MBA students from countries around the world are starting to represent a wider range of education and career backgrounds than the traditional marketing, consulting, accounting, and banking professions. While of course a massive number of MBA candidates come from such backgrounds, the likes of doctors and lawyers are now turning to MBA education to venture beyond their core skill set.
Table 1 depicts the employment sectors in which MBA candidate respondents are currently employed.

Table 1: Current Employment Sectors of MBA respondents – Worldwide (expressed as a percentage)

Accounting -Banking- Consulting -Consumer Products- Education- Engineering

3.9 -6.0 -9.3 -5.0- 5.5 -8.8

Financial-Services-Industry-Information Technology-Media-Non-Profit

---7.4 -5.5 -14.1 -2.6- 2.7


Pharmaceuticals-Public Sector-Retail-Telecommunications-Other

-2.1 -3.8- 2.0- 4.0- 18.2

Source: 2007 QS TopMBA.com Applicant Survey

As reviewed in the above table, 18 pc of respondents to this survey listed ‘other’ as their current field of employment. What’s interesting is that many professionals not conventionally grouped under the commerce field are taking up MBA studies. Some doctors and lawyers, for example, are now turning to business education to improve career prospects and propel them in a new direction.

As a result of increasing interest in MBAs among non-businesspeople, progressive schools have begun combining postgraduate degrees with the MBA. Wake Forest University in Winston-Salem has developed a five-year program in which students can earn a joint MD/MBA degree. McGill University, in Canada, offers a joint MBA/Law degree program designed ‘for those students who are interested in both the legal and administrative aspects of business. It gives them the opportunity to prepare themselves for careers in both private and public enterprises, government service, large corporations, and as management consultants.’

An MBA is seen as the perfect way forward by many looking to change career, and 34% of MBA applicants surveyed reported ‘career change’ as their leading motivation to undertake an MBA, according to the 2007 QS TopMBA.com Applicant Survey expressed in Table 2. In some regions like North America, almost 60% of MBA candidates are turning to MBA education in their quest for a new career.

Table 2: Reasons for MBA – Worldwide (expressed as percentage)

Education 22.0


Boost salary 26.9


Build professional network 41.1


Enable career change 33.8


Improve career prospects 69.4


Learn new skills 53.3


Start own business 23.9


Other 2.6

Source: 2007 QS TopMBA.com Applicant Survey

So can business school really give you all the necessary skills to succeed in a completely new realm of work?
Unlike other Masters courses that may provide the graduate with a theoretical understanding of a particular topic, like history, for example, the MBA prepares the graduate for the ‘real’ business world through practical applications like case studies that teach the student all aspects of running a business. Skills learned in MBA courses are therefore far more transferable to the business world than those one may learn in other Masters courses.

“A vast majority of our hires have MBAs,” explains Georgia Foley, Recruitment Manager at AT Kearney. “We certainly have a preference for candidates with MBAs, as they offer a passion for learning, academic and communication abilities and a strong entrepreneurial spirit. They also have energy, rigour and a breadth of understanding of general management principles.”

If you’re a new MBA without much applicable experience in the sector in which you intend to work, graduate programs may be your answer. Sony Europe, for instance, runs the European Graduate Program which takes on new MBAs. Tom Verbeke, HR Manager of Sony Europe, says, “we are looking for internationally minded, highly-skilled and intelligent people that want to take on a development course in order to complement their business education (MBA) with the experience of working in different cultures, different organizations and in different functions, supported by on-the-job and off-the-job development initiatives, aimed at fully developing highly-talented students to later take on a key role within the Sony organization.”

When it just might not work

Your choice of field, however, may work against you if you choose an area typically requiring extensive experience that you just don’t have. Consultancy, for example, is one field known for demanding its undertakers gain prior work experience. Damir Latte, Recruitment Consultant at Global Workplace (a specialist in Management Consultancy) says, “candidates for consultancy roles ideally need 3 to 5 years relevant work experience. For those with none or very little relevant experience, consultancy positions are out of the question; however, if they are good they could be considered for analyst roles.”

Of course, this all depends on your career intentions. If you’re a chef trying to become an account and lack exceptional numerical proficiency, it may take more than an MBA to put you in the right direction. All in all, it takes time to evaluate your options and research the enormous range of careers out there. If you’re a lawyer taking an MBA to become a management consultant, business education would probably provide you with the practical skills to accompany the ‘softer’ skills learned in the law realm.

Source: www.TopMBA.com

Seeing through misleading salary figures in B-school placement reports

Newspaper reports in the year gone by have been rife with b-school placement stories of a rather disturbing kind. It appears that quite a few well-known business schools have been lying about their placement salary figures in public! Here's how you can see through the salary hype when you make that important admission decision.

The names of these MBA institutes have remained a well-guarded secret, because most of the time, the whistleblower in these stories is a fresh MBA graduate who, invoked by his conscience but under the condition of anonymity, decides to ride against the tide and divulges to the media the inaccuracies in the average salary, highest salary and median salary figures quoted by his institute on its website and released to the Press.

The names of these b-schools really become inconsequential, given that many business schools in India’s top 20 list have been known to inflate their salary figures somehow or the other. But thanks to negative media coverage, there is now growing awareness that clubbing international and domestic salaries together to calculate the single ‘average salary’ figure is one of the few tricks that b-schools use to inflate their placement data and improve their marketability. It is only when an MBA aspirant cracks the school and joins it does he become aware of some of the best kept dirty secrets of the Indian business school industry.

You’re probably wondering where all this is leading to but no, this article does not mean to rake up controversy on this rather sensitive issue. But, it surely aims to inform what you, as MBA applicants aiming to be in the best MBA programs of the country need to do to ensure that you get the right facts and figures about b-schools, and not what the b-schools want to feed you.

Come September, and most of you flock to the newsstands to buy magazines that pull out b-school rankings, or are scouring the resources in your coaching institute or the Internet to decide which b-schools to apply to this year. Even as I write this, there are half a dozen forms for admission into b-schools live. Because each form burns about one-grand-big a hole in your pocket (or in your parents pocket depending upon your situation), it’s a good idea to research the schools and their placement performance well before investing the moneys.

It becomes especially important for you in February, when you ought to choose between three schools that have more or less similar brand perception and their placement salaries would turn out to be one of the tie-breakers (along with location, expenses, etc).

Why do some b-schools tend to report inflated salary figures? It works out well for everyone, if you really think about it. Since the salary package is the most glamorous and easily perceptible parameter to judge the quality of a job offer (as opposed to other parameters like the job profile description, future growth prospects, etc), by showing inflated salary figures to MBA aspirants the b-school can attract better quality students, sell more forms and gain a few notches above a rival b-school.

By showing inflated salary figures to companies through the media, the school is able to attract better and even higher paying companies for next year’s placements. The companies whose pay packages are reported in an exaggerated manner by the institute don’t mind, because they get free press and become a desired company in other b-schools. Everybody wins!

Two standard tricks are applied to manipulate numbers and arrive at the inflated salary figures. Compensation packages offered by companies come in a fixed and a variable component and a Cost-to-Company factor (CTC). So say, the annual fixed component amount is Rs 6 lakh, then you’ll take home Rs 50,000 home every month for sure. However, the variable component, which includes performance-based bonuses or e-sops may or may not come to you depending on your performance. Placement committees in b-schools, however add the highest possible variable component to the salary figure. So let’s say, your variable component, which you get if you perform really, really well, comes out to Rs 2 lakh per annum. Add to it the most controversial component, the CTC. The CTC simply, is the amount of money the company needs to spend on your maintenance. In reasonable CTC calculations, companies might add the cost of putting you through training and induction programs, your mobile bills and official travel expenses and your tax liabilities. But it starts bordering on the absurd when the floor space rent of the employee’s cubicle in your Gurgaon office is added to the CTC. The CTC component then shots up to as much as another Rs 4 lakh, and the total salary paid by the company shoot up to Rs 6 lakh + Rs 2 lakh + Rs 4 lakh = Rs 12 lakh! So even though you’re getting paid only Rs 50,000 each month, b-schools are pros at showing your salary figures as Rs 12 lakh!

The other way to inflate salaries is by playing around with the wonderful tools of averages. Many b-schools include both the Indian and international placement packages in their average salaries by converting the dollar amounts of the international salaries to rupees. It’s unfair, because they do not normalize the purchasing power parity in different countries during the conversion. So earning € 3750 in London converts to Rs 30 lakh, but is hardly a lot because the cost of living in London is extremely high!

On top of that, when all the salaries offered to students are calculated inflated by adding the CTC and variable components, the average salary is bound look very, very attractive.

Other b-schools calculate average salary by including only the highest offers made to each student, regardless of whether those offers were accepted or not (these days, many students prefer to take up jobs that pay half a lakh less because the profiles are more interesting).

One can go on and on about this, but the important question is, how do you as an MBA aspirant see through all this and get the right data about a b-school’s salary figures to make an informed decision for yourself?

The key lies in asking the right questions. The next time you read a b-school placement report, take it with a pinch of salt. While most of the data in there would be accurate, you just need to dig a little deeper to be sure that the placement data figures are correct. When you contact a b-school or want to know more about a b-school by reaching out to its students through your coaching institute or social communities like Orkut, Facebook or Pagalguy, keep the following things in mind:

1. Ask for the average salary figures without the CTC component. If they do not have the exact data, ask for an estimate. A b-school is obliged to do this much if you’re spending a thousand rupees on their forms.
   
   
2. Ask for separate average salary figures for domestic and international salaries.
   
   
3. If you’re getting into MBA with a specific goal in mind (for example, you want to join the media industry in a business development role), ask specifically for a list of offers made in that domain in the last two years. If the b-school does not arrange those kinds of placements, it makes little sense for you to join it!
   
   
4. Ask for the lowest salary in the placements. In many cases, a b-school’s placements look good only because of a couple of really high packages that shoot the average up.
   

You owe yourself at least this much, because one wrong choice about a b-school could change your life!

SOURCE:WWW.PAGALGUY.COM

HOW TO PREPARE EFFECTIVELY FOR MBA ENTRANCE

If you ask students what they dislike most about school/college life, probably nine out of ten students will say - ‘exams’. The reason is pretty obvious. Students spend days and nights slogging over books preparing for exams. Once the exams are over, they spend their time agonising over the results. More so if it happens to be an entrance exam. MBA entrances seem to have gained popularity of late. Everyone seems to be going for them these days. Quite a few of the aspirants are clear about their objective and go towards it with a proper action plan. Many others are just putting their luck to test, or are confused on how to go about preparing.

If you are a student planning to take the entrance, follow the steps below and exams will no longer torment you. Besides the MBA entrance exam, these steps will help be of interest to anyone taking an exam, be it a school level exam, college level exam, or a competitive one.

Step 1: Start early
There is no point in procrastinating. If you start studying early for your exams then you will have more time to study. When you have plenty of time at your disposal then you can study at your own pace. You will not have to cram extra hours. Think of it as a 100m race. The student who starts early has that much of head start over the others. If need be, join a coaching class. There are a many reputed coaching classes that specialise on MBA entrances, and boast of many successful stories.

Step 2: Be clear about the sections
Don’t waste your time reading something that will not even be asked in the exam. Find out exactly what the exam syllabus will be. Make a list of all the topics that might be asked. Most of the MBA entrances have sections on:

1. Verbal ability

2. Reading comprehension

3. Quantitative ability

4. Data interpretation

5. Analytical ability

6. General awareness

The numbers of questions under each section vary from exam to exam, but the kind of questions is similar. Next, get a list of the books that you would like to refer. Make sure that you have all the course material ready well before the exams. Don’t waste your time hunting for reading material at the eleventh hour.

Step 3: Find out what you are comfortable with
O.K, so now you know the sections that appear in a typical MBA entrance exam, what next. Your next task is to find out what you know and what you don’t know about these sections. What are the sections you are comfortable with? Where do you need to spend more time? Don’t waste precious time studying topics you already know. This may be tempting as it gives you comfort but your time will be better spent if you study topics which you don’t know. You will improve only when you work on your weaker points. If problem solving is a weak point for you, spend more time on that compared to the section you are comfortable with.

Sample tests track and evaluate your results. They isolate your weaknesses and thus highlight what you need to practice most. A commercial course or an MBA preparatory program will help point out to you what practice questions also reveal. That is, there are many shortcuts and tricks that can help you to find the right answer more quickly, and help improve your ability to eliminate the wrong answers. Knowing the question format and taking practice tests will train you for success.

Step 4: Formulate a plan
After you find out exactly what you need to study, your next step should be to form a plan as to how you will study. Start with a broader plan and then break it down to smaller tasks. Smaller tasks can be better managed. Make the plan as specific as possible. Give deadlines and try to stick to these as much as possible. Don’t fix deadlines that are too ambitious and may not be achievable, as you might get discouraged.

Step 5: Execute the plan
You now know what to do and how to do it. But you still have got to do it. This is the most crucial stage. Even the best of plans if not properly implemented are useless. You should periodically monitor your progress to know how you are doing with respect to your plan. If you are not able to meet a deadline, then you have to buckle up. Finally don’t lose steam towards the end. You may start-off with all the enthusiasm but get complacent later. A good way to avoid this is to study along with a friend. This way you and your friend can motivate each other.

Take practice tests. For best results, try to simulate exam conditions as closely as possible when taking sample tests: no unscheduled breaks or interruptions, strict adherence to time limits, and no use of outside aids. Familiarising yourself with the test taking conditions will prepare you for the day of the test and help eliminate any impediments to your success!

There are two basic elements to preparation – study and practice (good luck for those who do not follow these two). The numerical ability (arithmetic, geometry, algebra, probability, sets etc.) is of a high school level, and that is the reason many of us will have lost touch with these subjects. Moreover, a little revision and practicing numerous time savers and short cuts will enhance your performance. The verbal section will pose a lot of traps to catch even the most confident people, so some brush up on your grammar will not go waste.

There is no substitute for practice in your preparation for the MBA entrance test. The time limits that are present in the test will be very difficult to adhere to without practice. Practice makes a man perfect. Also, there is not substitute for hard work. Plan the schedule of your preparation ahead. Maintain consistency throughout your preparation. Do it on a regular basis and when time comes give it the best shot.

You can improve your performance at the entrance test quite considerably by putting a little (or a lot of) effort into preparing for the test. With this, you should be able to improve your score, which will make a noticeable difference in the options you have for choosing a business school.

A few more tips . . .

· Before the exam day, make sure you have everything you need. Double check before leaving for the examination hall. If you are writing an exam that requires you to carry a hall ticket or an ID card, then make sure that you have it with you. The worst possible start you can give yourself is to arrive for the exam without the things needed to write the exam.

· It is important to relax. Don’t indulge in last minute reading. You will gain nothing, on the contrary you will get more nervous.

· Reach the exam hall well before time so that you have plenty of time to settle down.

· Read the question paper very carefully. Do not forget to read the instructions. Don’t assume that the model of the question paper will be same as last year.

· Attempt the easier questions first. That way you can allocate more time for the difficult questions.

· Manage your time efficiently. You must attempt all the questions in the stipulated time.

· Write your name and roll number legibly and neatly. Do not scribble. Avoid scratch marks on the paper.

· If you have some time left in the end then revise your answers once. Verify the numerical calculations.

· Follow the other instructions properly

You probably knew most of the points discussed in this article. So practice them now and see the results. In case you had feel that you were going wrong in your preparations earlier, rectify them now and get set for the exam of your dream course.

Here are some of the GD topics of leading institutes:

For more and for old CAT papers EMAIL to:

VAMSIPALREDDY@YAHOO.COM

Group Discussion Topics of Various Institutes

After getting the call letter from the IIM's or any other premier B-institute for the GD, the first question that rushes through you is what kind of topics you can expect. Yes, ok, you need to be abreast of all current affairs-this has been drilled into you from DAY 1 of preparing for CAT, but exactly what kind of questions? How can they be phrased? Well, check out the following GD topics of the IIMs and other institutes of the yester years-maybe they can help...

TOPICS OF IIMB IN 1999

X Managerial skills learnt in the classroom can never match those learnt from experience
X Democracy is hampering India progress
X MBA in India is highly overrated.
X Religion is a private affair and should be of no concern for the state
X Decreasing defense expenditure and increasing social expenditure is the need of the hour

TOPICS OF IIMC IN 1999

X MBA in India is highly overrated.
X Religion is a private affair and should be of no concern for the state
X Decreasing defense expenditure and increasing social expenditure is the need of the hour
X Efficiency and corruption go hand in hand
X Advanced mathematics is of no use in every day life
X Welcome back socialism
X To survive in a civilized world one needs to be a hypocrite
X TV Commercials should be banned
X Politics and economics go together
X Winning is not the important thing, it is the only thing

OTHER GD TOPICS OF 1999

X The money being put into cricket is harming the development of other sports. (SCMHRD, Feb'99)
X You want to be one of the 6 persons in the ship (out of 7) who are to survive. State your case. (TAPMI - April'99)
X Democracy has hampered India's progress (IIMB, March'99)
X The formation of European Union has a drastic effect on India's trade. (IIML, March'99)
X Open book examination system would eliminate all the ills of present system. (Dept. of Fin. Studies, DU, March'99)
X Women's empowerment will lead to social development (IIM Kozhikode, March'99)
X Computers result in unemployment (FMS Delhi, March'99)

SOME GD TOPICS OF 1997

X Are we raising a generation of burnt out children? (IIMB, Mar 97)
X Advertising is all glitter and little truth. (MICA, Apr '97)
X Is bureaucracy a hindrance to economic reforms in India?
(IIMC,July '97)
X Film-makers are indulging in cinematic Fortitution in the name of folk culture. (IIML, Mar'97)
X Under Indian parliamentary democracy it is impossible to ensure balanced regional development. (IIMC, Mar '97 ) Corruption is the main outcome of democracy in India. (IIML, Mar '97) In an over-regulated society corruption is inevitable. (MICA, Apr '97) For the poorer sections of society, a state-controlled economy is better than a liberalised economy. (IIMC-PGDCM, March'97)

With IT replacing middle level management, software jobs are more lucrative than MBAs (S.P Jain, March'99)
Do you think accent holds you back? Would you prefer everyone speaking uniformly? (XIM Bhubaneswar, March'99)
Men resent women power at work place (NMIMS, March'99)
Youth in India are becoming greedy by the day (MICA, March'99)
MBAs should be taxed at higher rates in the country (IIMB April'99)