She wasn't a radio person and didn't believe in radio. She wanted to make it so that in ten years, NPR wouldn't be producing radio programming. Plus she set up NPR to be in direct competition with local stations for listener donations and attention ("go to NPR's website, give to NPR, never mind that local station you're hearing the story on"). And she wanted to dumb down NPR News (which really is, or was anyway, editorially separate from the commentators). Really, the stuff we all bitch about with NPR is almost a direct consequence of Schiller's leadership. There's also the role NPR has played in pushing HD Radio (which does not stand for High Definition, but originally Hybrid Digital, now just a trademark), using public money to profit a proprietary for-profit company and kill off analog radio.
That's just a capsule summary and includes a lot of my own opinion, so take it with a huge grain of salt. It's the result of personal experience that I can't be specific about and reading radio industry blogs and news for years. Sorry I can't be more specific.
A good jumping off point for reading up on the darker side of public radio is the blog Keeping the Public In Public Radio. The guy who runs it is highly biased and very angry though, so don't just go with his view of things. Use it as a way of wading into the wider radio blogosphere. Another excellent blog, which is much more balanced, is Radio Survivor.
http://keeppublicradiopublic.comhttp://www.radiosurvivor.com
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