The central government has issued fresh guidelines for the selection of directors at Indian Institutes of Management (IIMs), requiring candidates to hold first-class degrees in both Bachelor's and Master's, along with a PhD or its equivalent from a reputed institution.
The President will now also act as a "visitor" to the top business schools, having the authority to name the chairperson of the board of governors, appoint and remove directors, and dissolve the board in the event that any member neglects their duties or disobeys the visitor's instructions.
A "distinguished" academic record with a "first class degree in both Bachelor's and Master's level, and with PhD or equivalent from a reputable institute" will now be required in order to be eligible for appointment as an IIM director, according to the new regulations.
Previous to this, the qualifications were "distinguished academic with PhD or equivalent," and the division required for the degrees was not specified. The selection of Dheeraj Sharma as director of IIM Rohtak has recently been controversial because of his second division bachelor's degree.
Under the new guidelines, the visitor will hold the ultimate decision-making power in the appointment of any IIM director. The visitor can nominate one of the names recommended by the board and submit it for appointment.
"Provided that where the visitor is not satisfied with the names recommended by the Board, he or she may ask the Board to make fresh recommendations. If the visitor is not satisfied with the panel of names recommended by the Board, the Board shall get a fresh panel of three names recommended through the same search-cum-selection committee or a fresh search-cum-selection committee," the notification read.
Previously, the director's appointment was entirely under the board's purview.
The inclusion of the visitor concept in IIMs was initially introduced in the 2015 draft of the current act by the Centre. However, IIMs opposed it, expressing concerns that it would jeopardise their claimed autonomous powers. Eventually, this provision was eliminated from the final bill.
The President holds the position of Visitor for all central universities and IITs, with the authority to appoint their vice-chancellors and directors.
Under the new regulations, the visitor now possesses the ability to dissolve the board under three circumstances: if the visitor deems the board incapable of fulfilling its functions, if it consistently fails to comply with any directives issued by the Visitor according to this Act, and in cases of public interest.