BUSINESS SCHOOLS AND PUBLIC POLICY ADVOCACY

With the government’s role in business and the economy expanding, leading international business schools and top graduate schools of public policy collaborate to prepare students for global careers in government affairs and business administration. It’s becoming increasingly critical for global business leaders to incorporate public policy issues into their management approach. The recent financial crisis has taught the world that we need greater cooperation and collaboration between the public and private sectors. Markets alone can no longer provide a stable global order. The invisible hand of the markets must work hand in hand with the visible hand of good governance. It is therefore imperative for future generations of leaders to receive training in public policy and business. There is a clear need for students to have a sophisticated understanding of both international affairs and management issues in an increasingly complex and interdependent world.

The new public policy courses on offer cover all aspects of government and its regulation of businesses, its role in the greater economy, and its own fiscal matters. Also included are such issues as non profits, sustainability, urban development energy, and environmental issues, including climate change. What all of these courses have in common is that they impart a basic understanding of legislation and politics- essentially, how government works- to give future MBAs the tools they need to come up with tenable goals for their businesses. What is new is the content of the courses, many of which have gone from being about exploiting loopholes to incorporating regulations into business strategy in domestic locations to the regulatory challenges involved in doing business overseas. A sophisticated understanding of government’s relevance is critical for students to engage successfully with government policies that affect their companies.

To be internationally capable, today’s MBA graduates must understand the goals and mechanism of government decision makers. It is essential that MBA students have a greater awareness of debates concerning market failure, regulation and government affairs activities.

Global companies leaders who can overcome struggles with globalization; those based in advanced countries, for example, need new strategies to succeed in BRIC countries and beyond. National governments need leaders who can help create jobs and incomes at home linked to dynamic opportunities abroad. And hybrid business-government institutions such as state owned enterprises need leaders whose visions appeal to many diverse stakeholders. Many of today’s anxiety sweeping capitals in Africa, Europe, and beyond stems from worry that current leaders are not up to these challenges.

In recent decades, far-reaching changes in the political, technological, economic, and institutional environment have intensified the challenges faced by managers and policymakers throughout the global economy. The restructuring of formerly socialist and newly industrializing economies, along with privatization and deregulation within industrial economies, poses important questions of institutional choice and design, drawing on economics, political science, and organization theory. Technology policies and management strategies in industries such as computer software, multimedia, and biotechnology also need new conceptual frameworks. In these and other industries, the growing importance of complex global networks and inter-firm alliances creates still more opportunities for research and theory building. In short, the current environment in the public and private sectors demands new approaches to research and teaching.

AALEP is highly supportive of this new trend  and dedicated to assisting  business schools in the area of global government affairs and public policy advocacy by offering news, tools, links, events, resources and discussion platforms related to the topic of public policy.