DEGREES OF EXCELLENCE.

Get the bottom line on top minority business executive programs for entrepreneurs

Donna Allie, President and CEO of Team Clean Inc., a $5.2 million, full-facility maintenance firm in Ardmore, Pennsylvania, had a flourishing company but questioned her own leadership ability. Last June, she attended the Advanced Minority Business Executive Program at Loyola College in Maryland's Loyola Center for Closely Held Firms in Baltimore to learn how to run her business more effectively. When she got home, Allie distributed an employee survey to assess what her workers thought about her leadership skills. The results were not encouraging.

"They thought very little of me because they felt I didn't allow them to make decisions," says Allie. "As a result, I took a different approach to things. I applied the leadership skills I acquired at the program at Loyola to allow my employees to make more decisions, and I also let them know I trusted them to make decisions."

Over the past decade, some of the most prestigious universities in the United States have instituted executive training programs for minority business owners. Their aim is to help these executives improve and refine their managerial skills, enhance their knowledge of basic financial concepts and compete successfully in a global economy.

In this article, we examine the strengths of six top Minority Business Executive Programs as defined by key staff and alumni, who view these programs as beneficial to the development and longevity of minority businesses.

"Typical minority business owners will get a level of instruction they may not have been aware of or knowledgeable about," says Cherina Hughes, general business and industry specialist for the Small Business Administration, which started an executive education program in 1980 at Dartmouth College for selected 8(a) firms. "Hopefully, they're able to go home and manage their businesses more effectively."

CLARK ATLANTA UNIVERSITY ATLANTA, GEORGIA

Small Business Executive Education Program (SBEEP) and Advanced Executive Education Program (AEEP)

* Who should attend: SBEEP--Owners of minority businesses in operation for two to five years with annual gross revenues of $500,000+.

AEEP -- Owners of minority firms in operation for at least five years with annual gross revenues of $1.5 million+.

* Class size: SBEEP, 100; AEEP, 35

* Fee: $3,500. Includes meals, program materials, accommodations, certificate of completion. Most attendees are owners of SBA 8(a) sponsored firms, corporate sponsored suppliers and mentor/protege participants.

* Year started: 1994

* Dates: SBEEP, August 15-20; AEEP, August 25-29

Clark Atlanta is one of seven universities that are part of the SBA's 7(j) Management and Technical Assistance Program. Under this program, owners of 8(a) certified firms and other socially and economically disadvantaged business owners are provided management and technical aid, which includes an executive education program offering intensive, weeklong classroom training sessions.

"Our purpose is to help 8(a) firms be successful while they're in the program and after graduation," says Marvin Patterson, associate dean, School of Business Administration at Clark Atlanta. "This program helps them to understand their market, how to take advantage of technology to manage their businesses, and how to attract and develop the people in their businesses."

Since 1994, 435 minority business owners (60% of them African American) in the areas of manufacturing, technology, construction and service industries have graduated from the program. The program is taught by members of the business community and Clark Atlanta faculty, who also consult with small businesses.

The core of the SBEEP program is marketing plan development, whereby participants are divided into industry teams and given the task of developing marketing plans. This exercise serves to enhance their ability to penetrate markets and increase their competitiveness by assessing their strengths and weaknesses and those of their competitors. They also learn to identify opportunities for entry of products into the marketplace. Awards are given to the top three teams.

"This program is graduate-level training in entrepreneurship," says Michael Williams, president of Jetaire Aerospace and Technology in Atlanta, who attended SBEEP in 1995 and 1996. "I haven't seen a program as in-depth and comprehensive as this one. After the program, I implemented procedures to ensure we weren't subjected to fraud, such as ensuring that payables and receivables aren't handled by the same employee. I better understood issues of cash flow and marketing, and began offering discounts for early payment to clients."

For AEEP participants who are nearing graduation from the 8(a) program, training focuses on advanced marketing plan development and financial plan development. Attendees develop five-year marketing and financial plans for their businesses.

"Participants develop techniques for generating strategic growth plans for expansion of their firms," says Leroy Rankin, the project manager. "We encourage them to develop business in both the government and private sector."

For more information: Joyce Pearson, program manager, Small Business Executive Education Program, Clark Atlanta University, James P. Brawley Dr., Fair St. SW, Atlanta, GA 30314; 404-880-8451; www.cau.edu/sbeep

THE AMOS TUCK SCHOOL OF BUSINESS ADMINISTRATION DARTMOUTH COLLEGE HANOVER, NEW HAMPSHIRE 

The Minority Business Executive Program (MBEP) and the Advanced Minority Business Executive Program (AMBEP)

* Who should attend: MBEP -- Owners of minority-owned companies with three to five years of experience, at least three employees and annual sales of $500,000+.

AMBEP -- Graduates of MBEP or a similar program.

* Class size: MBEP, 50-55; AMBEP, 45-50

* Fee: $3,600. Includes tuition, course materials, meals and accommodations. Partial scholarships are available.

* Year started: 1980

* Dates: MBEP, July 18-23; AMBEP, July 11-16

Since 1980, the Minority Business Executive Program and the Advanced Minority Business Executive Program have graduated 531 African American business owners.

With an emphasis on developing strategy and vision, participants are better equipped to succeed in a competitive business environment. Through classroom sessions, workshops, business simulation and discussion groups divided by industry or profession, participants strengthen their management, leadership and financial skills.

Past speakers have included distinguished African American business leaders such as Opportunities Industrialization Centers International founder the Rev. Leon Sullivan and Ariel Capital Management CEO John Rodgers. Workshop topics range from doing business on the Internet to forming strategic alliances.

"Business is going to change dramatically over the next five years because of the Internet," says Paula E. Graves, program manager of Minority Business Executive Programs at the Tuck School. "We must offer workshops on how to do business on the Internet, what participants' competitors are doing and what they need to do."

Attendees prepare assignments before arriving and work in daily study groups to better understand course materials. They leave the program with action plans for improving their businesses.

The AMBEP program offers hands-on experience in developing and acting on a competitive strategy for a growing company. A business simulation requires skills in financial analysis, capital investment decisions and strategies for growth.

"One participant increased his profit margin by 40% as a result of attending this program," says Graves. "Graduates of this program say they are able to make financial decisions more effectively, solve problems at their companies and place an emphasis on team building."

But perhaps the greatest benefits of Tuck's program are the networking opportunities. Because the program is well established, participants have the opportunity to network with more than 1,380 successful alumni.

Tony Benjamin, president of Certified Transports Inc., a $4.5 million Seattle trucking firm, attended the MBEP program in 1991 and returned for the AMBEP program in 1993.

"In such a short period of time, you build close relationships, which is one of the core strengths of the program," Benjamin says. "I've done business with other program participants, and other alumni call to tell me about business opportunities and make referrals. From the time I went through the program, I've added two enterprises and allied with other small businesses that provide core competencies needed to assist in our growth."

For more information: Paula E. Graves, program manager, Minority Business Executive Program, the Amos Tuck School of Business Administration at Dartmouth, 100 Tuck Hall, Hanover, NH 03755-9050; 603-646-3740 or 603-646-3879; www.tuck.dartmouth.edu

HOWARD UNIVERSITY WASHINGTON, D.C.

Minority Business Executive Program

* Who should attend: Minority business owners in the first three years of the SBA's 8(a) program with revenues of $500,000+.

* Class size: 30

* Fee: None. All attendees are from 8(a) sponsored firms.

* Year started: 1996

* Date: July (tentative)

Since 1996, 120 minority business owners have participated in this intensive one-week program that helps them master basic business skills such as cash flow management and capitalization.

"Most businesses start undercapitalized, which ultimately leads to their failure," says Pat Roberson-Saunders, associate professor of management and entrepreneurship, Howard University School of Business. "We talk about financial issues to help them gain some sophistication and sources of capital."

With a focus on the critical issues and challenges facing minority entrepreneurs, participants gain valuable information from senior faculty members from the School of Business, most of whom were previously entrepreneurs and all of whom have done considerable business consulting.

Attendees are presented course work in strategic planning, marketing, cash flow management, cost control, finance and access to capital, and customer relations.

"We have a simulation game that reinforces the idea of customer and employee satisfaction through role play," Roberson-Saunders says. "We also talk about marketing strategies in the government sector and developing strategies in the private sector and globally."

The program's design includes a group action agenda, whereby participants collaborate on a project or initiative during the week that they can continue to work on after the program. For example, some participants formed an alliance to tackle the formidable task of jointly competing for a $400 million contract.

For more information: Pat Roberson-Saunders, associate professor of management and entrepreneurship, Howard University School of Business, 2600 Sixth St. NW, Washington, DC 20059; 202-806-1500; ww.howard.bschool.edu

LOYOLA CENTER FOR CLOSELY HELD FIRMS THE SELLINGER SCHOOL LOYOLA COLLEGE IN MARYLAND BALTIMORE, MARYLAND 

Minority Business Executive Program (MBEP) and Advanced Minority Business Executive Program (AMBEP)

* Who should attend: Owners of 8(a) firms that are at least three years old, have three or more employees and have annual revenues of $300,000+.

* Class size: MBEP, 32; AMBEP, 24

* Fee: None. All attendees are owners of 8(a) sponsored firms.

* Year started: 1996

* Dates: MBEP, August; AMBEP, August

Loyola College's general program for 8(a) firms stresses the fundamentals of general management--strategy, leadership, change, marketing, finance and operations. The advanced program covers more specific topics, such as innovation, advisory boards, tax planning, new product development and leadership.

Participants work in teams to actually operate a business and compete against each other in classroom exercises. They develop strategies for expansion, competitive pricing and financing, says Harsha Desai, professor of management and director of the Loyola Center for Closely Held Firms. A panel of lawyers, marketers, business owners and product development experts also lends its perspective.

"This exercise gives them a very good flavor of what happens in business from all aspects," Desai says. "Minority firms must be innovative, and not just with their products. We also feel they should know [their strengths and weaknesses and those of their competitors] to compete globally."

Donna Allie attended Loyola's general and advanced programs in June 1996 and June 1998. "When I came back from the program, I was on fire and I had a lot of ideas burning," says Allie. I learned that I needed to empower my employees with leadership and decision-making skills so they would trust me more as their team leader. I also learned how important it is to get a handle on finances -- it drives everything you do."

For more information: Harsha Desai, Director, Loyola Center for Closely Held Firms, the Sellinger School, 4501 N. Charles St., Baltimore, MD 21210; 410-617-2395; http://chf.loyola.edu

J.L. KELLOGG GRADUATE SCHOOL OF MANAGEMENT NORTHWESTERN UNIVERSITY EVANSTON, ILLINOIS 

National Minority Supplier Development Council (NMSDC) Advanced Management Education Program

* Who should attend: CEOs of minority-owned firms with at least three years' experience and annual revenue of $3 million+ (if in manufacturing or distribution) or $1 million+ (if a service firm) and who are certified by national corporate members of the NMSDC or an affiliated council and a local corporate member.

* Class size: 40

* Fee: $2,800. Includes accommodations, meals and all course materials.

* Year started: 1996

* Dates: May 31-June 4

This summer will mark the fourth term of this program offered jointly by the NMSDC and Northwestern's J.L. Kellogg Graduate School of Management. The curriculum balances core courses, such as marketing and finance, and case studies of minority entrepreneurs.

Participants (60% of them African American) are divided into teams to analyze problems facing real companies, such as managing growth and equity financing. This provides them with the skills they need to accelerate their companies' growth in the wake of contract bundling and decreased supplier pools.

"The strength of the program is its focus on strategies and assessment, which looks at accelerating the growth of a company, whether through acquisition or increasing market share," says Steven Sims, vice president for programs and field operations for the NMSDC.

For more information, contact the NMSDC, Steven Sims, vice president for programs and field operations, 15 W. 39th St., New York, NY 10018; 212-944-2430; or e-mail [e-mail]

THE DARDEN GRADUATE SCHOOL OF BUSINESS ADMINISTRATION UNIVERSITY OF VIRGINIA CHARLOTTESVILLE, VIRGINIA 

The Darden Minority Business Executive Program

* Who should attend: Minority business owners, senior executives, suppliers and distributors.

* Class size: 30-40

* Fee: $4,600. Includes tuition, course materials, lodging, meals, certificate of participation.

* Year started: 1998

* Dates: August 8-13

In its inaugural year, Darden had 19 participants in the program, 17 of whom were African American. A cooperative effort between the Darden Office of Minority Procurement Programs and the Darden Graduate School of Business Administration, the program's vision is to significantly increase the number of major minority-owned corporations in the 21st century and involve them globally, says Donald W. Jones, director of the Office for Minority Procurement Programs.

The curriculum focuses on three areas: basic financial concepts, negotiating skills, leadership and managing change, with an emphasis on developing critical thinking and strategic insight.

"We try to reach all individuals who have a sense of wanting to grow, develop and expand their businesses," says Jones. "We have worked with participants in developing an enterprise zone proposal and placing them in mentor/protege programs with both majority and minority firms."

With a 45-year tradition of executive education, Darden executive education emphasizes a case study approach, with intensive group discussion in a total-immersion learning environment. As a result, participants gain a heightened awareness of their own personal negotiation and leadership styles and their effectiveness in business situations.

For more information: Executive Education, the Darden School Foundation, University of Virginia, P.O. Box 6550, Charlottesville, VA 22906-6550; 804-924-3000; www.darden.virginia.edu/execed/