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Your Turn An Rx for the Ailing MBA Walk into any business school today and it's easy to hear the gnashing of teeth as deans, administrators, and faculty bemoan the fact that thousands of prospective students who once lined up outside their doors have van- ished. How dare they do such a thing when we thought we were doing such a great job? The number of applications to traditional full-time programs decreased at 78 percent of business schools in the 2002–2003 and 2003–2004 academic years, accord- ing to the Graduate Management Admissions Council. In fact, busi- ness schools have become their own best business case study focused on an institution's failure to anticipate complex economic forces. Business schools are facing the academic counterpart of what Ford and General Motors are facing—the public doesn't like their products as much as it used to. American stu- dents, who once flocked to MBA programs, now say it's too expensive to pay tuition while forgoing salaries. And foreign students, who once had to come to the United States for business education, can now attend schools in their home countries that have improved signifi- cantly, mostly by copying the American model. Corporations say they can hire young talent with a bachelor's degree at a fraction of the salary of an MBA graduate. So, what's the answer? First of all, get over it. Business schools are responsible for their own problems. To quote the long-ago comic-page character Pogo, "We have met the enemy and they are us." 52 BizEd JANUARY/FEBRUARY 2006 Additionally, just as GM and Ford must do, business schools must redesign their products and convince prospective customers that they offer something different, attractive, and valuable. This may already be happening. Over the next three years, about 300 business by Larry Pulley Time will tell whether some, most, or all of these schools will find the correct answer. However, necessity remains the mother of invention. If business schools are serious about change, I recommend the following five-step process for them to follow. These steps repre- sent the five central criteria that I believe will be required to stanch an enrollment drain and ensure success over the next five years. Step 1: Give business what it wants. Larry Pulley TO QUOTE THE LONG-AGO COMIC- PAGE CHARACTER POGO, "WE HAVE MET THE ENEMY AND THEY ARE US." schools are expected either to add academic programs or substantially revise their curricula, according to a 2004 survey by AACSB Inter - national. In addition, more than 50 business schools already have made significant revisions. These changes, they hope, will turn things around. The American business school evolved from being a trade school to being an institution that mirrored the model of traditional arts and sci- ences education. Some top-tier schools have morphed into bastions of theoretical research. Research is necessary, but what business schools have lost in the process is the value of teaching students how to apply complex theories to day-to-day oper- ational business issues. At the College of William and Mary, we have talked to scores of businesses and alumni, and no one has told us to stop providing quality technical knowledge about business functions. But many have told us that what they need us to do is to help stu- dents translate that knowledge into business leadership. Step 2: Blend business faculty with business leaders. Business professors are smart and highly knowledgeable. Most are excellent teachers, and many provide consulting services to businesses. However, few have sub- stantial experience in the day-to-day running of a business. Schools must offer more hands-on lessons from those who have "been there, done that." If business schools are going to be successful at accelerating their students' business readiness, they must supplement the traditional