"A Look at Two Canadian Business Schools," by P.A.Lusztig and J. Haskett, in Canadian Business, Vol.34, No.4, April 1961., p.96
"Aims and methods of two business education programs--Univerities of British Columbia and Western Ontario."
A Look at Two Canadian Business Schools The ability to size up situations, make decisions and get along with his fellows are qualities prospective employers endorse and qualities which businessmen expect colleges and universities to instill in business school graduate. Here programs of undergraduate business education in Canada are examined-University of British Columbia and Western University-in terms of business school objectives and methods.
By Peter A. Lusztig and Jack Haskett
MANY DOUBTS have arisen in the last few years about the adequacy of higher education in the business area. Misgivings have been voiced by businessmen and educators alike. Some of these critics have painted a gloomy picture of the current situation. Several, in fact, claim business schools generally are doing more harm than good.
Are conditions really that poor? Unfortunately, there is some evidence that the situation in the United States is unhealthy.
Two major foundations, Ford and Carnegie, recently completed lengthy investigations into the business curricula of colleges and universities in the U.S. Their findings were somewhat unfavorable and their reports critical. It is noteworthy, however, that very few of the criticisms voiced by the foundations apply to Canadian schools of commerce or business administration. Our major universities have, as will be shown, striven in their undergraduate programs to keep pace with the complex economic, political, and cultural changes that are taking place today.
[The information provided here was not part of the original article. It was inserted by staff in the Business Library: The important foundation reports mentioned above and below can be found in the Business Library. They are: Higher Education for Business and The Education of American Businessmen... For a discussion of these reports, see this work by Steven Schlossman (who visited Western a few years ago when conducting research for the book) and the very useful chapter (9) "1959-1967: Midcourse Deflection-The Foundation Reports" in Daniel's MBA: The First Century. ]
Ford and Carnegie studies
Although these two studies pertain to American schools, it will be helpful to examine their findings on undergraduate business education before looking at Canadian universities.
After some three years of research, both reports, which were authored by economists and issued in late 1959, set forth what amounted to a scathing indictment of undergraduate business education in the United States. Although the reports differ in details there was a sufficient interchange of information to permit generalizations to be drawn about their findings.
The researchers found that undergraduate business schools are one of several "dumping grounds' on the typical campus. These business schools attracted the type of student who seeks the easier courses and is, on the whole, an inferior student, In several instances, particularly at smaller liberal arts schools, the teaching staffs in the area of business can best be described as second rate. Teaching methods used in business over-emphasize description of organizations, procedures and practices, and neglect the development of analytical and problem-solving skills. Little emphasis is given to principles. In the unusual situations where research is carried on it tends to concentrate on what business does. rather than why, or what it might be doing.
Additionally, the researchers charged that business schools fail to give their students a basic general education which would permit better adaptation to an environment. Many students are being graduated with but the slightest exposure to courses in English, history, the behavioral sciences and mathematics. Instead, students take courses solely in business subjects, many of which tend to be narrowly vocational, and which are keyed to a low caliber of student.
The reports propose several specific suggestions as to what must be done to upgrade the quality of business education, and prepare students for managerial and upper level professional jobs in organizations. They urge that specialization be limited to what is absolutely necessary in order that the graduate get a start. He should be introduced to a few of the functional areas of business, such as finance and marketing, and should on graduation possess a facility in accounting, statistics, and mathematics. The researchers recommend that one-half of the total subjects studied should be outside of the business area.
Even at the cost of drastically reduced enrollments, business schools should raise their standards. particularly their admission standards. They should stress analysis of business problems, encourage research that will guide business thinking, and continue their quest for better qualified teachers.
What do businessmen seek?
How do these reports tie in with the views and expectations of employers?
in view of today's complicated world of commerce, it is essential that business and industry obtain well-trained employees, some of whom should in time be capable of displaying leadership and shouldering the burden of increased responsibilities. With the reliance on colleges and universities to provide many of these trained individuals, businessmen have a considerable stake in education for business. As a consequence they have been outspoken on the subject of what they expect business schools to accomplish.
The remarks of J. A. Fuller, President of Shawinigan Water and Power, are fairly representative of the statements made by Canadian businessmen in the last few years. He says:
"At the undergraduate level, the curriculum of any School of Commerce or Business Administration should, for the major
part, comprise courses in the humanities, the social sciences, and science, especially in the early years, with specialization to
occur only in the last two years, and even then, only in the fields of economics, accounting, finance, transportation,
international trade, and so on, rather than in vocational subjects."
Mr. Fuller indicates further that industry doesn't necessarily want people trained in particular techniques of specific areas such as production, but wants men with a good sound education re-inforced by courses providing knowledge related to business and industry. Business seeks men with perspective and objectivity who are capable and willing to make crucial decisions.
University B.C.-Our schools of business are evidently giving the employer what he wants-graduates with a general education and with some specialization in a particular area of business.

J. R. White, a former president of Imperial Oil, thinking along much the same lines, said that industry seeks people "who can think, people who understand the philosophy as well as the mechanics of their particular occupation. If men are to go to the top, it is clear that their university experience should include a lot more than the mere techniques of their trade, important though these may be."
In the United States, a recent survey of top executives conducted by the Harvard Business Review revealed considerable praise for the merits of liberal arts training. At the same time, however, the executives recognized the dangers of broad but shallow education, particularly education which left the student with little conception of the actual business world. The respondents recommended, therefore, that some specialty be chosen to supplement the liberal training. This explains in part the inconsistencies of recruiters who praise the generally educated student but actually seek out the business specialist when hiring.
Clearly, then, what the business community wants and expects of business graduates is some comprehension of the world in which they live, blended with an understanding of the complexities of business. The ability to size up situations, make decisions, and get along with his fellows are qualities prospective employers endorse, and qualities which businessmen expect colleges and universities to instill in business school graduates.
By analyzing the two larger programs of undergraduate business education in Canada-those of the University of British Columbia and of Western University-one acquires some idea of what our business schools are attempting to achieve.
The two universities are employing different methods to attain what appear to be common goals and objectives. These two institutions are not necessarily typical of Canadian business schools. Other universities, because of a limited side of faculty in the business area, do not offer the diversification of courses found at UBC or Western University.
University of Western Ontario
The views of Western University's Associate Dean. Walter Thompson, on the paramount importance of problem-solving skills and administrative attitudes, reflect the philosophy and goals of that university's School of Business Administration, which graduates about 65 students annually. Heavy emphasis on the case-method of instruction, designated course work in all of the major disciplines, and attempts to screen and select students who will be receiving the degree of Bachelor of Arts in Honours Business Administration are highlights of the program.
By requiring, over a period of four years, proficiency in the equivalent of 24 full year courses above the senior matriculation level, and by requiring that at least half of these be taught in the Faculty of Arts and Science, UWO expects that the business student will obtain the combination of a liberal education, and administrative point of and a body of knowledge and techniques to business. While certain course work is of all students, there is some room for selection concentration in the second, third, and fourth years of study.
During the first two years of the four year program, the student enrolls in University college Admission to the third year is granted by the School of Business Administration, subject to completion of the first two years with an overall average of 60%. Advancement to the final year is further restricted. In addition to requiring a completed third year with an overall average of 60%, the applicant must have at least 66% in one business course with not more than one business subject below 60%. When combined with limitations on the writing supplemental examinations, Western Ontario feel these restrictions do weed out the weaker students.
Looking at specific course requirements, in his first two years the student will complete one course in each of:
Mathematics
Foreign language
Psychology
Economics
One of History, Political Science, or Philosophy
One of Botany, Chemistry, Geology, Physics, or Zoology.

Dean Perry of the Faculty o Commerce, UBC, heads a school professional in its' outlook.
He must also complete two courses in English, an introductory course in business, and a course in accounting. Finally, he will select two courses which will either build on the required courses in the Faculty of Arts and Science, or be in other elective fields. If concentration in the required areas is not pursued at this stage, it will be required in the remaining two years.
In the third year, which is looked upon as a "platform year", the student is required to take courses in the "core" areas of business administration including studies in the subjects of marketing, business finance, production management, control, and administrative practices. A sixth course is to be completed in Arts and Science geared to meeting either the optional or concentration requirements as described above.
The fourth year prescribes one course in executive problems and a final course in Arts and Science. In order to provide an opportunity for work in depth in one of the major fields of business, the student is expected to take the equivalent of four full year courses from among the optional half-year and full year courses offered by the School of Business Administration. The choice available is wide and diversified, ranging from offerings in investment management and personnel administration to courses in marketing research and auditing. As indicated earlier, the case method of teaching is used in an attempt to avoid too much description, and emphasize instead both problem solving and the analytical.
There has been a rapid growth of research at Western's Business School, much of it the direct consequence of an expanding and well-run graduate program. Through encouragement and assistance to younger members of the teaching staff, an ever increasing percentage of the full time faculty members hold earned doctor's degrees and the trend can be expected to continue as those on leave and attending major U.S. institutions return.
University of British Columbia
In the West. UBC's Faculty of Commerce and Business Administration annually grants the degree of Bachelor of Commerce to over a hundred students who complete a program of study conceived in the last decade by its former Dean, Dr. E. D. MacPhee. The underlying philosophy is similar to that of Western. One of Dr. MacPhee's earlier statements describes this philosophy:
"On the one hand, it is expected that graduates from this School will be familiar with the principles and techniques of those
who are dealing most successfully with varied problems of business: organization, development, control, and social
responsibilities. This is the professional or technical aspect of the work of the School, and the School is definitely and frankly
professional in its outlook. On the other hand its graduates must have an intellectual and cultural background to enable them
to deal constructively, as businessmen and as citizens, with the social, political and legal problems of their times and
environments."
After an initial year in the Faculty of Arts, (the equivalent of senior matriculation), the student enters the Faculty of Commerce for a period of four years, taking six courses a year. In accordance with UBC's philosophy, the curriculum is organized so that between 40 and 50% of the work in these four years consists of courses in the Faculty of Arts. A quarter of the students' time is devoted to "core" courses in business designed to secure breadth and a common body of knowledge for all B. Corn. students. The remaining time is allowed for work in a field of specialization, the intent being to give the student depth of knowledge in an option area. There are 14 options the student can chose from, including accounting, marketing, public administration, finance, industrial relations and estate management.
Western Business School's Dean, Fred W.P. Jones, emphasis on problem-solving skills and administrative attitudes, reflect the objectives of the school's curriculum.
Prescribed Arts courses include a year each of English and statistics, and in most options, a year of mathematics or psychology and geography or political science. At least two and generally three of economics are also required. The core courses in Commerce include two courses in accounting and one each in introduction to business, marketing, industrial organization, finance, commercial law and policy. A thesis representing independent study and research, along with a non-credit course in public speaking, are additional requirements to be met before graduation. In his non-business electives on one or more of the prescribed Arts courses.
The case method of teaching is used very sparingly, and only in the latter two years. The majority of UBC's faculty feel that while the case method approach is of great value in working with graduate students or people possessing some business experience, and while it is a useful adjunct to lectures, it should not be relied on in an undergraduate program. The average student at this level does not possess, nor can he be relied upon to obtain on his own, the theoretical knowledge necessary to make detailed and useful analyses of case problems. In this particular area of pedagogy, there is a clear divergence between Western and British Columbia.
Maintenance of standards
UBC does not specify any percentage requirements for advancement by students within the Faculty of Commerce. By maintaining standards in each course and by limiting students to only one supplemental examination, less than one-half of those enrolling in first year commerce ever receive a degree. Thus while weaker students can on completion of first year Arts, enter Commerce, it is highly improbable that they will graduate. Volumes are being added each year to existing books and monographs. Further funds are slowly becoming available, through industry grants, to finance advanced study and research by staff members.
Concerning research and library facilities, notable strides are being made at UBC. With the generous help of various sectors of the business community, including the life insurance industry, hundreds of volumes are being added each year to existing books and monographs. Further funds are slowly becoming available, through industry grants, to finance advanced study and research by staff members.
Three major considerations are likely to influence the direction in which Canadian business schools will move. To begin with, the increasing importance of mathematics and statistics in modern business necessitates a reappraisal of existing course work in the quantitative areas. Because of a lack of any comprehensive background in mathematics, on the part of most faculty members, this urgently required review is in some instances being deferred and in other situations progressing far too slowly.
The charge by employers that business graduates often lack the ability to communicate is not likely to be overlooked by educators. As R. Evans of Canada Packers (Vancouver) indicated in an interview, executives usually come in contact with recent graduates only through the medium of written reports. It is probable that increasing emphasis will be given to courses in English, or failing that, to report writing in business courses themselves. However, no overall extension of work in the Faculty of Arts is anticipated. There is increasing recognition of the fact that the manner in which a course is taught, not the label, determines the extent of its liberalizing values.
Businessmen are beginning to realize that a knowledge of human behaviour is just as essential to a graduate as is a knowledge of economic principles. It is no longer sufficient for a businessman to understand only the operation of his firm: he must also know something of the people with whom he works: his associates, suppliers, and customers. In view of this, business schools will increase their stress on courses in the area of psychology, sociology, and human relations. Theses courses may be offered either by the Arts faculty or the business school.
Use of case method
The major divergence between Western and UBC is in the use of cases. What is the future of the case method in Canada? On the one hand, there is no denying its value as a teaching device to the more mature undergraduate. On the other hand, however, its weaknesses are very real. With the advent of larger classes - the direct consequence of high enrollments and a shortage of qualified instructors - the problem may not be resolved for some time. At this point it is impossible to state unequivocally which method is superior in terms of results that are obtained.
It would appear that Canadian businessmen do not face the problems of their American counterparts. Our schools of business are giving the employer what he wants - graduates with a background in general education with some specialization in one area of business. Further communication between industry and educators would benefit all concerned. It is particularly important for academic staff to keep abreast of changes in business thinking.
This article was scanned from the original print copy of Canadian Business which can be found in the Business Library. Those who plan to use any portion of the material provided above, should see the original magazine to ensure that the material has been scanned and transcribed accurately.
Business Library Staff