"Amrita Panchauli, 32, was found lying in a pool of blood at her residence in the institute campus. She appears to have been stabbed with a knife or some sharp-edged weapon," an official at the Indore police control room said.
The campus has been sealed and heavy police force deployed.
Amrita's neighbours informed the police in the morning when they saw that the doors of her house had not been opened till 8 am. The professor used to usually leave the house early in the morning for work.
She was last seen at 8.30 pm on Thursday by a neighbour.
Amrita, who belonged to Udaipur in Rajasthan, had been working at IIM-Indore for one and a half years.
Published 18 December 2009, 05:12 IST