ISSN (Print) - 0012-9976 | ISSN (Online) - 2349-8846

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Governance Changes or Privatisation?

A Critique of Recommendations of the Bhargava and Balakrishnan Reports

The Government of India, acting through the human resource development ministry, is actively considering a series of drastic changes to the governance structure and the role of faculty in the IIM system, based on the recommendations of two committees chaired by Ajit Balakrishnan and R C Bhargava. The proposed changes have potentially far-reaching consequences on the future of IIMs and raise important questions on the methodology followed, the lack of participation by key stakeholders, the lack of public consultation and, in general, a lack of professionalism in formulating such important policy recommendations. The present paper contains a discussion of some of these issues, with a view to promoting active participation by various stakeholders and improving the policymaking process.

The Indian Institute of Management (IIM) system presently comprises six institutes and will grow to 13 in the near future. Each IIM is managed by a registered society which in turn is controlled by the Government of India, and includes as members, representatives of the state government and others. Each IIM also constitutes a board of governors (bog) charged with the responsibility for the operation of the institute. In addition, most institutes have a faculty council in place, to deal with academic matters, though this is not a statutory requirement.

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