CHAPTER 10

JPMorgan Chase

Business-University Partnerships Support Technology Education for Undergraduates

Jeffrey Saltz and Jennifer McDermott

It is common practice for universities to work with companies to bring real-world examples of work situations to students through guest speakers, information sessions, and internships. However, these engagements have not always led to a significant university–industry relationship that provided value to both organizations. JPMorgan Chase (JPMC) reached out to several universities in 2007 to seek a stronger, more in-depth relationship and to create an enhanced education program that would improve technology education of undergraduate students. In 2007, Syracuse University (Syracuse, NY) became the first school to collaborate with JPMC on this endeavor. University of Delaware (Newark, DE) agreed to a similar model in 2009. These two universities joined forces with JPMC to collaborate on activities in the areas of curriculum, work experience, research, and community engagement, with the following goals:

1. Transform the way technologists are trained in the classroom and on the job.

2. Drive innovation in university education and financial services technology.

3. Deliver long-term value to JPMC, to the universities, and to the broader community.

4. Create a sustainable model for world-class university–industry collaboration.

Large technology-driven enterprises, such as JPMC, need workers with technical talent and the skills required for success in today’s global enterprises. The demand for university-trained technical workers has increased significantly over the past few years, and it is evident that the problem is not a lack of jobs but rather a lack of students with the skills necessary to fill these roles. There is often a vast disconnect between how universities are educating their students and what businesses need and are looking for in their new employees. In fact, according to a December 10, 2012 article by Josh Bresin in Forbes, “Growing Gap Between What Business Needs and What Education Provides,” 45% of United States employers say the lack of skills is the main reason for entry-level vacancies; only 42% of worldwide employers believe new graduates are adequately prepared for work, whereas 72% of educational institutions think their students are prepared. An article in IEEE Computer Magazine in March 2013 stated that by 2018, U.S. universities will produce only 52% of the number of graduates with computer science bachelor’s degrees that will be needed to fill the 1.4 million available jobs.¹ Through unique, collaborative relationships, universities can work with corporations to develop and enhance the curriculum, and provide students with real-world working experience that can be translated back to the classroom, linking theory with practice.

In addition to students lacking the skills needed to fill technology-focused roles, there is also a shortage of diverse students attracted to or retained in science, technology, engineering, and mathematics (STEM) disciplines, making it challenging to bring unique and varied backgrounds, experiences, and viewpoints to corporations. In a report by the National Science Foundation, it is stated that women earn approximately 20% of the bachelor’s degrees in computer science, even though women hold 60% of all bachelor’s degrees. In 2012, the National Center for Women and Information Technology reported that the percentage of computing occupations held by women has been declining since 1991, yet the percentage of jobs held by women in almost all other sciences has increased significantly. Equally motivated to change these numbers, universities and their industry partners can work together to explore and address the key issues driving this lack of diversity.

Program Description

The collaboration model developed by JPMC, Syracuse University (SU), and the University of Delaware (UD) has demonstrated a new and unique way of establishing a relational, rather than transactional, university—industry partnership. The model focuses on having the university build a relationship with an industry partner across the interrelated areas of (1) curriculum development, (2) recruiting and work experience, (3) research, and (4) community engagement. The reasons for selecting these areas are as follows:

1. Enhancing the university curriculum helps to ensure that students are better prepared for technology careers in large, global institutions. This goal is achieved by providing interdisciplinary programs that train students in creating and running software systems for large technology-driven companies.

2. By offering students robust, innovative, experiential learning internships, students gain real-world work experience.

3. Research efforts enable university faculty and JPMC technologists to collaborate on joint projects that solve business issues while also providing interesting opportunities for students.

4. Through community-engagement initiatives, the corporation and the universities work to expand the pipeline of technology students.

To achieve the desired goals, which have been agreed upon by both industry and universities, and to ensure a successful relationship, the following steps must be taken when establishing a relationship-based collaboration:

• Set up a long-term strategic relationship.

• Focus on a full collaboration, not simply based on a sponsorship, endowment, or charitable gift.

• Integrate the curriculum across courses and programs, not just in a single course.

• Create immersive learning experiences for students, not just updates of existing course assignments.

• Generate applied research focused on areas of mutual interest, not just “directed research” or gifts to the university.

• Address all levels of each organization. Seek the involvement and support of senior executives and senior university administration officials, so that potential roadblocks that might arise within the course of the collaboration can be avoided.

From an operational perspective, the JPMC–university collaboration functions via the definition and execution of specific projects, which are linked and integrated at the program level. For example, participants are in regular communication with one another through multiple points of contact as well as regularly scheduled meetings, in order to ensure that all milestones and deliverables are met. Specifically, each research effort needs to establish a joint university-industry working team that meets on a regular basis. Similarly, each course that was developed or enhanced also needs to have a joint program team with regular updates. In terms of execution, all parties understand that they will all be held equally responsible and accountable for the outcomes.

While the focus needs to be on the structured the execution of projects, there also needs to be a spirit of openness and flexibility. This is critical for two key aspects. First, when issues arise, the team needs to feel free to brainstorm the best path forward. Second, this openness and flexibility enables the free sharing of ideas between the university and JPMC. For example, one by-product of this brainstorming was the creation of the Institute for Veterans and Military Families (IVMF) at Syracuse University. The IVMF was the first national center in higher education focused on the social, financial, education, and policy issues impacting veterans and their families after discharge from the service.

The collaboration model has created several opportunities for students. For example, as a byproduct of face-to-face meetings at the university, JPMC employees have had an opportunity to directly engage students. This engagement has ranged from classroom participation, such as a guest speaker in a class or being “pitched” a student idea (and giving feedback on that pitch), to giving university-wide talks to hundreds of students and faculty members. Beyond these informal opportunities, the collaboration has created several work opportunities for students, including 10-week summer internships, academic-year internships that enable students to work part-time while continuing to take courses, and immersion experience co-ops like internships, in which students work for 8 months but also take courses that leverage their work environment. Finally, research projects have provided yet another opportunity for student engagement, as students participate in JPMC research projects.

Program Impact

Through these relationships, JPMC has found that it is able to build a better pipeline of technology talent and to leverage university research expertise to help solve complex, strategic business issues. From a university perspective, the primary audience for this program has been college students not just in programs such as computer science, computer engineering, and management information systems, but other students who might have a desire to understand how technology is leveraged within a global enterprise. In addition, there are several initiatives within the program that are aimed at targeting younger students (kindergarten through high school) with the goal of increasing interest in STEM areas of study as well as future careers in technology.

The university collaboration effort has engaged hundreds of JPMC employees, thousands of students (often working as interns), and faculty across all schools within the universities as well as in the surrounding communities. This work has resulted in the following significant milestones that have been achieved since this program began:

• 2007: A global enterprise technology (GET) minor was established at SU.

• 2009: JPMC opened the JPMC Technology Center on SU’s campus.

• 2011: JPMC opened the JPMC Innovation Center on UD’s campus and established the GET minor at UD.

• 2012: The Institute for Veterans and Military Families (IVMF) was cofounded with SU. The GET Certificate of Advanced Study (CAS) was created at SU. The Institute for Financial Services Analytics was cofounded with UD.

• 2013: The systems and information sciences (SIS) major was created at SU, and the Ph.D. program in financial services analytics was developed with UD.

Benefits to Students

The benefits provided to students through this collaboration are extensive. An on-campus presence has provided students with part-time employment opportunities in a fully functioning JPMC office. The JPMC Technology Center at SU is located in an active area—the first two floors of Lyman Hall—where university classes are conducted in the rooms adjoining the JPMC space. The center has a capacity for 150 employees, with at least 50 interns working in the space. The center focuses on IT/cyber risk. Cyber functions support a range of activities, including advanced security event management and a state-of-the-art Cyber Command Center. Opened in 2011, the JPMC Innovation Center at UD is located on the first floor of Purnell Hall, with a capacity for 15 employees. Currently there are three full-time and at least 30 part-time academic interns. JPMC is also currently working with UD on an expansion of the Innovation Center, which will include a four-floor addition to Purnell Hall, nearly tripling the square footage of the current space and doubling the number of work stations available for student employees. Both campus locations have also been equipped with JPMC wireless connectivity, virtual desktop infrastructure, Cisco Telepresence capabilities, touchscreen monitors showcasing information about JPMC and the collaboration, and laboratory space for researchers to work within the JPMC infrastructure. By leveraging this infrastructure, student interns work on a variety of projects, ranging from IT/cyber risk to software quality assurance.

By incorporating the world of industry practice into the classroom, students are able to develop business skills and are given the opportunity to engage with JPMC employees (as well as employees from other companies) in a variety of ways, including guest lectures, sponsored classroom projects, and site visits to office locations and data centers. This has enabled students to better understand their area of study and see how it is applicable to the industry and to their potential careers.

The internships available to undergraduate students at SU and UD have provided long-term development through hands-on experience, mentoring, and training. Opportunities during the academic year as well as the summer have enabled students to put into practice what they have been learning and to gain a strong understanding of a real-world corporate culture. This knowledge can be used to enhance the content that the students are learning in the classroom. In addition, there is continual contact between interns, managers, and the collaboration team, to evaluate school and work performance, with strengths and opportunities discussed regularly and development plans tailored as necessary.

Through involvement in community activities such as presentations and summer camps, JPMC and the universities expose younger students to experiences and industries that they previously may not have considered as a future area of study. In addition, engaging with students at a younger age helps to better prepare them for future educational opportunities and also helps to retain interest in STEM programs.

Benefits to the Universities

To date, 80 courses and seven new academic programs have been developed at SU and UD. Each curriculum project connects university professors with JPMC employees, and these small teams work closely on program and course development, course delivery, evaluation of course deliverables, and oversight of internships. As a result of the relationship with JPMC, university faculty have also been given the opportunity to observe student internships and interact with intern managers and other employees, allowing faculty to ensure that course material is relevant and applicable to industry.

In the research space, an internal JPMC research board was established to review proposed research ideas (both internally and externally generated faculty ideas), sponsor projects, facilitate brainstorming sessions and idea generation, and, in general, help inspire large-scale research ideas. Through presentations to JPMC employees, university faculty have been better able to understand the problems that the industry is currently facing, leading to the development of research project ideas and proposals. At the University of Delaware, JPMC cofounded the Institute for Financial Services Analytics, and the first Annual Conference on Big Data was held in October 2012. JPMC has also held multiple “university research” days, inviting faculty from Syracuse University and University of Delaware to conduct joint brainstorming sessions on potential areas of applied research within a JPMC facility. Finally, faculty members at both Syracuse University and the University of Delaware have been appointed as faculty fellows, enabling them to spend 6 months, or longer, in residence at a JPMC location. Faculty fellows have been able to better understand JPMC challenges and act as a conduit for information between the university and JPMC.

Through commitments to local community organizations, JPMC and the universities have worked with middle school and high school programs to help increase the number of students, early in their education, who are interested in pursuing STEM degrees.

Benefits to the Community

This university–industry relationship has deeply impacted and benefited local and national organizations as well. One key example, as noted above, is that JPMC and SU cofounded the IVMF in June 2011, with the mission of providing higher education opportunities to veterans and their families. The institute develops education and employment-focused programs in collaboration with industry, government, nongovernmental organizations (NGOs), and the veteran community, to address the primary financial and public policy concerns of our nation’s servicemen and -women, and their families.

In Syracuse, JPMC supported the “Say Yes to Education” program, with the goal of increasing high school and college graduation rates for urban students, as well as the Hillside scholarship program, which works to increase graduation rates, college attendance rates, and employability of high school students. In addition, teams of JPMC Technology Center employees, both full-time staff and interns, have volunteered over 500 hours a year to a variety of community initiatives such as Habitat for Humanity, helping employees and students build stronger connections with the surrounding community.

In addition, JPMC has participated in community-focused discussions such as the National Governors’ Association panel session, “Leaders Speak: Models from the Private and Public Sectors,” and SU’s Future Professionals Program in May 2013. JPMC has also had meetings with government officials, such as a meeting with U.S. Senator Thomas Carper of Delaware, to discuss university collaboration issues that affect his state and the nation.

As an example of how students and full-time JPMC employees work together, during the summer of 2012 teams of full-time JPMC analysts and summer interns from the JPMC Technology Center at SU worked to deliver a diverse set of technology initiatives for a global base of nonprofit institutions. More than 40 resources contributed to six selected projects, providing nearly 1,800 hours of service at an estimated cost savings of $100,000 for the nonprofit institutions involved. In Delaware during that same summer, JPMC analysts participated on a panel in the UD pedagogical series, a 6-week program in which high school interns learn about all aspects of university life. The University of Delaware asked JPMC to give a presentation on what life is like after college in a corporate setting, preparing the students for the workplace and emphasizing why it is critical to excel in college.

In addition to working on these initiatives with SU and UD, JPMC has also worked with other universities. For example, during the summer of 2013, JPMC sponsored Rochester Institute of Technology’s Tech Girlz Summer Camp. This week-long camp was for deaf and hearing-impaired girls entering 7th, 8th, and 9th grade who have an interest in STEM. During the day, the girls participated in a variety of educational activities including building a high-tech gadget, designing webpages, and a taking a behind-the-scenes tour of an amusement park, and in the evenings they engaged in social activities such as bowling, an ice cream social, and a dance party.

Benefits to JPMC

The relationships that have been fostered with these universities and communities have also proven to have substantial benefit for JPMC. The on-campus offices have provided employees with the opportunity to frequently interact with university faculty, staff, and students on various projects, events, and initiatives. The University of Delaware is located in close proximity to several JPMC offices, making the Innovation Center easily accessible to approximately 7,500 JPMC employees. The Technology Center at SU has a capacity for over 100 full-time employees. In addition, the on-campus presence improves, enhances, and builds the JPMC brand on campus and in the community, particularly as a technology firm.

Working with the universities to create and enhance curriculum has allowed JPMC to increase industry content and context in the various courses and programs, better preparing students for roles within the firm. Engaging with students in the classroom has also been beneficial when it comes to recruiting, as students can see how their coursework and degree may be applied to the industry and to their potential careers. Furthermore, the Ph.D. program in financial service analytics at UD provides JPMC with long-term and in-depth research projects as well as a supply of well-trained professionals with knowledge of theory, with the skills of modeling financial service problems, and with a firm understanding of the culture at JPMC.

Working with these academic institutions has also provided JPMC employees with education and volunteer opportunities. As a result of our relationship with these schools, employees have been offered courses at a discounted rate and have also been given the chance to apply for scholarships for graduate courses. This has added to the plethora of educational resources already available to JPMC employees, and has given them the opportunity to pursue areas of interest in both matriculated and nonmatriculated programs. As an added benefit, community engagement initiatives have allowed students to demonstrate their abilities to JPMC recruiters and technologists, who are actively involved with each event. Through engagement with programs at the middle school and high school levels, JPMC strives to assist with the retention of underrepresented STEM students in universities. These initiatives help to create a broader view of JPMC in the local communities.

A study conducted at one university by Gault, Redington, and Schlager in 2000 concluded that recent graduates who had internships during their undergraduate program were better prepared for the job market, obtained their first job more quickly, had higher starting salaries, and were more satisfied with their positions than were those who did not intern.² Positive internship experiences at a cutting-edge, on-campus office have also helped build JPMC’s technology brand awareness on campus and have increased interest in internships from other students. The longer time frame of the GET immersion experience and extended internship has provided students with the opportunity to work on and deliver real and valuable work to the firm, while also exposing them to the company’s culture. This ensures that interns who accept full-time offers at the conclusion of their internships have a meaningful understanding of what life would be like as a company employee. In addition, internships also allow JPMC to observe the results of their university curricular enhancements and help to give further insight for future areas of development.

Finally, over 20 research projects have been executed with SU and UD, with areas of focus including cyber risk and information security, analytics, improved efficiency, and large-scale database management. Results of these research projects have delivered significant value to JPMC. There have also been six nationally recognized academic publications, further promoting JPMC as a technology firm. University faculty are also invited to give presentations to JPMC employees, enabling employees to better understand emerging research trends and leading to brainstorming of additional research projects.

Sustaining the Partnerships

Several key factors enabled the success of our efforts in this university–industry collaboration. One factor was that individuals within each organization were devoted to the program’s mission. While this might seem obvious, it is equally important that this support should be sought from all levels of the organizations involved, particularly senior management. On JPMCside, chief information officers, chief technology officers, senior architects, and line-of-business executives were all engaged and informed of the goals, objectives, challenges, and accomplishments of the collaboration. Within the universities, the list of active participants included the chancellor/president, provost, vice president for research, and academic deans.

Related to this engagement at all levels within all organizations, throughout this effort, there was a continuing effort to engage all the stakeholders. This was achieved through regular update meetings with executives, governance committees, recruiters and career services, and other groups within JPMC and the universities. Internal newsletters were distributed to key JPMC employees and those who expressed an interest in being involved with various collaboration initiatives. Stakeholders were invited to on-campus events, including speaking engagements, athletic games, research sessions, and networking events, which helped to create and build relationships across the firm and the universities.

In addition to engagement at all levels within each organization, communication across the organizations was equally important. We found that an open line of communication between JPMC and the universities was essential to the success of this program. For example, when issues arose, it was crucial that all parties involved were comfortable with discussing problems, concerns, and solutions in a collaborative manner. Furthermore, university faculty and JPMC staff were in continual contact with one another regarding the efforts of all parties, including deliverables expected and milestones achieved. To enable this active communication to occur, there were points of contact for each area of the collaboration, and meetings were held regularly regarding each of the four program pillars (curriculum, research, community engagement, and internships), as well as regular leadership meetings. This regular communication and face-to-face contact ensured that everything was running smoothly and as planned, despite the changing academic calendar and business demands. Equally important, these meetings enabled the rapid identification of issues, so that they could be quickly solved or mitigated, without finger pointing across the organizations.

Finally, one observed benefit that we did not anticipate, was the cross-pollination of ideas across the different areas of focus. For example, when a JPMC employee visited a campus to give a guest lecture, the connection between the JPMC employee and the faculty member often led to discussions about possible research projects. Conversely, we also had an example where a research project led to the creation of a new course. There were also many discussions on the intersection of community engagement and curriculum, such as supporting a not-for-profit organization via a class project.

Challenges

During our time working across organizations, the main challenges we encountered, and then strove to resolve, were typically caused by the cultural differences between an academic institution and a for-profit enterprise. One such cultural difference is language and the meaning of specific terms and phrases, which can vary between industry and academia. For example, a short-term university research project is typically considered a long-term effort from an industry perspective. An instance of this occurred when JPMC reached out to the faculty at one of the universities regarding the development of a new course. Ultimately, the introduction of the new course was delayed by a year in order to transition faculty into new roles more seamlessly. This timing was considered normal or even slightly accelerated from an academic perspective, but was considered to be a major delay from an industry perspective.

Another challenge is that the corporate calendar is different from the academic calendar. For example, year-end events occur in December for JPMC and in June for the universities. Also, the universities have scheduled vacations, such as winter break, that do not exist in a corporate environment. Therefore, it is important to recognize the differences in the way universities and industry operate, and timelines and schedules need to be adjusted so that they are mutually beneficial to all organizations involved.

Conclusion

All of the challenges we faced in this university–industry partnership were managed and mitigated via our focus on communication and active brainstorming. In addition, flexibility on both sides of the relationship is necessary, as changes can occur regularly within organizations and tasks may need to be reprioritized. Furthermore, we have found that a well-structured collaboration model ensures that neither side is forced into a position where it must abandon a core principle. Equally important, each side gains from a particular task. To help achieve this gain for both organizations, the parties involved should comprehend and embrace the objectives of each organization.

Note

1. Prey, J. C. & Weaver, A. C. (2013), “Fostering Gender Diversity in Computing.” IEEE Computer Society, 46: 22–23. DOI Bookmark: http://doi.ieeecomputersociety.org/10.1109/MC.2013.97.

2. Gault, J., Redington, J. & Schlager, T. (2000), Undergraduate Business Internships and Career Success: Are They Related?,” Journal of Marketing Education, 22(1): 48–53.