A Comprehensive Guide to Pursuing an MBA Degree

1. Should I Get an MBA? X420 Discussion Session # 70

2. When should I start? Is it worth it? What will I learn? Will I be accepted in a program? Which type of program? What schools are right for me? How do I begin?

3. MBA Trends • 1965 - <10,000 MBAs awarded • 1977 - 48,000 MBAs awarded • 1998 – 94,000 MBAs awarded • 2004 – 110,000 MBA’s awarded • Two-thirds of these degrees awarded to part-time or distance students • 20% of graduates plan to go into business for themselves

4. Where do MBAs Work? • Manufacturing • Service Industries • Government

5. Accounting Corporate finance Information systems Financial institutions Marketing Consulting Personnel General management What do MBAs do?

6. Starting Salaries $70k - $90k+ Signing Bonuses

7. Why Get an MBA? • To open new career opportunities • Personal development – intellectual stimulation, self-confidence • Shift from individual contribution to managing others • To further your career – stay competitive • To increase salary • Potential to network • Company advice or requirement

8. Why NOT to Pursue an MBA! • Looking for a “silver bullet” for success • Something to do while looking for a job • Unhappy in current job without knowing why

9. Typical MBA Student Profile • Mid twenties to early thirties • Good academic background with solid work experience • Ambitious and determined • Strong idea of career direction

10. What You Get with an MBA • “Boot camp” training for management • A focus on all specialist areas of management • Combination of technical and “soft” skills • In-depth focus of a particular discipline, if desired • Credentials

11. Choosing a Program • Curriculum • Teaching methods • Delivery methods • Schools

12. Curriculum • Traditional • Begin with functional core courses – finance, marketing, accounting, macro and micro economics, operations, IT, human resources, quantitative analysis • General management themes – legal, social, ethical and technological issues; change management; organizational theory and behavior; strategic management • Advanced courses or electives in a core area leading to major concentration • Variations • Incorporate “softer” skills – leadership, negotiation, teamwork • Internationalize their focus

13. Teaching Methods • Theory method – lecture/discussion • Case method • Team projects and presentations • Computer simulation • In-company projects

14. Delivery Methods • Full time • Part time • Executive • Distance learning • Flexible MBA

15. Full-Time Programs • Typically two years • Some work experience required (typical age – 27) • Advantages: • High interaction with other students and professors • Ability to take numerous elective courses • Appropriate for career changers • Disadvantages: • Long time away from work • Expensive

16. Full Time Degree Cost Analysis

17. Part-Time Programs • Typically four years (night classes) • Students tend to be older with more work experience (typical age – 33) • Advantages: • Continue to work while attending school • Employers more likely to provide tuition reimbursement • Utilize what you learn on the job as you learn it • Ongoing work experience may enhance your performance in the program • Disadvantages: • Time is limited which places strain on job, studies and family • Company may not like subordinating work effort • Promotions and/or raises may not be automatic • Degree may not be viewed as prestigious as full-time degree

18. Executive MBAs • Weekly one-day classes or biweekly weekend classes • Typically two years • Students tend to have seven or more years of work experience and already in a management role • Advantages: • Company-sponsored • Continue to work while attending school • Apply learning immediately • Classmates provide excellent networking source • Programs are lucrative so schools provide perks and top faculty • Disadvantages: • Limited choice of courses/majors • Time is limited which places strain on job, studies and family • Limited exposure to classmates

19. Distance Learning MBAs • Most coursework taught and completed online • Typically three to five years depending upon student intensity • Advantages: • Enhance cyber skills • Freedom to work at own pace • Less expensive than other programs • Location is not an issue • Disadvantages: • High drop out rate – hard for some to stay motivated • Few companies will sponsor this degree • Limited physical interaction with other students and faculty • Few fully accredited programs

20. Flexible MBAs • Derivative of Distance Learning MBA • Combines classroom with online courses • Advantages: • Many of same advantages as Distance Learning • Many fully accredited programs are some online courses • Can meet with classmates and faculty • Can accelerate the degree • Disadvantages: • Cost and time of attending class at the school

21. Timing

22. Selecting a School • Self analysis – reasons, personal strengths and weaknesses • Accreditation – American Association of Collegiate Schools of Business (AACSB) • Suggested criteria • Reputation • Size • Location • Tuition • School’s mission • Specialization • Teaching methods and environment • Placement services

23. Selecting a School (cont.) • Research Schools to find a fit • Publications – MBA Casebook, The MBA Career Guide, The MBA Advantage, Which MBA? • Business Publications – Business Week, U.S. News & World Report • Get information from schools • Personal visits and MBA forums • Rankings • Many different ranking methodologies • Should influence decision, not be sole factor • School rankings do impact recruiting companies

24. Admission • Self-managed application with essays • Academic record (transcripts) • GMAT score • Management skills – work experience • Letters of recommendation (specific) • Extra-curricular activities and community involvement for leadership • Personal interview (possibly)

25. Financial Aid • Merit scholarships • Part-time employment – graduate assistants • Loans

26. SHOULD I GET AN MBA?

27. EVALUATION QUESTIONS 1. I found the presentation material easy to understand. 2. This discussion session increased my knowledge of the subject presented. 3. I will be able to use some of the information from this session in the future. • USE: • a. Strongly agree • b. Agree • c. Disagree • d. Strongly disagree • e. Don’t know 4. The presenter was well prepared for this discussion session. 5. This presentation should be repeated in future semesters.