'Corporate funding to help IIM autonomy'

The option for corporate contribution in the Indian Institutes of Management (IIMs) must be considered, but it should not lead to privatisation, said Indian Institute of Management, Calcutta (IIM-C) Chairman Ajit Balakrishnan on Saturday.

The comment comes in the wake of reports that a proposal by a committee under the human resource ministry stated that donations can be taken from corporates and alumni appointed as members of the IIM society.

“I was part of all the meetings by the committee set up by the National Human Resource Department. For new IIMs, corporate contribution is necessary as they may not be able to generate resources adequately, at least in the initial years. But in no way can it be called privatisation and we are not in favour of privatisation of these institutes, as their autonomous status should continue,” Balakrishnan said.

Private contribution to educational institutes can take two forms — donations, encouraging infrastructure growth and research, and sale of equity, along with which comes governing power.

Even as IIMs across the country prepare to gain operational autonomy, the government of India will continue to have representation on the board and will control the final authority that forbids the sale of equity in any IIM.

“We are looking at operational autonomy, which would mean we will get rid of some archaic methods of functioning that define our government’s controlled structure,” said IIM-C Dean Saugata Roy.