How to rate an MBA

So the Financial Times MBA ratings just came out and well I am sure like me everyone checked the ranking of the school we have gotten through or we want to go. I am happy INSEAD maintains its top 10 slot. I think its always important to create your own parameters and rankings apart from of-course referring to the world at large. Also scoring a 700+ in GMAT and having a versatile background will help you exercise your choice and open more doors. Below are 11 factors according to me which can help you create your own ranking .

1)Age – If you are older than maybe 29 than a 1 year school will give you the best value as your opportunity cost for a 2 years course would be higher and you would be graduating with a class which would have an average age of 25 -27

2)Professional stage – If you are someone who has about 8 -10 years of experience already at the top end of mid management say ( MD-2 level in a midsized company ) or say ( an AVP , DGM , GM ,VP , Account Director) a 2 year programme is not a good idea largely because the recruiters on campus are offering jobs to 26-27 years old with an experience of 3 -5 years. You will learn for sure but you might struggle to find a lateral position on campus.

3)Opportunity cost – if you are someone who is earning in the range of $60k-$100k picking up a 2 year course becomes very expensive. So you expense can actually go up to $ 250K -$300K(including the opportunity cost)

4)Marital status– Dynamics change if you have a wife, they change more if you have a working wife and she wants to continue working ( rule out US & UK) . One of the reasons I chose Insead over Kellogg 1 year was that my wife wanted to work as well and finding work in US is sort of impossible.

5)Kids – If you have school going kids brace yourself for a tough time , if your kids are very young you have to choose a place/country where you can bring them up well ( availability of domestic help , affordable medical expenses , moderate temperature )

6)Global economy – I am sure you are already aware of what’s happening around . Euro zone is going through a tough time and passing out in a country like Spain , Italy might be a bad idea . Germany and France might be better off a little but Asia definitely holds an advantage.

7)Visa norms and job market – A lot of my friends have completely ruled out UK because of their tough visa laws and current job market. Unless you are aiming at LBS.

8)What is your need – If you are doing it for just learning the field is open and schools across the world will provide you great learning. If you want just an international mba tag the field is again open for you but if you are looking at an ROI model and want to move to a better job/industry you need to be very cautious of the school you choose.

9)What field you want to work in – Finance/Marketing/Consulting/Entertainment/Sports/general management. every school has a specialization : Consulting –Insead/Havard , Finance – Columbia , LBS , Wharton , Stern , Chicago , Marketing –Kellogg .

10)Post MBA plan – If you want to stick to say INDIA go for an ISB /IIM these schools will be cheaper but would offer you good ROI . If you want to be a global citizen choose an international school recognized around the world. Also if you plan to join back /start your own business and all you want to learn is theory and understand the basics of management the field is open for you.

11)Financial health- We almost ignore it but ask yourself can you shell out INR 60-100 lakh / USD 140K. Will write more about this later.

Do create your own list

Why a second MBA.

Unfortunately in India MBA is a must have degree to get a job and that is where it loses its relevance it’s something that you have to have and when you go through it you have absolutely no idea why you are doing it, you don’t know your strengths and you have no clue of the industry and by the end of it most students end up joining the companies which give you the best deal. You cant blame the students they are just doing what best they can in the situation.

Most MBA schools also suffer from the Academic fever and they judge you on how you performed on the coveted CAT and not on the basis of who you are and what you want to be, no one gives a F… about your personality and your people management skill. If they say they can check that in 1 round of GD’s they are bull shitting. Most top schools in INDIA have zero diversity and is filled with the same kind of students (all very strong in academics, they believe only in competition and most are engineers.) No I don’t blame the schools either, they are closing the need gap.
The professors in top schools are academic gurus , super smart and most with an IQ of 150 I think. They are great teachers of theory but they have minimal industry interface .Yes there are exceptions but most are academicians. I don’t blame professors it’s our society and industry which doesn’t place teachers in highest regard unlike west where most professors are also consultants to fortune 500 companies.

HR teams across the country take pride in the pedigree that they have bought to the table and they fight for day zero to get smartest (read the one with best grades) on board. The kids join the companies which offer most money or lucrative foreign postings. What happens after that is not known or never spoken about. Most leave their new employers within months because they cant take pressure or they hate what they have got , the ones who stick would get worn out and stop performing and the companies have to show them the door after a few years. The ones who stick are the ones who by some miracle land up in a job that fit there personally.

If you are smart enough ( dig maths ) and you get through an IIM A, B or C XL etc life is still sorted however if you get stuck in any of the category B schools you would get stuck somewhere around the middle management . Now that’s ok if you are not overtly ambitious or bright because you have may be reached your peak…but if you are both bright and you think you haven’t reached half your potential try an international MBA. Just make sure you settle for one of the top 10 schools.

What all you can expect from an international MBA I will try address later.

WHY MBA

I am dedicating my first post to this beaten to death topic which is also the most asked question in applications and in interviews. The answer is simple really because you want to grow in life . I believe that life is a set of concentric circles and you keep on graduating to the outer circles which are bigger and better. This graduation happens at different rates and the growth rate declines as you grow old.

There are some people who are unable to break out and so they make peace with the existing circle of life. Envision your school teachers who have been teaching the same class for 30 years , your college professors who are still teaching tuitions to earn little more money or public bank employees who have graduated to senior accountant in 15 years and now get the corner cubical . Nothing against all of them they have made peace with there lifestyles and are extremely happy and content.

But then there are people who are not the content kinds and who always want more from their lives, they are eager to learn , grow , travel the globe and may be rule the world .They want to be listened to , want to be respected by the respected, want to be page turners and most importantly create value in whatever they do. They want to keep on graduating to the next circle and evolve to the top of the food/corporate chain. If you belong to this set you should look at an MBA.

An MBA from a super school ( read top 10 in the world) will catapult you to the outer most set of circles , something which is alternatively only possible if you are as smart as Mr Facebook or as cunning as senior Ambani. If you are then may be you don’t need to spend 1 or 2 years studying management you should rather venture out work on your idea and make it big. However if you know yourself well and think that right now is not your time to venture out think MBA.