Why Get an MBA

There are very good reasons to pursue an MBA: mainly to enhance your career. Here you will find articles and sites that argue an MBA is worthwhile

Why a Harvard MBA is the fastest route to the corner or Oval office...

As a new crop of Harvard Business School students arrive for class this fall, they can expect to bulk up on mandatory first-year fundamentals such as financial reporting, leadership and organizational behavior. Meanwhile, second-year students are offered a wider range of elective courses that reflect the changing times, with increased emphasis on overseas travel, hands-on workshops and case studies on disruptor startups like Buzzfeed. It is “mission critical” to have first-hand experience in emerging markets, Felix Oberholzer-Gee, HBS senior associate dean, told CNBC’s “Power Lunch” this week. “Students must be globalized and diversified,” Oberholzer-Gee said. “We take them out of the classroom for extended periods of time, teach them competitive strategies beyond our borders. It’s imperative for any future leader to be completely global.” Unlike HBS students of five or 10 years ago, the current MBA class is less likely to end up at marquee firms like Goldman Sachs or Google because the tough post-recession job market has led many business-minded grads to eschew traditional jobs, and strike out on their own. Oberholzer-Gee said he thinks that’s not such a bad thing. “Today’s millennial graduates want to skip middle management and take on greater responsibility earlier on in their careers,” said Oberholzer-Gee. “Unknown micro-businesses with relatively shallow hierarchies have become much more attractive.” In 1908, with a faculty of 15 professors and 80 inaugural students, Harvard was the first school to establish a Master of Business Administration program. The program, which today has 936 full-time students and tuition topping $58,875 per year, is widely considered to be the gold standard for business leadership in Wall Street, Silicon Valley and other major economic sectors. It also is often one of the fastest routes to the corner office—or Oval Office—than any...

Business school education a solid investment: Survey...

Business school (B-School) alumni say management courses help them earn more compensation, exercise enhanced purchasing power and rise to executive ranks, according to the findings of a Graduate Management Admission Council (GMAC) survey of about 12,000 B-School alumni. The results of the 2015 Alumni Perspectives Survey Report offer a global snapshot of employment and career progression for graduate business school alumni representing batches 1959 through 2014. Of those surveyed, most said their engagement with their respective business school alumni associations contributed to their success. “Graduate management degree-holders consistently tell GMAC their education is a solid investment and a spur to personal, professional and financial achievement, even in up-and-down economies,” said Sangeet Chowfla, president and chief executive of GMAC. Conducted in October-November 2014, the survey covered the alumni of about 230 graduate business programmes at 71 universities, in 16 locations across the globe. Of those surveyed, 95 per cent rated their graduate management education as ‘good to outstanding’; 93 per cent said they would recommend their graduate business programme to others. Further, 90 per cent credited graduate management education with increasing their earning power. In developed, as well as developing, economies, graduate management alumni exercise enhanced purchasing power. A global analysis of their salaries by work location in relation to gross domestic product (GDP) and purchasing-power-parity per capita shows the purchasing power of business school alumni is 1.6-6.8 times that of an average resident of the country concerned.Read full story: Business...

When Is An MBA Worth It?

Earning an Master’s in Business Administration (MBA) can help professionals enhance their career opportunities, receive increased compensation and job promotions. An MBA can provide the skills and knowledge necessary to start a new business, and many employers require an MBA for certain management or leadership positions. On the other hand, an MBA from a top business school can cost nearly $100,000 – a substantial expense for recent graduates and substantial time out of the workforce for early-career professionals. The question becomes, is earning an MBA worth the cost? It all depends. (For more, see: Should You Get An MBA?) THE MBA DEGREE: AN OVERVIEW MBA coursework involves a broad spectrum of business-related topics including accounting, statistics, economics, communications, management and entrepreneurship. MBA programs not only ready students to work for financial institutions such as banks but also prepare them for management positions in other fields or as founders of start-up companies. There are two routes one can take to earn their MBA: a full-time or a part-time program. Although both programs will result in an MBA, there are trade-offs to consider. A full-time student will find it difficult to work for the duration of their two or three years at school. These programs are most popular, therefore, with younger students who have recently earned their bachelor’s degree and can afford to study full time on campus. (For more, see: Part-Time Vs. Executive MBA: Which One To Pick?) Part-time MBA programs typically come in two flavors. The executive MBA (EMBA) is designed for students who have been in the workforce for some time in executive or leadership roles and who are typically 32-42 years of age. These programs can be very expensive, and students expect that their employer will pick...

Was an MBA Worth Your Time and Money in 2014? What Critics Said...

Some revere it as an opportunity for personal transformation and professional advancement. Others dismiss it as a cash-burning summer camp for adults. The MBA is a divisive degree—depending on who you talk to, it will secure you a six-figure hedge fund gig, or send top venture capitalists running. Throughout the year, we asked chief executives, basketball pros, spiritual gurus, and financiers what they thought about business school and the people it produces. The best critics’ takes: Joanna Coles, editor-in-chief of Cosmopolitan: “I wonder sometimes if business school is the corporatization of education.” Deepak Chopra, alternative medicine advocate: “We have immense problems right now—social injustice, economic injustice, climate change, war, terrorism, new epidemics of all kinds … and business is in a position to help.” Linda Heasley, CEO of Lane Bryant, UCLA Anderson MBA ’86: “It’s an amazing networking opportunity.” Antoine Walker, retired NBA star: “Having some [business] training on my own would definitely make me make better decisions, but also make me make wiser decisions.” T. Boone Pickens, CEO and founder of BP Capital Management: “If I were Drake, I wouldn’t waste my time on it.”Read full story:...

11 Reasons Why Getting An MBA Beats Getting A CFA...

One of the hottest debates among young Wall Streeters involves six letters — MBA or CFA. We’ve looked at it from the perspective of recruiters, comparing compensation and time spent getting each accreditation, but nothing beats hearing it straight from the horse’s mouth. We reached out to sources who hold either CFA charters or MBA degrees to find out what makes one better than the other. In this particular story, we’re presenting the MBA case. Agree to disagree if you want. Better networking during the process. According to our sources, Business School is where you meet people — your classmates, faculty, speakers, recruiters. They all come to you. A better-connected alumni base. The CFA Institute is trying to get better, but it just doesn’t have the close-knit alumni community that business schools around the country have been fostering for decades. If you think you’ll need that, the MBA is a better option. Better for working in a variety of sectors. Yes, you’ll most likely concentrate in a certain skill set, but with the variety of business classes at your disposal, the MBA is better for working in different kinds of jobs, from business journalism to the C-suite. Better on work-life balance. Yes, a lot of people do business school part time along with a job, and that’s tough, but CFA candidates always do it. To them, full-time business school students probably look as if they’re having the time of their lives. Better name recognition. More people simply know what an MBA is than the CFA. And one CFA charter-holder told us it really hadn’t helped him get a job. “You kind of get it, and then you tell your mom,” he said. Better for mentorship. At business school you...

Should You Get Your MBA? Why It Might Make Sense...

In recent years, there have been an increasing number of debates on the value of higher education. More and more college graduates are finding that they could have done their jobs without the degree they earned, and it seems that employers are placing less emphasis than ever on a candidate’s formal education. With these arguments as a backdrop, young job seekers are wondering whether it’s worth the time and money to get an undergraduate degree, let alone continue on to earn an MBA. Some argue that the MBA doesn’t offer the same ticket to employment as it did when the job market was tighter, and that may be true. But that doesn’t mean that pursuing this postgraduate degree is completely useless. “The MBA still offers a strong competitive edge,” said Dan Bursch, program director for the University of North Carolina Kenan-Flagler online business school, MBA@UNC.”At its core, an MBA provides a person with a new strategic-thinking skill set that will allow him or her to not just answer the question or solve the problem, but to fully understand the framework of the question or problem.” Bursch noted that this problem-solving “framework” is critical in the business world, since a problem is rarely as simple as “problem A, solved by solution B.” Any question or problem that arises in business is more likely to look like, “problems A1, A2 and A3 that also impact B1, B2 and B3.” ..Lea la noticia completa en...

The value of an MBA: Chicago entrepreneurs weigh in...

you ask yourself: Is an MBA worth it? To answer that question, you must ask yourself what kind of work you plan to do or continue doing. Do you plan to work in banking, consulting, marketing, finance or insurance? MBA new hires in 2014 are expected to earn a $45,000 salary premium over new bachelor’s degree recipients in the U.S., according to the 2014 corporate recruiters survey conducted by the Graduate Management Admission Council. The anticipated median starting salary for Class of 2014 MBA new hires stood at $95,000 in the U.S., the survey showed. “With every level of education, people increase their lifetime earnings and increase their career stability,” said John Challenger, CEO of Chicago-based outplacement firm Challenger, Gray & Christmas. “It’s easier to move positions, and (MBA holders) tend to see fewer periods of long-term unemployment. MBAs, in particular, come away with skills and a stamp of approval and credentials that businesses and employers value.” But what if you plan to start your own business? In either case, you must be willing to pay handsomely. Tuition at many programs costs about $40,000 per year — and much more at elite programs. “It’s never been proven to me that having an MBA leads directly to success in a startup,” Jill Salzman, founder of The Founding Moms, wrote in an email response to questions to leaders of Chicago’s startup community. “Success’ greatest predictors are in the personality, temperament and patience of the people who are running it.” Here is a look at how Chicago-based entrepreneurs have done with and without an MBA. Joseph Sheahan, co-founder and CEO of Savvo Digital Sommelier Solutions, which matches shoppers with wine at the point of purchase. Sheahan earned an MBA in 2012 from...

Should You Get an MBA?

At least once a month an ambitious and hard-working person in their 20s asks me, “Should I get an MBA?” I earned my MBA from Stanford’s Graduate School of Business in 2000, and since 2007 I’ve been an Instructor and an internal coach back at the GSB, helping hundreds of students develop their leadership and interpersonal skills. Here’s how I respond to those inquiries. First, it’s critical to determine whether your expectations for an MBA are aligned with what the degree will likely do for you. MBA programs offer three different types of benefits, all of which vary tremendously from one school to another. 1. Practical leadership and management skills. Management education has changed significantly over the last few decades. Previously it focused on quantitative analysis in areas such as finance and operations, with little emphasis on other aspects of organizational life. As a result MBAs were often seen as bean-counters myopically focused on data and out of touch with the challenges managers face in the real world. MBA programs responded by expanding their offerings in areas such as strategy, organizational behavior and leadership. B-school curricula are still intensely quantitative, but as Stanford Dean Garth Saloner told McKinsey, “The [quantitative] skills of finance and supply chain management and accounting and so on, I think those have become more standardized in management education, have become kind of what you think of as a hygiene factor: Everybody ought to know this.” Business schools have realized that it’s not sufficient to provide quantitative and analytical training, because within a few years of leaving school (or even immediately upon graduation) their alumni will add value more through their ability to lead and manage others than through their talents as individual contributors. And effectiveness...

Use an M.B.A. to Change Careers

So-called “career switchers” look upon the degree as a way to expand international job opportunities, develop the right connections for future employment, and establish the potential for long-term income and financial stability These days, you’d be hard pressed to find someone who stays with one company or even on one job track throughout his or her entire professional life. By some estimates, two thirds or more of graduating M.B.A.s use the degree as a means of switching careers. If you’re looking for the fast track to gain the skills and network to launch your career in a new direction, a popular way to do so is through an M.B.A. program. So-called “career switchers” look upon the degree as a way to expand international job opportunities, develop the right connections for future employment, and establish the potential for long-term income and financial stability. In fact, there’s even an M.B.A. for Career Change offered by Willamette University’s Atkinson Graduate School of Management. I personally went to business school because I wanted to transition from finance to marketing. While I did achieve this, I also found that the M.B.A. experience opened up my mind to an array of new possibilities. I ended up in a career with a marketing focus, but it unfolded in a way I never would have considered before my M.B.A. Since application season is ramping up, I have a few words of advice for those applying to business school now or in the near future. If your undergraduate degree or work experience falls into the nontraditional category, make sure you clearly convey your long-term career goals within your application and essays, and explain in detail how you arrived at the conclusion that an M.B.A. would help you further...

A passport to the top of the business world

You don’t have to have an MBA to be a CEO, but it clearly helps in so many ways, says Hilary Wilce Do you need an MBA to be a good company chief? Argument about this has been raging around business circles in recent months. No, say business school critics, pointing to examples such as Steve Jobs, of Apple, and Terry Leahy, of Tesco. Yes, say MBA enthusiasts, pointing to Meg Whitman, formerly of eBay, and John Chambers, of Cisco Systems. Research has done nothing to settle the fight. According to a recent analysis of top-ranking CEOs by the US pay consultancy Equilar, fewer than half the people in this position have an MBA, and only handful of these have an MBA from any sort of elite business school. Equally, researchers at Pace University, in New York, found no relationship at all between a CEO’s educational background and his or her company’s performance. However recent work done by INSEAD researchers has indicated that the long-term performance of CEOs who have MBAs outranks that of their colleagues who lack such a training, while other analysts point out that, with MBAs burgeoning from the 1980s onwards, many more of tomorrow’s CEOs will have MBAs compared to the company leaders in post today…Read full...