India is growing at a very good speed, and according to many economical stalwarts, this growth trajectory will continue for one more decade. India’s growth is fueled by its demographic advantages and comparatively open policy of the government.Mr. Andreas Bauer of IMF projected growth to be in 7+% for the year 2018-19 in an interview given to Economic times, India, in his exact words “…..We expect growth to be 6.7 percent in 2017-2018 and it may rise to 7.4 percent next year.” More than 7 % per anum growth rate.
The demand of management professionals are also rising every year, There are 5500 Management colleges in India which graduates almost 1Lakh+ MBA’s every year, but employability of these Management graduates are in question As per ASSOCHAM Study conducted in 2016, shows that only 7 % are employable in a corporate setup, the same study also showed that even after spending few lakhs on management education, graduates lands a starting job of meager 10-15 thousand Rs Monthly Salary, on the other hand Graduate from top B-Schools receives remuneration which makes headlines of the newspapers most often.
A question may cross your mind that why this difference among students is present, Answer to this question is omnipresent i.e.Quality, Quality of education determines students preparedness for real-world management problems. It can safely be assumed, that An IIM graduate can handle a multifaceted problem in running a business better than a Tier3 management college graduate.
So how can this situation be improved?
After consultation & discussion with industry stalwarts and business managers, we have observed that the below-mentioned solutions can bring a positive outlook for tier 2 & 3 management institutes.
Comment and let us know what do you think!
1- Syllabus Update according to industry demands:- most Tier 2& Tier3 B schools do not change their syllabus according to skillset needed in the industry, they continue teaching theories of management practices but miss on their practical implementation of the same theory.
this need to be changed for which interaction between industry and academia should take place on standardized platforms where gained knowledge can be distributed among all stakeholders, and followup action on acquired knowledge can also be suggested in a practical manner.
Institutes like IMA OR Federation of Industrial Education can be a very good forum for this goal.
2- Benchmarking & Standardization of Students:- Benchmarking of Students can be a crucial part of the process, benchmarking and talent recognition exams like National Management Olympiad are a good initiative in this direction, According to National management olympiad Website
10000 management students are supposed to participate in this contest This will bring more harmony with industry expectations. we require more effort in this regard.
3- Local and Demand-based Focus for the Job market:- The issue with the current system is that every college wants to have Fortunate 500 Companies visiting their campus and distributing 6digit packages like candies, which is not practical. In India, we have huge growth in the SME sector which requires low cost high performing management people which can help Small & Medium Enterprises to big companies and grow with them in the process.
4- Faculty Development
Faculty Development is a grey area for most Tier3 B- schools and for some Tier2 B-schools. Faculties are responsible for creating good managers who have knowledge and experience to handle complex management issues. Colleges should focus more on faculty development by arranging specific seminars for faculties, Training sessions for faculties via specific certification programs, Industry-focused learning programs for faculties, etc.
Training is available but institutes are not ready to fund & design their faculty programs. An initiative is required for the same.
With hope and well wishes for All management Fraternity.
Have a good day.