NCGE/UKSEC International
Entrepreneurship Educators Conference
September 11-13, 2006
Achieving Entrepreneurial Outcomes:
Educator Challenges and Opportunities
Where Are We Now:
Reflections from the U.S.
Judith Cone
Vice President
Entrepreneurship
Paul Magelli
Senior Scholar
in Residence
Purpose of Session
State of U.S. Entrepreneurship Education
Where are we trying to go and
where are we now?
• Discuss Kauffman Foundation’s role in
advancing entrepreneurship in the U.S.
• Discuss the overall context for Advancing the
Entrepreneurial University in the U.S.
• Present the current state of entrepreneurship
education in the U.S.
www.kauffman.org
Ewing Marion Kauffman Foundation
• Founded by Ewing Kauffman,
successful entrepreneur in
Kansas City, Missouri USA
• $1.9 billion in total assets (US$)
• Granting $90 Million per year to
U.S. NGOs and educational
institutions
The Foundation
The Kauffman Foundation Outcomes
• Economically independent individuals who are
engaged citizens, contributing to the
improvement of their communities.
– By advancing
• Educational achievement
• Entrepreneurial success
www.kauffman.org/eventuring
www.kauffman.org/campuses
www.kauffman.org/research
www.hotshotbusiness.com
15 Years of Kauffman Investment
• $200 Million into Higher Education (US has more
than 4000 colleges and universities)
•Education
•Teaching
•Curriculum
–Internships
–Business Plan
Competitions
•Research
•Canon
•Public
Engagement
•Tech Transfer
•Economic
Development
• Matched by ~ $300 Million
• One-half Billion $ investment
•Leadership
•ACE
•AAU
•USASBE
•AOM
•Center Directors
Focus of Investments
• $65,000 Average Grant to ~ 200 Colleges and
Universities
• $1-5 Million to 40 Universities
• Kauffman Campuses I
– $25M + $50M =$75M to 8 Universities
• Kauffman Campuses II
– $35M + 175M= $210M to ~ 30 colleges and universities
• Kauffman Campuses III
– TBD
• Other Initiatives
Advancing the Entrepreneurial University
Five Outcomes
• Entrepreneurship is a respected field.
• Full support from administration and faculty
• Top research in the field
• A respected canon of knowledge
• Entrepreneurship is embedded in all disciplines
and is part of the fabric of the school.
continued
Advancing the Entrepreneurial University
Five Outcomescontinued
• New knowledge moves to markets (tech
transfer/commercialization)
• Students learn to think and act entrepreneurially
• Faculty ready and qualified to teach
• Curriculum available
• New enterprises are created that contribute to a
robust, competitive, sustainable economy.
ADVANCING THE ENTREPRENEURIAL UNIVERSITY
Teaching/Learning
Research
Engagement
Create
Create
Create
• New course materials
• New courses
• New curricula
• New academic programs
•
•
•
•
Knowledge, IP
Inventions
Publications
Bibliographic materials
•
•
•
•
New products/services
New enterprises
New jobs
New wealth
Building a Respected Interdisciplinary Field of Study
• Highly-regarded faculty researching & teaching
• Qualitative standards
• Official external review processes
• Expanded programs in entrepreneurship for PhD students
• A canon of knowledge
• Support from senior academic and administrative leaders
Sustainability
• Entrepreneurship as respected academic field of study
• Institutionalization of entrepreneurship (financially and programmatically embedded)
Outcome
• More students, better prepared
to transform ideas into
enterprises that generate value.
Outcome
• Greater understanding of
entrepreneurship
• A respected cannon of
entrepreneurship
• New knowledge
Outcome
• Innovations
• Economic resilience and
growth
Strengthening Entrepreneurial Economy
External Constituents (Capacity and Leadership)
Trustees, Administrators (Capacity and Leadership) and structure
The Entrepreneurial Faculty (Capacity and Leadership)
The Desired Outcome | Measures and Indicators | Current State
• Outcome: Entrepreneurship is a respected field.
• Measures/Indicators:
• Full support from administration and faculty
• Leading journals publish work
• Renowned faculty researching and teaching
• Recognition and reward structures are aligned
• Ph.D. programs prepare faculty
• Commonly accepted canon of knowledge
• Current State: (respected field)
• Migration of top faculty (Will Baumol, Scott Stern, Toby
Stuart …)
• Top universities championing campus-wide
entrepreneurship, led by key administrators and
academics (NYU, Illinois, North Carolina, Syracuse,
Arizona State, Georgetown, Brown, Wisconsin…)
• Deans from Berkeley, Duke, MIT, Columbia, Stanford,
Purdue, Case Western … working on a curriculum
commission.
•
Current State (respected field continued)
– Kauffman investing in leading schools: NYU; U. of
Chicago; U. of Illinois, Urbana-Champaign; U.C.
Berkeley; Washington U., St. Louis; Harvard; etc. to
build bibliography
– Grants to renowned scholars
– Grants to RAND; Bureau of Economic Research
– Mathematica: 9-year longitudinal study
– Rankings by US News, Princeton Review, Wall Street
Journal, Business Week
– Presidents/chancellors represent themselves as
entrepreneurial
Current State (respected field continued)
Penetration
AAU
Land Grant
Land Grant
AASCU
AASCU
BAIE and
and Associate
BAIE
Associate
Current State (respected field continued)
• Engagement by Institutional Type
• AAU: 60 of 60 …100%
• Land Grant: 113 of 120 … 95%
• AASCU: 354 of 378 …94%
• Doctoral: 248 of 259 … 97%
Current State (respected field continued)
The U.S. Entrepreneurship Hierarchy
98%
Doctoral
95% Masters
78% Baccalaureate / Associate
Current State (respected field continued)
An Educational Template:
Options for an Entrepreneurship Curricula
• Outcome: Entrepreneurship is embedded in all
disciplines and is infused into the culture of
the university.
• Measures/Indicators:
•
•
•
•
•
•
•
•
Engagement of senior leadership
Part of the university strategic plan
Resources allocated – financial, structural, human
Placement in the administrative structure
Number and type of courses and number of students
Level of campus activities
Analysis of official publications
Surveys of faculty, administrators, students, other
stakeholders re attitudes and participation
• Current State: (embedded) Moving from early to
second stage – greater acceptance in higher
education as an interdisciplinary field of study.
• Has moved beyond business and engineering,
beginning to be taught in the arts and sciences.
• Kauffman Campuses Initiative I and II: Respected
universities promoting entrepreneurship across the
campus, championed by top administrators.
• Thirty universities and colleges creating models.
Current State (embedded continued)
Campus-wide entrepreneurship
Kauffman Campuses Initiative I $25M to 8 schools over 5 years = $75M
• Florida International
University
• Howard University
• University of Illinois at
Urbana-Champaign
• University of North
Carolina at Chapel Hill
•
•
•
•
University of Rochester
University of Texas - El Paso
Wake Forest University
Washington University in St.
Louis
Current State (embedded)
Campus-wide entrepreneurship
Kauffman Campuses Initiative II $35M to 30 schools over 5 years= $210M
• Arizona State University
system (4)
• Brown University
• Carnegie Mellon University
• Georgetown University
• New York University
• Ohio liberal arts school (7
out of 17)
• Purdue University
• University of MarylandBaltimore County
• Syracuse University
• University of North Carolina
system (9 out of 16)
• University of Wisconsin
system (3)
Current State (embedded continued)
• Engaged in discussions to clarify fit in collegiate
structure
• Moving toward respected field of study
• Institutional definition of entrepreneurship being
clarified
Current State (embedded continued)
Penetration of Entrepreneurship
• Offer:
– 929 of 1,194 two-year
– 1,207 of 1,468 four-year
100%
80%
60%
40%
20%
0%
two-year--929
• Or:
100%
– 2,136 of 2,662 = 80.2% of ALL
60%
– Have at least one course in entrepreneurship
40%
80%
20%
0%
All--2,136
four-year--1207
Current State (embedded)
Education-Curriculum
• 2,136 of 2,662 two-and four-year non-profit colleges
and universities (80%) offer at least one course in
entrepreneurship
• 300+ offer baccalaureate degree
• 347 offer master’s concentrations (of 847 MBA
programs)
• 30+ Ph.D. concentrations (and growing)
• 18 academic departments
Current State (embedded)
• Within 15 Years
– Seeded in the business school (1990)
– Movement to engineering (1995) (400+ in U.S.
Now, more in engineering than in business)
• Three Years Ago:
– Across the curriculum (KCI: 73 faculty (167, 20045); 27 (52, 2004-5) different disciplines; 101
different courses, 2003 (175, 2004-5))
– Increasing accessibility to students without regard
to discipline
• Outcome: New knowledge moves to markets
• Measures/Indicators:
• The process is integrated across the campus
• Stronger collaboration among faculty and universities
• Increase in faculty collaboration with the entrepreneurial
sector and industry
• Increased deal flow
• More ideas reach society through enterprise creation
• Current State: (new knowledge)
• Hot topic – economic development, revenues
• Debate on: What is the measurement of success?
• A few universities outpacing all the rest
• Research indicates that collaborations work best
• Focus on revenues might impede ideas to market
• Outcome: Students learn to think and act
entrepreneurially
• Measures/Indicators:
• Use proxy of curriculum analysis and co-curriculum
activities
• Faculty teaching idea generation, creativity, feasibility
analysis, business plan development
• Students demonstrate these through assigned projects
• Attitude measures
• Measures/Indicators: (students)
• Students demonstrate these through assigned projects
• Students take initiative on campus
• Growth of idea and business plan competitions
• Increase in student-run businesses
• Current State: (students)
• 5,000 baccalaureate degrees awarded in entrepreneurship
• Number of students enrolled growing 400,000 students = fastest growing
area in higher education.
• Project as many as 6,000 different faculty teaching entrepreneurship (~ 50%
full-time-regular, ~12,000 courses taught)
• ~100 student majors
• Assoc./B.S./M.S.-MBA/PhD students
• KCI I 8 institutions--had 200% increase in student enrollments, nearly 8,000,
300 faculty, 250 courses
Students enrolled in entrepreneurship
by academic field of study
Current State (students continued)
Curriculum
•
Despite wide-ranging nomenclature, the ten most listed course
titles: (at four-year institutions)
1. The Art of Entrepreneurship
2. Entrepreneurship I and II
3. The Management Process for Entrepreneurs
4. Developing a Business Plan
5. Business Opportunities
6. Initial Capitalization
7. Small Business Management Practicum
8. Entrepreneurship and New Venture Creation
9. Strategic Planning, Organizations, and Management
10. Technology and the Entrepreneurial Spirit
Current State (students continued)
Influencing Future Curriculum
• Kauffman National Panel on Entrepreneurship
Curriculum in Higher Education
–
–
–
–
Qualitative and quantitative principles and guidelines
What should be taught, in what manner, by whom?
Identify canon of knowledge and tenets of entrepreneurship
Good practices at each degree level
• Appreciation of entrepreneurship
– Not taught as a general education course.
• Creating a general education course of topic
• Baumol’s book - Macroeconomics 10th ed, no mention of
entrepreneurship – now Baumol actively involved in
advocating for entrepreneurship education
• History of Business course
• Entrepreneurship’s role in American History
• Econ 101
• Outcome: New Enterprises are created that
contribute to a robust, competitive, sustainable
economy
• Measures/Indicators:
• Decide on measure timeframe (1 year, 5, 10??)
• Define new enterprise and economic impact
• Survey alumni and faculty
• Current State:
• An area needing further investigation.
• A few universities (MIT, Cornell) have tracked this
outcome for their alumni
Conclusions
• Requires a comprehensive approach.
• Foundations rather than governments funding
the field in the U.S.
• Elevating the academic rigor is a critical factor
in advancing the overall outcomes.
• Collaborations with NCGE and others around
the world for the common good.