What a year 2007 has been! Two significant accomplishments defined the Harry F. Byrd, Jr. School of Business (Byrd School) over the past 12 months. First, the business programs at Shenandoah University were granted initial accreditation by AACSB International, the world’s premier accrediting body for business degree programs. Second, construction of Halpin-Harrison Hall has now approached the point of completion with classes to begin in the new facility in January. You must come for a personalized tour to see this spectacular learning environment!  Neither of these stellar accomplishments would have taken place without a unified commitment from all Byrd School stakeholders.

I now approach 2008 with great anticipation as to what lies ahead for our school. We all understand that we are on a journey, one whose heights we still seek. On behalf of our faculty, staff and student body, I express to you our deep appreciation for your support and constant encouragement as we go about the work of building a high-quality academic enterprise grounded in our mission — “to educate students to become successful, principled leaders with a global perspective.”  To all of you, I wish you the very best during this special Christmas and holiday season.

ROBERT HEIN NAMED NEW SENIOR EXECUTIVE COUNSELOR FOR THE BYRD SCHOOL

Alumnus Robert Hein '00 is the new senior executive counselor at the Byrd School.

After completing 44 years of business experience, with 22 of those years at Airbus North America (ANA), alumnus Bob Hein ‘00 retired from a long and successful executive career in June. During his stay at Airbus, Hein made significant achievements. As treasurer and chief accountant, he started the accounting department in Rockefeller Center in New York City in 1985, and in 1987, he was part of a small group that moved to Herndon, Va., to launch the operations that continue there today. He became the first American to serve ANA as vice president for finance and CFO, generating more than $30 million in savings for the company during his years of leadership and carrying the Airbus banner to local business and professional organizations. Hein holds a BBA in accounting and finance from the Baruch College of the City University of New York and a MBA from Shenandoah University.

 As a member of the Byrd School Board of Advisors, Hein will begin his work with our students and faculty this coming spring semester. This outstanding executive will help equip students with the tools needed to navigate the future global business world. He will provide mentoring and counseling services for students, provide classroom lectures as requested by the faculty, discuss career opportunities with students, provide job-search advice as well as council students on how to be successful on the job, and he will work with the dean to strengthen external and alumni relations. Bob joins Bill Brandt, our executive-in-residence, to create a strong team of seasoned executives who can offer real-world business experience for students in our degree programs.

STUDENT INVESTMENT CLUB: DIRECT INVESTMENT EXPERIENCE FOR STUDENTS

Dr. Bruce Gouldey is associate professor of finance.

 Since many of our readers have asked 
 about the performance of our Student   
 Investment Fund (SIF), Dean Randy Boxx
 recently asked Dr. Bruce Gouldey,
 associate professor of finance and faculty
 advisor to the SIF, to prepare the following
 report.

 The SIF is a part of Shenandoah
 University’s endowment, but the university 
 doesn’t pay an investment manager to
 manage this part of the endowment. In fact,
 the SIF’s portfolio managers work for free | |
 because the portfolio is managed entirely
 by students who participate in the club. The club meets on a biweekly basis in the fall semester and weekly during the spring semester when co-listed senior-level undergraduate and graduate courses in investments and portfolio management are offered and taught by Dr. Bruce Gouldey.

While the student investment managers are not paid, their performance is very respectable. Since the inception of the SIF in 2001, the portfolio has experienced a cumulative return of 30.46 percent, which is 14.8 percentage points higher than the increase in the S&P 500 index, the SIF’s benchmark. As of September 30, 2007, the SIF had a market value of $173,664 invested in 16 individual stocks, two exchange traded funds (ETFs) and a money market fund. The portfolio is well diversified with investments comprised of 58 percent individual common stocks, 19 percent broad market ETFs, and 23 percent money market funds. The individual common stocks span 11 different industry sectors, the largest of which (15 percent of the portfolio) is services. The fund currently holds no more than 150 shares of any individual stock. The SIF also holds 100 shares in each of two iShares ETFs that mimic market indices: IVV, which mimics the S&P 500 index, and IJT, which mimics the S&P Small Cap 600 growth index.

The SIF was funded by six annual gifts to the university of $20,000 by a Byrd School alumnus for a 10-year total pledge total of $120,000. The intent of this generous gift was threefold: (1) to increase the university’s endowment, (2) to provide an ongoing source of financial support for the Byrd School, and (3) to provide students with the opportunity to learn about investing by making real-world investment decisions with real-world consequences. As described above, the students have been fulfilling their fiduciary responsibilities to increase the size of Shenandoah University’s endowment. With regard to the second objective, the SIF is supposed to distribute 5 percent of its value annually to support the Byrd School. However, until the SIF reaches sufficient size, the Byrd School has chosen to keep the distribution within the fund in order to eventually generate distributions that can have a meaningful impact on the school. Other alumni are also encouraged to direct gifts to the SIF to grow the portfolio to critical mass more rapidly. Finally, the third goal is being achieved, too, as evidenced by the fact that last year’s SIF president — having received the hands-on investment experience during her multi-year participation in the Student Investment Club —  is now working in the SIF benefactor’s family investment management company.

SIFE: BUILDING COMPETENCE IN PERSONAL FINANCE

Students from Randolph Macon Academy attend a SIFE workshop at Shenandoah University.

The following statement was provided by Dr. Bill Schulte, Sam Walton Free Enterprise Fellow and faculty advisor for Students in Free Enterprise (SIFE).

This fall, the Students in Free Enterprise (SIFE) organized a workshop for students and faculty from Randolph Macon Academy (RMA). SIFE students presented online knowledge and interactive learning modules on investing, compound interest, credit cards and smart spending to more than 40 eighth-grade student participants and four RMA teachers. After the workshop, RMA and SIFE students gathered in the cafeteria to dine and chat about business, careers, sports, culture and education. The feedback was positive.

“Several teachers were mobbed after the event by students who wanted to talk about saving money, credit cards and finance in general," said RMA faculty member Jake Layman. "Based on this action, I would say the evening was a clear success.The presentation was clear and effective, and I believe well-suited for the target age group. Furthermore, the fact that the students were able to rub shoulders with college students was an impressive experience for many of them. Without a doubt, being in a college auditorium was also a nice touch. I hope this is the beginning of a partnership between our two schools.”

According to SIFE graduate assistant and MBA student Justin Mosser, “The SIFE mission is to help create economic opportunity by teaching students about market economics, personal finance, entrepreneurship, leadership, communication skills and ethical practice.”  SIFE President Matt Orner added, “The organization is integrated within an undergraduate course, BA 422-SIFE Seminar, and is open to all majors who would like to earn credit while helping the community.”

THE BUSINESS PLAN: BRIDGING THEORY WITH APPLICATION

Entrepreneur Chris Lambert presents a business plan for Lambert’s Golf Shack.

The small business management and entrepreneurship class taught by Dr. Miles Davis, associate professor of management and director of the Byrd Institute for Entrepreneurship, requires students not only to read about how new businesses are created and the challenges they face in launching and managing them, but students are also required to develop a business plan for an enterprise they would like to start. The class bridges theory and application by requiring students to conduct all the necessary research that would be needed to present to a group of potential investors. Successful entrepreneurs and academics are invited to judge presentations and give students feedback on their ideas. The most recent judges were Dr. Tracy Fitzsimmons, SU president-elect, and Dean Randy Boxx. Several students have already launched businesses based on the work accomplished  in the class. One such business was created by Matthew Orner, a senior in the Byrd School. To check out his detailing service business, go to www.ornerscorner.com. Success stories really do start here.

ARUNDEL: 'SURROUND YOURSELF WITH PEOPLE WHO KNOW WHAT THEY ARE DOING'

Arthur W. “Nick” Arundel spoke at Shenandoah University on November 30, 2007. .

Arthur W. “Nick” Arundel, chairman of ArCom Publishing in Herdon, Va., spoke to business and mass communication students on November 30, as part of the Byrd Institute for Entrepreneurship’s Distinguished Lecture Series. ArCom Publishing owns and operates 17 weekly newspapers in Northern Virginia including the Fauquier Times-Democrat in Warrenton and the Loudoun Times-Mirror in Leesburg. During his presentation, Arundel took students back to his days at Sidwell Friends School in Washington, D.C., to his days at Harvard University, his experiences in the U.S. Marine Corps, and then his purchase of a radio station. WAVA became the first radio station that carried an “all news” broadcast format.      

“I sold the radio station because I didn’t enjoy being around the people,” said Arundel. “So I purchased a newspaper.”  Arundel also discussed his philanthropic endeavors. He explained that he once purchased the entire town of The Plains, Va., to restore it. He also helped to bring the first baby gorillas to the National Zoo in Washington, D.C. “I didn’t know what I was doing,” explained Arundel. “You won’t know how to do everything either, but you should surround yourself with people who know what they are doing.” 

Arundel also discussed his love of steeplechase horse racing, and how he purchased property north of Warrenton, Va., for the future home of the Gold Cup, later known as Great Meadows. Handling the logistics, coordinating the event and writing the above copy was Brandon Thomas, Byrd School student, class of 2009.    

 BYRD SCHOOL NETWORKING: THROUGH HOUNDS AND HORSES

Randy and Mary Boxx, Randy and Sue Jones, and Mike and Jill Halseth attend a fox hunting event at historic Long Branch in Clarke County.

Participating in a long-standing tradition for fox hunting enthusiasts were representatives of the Byrd School on Thanksgiving Day. Gathering at Long Branch in Clarke County and enjoying food, drink and conversation, the mid-day event gave way to a gathering of hounds, horses and colorful riders ready for the hunt. The well-attended event was a delightful venue to discuss the recent activities and accomplishments of the Byrd School while celebrating the tradition of fox hunting in Virginia.

 

BYRD SCHOOL ALUMNI AND FRIENDS: DOING YOUR PART

The Byrd School is committed to strengthening its reputation and identity among alumni, students, faculty, employers and the community. We want to clearly communicate our mission and vision while allowing stakeholders to take ownership in the success of the school. There are many ways that you can help, including:

·         Making regular contact with the faculty and the administration, so we will know what you are doing;

·         Participating in our Byrd Alumni Club and attending events and other sponsored activities;

·         Providing names of prospective students, so we can present the Byrd School story to them;

·         Interviewing and hiring graduates of the Byrd School for your own organization;

·         Providing internship opportunities for students who desire to add real-work experiences to their academic training;

·         Submitting names of members of your organization who can serve as guest speakers in classes and student clubs;

·         Inviting faculty for on-site presentations and students for field trip experiences in your organization;

·         Sharing the contents of each of our monthly e-letters with friends and associates; and

·         Supporting the Byrd School through financial resources.

Please contact the Byrd School’s Office of the Dean at 540-665-4572 or e-mail rboxx@su.edu to get more involved or to obtain more information about our school.