HS for Alushta Seminar, August 2002

HS for Alushta Seminar, August 2002

Business Education Today. MBA

Concept of MBA educationAcademic learningNon-academic contentsNon-academic serviceBusiness schools


Concept of MBA education

American invention – 1908About 100 000 graduates per year in the USALast year 14.4% MBA graduates in the USA

were from abroad


Background of current MBA standard.

80’ 88 - 95 today

universities

Traditional education

Debate on MBA

education

Responsibility for the MBA product

Busi-ness

No challenge

MBA -question of quality

Closer relations & influence


What business did not like about MBA?

No accurate knowledge to meet business challenge! Disintegrated knowledge packed into separated areas! Questionable capabilities in understanding global aspects

of modern business! Bad communication skills! Poor or non existing habits for working in groups! Poor preparation for absorption of changes! Poor leadership skills! No interest in entrepreneurship! Unreasonable salary expectations!


How has academia reacted to business criticism?

Tensions in academic discussion, but after a while …

Humble acceptance of needs for change Changes in academic contents Developing non-academic learning agenda Creating Business Advisory Boards


MBA change agenda.Changes are not absorbed by all the schools yet!

MBAGlobal mind

Communication

Innovativness

Entrepreneur

ship

Ethics

Teams

M. skills

Whole person

change

leader

IT

practice


Entrepreneurship

Team Initiated Enterprise (creation of real business) (IMD Switzerland)

Entrepreneurship project - team consulting to a new local company (Manchester)

Separate Entrepreneurship MBA (Manchester) Entrepreneurship courses (Harvard, Stanford) Entrepreneurship Conference organized by MBA students

(Stanford) Entrepreneurship Centre to enhance students knowledge

and graduates ventures (MIT)


Team work

a number of team building workshops during the program duration (Queen’s)

the Learning Enterprise Team - study group which has also many tasks for developing other groups and providing various services to the MBA program (ENPC Paris)

Outdoor actions for accelerated team building (IMD Switzerland)

team consulting projects (Manchester) team based study (Duke) team based assignments in all programs


Leadership

program for preparation of future business leaders (Harvard, Michigan. IMD)

courses in leadership development in all reputable programs

a lot of promotional preaching about value of leadership capability for the future career in all programs


Communication and presentation

Personal and Communication Skills course run throughout a serious of simulations and role playing in TV studio with real journalists (Cranfield UK)

case method is responsible for about 40% of class content (Cranfield UK)

additional workshops for communication skills development in most of the reputable programs


Information technology

Pre-Program Information management Skills course ( Columbia NY, Cranfield UK)

Separate concentration within MBA Program ( MIT) a lot of events to maximize students ability to manage

across space using information technology (Duke)


Management skills

Series of workshop addressing management skills (Harvard, Michigan, IMD)

a lot of promotional preaching about meaning of good managerial practice for the future career of MBA graduates


Innovativeness

creativity and innovation projects (Manchester) most programs talk about it but few do anything to

develop it


Business ethics

only conversation, and occasionally one elective course offered


Change master

Management of change project (Manchester) a lot of conversations and propaganda but little evidence

for valuable action aimed at making MBA graduate the Change Master


Global mind set optional visit to companies in other countries (Dalhousie,

London BS) optional summer internships in Canadian Consulates

(Dalhousie) optional study abroad (York, Manchester) foreign languages (York) Global Initiative - students research, speakers, social

events with a global focus (Harvard, London Business School)

Program divided into several sessions conducted in other countries (Executive MBA at McGill, Michigan, Wharton)

two international study tours (Manitoba) optional international study tours (Wharton)


Close to practice

Consulting Teams under direction of Professors perform specially gathered business contracts ( IMD, ENCP, Manchester, Manitoba)

field projects in the second part of the program (Quins, Canfield, London Business School)

three consulting companies owned by the MBA program and managed by students (Dalhousie)

Business Resource Centre - students operated consulting company offers its service to local business; students can earn credit for two courses while working with consulting projects (Windsor)

volunteers service to non-for-profit organizations (Windsor) Strategy Field Study projects (York) optional four months internship at competitive basis or practical

projects solving real business CEOs as teachers for specially designed seminar (Manitoba)


Whole person development

Five times week long Professional Development Module proceeding each teaching module and additional one at the and of Module number 4 (Queen’s)

a number of courses and seminars addressing values and skills (ENCP Paris)

Personal Development is the orientation of the entire program and it is demonstrated throughout a number of workshops (Cranfield UK)

a number of events addressing job searching strategies (Dalhousie)

students must attend 21 professional development sessions (Windsor)

20 one - day workshops ( Manitoba)


GMAT administration - there are about 1500 MBA programs in the world.

Three groups.

I. Top traditional programs.

Examples: Harvard, Stanford, Toronto, INSEAD, LBS,

Exceptional candidates + exceptional professors + exceptional image of the university =

Excellent graduates + highly paid jobs.About 20 – 30 programs in the world.



Three groups.

II. Innovators and challengers.

Queen’s, IMD, York, McGill

Good candidates + good professors + desire for innovation =

Excellent graduates + highly paid jobs.About 200 programs in the world.



Three groups.

III. Traditional Programs.

first mover advantage + good local demography + well established reputation =

stable business niche + acceptable graduates absorbed by local businesses .

About 600 traditional programs,

many of them did not start yet serious changes.


US MBA - data for fifteen the best programs ranked by US News

Acceptance rate - 14.00% ranging between 6.7% at Stanford and 22.6% at North Carolina - Chapel Hill.GPA -3.5 ranging between 3.59 for Stanford and 3.34 for Berkeley.

GMAT - average is 683.47 ranging from 722 at Stanford and 664 at Duke University.

First salary - average is $ 79.530 US ranging from $ 90 000 at Kellogg to $ 75 000 at Virginia (Darden). Graduates of Kellogg, Columbia, Stanford, Harvard, Duke, Dartmouth, MIT and Wharton are enjoying average salary between $ 80 000 and $ 90 000 US.


In Europe … UK

13 000 graduates yearly London Business School Imperial College of London University Manchester University


Western Europe – examples of respected programs

France INSEAD

Ecole Nationale des Ponts et Chaussees Switzerland – IMD Italy - SDA Bocconi University Spain - Escuela Superior de Administracion y Direccion

de Empresses in Barcelona (ESADE) Norway - Norwegian School of Management BI Denmark - Copenhagen School of Business Benelux - Rotterdam University Germany - 1 600 grads. 70 programs – 35 recognized


Eastern Europe – examples of respected programs

Poland Hungary Russia


What is on the MBA agenda now?

Academic disciplines

+ responsibility for applications

+ learning integration & Schools customer orientation

MBA rolerevision

history mainstream current struggle



Length of the program? No issue any more! Almost all the programs give opportunity for accelerated degree. One –year programs are fully accepted by students and academic community.

Flexibility is a new issue. Challenge?

How to design the entire portfolio of programs offered by a school or a group of schools so that students can move freely between schools, programs and forms of education.



Pre-Program preparation. Challenges?

How to ensure that all the cohort

is equally prepared with basic disciplines?

How to provide an opportunity to some more experienced students to approach a challenge exam?



Introduction of the real world into the MBA learning process. Challenge?

- courses prepared and run by a team of an experienced executive and

a professor?

- practical projects undertaken by a group of students (consulting assignments, new venture creation)?

- mentoring program - cooperation between a student and experienced manager?

How to implement perfectly ideas like,



Whole person development. Challenge?

How to balance the program

so that graduates have

iintellectual sophistication and practical skills,

right values and personal integrity?



Connections to the business world. Challenge?

Graduates careers.

Re-shaping the MBA contents

Specializations.

Fund raising.



Part-time market. Challenge.

How to provide the product equal in value with the full-time programs and grow the market?


MBA revision.

What is the MBA output? What qualifications are we creating?

* 60% graduates go to financing or consulting

* poor interest in entrepreneurial activity* poor interest in line responsibility

We do not “produce “ managers! Is it pre-selection result or

our program and pedagogy result?