Duke Fuqua Dean Shares What He’s Learned From Apple CEO Tim Cook

During a commencement speech at Duke University’s prestigious Fuqua School of Business this summer, Apple’s boss Tim Cook spoke out on heated political issues such as climate change and economic inequality. The impassioned speech from one of the world’s most powerful technology leaders could serve as a case study for the business school where Cook earned his MBA in 1998.

His presence may also have been a homage to Bill Boulding, dean of the business school and Cook’s former teacher (though Boulding insists he had little to do with Cook’s visit), who has made educating leaders who consider their impact on society and the environment paramount to his second term at the helm of the elite school.

The boss making waves

Boulding became dean in 2011 following the departure of Blair Sheppard. The towering former basketball player speaks with a calm softness, and his disarmingly cool demeanour is only flustered by subjects that stir his passion — not least the growing influence of Big Tech and a chaotic political environment, which both test his skills as the leader of an institution that traces its roots to 1838.

Boulding – who got an MBA at University of Pennsylvania’s Wharton School before joining Duke Fuqua in 1984 – has looked to Tim Cook for advice since his former student became the CEO of the world’s most valuable and profitable company ever. Boulding laughs when announcing, “His leadership has far surpassed my own.”

“We maintain a good relationship,” he adds. “I’ve looked to Tim for advice on the many challenges I have faced in my deanship.” But what was Tim’s advice? “He said to focus on the biggest few challenges first, to not be consumed by them all at once.” The list of challenges Duke Fuqua faces is long, but the opportunities are also plentiful.

Changing the game

One big shift has been to place technology more prominently on the curriculum. Last year, Duke Fuqua launched a master’s degree in healthcare analytics, continuing the focus on tech started by the introduction of their Master of Quantitative Management degree in 2016.

But Boulding believes business schools must consider the ethical implications of technology as much as they do its merits.

Recognising the risk of artificial intelligence overtaking many low-skill jobs, Boulding says, “Students need to use data in decision-making, but we must not forget the role of human judgment as we enter into this world of technology-driven business.

“We must think before we use technology. The role of ethical judgment is co-equal with the tech itself.”

Talent from across the pond

The business school continues to be seen as one of the most prestigious schools to study at in the world. Only 22-23 percent of the 3,600 applicants to its MBA course last year were successful – which is ranked 23rd in the QS Global MBA Rankings 2018.

But there are headwinds, not least Donald Trump’s election as US President — one reason why US companies are more reluctant to hire newly-minted foreign MBA graduates.

A survey this year by the Graduate Management Admission Council – which administers the GMAT business school entrance exam – found the proportion of US firms hiring overseas graduates fell from 55-47 percent in a year.

Boulding chooses his words carefully, saying he’d like to see the Trump administration come to a “sensible” immigration policy. “If you come from outside the US, you need to win a lottery to get a work visa,” he says, referring to the H1-B visa, which is awarded sporadically and capped  for 65,000 lucky students each year (an extra 20,000 are available for master’s graduates). He adds, “The odds are against you.”

The bigger concern for Boulding is that foreigners may feel less welcome in the US due to Trump’s rhetoric about placing “America first”.

Boulding says, “There is a potential to feel less welcome. It very much concerns deans — they feel it’s a significant threat to our ability to attract the best and the brightest students.”

He believes US schools could lose out to those north of the American border, saying, “At Canadian schools, applications are going up.” Last year, QS reported that applications to some MBA programs in Canada had increased more than one-quarter year-on-year.

But protectionism threatens all business schools, he adds: “With Brexit and the situation in France and Italy, the rise of nationalism around the world is a problem. Business schools are built on the idea that global engagement is good. We can’t go back to putting up borders.”

Societal changes

Another of Duke Fuqua’s priorities is to consider how business fits into society. Business chiefs today are under increasing pressure to take a strong stance on public and political issues not directly related to their business — such as immigration, gun control and same-sex marriage.

Boulding wants to prepare future leaders for a “collision of business and politics”, via a new MBA course that deals with “CEO activism”.

He says, “Customers are demanding that we take a position. There are risks: if your employees feel marginalized, like some in the LGBT community do, if you stay silent you will lose your workforce.”

“But it’s complicated,” he adds, citing the example of Delta Airlines which came under fire for offering discounts to NRA members after the deadly shooting at Marjory Stoneman Douglas High School in Florida.

“We don’t want people to impose personal beliefs, but be prepared to make those choices to stand up for what your organization believes in.”

Boulding believes such an education can help to curb the negative perception of business since the global financial crisis. He has made it his mission to educate leaders who consider more than shareholder return.

“We have to have business leaders seen in service of society instead of their own self-interests,” he says. And with Tim Cook, he has one hell of an example.