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September 13, 2010 - Image 6

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6A - Monday September 13, 2010
From Page lA
think differently about a variety of
Ted London, an expert on the
impact of market-based strate-
gies on poverty alleviation and the
director of the Base of the Pyra-
mid Initiative at the University's
William Davidson Institute, said
Prahalad brought his inquisitive
nature to all of his projects.
"What I remember most about
C.K. is his questions," London said.
"He could kind of reframe the way
we think about things."
The speakers who knew Pra-
halad as a teacher, colleague, aca-
demic collaborator and leader
emphasized that Prahalad's influ-
ence stretched far beyond theoret-
ical ideas and discussions.
Jan Timmer, former CEO of
Philips Electronics, said Prahalad
helped save the company when it
was in "very dire straights" and on
the verge of bankruptcy.
The two met for lunch one day,
Timmer recalled, and discussed
the state of the company. By the
end of the meal, they had formed
From Page 1A
reinvent our state," Snyder, said.
"That's what drove me to run."
During his question and answer-
centered talk, Snyder - the for-
mer president of Gateway Inc. and
founder of Ann Arbor SPARK, an
organization that provides funding
to start-up ventures - focused on
the unlikely growth of his campaign
and the role University students
play in the state's future.
Snyder said he chose to run for
governor after realizing that the
state's economic problems required
more than quick "fixes."
"We have a broken government
model in our state. 'Fixes' are not
good enough," Snyder said. "It's
time for structural reform."
Though he had. never run a
political campaign before entering
the race, Snyder said his business
experiences prepared him for the
From Page 1A
of the process from developing the
platform, to researching University
finances, from sitting at the table to
creating an effective communica-
tion system, and finally, the ratifica-
tion vote itself," Halloran said in the
press release.
James Anderson, who led the
LEO bargaining team, echoed Hal-
loran's comments, thanking the
other members of the union's nego-
tiation group.
"It's terrific that the members
have ratified the work of the bar-

The Michigan Daily - michigandaily.com

a way to restructure and revitalize
"It was remarkable," Timmer
said. "It was only that lunch, there
was no paperwork, there were no
studies, there were no committees.
There was nothing but a meeting
of minds and a handshake."
At a gathering of 100 Philips
executives, Timmer said Prahalad
conducted "psychological war-
fare" on a "hostile and difficult
audience" with decades of expe-
rience and resistance to reform.
Eventually, Prahalad convinced
the executives that the company
was headed for destruction if
things didn't change.
"He was like an exorcist driv-
ing out all the bad habits of these
people," Timmer said Saturday.
The ninth of 11 children, Pra-
halad was born in Coimbatore,
India in 1941. His father was a
well-known Sanskrit scholar and
judge and his mother was a home-
While earning his Bachelor of
Science degree in physics at Loyola
College in Chennai, India, one of
Prahalad's professors recommend-
ed him for an internship at a Union
Carbide Corporation battery plant.
election cycle in ways he hadn't
"It's amazing how similar start-
ups are to political campaigns,"
Snyder said. "You need a vision, a
business plan and then you need to
move along that path."
For Snyder, that path revolves
around a "10-point plan," which he
says is the key to a better future for
The plan emphasizes job cre-
ation, tax and educational reforms
and measures to keep residents in
the state as well as attract new ones.
Snyder said the plan will "move the
ball ahead in a way that impacts real
But getting the ball rolling in the
first place wasn't easy, Snyder said.
He explained there was a point
during the race when it seemed so
unlikely that he would win the pri-
mary race that some polls actually
placed him in the margin of error.
"I was at like 2 percent," Snyder
gaining team," Anderson said in
a statement. "This will build on
achievements of the previous two
contracts. I think it's the best one
In a phone interview yesterday,
University spokesman Rick Fitzger-
ald also praised the agreement's
"The University is pleased with
the news of the ratification and is
encouraged that the tentative agree-
ment received such strong support,"
Fitzgerald said.
And though both parties
expressed satisfaction after the con-
tract was ratified, they were not as
cordial toward each other through-

At 20, Prahalad was promoted to
manager - the youngest to hold
such a position in Union Carbide
In 1964, Prahalad went on to
receive a postgraduate degree in
business administration at the
Indian Institute of Management.
During his time at the insti-
tute, Prahalad met his future wife
Gayatri, who he married five years
later. They had two children -
Murali and Deepa - and all three
family members attended Satur-
day's service and spoke in honor of
their husband and father.
In 1975 Prahalad graduated
from the Harvard Business School
with a Doctor of Business Manage-
ment. He wrote his doctoral the-
sis on multinational management
with classmate Yves L. Doz, who
attended the memorial on Satur-
According to Business Week,
Prahalad's thesis was one of the
first studies to claim corpora-
tions needed to reorganize to
employ global strategies while still
addressing local needs.
After graduating from Har-
vard, Prahalad returned to India
to teach at the Indian Institute of
Snyder said he was discouraged
during this low point in the cam-
paign because few people were will-
ing to support him publicly.
Nevertheless, Snyder won the
Aug. 3 Republican primary with
about 36 percent of the vote.
"I didn't say anything before, but
I actually thought we were going
to have a big win," Snyder told the
Later during the talk Snyder
shifted his focus to the University
community, which made up the
majority of the audience, and called
it "one of the few shining stars" left
in Michigan.
If elected, Snyder said he plans
to implement measures that would
help greater numbers of financially
underprivileged students attend
schools like the University.
"We need to put a priority on
getting financial resources to the
people that have need," Snyder said.
Snyder also encouraged current
Universitystudents totravel outside
out the long negotiation process,
publicly expressing frustration with
each other.
However, when the tentative con-
tract agreement was reached last
month, both parties called it "a fair
compensation package for the 1,445
non-tenure-track instructors on
the three U-M campuses," in a joint
press release.
The package includes planned
salary increases for each ofthe three
years in the life of the contract. And
while LEO officials typically don't
like to plan such increases specifi-
cally in the contract, Halloran said it
was necessary because of past inci-
dents with University administra-

Management. Discouraged by the
lack of academic freedom in his
home country, Prahalad and his
family left India two years later
and moved to Michigan, where
Prahalad became a visiting profes-
sor at the University's Ross School
of Business.
In 1990, Prahalad and colleague
Gary Hamel, who could not attend
the memorial service but spoke of
Prahalad in a video tribute, pub-
lished "The Core Competence of
Corporate Strategy" in The Har-
vard Business Review. The paper
laid the groundwork for the con-
cept of "core competency," which
today industry experts identify as
a crucial factor in how businesses
The article, one of numerous
articles Prahalad published in The
Harvard Business Review, won the
McKinsey Prize and is one of the
most reprinted articles in the his-
tory of the magazine.
In a speech at the memorial,
Harbir Singh, one of Prahalad's
students in India, highlighted the
international success of one of
Prahalad's books "Fortune at the
Bottom of the Pyramid: Eradicat-
ing Poverty Through Profits." He

said he's overheard businessmen
and businesswomen discussing the
book as far away as New Delhi and
South Africa.
In the book, Prahalad argues
that the people at the "bottom of
the pyramid," who are often dis-
missed as outsiders of the inter-
national economy, are actually the
future of the global market.
Singh said merely reading the
comments about the book on Ama-
zon.com is enough to understand
the book's impact.
"This is one of the most refresh-
ing set of ideas people have seen on
how poverty can be alleviated, and
it's not about charity, and it's not
about government policy," Singh
said. "It is certainly beyond those
Praveen Suthrum, a student who
helped Prahalad with research for
"Future at the Bottom," told those
at the ceremony that he thought of
Prahalad not only as a professor,
but also as a mentor, critic, friend
and guru, which he defined as "a
medium or channel that gives you
a glimpse of truth."
"When I reflect back and look
at all this, that's what he was. He
was a guru," Suthrum said. "And

when I think of him this way, he
remains a constant, and I don't feel
obligated to talk about him retro-
Throughouthis career, Prahalad
received several honors including
the Pravasi Bharatiya Samman -
awarded by the president of India
to men and women who make
exemplary contributions in their
fields - and the Padma Bhushan -
the third highest civilian award in
The ceremony, attended by
about 100 people, concluded with
speeches from Prahalad's chil-
dren. Deepa described her father's
ability to build bridges between
theory and practice, east and west,
rich and poor. Murali highlighted
the core attributes he saw in his
father, including a relentless pur-
suit of excellence, a deep empathy
for those less fortunate, a comfort
with himself and an ability to rec-
oncile some of life's most challeng-
ing extremes.
"He was an extremely consis-
tent person and much of what was
experienced on the outside was
experienced perhaps with all the
more added intensity at home,
Murali said.

Republican candidate for Michigan governor. Rick Snyder discusses the University's role in the state's future on Friday

Ann Arbor and help foster educa-
tional growth in struggling cities
like Detroit.
"It's so important to get Detroit
back on a positive path to success
Inpastcontracts, lecturers' salary
increases were often tied to faculty
"The University did not want to
be in the same position in another
year or two years, or three years
later where there was a disagree-
ment on what the raise was that lec-
turers would get," Halloran told the
Daily last month. "So they insisted
on negotiating for a fixed percentage
raise and that's why that language is
Language in the tentative agree-
ment specified that lecturers would
see a 2.5-percent increase in 2010
and 2011 and a2.75-percent payraise

because Ann Arbor is good, but it's
not good enough," Snyder said.
Throughout his speech, Snyder
compared a good government to
an efficient business operation -
in 2012.
Additionally, lecturers will be
more gradually introduced to the
University's new modified health
insurance cost sharing program.
The new cost sharing burden will
not be fully experienced by lecturers
until 2012 and even then, lecturers
with a 50- to 79-percent appoint-
ment will be safeguarded from any
negative impacts on their salaries.
The minimum salaries lectur-
ers are allowed to receive will also
be increased by $1,300 over the life
of the contract and lecturers will
receive a $500 "base salary adjust-
ment" in Sept. 2012.
And while LEO members over-

and himself to the perfect business
"I think I'm one of the first man-
agers running for office in a long
time," Snyder said.
whelmingly approved the tentative
contract agreement, Halloran told
the Daily last month after the tenta-
tive agreement was announced that
she views this as only the first step
towards closing the gap between
lecturers and other faculty at the
"From our perspective, it's a small
step towards what we're looking fo,
but it's the beginning of what we're
hoping to be a continual process..
that we can continue to make these
kinds of salary adjustments over
time because of the tremendous gap
between what lecturers getpaid and
what tenure track faculty get paid,"
Halloran said.

RELEASE DATE- Monday, September 13, 2010
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