinion  Agree  Strongly agree 16. I believe that businesses should work towards the betterment of society [such as a healthier environment, the eradication of poverty, and other societal issues].  Strongly disagree  Disagree  Neutral/ No opinion  Agree  Strongly agree 17. I believe that most corporations are currently working towards the betterment of society.  Strongly disagree  Disagree  Neutral/ No opinion  Agree  Strongly agree 18. Business professionals should take into account social and environmental impacts when making business decisions.  Strongly disagree  Disagree  Neutral/ No opinion  Agree  Strongly agree 19. The for-profit sector should play a role in addressing social and environmental issues.  Strongly disagree  Disagree  Neutral/ No opinion  Agree  Strongly agree 20. Corporate Social Responsibility makes good business sense because it leads to financial profits.  Strongly disagree  Disagree  Neutral/ No opinion  Agree  Strongly agree 21. Corporate Social Responsibility is the "right" thing for companies to do.  Strongly disagree  Disagree  Neutral/ No opinion  Agree  Strongly agree 22. Please comment about the relationship between business and society (optional). MBA Perspectives Net Impact, Spring 2007

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23. Please enter your email to win a chance for a $100 gift certificate to the online merchant of your choice. 24. Please describe where you currently live.  Urban area  Suburban area  Rural area 25. Are you  

Male Female

26. What best describes your ethnic and racial heritage?  Native American/ Alaskan Native  Asian  African American / Black  Hispanic, non-White  Hispanic, White  White, not Hispanic  Multi-racial 27. Please tell us your country of origin. 28. Please tell us your country of current residence. 29. If you are an American citizen, are you currently registered to vote?  Yes  No 30. If yes, are you registered:  Democratic  Independent  Republican 31. How often do you vote in presidential, statewide, and local elections?  Always  Sometimes  Rarely  Never

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Appendix D: Schools Surveyed Which MBA program are you in? University of Michigan - Stephen M. Ross School of Business Duke University - Fuqua School of Business Columbia University - Columbia Business School Georgetown University - McDonough School of Business Wake Forest University - Babcock Graduate School of Management University of North Carolina - Kenan-Flagler Business School Northwestern University - Kellogg School of Management Emory University - Goizueta Business School Brigham Young University - Marriott School of Business Cornell University - Johnson Graduate School of Management University of Wisconsin Madison - Graduate School of Business Saint Joseph's University - Haub School of Business INSEAD University of Denver - Daniels College of Business University of Washington - Business School University of California Berkeley - Haas School of Business Rice University Yale University - Yale School of Management Erasmus University - Rotterdam School of Management Dartmouth College - Tuck School of Business Vanderbilt University - Owen Graduate School of Management Norwegian University of Science & Technology (NTNU) University of Alberta - School of Business Purdue University - Krannert School of Management IMD Lausanne York University - Schulich School of Business Simon Fraser University - School of Business University of California Davis - Graduate School of Management Pepperdine University - Graziadio School of Business and Management Harvard University - Harvard Business School University of Minnesota - Carlson School of Management University of Southern California - Marshall School of Business Monterey Institute of International Studies Thunderbird University - The American Graduate School of International Management Simmons University University of Alabama - Manderson Graduate School of Business Georgia Tech - College of Management George Washington University - School of Business and Public Management New York University - Stern School of Business North Carolina State University University of San Francisco - School of Business and Management Carnegie Mellon University - Tepper School of Business Instituto de Empresa San Francisco State University - College of Business Babson College - F.W. Olin Graduation School of Business Bainbridge Graduate Institute Georgia State University University of New Mexico - Anderson Graduate School of Management MBA Perspectives Net Impact, Spring 2007

Total Respondents 148 140 111 110 104 102 77 71 70 62 62 54 50 48 47 42 41 41 38 37 37 36 35 32 29 24 21 21 19 18 18 17 16 16 15 13 12 11 11 10 10 9 9 8 7 6 6 6 25

University of Pennsylvania - The Wharton School of Business University of Texas Austin - McCombs School of Business University of Toronto - Rotman School of Management University of California Los Angeles - Anderson School of Business Boston University - Graduate School of Management Brandeis University Indiana University - Kelley School of Business Swedish School of Economics and Business Administration - Helsinki Case Western Reserve University - Weatherhead School of Management McGill University - Faculty of Management Oxford University - Said School of Business Stanford University - Stanford Graduate School of Business University of Chicago - Graduate School of Business University of Colorado - Leeds School of Business University of Maryland - Smith School of Business University of Virginia - Darden Graduate School of Business Administration Washington University - Olin School of Business HEC - School of Management Indian School of Business Melbourne Business School Presidio School of Management University of Geneva University of Kansas - School of Business Boston College - Carroll Graduate School of Management Dalhousie University - Faculty of Management ESSEC Massachusetts Institute of Technology - Sloan School of Business Penn State University - Smeal College of Business Portland State University - School of Business Administration Saint Louis University - John Cook School of Business Santa Clara University University of Arizona - Eller Graduate School of Management University of British Columbia - Sauder School of Business University of Cincinnati University of Notre Dame - Mendoza College of Business University of Rochester - William E. Simon Graduate School of Business University of Utah - Eccles School of Business Villanova University - College of Commerce and Finance

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6 6 6 5 4 4 4 4 3 3 3 3 3 3 3 3 3 2 2 2 2 2 2 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1

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Appendix E: Respondent Quotes “The key business role is to develop society, not profits.” “Businesses contribute to society if they respect shareholders’ rights and interest. Other than that, it is a waste of time and money.” “Businesses that cross boundaries and borders have the opportunity to make social change in a way that government simply cannot.” “My initial impression is that promoting CSR is an attempt to impose liberal policies and politics on corporations and employees. To the extent that is the case, I think CSR promotion would be an economic and moral disaster.” “Even if CSR has no effect on profits, [businesses] should do it because it's the right thing to do.” “The word on the street is that this is the only planet currently capable of supporting human life. Any venture that does not actively address this reality should be taxed accordingly.” “Markets are powerful enough to allocate capital in the best interest of humanity.” “While doing business, society should be taken care of but it need not go hand in hand. Business is all about making profits and considering society at every stage might not be fruitful for the end result-profit.” “It should not be a business school’s responsibility to educate or make people more responsible. This should have been done by society and the family decades prior to students undertaking a MBA.” “Business owes its foundation to an advancing society and thus needs to invest in that advancement.” “There is a fine line between simply doing good, and making a positive impact on the triple bottom line. It is the latter that many businesses fail to recognize.” “Business is by itself a force toward social progress.” “After working in the nonprofit sector for a couple of years, I have determined that the majority of nonprofits lack the efficiency and expertise to address social problems in an efficient manner. Business is the most nimble and capable of the sectors in the US economy.. .therefore, business approaches to solving social problems will be the most capable and practical.” “The purpose of a company should be to promote and enhance the community in which it resides and society in general. Companies who focus more on earnings and less on social responsibility are counterproductive to this aim.” “Businesses benefit from society in general and therefore are not only "responsible" but also morally obligated to reciprocate a return on society's investments.” “CSR gives businesses an excuse not to integrate environmental and social concerns into their core business strategies. As long as these issues are considered only as a way of livening up a company's annual report, they will never fundamentally change their business practices.” “Businesses help set the standard for socially responsible practices and lead governments in forming the right policies for regulation.” “Profitability is easy. Changing the world is hard.”

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ACKNOWLEDGEMENTS Net Impact would like to thank all students and administrators who helped to distribute this survey to their student body. We would also like to thank two interns who contributed to this analysis: Sara Martinez and Andrea Schuenke. Finally, a big thank you to member Katerina Tsasis who volunteered her time and expertise to help our statistical analysis and reporting.

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