Since the past few years, the value of an MBA/Master’s degree may have dipped a few notches due to the global economic down turn. Many people lost their jobs and most are still searching for one. There are quite a few questions that are still unanswered in the minds of people, especially those who have been considering doing an MBA.
These are a few questions that would hound an MBA aspirant and they would look for a logical explanation to the following questions:
- Does an MBA degree actually help in shaping the career of a student?
- Is it worth spending lakhs of rupees just for an MBA degree?
- Does MBA college act as a money making machine for their trustees or Directors?
Unfortunately questions like these will never end. However, the answer is pretty straightforward, which is, – Perception. It is how you perceive things and situations around you that matter the most. This can also be termed in one word as Attitude. All these questions arise in the mind of the public because of their perception. Generally, the public’s perception of any college degree revolves mainly around the salary – what kind of starting salary would the students get after the completion of the degree? What is the highest starting salary and what is the average salary after completion of the degree? The students don’t pursue a degree just to get a high starting salary. Instead, they pursue it to have a good career. If you choose any graduation or post graduation degree just for the ‘good salary’ aspect, then probably you have already taken the first wrong step. If you start your MBA with the focus just on the end result, there may be chances of it hindering your efforts at times. However, if you work to achieve excellence in your studies, then it can lead to a better career rather than placing all your energy and efforts on the final result. There is a perennial debate between what is more important – The path of the journey or the end destination? There is no clear answer for the same.
The most important question from all these above questions is – Is it worth enough to spend lakhs of Rupees for a Master’s Degree?
To answer the above question it is necessary to know the cost behind a Master’s degree.
To get an admission in a good Master’s/MBA college, attending coaching classes is essential to crack their entrance exam (CAT/GMAT). Once that is done, there are numerous fees that need to be paid, some of which include application fees, GD/PI cost and Admission fee.
The total cost will be around 20 – 25 lakhs for tier 1 B –School and 8-10 lakhs for tier 2 B – School. For an International Master’s degree, it will cost you around 30-35 lakhs.
Staying away from family for 2 or more years and living in a completely different environment will add on to the expenses that one needs to incur.
The total expenditure for a master’s degree is probably high but can prove a better investment in future.
”Money spent for education always reaps better benefits in the future”.
The main purpose of a Master’s degree is to gain an in-depth knowledge in a particular field and finding different ways to apply those theories in practical life. A Master’s degree doesn’t only give you bookish knowledge but also teaches you the practical implications of the same in the global business world. It also teaches discipline and practicality which can be considered as some of the most important aspects of personal life too, apart from just the professional. It gives a glimpse of the society and the world in which we live and are currently surrounded by. It equips every student with industry relevant skills, enhances his capabilities and imparts a spirit of entrepreneurship as well. Some people perceive that spending lakhs of money for a Master’s degree is not worth it as it is better to save that money and rather get regular returns. To everyone who asks has this notion in mind, here is one question for you to consider – Is the investment more beneficial than your career?
Probably in the initial stages, after completion of the degree, the student may not receive a high starting salary. The future, though, will hold a different scenario as the knowledge gained during the course of the MBA will ensure a successful and a bright career.
“An investment in Knowledge pays best interest”.
An MBA imparts many valuable lessons to all the students. These life lessons can be incorporated in both professional as well as personal life. Different electives are offered which heightens the expertise of a student in that field. Let us see some of them.
- Management Skills: – Apart from on structural variations of different organization, the MBA curriculum will focus on general principles of administration, efficient handling of risk, principles of leadership and team building.
- Operations management: With its focus on production and its overall planning, a specialized approach to management of operations will help you gain a thorough access into the principles of quality control, management along with control of inventory as well as supply chain.
- Finance and accounting: – With its detailed focus on theory, principles and guidelines of accounting, Master’s in accounting helps you understand the importance of cost control and its effect on an organization’s strategic planning and that of production. After this specialization, you can make a great headway in highly competitive banking sector.
- Human Resource: – For grooming the skills of man and interpersonal management, an MBA degree is extremely beneficial. It also helps you to get an insight into industrial and labour laws.
- If you study from a good college and are conceptually sound with all the basics, then you can be assured of good salary in addition to a good profile to kick-start your career.
- If you have learned good entrepreneur skills, then you may even start your own venture. Like Rajiv Bansal, the CEO of Flipkart.
- Studying MBA from a recognized and reputed college gives you a great brand value.
- It opens up the career path for you in the field you want to make a long lasting and successful career.
- The networking opportunity it offers within the alumni, experts of different fields, top industrialists, professors adds a value that cannot be measured by money.
“If you give a fish to a person you feed him for a day, if you teach him how to fish you feed him for a lifetime”.
A good Masters degree teaches you ‘how to fish’, which in turn can help you learn and grow in life. If you excel in your studies, then sky is the limit to what you can achieve.
We have quite a few examples of those who gained immense knowledge from their degree and are currently leading one of the largest business houses of the world.
- Warren buffet, Chairman of Berkshire Hathaway, Alumnus of Columbia Business School, New York Institute of Finance
- Ratan Tata, Chairman of Tata Sons, Alumnus of Harvard Business School
- Azim Premji, Chairman of Wipro, Alumnus of Stanford University.
If you wish to see your name amongst these renowned ones, then don’t think twice about pursuing an MBA degree. Investing in it would be one of the wisest decisions that you will ever take. It will open up numerous avenues where you can excel and contribute to the business world.
Contributed by Kandarp gandhi ( Class of 2014, IBS MUMBAI )
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