_WHAT DOES ESADE DO THAT OTHER BUSINESS SCHOOLS DON’T?

Its distinctive contribution relates to how it views people in businesses and businesses in society. This transpires in the education it provides and the research it carries out, in its leverage, its influence in business circles... But above all, in its social commitment.

_WHAT DO YOU MEAN BY SOCIAL COMMITMENT?

At ESADE we believe that educating good business leaders and excellent legal professionals amounts to contributing to the country’s social and economic development. This is why we encourage and attract talent through our scholarship programme. And this is why we work so single-mindedly to create and disseminate knowledge that is of use to the business and legal communities through research. Our social commitment lies in investing in knowledge and talent to create a more prosperous and more just future society. This implies being a lot more than just a school: It implies being an organisation with an active, transforming role in society.

_TALENT AND KNOWLEDGE ARE TWO SOMEWHAT FUZZY CONCEPTS, AREN’T THEY?

No, in fact they’re not. A person’s talent is what helps to improve, change and possibly revolutionise management practices. And knowledge is what helps move forward and bring significant improvements to business management. The same can be said of the legal field. For instance, ESADE was a pioneer in introducing a methodology into its curricula to help develop its participants’ managerial skills. Today this methodology influences the efficiency of a lot of organisations thanks to the research it involves and to engaging faculty who specialise in the field. Talent and knowledge go hand in hand, they feed each other. And they are the basis of the future; something to inspire and be built upon.

_SURELY THE TERM ‘SOCIAL COMMITMENT’ IS MORE TYPICAL OF AN NPO THAN OF A BUSINESS SCHOOL?

ESADE is a private School that provides a socially beneficial public service. But it is also a non-profit foundation and as such we do not distribute profits. All income generated is reinvested in order to innovate in terms of knowledge and to raise the School’s educational standards: to continue its direct impact on the development of individuals and the creation of successful, sustainable and socially responsible businesses. This is where our social commitment lies. This is why we need external contributions from individuals and companies, to help us reach the level of excellence worthy of an educational institution the likes of ESADE.

_THE BEST SCHOOLS IN THE WORLD FINANCE PROJECTS THROUGH ENDOWMENTS. HOW DOES THIS WORK?

It works by creating a fixed capital fund whose annual returns are used for strategic projects through scholarship programmes and research projects. The endowment method is widespread amongst the world’s most prestigious universities and allows future generations to reap benefits from today’s efforts. ESADE’s Endowment Fund had reached an unprecedented €1.8m by the end of the 2007/2008 financial year. We predict that this figure will exceed €6m next year.

_IF ONLY THE ENDOWMENT FUND’S RETURNS ARE SPENT, HOW CAN YOU FINANCE ALL YOUR PROJECTS?

Allocating all contributions to the Endowment Fund would not be a sound decision. This is why they are spread out: One part goes to the Endowment Fund (a fixed capital fund), which enables us to protect the institution’s future needs and, at the same time, gives us medium- to long-term stability. But another significant part goes to current funds, which have direct uses in the current financial year and therefore allow us to finance immediate needs. In other words, the Endowment Fund enables us to finance ESADE’s medium- and long-term challenges; and current funds enable us to take care of the most immediate projects in the short run. This balance is fundamental in order for ESADE to pursue its ambitions.

_NEVERTHELESS, DO YOU HAVE A SPECIFIC FUND-RAISING TARGET?

We do not as yet have a set target, but we do have benchmarks. US schools with the largest endowments have funds in excess of several billion euros. But targets in the rest of the world are more within our reach. In Europe we have interesting examples such as France’s INSEAD, which, despite being a long way from leading US schools, already has an endowment fund of over €100m; a substantial figure.

_WHAT CHALLENGES DO YOU SEE FOR THE FUTURE?

One challenge would be to continue investing in knowledge and in the School itself in order to extend its impact on society and to continue to attract talent. But there’s one particularly important challenge: to maintain our identity in a changing environment and stay true to our mission. And, of course, to celebrate another 50 years of social commitment.

CARLOS LOSADA
Director General of ESADE

I’m fifty-two years old and was born in Logroño. I’m married and have four children.
I’m Associate Professor and Director General of ESADE. Politics is extremely important, it must not be trivialised. Spirituality and religion are fundamental as a source of life, meaning, liberty, solidarity and transcendence. I am a Christian.

"OUR SOCIAL COMMITMENT LIES IN INVESTING IN KNOWLEDGE AND TALENT TO CREATE A MORE PROSPEROUS AND JUST FUTURE SOCIETY."

"ESADE IS A PRIVATE INSTITUTION. IT PROVIDES A SOCIALLY BENEFICIAL PUBLIC SERVICE. BUT IT IS ALSO A NON-PROFIT FOUNDATION AND AS SUCH IT DOES NOT DISTRIBUTE PROFITS; THEY ARE REINVESTED IN THE EDUCATIONAL PROJECT."

"ESADE’S ENDOWMENT FUND HAD REACHED AN UNPRECEDENTED €1.8M BY THE END OF THE 2007/2008 FINANCIAL YEAR."