Farewell but not goodbye

This morning we departed Munich and took a high speed train, reaching speeds of nearly 300, kph to Frankfurt where we switched trains and continued on to Mainz. Several of the group gathered around a laptop to watch “The Sound of Music” bringing home yesterday’s tour of Salzburg. Some are making last minute plans for extended stays in Europe while other’s talk about opportunities for us to stay connected after we get home.

Watching The Sound of Music Manj, Angela, Katrina and KierstenWatching Sound of Music Anna, Kaila, Curtis, and Cody

Train speed display

When we reached Frankfurt, we had 11 minutes to get from one end of the largest terminal in Germany to the other in order to catch our next train.  It seems perhaps that we have learned something about German efficiency though. After a highly organized deployment of our strategy we got to the next platform with seven minutes to spare.

This evening was our farewell dinner. We gathered at the Eisgrub-Brau, a micro brewery that was formerly a storage facility for ice. Before WWII ice was taken off the Rhine in the winter and stored in this facility so that locals would be able to refrigerate their fresh food year round. We were taken on a tour of the brewing facility and then enjoyed yet another authentic German meal.  After dinner Hanna, Rustom, and Peter made some informal presentations and we headed out for a night on the town led by Peter including dancing at a popular club.

Hana presenting fun awards

Rustam thanking Peter and Trish on behalf of the class

Peter sharing some final thoughts

Thanks for the memories.

BMW to Wolfgang Amadeus Mozart Entry 8

Tuesday

What do you think of when you see BMW, performance, quality, mystique? BMW has been a family business since 1916. On Tuesday morning we had the privilege of touring the BMW production facility where our charismatic guide Volker, engineer turned tour guide, brought to life the production process from stamping the steel to final quality checks. The highly automated procedure involving finely tuned robotics was the highlight of the trip for several students. We were not able to take pictures inside the production facilities but here some pictures from BMW World. We send our thanks to Volker who did an excellent job of bringing the BMW brand to life for us.

Anna and Kaila

Paul

In the afternoon we were hosted at TUM University in Munich where we listened to a presentation “Listed family firms in Germany” by Prof. Dr. Ann-Kristin Achleitner. She informed us about the development and implementation of the DAXplus Family (30), a new German stock index that tracks the performance of listed family firms in Germany. We also heard a presentation from Julian Carolin Schmid. She presented her Bachelor thesis research on the effectiveness of leveraging family in the branding of family firms. Thanks to our hostes and presentors at TMU.

In the evening we got as close as we could to experiencing Oktoberfest at the Hofbraeuhaus. In this case pictures speak better than words.

Haufbrauhaus

Keven and Tabea

Wednesday
Bright and early on Wednesday morning back at TUM, Peter led us through a reflection on the course material and trip highlights. We each had an opportunity to express our thoughts. It was a moving experience to hear many of us talk about life shaping experiences we have had over the last 11 days. Proof that the trip has already been a great success and it’s not over yet. Thanks Peter.
In the afternoon we had a generously candid presentation from Michael Muller owner of BRANDT a custom textile print and design store. Following the presentation we toured his retail outlet where many of us took the opportunity to purchase unique and high quality products.
In the evening we were treated to our 5th group dinner at Loenbraeu, A well known Bavarian beer house in Munich. Joined by our new friends from TUM and Michael, we enjoyed traditional dishes such as wiener snitzel and pork knuckle accompanied with large servings of beer.

Today we took a train to Salzburg Austria, home city of the famous musician and composer Wolfgang Amadeus Mozart. We toured to the old town and Hohensalzburg Fortress, one of the largest and best maintained castles in central Europe. Most of us took the opportunity to enjoy Mozartkugel, fine hand crafted chocolates, a Salzburg delicacy since 1890.

Peter and Trish

Signing off for now,
Keven

From Koblentz to Heidelberg to Strasbourg to Munich – Entry #7

Saturday

We’ve done a lot in the past few days. We left our first European “home” on Saturday and traveled by bus to Heidelberg, a gorgeous city that offers much of the architecture and scenery that many think of when they think of Germany at its best. Heidelberg escaped being bombed in the second World War, because it wasn’t a strategic target. Today, one in five of its population is a student.

(Around the table, from the left) Rustam, David, Kevin, Angela, Kiersten, Curtis, Chris, Keven, Paul, Haily, Katherine, Katrina, Manj, and Allan

(Around the table from the left) Tabea,Anna, Megan, Kaila, Arrakis, Stephanie, and Matt

(Around the table, from the left) Santiago, Ruth, Brenda, Linda, Trish, Hana, and Peter

After the group lunch, we were free to roam around the city. Some did the “Philosopher’s Walk,” which is the most famous hiking trail in Germany. It owes its name to students who discovered it as a romantic walk; students were required to take philosophy as part of their university studies. Others strolled along one of the longest pedestrian streets in the world. It was lined with pastry, coffee, and gelato shops, along with a vast selection of other retail shops characteristic of this region. This spot is known as one of the most romantic in Europe.

Other students roamed the “Kasse Schlosshof” and the bridges crossing the Neckar river. Pictures simply don’t do this spot justice.

View from castle

Our "Charlie's Angels"

After the tour, we were back on the bus and headed for France and our final destination, for the day, Strasbourg. Strasbourg is in the region of Alsace, and is considered to be “half German and half French.” After quickly getting settled into our rooms, we went to the center of Petite France to do some sight-seeing and to have dinner.

While our group was walking en masse, we noticed a gentleman dressed as a pig with a sign hanging around his neck. It looked like he was soliciting money, or something doing something illegal, because he was soon approached by four “policier” on bicycles.

Our group moved on—except for one of our MBAs, Chris—who was apparently quite captivated by the pig incident and got left behind by mistake. After a brief, but very real sense of panic, she ran across some of our people and recovered nicely over a plate of pasta. We’re so glad we didn’t lose you, Chris!

Others in our group enjoyed dinner in a square that featured an ornate carousel. A handful of our BComms even sampled the escargot (they said it was good!). After dinner, students went back to the hotel or explored clubs, pubs, or crêperies before turning in for the night.

Kaila and Anna

Sunday

Sunday morning was ours to explore Strasbourg. A highlight for students was the Strasbourg Cathedral. As it was Sunday, morning mass was being a held, and a couple of our students attended services. Most students climbed the stairs to the top of the tower and were rewarded with a spectacular view of the city, along with a marathon that was being held that morning. Runners passed right beneath the cathedral. Both the runners and non-runners in our group were inspired by the entire experience.

Everyone enjoyed having some free time to explore.

(Around the table, starting from the left) Katrina, Hana, Manj, Angela, Santiago, Kevin, and Ruth

Most shops are closed on Sundays; however, a handful were open. Students took advantage of this opportunity to shop for some treats. Those of you back home… you might be lucky enough to receive something tasty from this candy and cookie shop.

After reassembling at our meeting point (the hotel) we went for a tour boat ride and learned more about the history and modern happenings of the city. Mid-way through the ride, it started to rain heavily. We were then very grateful for the fact that our particular boat was covered.

Allan and David in the foreground; Megan and Kevin in the background

However, when we disembarked, it was still raining pretty hard, and our group either bolted for the hotel, which was a 15-minute walk away, or sought shelter to wait out the storm.

Later that evening, we went for a pre-arranged dinner a local restaurant. There were three plates to choose from—selected by the restaurant owners as their finest dishes—and we weren’t disappointed. The presentation and flavours were amazing—c’est formidable!

Option #1

Option #2

Option #3

“Mutterthe,” or Mother’s Day as we know it, was celebrated by locals. Our group also remembered our mothers, or shared stories of their own as mothers. Some were fortunate enough to arrange phone calls with loved ones at home.

We appreciate our mothers and wish we could be together to celebrate you properly, but we hope your Mother’s Day left you feeling loved, regardless. (E, B, and W: I am so glad to be your mom. It is the best job in the world, with so many benefits. You are a joy and delight. XOXOXO. Mom: I love you!)

Monday

We loaded the bus first thing in the morning and headed for the European Parliament, which is headquartered in Strasbourg. Together with the European Council of Ministers, it forms the bicameral legislature of the European Union. Elected by its members, the Parliament currently has 736 seats, representing the 27 member states. Communications (session activity and official documents) are conducted/written in 23 official languages.

The architecture itself is impressive. It is full of symbolism and innovation. The Louise Weiss building commemorates the former MEP, who at age 86 was the oldest elected member at the time (1979). She played an important role in women’s rights in France.

We toured several parts of the building, including the parliamentary chambers and took in an informative presentation. Thank you to our hostess and the presenter.

Then, we were off to Munich, on a six-hour bus ride (with a couple rest stops in between). Those who didn’t use the ride to catch up on sleep, enjoyed some fabulous scenery.

Student and ECB Presentations – Entry #6

My friend and fellow MBA student, Keven McGhan, has graciously agreed to fill in for me once in a while with the blog. Our field trip today to the European Central Bank seemed like the perfect opportunity, as Keven wrote a paper on the subject for the benefit of the entire group. (Each student on the trip was required to write and distribute a paper that provided background information on one of several topics related to the various places and activities we would be taking in on the trip.)

(Keven) Thursday morning provided an opportunity to learn from the expertise and experience of Professor Klein and her brother. This dynamic duo presented their story, the Rau Case. Thank you for your candid remarks and for teaching us the importance of communication before and during difficult times.

Following three days of intense study and preparation, we were called upon to present our case studies. The case revolved around the idea of private equity firms taking advantage of unique opportunities to buy family businesses in Germany and flip them for short term profits. Each group represented a different stakeholder, union, private equity firm, or government ministry, and advocated for that stakeholder. The quality of the presentations was very high. Insightful and creative solutions were provided. My colleagues embraced the project and maximized the learning experience thanks to you all.

As we prepare to travel to our next location we send out a big thank-you to our excellent hosts at WHU.

Brenda, Anna, Paul, Lindsey, and Arrakis presenting

In the evening we took advantage of an opportunity to unwind. Various groups enjoyed different options to relax and enjoy bonding experiences the group is definitely gelled.

What’s going on with Greece? Timing could not have been better for a trip to the European Central Bank. With Greece on the brink of bankruptcy, The European Union is working to implement solutions but the process will be painful. Stock markets around the world have reacted definitively with US markets experiencing the largest single day point loss in history.

Lindsey, Megan, Kaila, Arrakis, Anna, Brad, Ruth, and Cody

Katrina, Katherine, Hana, Kiersten, Manj, Angela, Linda, Haily, and Brenda

Today we sat in the very conference room where European Central Bank board members meet the 1^st and 3^rd Thursday of each month to establish and implement monetary policy on behalf of the member nations.

View from the 36-floor conference room

Kaily, Anna, Matt, Lindsey, and Brad

After clearing security, much like an airport, we were fortunate to experience two one hour presentations. The first from Niels Bὓmemann, Principal Press Officer, about the history and operation of the ECB and a second by José Marin, Head of Euro Area Macroeconomics, about the analytical tools and methods used to establish direction for monetary policy. In answering questions from students, the presenters gave the impression that the advantages for Greece of belonging to the EU, in their current situation, outweigh the disadvantages. The road ahead for Greece, and probably Portugal and Spain, will be difficult.

Cheers for now.

Keven McGhan

(Tabea) One other very important event took place today. We celebrated the birthday of our brave leader, Peter. All the best to you, from the entire group!!!

Birthday boy

Riesling, Chemicals, and Klosters – Entry #5

Yesterday, we had classes in the morning at the WHU, followed by an afternoon of preparing for group case presentations, due two days later. Our larger group has been divided into six smaller ones, each assigned to consider different issues from three different stakeholder perspectives. The clock is ticking and students are working hard to analyze the case from all angles, pull out the relevant details, build arguments, and then craft their actual presentations.

After the work session, we were rewarded with a wine tasting presentation by Andrea Ebert who, along with her husband, Christian, owns a second-generation vineyard that first belonged to her father-in-law. Weingut Schloss Saarstein is world-famous for its award-winning Rieslings. We learned a great deal about wine making and got to sample seven different vintages. Andrea was informative and entertaining; it was a real treat to be able to sample such choice wines. After the formal tasting, we nibbled on an assortment of hors d’oeuvres.

Ruth, Santiago, David, Katherine, Manj, Hana, and Kiersten

Andrea Ebert

The Group

Today, we got on a bus early in the morning for a trip to Darmstadt to visit the 12th-generation family pharmaceutical and chemical company, Merck. Founded in 1668, Merck does pharmaceutical research in the areas of neurodegenerative diseases, oncology, fertility, and auto-immune disorders, and then brings pharmaceutical products to market, a process that takes 12-15 years and that can cost millions per drug.

Students enjoyed a tour of Merck’s facility, courtesy of Ulrike Strobl. She spent the better part of the day with us, and she was a gracious and informative host. The tour included a presentation on the family business history, given by CEO, Jon Baumhauer. He pointed to several factors that contribute to the success of the family business and business family, including innovation, dedicated employees, congruency of family and business values, family involvement in the business based on merit versus entitlement, and philanthropic activities. There are currently 221 family members.

The Group, at Merck

Trish Reay, Jon Baumhauer, and Peter Jaskiewicz

Besides pharmaceuticals, Merck produces chemicals, including ingredients in cosmetics, as well as liquid crystals used in TVs and mobile devices. Merck has captured 98% and 70-75% of the TV and mobile device markets, respectively.

From Merck, we took another ride to the Kloster Eberbach Monastery. Founded in 1136, it was the first Cistercian monastery on the east bank of the Rhine. It is also known for its economic activity, as the monks operated a successful vineyard and winery for many years. Rebuilt several times after wars, sieges, and floods, the monastery now offers wine tasting tours and is also the prime venue for the Rheingau Music Festival. On our tour, we visited the church, the dormitory, “Chapter Hall” (where chapters of their rules were read and recited), the dining hall, and the wine cellar. The architecture and stories associated with each room left an impression on the group.

View of the Church

The Dormatory

The Kloster Crest

The wine cellar

Paul, Tabea, Keven, Hana, and Katherine

After a bus ride back to the hotel, students were tired—even those who nodded off during the bus ride—but they persevered and continued to work on their group presentations for tomorrow. Just a few more hours before this project will be complete!

Koblenz and Area – Entry #4

Stephanie

Haily, Chris, Alan, and Katrina

Tabea and Angela

We’ve had two full days in Koblentz (near Frankfurt) now. Yesterday, we visited Ruedesheim, a quaint town with a lot of history. The entire group took a funicular ride up a vineyard-lined hill to visit a national monument (pictured) and to take a scenic walk through the forest. Beautiful! We traveled back down and had just enough time to grab a bite and then do some sight-seeing in the town. Options included the wine museum, the torture museum—seeing other people’s photos of that attraction was enough for me!—and a number of shops and narrow cobblestone lanes.

After the tour of town, we took a boat ride along the Rhine and were able to see a number of castles on the hill, one “repurposed” as a youth hostel. It was a wonderful vantage point. After we disembarked, we walked to the Loreley cliffs, and climbed what seemed like a thousand stairs to get to the top. The view was well-worth the effort. We got a few photos of the “A” and some of our group. Megan and Lindsay, some of our BComm students, are pictured below with a view of the Rhine behind and below them. After that, we were bussed back to our hotel. It was a wonderful day of sight-seeing, exercise, bratwurst, beer, and story-telling.

Today, we became students again and spent the day at WHU, the Otto Beisheim School of Management, taking in lectures on family business. WHU is located in Vallendar, which is at the junction of the Rhine and Moselle rivers. The school was established in 1984 as a privately sponsored university-level management training program.

Michael Frankl

Dr. Frankel and Dr. Jaskiewicz

After being welcomed by the Dean, and one of Germany’s top economists, Dr. Michael Frankel, we first looked at what makes family firms unique, and then some of the influence a family has on its business and vice versa. After a delicious lunch, we took in another lecture, this time on how the total value of family firms needs to be considered in more than just financial terms. Emotional, or personal, value plays an important role in family business as well. Many families are in business to do more than just make money; they might be looking to leave a legacy, impact their community, or build a future for next generations, for example.

After the classroom sessions, we were on the train and back to the hotel to eat and to work on a case study that students will present on, in groups, later in the week.

En Route… and At Our Destination – Entry #3

At two o’clock this afternoon (Friday, MST), we all met at the Edmonton International Airport, apart from a handful of students who decided to extend their trip by going ahead of the group. After an uneventful trip through security, we flew at 4:00 p.m. to Calgary and then lifted off toward Frankfurt just after 6 p.m. Dinner service has just ended. We had our choice of chicken or beef pasta. I went with chicken and have no regrets.

Over dinner, I had a conversation with two MBA students I haven’t really met before, Manj and Santiago. They are both in the full-time MBA program (while I am in the part-time program). Manj has a background as an RN, and she plans to go back to the same field when she finishes her degree next April, but with more emphasis on the corporate side of health care. Santiago is here from Mexico, and he is taking the Sports and Leisure Management specialization within the MBA program. He plans to go back to Mexico and become a social entrepreneur, launching a sports program designed to get low-income youth involved in sports. He envisions enlisting corporate sponsorships of basketball tournaments, for example. More than as a place to hang out, Santiago’s goal is to establish a place where kids can get the benefit of sports discipline and team spirit, and where parents can get support. These are two new friends I’ve met on the trip, and I look forward to other conversations in these next several days.

Santiago and Manj

I wanted to say a word on behalf of the group to those we are leaving back at home—friends and family who have heard us prattle on about the trip, who have maybe sacrificed getting a new camera, or bike, or any number of things, just to help us fund this excursion and support our dreams. While we are gallivanting throughout Europe, you are making extra meals, driving kids around, covering shifts, or just carrying on like the day before, watching us as we chase our ambitions. Throughout our course work, we have often been unavailable, uncommunicative, stressed out, and even (dare I admit) irritable. And now, in spite of all that, we are rewarded with this tremendous opportunity. For your patience, for your support, and for your encouragement, we say thank you! We will miss you.

We’ve arrived safe and sound in Frankfurt, although incredibly tired. On the itinerary for today was checking in, going for a walk along the Rhine, dinner, and now (for most of us) going straight to bed to try to adjust to being eight hours ahead of Edmonton.

Check out the photos of some of the people on the trip—including Manj and Santiago—and sites we took in on our walk.

The “A” Plus – Entry #2

What is the prize every student wants? Besides their hard-fought degree, that is… It’s an “A,” of course.

The A lands in Frankfurt during the 2009 study tour

For the next 15 days, this year’s Europe Trip travelers will have an important “A” among them. We’ll be carrying the torch lit by those who went before us… those who took this trip last year. More specifically, we’ll be carrying the same “A” those students did one year ago, hence the “Taking the ‘A’ back to Europe” theme (see photos). “A” stands for “airplane,” “anticipation,” and “awesome”—all words the students are associating with this upcoming trip (just one more sleep!)—but it also stands for our school: (University of) Alberta. Our goal is to represent the university, and specifically the Alberta School of Business, well by toting the “A” wherever we go. (Don’t worry, it’s not that heavy.)

Dr. Peter Jaskiewicz

Accompanying the 30 students and guiding us through these experiences are two of the Alberta School of Business’s finest: Dr. Peter Jaskiewicz and Dr. Trish Reay. Peter, who is originally from Europe, taught Advising Family Enterprise and Managing Family Enterprise, and Trish taught International Family Business (among other Strategic Management and Organization courses) this year.

Dr. Trish Reay

Virtually all of the students going on the trip have taken at least one of these courses related to family business.

Dr. Lloyd Steier

Dr. Lloyd Steier will be joining us later on in the trip. He is the Distinguished Chair for Entrepreneurship and Family Enterprise; Academic Director for the Centre for Entrepreneurship and Family Enterprise; and Academic Director for the Alberta Business Family Institute. Not only are they all internationally respected and accomplished academics; they are genuinely nice people to be around, and I would expect, to travel with as well.

This European excursion promises to be educational, enlightening, entertaining, and engaging. (Sorry, those are all “E”-words.) There will be many friendships that will be either newly formed or strengthened as we go. All told, “taking back the ‘A’” may prove to be a life-changing experience, and maybe even better than last year’s trip. In fact, Europe 2010 may turn out to be an “A+”!

If I am able to get a few winks of sleep tonight, I’ll post a note tomorrow, to let you know that we really are on our way!

Countdown to Europe – Entry #1

Term papers and final exams… written and marked.  Time off work… requested and granted. Airline and hotel reservations… booked and paid for. There are only three days left (three sleeps!) until a new group of University of Alberta School of Business students, guided by three of the School’s professors, take flight to Europe. Eighteen MBA and a dozen BComm students will be winging their way to Europe, barring any more trouble from the Eyjafjallajokull volcanic eruption, as part of a three-credit course called: “Competitive Dynamics and Cultural Differences: Family Businesses and Entrepreneurship in European Governance Systems.” This is the second time the course, and trip, are being offered by the Alberta School of Business. The 2010 tour will include Germany, Austria, and France and stops in Frankfurt, Munich, Salzburg, and Strasbourg.

Participants from the 2009 trip visited the Merck KGaA in Germany

Why “family business,” you ask? Well, it turns out that the vast majority of businesses all over the world are controlled by families. Their economic influence is huge. So then, why Europe? Anyone who has owned a family business knows how daunting it is just to think about how to pass that business on to the next generation, let alone to get it done effectively. Surviving two generations as a successful family business is a feat. Imagine, then, how remarkable it is that, in Europe, there are some family businesses that have endured for over a millennium. We want to discover their secret.

There are other interesting features of European family businesses in particular, but also of European businesses in general. Corporate governance systems, for example, are different from those in North America, and perhaps they also contribute to the longevity of many European businesses.

Many people don’t know this about the University of Alberta, but we are actually known world-wide for the research that some of our own professors have done in family business, and we are esteemed for our academic programming in this field. We’ve been kindly invited to join with students and professors at the Technical University in Munich and WHU (Otto Beisheim School of Management) in Koblentz to look at some of these topics together. So, given that we live and do business in a global marketplace, and with access to these incredible academic resources, it seems perfectly fitting to take our university business studies across the pond.

Now, some of us learn better in the field than we do in the classroom, so there will also be some on-site learning at other venues such as: the European Parliament, the European Central Bank, the production facilities and logistics centre of BMW, and Merck.

Although students will be hard at work learning, dialoguing, and presenting, there will also be plenty of fun to have and sight-seeing to do. Planned activities include a boat tour on the Rhine to the Lorelei Cliffs, a visit to city of Ruedesheim, a tour of the Monastery Eberbach, a city tour of Salzburg and its castle, and more. And of course, we’ll be immersed in the culture for those 15 days, taking in the sights, sounds—and food!—of Germany, France and Austria. What an excellent opportunity!

We invite you to join us on our European adventure. I’ll be blogging every day or two and passing along some of the impressions and insights we’ll be experiencing on the trip—and hopefully some great photographs. If you want to get a better sense of what we’re up to before we get started, check out the European Field Trip Web page on the University of Alberta Business Website here. Auf Wiedersehen until next time!