It’s not uncommon nowadays that you hear about someone just getting his MBA. It’s also pretty common that your friend who recently became a manager in his firm or workplace took one, so naturally, you might have asked yourself what exactly is an MBA, its benefits, what are the different learning modules, the cost of an MBA & their ranks.
Realizing that many of you out there might have all of these questions and more we decided to answer them, as best as we can of course & provide you with all the information needed for you to decide which one of the Many MBA options out there would fit you. So grab yourself a cup of coffee and prepare to enter the realm of MBA Information.
1. What is an MBA:
Let’s start with the obvious question, what is an MBA?. If we break down the acronym we’re gonna find that the three-letter abbreviation stands for Master of Business Administration.
An MBA as per bschool.org is a masters degree that provides students with practical & theoretical training in the functions of business management, giving them a better understanding of its underlying subjects.
Another definition of the MBA is that of mba.com that identifies it as a general graduate business degree, that endows its students with a wide variety of different technical, managerial, Project management, operations management, leadership skills.
Whether you prefer the first definition or the second, by combining both you’ll get a pretty good idea of what a Master of Business Administration is as an internationally recognized advanced graduate business degree.
The history of the MBA goes back to 1881 and was the brainchild of Joseph Warton. Joseph Warton was an American industrialist & the founder of the Wharton School of Business.
Wharton had established the school with the vision of creating & providing its students with a program that would graduate students worthy of the title “ Pillars of the state”.
Although the objective was Nobel, Warton’s dream had not yet taken the form of an Advanced graduate program. This however changed in 1908, when the Harvard graduate school of business administration established the First MBA program. The members of the program were 15 faculty members, 33 regular students & 47 other special ones.
2. Benefits of an MBA:
Now that we know the history of the MBA let’s talk about the benefits you get out of service or Product as they greatly effect the value of it. So what’s in it for you and what are the benefits that you will reap from having an MBA.
- Gaining Advanced & flexible management skills:
Most MBA Applicants are traditionally young businessmen with at least two years of professional experience. seniors or more seasoned executives who feel up to it also occasionally apply.
These benefits may not seem that useful to those still starting their career, but it definitely seems to be a hit with those interested in obtaining the skills needed to make and sustain the success of the company.
Granted that you might not get the same skills from different MBA programs, but there are a common set of acquired skills that crossover from one to the other & here are some of those aforementioned skills & competencies:
- Improved leadership & people management skills
- Developing, advertising & selling your products or services
- Networking & creating partnerships & connections
- Manage difficult situations including but not inclusive to financial crises & managing the public image.
Important Statistics: As per Harvard’s report on their MBA class of 2019, out of the 74 % of its students that are actively seeking employment, 94% of them received a job offer & 88 % of them accepted said Job offer.
- Lots of Specializations to fit your Goals:
One of the most attractive aspects of the different MBA programs out there is that they have a variety of subject matters that fit your every need, allowing you to focus and specialize in the wide aspects of the business world that you would like to focus on.
Joining an MBA program takes you out of your comfort zone as you will apply numerous management techniques, use several management tools, track the latest business trends & seek every way to improve your business and take it to the next level, and what better company can you have on this journey that a group of knowledgeable & experienced alumni, students, teachers & staff.
- A good chance to improve and enhance you salary:
One of the benefits of obtaining an MBA, a cardinal benefit to say the least is that it gives you job security & gives you a chance at earning a better salary, actually some of the highest in the Market
It’s no wonder everyone and anyone wants to obtain the coveted business Master Degree. The average income for an MBA graduate is much higher than his counterpart with a regulars master degree.
Important Statics: according to the QS job & salary Report, these the range of Annual Salaries of MBA’s across the world are from 77,200 U.S.D (united states Dollars) in Germany ( plus the health bonuses of around 19,8900$) to an average Salary of 102,100 U.S.D with average bonuses of around 18,800 in Switzerland.
- MBA’s are great for career shifting & business opportunities:
Many MBA seekers are not necessarily looking to up their game in their current field of occupation or they might simply want to advance to a higher managerial or executive position.
Seeking an MBA is a great way to do either but you would be wise not to spread yourself too thin and pursue each target separately. It’s also advisable that you choose the Industry you would like to join before you take up an MB, to choose the program that best fits your industry needs.
- As per the Study Portals masters Article, over 50% of MBA graduates worldwide hold either senior management or Board of directors positions.
- According to Wikipedia, some of the most common jobs that an MBA prepares you for are Business analyst/strategist, Business Development analyst associate or Manager, Market Research Analyst, managing Director, Entrepreneur, Founder & Financial analyst among others,
These are only some of the Benefits you would be gaining if you choose the Path of pursuing an MBA Degree. Now let’s talk about the Different Modules out there.
3. MBA Learning Modules:
Now that you know the benefits you will be yielding when acquiring your MBA it’s time to talk about what different learning modules there are out there.
Usually, MBA learning modules fall into one of these clusterization or classification criteria. The before mentioned classification criteria are:
- Full-time MBA Programs:
These types of programs usually take around two academic years, approximately 18 Months. Students of this module usually enter with considerable prior real-life knowledge & Experience.
The Student Experience in this type of MBA is fairly similar to that of a university student. They usually take the classes during the weekdays and 600 class hours of class work (60 credits)
- Accelerated MBA Programs:
This is a more accelerated version of the Full-time 2-year program. The accelerated MBA usually includes a higher course load, more intense classes, schedules & examinations.
The downtime during the program and between semesters is also considerably less. To give you an example of this there isn’t a 3 to 4-month vacation in between semesters, but rather a 3 to 7 to 10 days vacation.
- Part-Time MBA Programs:
Part-time MBA’s usually hold their sessions on weekday evenings, after working hours or during weekends. This Module is usually for working professionals who can’t abandon their work but need to pursue the degree.
- Full-time & Part-time Executive MBA’s :
Full-time Executive MBA’s are designed in a way to satisfy the more advanced needs of managers & executives, mainly targeting those with 5 years of experience or more.
The Duration of the Full-time MBA is 1 year. This type of Program is commonly found in India as an alternative to the 2-year fresh graduate program.
The Part-time Executive MBA is, same as the Full-Time version, caters to Professionals with prior experience but can be concluded in 1 to 2 years max.
- Dual Degree MBA’s
The Dual MBA module is built around combining an MBA with other programs such as MS, MAMEng, or a JD. This allows students to seek both an MBA and another degree on the side without needing to pay the extra cost.
Now, here’s an important question, how much does an MBA cost?
4. MBA Cost:
Now that you know what the MBA is and the different modules and what benefits you’re gonna get from it it’s time to talk cost. It’s no secret that a prestigious MBA credited from a Renowned College would not be cheap but the question is, will it be worth it?.
The cost of an MBA will differ according to its learning Module, number of credits, which body its accredited by will all factor in the price tag attached to it.
As per Top.MBA, if it’s from a top business school in the US, such as Harvard or Stanford it would take above 120, 000$. Other b-schools in the US could take from 70,000$ to 80,000$.
In Europe, you can get more bang for your buck, thanks to the course length making the price range from 100,000$ to 110,000$.
According to Top.MBA the application fee sent by the many applicants to business schools is the highest source of revenue for these schools. This makes the choice of what field you will specialize in and on what executive level a cardinal decision, Here are some interesting statistic supporting that claim:
- According to Top.MBA, top grade programs the likes of Harvard’s & Stanford’s receive from 8000 to 10,000 applications for roughly 1.800 slots. If we take Stanford’s Graduate school of business for example, which has a fee of 275$, it could make over 2.2 million from 8,00 plus applicants just off of fees.
5. MBA Accreditation:
Interesting Enough & despite the value the MBA degree itself holds as an academic, practical & Specialized Accolade, its as good as its accreditation is, but let’s start with the obvious question what does accreditation mean?.
According to BusinessBecause.com, The accreditation is the ISO stamp of MBA’s, it’s a seal of approval and proof of a Business schools adherence to the various standards and practices, ensuring the students receive a quality education & the Job Market gets well-equipped members of the workforce.
The five most sought out MBA Accreditation bodies are:
- The Association to Advance Collegiate Schools of Business (AACSB).
- The Association of MBAs (AMBA).
- The European Quality Improvement System (EQUIS).
- Accreditation Council for Business Schools & Programs (ACBSP).
- International Accreditation Council for Business Education (IACBE).
in addition to eh top three trusted business schools are:
- International Business School of Scandinavia (IBSS).
- International Business Academy of Switzerland (IBAS).
- Asia E-Learning University (AEU)
As for the Importance of Accreditation for you as the proud holder of the degree and your business Products is that it serves as an:
- Indicator of Quality
- Assures that your degree is from a High-Quality Faculty
- Symbol of a high-quality reputation for Employers
- Helps narrow your search
- Allows the school to be recognized Internationally
- Can help you get financial aid
- Allows for transfer credits
- Online MBA programs allow you to get the degree online
6. MBA Worldwide Ranks:
Despite the fact that the MBA program that suits you, your needs, your Budget and the Industry you want to take by storm, does not necessarily have to Be the Number one ranked program, it’s a useful indication nonetheless.
As per, TopUniversities.Com the top 10 ranked worldwide MBA’s are the ones from these Colleges & Business schools:
3- Penn (Wharton)
4- London Business School
5- MIT (Solan)
7- HEC Paris
8- Chicago (Booth) & IE Business School
10- UCLA (Anderson)
In Conclusion, Whether your choice of NBA is built on your budget, the Industry you want to join, whether it be Project Management, Entrepreneurship, Information systems or Information Systems among others or the Simple need to capitalize on your work experience there is no doubt that it will be beneficial for its holder and a definite career booster.
And here’s some data to support that. As per the Survey held by the Graduate Admission council of 274 Graduate Business programs, 94% felt that their business school education was personally rewarding, 89% thought it was professionally rewarding & 95% alumni said they would hire alma maters for a job opening at their organization.