Joel Peterson, Former Chairman of JetBlue and Beloved Teacher-Mentor, Dies at Age 78

For 33 years, Joel Peterson, the Robert L. Joss Adjunct Professor of Management, taught some of Stanford GSB’s most sought-after classes. He died November 25 at the age of 78 of complications from a stroke.

“Joel dedicated himself to preparing students to lead with skill and integrity through courses in real estate investment, entrepreneurship, and leadership,” wrote Sarah A. Soule, the Philip H. Knight Professor and Dean at Stanford GSB and Morgridge Professor of Organizational Behavior, in an email informing faculty and staff of his passing. “Joel’s influence extended well beyond the classroom. Over his long tenure, Joel generously shared his insights in multiple advisory roles to the Dean at the GSB and served as the chairman of the Board of Overseers at the Hoover Institution.”

“I was fortunate to know Joel Peterson for many years as both a colleague and a dear friend. He was a rare combination of kindness and principle, guided always by his values,” says Condoleezza Rice. The Denning Professor in Global Business and the Economy at Stanford GSB, the Tad and Dianne Taube Director of the Hoover Institution, and 66th United States Secretary of State observes, “Joel was a gifted teacher, an exceptional businessman, and a generous mentor who made a career of lifting others up. Above all, he was deeply devoted to his family, whom he loved with pride and joy. He will be greatly missed by all who knew him.”

Evidence of Peterson’s success as a business leader abound: Peterson Partners, the investment firm he founded in 1992 has $3 billion under management; he served on more than three dozen public and private boards, most notably at JetBlue Airways, which he chaired for 12 years until May 2020; and he joined the nation’s largest private real estate development company, Trammell Crow, early in his career, rising to managing partner by the time he left 18 years later.

Peterson did not view ambition and wealth creation as incompatible with kindness and selflessness. Rather, he saw capitalism as a powerful force for good when applied with integrity. He believed “if you were building something for long-term growth that was valuable to society, that people would pay money for, you were creating jobs, you were making society better,” says Clint Peterson, Joel’s third child and eldest son, a long-time managing partner in Peterson Partners.

The first of five children, Joel Peterson was born in Ames, Iowa, and grew up in East Lansing, Michigan. He received his bachelor’s degree from Brigham Young University and earned an MBA from Harvard Business School.

A Distinguished Teacher

Based on his Trammell Crow experience, Peterson was recruited by Stanford GSB in 1992 to teach Real Estate Investment. As a lecturer in management, he was paired with Steven Grenadier, now the William F. Sharpe Professor of Financial Economics. “It was so immediately obvious that Joel was an amazing teacher,” Grenadier says.“It wasn’t just that he had command of the material, but the students idolized him. He was so dynamic and caring.”

Peterson also began teaching a section of Managing Growing Enterprises, a highly coveted course in Stanford GSB’s entrepreneurship offerings.

In 2005, MBA students asked Peterson to help design a new course, Leadership Perspectives, that would dive deep into the mindset of business leaders. Peterson helped bring CEOs and nonprofit and sports leaders into class for candid conversations with students, and he was always the first speaker to address students’ questions about such topics as failures, regrets, and family and work-life issues, says Charles O’Reilly, the Frank E. Buck Professor of Management, who co-taught the course. “He used to joke that [speakers] are like pancakes: The first one you throw away, then the rest get better,” says O’Reilly. “He was very humble and modest — which doesn’t mean he didn’t have an ego — he was competitive for sure, but he cared deeply about the students and wanted to help them.”

“At an early age, he demonstrated a dynamic ability to teach,” says Clint Peterson. “He shone when there was live fire, when someone would say something and he’d react, then he’d bring in someone else and orchestrate these fast-paced discussions. He was really good at reading people and drawing the best out of them. He had a unique gift to be in the moment, surfing the chaos,” all the while nudging the discussion toward profound insights. “That was his genius.”

“His preparation was remarkable,” says Andy Dunn, MBA ’07, cofounder of Bonobos, the menswear brand, and a frequent speaker in Peterson’s Managing Growing Enterprises course. “He didn’t just lecture for 45 minutes. He was very hands-on. I mean, you can’t teach someone how to play basketball by talking about it. Joel would role-play management scenarios, especially difficult conversations. His signature thing was to treat difficult conversations with care, but never shy away from the heart of the matter.”

“I draw on Joel’s teaching every day,” says Dara Treseder, MBA ’14, chief marketing officer at Autodesk and a guest speaker in Leadership Perspectives. “Many times as leaders we leave our personal selves behind in order to show up in the traditional style of leadership. He taught us about the harmony between our values and ambition. He gave me permission to tap into that harmony so that I could feel proud of my work.” His greatest legacy, says Treseder, is that he modeled “leadership with integrity. Joel was a great businessman who put to shame the leader who compromises his values.”

The year after introducing the Leadership Perspectives course, Peterson was honored with the MBA Distinguished Teaching Award.

In 2011, Peterson became one of only three lecturers at Stanford GSB to hold an adjunct professorship. “Joel was perhaps an ideal recipient of the chair for several reasons,” says the chair’s namesake, Bob Joss, the Philip H. Knight Professor and Dean, Emeritus. “He was an extremely popular teacher and advisor who touched the lives of many of our students over the years. He carried a heavy course load in oversubscribed classes. He was often invited by the students to deliver a ‘Last Lecture’ [a guest lecture series based on popular demand] — an indication of how much students valued his wisdom and insight. And he played a key role in delivering our entrepreneurship curriculum, which comprises such a significant share of our second-year electives.”

An Extraordinary Mentor-Investor

For his students, Peterson was unstinting not only with his wisdom and time but also with his financial backing. By Clint’s rough estimate, up to a third of Peterson Partners’ investments are in Stanford GSB alumni-founded ventures. In recognition of this impact, Peterson received the 2016 Robert K. Jaedicke Silver Apple Award, which honors a member of the faculty for service to the school’s alumni.

Entrepreneur and lecturer in management, David M. Dodson, MBA ’87, shares that even when an investment didn’t work out, Peterson saw rewards. “Of course, Joel wanted to make investments that made money, but he didn’t really judge me by how much money I made for him,” says Dodson. “He judged me by how I behaved in the process. To him, who you are matters more than what you do.” So much so that Peterson developed a course three years ago, Engineering a Remarkable Life, to help students develop a “Life Plan” to guide them in aligning their goals with their values in all aspects of their lives. Peterson and Dodson taught it together; Peterson had planned to compile the learnings into a book.

Peterson is likewise remembered by his colleagues for his encouragement and support. Venture capitalist, entrepreneur, and lecturer in management Robert Siegel, MBA ’94, says of his colleague, “If I was ever struggling with an issue, even if I knew he was busy preparing to teach a class, I would walk by his door and knock. He’d always make five minutes for me and make me feel welcome. The analogy I give is when my boat was adrift, he would help me find a way to put my rudder back in the water, then give me a strong but gentle push away from the shore so I could continue to navigate my way down the river.”

In a memorial page for Peterson, James Gutierrez, MBA ’05, founder of Oportun, shared this tribute: “You encouraged me. You advised me. You invested in me. You opened every door. You made my dream possible. Now, 20 years later, this seed you planted has helped 1.3 million people build credit in America for the first time and provided over $20 billion in affordable microloans to Hispanics and other communities in need. You made so many dreams possible, and you made us all better for it, Joel. This was your gift.”

Peterson is survived by Diana, his wife of over 50 years; 7 children; 31 grandchildren; and 2 great-grandchildren.