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MIT Sloan in the News Highlights — Spring 2009
Dean David Schmittlein and Deborah Ancona Interviewed [Video]

Dean David Schmittlein and MIT Sloan Professor Deborah Ancona appear in a series of video interviews conducted by Financial Times reporter Rebecca Knight on the FT web site. They tackle such questions as the role of business schools can play in resolving the financial crisis and leading in uncertain times.

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Deborah Ancona: X-teams swing the axe at team bonding

In this in-depth profile, MIT Sloan Prof. Deborah Ancona reveals that when she first started out as an academic at a different institution, a male faculty member took her aside and told her that the purple pumps she had on 'were not tenure track shoes'. "Everyone has a purple shoe story," says Ancona. "Success at an organization is not always judged by what's in the manual -- there's an unwritten culture, unwritten rules."

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Senge: 100 most creative people in business [Video]

MIT Sloan's Peter Senge was listed at No. 35 among the Fast Company's 100 most creative people in business.

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Software upgrade company wins 100K contest at MIT

A group of MIT graduates won a small fortune - $100,000 - for developing a way to upgrade software while the computer keeps running. Their new company, Ksplice, took top prize in the 20th annual MIT $100K Entrepreneurship Competition.

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Mishra and Cantwell: Behind the scenes of the MIT $100K: Leveraging 20 years of history in 6 Months

In an opinion piece, MIT Sloan MBAs Sombit Mishra and Brian Cantwell write that "running the MIT $100K Entrepreneurship Competition is a lot like running a startup. We spend most of our time raising money. We are underpaid (in fact, we aren't paid). Day or night, weekday or weekend, the job never really stops."

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Boston becomes focus of video game industry

As a sign of the video industry's growing clout, MIT Sloan hosted its first conference devoted to the video game business.

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MIT gaming conference: Schilling calls out lack of gaming sales metrics

Among the topics discussed at the MIT Sloan Gaming Conference were "serious games,""digital distribution" and "MMO business models" which featured a panel that included baseball's Curt Schilling, founder of Maynard-based 38 Studios LLC.

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Canadian astronaut Robert Thirsk bound for international space station

MIT Sloan alumnus Robert Thirsk is a member of a six-person crew that will live on the International Space Station for six months. On May 27, he and two other crewmates launched from Kazakhstan to join the other three already aboard the station.

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Outsourcing and offshoring in a recession more flexible, panelists say

SearchCIO.com covers the MIT Sloan CIO Symposium which took place in May 2009 on the MIT Sloan campus.

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Ed Schein: Helping: How to offer, give, and receive help [Audio]

In an interview on Blog Talk Radio, MIT Sloan Prof. Ed Schein shares ideas for offering, giving and receiving help that deepens business and personal relationships.

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New research by SKKU and MIT shows growth of 800,000 jobs over next three years in inside sales while growth in traditional sales positions stagnate

Research by Dr. James Oldroyd of SKK University in alliance with MIT Sloan shows a growth of 7.5% in inside sales positions, which amounts to 800,000 remote selling jobs annually by 2012 while traditional outside sales or field sales positions are growing at only .5%.

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Manso: Eliminating pay incentives for CEOs could remove incentive to innovate, study finds

A research paper published by MIT Sloan Prof. Gustavo Manso suggests that a mix of long-term incentives and golden parachutes will best spark creativity and innovation. He writes, "In a controlled laboratory experiment, we provide evidence that the combination of tolerance for failure and reward for long-term success is effective in motivating innovation."

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If you do it right 51 percent of the time, you end up a hero." Alfred P. Sloan

A Sloan Foundation grant established the MIT School of Industrial Management in 1952 with the charge of educating the "ideal manager". The school was renamed in Sloan's honor as the Alfred P. Sloan School of Management.

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No GMAT? No problem, Harvard says

In 2006, MIT Sloan permitted the GRE for applicants to their MBA programs. The policy, while common among Executive MBA programs, is still the exception at top-ranked full-time MBA programs.

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Recession forces companies to consider alternatives to traditional travel, meeting plans

Results from a study conducted, in part, by a group of researchers from MIT Sloan concluded that an important level of trust between people can be achieved only by spending time with each other, learning each other's customs and observing how each other works and thinks.

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In spite of the recent growth, India needs a lot more MBAs

In this interview, Dr. Ishwar Dayal of IIM-L credits the collaboration with MIT Sloan for the success of the IIIM Kolkata MBA program.

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Putting a price on social connections

Researchers at MIT Sloan and IBM Research and found that the average e-mail contact was worth $948 in revenue.

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MIT Laboratory for Sustainable Business partners with Destiny, Florida

A team of MIT Sloan MBA students chose Destiny, Florida from among many other organizations as their project in the MIT Laboratory for Sustainable Business (S-Lab).

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Analysis of Executive Education Program Rankings

MIT Sloan secured the 10th position in the FT 2009 Executive Education open enrollment rankings, up from 19 in 2008.

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Johnson: The paradox of thrift [Video]

In this interview, MIT Sloan's Simon Johnson says, "The paradox of thrift is the idea that you try -- everyone tries to increase their savings, so desired savings goes up, thrift being savings, but the act of trying to save pulls down the entire economy, gives you a big recession or maybe even a depression, and total savings don't go up. Maybe they even go down. So everyone trying to save leads to a big slowdown and less savings. That's a paradox."

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Johnson: Stress test prep [Video]

MIT Sloan Prof. Simon Johnson says that although he thinks the economy is bottoming out, the main question is if the shape of the recovery is a "V-shape" or an "L-shape."

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Johnson: Biden gives the stimulus plan an A+ Grade inflation?

MIT Sloan Prof. Simon Johnson discusses the stimulus plan. "The math around the precise jobs saved is fuzzy and very much open to criticism, but the big picture is the overall financial system is stabilizing", he says.

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Prelec and Simester: Do credit cards really encourage spending?

In this commentary, a credit card study performed by MIT Sloan Profs. Drazen Prelec and Duncan Simester are cited.

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Joskow: In Finland, nuclear renaissance runs into trouble

"A number of U.S. companies have looked with trepidation on the situation in Finland and at the magnitude of the investment there," says Paul L. Joskow, a professor of economics at MIT, and a co-author of an influential report on the future of nuclear power in 2003. "The rollout of new nuclear reactors will be a good deal slower than a lot of people were assuming."

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Senge: Thinking about leadership thinking - 3 modes of reasoning

MIT Sloan's Peter Senge believes systems theory provides the type of discipline and toolset needed to encourage people to see "interrelationships rather than things, to see patterns of change rather than static 'snapshots.'"

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Johnson: Banks find ways to boost fees; checking accounts latest targets

Banks are raising account fees because of a "mix of market power and opportunism," says Simon Johnson, a former chief economist for the International Monetary Fund who teaches at MIT Sloan. "They are supposed to act in the interest of shareholders, so they're gouging consumers."

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Manso: Why Exec Pay Curbs Won't Work

In an opinion piece by MIT Sloan Assistant Prof. Gustavo Manso, he asserts that a growing body of research in economics and finance shows the best way to encourage innovation is by tolerating early failure while rewarding long-term success.

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Johnson: Fed's next task: Reeling in lifelines

"People look back now and say they overdid it; they should have raised rates earlier," MIT economist Simon Johnson says. "This is kind of a rerun. They could make mistakes on both sides."

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Stanford names new dean for Graduate School of Business

The new dean of Stanford's Graduate School of Business is former MIT Sloan faculty member Garth Saloner, an economist, popular teacher, and a leader in management education.

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Huang: Rural incomes key to China consumption

MIT Sloan Prof. Yasheng Huang argues that slowing rural income growth, not high savings rates, was the main reason consumption had fallen as a percentage of GDP in the past two decades. "The theory is that Chinese save too much ... My view is that the problem is slow income growth, especially among the rural population," Huang says.

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Lo: Call for levy on risk pollution

All large players, from mutual, hedge and pension funds to banks and insurance companies, should have to pay a levy in proportion to the extent to which they heighten risk in the overall system in order to prevent further financial crises, says MIT Sloan Professor Andrew Lo.

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Forrester: Policy resistance in our economy

The field of System Dynamics, a discipline founded by MIT Sloan Prof. Emeritus Jay Forrester in 1956, provides insight into modern day economic problems. As abstract as the title is, the concept is simple: when you introduce an artificial construct into a natural system, the system tends to reject it.

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von Hippel: Innovation's catalyst

MIT Sloan Prof. Eric Von Hippel has studied how users create new products or modify existing products to make them work in novel ways. He refutes the common perception that innovation comes from a formalized product development process managed by a company.

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Malone: As CIOs move closer to the business, do they need a new name?

MIT Sloan Prof. Thomas Malone suggests that CIOs will become Chief Organizational Officers. That prompted Jeanne Ross, director of the MIT Sloan's Center for Information Systems Research, to say that the CIO title should be redubbed Strategy Execution Officer, not to be confused with another SEO (search engine optimization.

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Osterman: Citizen bottom up rising

MIT Sloan Prof. Paul Osterman says he's been working with the Industrial Areas Foundation in the Southwest for about 15 years. "The reason I do that is because when it comes to labor market issues...economic justice, when it comes to thinking about how to fix the economy and how to improve the lives of people, there is literally no other network, no other organization in this country with a better set of ideas, a better set of models."

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Brynjolfsson: CIO vs. CFO The C-suite death match

At SAP's annual user conference, MIT Sloan Prof. Erik Brynjolfsson participated in a roundtable discussion for industry analysts and press in an attempt to deliver some clarity to the age-old conflict between CFO and CIO.

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Kochan: Big business likes arbitration if it can control it

Change could eliminate current incentives for employers to delay and stall negotiations and will dramatically reduce the delay, frustration and animosity generated by the company-dominated system. MIT Sloan Prof. Thomas Kochan says, "The process could be set up to allow for a neutral arbitrator, an employer-chosen arbitrator and a union-chosen arbitrator."

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Barnett: A cure for the Electoral College

In this opinion piece MIT Sloan Prof. Arnold Barnett writes, "There are various proposals to alter or abolish the Electoral College, perhaps the most conspicuous being a scheme to move to a national popular vote through an agreement among states."

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Manso: Let's hear it for the generous perks

A research paper published by MIT Sloan Prof. Gustavo Manso describes a business experiment -- involving that entrepreneurial archetype, the lemonade stand -- suggesting that a mix of long-term incentives and golden parachutes will best spark creativity and innovation

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Brynjolfsson: CFOs making investment calls greater ROI

"In previous research we have found a correlation between the investment in technology and improved performance," says MIT Sloan's Erik Brynjolfsson. "The higher the investment in technology, the higher the performance in terms of productivity metrics."

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von Hippel: Do-it-yourself branding

MIT Sloan Prof. Eric von Hippel co-surveyed 216 members of Outdoorseiten.net, a community of 8,300 German, Austrian and Swiss hikers about their brand preferences, and found that people were very interested in buying hiking products that displayed their clubs' logos.

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Kochan: Card check and gut check

A study of first-contract negotiations co-authored by MIT Sloan Prof. Thomas A. Kochan found that even after a majority of workers voted for a union, they actually reached a contractual agreement with management only 56 percent of the time.

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Johnson: Rusty Cloutier has money to spare

Some economists, including MIT Sloan Prof. Simon Johnson, say our financial system would be healthier if we jettisoned massive banks, instead relying on a network of regional banks and community banks

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Brynjolfsson: Sapphire IT staff need to talk business

"The broad lesson for the IT shop is to look beyond the IT shop and not just focus on cutting costs there. You need to reach out and touch the other parts of the organization," says Erik Brynjolfsson of the MIT Sloan School of Management.

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Suri: Economics workshop to explore impact of financial opportunities, constraints

It was announced that MIT Sloan Assistant Prof. Tavneet Suri would participate as a discussant in a finance and development workshop on May 20 at the University of Chicago.

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Johnson: Lawmakers hear testimony on impact of G20 meeting on economic crisis

MIT Sloan Prof. Simon Johnson believes that, in the context of low income countries having been severely affected by the global economic downturn, the G20 summit, by contributing to the stabilization of the world's financial system, has had a "positive effect."

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Tucker: Digital medical records push exposes potential side effects

When a state has health privacy laws in place, it reduces the likelihood a hospital will adopt an electronic medical record system by 20 to 30 percent, according to a study by MIT Sloan Prof. Catherine Tucker. "What we found is that when we were talking to hospitals, a lot of the costs came because these state laws are very different and so it meant that a vendor couldn't sell a standardized solution," she says.

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Mortensen: Why cutting business travel could be a false economy

You gain two types of knowledge when you spend time in another place," says MIT Sloan Prof. Mark Mortensen. "If, for example, you spend some time in Tokyo you learn about the customs, the way people work, their way of thinking. But there is also what we call reflected knowledge -- you also learn how the way they see you, the way your home office comes across."

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MacCormack: Long way to go in nurturing soft skills

MIT Sloan Visiting Associate Prof. Alan MacCormack will be among experts travelling to Malaysia in July to conduct courses and practical workshops on soft skills and management skills.

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Johnson: Is stock rally for real

In an opinion piece, Simon Johnson writes, "The biggest risk now is that the Federal Reserve and the Treasury try to re-leverage our way out of a Japanese-style prolonged recession by flooding the economy with cheap credit -- like they did in 2002, but to an even greater degree."

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Manso and Azoulay: Pay-for-performance compensation limits innovation

In recent research papers, MIT Sloan Assistant Prof. Gustavo Manso asserts that, among businesses on experimentation for innovation, incentives that don't penalize failure and promote long-term success lead to more innovative business strategies than fixed-wage or pay-for-performance incentives. MIT Sloan Assistant Professor Pierre Azoulay served as a co-author on one of the papers.

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Johnson: The stress test head fake

"Regulators' whole strategy is 'wait and see,' to buy time for the economy to recover. It's just stall tactics," says MIT Sloan Prof. Simon Johnson.

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Wladawsky-Berger: Mercator XXI, LLC launches consultancy to help clients engage the global economy

MIT Sloan Visiting Professor Irving Wladawsky-Berger was cited as an affiliate of Mercator XXI, a professional services firm helping clients engage the global economy.

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Berndt: Removing medical device preemption impacts jobs

A white paper released by MIT Sloan Prof. Ernst Berndt and Mark Trusheim of MIT shows that eliminating FDA's preemption protection would decrease patients' access to life-enhancing medical devices, increase health care costs and reduce medical device industry employment.

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Siegel: Few hospitals go paperless using free VA software

Michael Siegel, a professor at MIT Sloan, says he thought small rural hospitals in western Massachusetts "could very much benefit from an open-source system, but they're not."

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Tucker: EMR adoption higher in states with fewer privacy rulesd

"What needs to happen is a lot more coordination of these privacy laws so hospitals don't have to deal with these patchwork systems," says Catherine Tucker, assistant professor of marketing at MIT Sloan.

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Johnson: Too big to fail -- Still an issue

"Banks that are too big to fail must now be considered too big to exist," says MIT Sloan Prof. Simon Johnson.

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Huang: Suppress incomes, suppress consumption

In Shanghai GDP has grown dramatically compared with the national average, but household income is not growing relative to GDP. MIT Sloan Prof. Yasheng Huang believes that a high savings rate is not the problem: low income growth is to blame.

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Kochan: The Art and Science of Recruiting a Diverse Workforce

Attrition among minorities has not been formally quantified, but anecdotal evidence from workforce specialists indicates that it is a chronic problem. This troubling trend can be mitigated through education, says MIT Sloan Prof. Thomas Kochan. "Adults don't change attitudes, but they can learn to be more effective workers with the right skills sets."

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Johnson: Swine flu keeps investors, businesses on edge

Most experts don't think a swine-flu outbreak by itself would eliminate many U.S. jobs or severely worsen the economy. MIT Sloan Prof. Simon Johnson envisions only a "small hit" to economic activity in the United States -- just a few tenths of 1 percentage point.

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100K: Reboot takes a hike with Ksplice update software

The start-up company Ksplice Inc, founded by MIT engineering graduates Jeff Arnold and its chief operating officer Waseem Daher, recently beat five finalists to clinch top prize in this year's MIT Entrepreneurship Competition -- which apart from bragging rights included $100,000 in start-up funds.

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Hsueh: Rutgers awards fellowships on shared capitalism

MIT Sloan doctoral candidate Joe Hsueh was awarded a Beyster Fellowship at Rutgers University to build an educational computer simulation on the dynamic effects of alternative investment strategies, timing of those strategies for a technology start-up, and tradeoffs of decisions related to compensation and ownership.

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Mollick: Everything I need to know I learned from the Godfather II videogame

"There are plenty of similarities between playing a game well and operating a successful enterprise. When we use games in controlled ways, what they do they teach well," says Ethan Mollick, a Ph.D candidate at MIT Sloan.

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I love this game! (Surprise I'm talking about the NHL)

On a panel during MIT Sloan's recent Sports Analytics Conference, Maple Leafs GM Brian Burke admitted that all he wants from any game is for his fans to see a few goals, a donnybrook or two and, hopefully, a win.

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Students predict the future of health records

Students from MIT Sloan were among a group of business students who participated in a 'war game' exercise whereby students take on the roles of key industry players in an effort to imagine how the battle to digitize America's health records will play out.

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In playoffs, crunching picks, crunching numbers

"The teams at the top of the standings have them," Dean Oliver, director of quantitative analysis for the [Denver] Nuggets, said at the MIT Sloan Sports Analytics Conference in March. "The teams at the bottom don't."

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Mazmanian: Is your PC killing you?

"BlackBerry use allows for increased communication during down time, and a reduction of moment-to-moment stress," says a report by Melissa Mazmanian of MIT Sloan. ""However, expectations of responsiveness have intensified and become taken for granted. Users report an unrelenting desire for information and a drive to monitor incoming messages, which they explain as a need to reduce their anxiety of being disconnected."

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MIT $100K biz plan finalists announced

Mass High Tech profiled the five finalists gearing up for the final competition in this year's MIT $100K competition.

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Garcia: MBA applications -- Is the party over?

In many ways, it wouldn't be surprising if MBA applications peaked in 2009, if that is indeed what preliminary registration numbers indicate as it is not tenable that such large increases could last for much longer. "At some point, it's going to drop," says Rod Garcia, director of MBA admissions at MIT Sloan.

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Najarian: Four young professionals join FAR

Since receiving her MBA from MIT Sloan in June 2008, Talene Najarian has been pursuing various volunteer opportunities. "I hope to contribute to an organization currently making a tangible impact on the wellbeing of people in Armenia."

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Harris: Broadpoint expands healthcare investment banking

Broadpoint Capital, Inc., a broker-dealer subsidiary of Broadpoint Securities Group, Inc., announced that Geoffrey Harris has joined the firm's investment banking division as a Managing Director.

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Chevriere: GFI Informatique -- New board appointments

MIT Sloan alumnus Alexis Chevriere was listed among the GFI Informatique Board of Directors.

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Patni: Ensuring a smooth transition of leadership at Patni

MIT Sloan alumnus Narendra Patni will step down as CEO from his long reign in Patni, the company he founded fresh out of MIT Sloan

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Benjamin: Escala Group announces name change

The Escala Group announced that MIT Sloan alumnus Jeffrey D. Benjamin has joined its Board of Directors.

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Agilence Names Ed Parks VP of Engineering

MIT Sloan alumnus Ed Parks was named Vice President of Engineering at Agilence, Inc., a leader in intelligent video analysis solutions.

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Morey: In playoffs, video, data analysis key to scouting, evaluations

MIT Sloan alumnus Daryl Morey uses statistical models for scouting and player evaluation, but don't even think about asking him to divulge details. This is proprietary, cutting-edge stuff. Or, as Mavericks owner Mark Cuban put it at the MIT Sloan Sports Analytic conference, "Everybody is looking for the secret sauce. And if we find it, we don't want to share it."

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Daniel: TYE Business Plan Competition Announces 2009 Judges

MIT Sloan alumnus Anand Daniel was chosen as a judge for The TYE Business Plan Competition. The mission of TYE is to inspire and empower today's youth to be entrepreneurs, by engaging them in an exciting mix of programs.

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The future of transportation with Robin Chase

In a video conversation, MIT Sloan alumna Robin Chase discusses future forms of ride-sharing, car-sharing, and public transportation.

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Pinkett: Former apprentice is commencement speaker

It was announced that MIT Sloan alumnus Randal Pinkett would be the keynote speaker at the University of Maryland Eastern Shore commencement on May 15.

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Electronic patient records will force consolidation in health care

Thirty-five participants in a business strategy-and-forecasting exercise were students from four graduate business schools including MIT Sloan.

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Marx: Four Harvard Business School doctoral candidates honored for innovative research

Matthew Marx, who will be joining the MIT Sloan faculty in 2009-2010, was among the winners of the 2009 Harvard Business School Doctoral Program Wyss Awards for Excellence in Doctoral Research.

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Johnson: The Atlantic Monthly asks -- "Is the U.S. Becoming Russia?"

In this blog posting, MIT Sloan Prof. Simon Johnson writes, "By choosing instead forbearance and 'earn out' through high profits, the Treasury has made it much easier for financial interests to oppose re-regulation of any kind. Presumably this means we'll end up -- again -- with less regulation than is prudent or fair."

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von Hippel: Is innovation at a crossroads?

A presentation in which Eric Von Hippel showcased a number of interesting innovations that his team has uncovered in urban slums throughout the developing world is referenced.

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Stibel: 7 ways to be happier at work

MIT Sloan alumnus Jeffrey Stibel offers seven ways to be happier at work. First among them -- Smile.

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Johnson: Can we save the banks, and also protect consumers

MIT Sloan Prof. Simon Johnson writes that banks will continue to receive a great deal of financial support in the form of credit from the Federal Reserve and debt guarantees from the Federal Deposit Insurance Corporation. This is good for bank stockholders, but not necessarily helpful for the economic recovery.

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Malone: Can collective intelligence save the planet?

MIT Sloan School professor Thomas Malone addresses the mental models that impede management progress, the role of collective intelligence in solving climate problems, and his view of how wrong people are about what business is for.

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Huang: Lessons on creating a friendly business environment

In this opinion piece, MIT Sloan Prof. Yasheng Huang writes, "Shanghai trails Hong Kong in financial talent, but arguably this is the least important gap. The most significant ingredient in the making of a successful capital market is a vibrant entrepreneurial base. After all, a capital market exists to serve the needs of entrepreneurs, not the other way around."

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Johnson, Forbes: CBO names new panel of economic advisers

MIT Sloan Professors Simon Johnson and Kristin Forbes were named economic advisers for 2009 and 2010 by the Congressional Budget Office.

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Forrester: Downturn -- Is the worst over?

Named for computer engineer Jay Wright Forrester, a professor at MIT Sloan and the founder of an analytical process known as System Dynamics, the Forrester Effect uses feedback to analyze supply-chain disturbances.

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Rankings: Best business schools

MIT Sloan's MBA program ranked fifth in this year's annual rankings of 426 master's programs in business accredited by the Association to Advance Collegiate Schools of Business (AACSB) International in fall 2008 and early 2009. Data provided by the schools was used to calculate rankings based on a weighted average of a range of indicators, including program quality as assessed by the deans and directors of peer schools as well as recruiters, graduate placement success and student selectivity

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Lo: Everything tomorrow's leaders should know

In this opinion piece, MIT Sloan Prof. Andrew Lo writes that financial engineering is no more responsible for the crisis than aerospace engineering was responsible for the Space Shuttle Challenger explosion in 1986. In both cases, incorrect human judgments involving inappropriate uses of technology led to disaster.

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Johnson: The radicalization of Ben Bernanke

In this opinion piece co-authored by MIT Sloan Prof. Simon Johnson, he writes that "Bernanke has become the country's economist in chief, the banker for the United States and perhaps the world, and has employed every weapon in the Federal Reserve's arsenal."

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Not visit, not internships, but real enterprise practice [Mandarin]

In mid-march, eight students from MIT Sloan's China Lab teamed up with three business schools across China to provide market strategies and competitive analysis in a practice platform.

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Lo: Crisis fueled by accounting

One of the most important causes of the current financial crisis is the fact that accounting -- the language in which banks and other corporations communicate, strategise, and plan -- is inherently backward-looking, writes MIT Sloan Prof. Andrew Lo in this opinion piece.

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Endstation Zahltag [German]

This story examines ways that international students are financing an MBA at top-ranked colleges including MIT Sloan.

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Attivio CEO and CTO presenting at Enterprise Search Summit, MIT Sloan CIO Symposium

Attivio's Chief Executive Officer Ali Riaz will be delivering a luncheon keynote address at the 2009 MIT Sloan CIO Symposium where more than 500 CIOs, CTOs, and senior technology executives from across the globe will gather to confer.

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Top global MBA programmes now accept GRE

MIT Sloan is among the top 10 MBA programs in the world that now accept the GRE General Test.

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How to turn around a falling IT department

According to research by MIT Sloan School's Center for Information Systems, companies with mature, strong IT Governance earn at least a 20 percent higher return on assets than organizations with little or no governance.

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How to turn around a falling IT department

Prestigious institutes such as the Sloan School at MIT and Kellogg are devising attractive programs to rope in students from all walks of life and have all reported double-digit rise in applications.

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Schoar: Cerberus in salvage mode on Chrysler

"There was hope with Cerberus, that they would add managerial skill, and turn Chrysler around," Antoinette Schoar, a professor at MIT, told The Times. "It's difficult to say whether the private equity firm did a good enough job, or, were they just caught in this?"

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Reaching across borders

MIT Sloan's Global Entrepreneurship Laboratory is cited as a program that gives students experience working with startups in emerging markets.

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Manso: Incentives lead to business success

MIT Sloan Assistant Prof. Gustavo Manso and a collaborator wrote, "In a controlled experiment, we provide evidence that the combination of tolerance for failure and reward for long-term success is effective in motivating innovation."

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Putting a price on social connections

Researchers at MIT Sloan and IBM Research found that the average e-mail contact was worth $948 in revenue.

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Can executive education survive the downturn?

According to a global survey of more than 500 MBA programs by the Graduate Management Admission Council, 77% have reported a rise in applications from potential students this year, up from 64% last year. MIT Sloan School reported double-digit rises in applications.

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Masters of the financial universe

The MS in Finance is growing in popularity, and the economic meltdown may create new opportunities for grads. MIT Sloan will launch a degree in finance this fall.

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Early Data from MIT study hints at link between interdisciplinary research and tech transfer

A new MIT Sloan study so far suggests that a greater degree of interdisciplinary collaboration within universities may lead to more entrepreneurship and technology transfer -- but only to an extent.

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Johnson: The Pecora hearings [Video]

During this one-on-one interview with Bill Moyers, MIT Sloan Prof. Simon Johnson says, "The government has a broader set of public policy initiatives. One of them is save the banks. Others are help consumers and some auto companies."

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Fighting America's 'financial oligarchy' [Audio]

When it comes to America's current economic woes, MIT Sloan's Simon Johnson says that the U.S. suffers from "financial oligarchies" -- government officials and elite members of the financial sector that run the country like a profit-seeking company

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Change in mark-to-market rules could have big impact on banks' balance sheets [Video]

MIT Sloan Prof. Simon Johnson says, "Remember, the idea of the government is to try and force banks to sell some of these toxic assets and encourage hedge funds and other investors to buy them at a higher price than they would otherwise."

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Verdi: MIT Sloan Professor finds CEO compensation linked to peer selection

A new study by MIT Sloan Prof. Rodrigo Verdi found evidence suggesting that some companies opportunistically select their peers to justify higher CEO compensation.

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Huang: Why China's state-owned companies are making a comeback

"The crisis hits China's private sector really hard because China's private sector accounts for a larger share of China's manufactured exports," says Yasheng Huang, an MIT professor who wrote about the rising power of SOEs in his 2008 book, Capitalism with Chinese Characteristics.

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Johnson: If banks are too big to fail, take an ax to them: David Pauly

The U.S. could use its antitrust laws to dictate the right size for banks, says Simon Johnson, now a professor at MIT's Sloan School of Management in the May issue of The Atlantic magazine.

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Johnson: Swine flu keeps investors, businesses on edge

Most experts don't think a swine-flu outbreak by itself would eliminate many U.S. jobs or severely worsen the economy. MIT Sloan Prof. Simon Johnson envisions only a "small hit" to economic activity in the United States -- just a few tenths of 1 percentage point.

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Anderson: The management gospel according to "The Godfather"

The Godfather is a management book, writes MIT Sloan Senior Lecturer Howard Anderson. "It puts Peter Drucker to shame; it makes Good to Great about as relevant as Mr. Rogers"

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Johnson: Fed says gov't ready to save stress-tested banks

The Fed asked banks not to reveal their results during quarterly earnings announcements earlier this month. Regulators worry investors might punish banks without good news to announce. "Mostly, it was a buying-time strategy," says MIT Sloan Prof. Simon Johnson.

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Black: Of couples and copulas

Former MIT Sloan economist Fischer Black was the first of his kind -- a serious academic, with publications under his belt and a tenured position to boot -- to make the move to Wall Street, putting theory into practice and risking the scorn of his ivory tower colleagues.

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Johnson: Smaller banks overlooked and in trouble

In a congressional hearing this week, MIT economist Simon Johnson argued that Europe may have a weaker economic recovery than the United States because its bank assets are more concentrated in very large firms.

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Johnson: How the world works

In this interview, MIT Sloan's Simon Johnson says, "The point is you don't throw banks into Chapter 11 because that is destructive. But you manage a bankruptcy process -- it's not nationalization, it's a government-run receivership.

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Mike Grandinetti to Speak at TiECON East

Mike Grandinetti, senior lecturer at MIT Sloan, is slated to speak at the Indus Entrepreneur TiECON East conference on May 21-22, 2009. This year's theme is `Sustainable Innovation.'

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Kochan: Where does Notre Dame stand?

A recent study by MIT Sloan Prof. Thomas A. Kochan found that among those who garnered enough support for a union election, only one in five attempts actually saw a union contract from their employer.

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Johnson: Spain's falling prices fuel deflation fears in Europe

Deflation is not just a Spanish concern. "It doesn't mean it will spread here to the U.S., but we need to look closely at Spain and other places to understand the dynamic," says MIT Sloan Prof. Simon Johnson, "It's like the front line of a new virus outbreak."

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Anderson: Oracle's purchase of Sun to re-shape industry

MIT Sloan Prof. Howard Anderson says, "If I were a Sun customer, I was starting to get nervous about Sun. I was worried about their viability. I'm not worried about that anymore. I know that Oracle is going to be there."

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New concerns about bank health grip Wall Street

Converting preferred stock into common stock could show lawmakers how far regulators will go to buy time for financial firms that need more capital, according to MIT Sloan Prof. Simon Johnson. "In some ways, it's an appeal for money. The stress test is going to say they need capital. ... So at some level, they're communicating with Congress."

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Wang: Financial institute set to train fresh talent

MIT Sloan Prof. Jiang Wang will take on the role of dean at the new Shanghai Advanced Institute of Finance, which was established at Shanghai Jiao Tong University in April 2009. "Practical ability will be highlighted throughout the curriculum," Wang says.

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Brynjolfsson: Health care requires big changes to complement new IT

Studies by the MIT Sloan School's Erik Brynjolfsson and others show that organizations across a range of industries were able to take advantage of new IT capabilities only after making substantial changes.

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Lo: Financial markets face a lost generation of investors

"The strongest kind of fear is fear of the unknown, and that's been characteristic of this crisis from the beginning," says MIT Sloan Prof. Andrew Lo. "The traumatic events of 2008 will lead to potential damaging behavior on the part of investors unless they are aware of the hyperstimulated emotional state they're in."

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Kochan: Employee Free Choice Act -- As American as apple pie?

A research study co-authored by MIT Sloan Prof. Thomas Kochan found that only one in five cases that filed a National Labor Relations Board election petition ultimately reached a first contract between workers and management.

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Kurzina: Everything Channel's CEO, Robert Faletra, to speak on April 17 at the third annual MIT Sloan Sales Conference, sharing insights on the role of the CEO in the sales process

It was announced that Robert Faletra, CEO of Everything Channel, would speak at the third annual MIT Sloan Sales Conference on Friday, April 17 and participate on a CEO Roundtable moderated by MIT Sloan Senior Lecturer Peter Kurzina.

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Kochan: As 'secret ballot' myth sputters, chamber launches new anti-union attack line

According to MIT Professor Thomas Kochan, arbitrators make decisions that reflect what is occurring in comparable jurisdictions, and there is a widely shared norm among arbitrators that contract innovations arebest left to the parties to negotiate on their own.

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Tucker: Privacy rules slow adoption of electronic medical records

A study co-authored by MIT Sloan Prof. Catherine Tucker suggests that there's a tradeoff between achieving fast adoption of electronic medical records and strong health-care privacy. "What we found was that privacy laws are getting in the way of hospitals trying to exchange information with each other," Tucker says.

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Osterman: Short 'gigs' create patchwork jobs for workers

"There is a clear correlation between economic distress and social distress," said Paul Osterman, professor of Human Resources and Management at the Sloan School of Management at MIT. "Underemployment is not good news for families."

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Johnson: Obama sees 'glimmers of hope'

MIT Sloan Prof. Simon Johnson points out that a key gauge of investor confidence -- the market for credit default swaps -- shows that some investors have been making big bets that the risk is growing that struggling banks like Citigroup and Bank of America will collapse.

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Former IMF Chief Economist Dr. Simon Johnson keynote at University of Maryland Business

It was announced that remarks from MIT Sloan Prof. Simon Johnson would be featured at the Smart Globalization conference, hosted by the University of Maryland's Robert H. Smith School of Business, on April 23.

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Energy competitions spur student creativity

"Energy entrepreneurship is different. You can't treat it the same as other types of entrepreneurship," says William Aulet, senior lecturer at MIT, which sponsors an annual $100K Entrepreneurship Competition that includes a clean-energy award.

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Business Schools look for different kinds of students

Forte and its member schools have talked to thousands of women to explain the value of the MBA. "We market not just the schools," says Julie Strong, an admissions officer at MIT Sloan. "We market the MBA as a whole."

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Gary: MIT Sloan visiting scholar finds "Boom and Bust" dynamics can be avoided

Research by MIT Sloan Visiting Scholar M. Shayne Gary found that the "boom and bust" dynamics experienced by many businesses are caused by decision errors and biases that can be avoided.

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Brainard: Treasury nominee a graduate of George School

President Obama recently selected former MIT Sloan Associate Prof. Lael Brainard as undersecretary for international affairs in the Treasury Department.

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Anderson: Stalled economy will take years to regain speed

"We and others are funding start-ups as slowly as possible, or not at all," says Howard Anderson, a founding partner of Battery Ventures and a senior lecturer at MIT.

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WPR interview: Economist Simon Johnson

In this interview, MIT Sloan Prof. Simon Johnson states that "The IMF was set up as part of a U.S.-run postwar system and those traditions last. So, the IMF would always be extremely reluctant to do anything that would seem like criticism of any current administration."

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Johnson: Billionaire Buffett benefits from bailout he promoted

MIT Sloan Prof. Simon Johnson says that despite the banking collapse, financial leaders such as Warren Buffett have retained surprising control over the government. "There's this general presumption that Wall Street knows best. But they may not know best for the taxpayer," he says.

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Johnson: Obama takes message abroad

In addition to his hefty agenda at home, Obama "is trying to prevent the rest of the world from imploding," says Simon Johnson, a former International Monetary Fund economist who is now a professor at MIT Sloan.

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Johnson: Europeans look to welfare, not stimulus

Europeans and Americans don't always see eye to eye -- and how to solve the global financial crisis is no exception. "The Europeans think there's a danger of overdoing it," says Simon Johnson, a former International Monetary Fund chief economist, now a professor at MIT Sloan.

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Schein: America's new IT reality

MIT Sloan Prof. Edgar Schein has described two principles for organizations that want to transform to a new business process: the "survival anxiety" or guilt must be greater than the "learning anxiety."

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MIT Sloan admissions tips

A number of applicants turned out for a recent online chat with Julie Strong, senior associate director for MBA Admissions at MIT Sloan, and Jennifer Burke Barba, assistant director of MBA Admissions at MIT Sloan.

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MIT Sloan's XII Annual Latin Conference to explore opportunities in times of adversity

Nicholas Negroponte, founder and chairman of One Laptop per Child, is the slated keynote speaker at MIT Sloan's XII Annual Latin Conference on May 2, 2009.

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MIT Business In Gaming Conference adds Levine, Schilling

MIT Sloan School of management will kick off its first Business in Gaming Conference with a keynote from 2K Boston president and BioShock creator Ken Levine, student organizers announced.

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MIT Sloan to host its first ever Business in Gaming Conference on May 8, 2009

Digital distribution, marketing, and in-game advertising are the themes of MIT Sloan School of Management's inaugural Business in Gaming Conference being held on Friday, May 8, 2009 on the business school's campus.

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Dunn, Konduru: Can business schools teach entrepreneurship?

In this blog entry, MIT Sloan MBAs Carter Dunn and Mahesh Konduru write, "In our conversations with a select pool of people, there was a near unanimous agreement that MIT Sloan is indeed a fertile ground for aspiring entrepreneurs."

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Thirsk: A Canadian space odyssey

It was announced that on Wednesday, May 27, 2009, the Russian space agency (Roskosmos) will launch a Soyuz rocket into space from Baikonur, Kazahkstan, for Expedition 20/21. Sitting inside will be MIT Sloan alumnus Robert Thirsk, the first Canadian astronaut to launch with Russia as well as the first Canadian to undertake a long-duration mission in space.

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Serngadichaivit: Guru speak

In the aftermath of one of the most devastating years in financial market history, many investors tend to doubt whether their investment strategies have really helped them achieve their objectives, writes Bancha Serngadichaivit, a graduate of MIT Sloan, and an executive at Bangkok Bank and a director and the public awareness chair of the CFA Society of Thailand.

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Osses: PIMCO announces promotions

PIMCO announced that MIT Sloan alumnus Guillermo Osses has been promoted to executive vice president.

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Luan: From bond trading To $40 Wall Street tour guide

MIT Sloan alumnus Andrew Luan, a former CDO trader at Deutsche Bank in New York, quit his job to go work as a tour guide around the city's financial district.

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William H. Rodgers III, at 64; marketing strategy consultant

MIT Sloan alumnus William H. Rodgers III passed away on March 19 after a 6-year battle with cancer. He was 64.

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Happy Birthday, Kofi Annan, United Nations Secretary-General and Nobel Peace Prize recipient

The achievements of MIT Sloan alumnus Kofi Annan are highlighted on his 70th birthday. Annan's unwavering dedication to human rights earned him a Nobel Peace Prize, among many other accolades.

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Gordon: Corn products Int'l names new president/CEO

Corn Products International, Inc. announced that its board of directors has appointed MIT Sloan alumna Ilene Gordon chairman, president and chief executive officer.

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George Weyerhaeuser, Jr., is keynoter at Nanotechnology Conference

It was announced that MIT Sloan alumnus George Weyerhaeuser Jr. will make a keynote presentation at the 2009 International Conference on Nanotechnology for the Forest Products Industry on June 23-26, 2009 in Edmonton, Alberta Canada.

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Bindra: MasterCard names new overseas regions President

MasterCard Worldwide announced the appointment of MIT Sloan alumnus Vicky S. Bindra, 44, as president, Asia/Pacific Middle East Africa region. Mr. Bindra, will join MasterCard on June 1, 2009.

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Morey: NBA season's marathon grind takes toll, raises labor issue

"The NCAA tournament, in 63 games, makes more TV money than the local TV money for the entire NBA regular season of 1,200-plus games," MIT Sloan alumnus and Houston Rockets General Manager Daryl Morey said at the MIT Sloan Sports Analytics Conference in March. "It would be hard to tell the owners you'd have to take a revenue hit, but you might get it back later because more people are tuning in."

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Chase: Green Leader

MIT Sloan alumna Robin Chase, the CEO of carpooling venture GoLoco.org and co-founder and former CEO of Zipcar, will speak at SUNY Oswego's dual Commencement ceremonies on Saturday, May 16, 2009.

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Johnson: So long, and thanks for all the fish

Simon Johnson, economist and professor at MIT Sloan School of Management, says he's in favor of FDIC-style takeover resolutions, "which is different from coming in and taking the situation as is and putting in a crony."

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Johnson: The Washington Post launches blog focused on the economic policy debate

The Washington Post today launches "The Hearing," a blog that discusses the key economic policy questions being debated in Washington. Simon Johnson and James Kwak will write the blog.

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Johnson: A BRIC Paean to Goldman Sachs

Simon Johnson, as a professor at MIT, says that the BRIC coordination is both noteworthy and a good sign. "If the BRIC came together, they'd be stronger relative to the G7."

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Johnson: Irreversible damage -- Why little action on banking can do great harm

MIT Sloan Prof. Simon Johnson questions whether leading financial institutions have enough capital to muddle through, or if, instead, their solvency problems are so serious that we will experience continuing reduction in lending (often known as deleveraging), a deeper recession and a slower recovery.

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Simon Johnson decries influence of Wall Street oligarchs, US a banana republic

MIT Sloan's Simon Johnson argues that the U.S. should invoke anti-trust laws to break up Wall Street, whose power poses a material threat to the American economy.

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Johnson: DuPont, Caterpillar Earnings a Poor Sign for Global Economy

A blog posting reads: In a fascinating piece in the latest issue of The Atlantic, Simon Johnson, former chief economist at the International Monetary Fund, outlines what he sees as the alarming influence of Wall Street firms over the American economy. He expounds on his thesis in our interview, making several points.

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Johnson: Today on the Hill

Joint Economic (9:30 a.m.): Holds a hearing on "Too Big to Fail or Too Big to Save? Examining the Systemic Threats of Large Financial Institutions." Joseph Stiglitz, 2001 Nobel Prize recipient, professor at Columbia University and former chairman of the Council of Economic Advisers; Simon Johnson, professor of entrepreneurship at MIT's Sloan School of Management; and Thomas Hoenig, president of the Federal Reserve Bank of Kansas City, testify.

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Johnson: Where is the global economy heading?

The International Monetary Fund's forecast is a "bottom up" aggregation of macroeconomic views on specific countries, put together in a mutually consistent manner by experienced economists, blogs MIT Sloan Prof. Simon Johnson.

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Johnson: Pink Picks

An article that cites MIT Sloan Prof. Simon Johnson's piece in The Atlantic is listed as one of the top stories of the week.

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Johnson: Bear Market -- What does it mean?

Do such rallies indicate anything more than investors desperate to find good news anywhere? Or do they suggest a real return of confidence? The editors at the NYT asked MIT Sloan Prof. Simon Johnson for his analysis.

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Johnson: How many friends do you need?

The IBM collaboration with MIT Sloan tracked the electronic communications of over 7,000 volunteers for three years. The aim of the work was to put a dollar amount on the effect of those electronic and virtual relationships.

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Simon Johnson and Paul Kiel talk about bank bailouts

MIT Sloan's Simon Johnson expounds on his recent article in The Atlantic, explaining how Wall Street and Washington, D.C., have come together to form the "most advanced oligarchy" in the world, why the stress tests on the nation's biggest banks fall short, how he thinks nationalization will take place, and why we're most likely to suffer an "L" shaped recovery.

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A sober optimist's guide to sustainability

A January MIT Sloan Management Review interview with MIT Sloan Prof. John Sterman is posted. It reads, "The personal isn't always part of the conversation, but I really do believe that we can't have a sustainable society if people are constantly overworked, burned out, sleep deprived, and don't have time for friendships or relationships or community, for participating in civil society.

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View from MIT: A depression still avoidable

In this interview, MIT Sloan Dean David Schmittlein shares his thoughts about the recession's impact on corporate America, entrepreneurs, and the ambitions of business school students.

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Working harder to find job opportunities

The current crop of business school students faces decidedly different prospects than their predecessors did, says MIT Sloan Dean David Schmittlein. "It's tough. This is not an easy time to come out of any kind of school environment, undergrad or MBA."

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Ross: Bull and bear sentiments

A working paper co-authored by MIT Prof. Stephen Ross on contrarian traders is referenced.

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Johnson: The quiet coup

"In its depth and suddenness, the U.S. economic and financial crisis is shockingly reminiscent of moments we have recently seen in emerging markets (and only in emerging markets): South Korea (1997), Malaysia (1998), Russia and Argentina (time and again)," writes MIT Sloan's Simon Johnson in this opinion piece.

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Bodie: Sell your stocks, MIT Sloan professor urges small investors saving for retirement

While many advisors suggest holding tight until the stock market recovers, MIT Sloan visiting professor Zvi Bodie says investors need to face some painful facts. "Stocks are risky," says Bodie, "To rely on them for what you really need is a bad idea."

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Lo: Does Wall Street need more physicists?

In better times, generous paychecks and computational challenges attracted physicists and engineers to Wall Street, but some experts now blame them for the crash. Andrew Lo, a financial engineer at MIT, discusses why Wall Street needs these number crunchers more than ever.

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Johnson: From the jaws of defeat

Simon Johnson writes, "Even before the G20 summit begins, world leaders have decided not to address the major questions of the day: how to adjust monetary policy around the world, how to save Europe from itself (difficult but still doable), and how to break the political and economic power of major banks."

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Johnson: Geitner's plan isn't money in the bank

In this opinion piece, co-writer Simon Johnson asserts, "The problem in the market today is that the prices demanded by the banks are much higher than the prices that private buyers (hedge funds, private equity firms, sovereign wealth funds) are willing to pay."

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Johnson: Off with the bankers

In this opinion piece co-written by Simon Johnson, he says, "The argument that AIG's traders are the people that we must depend on to save the United States economy is as weak and self-serving as it was in Thailand, Korea or Indonesia. AIG is essentially advocating survival of the weakest. Thankfully, the American people are not buying it."

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Strong unions help strengthen economy

An MIT Sloan study finding that 44 percent of the time America's newly unionized workers lack a collective bargaining agreement a year after voting for union representation is referenced.

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How business schools can produce better leaders

In a piece examining the leadership agenda among business schools, The Financial Times recent rankings are cited (MIT Sloan came in at No. 9).

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MIT SMR unveils sustainability collaboration

MIT Sloan Management Review, which is published at MIT Sloan, has launched a multi-year collaboration with The Boston Consulting Group that will "explore emerging thinking on sustainability and its implications for business strategy and organization.

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Vivek Kundra is going to do great things for U.S.

The MIT Sloan CIO Symposium recognized Vivek Kundra, Federal Chief Information Officer at the White House, among outstanding IT innovators.

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Kim outlines views on Dartmouth

Newly elected Dartmouth College President Jim Yong Kim participated in inter-disciplinary work at MIT Sloan.

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Lessons in crisis management

Skolkovo and MIT Sloan announced a series of joint programs that will strengthen the Russian school's international capacity, while exposing Sloan's faculty and students to different global challenges.

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MIT forms transportation initiative

MIT launched its Transportation@MIT program, a two-year pilot program that combines the efforts of the Institute's School of Engineering, the School of Architecture and Planning, and MIT Sloan.

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Spear says new GM leadership must spark innovation

LFM Senior Lecturer, Steven Spear, discusses the prospects for General Motors Corp.'s restructuring plan.

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Future business leaders come to Israel

Amitay Kalmar, MIT Sloan MBA '10, discusses the 2009 Israel Trek during which students gained a better understanding of Israel and its economy and business landscape.

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Johnson: It could be worse

MIT Sloan's Simon Johnson spars with host Stephen Colbert Simon Johnson while explaining why America's economy resembles an unstable, emerging market.

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Bodie: African-Americans continue to lag whites in stock ownership

The median net worth of the average black family is 10 times less than that of the average white family, a 2006 National Urban League report found. Those reasons make good sense, says Zvi Bodie, a visiting professor at MIT.

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Johnson: Europe struggles for consensus on economic recovery

In this interview, MIT Sloan Prof. Simon Johnson says that things in Great Britain and Europe are very bad.

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Johnson: Obama bringing hefty agenda on European trip

"[Obama's] obviously got a lot of charisma and it's his first big meeting. And I think people tend to be very polite in these situations but there could also be a level of awkwardness there," says Simon Johnson, a former IMF chief economist who is now a professor at MIT.

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MIT Sloan lecturer finds cost-saving measures in auto industry readily available but rarely used

Many manufacturing companies turn to outsourcing to save labor costs, however cost-saving measures are available right on their factory floors, according to research by MIT Sloan Senior Lecturer John Carrier.

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Rising powers challenge U.S. on role in IMF

Given the inevitability that these countries will have a growing influence, the London summit meeting is likely to be remembered "as the last hurrah for the U.S. and Europe rescuing the world economy," says Simon Johnson, a professor at MIT.

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Johnson: Former IMF Chief Economist Dr. Simon Johnson to provide a global view of the financial crisis

MIT Sloan's Simon Johnson is slated to share his view on the global financial crisis in a conference call hosted by Wall Street Access.

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Thurow: Today's dinosaurs may be the economists who still believe all ships rise with free trade

In 1996, MIT Sloan's Lester Thurow described the state of the global economy as "punctuated equilibrium", a metaphor for the evolutionary biology term meaning a sudden change in the order of things.

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Osterman: Short 'gigs' create patchwork jobs for workers

"There is a clear correlation between economic distress and social distress," says MIT Sloan Prof. Paul Osterman. "Underemployment is not good news for families."

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Roberts: Visible Measures takes an "opportunistic" $10M round

Visible Measures, Inc. has raised $10 million in a Series C round bringing its total venture investment to $29.3 million --- with a 2006 seed round from five angel investors, including MIT Entrepreneurship Center Chairman Edward Roberts.

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Befuddled by the financial crisis? Ask Simon Johnson

Increasingly during the current financial crisis, reporters have been banking on Simon Johnson of MIT Sloan for analysis and advice.

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Lo: Is it back to the Fifties?

Andrew Lo, head of the MIT's Financial Innovation Laboratory, has merged behavioral and efficient markets theory using Darwinian biology. In his 'adaptive markets hypothesis', markets behave efficiently during periods of calm.

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Huang: China said to be leaning away from capitalism

Looking at the U.S. crisis, Beijing feels its economic philosophy vindicated, says Yasheng Huang of MIT. "Today's situation is much more severe. Today you have the most efficient private enterprises in trouble, not Communist relics."

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Zolot: A new world order for high growth firms

MIT Sloan Senior Lecturer Ken Zolot says "I am delighted to be joining the Kauffman Foundation team as a senior fellow as we look out over the economic future and embark on a new approach for increasing both the number of new companies formed and the chances of success for these ventures."

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Lo: Understanding our blind spots

MIT Sloan Prof. Andrew Lo says, "Financial crises are an unfortunate but necessary consequence of modern capitalism. Financial losses are a byproduct of innovation, but disruptions and dislocations are greatly magnified when risks have been incorrectly assessed and incorrectly assigned."

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Johnson: Can US let AIG fail?

"The political reality has changed," says Simon Johnson, a former chief economist at the International Monetary Fund who is now at MIT. "The new bailout climate is troubling. It could make it difficult for the Obama team to sell its plan."

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Johnson: The problem with flogging AIG

MIT Sloan Prof. Simon Johns believes the TALF program could help revive the consumer credit market, but at this point, "most Wall Street bankers would rather be attacked by wild dogs than take part."

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Johnson: IMF tweaks loan program in bid to attract borrowers

"If I were running a country, I wouldn't want the IMF in a headline unless it's something like, 'Poland tells the IMF to stuff it,' says Simon Johnson, a former IMF chief economist who is now a professor at MIT."

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Prelec and Simester: Your brain on credit

Research by two MIT economists, Drazen Prelec and Duncan Simester, found that a group using credit cards offered much more for items--in one case, more than twice as much--despite the fact that the experiment was arranged so as to make paying in cash easy and convenient"

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von Hippel: Gary Hamel joins InnoCentive's strategic advisory board

Global open innovation marketplace InnoCentive, Inc. appointed MIT Sloan's Eric von Hippel to its advisory board.

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Forrester: Surviving without growing

In this interview, MIT Sloan Prof. Emeritus Jay Forrester speaks about the intersection of sustainability and management.

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Cusumano: I.B.M, looking to buy Sun, sets up investment strategy

If it acquired Sun, I.B.M. "would unify those warring groups and make for a stronger front against Microsoft," says MIT Sloan Prof. Michael A. Cusumano.

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Urban: WPP, Google to fund Web-ad research

MIT Sloan Prof. Glen Urban plans to analyze Web users' surfing habits to determine their thinking styles -- such as whether they are most influenced by verbal or visual messages or if they are more holistic or analytical -- and how to tailor ads accordingly.

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Huang: It's built-up, beautiful, and seemingly booming. So, what's wrong with Shanghai?

MIT Sloan Prof. Yasheng Huang argues that what visitors see when they visit Shanghai is a mirage. He says that far from being a free-market paradise, Shanghai is the creation of a controlling communist government.

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Lo: Stock rally signals possible turn

At the moment, equities are moving too early, says Andrew Lo, professor of finance at MIT. "We are not yet seeing any glimmers of an economic recovery."

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Huang: China's "dubious" miracle

MIT Sloan Prof. Yasheng Huang's book, Capitalism with Chinese Characteristics, is reviewed. The book relates the epic tale of rural Chinese entrepreneurship between 1980 and 1990, in which striving businessmen built firms of substantial scale in the poorest provinces.

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Johnson: Fault lines open in talks over global crisis fixes

There's widespread agreement among the world's biggest countries that the current global financial and economic crises require global solutions. But as leaders from twenty of those countries gathered to offer solutions, that may be about all they can agree on. "I think they're pretty disunified," says MIT Sloan Prof. Simon Johnson. "But they don't obviously want to present that too publicly."

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Lo: Bank on research

MIT Sloan Prof. Andrew Lo is sharing a five-year, $22 million BofA grant with the Center for Future Banking at MIT's Media Lab. BofA is supporting research on technological and quantitative themes, such as data mining and behavioral economics.

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Schmittlein: Bank of America rescinds job offers to foreign MBAs

Because Bank of America has rescinded job offers it had made to students requiring H-1B sponsorship, some fear students who have traditionally studied in the US to get a job in North America may go elsewhere. "There might be an inclination for people from around the world to vote with their feet," says MIT Sloan Dean David Schmittlein.

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Johnson: U.S. downturn dragging world into recession

"I'm worried about what happens when you see that a Greece or an Ireland that might need bailouts," says Simon Johnson, an MIT economics professor and former IMF chief economist. "Where is the money going to come from?"

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Osterman: In defense of middle managers

In an interview, MIT Sloan Prof. Paul Osterman discusses his new book, The Truth About Middle Managers and the plight of middle managers in a down economy.

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Johnson: Innovation may fuel economic recovery

MIT Sloan Prof. Simon Johnson says, "This country is very good at producing great engineers and recruiting them from all around the world. I'm predicting a wave of entrepreneurship. It will kick in right away, but you won't see the full impact for five years."

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Johnson: Curtain is drawing on Citigroup and BofA

Letting insolvent institutions linger results in a "massive destruction in value [of the banks and a] looting in these companies by management," says MIT Sloan's Simon Johnson.

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Centola: Social cliques carry over to the Internet

A study co-authored by MIT Sloan Prof. Damon Centola found that Internet users gravitate to the same social cliques online that they occupy in the real world. On the bright side, Centola says, cliquishness can actually be good for the world.

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Kaufman: Can natural gas break our oil habit?

If the nation makes the switch from oil to natural gas to run its vehicles, will it simply be trading one foreign-dependent fuel for another? The answer is, probably. But to what extent is very hard to say. "Welcome to uncertainty," says Gordon Kaufman, a professor emeritus and oil and gas expert at the MIT Sloan School.

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Schmittlein: MBA and Business Education Guide: Spring 2009 - Your mini MBA

In an extract from the sustainability section of the book, The 80 Minute MBA: Everything You'll Never Learn at Business School, MIT Sloan Dean David Schmittlein says, "It's not a story of 28-year-olds trying to save the world, it's a story of managing cataclysmic change."

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Murray: MIT class puts imprint on Nascent Tech

The 30 or so students taking MIT Sloan Prof. Fiona Murray's Innovation Team (I-team) course divide into three- or four-person teams that analyze inventions' potential and recommend a means of bringing it to market.

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Brynjolfsson: How to make electronic medical records a reality

According to a government-sponsored survey, only about 17 percent of the nation's physicians are using computerized patient records. "This is really not a technology problem," observes MIT Sloan Prof. Erik Brynjolfsson. "It's a matter of incentives and market failure."

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Lo: Speaking out -- Learning from our mistakes

In testimony before the House Financial Services Committee last fall, MIT Sloan Prof. Andrew Lo called for establishing a permanent, independent government agency modeled on the National Transportation Safety Board to study failures in the financial markets.

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Berechman: The Obama effect

According to Debbie Berechman, executive director of the MBA program at MIT Sloan, "Obama's commitment to lessen the US dependence on fossil fuel and MIT's alternative energy initiatives are good examples of a potential partnership forged from a common vision."

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Lovell: Degree of uncertainty

"Wall Street's not going to be a great place to work for the next couple of years," says Chad Lovell, 29, a second-year student at MIT's Sloan School of Management. Lovell interned at Barclays Capital in New York last summer but passed on a full-time job offer there in favor of a strategic planning post at industrial conglomerate Emerson Electric Co. in St. Louis after he graduates in June.

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Tsinghua, MIT talents help young Chinese firm CreditEase

A team of MBA students from MIT Sloan and international MBA program of China's Tsinghua University are teaming up in Beijing on an interactive project to help Chinese money-lender CreditEase sharpen its marketing strategies.

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2009 MIT Sloan Private Equity Symposium to explore maximizing returns in today's uncertain economic environment

On Friday, April 3, the 6th Annual MIT Sloan Private Equity Symposium will address the evolution of investment strategies in a changing economic and financing environment.

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MIT Sloan Sales Conference--Sell or sink: Navigate the crisis

The MIT Sloan Sales Conference, taking place on 4/17/09, will offer an agenda geared towards selling in the current economic crisis, as well as sessions on CEO leadership challenges, lessons from past recessions, innovative sales models, and workshops on technology.

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Bartolotta: Josten's Award winners will be honored today

MIT Sloan student Jimmy Bartolotta was among the 2009 recipients of the Jostens Trophy, which recognizes outstanding student-athletes in NCAA Division III basketball for excellence in the classroom, on the playing court, and in the community.

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MIT study tour to commence in Antigua

MIT Sloan students participated in the "2009 Antigua Study Tour" from March 18-27 to investigate and resolve issues facing senior management in local organizations rooted in the Antiguan economy.

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MIT Sloan students compete in mergers and acquisitions competition

Students from MIT Sloan were among the competitors in the Association for Corporate Growth, Inc. Cup, a regional Mergers and Acquisitions case competition.

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2009 MIT Sports Analytic Conference

The Baseball Analytics panel was excellent and gave amazing insight into how analytics are used not only by people who write about them, but also by the teams themselves.

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Dorkapalooza 2009: The sports analytics conference at MIT

The MIT Sloan Sports Analytics Conference brought analytics and fact-driven decision-making to the world of sports. Or, in the words of ESPN writer Bill Simmons, "it's a complete dorkapalooza."

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How the experts quantify sports

At the MIT Sloan Sports Analytics Conference, front office executives discussed potential strategies for gathering and analyzing data on such things as a player's passion, defense skills, and team chemistry, as well as on the fan experience.

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Per diem: March 9, 2009

At the MIT Sloan Sports Analytics Conference, Dallas Maverick's owner Marc Cuban said that a win is only worth about a half million dollars to a team's bottom line, so that rebuilding teams with low salary structures are often the most profitable.

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We learned about the Cavaliers, Celtics and Magic

The MIT Sloan Sports Analytics Conference, which brought a total of five ESPN.com writers and editors to town, resulted in extra coverage of the two Boston Celtics home games played that weekend.

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Stats prove reliable for teams in need of answers

At the MIT Sloan Sports Analytic Conference, participants learned that as statistics become more prevalent, NBA teams will become better at making informed decisions about which players to trade, which ones to draft, which ones to put on the floor together, and when.

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Business plan contests flourishing at colleges

The 20th MIT $100K Business Plan Competition has attracted 260 submissions -- a $100K record, according to co-managing directors Sombit Mishra and Brian Cantwell. The two first-year MIT Sloan students say they've seen a surge in the energy and web/IT services categories.

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von Maltzahn: Lemelson-MIT student winner launches drug delivery startup

MIT student Geoffrey von Maltzahn, co-founder of startup company Resonance Therapeutics, was awarded the Lemelson-MIT Student Prize for Inventions. The startup is working with a team from MIT Sloan on developing its business plan.

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Konduru: The summer internship shuffle

MIT Sloan student Mahesh Konduru writes, "Notwithstanding the lull in traditional hiring, industries recruiting for general management, operations, marketing, strategy and sales functions has been active. Some students who had their minds set on traditional MBA internships are re-evaluating their interests and strengths and are finding other avenues to learn during summer."

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Vail resorts to co-host MBA competition

Students from MIT Sloan were among the competitors in the 8th annual Leeds Net Impact Case Competition on February 20-21. The competition hosts rising business leaders from MBA programs from around the nation to help find solutions to corporate sustainability issues.

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Hua: Cnooc profit tops estimates; Yang appointed president

Offshore energy explorer Cnooc appointed MIT Sloan alumnus Yang Hua as its president.

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Min: Is it a car? Or is it an airplane? It's the Transition!

MIT Sloan alumnus Alex Min is among the founders of Terrafugia, a company which is developing The Transition, a "roadable" aircraft.

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Skerritt: Custom made for e-tail success

MIT Sloan alumnus Joseph Skerritt and the company he founded, Proper Cloth, are profiled. Proper Cloth is a New York-based e-commerce dress shirt company that allows shoppers to mix and match fabrics while using computer-generated tailoring for the right fit.

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Parduhn: Networking takes off as economy sours

When asked what brought him to an MIT Enterprise Forum's event, MIT Sloan alumnus Michael Parduhn said, "I'm looking for a job."

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Chase: Share my ride

In February 2003, MIT Sloan alumna Robin Chase, founder of Zipcar, was forced out by the company's Board of Directors. "I'm gleeful about the engine of capitalism, but it has some very negative, destructive aspects," she says. "We see it around us now: Extreme greed. Shocking arrogance."

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Avent: Final Tech VP candidate lists goals

Randy Avent, a graduate of MIT Sloan's Greater Boston Executive Program, is a finalist in Texas Tech University's vice presidential search.

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de los Pinos: Aura Biosciences aims to develop "ballistic missile" drug to beat prostate cancer, deliver RNAi therapies

It's a difficult time for a brand new biotech firm to be drumming up interest in a novel approach to delivering drugs, with investors snubbing so many firms with drugs already in clinical trials. But the market conditions haven't stopped MIT Sloan alumna Elisabet de los Pinos from raising more than $3 million in an initial financing for her new company Aura Biosciences.

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Payet-Gaspard to replace Dr Malm as ISSF chief

At their Annual General Meeting in Hong Kong, the members of International Stainless Steel Forum elected MIT Sloan alumni Pascal Payet-Gaspard to succeed Dr. Staffan Malm as Secretary General.

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Ken Fox named Chief Marketing Officer for Energy Conversion Devices Inc.

Energy Conversion Devices Inc., a manufacturer of thin-film flexible solar laminate products for the building integrated and commercial rooftop markets, named MIT Sloan alumnus Ken Fox Chief Marketing Officer.

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George Peel Chandler killed in car crash near Balboa Park

MIT Sloan alumnus George Peel Chandler passed away on March 6 in a car accident in San Diego. Chandler headed the U.S. Small Business Administration's San Diego district office for 25 years and retired in September 2005.

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Can African-Americans find their voice in cyberspace?

MIT Sloan alumna Dayna Cunningham says, "Without a prior agenda-setting discourse enabling African American communities to arrive at some collective decisions about their shared future, I can't imagine either innovation in support of, or accountability to, black concerns."

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Reinhardt: St. George candidates differ on municipal staff

MIT Sloan alumnus William Reinhardt is a candidate for the Office of Selectman for the town of St. George, Maine.

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Simon Johnson is such a downer!

Simon Johnson, an MIT professor and former IMF chief economist, has been particularly smart and scary on both upcoming policy decisions and wider structural problems that still need to be addressed in the economy.

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Curhan: Employee satisfaction survey: 41% are unsatisfied with their job

According to a recent study by MIT Sloan Prof. Jared Curhan, money played a lesser role in job satisfaction and retention.

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Sterman and Corell share C-Roads results and slides

MIT Sloan Prof. John Sterman and Dr. Bob Corell presented the Climate-Rapid Overview and Decision Support Simulator (C-ROADS), a user-friendly, interactive computer model of the climate system, in an event hosted by the American Meteorological Society. Senator John Kerry provided the introduction and context.

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Johnson: Contest you don't want to win

A chart by Simon Johnson of MIT shows the price you have to pay if you want insurance against a company such as Citigroup who is defaulting on a bond you might own. The higher the price, the worse shape the market thinks that company is in.

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With faculty and students from more than 60 countries, MIT Sloan is optimally positioned to foster global teamwork.

For Media Inquiries

Paul Denning
Director of Media Relations
Tel: 617-253-0576
Fax: 617-253-5875
E-mail: denning@mit.edu

Patricia Favreau
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Fax: 617-253-5875
E-mail: pfavreau@mit.edu