FREQUENTLY ASKED QUESTIONS
What is an MBA?
An MBA (Master of Business Administration) is a postgraduate management degree awarded to students who have mastered the study of business and management by studying theory and application. MBA - the three letters have shaped many success stories around the world. An MBA is not just a degree, it announces to the world that you have a credible combination of modern business-oriented knowledge and skills and the drive to perform and succeed. Large organizations are complex and need people who can constantly monitor and mentor their progress. An MBA degree enables students to lead and run organizations in a complex and competitive business environment. Companies recognize an MBA Degree as a standard qualification for recruitment to fulfill their need for managerial talent.
Why MBA?
Most students pursue an MBA for better placements and career opportunities. You should understand that an MBA only helps you to garner the requisite employability standards, which in turn lead to better job prospects and a higher pay. An MBA brings together students of diverse backgrounds in an intense, rigorous academic experience. MBA allows career flexibility, inculcates leadership mindsets and provides acceleration to ones career. The skills that are acquired through an MBA program are: communication skills , analytical skills, goal-setting skills, planning and execution skills, decision making skills, creative thinking, self-motivation, self-discipline and time management, cross-cultural exposure, teamwork, leadership and ability to motivate others. In addition to these skills, you will also experience an elevation of the following skills through an MBA: -The ability to tackle difficult situations and to solve problems - To be independent and manage one’s own time and work - To think originally and creatively - To argue one’s case with logic and not to be easily influenced by the views of others. The ‘MBA experience’ is a foundation for undertaking leadership roles in an individual’s career.
When is the right time to pursue an MBA?
The best time to pursue an MBA is when you want to pursue one. There are several programs to suit the specific needs of different groups of people like freshers, working professionals, entrepreneurs etc. Therefore, the program that you choose is more important than the timing of pursuing an MBA.
What is the duration of an MBA?
Generally the tenure of a full-time MBA program is two years. However, few institutes in India and many institutes abroad offer one year programs designed exclusively for people with professional work experience.
Indian B-Schools
Stage 1 – The Written Test:
The subjects tested in management entrance test can be broadly classified into:
(1) Mathematics, which includes questions on Problem Solving, Data Interpretation, Data Sufficiency and Logical Reasoning
(2) English, which includes questions on Verbal Ability, Verbal Reasoning and Reading Comprehension
General Awareness is also asked in certain entrance tests like IRMA (Issues of Social Concern), MAT (General Knowledge), SNAP & IIFT (General Awareness).
Stage 2 – Group Discussion/Essay/Extempore and Personal Interview:
The purpose of Group Discussion (GD) and Personal Interview (PI) is to get to know the student and gauge how well he/she matches the profile desired by the institute. Some institutes include writing an essay as part of the selection process. The essay is used as a tool to test written communication, clarity of thought, structure of presentation, content and presentation style – all of which are key managerial skills.
B-Schools Abroad
Stage -1
Students are shortlisted based on their (1) GMAT Score (2) Profile (work exp/academics/ extra-curricular activities) (3) Application Essays (4) Statement of Purpose (5) Research Proposals (6) Essays (7) Letters of Recommendation.
GMAT has 3 sections:
(1) Analytical Writing Ability (one Issue and one Argument) (2) Verbal: Reading Comprehension, Critical Reasoning and Sentence Correction (3) Quantitative (Data Sufficiency and Problem Solving)
Stage – 2
A telephonic interview or a personal interview is conducted.
What are the various MBA Entrance Tests?
CAT: IIMs, S. P. Jain, MDI, NITIE and 100 + other B-Schools accept CAT scores.
XAT: XLRI, S.P. Jain, XIMB, GIM and 70+other B-Schools accept XAT scores.
JMET: IITs accept JMET scores for their management programs.
SNAP: The Symbiosis Institutes such as SIBM, SCMHRD, SIIB and others accept SNAP Scores.
Own Test: FMS, IIFT, NMAT, TISS and IRMA conduct their own entrance test.
MAT: Alliance, Amity, Christ and 100 + other B-Schools accept MAT scores
ATMA: Welingkar, PUMBA (Bio-Tech), Alliance and 100 + other B-Schools accept ATMA scores
Regional Tests: JBIMS is a reputed B-School in India that considers the scores of a regional test Mh-CET (Maharashtra). There are other regional tests like GCET (Gujarat) , ICET (Andhra Pradesh), RMAT (Rajasthan), MPMET (Madhya Pradesh), MET (Punjab), TANCET (Tamil Nadu), PGCET & KMAT (Andhra Pradesh).
GMAT: GMAT is considered for MBA/PhD in Business Management or Masters Programs offered by universities/schools abroad. GMAT is also considered for Executive MBA Programs offered by certain B-Schools in India like IIMs and XLRI.
Who is eligible to apply for an MBA Program?
In India, the eligibility criterion for pursuing a 2 year MBA Program is a bachelor’s degree from a recognized university/institute. Some entrance tests like CAT & SNAP require 50 percent in graduation. Many B-Schools abroad prefer a minimum of 2 years of full time work experience and 16 years of education (in the case of some B-Schools in US and Canada).
How important is work experience for making it to B School?
The MBA advantage is open to fresh graduates as well as working professionals. Internationally, it is a well-accepted fact that top B-schools admit students with work experience after their graduation. In the Indian context, work experience is not mandatory for the 2 year regular MBA program. However, work experience is an added advantage to your profile. Few institutes such as IIM A give weightage to work experience. Work experience is mandatory in case of Executive MBA Programs offered by IIMs & XLRI.
How to select an institute for pursuing an MBA?
The selection of a B-School is crucial as the decision will impact ones career and is a once in a lifetime investment. We cannot deny the fact that management education from a reputed B- School only can give the right kind of impetus to career in the corporate world. While selecting your institute, it is important to consider two perspectives: "THE MY PARAMETERS" and "THE INSTITUTE PARAMETERS".
The "MY PARAMETERS"
a)Why do I need to do an MBA? The first thing to do while considering business schools is to undertake a self-analysis to decide what are your personal objectives for doing an MBA.
b)Which industry do I wish to work in? It is important that you at least have an idea of the industry you wish to work in. Very often students forget the educational background from which they come. For example, if you are a telecom engineer it would be great if you looked at a role within the telecom industry. Similarly, if you are an agriculture graduate, a career in the agri-industry is best suited for you. If you are an economics graduate, look at working in the consulting and banking industry.
c)The companies I would like to work with? Once you have short-listed the industry, it is imperative that you seek information on the companies within these industries that offer the best opportunities. For example, if you are looking at the Agriculture industry, some of the best companies to work with could be ITC, NABARD, World Bank and the UN. Post this search, look at which institutes these companies go to. Working towards seeking an admission into the relevant school from the company and industry perspective could guide you to select the most appropriate institute suitable for your needs.
d)What is my profile – academic, work-experience, etc? You must carefully understand your profile, work-experience, and then match it with the institutes that fit the best.
e)What is the cost of education? And finally, you must weigh the cost of education. All educational initiatives that you undertake must be looked at from a long-term perspective (10 years and beyond). Professional qualifications always pay you back over the long-term; education will last you a lifetime and it will help you garner skills, which ensure that you always have a job, career and security.
THE "INSTITUTE PARAMETERS"
The best and the safest way to select your institute is to seek admission in the best ones not only in the country, but also look at the excellent options available to you globally. Going to the best institutions ensures quality education, competitive peer group, good facilities and the best opportunities post your MBA. Some of the parameters that an aspiring B-school graduate should look for are:
Reputation: Overall reputation of the B-School in terms of the acceptance of the program in the corporate world, placements, faculty profile, student profile, infrastructure, pedagogy etc. However, you must remember, the reputation of your institute matters in your first job; subsequently your performance will play a key role in deciding your future.
Specialization: The functional area that you wish to pursue within the MBA program should be a part of the "majors" offered in the institute. Going to the institute that does not have a "major" of your choice is definitely not a good idea, irrespective of the reputation of the institute. Certain institutes like IIFT, IRMA, IIFM, MICA etc offer specialized programs that focus on a specific industry and develop specialized skills for that industry. Hence one must completely understand the course content and long-term career opportunities before opting for such programs. Otherwise opt for B Schools that offer specializations like Finance, Marketing, Systems, Human Resources & Operations and keep options open in terms of career opportunities across industries.
Placements: The kind of placements that a B-School has had in the past is an indicator of its industry standing. Salary is an important parameter. While checking for salary, it is important to check not only for the highest salary but also ascertain the median and the lowest salary. By ascertaining this you will get an indication of the minimum salary that you can expect. Apart from salaries, students must primarily consider the industries and companies that come to select students from the campus and must also look at the roles or positions that were offered by these companies. Another important placement criterion is the percentage of students placed. The best institutes usually are able to place the complete batch. However, a placement percentage of more than 90% should be a fair indicator.
Recognition: In the Indian context, it is better if the institute has an accreditation by the Association of Indian Universities (AIU) or AICTE. Unfortunately in India, there are many institutes which are accredited but do not have competent faculty, quality peer group, facilities conducive to good learning and placement assistance. On the other hand some good B-Schools are not AICTE approved.
Student & Faculty Profile: Faculty and student profile determine the quality of the program and nature of interaction and learning. Faculty creates the interest, challenges the intellectual boundaries and raises the bar of learning in any student. For faculty one could check for factors like qualification, work experience, research undertaken etc. The contribution of peer group in the learning process is fundamental to an MBA. Therefore, select the institute where there is a proper mix of students from different educational background and varied work experience. For students, its would be good to check the composition of the past 2 to 3 batches in terms of academic background, average age and work experience. Interacting with the alumni of B-Schools gives an insight into it. Websites like pagalguy.com and social networking sites can help interact with alumni.
Percentiles/Scores Accepted: A good B-School is always in a demanding position with respect to the Percentiles/Scores Accepted. Previous years cut-offs and selection criteria serve as an indicator of the quality of the B-School.
Location: The location of an institute is not important for premier institutes. Employers visit them irrespective of the location. If one is applying to any of the lower ranked colleges, consider the ones based in metros. It would be better if the location is near a commercial hub, so that even if employers do not visit the campus, the students get an opportunity to contact potential employers. Some institutes despite having good infrastructure facilities may lack on faculty support. The school authorities can get industry specialists to teach their students.
Return on Investment: A cost benefit analysis can be done in terms of the expected returns. The returns can be evaluated by looking at the average placement figures for the past 2 to 3 years and compared to the cost of pursuing the program.
Campus and Other Facilities: MBA is not just about the learning that takes place in a classroom but the off-campus learning experience also matters. Large campuses and in-house facilities create an atmosphere conducive to better education. It is preferable to join a residential program. Peer group and interaction within this group is essential for developing team skills. Top institutes like the IIMs, XLRI, NITIE and IITs all have compulsory residential programs. However there are exceptions like FMS. It is better to opt for an institute with a residential rather than a day scholar program. Other facilities such as library, computer lab, etc. should also be taken into consideration.
What are the top B Schools in India and Abroad?
Top B-Schools in India
CREME DE LA CREME
Indian Institute of Management – Ahmedabad
Indian Institute of Management - Bangalore
Indian Institute of Management – Calcutta
Indian Institute of Management – Lucknow
XLRI Jamshedpur
CATEGORY: A+
Faculty of Management Studies (FMS)
Indian Institute of Foreign Trade (IIFT)
Indian Institute of Management - Kozhikode
Indian Institute of Management - Indore
Indian Institute of Management - Rohtak
Indian Institute of Management - Ranchi
IRMA (Institute of Rural Management Anand)
Indian School of Business, Hyderabad
Jamnalal Bajaj Institute of Management Studies, Mumbai
Management Development Institute, Gurgaon
NITIE (National Institute of Industrial Engineering), Mumbai
Rajiv Gandhi Indian Institute of Management, Shillong
SJ Mehta School of Management IIT-Powai, Mumbai
S.P. Jain Institute of Management & Research, Mumbai
Tata Institute of Social Sciences, Mumbai
School of Management, Indian Institute of Technology – Delhi
Vinod Gupta School of Management (IIT Kharagpur)
CATEGORY: A
Bharathidasan Institute of Management Tiruchirapalli
Goa Institute of Management, Goa
Indian Institute of Forest Management (IIFM), Bhopal
Institute of Management Technology, Ghazhiabad
Mudra Institute of Communication Ahmedabad
Narsee Monjee Institute of Management Studies, Mumbai
Praxis Business School, Kolkata
Symbiosis Centre of Management & HRD Pune
Symbiosis Institute of Business Management, Pune
T.A. Pai Management Institute Manipal
University Business School, Chandigarh
XIM (Xavier Institute of Management),Bhubaneswar
CATEGORY: B+
Department of Industrial and Management Engineering, Indian Institute of Technology, Kanpur
Department of Management Scienes, University of Pune (PUMBA), Pune
Department of Management Studies, Indian Institute of Technology, Chennai
Foundation for Organizational Research and Education (FORE), New Delhi
Great Lakes Institute of Management, Chennai
Indian Institute of Social Welfare and Business Management, Kolkata
International Management Institute (IMI) New Delhi
Institute for Financial Management and Research, Chennai
K.J. Somaiya Institute of Management Studies and Research, Mumbai
Loyola Institute of Business Administration, Chennai
Lal Bahadur Shastri Institute of Management, New Delhi
Nirma Institute of Management, Ahmedabad
Sydenham Institute of Management Studies, Mumbai
Symbiosis Institute of International Business (SIIB), Pune
Symbiosis Institute of Mass Communication (SIMC), Pune
Welingkar Institute of Management Development & Research, Mumbai
Top B-Schools Abroad
London Business School ,U.K.
University of Pennsylvania: Wharton,U.S.A.
Harvard Business School, U.S.A.
Stanford University GSB, U.S.A.
Insead, France / Singapore
Columbia Business School, U.S.A.
IE Business School , Spain
MIT Sloan School of Management , U.S.A.
University of Chicago: Booth , U.S.A.
Hong Kong UST Business School , China
Iese Business School , Spain
New York University: Stern , U.S.A.
Dartmouth College: Tuck , U.S.A.
IMD , Switzerland
Yale School of Management , U.S.A.
University of Oxford: Saïd , U.K.
HEC Paris , France
Esade Business School, Spain
Duke University: Fuqua , U.S.A.
University of Cambridge: Judge , U.K.
Ceibs , China
Northwestern University: Kellogg , U.S.A.
Lancaster University Management School , U.K.
Rotterdam School of Management, Erasmus University , Netherlands
Cranfield School of Management , U.K.
Nanyang Business School , Singapore
Chinese University of Hong Kong , China
University of Michigan: Ross , U.S.A.
University of California at Berkeley: Haas , U.S.A.
University of Virginia: Darden , U.S.A.
Imperial College Business School , U.K.
UCLA: Anderson , U.S.A.
Emory University: Goizueta , U.S.A.
Carnegie Mellon: Tepper , U.S.A.
Cornell University: Johnson , U.S.A.
Australian School of Business , Australia
Georgetown University: McDonough , U.S.A.
SDA Bocconi , Italy
Manchester Business School , U.K.
City University: Cass , U.K.
Warwick Business School , U.K.
University of Maryland: Smith , U.S.A.
Rice University: Jones , U.S.A.
University of Toronto: Rotman , Canada
University of North Carolina: Kenan-Flagler , U.S.A.
Boston College: Carroll , U.S.A.
University of Rochester: Simon , U.S.A.
University of Western Ontario: Ivey , Canada
Washington University: Olin , U.S.A.
University of Strathclyde Business School , U.K.
University of Illinois at Urbana-Champaign , U.S.A.
University of Texas at Austin: McCombs , U.S.A.
York University: Schulich , Canada
Texas A & M University: Mays , U.S.A.
Purdue University: Krannert , U.S.A.
Indiana University: Kelley , U.S.A.
University of Southern California: Marshall , U.S.A.
Vanderbilt University: Owen , U.S.A.
George Washington University , U.S.A.
Tulane University: Freeman , U.S.A.
Boston University School of Management , U.S.A.
Melbourne Business School , Australia
You can apply to the institutes after their notifications are declared. Most of the Indian institutes release an advertisement for application in the national dailies from July onwards. You can keep yourself updated about B-School notifications by visiting Notification Calendar on www.imsindia.com. You will find details such as institute name, test name, program name, form sale start & end date, application details such as fees, mode of payment, etc. We also provide you with the Institute Advt. You can visit the respective B-School website for detailed information. Institute applications cost money and you may end up spending too much on applications. We suggest that you consult an IMS counsellor or the centre manager at the nearest IMS Learning Centre to help you select the list of institutes appropriate for you.
What are the specializations that one can purse in an MBA?
Most B-Schools offer specializations in the field of Marketing, Finance, Human Resource, Systems and Operations. However, the boom in sectors like Retail, Pharma, Insurance and others have given an impetus to industry specific specializations like Retail Management, Pharma Management, MBA Biotech, Risk and Insurance Management
Marketing: Marketing, in its broadest sense, is bringing people and products together. Marketing means understanding needs, wants, geography, psychographics, pricing, positioning, research, analytics, economics, spending potential, etc. The revenue/income of companies is dependent on the capability of its marketing and sales team. Wherever there are free markets, competition and widespread geographical opportunities there is marketing. It comprises four specific function areas: (1) Sales & Distribution (2) Advertising (3) Product/Brand Management ( 4) Marketing Research/Analytics.
Finance: Finance is concerned with procuring, deploying and efficiently managing the most dynamic and critical resource of business - MONEY. Corporate financial statement analysis, securities and portfolio analysis, taxation and accounting, domestic and international financial markets and systems, derivatives, capital markets, insurance, risk management, etc. are some of the areas under Finance. The following are some of the career paths: (1) Consumer Banking (2) Institutional Banking (3) Development Banking (4) Corporate Finance (5) Investment Banking (6) Merchant Banking (7) Non-Banking Finance (8) International Finance. Proficiency in mathematics and accounting is essential for pursuing a career in finance.
Human Resource: There are three career opportunities in this area (1) Human Resource Development (HRD) (2) Personnel Management (3) Industrial Relations. HRD managers are involved in activities like performance appraisal, employee counselling, employee training and employee motivation. Their activities are directed towards development of people in their organization. Personnel managers handle activities like recruitment, job analysis, compensation and employee welfare. Industrial Relations is concerned with labour management.
Systems: Systems involve helping companies leverage technology to business value. For MBAs specializing in Systems, there are broadly four career options: (1) Systems Consultancy (2) Account Management/Project Management (3) System Department of organizations (4) Business Development/Sales and Marketing. Systems Consultancies recruit MBAs to provide consultancy to their client organizations. They also recruit MBAs for business development functions. Information technology is an integral part of any business and organizations require managers for their Systems Departments. One does not need prior knowledge or experience in computers or engineering to specialize in Systems.
Operations: Operations is an important function in the manufacturing as well as service industry. Manufacturing is one of the most crucial area of any product-based business. Management of large as well as small manufacturing companies involve various production and operational techniques and theories. The career options in this field are (1) Quality Control (2) Materials Management (3) Productivity Improvement (4) Inventory Control (5) Production Planning (6) Supply Chain Management (7)Logistics. The focus of an Operations specialist is not engineering problems, but managerial implications of engineering problems. The specific skills required are behavioural, technical and statistical.
How does one zero in on a specialization?
The choice needs to be made only at the end of the first year of the MBA program. However, there are several instances where the B School may ask you your choice while joining or you may wish to opt for a specialized program like international business, retail, rural etc. We believe that the choice should always be based on the interests, aptitude and skills of the person. One can excel in any field as long as one has the interest for it and is backed by the aptitude and skills required for the job. Hence it would be important for you to take time to identify your interests, aptitude and skills in order to zero in on a specialization. You will also need do a certain amount of research about the nature of jobs, companies etc. in order to arrive at an informed decision.
Is it advisable to take up industry specific specializations like retail, pharma, biotech etc?
The buoyant Indian economy offers career and growth prospects in almost all sectors. IT & ITES, Banking and Finance, Retail, Telecom, Hospitality and Travel are some of the most sought after sectors after which come sectors like Oil and Gas, Biotech and Pharma, Personal Care, KPOs and Animation. There is a growing need of skilled workers in these sectors. At the outset it may seem quite interesting to take up such programs as they would help gain direct entry into the sector of interest. Keeping in perspective that it would be difficult to switch sectors in the long term, it is advisable to look at the reputation of the institute and its industry standing rather than the program. An MBA with traditional specializations in marketing, finance, human resources, systems, operations etc. from one of the top schools in the country or abroad is a better option than a retail or pharma management program from a not so well known B-school. You can always get into the industry of your choice if you are an MBA from a reputed B-School.
What is the difference between MBA/MMS/ PGDBA/PGDBM?
All are postgraduate programs in management. An MBA/MMS is usually a degree program that is offered by a university, while a PGDBA/PGDPM is a postgraduate diploma offered by autonomous institutes. The important criterion is that it should be a 2 year full time program in management of a reputed institute.
What is the difference between Full Time, Part Time and Distance Learning MBA Programs?
A full-time MBA brings together students of diverse backgrounds in an intense, rigorous academic experience. There are a wide range of learning opportunities from faculty and highly competitive peers. Campus Placement is a feature for full-time MBAs only. Most B-Schools do not offer placement assistance for students pursuing a part time or distance learning program. The kind of networking that takes place while pursuing a full-time MBA is not possible in part time or distance learning program. The time devoted working on group/individual projects and presentations on a regular basis apart from attending the classes are incomparable to part time or distance learning program. Part Time and Distance Learning MBA Programs enhance knowledge and skills but are not as effective and rigorous in nature as a full time MBA. So if you do not have any major constraints, we advise you to go for a full time MBA only.
What is the cost of pursuing an MBA?
The cost of pursuing an MBA would primarily depend on the program and the institute. The fees for a two year full time MBA from an Indian B-School would range between Rs.2 lakhs to Rs.14 lakhs. The one year full time executive MBA programs would cost between Rs.10 lakhs to Rs. 20 lakhs. An MBA from a B-School abroad would range between Rs. 12 lakhs to Rs.40 lakhs depending on the location and duration of the program. Schools in the US are usually considered costlier than those in the UK, Canada, Australia, Singapore etc. Part Time and Distance Learning Programs are usually more affordable than the Full Time Programs.
How to finance an MBA?
Most Public Sector Banks like the State Bank of India, Bank of Baroda, Bank of India, Oriental Bank of Commerce, Allahabad Bank, Dena Bank etc. offer education loans. Loan repayment starts only after you have completed your MBA. Generally there are no collaterals required to the extent of approx Rs.4 lakhs. However, this varies from bank to bank. Many reputed B-Schools have collaborations with banks in order to provide loans to students. Herein the institute acts as a guarantor instead of the parent/guardian/collateral.
Further, several schools also offer full/partial scholarships to needy/worthy students. One needs to take in consideration factors such as EMI amount, rate of interest and repayment period before applying for an Education Loan.