Washington, D.C. and Baltimore were both recently named among the top 10 best cities to launch a business (No. 6 and No. 10, respectively) by Fortune Small Business magazine and the Kauffman Foundation. With the Baltimore-Washington region so ripe for startups, it’s no wonder the state of Maryland is supporting technology transfer initiatives to get commercialize research innovations discovered at universities and federal laboratories.
Smith Business Close-Up
On-the-job experience can be a powerfully transformative tool for professional growth—in fact, research indicates it may be the primary vehicle for learning critical leadership skills. Many companies use job assignments to groom high-potential managers, but what kinds of experiences are really valuable for developing manager potential?
In the wake of the financial crisis of last fall, the Obama Administration appointed “pay czar” Kenneth Feinberg to work with the Department of the Treasury to sort out the way top executives at firms are compensated and what reforms should be made. Just last week, Feinberg came out with a plan to drastically slash compensation at seven companies bailed out by the federal government. But is focusing on reforming executive compensation barking up the wrong tree?
The trend of businesses going online forming more and more services is nothing new, but the number of online marketplace is increasing at a rapid pace, even in the current economic downturn. These marketplace Websites can help businesses accomplish tasks as varied as outsourcing work, recruiting employees, finding service providers and buying supplies. Although this trend has pre-bubble origins, the current recession has seen an increase in marketplace sites that power these marketplace and increased business adoption.
In 1980, the average CEO’s compensation was about 42 times what the average worker was paid, and by 2007, CEOs received about 344 times the average worker salary. There’s a debate over whether this ballooning of executive compensation is a failure of corporate governance, evidence of abuse of power, or just a reflection of market forces -- that top CEOs must be paid top dollar, or they’ll take their (presumably irreplaceable) talents to other organizations. But how do companies arrive at these astronomical sums?
About the University of Maryland's Robert H. Smith School of Business
The Robert H. Smith School of Business is an internationally recognized leader in management education and research. One of 12 colleges and schools at the University of Maryland, College Park, the Smith School offers undergraduate, full-time and part-time MBA, executive MBA, online MBA, MS in business, PhD and executive education programs, as well as outreach services to the corporate community. The school offers its degree, custom and certification programs in learning locations in North America and Asia.