Russian-American MBA partnerships: the Cal State East Bay experience

Review of Business Research, Jan, 2008 by Gary Wishniewsky

ABSTRACT

The collapse of the Soviet Union and the transformation of Russia to a market-economy created a demand for Western management training and education. Russian universities adapted their curricula and teaching methodologies, and American and European universities engaged in various forms of educational partnerships. In this paper I describe the successful MBA partnership between Cal State East Bay and the Institute of Business and Economics in Moscow. Generalizations are offered about the expectations of Russian and American partners, and some operational challenges are identified. The paper concludes with some of the practices which have contributed to the success of this fifteen-year old partnership.

Keywords: MBA; Moscow; education partnerships; management education; Russia.

1. INTRODUCTION

This information was first presented in PowerPoint format when I participated on a panel at the 2nd Annual U.S.-Russia Exchanges Symposium held from May 26-27, 2005. Sponsored by the Public Affairs Section of the U.S. Embassy in Moscow and with the cooperation of the Russian Ministry of Education and Science, the symposium was "a networking event in Moscow for those interested in finding partners and program ideas for international exchanges--involving academia, exchange organizations, business, and government authorities." The Symposium was set in the context of "two Presidential meetings this spring at which the American and Russian leaders expressed support for a major increase in bilateral educational, scientific, professional, and people-to-people exchanges." The event was keynoted by then--American Ambassador Alexander Vershbow, and the opening plenary session included addresses by Dr. Allan E. Goodman, President and CEO, Institute of International Education (IIE), Academician Viktor Antonovich Sadovnichiy, Rector of Moscow State University, and Dr. Dan E. Davidson, President of American Councils for International Education (ACTR/ACCELS)(U.S. Embassy, Moscow, Russia, 2005).

My presentation was part of a panel session titled "U.S.-Russian Academic Partnerships: What American Universities Expect." Panel members included Deborah Sisbarro, Moderator, Public Diplomacy Officer, U.S. Embassy, Moscow; John Ryder, SUNY, Director, International Programs; William Lennon, Tulane University, Executive Director, International Students and Scholars; Gary Wishniewsky, California State University, East Bay, College of Business and Economics, Director, International Programs, Academic Director, Moscow MBA Program; and Aleksey Surin, Moscow State University, Dean, School of Public Administration (U.S. Embassy, Moscow, Russia, 2005).

No proceedings of this panel presentation were published and my PowerPoint presentation was not made publicly available at my direction. Enhanced with additional commentary, this information appears here in published form for the first time.

2. LITERATURE REVIEW

This review takes a chronological approach in reviewing literature about management education in Russia from 1993 to 2007. From the initial reaction of a Russian student who studied in the United States, to the establishment of a $300 million Russian business school, the development of management education in Russia is explored from the perspective of Russian educators and scholars, American practitioners, and the foreign and Russian press.

"If we look ahead and think about transforming the Soviet economy into a more civilized one, then a Western managerial education is simply essential." This was one of the observations made by a Russian student after pursuing an MBA degree in the United States (Shekshnia, 1992). By 1993 in Russia, according to Puffer, there were over one thousand business schools and training programs offered by State schools, private schools, and consulting organizations. Some were State-supported, some charged tuition, some generated revenue from training seminars, while some practiced a combination of these. A number of the organizations developed relationships with foreign partners in Europe and the United States. Russian professors received training from American business schools, and Western management curricula and teaching methodologies such as case studies and computer simulations were introduced. A "shakeout" among programs had begun, with prospective students seeking quality programs that provided practical education. If business programs proved successful, according to Puffer, they could: (a) be considered positively by society for benefiting economic development; (b) impact political decision-making relative to support for education; and (c) transform "social attitudes towards the market economy and capitalism," the latter by a number of steps, including "public service campaigns to educate the general population about the positive aspects of ambition, individualism and initiative" (1993).

As management education in Russia developed in the mid-1990s, Czinkota's study uncovered some shortcomings: poor quality of visiting Western instructors, lack of relevant Russian case studies, unfulfilled expectations. "It is claimed that Westerners teach methods while the trainees expect to be told the facts and the procedures to follow." Demand for market-oriented business training was high: from Western corporations, from Russian businesses, and from individual Russians, particularly those who wanted to be entrepreneurs. While identifying great potential for American educational institutions, Czinkota cautioned educators to heed the similarities and differences between Russian and Western perspectives. To successfully contribute to educating and training market-oriented managers, providers must concentrate "both on the teaching of knowledge and skills as well as on the changes of attitudes and behavior." His research results showed marketing, strategic planning, and international business to be the most important subject areas, while the behavioral areas were problem solving, decision making, customer orientation, team building, and communications. Opportunities for American institutions and educators to learn from their Russian program participants were also suggested, particularly in the area of human relations in business (1997).