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Archive for August, 2010

The Diminishing Dreams of Indian MBA Colleges

In India, a management degree is considered the key to the best of opportunities and “the good life”. But, the facts tend to suggest otherwise. Every year more and more students fill the forms for the tests of premier MBA colleges, but the number of seats for management courses far outnumbers the students. This is a far cry from the erstwhile known crisis of students versus institutions, and needs to be attended to by the authorities before they become unable to solve it.

It is estimated that close to 2 lakh (200,000) students register for MBA entrance tests, with almost 1.5 lakhs attending the innumerable examinations. Now, there are more than 5 lakh seats for MBA students in India, which is more than three times the number of participating students. This has lead to a major disruption in the demand and supply chain, which threatens to affect the lives of all people associated with this field. Moreover, out of the total number of seats, only a fraction of it can offer a talented student the kind of education & skills demanded by today’s business world.

It is a well known fact that the infrastructures of institutions, apart from those belonging to the Indian Ivy League, are substandard. The consensus of the experts of the education sector has been that even the most unfit management institute is supported by the governments as it promises to impart education. But, as the deficit of students is facing MBA colleges, they seem to resort to the last possible option – shutting down! Instead, a mandate in needed, which would require the available infrastructure to be upgraded and used to support the education of students looking for other growing fields and sectors.

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Management Education: Which field to specialize in?

Today, management colleges are flourishing due to the prospects available in the corporate world for those having an MBA degree. But, even though this education equips the students with the knowledge required to face the professional world, selecting the field in which one can specialize can be a daunting task. Students can develop their expertise in finance, human resources, marketing, operations and international business in premier management colleges.

An MBA student confident of his abilities in number crunching is ideally suited for a career in finance, while someone who has exceptional spoken communication skills and convincing power can do wonders in marketing. In order to make a fruitful profession in the human resources department, one needs to be great with people and be able to empathise with them, and still keep the requirements of the employer in mind.

The sectors related to international business require someone who keeps an eye on the world market and is also well versed with the domestic situation. An individual with inclination toward managing chains of a business should pursue specialization in operations from management college.

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The MBA Scenario: Are Colleges Adopting Correct Methodology?

It has long been known that MBA colleges equip the students with the most comprehensive knowledge regarding the fields of specialization they choose. Traditionally, the business management colleges used to groom all students under the same syllabi for one year, and then offer specialized courses in the second. But nowadays, several MBA colleges offer students specialization in the fields they choose prior their joining the institute. Though the top business management institutes still follow the traditional method, private and newer colleges, which have been set up less than 20 years ago, follow the more recent trend.

Of course, every one knows that focus is a prerequisite for any individual, more so for one with managerial ambitions. But many a times, people see a profession and find themselves suitable; they do not explore their capabilities in other professional streams. This can be proven by the stupendous number of students who pursue business management after completing graduation in, say, engineering, science or mathematics. In similar fashion, a student who chooses marketing as his field of specialization might find his capabilities better suited for finance.

So, are the newer MBA colleges correct in adopting the methodologies of fixing the streams of expertise upon the students’ arrival, without letting them check their potential in other professions that may intrigue him/her?

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