The annual report 2012 of the Maastricht School of Management is now also available on Slideshare. If you want to know more about the successes of MsM in 2012 and a look ahead into 2013 then read the annual report now. It is also available on our website, www.msm.nl and the annual report link has been shared on Facebook, Twitter and LinkedIn.

1. © Unique Photo
MAASTRICHT SCHOOL
OF MANAGEMENT
ANNUAL
REPORT
2012

2. Table of Contents
• Message from the Dean
• Leadership for Shared Success
and Sustainability
- Globally Relevant Business Education
- Corporate Social Responsibility
and Sustainability
- Mentorship Program Builds Business
Bridges to Limburg
- Partnering for Success
- Leadership in Quality
• Knowledge Generation and Dissemination
- New Ideas that Matter
- Scientific Journal Articles
- New Books
- Doctoral School
- Sharing Knowledge and Networks
• Developing Organizational Capacity
and Local Solutions
- Institutional Capacity Building projects
- Food Security and Agribusiness
Development projects
- Water Governance projects
• A Vibrant MsM Community
- MsM Alumni Chapters and Alumni
Recruiters Program
- Alumni Events
- Alumni News
• Forward to 2013
- Netherlands-Russia Year
- Book event and seminar
- Diversity in Business: Celebrating
International Women’s Day
- Azerbaijan Day in the Netherlands
- International Research Conferences
• Financial Situation and Key Indicators
- General Review
- Revenue, Margin and Expenses
- Financing Ratios
- Future
ANNUAL REPORT 2012

3. Message from the Dean
Maastricht School of Management (MsM) is an uncommon organization where ordinary
people do extraordinary things. Our mission, values and common sense approach to
management problems have been shaped by 60 years of scholarship and learning-
by-doing across the world. In 2012 we celebrated our 60th anniversary amongst our
partners, alumni, students and friends, honored by the presence of Her Royal Highness
Princess Máxima of the Netherlands.
There are many highlights marking the progress of MsM since its establishment in 1952
in Delft as the Research Institute for Management Sciences. A few critical junctions in
our subsequent history stand out for their seismic impact on the organization, such as
therelocationtotheCityofMaastrichtin1989;thelaunchofthefirstMasterofBusiness
Administration(MBA)programin1991;andtheadoptionofthenameMaastrichtSchool
of Management in 1993.
In the two decades since 1993 MsM has achieved remarkable growth. Today we offer
more than 40 programs in Maastricht and in more than 20 countries. While our flagship
program remains the MBA program, in recent years and particularly in 2012, we have
been innovative in offering new masters’ programs. In 2012 we developed a joint
program in Management and Engineering with the RWTH Aachen University that will
lead to an innovative new MSc-degree; we also developed a highly relevant Master in
Management in Education; and our Doctor of Business Administration (DBA) program,
amongstthebestintheworld,wentfromstrengthtostrength.WedevelopedanEnergy
MBA, set for launch in 2013, in partnership with the Azerbaijan Diplomatic Academy.
All of these programs are internationally accredited while our Maastricht-based MBA
program is also accredited by the Dutch-Flemish Accreditation Organization.
In 2012, to an even higher degree, we based our relevance and quality on solid
scholarship. Research outputs continued to grow impressively. MsM Faculty launched
a record number of new books.
Being a research-driven business school with a global presence we continued in 2012
ANNUAL REPORT 2012

4. program is also accredited by the Dutch-Flemish Accreditation Organization.
In 2012, to an even higher degree, we based our relevance and quality on solid
scholarship. Research outputs continued to grow impressively. MsM Faculty launched
a record number of new books.
Being a research-driven business school with a global presence we continued in 2012
to apply our expertise to solving practical challenges and problems in emerging and
developing countries. What distinguishes MsM from many other business schools is
not only our deep engagement in emerging and developing countries, and in fragile
contexts, but also our expertise and impact in areas vital to social and environmental
sustainability and development. Water governance and management in Egypt,
food security and agri-business in Indonesia and Tanzania, as well as educational
institutional building in Ethiopia and Yemen, are only some examples of our continuing
contribution to these issues of central concern for global development.
I wish to thank our faculty and staff for their professional dedication and moreover
passion for MsM and its community; our Board of Trustees for their strategic leadership;
our partner institutions for being not just business associates but also friends; and
finally and most importantly all the participants in our programs – our students,
alumni, sponsors, corporations and broader stakeholders: thank you for your trust in
MsM. We look forward to the challenges and opportunities that 2013 will bring.
Prof. Wim A. Naudé, PhD
Dean-Director
ANNUAL REPORT 2012

5. Leadership for Shared Success
and Sustainability
Globally Relevant Business Education
• In2012weofferedourMBAprogramsonlocationinChina,Egypt,Ghana,Kazakhstan,
Kuwait, Malawi, Namibia, Peru, Romania, Rwanda, Suriname, Tanzania, Vietnam,
Yemen and Zambia.
• A total of 535 participants graduated from these globally offered programs in 2012.
This is an increase of 16 percent since 2011, and reflects the continued growth in
the demand for high-quality management education in emerging and developing
markets and the relevance and flexibility of MsM’s programs to address the needs
in these markets. This growth continued in 2012/2013 with 635 newly enrolled
participants starting their MBA studies at our locations abroad during the year.
• As far as our Maastricht-based MBA program is concerned, we had 45 students from
intake MBA28 graduating; this is a decline compared to the 73 students graduating
in 2011 from MBA27. The decline reflects the general downturn in MBA enrolments
in the West, the reduction in scholarships offered by the Dutch government, and an
increaseinMBAofferingsinemergingcountries.Thedeclineseemshowevertohave
stabilized, with an increase in the enrolments for intake 29: we had 57 participants
enrolling in our Maastricht fulltime MBA program during the year.
• MsM continued to support lifelong management learning in 2012. A total of 162
participants attended 11 open enrolment Executive Education Programs at MsM
during the year. This is a slight drop compared to the 176 participants in our
ANNUAL REPORT 2012

6. programs in 2011, partly reflecting the reduction in Dutch scholarships, a greater
focus in our programs (we cut the number of offerings from 19 to 11) and a general
decline in the popularity of Executive Education programs.
Corporate Social Responsibility and Sustainability
MsM is a signatory to the Principles for Responsible Management Education (PRME).
We demonstrate our commitment to these principles by, amongst others, organizing
Corporate Social Responsibility (CSR) and Sustainability seminars. In 2012 we held our
tenth such event.
Participants included multinational companies and organizations such as Shell,
PharmAccess,theGlobalReportingInitiative,TransparencyInternationalNetherlands,
ABN AMRO, ING, Rabobank, de Groene Zaak, Imtech and KLM Royal Dutch Airlines.
In 2012 MsM’s MBA participants cooperated with DSM to support the activities of the
World Food Programme (WFP). In this context the students developed two initiatives:
an awareness session for secondary school pupils in Maastricht, and participation as
volunteers in the DSM Bright experience fair, held in June.
Mentorship Program Builds Business Bridges to Limburg
Participants in our Maastricht MBA program are linked through our mentorship
program with local businesses and organizations. In 2012, on the occasion of MsM’s
60th anniversary, the mayors of Maastricht, Heerlen and Sittard-Geleen acted as
mentors to show their appreciation for and interest in MsM’s international mission.
Thirteen senior managers of companies and organizations such as Philips, TNT,
ING, Nedschroef, Parkstad Region, Province of Limburg, 6p Consultancy and Rotary
Maastricht also contributed to the mentorship program.
ANNUAL REPORT 2012

7. Partnering for Success
Maastricht School of Management offers its programs in Maastricht but also in 20
locations around the world. At the end of 2012, we had partnership agreements with
the organizations shown aside.
MsM hosted a successful Partner’s Conference in September in Maastricht. Quality
assurance and accreditation topics were discussed in detail with representatives of
our partner universities. A more robust assurance system is set for development across
all locations in the second half of 2013.
ReflectingthestronggrowthintheMBAmarketinemerginganddevelopingeconomies,
particularly the BRICS and other resource-rich economies, MsM concluded a number
of new partnerships in 2012, namely with the:
• NationalResearchUniversity,HigherSchoolofEconomics(HSE)inNizhnyNovgorod,
Russia.
• Azerbaijan Diplomatic Academy (ADA) in Baku, Azerbaijan.
• RWTH Aachen, Germany for a joint MSc in Management and Engineering in
Production Systems (MME).
New joint programs with these partners will be implemented in 2013.
In 2012 we renewed our partnership with the Regional IT Institute (RITI) in Cairo, Egypt,
one of our oldest partners.
A further highlight of our partnerships with organizations in emerging economies
ANNUAL REPORT 2012

8. in 2012 was the strengthening of our relationships with China’s Baosteel Group and
Shandong Province.
In June we welcomed for the second year a delegation of senior government officials
from China’s Shandong province for a training mission on Ecological Economic Zones.
The mission comprised a week of seminars at MsM and a week of business facilitation
meetingsatmajorcompaniesandbusinesshubssuchasChemelot,Floriade,Brainport
and the Wageningen Food Valley.
Leadership in Quality
To ensure continual improvements in the quality of our educational programs,
we are involved in international accreditation and ranking processes. In 2012 we
held accreditations from the Dutch-Flemish Accreditation Organization (NVAO),
the Association of MBA (AMBA), the Accreditation Council for Business Schools and
Programs (ACBSP), and the International Assembly for Collegiate Business Education
(IACSBE).
ANNUAL REPORT 2012

9. Further milestones in 2012 include:
• The Association of MBAs (AMBA) accredited MsM’s new Master of Management
in Education program in 2012. The awarding committee of the International
Accreditation Advisory Board (IAAB) confirmed the accreditation of the program
until 2015.
• We started the reaccreditation of the residential full-time MBA program by the
NVAO. As part of this process, a panel of national and international experts carried
out a site visit during the fall. The process is expected to continue throughout 2013.
• We also started preparations for the accreditation of the Master of Science in Global
Business and Development for the NVAO. The self-assessment report is set for
submission in the first half of 2013.
• The MSc in Management and Engineering in Production Systems (MME) joint
program with RWTH Aachen University will be accredited by Germany’s ASIIN. Their
site visit is scheduled for April 2013.
• We continued preparations for our eligibility application to the Association to
Advance Collegiate Schools of Business (AACSB). Submission is planned by mid-
2013.
ANNUAL REPORT 2012

10. At its 5th World Convention in Peru, October 2012, Eduniversal announced the 2012
Ratings and Rankings of the Best Business Schools in 153 countries. MsM maintained
its top position in the ranking of Dutch Business Schools, category 4 palmes (Top
Business Schools internationally known). MsM also occupies first position worldwide
in the 4 palmes category of the Top Business Schools.
Ms. Katalin Kovacs, Manager of Quality Control and Accreditations was appointed Vice
ChairoftheBoardofCommissionersforInternationalAssemblyforCollegiateBusiness
Education (IACBE) at the April Annual meeting in Kansas City, USA. In this capacity
she is responsible for reviewing and revising the standards for accreditation and for
deciding on the status of institutions for initial accreditation and for reaccreditation.
ANNUAL REPORT 2012

11. Knowledge Generation and Dissemination
New Ideas that Matter
Given the global bandwidth of MsM’s operations and educational programs, we need
to be ahead of the curve in terms of understanding the broader, global, socio-econom-
ic and political trends and how they shape the nature of business and management.
This requires a finely judged focus on the key issues that impact global prosperity. At
MsM we deal with these by focusing our research on three themes or business-and-
society related driving forces:
The “Innovative” Business: here we focus on entrepreneurship and innovation and its
impact on business, organizational and regional success. Special foci are on how agri-
business and innovative solutions in water management can contribute towards de-
velopment, and on how women entrepreneurs can be supported in their communities.
The “Trading” Business: here we recognize the vital importance for businesses to be
competitive in the global economy, and to be part of global value chains. Special foci
are on partnerships for upgrading small businesses into global value chains; interna-
tional entrepreneurship, and the impacts of trade and openness on sectoral develop-
ment (e.g. tourism, manufacturing) and growth.
The “Performing” Business: here we recognize that exceptional management practices
and organizational development strategies can make a significant difference to an or-
ganization’s success and survival. Special foci are on high performance organizations
(HPOs) and organizational / institutional development.
In these three areas MsM generates new ideas that matter through research by its fac-
ANNUAL REPORT 2012

12. ulty, project consultants, doctoral (DBA) students as well as by galvanizing others in
our networks through regular workshops, conferences, guest lectures and the dissem-
ination of our Working Paper Series.
Scientific Journal Articles
As a research-driven business school MsM is committed towards top-level scholarship.
We continued our program of investment in the research capacities, networks and in-
frastructure of the organization. The results were, as in 2011, very encouraging with a
maintained upward trajectory in the number of scientific publications.
Peer-reviewed scientific journals by our faculty increased to 42 in 2012, up 17 percent
on the previous year. This represents a 40 percent rise since 2010.
0
5
10
15
20
25
30
35
40
45
2012
2222 2727 3030 3636 4242
ANNUAL REPORT 2012

13. New Books
MsM Faculty published the following books in 2012:
• “Pathways to Industrialization in the 21st Century” published by Oxford University
Press and co-authored by Wim Naudé.
• “BRICS and Beyond” published by Wiley and authored by Stephanie Jones.
• “Key Concepts in Leadership” published by Sage Publications Ltd. and co-authored
by Stephanie Jones.
• “What Makes a High Performance Organization: Five Factors of Competitive Advan-
tage that Apply Worldwide” published by Global Professional Publishing and au-
thored by André de Waal.
• “Global value chains linking local producers from developing countries to interna-
tional markets: Theoretical perspectives and empirical cases” published by Amster-
damUniversityPressandauthoredbyMeinePietervanDijkandJacquesTrienekens.
Doctoral School
MsM’s Doctorate of Business Administration (DBA) program was re-accredited by AMBA
to 2015. Our PhD program, offered in collaboration with a number of Dutch Universi-
ties, continued with the two successful public defenses.
In 2012 a total of 25 new DBA students entered the program, while six successfully de-
fended their DBA degree.
Doctoral students published 26 journal articles in 2012.
Our doctoral school is supported by an intensive Research Methods and Skills (RMS)
program offered in collaboration with the University of Maastricht. A total of 33 par-
ticipants from 19 countries joined the program in September 2012, reflecting a 135
percent rise on the previous year’s enrolment.
ANNUAL REPORT 2012

14. Developing Organizational Capacity
and Local Solutions
Throughout 2012 MsM’s International Projects and Consultancy (IPC) Department
was engaged in capacity building assignments and tailor-made training in Africa, Asia,
Eastern Europe and the Middle East. The Round Table Africa (RTA) project successfully
ended in 2012, after a remarkable cooperation of more than six years.
The major foci of new and ongoing projects in 2012 was on (i) Institutional capacity
building, (ii) Food Security and Agribusiness Development, and (iii) Water Governance.
Institutional Capacity Building Projects:
China: Developing the strategic decision-making capabilities and internationalization
perspectives of the senior leadership of the BaoSteel Group of Shanghai.
Ethiopia:SupportingtheMinistryofEducationinstrategyandleadershipdevelopment
for 13 new public universities, including the establishment of training and research in
educational leadership for the Ethiopian Higher Education Strategy Centre.
Indonesia: Training senior staff of the Ministry of Finance, in areas of Leadership and
Change management.
Mozambique: Strengthening the organization capacity of the Higher Polytechnic
Institute of Tete (ISPT).
Romania: Designing courses and curricula for the business education programs of the
Bucharest School of Business.
© Jason Gutierrez / IRIN Photo
ANNUAL REPORT 2012

15. Tanzania: Advising the National Council for Technical Education (NACTE) in the
development and implementation of competence based education and its piloting
at the College of Business Education (CBE) and the Zanzibar Institute for Tourism
Development (ZIToD).
Thailand: Preparing senior staff of the Royal Thai Government in the areas of risk- and
change management.
Yemen: Developing the capacity of the Ministry of Higher Education and Scientific
Research and providing support to the Ministry to conduct a labor market survey; also
training and advising leadership within the National Women Council.
Zambia: Supporting two vocational institutions in their upgrading to become
universitycollegesandsupporttotheNationalUniversity,UNZA,todeepenitsresearch
capabilities.
Food security and Agribusiness Development Projects:
Indonesia: Launching a new research program together with Bogor Agricultural
University (IPB) including organizing a research conference in Bogor and establishing
a Center for Sustainable Business Competitiveness (CSBC).
Kenya: Doing cluster mapping for improvement of the dairy value chain in Kenya with
Egerton University and the Dairy Training Institute.
South Africa, Vietnam: Stimulating the development of leadership competencies for
agricultural-oriented universities in these two countries.
© Jason Gutierrez / IRIN Photo
ANNUAL REPORT 2012

16. Tanzania: Providing policy research in the field of agro-inputs and agro-taxation to
BEST AC, the Agriculture Council of Tanzania; as well as monitoring three assessment
initiatives of the East African Common Market Protocol in the area of agriculture,
tourism and manufacturing.
Water Governance Projects:
Burundi, Congo, Palestine, Nepal and Ethiopia: Researching multi-stakeholder
processes, service delivery and contribution to state building in the water and
sanitation sectors in these countries.
Egypt: Supporting the Training Division of the Egyptian Government’s Ministry of
Water and Irrigation, specifically in institutional development and innovation of their
educational processes and their leadership development.
© Jason Gutierrez / IRIN Photo
ANNUAL REPORT 2012

17. A Vibrant MsM Community
MsM Alumni Chapters and Alumni Recruiters Program
The MsM Community refers to all of our current students, staff, faculty, partners as well
as our thousands of alumni. No business school can be successful without having a vi-
brant alumni community. At MsM we are particularly proud of our passionate alumni.
In 2012, as in coming years, the aim is to further integrate MsM alumni into the broader
MsM Community.
In 2012 some notable steps in this regard include:
• The official inauguration of the EU-region Alumni Chapter. The chapter’s objective
is to provide an organization where alumni from the Netherlands, Belgium and Ger-
many can meet on a regular basis for intellectual and social enrichment through
content driven activities.
• The Regional IT Institute (RITI) took the first steps towards the inauguration of the
Egypt Alumni Chapter on 9 December.
• The introduction of an Alumni Recruiters Program. The purpose of the contract is
that alumni are stimulated to actively recruit new students for the MsM programs.
In 2013 MsM plans to open alumni chapters in Bhutan, Egypt and Rwanda.
Alumni Events
Our 2012 alumni event in Namibia coincided with other celebrations to mark the 20th
anniversary of the University of Namibia (UNAM). Namibia Business School (NBS) in
cooperation with MsM hosted an Annual Founders and Alumni Dinner at the Windhoek
ANNUAL REPORT 2012

18. Country Club and Resort on 24 April 2012. The keynote speaker was H.E. former South
African President, Thabo Mbeki, who gave a speech on “Nurturing the African Renais-
sance: The role of the African Business School”.
Peruvian alumni have been invited to the lectures of the Global Lecture Series “Global
Challenges + Global Partnerships = Global Opportunities” held on 24 April at CENTRUM
Católica, Pontificia Universidad Católica del Perù in Lima. Besides these lectures alum-
ni were invited to a dedicated networking event.
Alumni News
Congratulations to the following MsM Alumni:
• Dr. Vanessa Borg, Executive Director of Consultancy & Training Acumen Centre Ltd
in Malta was the winner of a Bronze Stevie® Award in the Company of the Year -
Business Service category in the 2012 Annual International Business Awards.
• Mr. Masresha Yazew Andarge, won the prestigious Impact Award from the STARS
Foundation, providing US $100,000 of unrestricted funding for his work.
• Mr. Jacques Kayisere from Rwanda, founder of the “Dream Team Football Acad-
emy” won the ‘Reach for Change’ Tigo Social Entrepreneurship Competition.
ANNUAL REPORT 2012

19. Other Events and Initiatives in 2012
60th anniversary of MsM
Maastricht School of Management turned 60 years old in 2012. On Wednesday 6
September this was formally celebrated at the ‘Theater aan het Vrijthof’ in Maastricht.
The ceremony was graced with the presence of H.R.H. Princess Máxima of the
Netherlands.
Speakers included:
• Mr. René van der Linden, MSc - Chair of the MsM Board of Trustees
• Prof. Wim A. Naudé, PhD - MsM Dean Director
• Mr. Mohammad Gawdat, Alumnus MsM Egypt and Vice President of Emerging
Markets at Google
• Mr. Meinhard Gans, MSc - MsM Director Projects and Consultancy
• Mr. Amit Biswas, MBA Class Representative
• Prof. Luc Soete, PhD, Rector Magnificus of the University of Maastricht
As part of the anniversary celebrations, MsM organized a special diner pensant and
invitedmembersfromtheLimburgbusinessandgovernmentcommunitytoexperience
the world of MsM. Mr. Mohammad Gawdat, Vice President Emerging SEEMEA at Google
and MsM alumnus, and Ms. Petra Stienen, publicist and former diplomat of the
Netherlands in Egypt and Syria, delivered the keynote speeches at this dynamic, high
tech and international evening.
Aspartofits60thanniversarycelebrationsMsMhostedthreekeylecturesincooperation
withitspartnersaroundtheworld.Thethemeoftheselectureswas“GlobalChallenges
ANNUAL REPORT 2012

20. + Global Partnerships = Global Opportunities”. The first global lecture was held at
CENTRUM in Lima, Peru, the second at MSMRO in Bucharest, Romania and the third at
NJU in Nanjing, China.
Contributing to the Floriade 2012
AsapartnerintheB2BprogramoftheProvinceofLimburg,MsMprovidedthefollowing
seminars at the Floriade, the world horticulture expo taking place from 5 April to 7
October in Venlo, the Netherlands:
• Finding your Way in an Archipelago of Opportunities: Agribusiness in and with
Indonesia. 24 April.
• Sustainable Food Production: Can the world be fed in a sustainable way? 8 May.
• China as a Net Food Importer:Opportunity or Threat for Global Food Partnerships?
10 May.
• Investing in Food Security & Food Markets in Africa. 19 May.
• The Business of Food & Nutrition Security. 28 August.
Doing Business in... Seminars
MsM organized a series of seminars to share its experiences on how to do business in
significant emerging market economies:
• Doing Business in India with Mr. Vipin Moharir, MsM alumnus and successful founder
and owner of NINtecBV and Mr. Amit Paradkar, PhD. 15 March.
• Doing Business in China with Mr. Paul Booms, Chief Operations Officer at Trespa
International B.V and Dr. Weihua Huang, Senior Manager at KPMG Advisory. 7 June.
Doing Business in Turkey with Mr. Serkan Güner, PhD, Head of Turkey Netherlands
Business Group at PricewaterhouseCoopers. 8 November.
ANNUAL REPORT 2012

21. Forward to 2013
MsM is well-poised to continue fulfilling its mission in 2013. Some anticipated high-
lights of the year will include the following.
Netherlands-Russia Year
The Bilateral Year of Russia and the Netherlands will be held in 2013, and MsM will be
an official partner. During the year we will start an exciting new Executive MBA pro-
gram in Russia, as well as a special executive program tagged Business in Russia and
the Netherlands. In addition a number of events will be organized or supported to fa-
cilitate scientific, academic and business exchanges between the countries.
Book event and seminar
This seminar, to be held on 28 February 2013, will include discussion of the book “Ex-
port Promotion: Tools and Policies”. This sets out the DSM (Decision Support Model)
approach to export promotion, as well as a presentation on the export support tools
and assistance available to potential exporters from the Netherlands.
Diversity in Business: Celebrating International Women’s Day
MsM will celebrate International Women’s Day on 8 March 2013 with a seminar on Di-
versity in Business. A number of renowned experts will lead discussions aimed at the
promotion of gender equality in management and diversity and inclusiveness in the
work place.
ANNUAL REPORT 2012

22. Azerbaijan Day in the Netherlands
To recognize the growing business, scientific and cultural exchanges between the
Netherlands and the Republic of Azerbaijan, and to launch a new joint MBA with ADA,
MsM will be hosting the Azerbaijan Day in the Netherlands on 24 May 2013.
International Research Conferences
Two major international research conferences are planned for 2013:
• On 30 and 31 May 2013, Maastricht School of Management and the Maastricht Grad-
uate School of Governance will organize a two day conference on “Migrants: Trans-
national Entrepreneurs or Entrepreneurial Refugees?” to review the state-of-the-
art on the relationship between migration and entrepreneurship.
• MsM’s 3rd Annual Research Conference will take place in Maastricht on 6 Septem-
ber 2013 on the theme ‘Revolutions in Education: New Opportunities for Develop-
ment?’ The conference will be jointly organized by the Department of Educational
Research and Development of Maastricht University and the Maastricht School of
Management.
ANNUAL REPORT 2012

23. Financial Situation and Key Indicators
MsM is an independent and “not for profit” organization. The majority of our revenues
come from tuition fees paid for by our students and project financing that is received
from donor organizations. MsM also receives a contribution from the Dutch Govern-
ment for its activities related to developing countries and MsM students in Maastricht
have benefited from government sponsorships, “Nuffic”.
An overview of MsM’s key financial indicators is shown in the table below:
Financial results 2011 -2013 (in Euros*1000)
2012 2011
Revenues
Educational activities
MBA 3.969 4.368
Short courses 1.024 1.885
Research (DBA/PhD) 792 400
Research projects 256 554
International Projects & Programs 1.626 1.672
Subsidies 2.503 2.864
Other 246 248
Total revenues 10.416 11.991
ANNUAL REPORT 2012

24. Financial results 2011 -2013 (in Euros*1000)
2012 2011
Costs
Personnel costs 5.773 6.472
Education costs 2.917 3.619
Other costs 2.321 2.278
Total costs 11.011 12.468
Net result -595 -477
General Review
As a result of continued Dutch budget cuts (e.g. Nuffic scholarships), MsM faced a fur-
ther decline in governmental subsidies. However, an effective belt-tightening strategy
enabled MsM to achieve a break-even operational result despite a EUR 1.5 million drop
in income.
Incidental costs tied to MsM’s 60th anniversary celebrations, combined with continued
investment in research and doctoral programs, resulted in a net result of - EUR 595,000
for the year ending 2012.
Revenue, Margin and Expenses
Revenuesfellby13percent,fromEUR9.1millionto7.9million.However,thegrossmar-
gin of educational programs and project related activities rose by 10 percent, mainly
due to the more effective use of internal staff, which substantially lowered spending
ANNUAL REPORT 2012

25. Revenues fell for educational activities in Maastricht due to a decline in Nuffic (govern-
ment subsidized) student numbers. Meanwhile, revenues remained steady from MBA
programs offered abroad by MsM in collaboration with partner universities. Further,
revenues of the DBA program increased substantially, mainly due to the success of the
Research Methods and Skills program and continued investment in research capacity
and culture.
With the decrease in revenues and the effects of the cost reduction plan, personnel
costs and other operating cost subsequently decreased.
Financing Ratios
The solvency of MsM remains steady at 34 percent (2011: 33 percent) at the end of the
2012 Financial Year. Working capital decreased by 2 percent, but remains satisfactory.
In order to further improve its financial position MsM will focus on increasing revenue
streams and maintaining appropriate control over expenditure.
Future
MsM is in the middle of a significant and exciting transition phase, given its plans of
closer cooperation with the University of Maastricht, changes in government support
and priorities, economic growth dynamics in emerging economies, and the rising im-
portance of new technologies in making higher education cheaper, more accessible
and more effective.
Intakingupthesechallengesandopportunities,MsM’sstrategyisthreefold:tofocuson
Quality, Efficiency and Relevance (QER). In terms of Quality, continued investment in
research and doctoral programs, closer cooperation with the University of Maastricht,
ANNUAL REPORT 2012

26. and innovative development of new (accredited) programs and new partnerships will
be followed to attract better and more private paying students and different sources
of government funding. In terms of Efficiency, upgrading of ICT infrastructure, ongoing
organizational reforms and cost containment will result in an even more productive,
professional school; in terms of Relevance, MsM will establish even closer links with
the private sector, more closely align applied research with education program con-
tent, and demonstrate its contribution to personal and societal success through closer
ties with its students and alumni.
ANNUAL REPORT 2012

27. General Contact Information
Visitors address:
Endepolsdomein 150
6229 EP Maastricht
The Netherlands
Postal address:
PO Box 1203
6201 BE Maastricht
The Netherlands
T +31 43 38 70 808
F +31 43 38 70 802
info@msm.nl
www.msm.nl