ese annual report book 2

Eras

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2011

ANNUALREPORT

www.ese.eur.nl/annual_report

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ESE Today

Recent assessment reports show an above-average score for our bachelor’s and master’s degree courses and our research programmes, indicating that Erasmus School of Economics is regionally, nationally and internationally recognised. It is a position to be proud of, but also a position which we firmly believe we can further expand upon. The sharp focus on economics, the desire to achieve excellence (measurable by the Schools’ ranking in the academic world) and a sound financial basis are permanent fixtures on our priority list. At the same time, we actively want to build on our reputation and increase our impact.


03


This booklet gives a general survey of all the features that make up our

School. We start with an organisational chart and give the facts and figures for

2011. Furthermore, we reflect on the essence of our workforce and provide

information on our financial results and changes in personnel costs in 2011.


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ESE'

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A. ESE's ORGANISATIONAL CHART

The organisational chart shows the structure of Erasmus School of Economics (ESE) and the relationships and relative ranks of its various divisions. ESE has a clear focus on economics. It is the only school in the Netherlands which explicitly educates business economists. All academic staff is involved in both research and education, allowing ESE to thrive.

The internal ESE organisation is essentially designed per scientific section, but

also contains a matrix organisation. The organisation of ESE’s primary processes

is designed along two axes, known as the scientific axis and the educational axis.

At the heart of the scientific/knowledge axis are the departments; education

management is contained within the educational axis. ESE’s activities are mainly

organised and directed from within its four departments as well as educational

management. ESE aims to group all its fundamental research in its two research

schools accredited by the Royal Netherlands Academy of Arts and Science

(KNAW), and these are Tinbergen Institute (TI) and Erasmus Research Institute

of Management (ERIM). Both research institutes are involved in implementing

the School’s research policies. For its contract funding (education and research),

ESE is supported by a group of private limited companies which are, in turn,

part of EUR Holding BV.


05

Dean

Departmentsexpertise

Research

Education

Examination Board

Education Committees

Erasmus ResearchInstitute of Management

Education Management

Economics Business Economics Econometrics Applied Economics

Tinbergen Institute

Research Advisory Board

School Council

Administration Office ESE


4 Bachelor programmes (BSc) BSc Economics and Business Economics

BSc Econometrics and Operations Research

BSc Economics and Taxation

BSc Economics and Informatics

5 Master programmes (MSc) MSc Economics and Business

MSc Econometrics and Management Science

MSc Economics and Taxation

MSc Economics and Informatics

MSc Accounting, Auditing and Control

3 Master post experience programmes Executive master of Finance and Control

Master City Developer

Maritime Economics and Logistics

2 Research Masters (MSc) MSc/MPhil in Economics

MSc/MPhil in Business Research

Education programmes

B. ESE AT A GLANCE

This paragraph gives a condensed overview of the student population of Erasmus School of Economics (ESE) numbers, information about our staff, research programmes, affiliated institutes and financial position. Examine the statistics which are testament to the strength and stability of our School!

ESE at a glan

ce

06


2007/08 2008/09 2009/10 2010/11 2011/12

Registered students 4258 4248 4470 4648 4662

BSc Economics and Business Economics 2409 2304 2411 2437 2280

BSc Econometrics and Operations Research 363 428 452 531 542

BSc Economics and Taxation 250 267 300 310 259

BSc Economics and Informatics 234 214 153 101 52

MSc Economics and Business Economics 1245 1244 1360 1392 1306

MSc Econometrics and Management Science 131 159 184 203 242

MSc Economics and Taxation 98 96 98 101 100

MSc Economics and Informatics 139 111 112 111 83

MSc Accounting, Auditing and Control 110 196

Incoming exchange students 118 98 93 100 145

Outgoing exchange students 41 73 97 70 65

Students

Some students may be registered for more than one programme within ESE


7researchprogrammes(since2011) •Econometrics •HealthandBehaviour •InternationalEconomics •ManagementScience •ManagerialEconomics •Marketing •Finance&Accounting

Research programmes

ESE

at a

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Finance (x 1000) 2008 2009 2010 2011

Income 27,249 29,043 32,352 33,368

Results 1,683 1,518 2,151 1,694

ESE Personnel (31/12) 2008 2009 2010 2011

Number 361 405 431 452

FTE 285.7 280 295.1 305.8

Membership Research Schools (%)

Number of PhD theses

Finance

Personnel

Fellows/members of TI and/or ERIM 2008 2009 2010 2011 Target

61.2% 71% 69% 76% 80%

Number of PhD theses 2008 2009 2010 2011 Target

26 15 21 30 25


ESE at a glan

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Research Schools

Erasmus Research Institute of Management (ERIM) www.erim.nl

Tinbergen Institute (TI) www.tinbergen.nl

Collaboration with RSM and Addesium

Erasmus Centre for Strategic Philanthropy www.ecsp.nl

Associate Limited Companies

Erasmus Academie www.erasmusacademie.nl

Erasmus University Centre for Contract Research www.eur.nl/informatie_voor/bedrijven/ andBusinessSupport(ERBS) eurholdingbv/werkmaatschappijen/erbs/

ErasmusSchoolofAccounting&Assurance(ESAA) www.esaa.nl

Fiscaal Economisch Instituut (FEI) www.feibv.nl

InstituteforHousingandUrbanDevelopmentStudies(IHS,50%) www.ihs.nl

Instituut voor Sales en Account Management (ISAM) www.isam.nl

Erasmus SmartPort Rotterdam www.maritimeeconomics.com/

RegionaleEconomie,Haven-enVervoerseconomie(RHV) www.eur.nl/rhv/

Sociaal-EconomischOnderzoekRotterdamBV(SEOR) www.seor.nl

Stichting Maatschappij en Onderneming (Instituut SMO) www.smo.nl

Affiliated institutes


ESE

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Aleksandra StuipI am originally from Riga, and I started as a third-year IBEB student six years ago. I enjoyed the atmosphere at ESE so much that I decided to stay and work for this School, first as a student assistant, then as a programme coordinator for the IBEB programme, and eventually as an Education Marketing Officer at the Education Service Centre. Coming from Latvia, I can truly say that the Netherlands is a nice place to live and that ESE is a great place to work. I don’t know that many people who wake up in the morning and are as happy as I am to be able to go to work. The competency-management system makes working here even better.

FunctionAleksandra Stuip is the

Education Marketing Officer at the Education Service Centre, where

she helps to coordinate ESE's marketing activities.

BackgroundAs a member of the Education Service Centre,

Aleksandra is at the centre of all administrative processes that take place at Erasmus School

of Economics. Since the introduction of the competency-management system, she knows exactly what is

expected of her.

10

Aleksandra Stuip

Itmakesitveryclearwhatisexpectedfrom

you and what you can expect from others.

This is all put down in writing. And if you

need to develop a certain competency,

you are stimulated to do so and you are

handed the tools to actually do it. The focus

on several core competencies helps you to

focus on your own development as well.

Assertiveness

OneofthetraitsIamworkingonright

now is persuasiveness. This surprised me

at first as I thought I was already very

persuasive.However,Icomefromavery

different culture, with different visions on

persuasiveness and holding your ground in

discussions. Fortunately, each competency

iswrittendownsoyouknowexactlywhat

the organisation means by, for instance,

persuasiveness. This helps a lot in the Result

&Developmentmeetingyouhavewith

your superior. Instead of just going there

to answer questions, you can really have

a conversation on how things are going.

The system provides both the employee

and manager with a common language.

Ittakesawayalotofbackgroundnoise

in the communication process. Now, my

manager is more able to assist me in my

development. For instance, after identifying

persuasiveness as the competency I should

improve the most, I started a personal

coaching course in consultation with my

manager. I have already noticed a change in

myselfandmyreactionsatwork.

Inadditiontothat,thefeedbacktraining

we got also helped me to become more

assertive and helps me to better discuss

matters with colleagues. Instead of creating

tension,thefeedbacksystemopens

everything up to discussion in a positive

setting.

11

"Sometimes, the way others see you is so very different from the way you think people perceive you. In this sense the competency-management system can be a real eye-opener."

C. HUMAN RESOURCES ANNUAL REPORT

Our employees add up to 70% of our operating budget and are the single greatest investment Erasmus School of Economics (ESE) makes in any one resource. We would like to provide an environment in which respect, equal opportunities, and diversity are promoted, and everyone is encouraged to achieve its full potential. We aspire to create a sense of belonging and a culture in which the views of students and employees are highly appreciated. We encourage staff to take responsibilities associated with the School and to contribute to the greater Rotterdam area, on a voluntary basis or as a profession. In order to achieve a community based on these essential values, effective and visible leadership within the School is a core principle.

I. Information about ESE’s workforceThe purpose of this section is to provide an overview of the workforce of

Erasmus School of Economics (ESE). It profiles a range of key human resource

indicators including the numbers of staff with a breakdown according to

function (academic and support staff), employment type (continuing/fixed-

term), gender, age profile and nationality.

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Development of personnel 2008-2011

The past year almost all existing vacancies were filled. On the reference date,

31 December 2010, 431 people are employed at ESE. On this same date in 2011

452 people were appointed.

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Number of ESE staff 361 405 431 452

FTE (total) 258.7 280 295.1 305.1

Number of female staff 113 134 137 147

FTE (female) 78.4 88.4 94.7 99

Personneldevelopment2008-2011FTE

500

450

400

350

300

250

200

150

100

50

0

2008 2009 2010 2011


While the number of full, endowed and associate professors is staying stable,

the number of assistant professors and PhD students is increasing. Support staff

is also remaining constant. The influx in the Mature Talent project has ended,

in 2012 the last Mature Talents are expected to defend their PhD thesis. In the

category student-assistants also research-assistants are included.

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FTE 2008 27.2 14 61.1 5.4 69.4 19.3 62.3

FTE 2009 35.6 5.7 58 7.6 80.6 26.5 67

FTE 2010 34 9 64 5.8 87.9 31.5 63

FTE 2011 32.7 9.5 70.9 2 91.4 36.5 62.3

TotalFTEperjobcategory2008-2011100

90

80

70

60

50

40

30

20

10

0

Professor Associate Assistent Mature PhD- Student Support professor professor Talent student assistent Staff


ESE still getting younger

Because of the fact that last year the number of assistent professors employed in

a tenure track and PhD students has increased more than the other categories,

the average age of ESE staff is still getting younger. Last year the average age

was 38.5, now it is 38.3.

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2008 32 60 77 53 62 8

2009 40 68 79 53 56 11

2010 33 79 88 44 59 13

2011 29 86 87 44 57 13

Agestructure2008-2011100

90

80

70

60

50

40

30

20

10

0

<26 26-30 31-40 41-50 51-60 >61


II. Diversity programmesOur task as a university is to welcome everyone to join our community based

on their talents. Erasmus School of Economics (ESE) is convinced that progress

in ensuring that the composition of our staff reflects our student population

is vital to our success as a School. Diversity provides students and staff with

the opportunity to learn from students and scientists who differ from them,

encourages critical thinking, and creates opportunities to challenge stereotyped

preconceptions. It also helps us to learn to communicate effectively with people

from varied backgrounds and fosters mutual respect.

On 31 December 2011 ESE had 37 different

nationalities employed.

The number of female staff in the category assistant

professors increased from 24% to 27% and in the

category PhD students from 24% to 28%. By several

projects (i.e. mentoring programme, exemption of

teaching tasks after maternity leave) ESE facilitates

the career path of female staff. The goal is that in

due time the number in male and female staff will

get more in balance. In the support staff where

female staff is dominant, the male staff has increased

from 34% to 36%.

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Relative number of female/male staff per job category

Top 10

2011 female 1% 11% 27% 100% 28% 30% 64%

2011 male 99% 89% 73% 0% 72% 70% 36%

100%

80%

60%

40%

20%

0%

Professor Associate Assistent Mature PhD- Student Support professor professor Talent student assistent Staff

Nationality number

Dutch 342

Chinese 22

German 18

Belgian 10

Turkish 10

Italian 6

Romanian 6

Greek 4

Polish 4

Lithuanian 4


Research Traineeship Programme successful

As part of Erasmus University Rotterdam’s Diversity Programme, the Ministry

of Education, Culture and Science has awarded a substantial grant to ESE

for its Research Traineeship Programme. The aim of this programme is to

interest excellent students from different cultural backgrounds in pursuing an

academic career. In 2011, the first nine participants in the programme received

a certificate. During the 2010-2011 academic year, seven new participants

were recruited and paired with the School’s top researchers. The students

are offered a job as a student assistant and receive hands-on training in an

inspiring research environment. They also attend a three weekly seminar series

on research methods, presentation techniques, academic career prospects and

cultural aspects, relevant to those interested in pursuing academic research.

Three mature talents defend PhD thesis in 2011

ESE aims to increase the number of talented women among its academic staff.

Therefore, in 2007 the School launched the Mature Talent Project. This project

is aimed at women who already have a few years of working experience in

business or with governmental organisations, and who want to acquire a

PhD. In 2010, three mature talents obtained a PhD degree, of whom two will

pursue their career in a tenure track position (the third returned to a job in

the financial world). The last three mature talents in this project are expected

to defend their PhD theses in 2012.

Coaching programme for female assistant professors

Also with a view to increasing the number of talented women, in 2011 ESE in

collaboration with EUR, started a mentoring programme for women. Female

assistant professors can opt to have a mentor. This mentor can also be a member

of another School. Experiences at other universities have taught us that

employees are more aware of their career goals, experience personal growth,

take more targeted actions and develop higher ambitions through mentoring.

The mentors of ESE staff are also positive about coaching women, as this

enables them to achieve an overview of the specific career situation of women

and become more skilled in coaching. Mentors are associate or full professors.

Exemption from teaching after maternity leave

For women, pregnancy can lead to delays in their career. Yet deadlines for publi-

shing are firm in this phase of their career in particular. This year, ESE in partnership

with EUR, started a pilot to give female employees a partial exemption from

teaching after their maternity leave. They can use the extra time to make up the

lost research time. Four women used the pilot to get an exemption from teaching.

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Milky Viola GonzalezBefore working at ESE, I worked in the private sector and it was a bit of a change to work in a more governmental organisation. With less focus on the next money-making opportunity, I have a much better view of what I am doing, why I am doing it and for whom. I realise that my work contributes to the quality of education and research, which is more satisfying than just helping to make profits. When ESE introduced the competency-management system, I got a bit nervous, especially about the feedback my colleagues were going to give me. However, we were very well informed about the aspects of the system and were trained in the new ways of giving and receiving feedback.

FunctionMilky Viola Gonzales has

worked for the administrative office of ESE’s Department of

Economics since January 2009. As such, she is part of the communication hub for

both students and teachers.

BackgroundAs a member of the secretarial staff, Milky is one of the ESE employees

working with the new competency-management system. She sees

it as a useful tool for improving herself.

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EventhoughInormallydonotlikechange

somuch,thenewsystemallowsmetotake

more control of my own development. It

helps that the system is really well organised.

Eventually I used the system not only to

communicate better with my direct superiors,

but also to improve my communications with

co-workers.

Self-knowledge

The competency management system

provides you with specific elements of your

performance. This helps you to be consciously

aware of what you are doing and how you

aredeveloping.WhenIgotfeedbackonmy

performance, my colleague could focus her

comments on a specific competency and

provided me with concrete examples of how

Ishowedthatcompetencyinmyday-to-day

work.Thiswasarealeye-openerforme.I

notice now that I can really concentrate on

that aspect, and improve myself in a much

more focused manner than before. For me

personally,gettingfeedbackiseasierthan

givingit.Icantakethefeedbackgiventome

and use it in a positive way, but when you

givefeedback,youneverknowwhetheryour

colleagueisgoingtotakeitinaconstructive

matterortakeitasapersonalassault.

Fortunately, my colleagues here at ESE

takethefeedbackverywell.Ibelievethis

is because of the very clear structure of the

competency management system, and the

associatedfeedbacktraining.

I really hope ESE continues to offer the

training on a regular basis: at least once

ayearwouldbefinetokeepthefeedback

skillsfreshinmind.Itwouldbeashame

to let such a good initiative slip into the

background.

Milky Viola Gonzalez

"I would advise all my collea gues within Erasmus University Rotterdam to have a feedback discussion with a co-worker: it really helps you to look at yourself in a different way."

19

III. Employee health and well-being Accomplishing goals is a collective responsibility. We believe that a healthy

and positive working environment at all levels rewards staff members for

their effort, thereby making it possible for them to perform at their best.

Erasmus School of Economics (ESE) therefore wants to create an environment

which is based on mutual respect and integrity. We want to create and retain

a committed workforce and invest in a safe, healthy, supportive, caring, and

empowering environment. The idea is to create an atmosphere that motivates

all our staff members and guides them towards excellence. And by playing an

active role, we aim to successfully enhance ESE’s position as an international

centre of academic excellence.

ESE-bility day 2011 on board paddle steamer “De Majesteit”

Many members of our staff have mentioned that they consider some social

events during the year an important aspect of ESE’s community. For this reason,

every year ESE organises the Christmas Drinks. At this event, we reward excellent

staff members for their efforts and performance over the past year. This year,

we also welcomed our staff on board the paddle steamer “De Majesteit”. De

Majesteit is moored on the Maasboulevard (no. 100), and has been one of the

biggest and most luxurious paddle steamers in Europe since 1926. In 1999, after

spending decades traversing the continent as a cruise ship, on 14 June 2011,

it was transformed into a seagoing event location. At 4.30 p.m. the moorings

were cast off and the party set sail both metaphorically and literally! The boat

returned to dock at 6.00 p.m. on the Maasboulevard to pick up any academic

staff whose teaching commitments prevented them from attending from the

very start. The boat then once again took to the water, this time with a hot and

cold buffet for our staff.

ESE finished in second place on Erasmus Vitality Sport Day 2011

On Tuesday September 27th, the Erasmus Vitality Sport Day took place for

the fourth year in a row. This year there were more participants, more sport

activities, different shirts and the event was held at a different venue. After the

opening by Bart Straatman MSc (member of the University’s Executive Board)

and the warming-up, the teams rotated between the various activities, such

as indoor football, badminton, pub games, choreo and king of the hill. The

final event was a joint relay race. With the completion of the sport programme,

the participants had a break to relax their muscles and enjoy drinks and an

outstanding buffet provided by the chef of the Erasmus Sport Centre. ESE

finished in second place out of 13 teams!

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Absence management has high priority at ESE

In 2011, the absenteeism rate was 1.57%. This is a little bit lower than the

percentage for 2010 and lower than the rate for EUR as a whole (2.39%).

Traditionally, absenteeism is higher amongst support staff than amongst

academic staff. In 2011, the figures are nearly the same in both groups. The

duration of absences was longer than in 2010. This is attributable to the fact

that a small number of people in both groups of employees were ill for a longer

period of time. Within the support staff we can conclude that if we correct the

number by ignoring the long duration absence, the short duration absence has

decreased considerably. The employees who were ill for a longer period were

closely supervised during the reintegration process.

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Absense percentage ESE 2008 2009 2010 2011 (EUR) 2011

Academic Staff 1.82 1.83 1.39 1.46 1.53

Support Staff 4.09 1.49 2.81 1.82 3.47

Total 2.34 1.72 1.85 1.57 2.39

Absence percentage ESE

Absense of ESE staff due illness in 20114,5

4,0

3,5

3,0

2,5

2,0

1,5

1,0

0,5

0

2008 2009 2010 2011

4,1

2,3

1,5

1,8

1,5

1,8

1,4

1,6

2,8

1,9

1,8

1,7

Academic Staff

Support Staff

Total


Plan of action Risk Assessment & Evaluation successfully completed

In 2011, the Risk Assessment & Evaluation (commonly known as RA&E) was

assessed, examining whether ESE’s workplace poses any risks and/or whether

these can affect employee health in any way. Those measures in the Plan of

Action 2010 over which ESE has influence, were dealt with in 2011. For 2012,

specific attention will be devoted to safety and communication issues, related

to the “Working on Tomorrow's Campus” project (dealing with a substantial

infrastructural improvement).

High scores for ESE in professionalism, teamwork and fair play

Scores for professionalism, teamwork and fair play in the 2010 performance

appraisals (carried out in 2011) show that overall all three items have scored

an average of 7.9 or more. In the table below, employees have scored

departments and managers have scored employees on Professionalism,

Teamwork and Fair Play.

There are very few low scores in professionalism, teamwork and fair play. "The

argumentation for those lower scores remains very diverse and no common

factor can be observed," according to the Dean of ESE, Professor Philip Hans

Franses. Special attention was given to the lower scores in the annual discussion

of the performance appraisal reports between the directors of departments

and the Dean.

Extended opening hours for the H-building at weekends

As the extended opening hours for the H-building are very much appreciated

by our employees, ESE has decided to continue this service. Mainly our foreign

employees welcome these extended opening hours. The H-building will be open

structurally on Saturdays and Sundays from 8.00 a.m. to 5.30 p.m. throughout

the academic year.


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Year Professionalism Teamwork Fair Play

2008 Employees 8.1 7.9 8.2

Managers 8.7 8.6 8.7

2009 Employees 8.4 8.0 8.4


2010 Employees 8.3 8.3 8.5


Scores ESE 2010 in our core values


IV. Inaugural addresses and farewell lectures in 2011An inaugural lecture is a momentous occasion in an academic staff member’s

career. Inaugural lectures provide newly-appointed professors with the

opportunity to inform colleagues, the campus community and the general

public of their work to date, including current research and future plans. In

honour of retiring professors, Erasmus School of Economics (ESE) likes a lecture

to form part of the farewell ceremony. In 2010, three inaugural ceremonies and

one farewell lecture were held.

Professor Richard Paap: Let's Make Things More Difficult

On Friday January 21st, Dr Richard Paap, Endowed Professor of Econometrics

and Marketing at Erasmus School of Economics, and Research fellow of the

Tinbergen Institute and Member of ERIM, held his inaugural address entitled

“Let's Make Things More Difficult”.

The focus of the lecture was the use of the results of econometric analyses

for decision problems. The first part of the lecture discussed the importance

of correct statements about uncertainty in econometric forecasts. The second

part focused on future challenges for econometricians when the results of

econometric research are used in practice. Dr Richard Paap’s main interest is

Bayesian Econometrics with applications in the field of macro-economics and

marketing.

Professor Dinand Webbink: From Evidence Towards Impact

On Friday February 11th, Dr Dinand Webbink, Endowed Professor of Policy

Evaluation with specific focus on Strategic philanthropy, health and education

at Erasmus School of Economics, and associated with the Erasmus Centre for

Strategic Philanthropy (ECSP), delivered his inaugural speech entitled “From

Evidence Towards Impact”.

The topic addressed by this chair was determining the effects of policy and

projects in the fields of charity, health and education. The first part of the

inaugural address dealt with modern methods of measuring the impact of

policy, based on experimental or quasi-experimental research techniques. The

second part focused on the relationship between research and policy since, in

practice, research results are not always relied on when formulating policy.

Dinand Webbink also works for the Netherlands Bureau for Economic Policy

Analysis (CPB) and is programme leader at the Top Institute for Evidence Based

Education Research (TIER). In addition, Professor Webbink is Research fellow at

Tinbergen Institute and at IZA (Institute for the Study of Labor) in Bonn.


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Professor Jan Peter Balkenende: About governance and social responsibility:

what is the next step?

On Thursday March 24th, Dr Jan Peter Balkenende argued in his inaugural

address that governance is a way to help build a fair society and a contribution

to the good of the community. It is a bridge towards a world in which every

person matters, with full awareness of sustainability. A world with a perspective

that reaches explicitly beyond the demands of here and now. Professor

Balkenende advocates bearing social responsibility primarily from the heart of

the organisation: an intrinsic sense of social responsibility - not merely based

on concern for the company’s reputation. With this address, Professor Jan

Peter Balkenende formally accepted the Chair of Governance, Institutions and

Internationalization at Erasmus School of Economics and Erasmus School of

Law of Erasmus University Rotterdam. He studied Dutch Law and Economic and

Social History and is a former prime minister of the Netherlands. Dr Balkenende

has received honorary doctorates from universities in New York, Budapest,

Tokyo and Seoul.

Farewell lecture from Professor Rien van Hoepen:

40 years of jurisdiction regarding annual accounts

A ceremony was held at ESE on Friday January 14th, to commemorate the

retirement of Dr Rien van Hoepen, Professor of Business Economics and

Auditing. His farewell lecture was titled “40 years of jurisdiction regarding

annual accounts”. Rien van Hoepen graduated with a cum laude degree in

business economics from the Nederlandsche Economische Hogeschool (NEH) in

1972. In 1975 he passed his accountancy examination cum laude at Erasmus

University Rotterdam (the successor to the NEH), where he later obtained a cum

laude PhD in 1981. In 1982 he was appointed as professor of Business Economics

and Auditing. Outside the EUR, Van Hoepen has held many other positions for

several years, including formerly being a partner at Deloitte Accountants, as

well as membership of the Dutch Accounting Standard Board and the Economic

Competition Committee. Since 1986 he has also been an adviser to the Enterprise

Chamber of the Amsterdam Court of Appeal.


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V. ESE and its surroundingsErasmus School of Economics (ESE) aims to create an energetic, inspiring and

encouraging environment for its staff members, where the expression of

appreciation is part of our culture. We also like to increase ESE’s involvement in

the Rotterdam community.

Successful appreciation brunch for supporting staff

On Thursday June 9th, a number of ESE staff together with colleagues from

various support services and companies enjoyed a brunch in Restaurant Siena,

organised by ESE. The aim of this brunch was for the School to express its great

appreciation for the day-to-day work of all employees who provide important

services to ESE, such as security personnel and invigilators, GOM cleaning

staff, post and logistics staff and employees of Albron Catering. A number of

ESE employees hosted the event. Dean professor Philip Hans Franses spoke

appreciatively on behalf of ESE about the efforts and involvement of all invited

guests.

Refurbishing Weena playground near Rotterdam Central Station

On June 7th 2011, in connection with their yearly outing and organised by

Rotterdam Cares, a large group from ESE’s Administration Office and the

Education Service Centre at ESE spent the afternoon refurbishing a playground

near Rotterdam Central Station. Weena playground includes a clubhouse and

toy library where local children can play, and be themselves from morning till

night 365 days a year. Much of the apparatus at Weena playground was given

a fresh coat of paint, the playground was weeded and many other small jobs

completed; duties which the playground personnel did not had the time to do.

It was Rotterdam Cares’ first major activity.

About 50 ESE staff members set to work enthusiastically on that sunny day

and the result was smiles all around. Firstly among the participants themselves,

who gained a great sense of satisfaction from the refurbishment, but also from

those who have taken on the day-to-day management of the playground. No-

one had expected so much work to get done in a single afternoon and everyone

was very happy with the result.


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http://www.flickr.com/photos/ese1913/

http://www.flickr.com/photos/ese1913/

VI. Talent managementBuilding capacity ensures the continuous supply of talent in order to achieve

current and future goals and objectives. It is important that we have effective

recruitment strategies and that our performance management processes

include training and development opportunities as well as career development

initiatives. Consequently, interest in learning and development opportunities

remains high at Erasmus School of Economics. Under this theme ESE will enable

academic staff and senior management to develop leadership qualities, also in

relation to succession planning strategies.

Dutch Language Courses for ESE’s international staff

ESE’s staff is becoming increasingly international. The percentage of employees

of non-Dutch origin was 26.6% (2010: 24.3%) of all ESE staff as of 31 December

2011. Because some of these staff members intend to stay in the Netherlands,

Dutch language courses are offered to help them integrate into Dutch society

more easily. In 2009-2010, 14 employees followed a Dutch course and this

number increased in 2010-2011 to 35 employees; in the summer of 2011, 19

employees also followed an intensive summer course.

Introductory meetings for ESE’s new staff

In October 2006, ESE began organising introductory meetings for new staff.

A total of three introductory meetings were held in 2011. The programme

contains both an informative component, with speeches by the Dean and

Vice Dean on the history, strategy and goals of the School, some videos about

specific programmes and an interactive component with a speed-dating session

and a quiz. This is followed by a campus tour. During the tour participants

receive practical information about the facilities and residents of the campus.

Furthermore, the most interesting campus artworks are highlighted. The

programme is completed with a lunch. These introductory meetings are

evaluated positively by participants. They indicate that it is a good introduction

to ESE, the campus and their colleagues.


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http://www.eur.nl/ese/english/information_for/ese_staff/videos/

Training programmes to prepare staff members for their tasks

To prepare all staff members properly for their tasks, the Basic Qualifications for

Education and the Academic Leadership Management Course form part of the

training programme for Academic Staff. In 2011, a total of 4 assistant professors

qualified for the Basic Teaching Qualification and 6 faculty members were

exempted from the course. A total of 8 staff members attended the Academic

Leadership Management Course. A course “English for administrative staff”

was offered to several members of our support staff in 2011. Several support

staff members also attended a computer skills course.

Competence management for support staff and ‘growth’ techniques for

academic staff

After a successful pilot for competence management within the Education

Service Centre in 2010, the system was further rolled out for all ESE support

staff this year.

All staff members were informed about the goal of competence management,

and how they can use it in their personal growth and career. To gain information

about the competencies they need for their position, employees were supposed

to set out a 360˚ feedback. In last year’s pilot, employees mentioned how difficult

it is to give and receive feedback. All support staff was consequently able to

attend a feedback training course. This training was evaluated extraordinarily

well. Some quotes from the evaluation: “What a difference it can make whether

you listen well and objectively, and ask supplementary questions!” and “If you

don’t say anything, you cannot expect others to know what you want!”.

However, some form of follow-up is highly desirable and feedback training

will also be provided next year. Competence management was allocated a

prominent role within the Performance & Development interviews. To enable

managers to conduct these interviews properly, all managers were trained for

these interviews. Growth was emphasised more within the Performance &

Development interview for scientific staff. These managers were all trained in

these techniques.

Assertive and Authentic Academics

Our society is changing, people have become more assertive and this also

applies to our student population. How can we deal with them without losing

authenticity? With a view to developing more skills for keeping ahead or

showing more authority while interacting with students, this year and as a pilot,

we started the Assertive and Authentic Academics training (continuing in 2012).

Eight members of our academic staff attended this course.


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Taoying Farenhorst-YuanWhen I started working as a PhD candidate, I realised that learning Dutch would be the best way to bond with my co-workers and build up a social life here. Especially outside the university, it is important to speak Dutch to really connect to people. All foreign PhD candidates that want to learn Dutch should take the course. It helps a lot, especially to discipline yourself to do the homework. As a PhD candidate, there is always so much to do, and self-study will always end up bottom of your priority list. However, it will get even more hectic once you have obtained your doctorate, and it takes time to learn Dutch.

FunctionTaoying Farenhorst-

Yuan came to the Netherlands as a Master student and is

currently an Assistant Professor in Operations Research at the Department of

Econometrics.

BackgroundBorn in China, Taoying came to the Netherlands

as an exchange student. She started taking Dutch classes during her PhD and continues

to do so today. She encourages all foreign PhD candidates to take part

in the Dutch classes provided by ESE.

28

Even after a number of years of classes,

I still go there, particularly to improve

mypronunciation.Besidesmyworkasa

researcher, I also teach courses at ESE to

both Master and Bachelor students. Being

abletoexplainmyselfinDutchreallymakes

the difference for many students, especially

the Bachelor students.

The incrowd

ItookoversevencoursestolearnDutch,

from beginner level to advanced. Each course

involvedtwolessonsaweek.Thebestare

the intensive courses given in summer. Over

acourseofthreeweeks,weintensivelyfocus

on learning Dutch. It is a difficult language

tolearn,andittakesefforttocompletethe

courses.However,ithelpedmetoestablish

personal connections with the people around

me. For instance, before I could have a real

conversation in Dutch, when I went for

lunch with colleagues everybody needed

to switch to English. My colleagues were

veryniceandwouldstartspeakingEnglish

on my behalf, but during the conversation,

thelanguagewouldslipfromEnglishback

intoDutch.Nowadays,IspeakmostlyDutch

with my colleagues. I noticed that when

youspeaktopeopleintheirownlanguage,

the atmosphere of the conversation is very

different. You are much more part of the

incrowd.

This better atmosphere also applies to my

contactwithstudents.Beingabletospeakto

them in their own language enables me to

create a better classroom atmosphere, and

makestudentsmorecomfortablewiththe

material that I teach.

Taoying Farenhorst-Yuan

"Speaking Dutch has helped me a lot in forming social ties with collea gues and people outside the university and it also helps me to explain things to Dutch students."

29

D. FINANCIAL ANNUAL REPORT

In this paragraph Erasmus School of Economics (ESE) shares its positive financial outcomes for the year 2011. Though financial challenges remain, our results for the past year demonstrate that ESE is a financially strong institute. This provides an important foundation for achieving our goals: investing in excellence in order to develop our position among the world’s top Schools of Economics.

I. IntroductionESE ended the calendar year 2011 with a positive financial result (k€ 1,694).

ESE has achieved a reserve position of k€ 7,448 which is 30% from the budget

transferred (k€ 25,159). The financial situation is good and fits within the

midterm planning of ESE.

The development in income includes an increase in budget transferred (first

flow) as well an increase in other income. The rise in first flow budget is mainly

the result of an increase of non-EER students.

The rise in other income is the result of:

• an increase in second flow of funds (projects funded by the

Netherlands Organization for Scientific Research, NWO);

• more contract funding (partnerships with third parties);

• projects financed by private limited companies linked to ESE.


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II. Profit & Loss Statement 2011

(in Euros x 1000) 2011 2010

(1) Budget transferred

Education based funding 22,440 22,198

Matching second flow of funds 174 161

Other budget transferred 2,545 2,659

Total budget 25,159 25,018

(2) Other income

Within EUR 1,194 962

WithinEURHoldingBV 1,257 1,121

External

Second flow of funds 1,415 1,264

Third flow of funds 4,343 3,987

Total other income 8,209 7,334

Total income 33,368 32,352

(3) Personnel costs

Wages and Salaries 15,156 15,209

Pension expenses 2,025 1,924

Social charges 1,440 1,427

Other staff expenses 1,658 1,567

Temporaryworkersandclaimants 1,579 1,320

Total personnel costs 21,858 21,447

Depreciation 60 121

Other expenses

(4) Within EUR 3,146 2,686

(5)WithinEURHoldingBV 1,992 1,767

(6) External 4,618 4,180

Total other expenses 9,757 8,633

Total expenses 31,674 30,201

Result 1,694 2,151

Total 2.34 1.72 1.85 1.57 2.39


III. Balance sheet as at 31 December 2011

(in Euros x 1000) 31-12-2011 31-12-2010

Assets

Fixed assets

(7) Tangible fixed assets 206 116

(8) Financial fixed assets 110

Current assets

(9) Receivables, prepayments and accrued income 1,916 3,923

Liquid assets 10,710 7,857

Total assets 12,832 12,007

Liabilities

(10) Equity capital 7,448 5,821

(11) Provisions 17 0

(12)Long-termdebts 612 545

Current liabilities

(13) Debts, accruals and deferred income 4,755 5,641

Total liabilities 12,832 12,007

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IV. Notes to the balance sheet and the profit & loss statement

General

The profit and loss statement and balance sheet of ESE are shown. Financial

transactions with other organisational divisions of EUR and with private limited

companies affiliated with ESE, which are subsidiaries of EUR Holding BV, are

shown separately. The assets and liabilities are valued in accordance with the

EUR’s accounting principles 1.

1. Budget transferred

The budget transferred comprises the share of the government contribution

from the Ministry of Education, Culture and Science received by EUR and

allocated to Erasmus School of Economics (the first flow of funds).

The model-based allocated budget consists partly of lump-sum amounts for

teaching and research. Another part of this model-based budget is dependent

on the volume realised on certain performance parameters, such as the number

of first-year students, the number of bachelor and master degrees and the

number of doctorates awarded. When calculating the performance-dependent

amounts, three-year averages are taken. This means that the funds allocated to

Erasmus School of Economics depends on the average of the parameters over

the three years prior to the financial year.

Besides the model-based budget, ESE is also allocated the matching of EUR of

Veni/Vidi/Vici grants as budget (matching second flow of funds).

The other budgetary allocations concern amongst other things, travel costs,

non-EER tuition fees, development of minors, the so called Alpha / Gamma

funds, and just as in previous years contribution from the Executive Board to

reform ESE.

1 Reference is made to the annual financial report of EUR.

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2. Other income

The other income realised within EUR and EUR Holding BV. relates to the use of

staff of ESE in activities of other organisational divisions of EUR (Group). These

are primarily:

• Providing education for the International Business Administration of

Rotterdam School of Management (RSM) and for Health Economics of iBMG.

• Payments from the private limited companies affiliated to ESE for:

o Directorships of ESE staff at affiliated private limited companies;

o Use of accommodation and from delivery of other services (such as I&A)

o The use of ESE staff in post-initial education

and commercial research projects.

o Contributions from EUR Holding BV. for the results of supporting private

limited companies.

The income from the second flow of funds in 2011 comes largely from income

from Veni/Vidi/Vici grants and research grants for PhD/students of NWO.

ESE will continue to receive income directly from the third flow of funds. The

third flow funds come from contracts with parties such as the European Union,

but also from tuition fees, chair funding and secondments. Besides these forms

of income, the third flow of funds comprises contributions from the Free

University of Amsterdam (VU) and the University of Amsterdam (UvA) towards

the funding of Tinbergen Institute.

3. Personnel costs

The increase of wages and salaries, pension expenses and social charges increases

are primarily due to a rise in PhD’s and student assistants. There is a shift from

Personnel costs to Other expenses within EUR due to the transition of personnel

to the Shared service centre HR&F. The increase of Other staff expenses is caused

by tax measures (30% arrangement). ESE hired more external visiting professors,

financed by Alpha / Gamma financial resources.

4. Other expenses within EUR

The increase of these costs is mainly due to costs from RSM for a NWO project,

the hiring of staff from SSC HR&F (formerly wages costs), research costs ISS and

higher costs for the SSC ICT.

In 2011, 25% of these expenses comprised payments to ERIM. Accommodation

expenses paid by ESE make up 9% of these expenses, the use of other central

services and facilities make up 31%, the contribution to the University Library

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is 6% and costs from other Schools make up 29% of the other expenses within

EUR. As far as accommodation is concerned, it should be noted that ESE is

housed in a building owned by EUR. ESE only pays accommodation expenses if

it uses more than the standard floor area.

5. Other expenses within the EUR Holding BV.

These are mostly the expenses of hiring staff from the private limited companies

for teaching purposes at School of Economics. In 2011 ESE made more costs for

the development of new courses.

6. Other external expenses

About 34% of these expenses in 2011 were expenses of Tinbergen Institute

(teaching expenses for MPhil students and PhD students, as well as expenses

relating to (and for facilitating) research activities. In addition, 5% of the

expenses were IT expenses, 3% for office equipment, 16% for business travel

expenses, conference fees and representational expenses, 4% for outsourced

activities such as printing and typesetting and legal advice and 38% for other

office and general expenses.

The increase of other external expenses is mainly the result of removal costs of

Tinbergen Institute, a rise in expenses for data collection and costs for the VKS

projects.

7. Tangible fixed assets

ESE adopts the rule that only investments in fixed assets with an acquisition

price of more than k€ 12 are capitalised and written off over their economic life.

The first depreciation is made in the year of purchase. The depreciation period

depends on the type of equipment and varies from 3 to 25 years.

The book value of the tangible fixed assets covers mostly equipment.

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(in Euros x 1000) Furniture and equipment

Acquisition price 2010 745

Declineinvalueanddepreciationatend2010 -629

Book value at end 2010 116

Investments 2011 147

Depreciation2011 -57

Book value at end 2011 206


8. Financial fixed assets

These were solely loans to EUR Holding BV. to finance the equity capital of a

number of private limited companies affiliated to ESE 2. In 2011 EUR Holding BV.

has redeemed these loans.

9. Receivables, prepayments and accrued income

Receivables are valued at nominal value. A provision for bad debts is made for

receivables on external parties.

Included under Receivables are:

10. Equity capital

The positive annual result of k€ 1,694 has led to a positive equity capital of

k€ 7,448.

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2 See page 8 for an overview of the private limited companies.

3 ThedebtorsrankedasEURandEURgrouparereceivablesfromotherorganisationaldivisionsoftheEURandprivatelimited

companiesundertheEURHoldingBV.

4 The direct capital movement concerns the transfer, in accordance with university policy, of a part of the annual result of the

TinbergenInstitute,forwhichESEisthebudgetholder,tothelong-termdebt.

(in Euros x 1000) 2011 2010

Debtors external 597 576

Debtors EUR and EUR group 3 598 3026

Other internal receivables EUR 26 39

Prepayments and accrued income 695 282

Total 1,916 3,923

Receivables 2011 and 2010

(in Euros x 1000) 2011 2010

Equity capital at end 2010 5,821 3,721

Result of financial year (2011) 1,693 2,151

Direct capital movements 4 -67 -51

Book value at end 2011 7,448 5,821


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5 ThecreditorsrankedasEURandEURgrouparereceivablesfromotherorganisationaldivisionsofEURandoperating

companiesundertheEURHoldingBV.

(in Euros x 1000) 2011 2010

Instalmentsreceivedinadvanceforworkinprogress 1,064 1,453

External creditors 376 583

EUR and EUR group creditors 5 1,791 1,587

Other internal debts EUR 93 891

Other external debts 67 3

Accruals and deferred income 1,366 1,124

Total 4,755 5,641

Short term debts 2011 and 2010

11. Provisions

In 2011 a provision was made for expected losses of projects.

12. Long-term debts

These relate to the share of VU and UvA in the assets of Tinbergen Institute. This

procedure is the result of the cooperative agreement between the participating

parties (EUR, VU and UvA) which says that if the institute closes down, the

remaining financial reserves and assets will be divided among the three Schools,

in the proportion that had been adopted until then for payment of the fixed

contributions of ESE to the institution.

13. Debts, accruals and deferred income

The composition of the short-term debts is as follows:


ESE Colofon

Publicatie

Erasmus School of Economics

Erasmus Universiteit Rotterdam

P.O. Box 1738,

NL-3000 DR Rotterdam

+31 (0)10 408 1377

[email protected]

www.ese.eur.nl

Ontwerp & opmaak

SNOEKX Projectmanagement

Productie

Debondt grafimedia communicatie

Fotografie

Hollandse Hoogte,

Erik Fecken,

Michelle Muus,

Beeldbank EUR,

CanStockPhoto

Oplage

800 exemplaren

Rechten

Niets uit deze uitgave mag worden verveelvoudigd,

opgeslagen in een geautomatiseerd gegevensbe-

stand of openbaar gemaakt, in enige vorm of op

enige wijze, hetzij elektronisch, mechanisch, door

fotokopieën, opnamen of op enige andere wijze,

zonder voorafgaande schriftelijke toestemming van

de uitgever en/of andere auteursrechthebbenden.

P.O. Box 1738 | NL-3000 DR Rotterdam | T +31 (0)10 408 1377 | E [email protected]

www.ese.eur.nl

The digital version of our annual report can be found

on our website: www.ese.eur.nl/annual_report. Here

you can find more information on several subjects as

well as photo impressions and film clips. Additional

information, photo impressions and film clips are

indicated by

ANNUALREPORT

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