Prof. Meyer Feldberg has been associated with two things for years. One is his suspenders, which give him an appearance rather like legendary CNN presenter Larry King. The other is the Columbia Business School, where he served as dean for 15 years.
When Feldberg took over as dean in 1989, the Columbia Business School was considered second-rate. It was usually ranked in 14th place in the world, which meant that its MBA did not count for much. Feldberg was undeterred. He had a vision, and he did everything he could to achieve it. During his years as dean, he turned the Columbia Business School into production line for brokers and investment managers tailor-made for the business world of Wall Street.
After a long term in office, Feldberg, 62, resigned to relax and play with his grandchildren. He can allow himself the luxury. Under his leadership, the Columbia Business School became synonymous with the financial industry, and one of the world's top five business schools. "Forbes" ranked it second in the world in its 2004 list, and "The Financial Times" ranked it third. Israelis who studied under Feldberg say his connections with many of the world's top businesspeople paves the way for newly-minted MBAs into the New York financial community. Over half of Columbia Business School graduates went into banking.
Life before and after Giuliani
The Columbia Business School manages $140 million a year. Its main sources of financing are tuition from its 660 students at $32,000 per student per year, donations, and a prestigious graduate program.
"Globes": How did you do it?
Feldberg: "In the end, I think I had the best luck in the world. One reason is that Rudolf Giuliani was elected mayor of New York in 1992 that immediately changed the attitude toward the city. As appreciation for the city rose, its economy improved, as did the situation on Wall Street and in companies.
"Giuliani was a little rough and he was a good administrator. He dealt with matters and brought order to New York, factors which worked in my favor. My vision that the city was a vital asset for the business school came true thanks to him."
"To play poker, you need chips"
Feldberg's parents settled in Johannesburg after escaping the Nazis in Lithuania. His father founded and was editor of "The South African Jewish Times", which Feldberg says is the oldest and largest Jewish newspaper in the country. His parents emigrated to Israel in 1969, and many of his relatives reside in Israel.
Feldberg arrived at Columbia University as a student in the 1960s. At 30, he was already the dean of the Graduate School of Business, University of Capetown, where he spent most of his academic career. He is also a Sanford C. Bernstein Professor of Leadership and Ethics; has served as a director on a number of public companies, including Revlon (NYSE:REV); and is a member of the UBS Funds audit committee.
Feldberg describes himself as an enthusiastic athlete who is scrupulous about maintaining physical activity. His first visit to Israel in 1961 was as a participant in the Maccabiah Games, in which he won a medal in the 200-m butterfly swimming competition. He has visited Israel frequently since then, six times while dean of the Columbia Business School.
He has exploited his visits to Israel to meet family and to give lectures to the Columbia Business School Alumni Club of Israel, headed by Ron Plotkin and Ed Frank. Feldberg says six Israelis will start their MBA studies at the Columbia Business School in the coming year, a high number in proportion to Israel's population. "Israeli students are very successful and work hard. They become players, work with other students, and get involved with the scene very quickly," he says.
How do you make a business school into a world-class institution?
"I think that the success of any institution, whether a business school, museum, or large corporation, depends on vision. It's important for there to be a goal, to know what you want to reach in five or ten years. It's also important to define what constitutes success. In the case of a university or business school, the bottom line is different from that of a profit-seeking business."
Have you considered launching a joint program with an Israeli institution?
"We have an exchange program with Leon Recanati Graduate School of Business Administration, Tel Aviv University, but it's much smaller than Kellogg School of Management, Northwestern University's program in Israel. Kellogg has a program similar to that of the London Business School. We once considered a similar program, but decided against it because the market is too small."
Greetings from Netanyahu
The success of the Columbia Business School is not only measured in terms of jobs for its graduates, but also in their salaries. According to "The Financial Times", the average salary of a Columbia Business School graduate is $157,000 a year, slightly less than the average salary of $163,000 earned by a graduate of the Harvard Business School.
Columbia Business School has a respectable number of graduates in key positions. 160 graduates currently reside in Israel, of whom 125 are Israeli-born. Prominent graduates include former Mossad chief Maj.-Gen. (res.) Meir Amit (class of 1961), Giza Venture Capital chairman Zeev Holtzman (1968), Tempo Beer Industries (TASE:TMPO) chairman Jacques Bar (1973), former Merrill Lynch Israel director Jerry Mandel (1992), and Elco Holdings (TASE:ELCO) co-CEO Michael Salkind (1995).
One Israeli who did not study under Feldberg, but is one of his admirers - alongside Bill Gates, Warren Buffett and Jordan's King Abdullah II - is Minister of Finance Benjamin Netanyahu. "I have known and admired Netanyahu for many years," says Feldberg. "In my opinion, he has the right values and ethics, and he understands that a country's highest value is the intellectual value of its citizens. I also think that Netanyahu is committed to business entrepreneurship, and I agree with his program to privatize the economy as much as possible, and to reduce bureaucracy."
In Israel, as in other countries, privatization is a long and slow process, especially due to the opposition of unions.
"I don’t think that an economy should be hostage to the political motives of trade unions. I'm a great believer in the free market, and I think that Netanyahu is an excellent example of a man who understands how to exploit it for the economic interest of the country. I know that he believes in the independence of the central bank, and he encourages the technological sector, which gives the economy the chance to grow."
The two men met at an event in New York after Netanyahu lost the 1999 elections. Feldberg asked Netanyahu to give a lecture at the Columbia Business School, and Netanyahu accepted. Netanyahu gave six lectures at the Columbia Business School over the next two years, which Feldberg described as "very effective. He agreed that he would not talk about political affairs, but focus on economic issues."
What did Netanyahu talk about?
"Netanyahu lectured about privatization, how a small economy privatizes itself after years of bureaucracy, about the importance of developing technology, and so on."
How did the students receive him?
"The first time I presented him to a class, the hall filled to capacity. It was clear that half the students were pleased that he was there, and half objected to his presence. Five minutes after he began to speak, everyone was listening to him closely. When he finished talking, students flocked around him. His security men finally had to separate them, because the students wouldn’t leave him alone."
What's the secret of his charm?
"Netanyahu knows how to communicate, and he has a good sense of humor. In addition, I think that someone who gives a series of lectures must talk tachles. Netanyahu talked tachles, and the students felt they were leaving with something."
Published by Globes [online] - www.globes.co.il - on July 21, 2004