The Department of Management hosted 20 high school students for a summer program called “Be Your Own Boss.”
Over the summer, DePaul’s Driehaus College of Business invited high school students from across the Chicago area to participate in academic programs that introduced them to the higher education experience and potential future careers.
DePaul’s Department of Management & Entrepreneurship hosted 20 high school students for a summer program called “Be Your Own Boss.” Created in conjunction with the Chicago Housing Authority (CHA), BMO Harris and Macy’s, the six-week curriculum focused on career awareness, college readiness, team-building and leadership skills.
“This was a fantastic opportunity for students to focus on what they want to do in life,” says Susanne Mickey, who developed the curriculum for the program and is assistant to the Department of Management & Entrepreneurship chair. “The course helps students develop skill sets they didn’t even know existed, preparing them for not only college, but also for leadership in their communities.”
Students in the “Be Your Own Boss” program traveled to Iron Oaks Environmental Learning Center in Olympia, Ill., where they learned team-building skills outdoors. Pictured: Abdullah Hutcherson (holding the rope).
The “Be Your Own Boss” program is part of Mayor Rahm Emanuel’s One Summer Chicago initiative that provides youth with employment and enrichment programs. Over the course of four weeks, students learned about leadership, management, marketing, sales, accountancy, financial planning, hospitality, communications and entrepreneurship. They also visited with sports and business executives from the Bulls, Bears, Cubs, PepsiCo and Macy’s.
Assistant Professor Andy Clark, who is the faculty coordinator of the Sports Management curriculum at DePaul’s Driehaus College of Business, arranged for the teens to visit Chicago pro sports team and lectured about business management. Visiting Assistant Professor Ivanna Zilic, the other main faculty member for the six-week program, taught the students interviewing and presentation skills and how to perfect their elevator speech.
Opening New Paths for Chicago Teens
Abdullah Hutcherson from Chicago Virtual Charter School decided to participate in the “Be Your Own Boss” program because he was interested in entrepreneurship and business management. “A lot of kids in this program may not have access to these opportunities,” Hutcherson says. “The ‘Be Your Own Boss’ program opens new paths and creates a different reality from what you see on a day-to-day basis.” Hutcherson one day hopes to own a gym and feels that the management, marketing and accounting skills he learned from the program will help him in the future.
At the end of this six-week program, students received a professional wardrobe courtesy of Macy’s. They learned how to make a polished business presentation, which they delivered in front of an audience of family, friends and supporters from CHA, BMO Harris and DePaul.
“When you are young, you are unsure who you are and who you’ll become,” Mickey says. “To be able to have this experience and participate in everything that is offered, in the end it can be a life changer. It will give you the assurance that you will go further in life, you can do anything you want to do and you can truly become your own boss.”
Actuarial Camp Introduces Teen Math Scholars to Lucrative Career Path
The Actuarial Academy at DePaul culminated with the student groups presenting their projects to the sponsors and their parents.
DePaul’s Arditti Center for Risk Management, which is part of DePaul’s Department of Finance, also hosted a summer enrichment program for teens this summer. The second annual Actuarial Summer Academy in August offered a one-week, on-campus program designed to get high school students engaged in the actuarial field through experiential learning, case challenges and visits by industry professionals.
“People who are good at math and stumble across actuarial sciences on their own are often frustrated that they didn’t find this career path earlier,” says Finance Professor Carl Luft (BUS ’75, MBA ’77), academic director of the Arditti Center for Risk Management. “We are introducing high school students to this profession much earlier so they have the tools to succeed in this lucrative career.”
DePaul is the only business school in Chicago with an actuarial science major. The Actuarial Summer Academy used this advantage to bring together industry representatives, talented high school students and DePaul faculty members. This year, 36 Chicago-area high school math students descended on DePaul’s Loop Campus to learn more about actuarial science as a career. The Actuarial Academy students were divided into seven teams each sponsored by a local corporate partner and assigned a real-world risk management project to solve by the end of the week.
Rayana Bush from Kenwood Academy in Hyde Park was looking for an enrichment course to take over the summer. Her pre-calculus teacher approached her about the actuarial academy. “I love math so much and I knew I wanted to find an interesting math profession, but there was never one I thought I fit in,” Bush says. “The actuary profession has opened my eyes to what I could be in the future.” Bush’s student team was sponsored by BlueCross BlueShield of Illinois, and she enjoyed meeting actuaries from the organization, learning new challenging concepts and tackling the group project.
The Actuarial Academy culminated with each student team presenting their project results to the other teams, faculty members and parents. “We are building the brand of DePaul and enhancing the actuarial profession with this academy,” says Clinical Professor of Finance Tom Edwalds, who led the camp with DePaul Assistant Professor of Mathematics Stefanos Orfanos. “We are looking to attract higher caliber of students to DePaul and introduce a lucrative career where each of these students can succeed.”
After graduating, Ryan Zieman (BUS ’13) moved to Madrid to teach English, travel and share his experiences in a blog.
Ryan Zieman (BUS ’13) embraces a life that is rich in experiences.
Shortly after earning his marketing degree from DePaul, Zieman moved to Madrid because he yearned to live in a Spanish-speaking country and to travel. For two years he taught English, trekked to a dozen European countries and shared his experiences in a travel blog.
Zieman returned to Chicago in 2015 and is now a social media consultant for McDonald’s. Outside of work, he enjoys meeting friends for drinks or dinner three or four times a week.
He does not own a car, and instead uses Uber and other ride-sharing apps to get around. He knows the value of owning a home, but is holding off on buying one for now. Although he likes shopping, he doesn’t invest in extravagant things.
The things I do splurge on are usually food, wine and traveling,” he says.
As a member of the millennial generation, Zieman is not alone in preferring to spend more of his time and money on experiences, like travel and eating out, than on things, such as cars and pricey possessions. More than 3 in 4 millennials (78 percent) say they would choose to spend money on a desirable experience or event over buying something desirable, according to a Harris poll conducted for Eventbrite. The survey also found that 72 percent want to increase their spending on experiences in the future.
Millennial spending preferences are a potent force in the marketplace. Millennials number 80 million and surpassed baby boomers as America’s largest generation last year. Born between 1980 and 2000, millennials are entering their prime spending years and have a collective purchasing power of $600 billion annually. Accenture estimates that this will grow to $1.4 trillion by 2020.
The millennial generation’s hunger for consuming experiences, plus their increasing ability to spend, is feeding the growth of the experience-driven economy. To thrive in this new environment, professionals in a wide range of industries— from marketing and retail to hospitality and real estate—are radically changing how they do business.
Valuing What You Do, Not What You Own
Associate Professor of Marketing Sue Fogel
What leads many millennials to seek experiences over stuff?
“For the baby boomer generation, which was pre-internet, the way to show status was the number of cars you had in the driveway, the types of cars, how large your house was, where your house was located. Consumer goods were a way to secure and legitimize your status in society,” says James Mourey, DePaul assistant professor of marketing and author of “Urge: Why You Really Want What You Want (and How to Make Everyone Want What You’ve Got).” “For young people now, that’s not necessarily the case. They grew up in a time when everything you do is being tracked online. So on Facebook, on Instagram, you’re keeping track of your life. You are sharing what you do versus what you own.” DePaul Associate Professor of Marketing Sue Fogel says the phenomenon also is tied to how millennial consumers view physical things, which can lose perceived value over time, versus memories of experiences, which can be relived in the mind and online.
Experiences are valuable because you can consume them again and again,” Fogel says.
The rise of the sharing economy—from Uber and Divvy bicycles to collectives that lend everything from tools to kitchen equipment—also reflects changing attitudes about owning things, especially among millennials, she adds. “You don’t personally have to own something to benefit from it. There are things you can take advantage of when you need them and forget about when you don’t.”
Instagrammable Moments
Jeff Cloud (BUS ’97), director of digital platforms at GGP, says today’s malls are being infused with opportunities for social media-friendly experiences.
The millennials’ less-is-more lifestyle can present a challenge for traditional shopping malls and their retail tenants. But Jeff Cloud (BUS ’97) and his colleagues at GGP are turning that challenge into opportunity by transforming mall shopping into an experience.
GGP manages a portfolio of 115 premium retail properties across the nation, including Water Tower Place, Oakbrook Center and Northbrook Court locally. “Our core business is to lease space, but we spend a significant percentage of our marketing dollars on consumer marketing in an effort to make our tenants as successful as possible,” says Cloud, director of digital platforms at GGP.
One of GGP’s marketing priorities is to make the consumer experience engaging “throughout the shopper journey, from couch to closet,” Cloud says. It begins, he explains, when a consumer, sitting on her couch at home, is inspired to buy something new. It proceeds through her trip to the mall, finding parking, navigating the mall, making a purchase, sharing the experience on social media and then heading home, where she places the item in her closet. For millennials, mobile devices are the go-to guide for this journey. To make this experience more engaging, Cloud says, GGP is investing in search engine optimization, digital advertising and social media, as well as responsive website design that features retail offers, mall event information, interactive maps and parking availability.
GGP is also strategically curating its tenants to make sure they appeal to experience-seekers. “The mall of yesterday was very heavy on the apparel side, but now we are changing that environment to be much more experiential,” Cloud says. GGP has designated more than $1 billion nationally for mall upgrades that include chic food halls, bowling alleys, fitness centers, outdoor lawn areas and movie venues.
We want to provide an environment and experience that’s Instagrammable,” Cloud says.
Surprisingly, the mix of mall tenants increasingly includes retailers that used to be online only. Amazon has a kiosk at Water Tower Place where it sells its Echo smart speaker. Fabletics, the e-commerce athletic wear company, is investing in bricks-and-mortar stores in several malls. “We embrace it because there is a positive correlation between the two (online and in-store retailing),” Cloud explains. “What we’ve found is that a tenant’s e-commerce sales increase in trade areas where a store is opened and decrease where a store has closed.” As a result, online retailers “are seeing the benefit of having the physical format as well.”
A Boon for Hospitality
Allyson Murphy (BUS ’15) is front office manager at Hotel EMC2, a boutique hotel that features two robots, Leo & Cleo, who serve as personal assistants to guests. This novel experience and the art-and-technology theme of the hotel appeals to millennials (Read more).
For hospitality enterprises, the growth of the experience economy is a boon for business. To capture the millennial dollar, however, hotels, restaurants and other industry players need to tailor their experiences to millennial values and lifestyles, says Nick Thomas, assistant professor at DePaul’s School of Hospitality Leadership.
Take hotel rooms. “Baby boomers and Generation Xers look for consistency,” Thomas says. “They are more likely to book through hotel websites, and they want recognition through loyalty programs. They are looking for traditional hotel amenities—a large desk, a big bed, a big closet, big bathroom. The hotel room is an extension of their home.”
By contrast, millennials shop around for the best deals through sites like Booking.com and don’t care as much about loyalty points or standard in-room amenities. “They are looking to come in, drop off their bags and then get out into the neighborhood, into the experience,” Thomas says. They also seek hotels with quirky decor and unusual services that create unique experiences, he says. For example, millennials are flocking to the Albert Einstein-themed Hotel EMC2 in Chicago, where two robots, Cleo and Leo, bring towels and toothbrushes to guests’ rooms.
As for eating out, millennials like it—a lot! A Food Institute analysis found that millennials spend 44 percent of their food dollars—nearly $3,000 annually—on eating out, a 10.7 percent increase from 2010 to 2014.
Driving the choice of where they spend these dollars, Thomas says, is the millennial quest to experience food from around the world and to know that the ingredients are healthy and sustainable.
Nate Arkush (MBA ’15), co-founder and managing partner of the Milwaukee restaurant FreshFin Poké, agrees. His millennial customers seek a high-quality but casual dining experience with food that is customizable and healthy. “Our menu offers a build-your-own option with countless combinations,” he says. “We see a higher percentage of millennials designing their own meals because it allows them to be a part of the experience and have some ownership in how their meal tastes.”
Renting Experiences
“From the economic mobility perspective, (millennials) might want to be more flexible, to be able to take a job in a different city and not get tied down with a mortgage,” says Geoff Smith, executive director of the DePaul Institute for Housing Studies.
Millennials’ preference for experiences over things is having a big impact on one of the milestones of the American Dream—homeownership.
“In Chicago, what you see is a pretty pronounced shift toward renting,” says Geoff Smith, executive director of the Institute for Housing Studies (IHS) at DePaul, which researches local housing market and affordability trends. Renters ages 25 to 34 accounted for 31.2 percent of all Cook County renter households in 2014, up from 25.7 percent in 2007, according to an IHS report.
Lifestyle choices and financial concerns certainly contribute to this trend—millennials marry later on average, and those who took out college loans may want to pay down that debt before plunging into homeownership. But many millennials who can afford to buy are still choosing to rent. “In particular what we noticed is big growth in renting by higher-income millennials, those earning 120 percent or more of the median income,” Smith says.
Renting in Chicago is appealing because it provides close access to city experiences and career opportunities, as well as the option to move easily to have these experiences elsewhere, Smith says. “They want to live in walkable neighborhoods, near transit, where there is access to jobs—and a lot of the jobs are increasingly in the core of downtown Chicago. From the economic mobility perspective, they might want to be more flexible, to be able to take a job in a different city and not get tied down with a mortgage.”
Developers are responding by building more rental properties with smaller units along transit routes. Smaller units mean more profit per square foot for developers, while offering millennial renters more affordable options that fit their lifestyle, Smith notes. “If you are going to spend most of your time outside of the apartment anyway, then maybe it’s not important to have a lot of amenities in the apartment, although you may want the amenities in the rest of the development.”
This trend reaches the next level with co-living—apartment-sharing buildings that rent by the room. Over the summer, New York-based Common opened Common Damen in Chicago’s Ukrainian Village neighborhood. The 12-bedroom development not only offers renters fully furnished, utilities-included rooms, but also the services of a full-time community manager who plans events and outings for residents.
“There’s clearly more demand than supply, so we’re going to keep growing to meet the demand,” Brad Hargreaves, Common’s CEO, told Crain’s Chicago Business. “It’s a huge, huge market.”
Mining Digital Gold, Meeting Millennial Expectations
“We want brands to create delightful and seamless digital experiences,” says Eric Acevedo (BUS ’08), business development specialist for Solstice.
Whether you are marketing a place to live, eat, visit or shop, millennials expect brands to create authentic, customer-centric experiences for them, says Eric Acevedo (BUS ’08), business development specialist for Solstice, a digital innovation and consulting firm that helps companies develop new products and adapt to new technologies.
“As millennials, we spend insane amounts of time and money on our digital devices and connected to the internet. We expect brands to have their act together when delivering experiences digitally, and a lot of them are falling behind,” says Acevedo, a millennial himself. “We want brands to create delightful and seamless digital experiences, which includes exceptional customer service online, timely deals, relevant recommendations, savvy social media and the use of emerging technologies to bridge the gap between offline and online.
“Increasingly, forward-thinking brands are leveraging new technologies like machine learning, artificial intelligence, the ‘internet of things’ and even augmented and virtual reality to deliver delightful digital experiences and connected products driven and personalized by data,” Acevedo says. “That’s where the gold is right now, and companies are working hard to mine that gold and build digital experiences for their customers.”
Michael Friedrich (MBA ’95) began his career as a McDonald’s executive abroad with a finance internship he completed while studying at DePaul.
Like many DePaul business alumni, Michael Friedrich’s journey to career success began with an internship he landed while he was a student at DePaul.
Friedrich (MBA ’95) studied finance and marketing and, through DePaul’s connections to the business community, earned an internship at locally based McDonald’s Corp. This opened the door to a full-time job in the global food retailer’s finance department after graduation, which then led to a series of executive positions with McDonald’s in Europe.
Friedrich has served as financial controller for Western Division of McDonald’s Europe and chief financial officer of McDonald’s Italy, among other c-suite posts. He is currently a multiple franchisee who owns the biggest McDonald’s restaurants in and around Prague, his hometown. He also stays connected to DePaul by sharing his knowledge with current DePaul business students who visit the Czech Republic while on study abroad trips to find out about European business practices first-hand.
Below, Friedrich discusses how his experiences at DePaul prepared him for his career journey.
Why did you choose to attend DePaul’s business school?
I had a dream to study business in the United States. In 1992, when I completed my engineer master’s program at the Prague School of Economics, I started to work with MBA graduates from different business schools across the U.S. at the Entrepreneurship Center, a nonprofit organization based in Prague. We helped small businesses in the Czech Republic to prepare business plans, obtain financing and, in some cases, find strategic partners.
I learned from my colleagues and some future lifetime friends about different MBA programs and passed the required tests. Then I came across a possibility to qualify for the Dean’s International Scholarship at DePaul University. The program was administered at the time by Peter Chadraba, the DePaul professor of marketing, who was then working closely with the Prague School of Economics. And thus started a relationship with DePaul that lasts until now.
How did your DePaul business education help you with your career?
DePaul and Chicago are very influential in my life. In the MBA program, I chose a finance major with an additional emphasis on marketing, which provided me with a sound knowledge of finance, marketing, economics and accounting.
A big advantage was the fact that DePaul’s business school classrooms are located in downtown Chicago, at the heart of real business. Many of my fellow students worked a few blocks from our school. It brought a very hands-on approach to our classroom, as often we discussed business cases and situations that where happening just across the street.
At the end of my studies, thanks to DePaul, I was offered an internship at McDonald’s headquarters and thus started another long-lasting relationship. I met several DePaul alumni working at the McDonald’s headquarters and, actually, the CFO of McDonald’s Corp. and future CEO of McDonald’s were DePaul graduates as well.
Finally, I also met my wife in Chicago. We met at a McDonald’s finance training in Oak Brook and to close the circle, she also is a DePaul MBA graduate.
What advice do you have for other international students who may be considering enrolling at DePaul in Chicago?
DePaul University is a very reliable and knowledgeable partner for your studies. It has a great faculty with a lot of experience, and it has a unique location in one of the most beautiful cities in the U.S. It is a strong, large university, but at the same time very personal.
I have created a life-long relationship with the university and its faculty and also with many of my fellow students. I made friends in Chicago and also from different parts of the world while at DePaul.”
You recently met with DePaul business students studying abroad. What was the most important lesson about business that you shared with them?
We discussed how the world is getting more interconnected. Opportunities, challenges and issues that pop-up in different parts of the world become overnight our agenda, too. Constant change is part of our lives.
I personally value long, personal business relationships and consistency, and I tried to convey this message, too.
Finally, I shared one of my favorite quotes from a great Italian movie, “The Leopard.” “If we want things to stay as they are, things will have to change.”
MB Financial employees enrolled in DePaul’s MBA program offered on-site at the bank.
Anthony J. Gattuso always wanted to earn an MBA. Like many working professionals, however, he hesitated to add another commitment to his already busy schedule. “There was always a reason to put it off — personal and professional obligations, etc.,” he recalls.
That changed when Gattuso, a vice president and senior field credit officer at MB Financial Bank, heard about a new partnership between MB and DePaul University to bring DePaul’s highly regarded MBA program to his workplace. Gattuso now attends DePaul MBA classes with 35 of his co-workers two evenings a week at MB Financial Bank’s Rosemont, Ill., offices.
When I weighed the specifics of the program — the benefits of an on-site program with a streamlined enrollment process, and an attractive cost relative to a traditional program — it was an easy decision to enroll,” Gattuso says.
“I view the program as an opportunity to further develop my business, leadership and managerial skill sets,” Gattuso continues, “while growing relationships with others in the organization — all in a location that is convenient and conducive for balancing my professional life with my personal life.”
The DePaul–MB Financial Bank collaboration is one of 25 education partnerships that the university’s Corporate and Employer Outreach (CEO) initiative has forged with companies in the banking, health care and technology fields since DePaul launched CEO in 2013. The partnerships range from tuition discounts and professional development opportunities to MBA and other tailored degree program offerings at company facilities. In seeking partners, DePaul primarily targets Fortune 1000 companies that have headquarters or major hubs in the Chicago area.
Anthony J. Gattuso is enrolled in DePaul’s MBA program offered at his workplace, MB Financial Bank.
Employers benefit from these partnerships as much as their employees do, says Dara Crowfoot, director of DePaul’s CEO initiative.
“Hiring is returning to pre-recession levels, and companies are looking for benefits that can help them attract and retain employees, especially millennial generation professionals who place a high value on education and training,” she explains. “These educational partnerships help companies keep their best employees from being hired away.”
“Long-term,” she continues, “DePaul wants to be recognized as a solution provider for area businesses and organizations seeking to cultivate and keep exceptional talent.”
Students Expand Networks, Gain Real-World Knowledge
One big benefit of DePaul’s corporate-based degree programs is that they build camaraderie and teamwork among enrolled co-workers, who progress through their studies together as a cohort.
“I’ve found that both the professional and personal connections with my classmates/co-workers are stronger as a result,” says Dan Butterworth, assistant vice president of consumer marketing at MB Financial Bank and a student in the DePaul MBA program there.
Butterworth also appreciates the opportunity to immediately apply what he has learned to his work at MB Financial.
“The first class in our program, Organizational Behavior, has given me tremendous insight into the obstacles decision-makers face. One of my long-term objectives is to develop a skill set that improves my decision-making ability. Needless to say, the program started off perfectly for me.”
For graduates of DePaul’s corporate MBA programs, the career benefits continue to accrue.
Dan Butterworth says DePaul’s onsite MBA program provides decision-making skills he can use on the job.
Matt Ley (MBA ’16), supply chain manager at Medline Industries, earned his DePaul MBA at the global medical supplier’s far north suburban headquarters. Ley sought the degree to enhance his knowledge of business because he had not studied business as an undergraduate.
“Besides the immense benefit of networking with my fellow employees, the program afforded me the opportunity to explore, discuss and engage in multiple business disciplines,” says Ley. “I have gained the ability to discuss marketing, sales, finance, purchasing and management — topics I would have felt ill-prepared for based on work experience alone. This increased knowledge means I have a larger pool of options before me regarding future development and advancement.”
DePaul’s large alumni network in Chicago also has helped boost the success of the university’s corporate education partnerships. Alumni have served as liaisons for DePaul to connect with company decision-makers to discuss collaborations, and also have spoken about their MBA experiences with co-workers who are contemplating enrollment.
At the Walgreens headquarters in Deerfield, Ill., alumnus and product development manager Alexander Rozenbaum (CDM ’00, MBA ’14) has spoken to his co-workers about the merits of the DePaul MBA program offered there, which focuses on health sector management.
“It’s a great and convenient opportunity,” Rozenbaum says, “for our employees to participate with other Walgreens employees in a top-notch MBA program that has a diverse, cross-functional focus and takes place at their workplace on our corporate campus.”
Learn More
For more information about DePaul University corporate education opportunities, contact DePaul’s Corporate and Employer Outreach (CEO) initiative at (312) 362-6911 or corporatepartnership@depaul.edu.
Alumnus Tom Blasczyk joins the Rev. Dennis H. Holtschneider, C.M., president of DePaul, in rooting for the Blue Demons.
Tom Blasczyk (MBA ’70) was the first in his family to attend college. Then he earned an MBA at DePaul and enjoyed a successful career at Northwestern Mutual. He has traveled the world, base-camped at Mt. Everest and climbed Mt. Kilimanjaro.
Among his list of achievements is one he finds particularly satisfying: his 40-year unbroken record of annual giving to DePaul.
I believe in supporting education. My DePaul education has given me a life I could barely imagine growing up, and it feels good to know that I, in some small way, can help make that happen for young people today.”
Blasczyk grew up in a large family headed by a single mother on a farm outside Pulaski, Wisc.
“My mother had only a second-grade education, but she never tried to hold me back when I went to college,” he says. “She knew that education was the way to a better life.”
After graduating from the University of Wisconsin with a degree in accounting, Blasczyk joined the U.S. Army Reserve. Following a six-month tour of duty, he moved to Chicago to work for the accounting firm Arthur Young (now EY) and married his fiancée, Monica. He began working toward his MBA at DePaul. “I knew the MBA would be the key to advancing,” he says.
“The MBA program gave me a lot of expertise in business, but it also stressed the importance of working together with people,” Blasczyk continues. He eventually joined Northwestern Mutual as a financial services representative, and he has never looked back.
“I enjoy working on financial plans that help people achieve security and reach their goals. Without DePaul and everything I learned about finance and how to work with people, I would not have been blessed with this great career.”
He is “mostly retired” these days, and spends time traveling, hiking, biking and skiing. He and Monica, known as Todd, are still giving back. In addition to DePaul, they support the University of Wisconsin and a Catholic high school in Wausau, Wis.
“DePaul is a very important part of my life,” says Blasczyk. “Todd and I were lucky back then—it was a great time of expansion in this country. These days it is harder to get through school and get established. That’s why it’s so important to give back to future generations.”
Minimum Wage Hikes = Automation = Fewer Jobs? Not So, Study Says
Opponents of minimum wage hikes often argue that the move will only cause employers to reduce headcounts in various ways, including through automation.
To find out if this assertion is true, DePaul Assistant Professor of Economics Brian Phelan teamed up with Daniel Aaronson, director of microeconomic research at the Federal Reserve Bank of Chicago, to examine the effects of past state-based minimum wage hikes. Their forthcoming Economic Journal study yielded some unexpected results.
“Minimum wage hikes in the early 2000s did cause employment declines in occupations that involved routine tasks susceptible to automation,” Phelan explains. “Somewhat surprising to us, however, was that states that increased their minimum wages tended to experience employment growth in other types of low-wage employment that largely offset the losses in routinized employment during the first two years after the minimum wage hike.” For example, a grocery chain may cut cashier jobs after introducing self-checkout kiosks, but create new customer service positions to help shoppers navigate the system.
“Thus, while our results suggest that higher minimum wages are expediting the automation of low-wage jobs,” Phelan says, “we found that the costs of this automation on individual low-wage workers do not appear to be particularly large in the short run due to the concurrent growth in other types of low-wage employment.”
The 606 Trail Raises Home Prices and Affordability Concerns
Homebuyers are paying more green to be near the greenery of the new Bloomingdale Trail, also known as The 606, on Chicago’s Northwest Side, according to research by the Institute for Housing Studies at DePaul.
Home prices have risen dramatically around the linear park the City of Chicago opened nearly two years ago on 2.7 miles of disused elevated railroad tracks that span the Logan Square, Humboldt Park and West Town communities. Prices of single-family homes adjacent to the lower-income western half of the park jumped 48.2 percent since the project broke ground and another 9.4 percent after the trail opened. Home prices also went up in the areas adjacent to the higher-income eastern half of the park, but more modestly—13.8 percent since construction started and 4.3 percent after completion.
Rails-to-trails projects like The 606 are growing in popularity internationally because reclaimed green spaces offer many benefits to urban neighborhoods. However, rapid gentrification around linear parks can price lower-income residents out of the neighborhood, caution the study’s authors, Geoff Smith, Sarah Duda, Jin Man Lee and Michael Thompson.
“The lessons from what happened in the neighborhoods surrounding The 606 can help community members and policymakers identify, prioritize and target a balanced set of policies that will allow cities and neighborhoods to benefit from the success of public investment projects,” the study concludes, “while also preserving housing affordability and limiting the potential displacement of lower-income residents.”
Even though 98 percent of business organizations have formal policies against it, sexual harassment and other forms of aggression are a persistent problem in the workplace.
It’s a problem that Jaclyn Jensen knows well as someone who has been the target of harassment herself and witnessed its demoralizing effect on others in previous workplaces. These experiences influenced Jensen, an associate professor of management at DePaul, to focus her teaching on human resource management and her research on employee mistreatment and misbehavior.
My interest in this topic is fueled by a real desire for others (mainly women) to never be in a situation where they are treated in anything less than a respectful manner, and to help victims find proper recourse to prevent mistreatment in the future.”
“To that end, my work on incivility and harassment has investigated why employees are mistreated by their coworkers and bosses, how mistreatment affects victimized employees’ job attitudes and behaviors, and what bystanders and leaders can do to try and stop mistreatment from occurring.”
Growing up in Cleveland, Jensen initially wanted to attend medical school and become a psychiatrist. Her career focus changed at Ohio State University after she took an organizational psychology course and, as an undergraduate representative on the university’s board of trustees, saw firsthand the complexity of people management in large organizations. “These experiences opened my eyes to the blend of psychology and business in organizations and the need to be really thoughtful about people and human resources at work. It prompted me to pursue grad school in organizational psychology.”
Jensen earned master’s and doctoral degrees in this discipline at Michigan State University and then taught management courses at George Washington University for six years. She joined DePaul’s business faculty in 2012. This past fall, DePaul honored Jensen with its Excellence in Teaching Award.
Jensen says she strives to teach future business leaders that they have both the “opportunity and the responsibility to set the tone for employee conduct in the workplace.
“This goes beyond having a set of policies in an employee handbook, and is more about setting the right kind of examples both in their own behaviors and in the types of people who are hired, promoted and rewarded,” she says. “If the workplace jerk consistently gets ahead while those who treat others kindly do not, that sends a message about the kinds of behaviors that are valued.”
Leaders need to speak up about harassing behavior, Jensen advises, and hold organizations accountable for enforcing policies against it.
“If you witness this type of behavior, own your responsibility as a role model and do what you can to either help the victim, call out the bully or both. This is often easier said than done, as intervening in someone else’s personal conflict can be risky or difficult to do. However, if you’re trying to create a culture where mistreatment isn’t tolerated, intervening—even when the behavior seems to be subtle—is an important first step in preventing escalation and sends a message to victims and bullies alike.”
Alumna Jeanette Gerger used a Double Demon alumni scholarship to expand her skills.
Jeanette Gerger (BUS ’09) graduated from DePaul at the height of the recession that began in 2008. Even so, she was able to find a good job in market research due to her internships and the business skills she learned in class. Her father, a business owner and entrepreneur who inspired Gerger to study business, wanted her to join his company.
“I loved business, but my passion was in marketing,” says Gerger, explaining her decision to steer away from her family’s business and make her own career path.
After seven years working for market research and consumer packaged goods companies, progressing from account specialist and to account manager, Gerger decided she wanted to get into brand management. She noticed, however, that many of the job postings required an MBA.
While attending a career fair at DePaul, Gerger found out about the Double Demon scholarship available to DePaul alumni who return for graduate study at their alma mater.
The scholarship, plus a waiver of several courses and the GMAT requirement because of her undergraduate performance and work experience, made it a “no brainer” decision to enroll in DePaul’s MBA program. “Returning to school was a smart move for me because it allowed me to understand how to run a business,” she says. “Graduate school also afforded me an opportunity to change my career track. I am now interested in concentrating in entrepreneurship, in addition to brand management and exploring the family company.”
The Double Demon scholarship, which is open to alumni with undergraduate or graduate degrees from any DePaul college, covers 25 percent of the tuition for graduate study at the Kellstadt Graduate School of Business and other DePaul colleges and schools. The scholarship applies to alumni who enroll as part-time or full-time students. No separate application for the scholarship is necessary— all DePaul alumni admitted into a Kellstadt MBA or master’s degree program automatically qualify.
“The business landscape is constantly changing, and so our students find a lot of benefit in coming back to brush up on their skills to move up in their company or transition into a new career,” says Christa Hinton, assistant dean and director of the Kellstadt Graduate School of Business. “We truly value our alumni and are happy to offer a great opportunity to make it affordable for them to come back to DePaul.”
Joanna M. Bauza (MBA ’01) (center), president of the Cervantes Group, teaches a course in leadership at DePaul.
Since 1917, women have been studying in DePaul’s business school and carving out challenging careers for themselves. To commemorate this historic 100th anniversary milestone, six highly successful alumnae reflect on their professional lives and share advice for the next generation of women leaders.
Traversing the world and making meaningful contributions in diverse industries, these remarkable women have broken barriers and advanced their careers with sure footing on uneven terrain. Indeed, a new national initiative among more than 30 influential corporate CEOs called Paradigm for Parity launched recently to close the gender gap in business and create a new normal that brings power, status and opportunity into balance for women and men.
Meanwhile, a new book by Joann Lublin, management news editor for the Wall Street Journal, explores the stories of 52 female executives, laying bare both the progress women in leadership have made and the obstacles that remain on their path to equality on the career ladder. In “Earning It: Hard-Won Lessons from Trailblazing Women at the Top of the Business World,” Lublin found that resilience, persistence and confidence were among the most valuable traits of women executives.
The women profiled here possess these qualities and have powerful advice for women following in their footsteps:
Misty Johanson, PhD, an associate business college dean, professor and director of the School of Hospitality Leadership, has been named interim dean of the Driehaus College of Business. She is the first woman to serve as business college dean at DePaul.
“I’m delighted that Dr. Johanson has accepted the invitation to lead the Driehaus College of Business during this time of transition,” DePaul Provost Marten denBoer says. “Her nearly 20 years of experience in education, combined with her outstanding leadership skills, welcoming character and financial acumen will serve the college well.”
Johanson joined DePaul in 2009 to help establish the School of Hospitality Leadership, which she has directed since 2014. She has served as an associate dean since 2011, overseeing areas that include academic quality, accreditation and advisory council engagement.
Under her leadership, the hospitality school has earned accolades for its innovative teaching and faculty research, and forged strong ties to Chicago’s world-class hospitality industry. The Journal of Hospitality and Tourism Education recognized DePaul’s hospitality and leadership program as the best in Illinois in 2015. The J. Willard and Alice S. Marriott Foundation awarded a $1.8 million grant to the school in 2016 to create and endow a new Center for Student Development and Engagement. The center, believed to be the first of its kind in the country, provides students with professional development and mentoring opportunities with industry leaders. A new Executive in Residence program, funded by Hyatt and Lettuce Entertain You Enterprises, brings executives into the school to network with faculty, advise students and connect them with the hospitality industry.
In addition to receiving multiple excellence in teaching awards, Johanson has published more than 50 refereed scholarly articles and two textbooks. In 2015, she became executive editor of the Journal of Hospitality and Tourism Research, the hospitality field’s top research journal. Prior to joining DePaul, Johanson was a faculty member in the University of Hawaii’s and Georgia State University’s hospitality programs. She started her hospitality career with Marriott International after graduating from Michigan State University, where she later returned to complete her master’s and doctoral degrees in hospitality business and tourism.
There is nothing that drives me more than preparing highly qualified students to succeed in a wide array of business and management fields.
“As interim dean, I look forward to a continued collaboration with faculty and staff within the college, as well as our many industry partners in Chicago and our alumni.”
Johanson will continue to lead the School of Hospitality Leadership during her interim appointment, which begins July 1. The Office of the Provost expects the dean search for the Driehaus College of Business to begin in the 2017-18 academic year.
Alumnae Named to Kellstadt Leadership Roles
Christa Hinton (MBA ’98, EDD ’12) has been promoted to director of the Kellstadt Graduate School of Business, where she oversees student recruitment, admission, academic advising and career management services. Hinton has worked at DePaul since 2001 and previously led the Kellstadt Career Management Center as director and later as assistant dean. She was president of Women in Business before joining DePaul.
Jennifer Kopczynski (MED ’08, BUS MS ’17) has replaced Hinton as director of the Kellstadt Career Management Center. She previously served as associate director of the center and is an adjunct professor. She held a similar role in MBA student career services at the University of Chicago Booth School of Business before coming to DePaul. Kopczynski and her DePaul team offer a wide range of career advice and services tailored to the needs of graduate business students and alumni.
Hinton and Kopczynski say their priorities include enhancing the cocurricular experience for students and staying connected with alumni. “We want alumni to know that our relationship with them doesn’t end at graduation,” Hinton says. “We are always there for them, whether they are looking to enhance their skills by returning to earn another MBA concentration or graduate degree, are seeking career support through our networking events and one-on-one career advising, or want to come on campus to speak and share their knowledge with students.”
DePaul Joins Chicago’s 1871 Business Incubator
The Coleman Entrepreneurship Center has partnered with DePaul’s College of Law, College of Computing and Digital Media, and Office of Academic Affairs to join 1871, Chicago’s premier business incubator.
The collaboration gives DePaul students and faculty access to 1871’s events, workshops and lectures, as well as networking opportunities with industry thought leaders. The membership also has enabled professors to host classes, meetings and research presentations that showcase DePaul at the startup hub, which is located in the Merchandise Mart, about a mile north of DePaul’s Loop Campus.
DePaul’s membership includes dedicated office space in a prime spot on University Row, an area of 1871 where the University of Chicago, Northwestern University and other local universities are grouped. Last month, DePaul students mixed with students from other University Row institutions to participate in Campus 1871, a weekend-long challenge to brainstorm and pitch new business ideas. The event was a “tremendous opportunity for our students to work closely with students from the other 1871 universities to develop teamwork, creativity and innovation ideas,” says Bruce Leech (MBA’81), executive director of the Coleman Entrepreneurship Center. “It was the highlight of the year for the university partners, students and faculty who participated.”
College Hosts Fireside Chat on Diversifying Finance Industry
Business professors joined finance industry leaders in a fireside chat hosted at DePaul to explore ways to increase diversity and inclusion in the financial services field.
The “Diversity at Driehaus” talk was co-sponsored by the Driehaus College of Business and the PhD Project, a nationwide initiative that seeks to diversify business school faculties and attract more students of color to study and enter business. Assistant Professor of Accountancy Stephani Mason, one of a dozen PhD Project alumni on DePaul’s faculty, organized the Nov. 15 program for a second year in conjunction with the project’s annual national conference in Chicago.
This year’s discussion focused on the Financial Service Pipeline Initiative, an effort spearheaded by a coalition of Chicago financial services institutions and the Chicago Community Trust to attract more people of color to careers in finance.
Nationwide, representation of minorities in finance has changed little in the last two decades, according to Jamica Quillin, manager of diversity and inclusion at the Federal Reserve Bank of Chicago, who discussed the Pipeline’s goals. Industry leaders should see the issue as a long-term human capital imperative, she said, centered on recruitment, retention and mentoring of diverse finance professionals. “If we can work together, we can work significantly and with more impact,” she said.
The key to sparking change is to emphasize the positive bottom-line impact of diversity, said panelist Monica L. Walker, CEO of Holland Capital. Industry leaders need “to value diversity of thought and bring diversity of experiences to the table,” Walker advised, because it leads to better business decisions, including more effective strategies for marketing to diverse consumers.
The panelists also talked about mentors and other influences that led to their personal success. Alumnus Malik Murray (BUS ’96, MBA ’04), vice president at Ariel Capital, said money management was seldom discussed in his family and community during his upbringing. He didn’t envision a career in finance until he came to DePaul, where he encountered professors of color, as well as finance alumni who reached out to mentor him. “When you see someone who has been there, done that, it’s very powerful,” he said.
Murray said he now pays it forward by seeking to help other young minority professionals find their footing in finance. “I am passionate about getting more people of color into the business. If people don’t have access to you, sometimes they give up. So, if I can reduce the hurdle, I will.’’
