MBA graduates still have the highest salaries. The Most Important Skills for Employers

The history of the MBA began with one important date. Dortmouth College (New Hampshire, USA) at the dawn of the twentieth century in 1901 awarded its graduates the degree of Master of Business Administration. At that time it was very relevant, but not as honorable as it is today. An MBA degree meant that a college graduate was ready to work in the field of production and the market. And only half a century later it became possible to get a business education in Europe. The leading educational institutions of London and Manchester in the UK were the first to pick up this wave. The rest of Europe "ripe" much later. Russia got acquainted with business education already in the 90s for obvious reasons.

The very first graduates of the MBA program appeared in 1908 at the Harvard Business School, which was opened in 1906. And 1907 was the year the Moscow Higher Commercial School was founded in Russia. It actually became the first business school in Russia and Europe. The project was initiated by philanthropists and representatives of the elite Russian business. Although some historians believe that the beginning of the MBA era in the world was marked by 1902, since it was then that the Dartmouth College of Hanover in New Hampshire (USA) for the first time in history produced specialists who passed the M.C.S. (Master of Commercial Science). This program is considered in some way a prototype of the MBA. But historians consider this date controversial and inaccurate, therefore, 1908 is taken as the starting point for MBA education.

Of course, on this wave, a lot of schools were opened that attributed the prefix "business" to themselves. Time has shown which of them offered quality education, the rest simply disappeared, and real business schools eventually transformed their programs in accordance with Western models. They passed the quality test, having received accreditation. And it is their diplomas that inspire respect among employers and guarantee, if not a place in top management, then at least a warm handshake of the president of the company you are interested in and great prospects for the future.

True, such education is expensive. Therefore, many applicants choose to study at business schools that provide the so-called "pseudo MBA" (junk-MBA). They are not up to standard, but they are taught nonetheless. They are cheaper and shorter, which is why they are popular with uninformed or not too interested people.

If you are interested in a real, accredited MBA, contact AACSB (American Assembly of Business Schools), AMBA (The Association of MBAs - Association educational institutions awarding an MBA degree) or EQUIS (European Quality Improvement System - European Quality Improvement System). Today, it is these institutions that accredit business schools and MBA programs. It is in them that you will find the most reliable information about the quality of a particular Master's program business administration.

No other curriculum in the last hundred years has undergone such major changes in such a record short time. And each of them dictated the need to adapt to the realities of the time. The very first business program included economics and accounting courses. Since America at that time needed these specialists due to financial instability in the state. It was like graduate school - you could go to study immediately after graduating from higher educational institutions. And this approach, along with the program, was quickly picked up by other states.

But at the same time, many very respected universities in America categorically refused to include the MBA course in their training programs because of the prejudice that it was “merchant”. It took time for society to become convinced of the need for such programs. But MBA's problems didn't end there. In 1959, two reports were published blaming the MBA program for its affordability. The authors argued that they should not resemble holiday homes, accessible to all, where you can have a great time. We feel the response even today - business education has become elitist, it has high requirements for the degree of preparation of potential candidates.

In parallel with the tightening of requirements for applicants, MBA schools began to pay more attention to research. In doing so, they earned the favor of representatives of academic education and incurred the wrath of representatives of business, who needed not theoreticians-executors, but ready-to-action, practice-oriented managers.

Therefore, in accordance with the requirements of the time, business schools had to divide the program into two parts: the first year offered basic disciplines, and the second included more specialized subjects with the opportunity for students to choose more suitable for their purposes. This became the process of forming the classical model of the MBA course. Today's business schools have to update their curriculum materials quite regularly to keep up with the times. The latest trend has been the need to add disciplines to the program that have not previously received close attention, but, as practice has proven, they are no less important than law or finance. These are leadership, ethics, interpersonal and intercultural relations, etc. Modern programs The MBA provides not only to “pump up” the graduate with theory and practice, but also to develop him as a person, setting the direction for his further growth.

History of the MBA in Europe

The first European country that has picked up a new trend in business education is the UK. It was in England, in the 1960s, half a century after the United States, that the first European MBA schools appeared on the basis of the best universities in London and Manchester. Moreover, the idea of ​​establishing such elite schools took root poorly - the founders were accused of copying American standards and breaking away from the realities of their own country. But now, half a century later, the London Business School is one of the recognized leaders in business education in Europe.

It should be noted that not all MBA schools in Europe have adopted the American model. For example, IMD, Henley, INSEAD, and Ashridge formed a group of companies that developed management training for their own employees. French business schools have created and strongly support regional and local chambers of commerce. The creation of the first Russian business school was initiated by the state: in 1988, a special resolution of the Council of Ministers gave the green light to the creation of the country's first professional business school - the Higher Commercial School.

MBA of the 21st century

According to rough estimates, every 250th resident in the United States has an MBA diploma, i.e. There are more than a million specialists of this qualification. Every year, several hundred thousand students invest millions of dollars in education. An MBA degree allows you to start a dizzying career, this has already been seen a large number of world-class business leaders who graduated from business schools in their time: they now run companies such as Ebay, Nike, E-trade, Motorola, the Federal Reserve Bank and others. In Russia, the wave of business education was picked up by the Moscow Business School. Adapting to requirements modern business, Moscow Business School continues to create innovative products in the field of business education. The school is proud of its MBA Company and MBA Start projects. Thanks to the introduction of the latest multimedia technologies into the training course and the full support of their students during the learning process, the introduction of an effective software Moscow Business School is quite capable of bringing Russian business education to a higher level of competitiveness.

Despite the crisis, there is still a gap in the global labor market between MBA graduates and those who do not have such a degree. Recruiters compete among themselves for young talent from business schools. Nunzio Quacquarelli, editor and topmba.com, talks about the latest on this topic.

In an era of financial instability and intense global competition, the MBA degree is becoming a safe haven for young professionals seeking career advancement. For the first time ever, continental European business schools reported higher graduate salaries than their US and UK counterparts, while the US continued to lead in terms of bonuses and bonuses.

The median salary of MBA graduates in consulting is $101,137, surpassed only by salaries in telecommunications and high technology, which is $106,142. For comparison, the average salary of a candidate who has four years of work experience, but did not receive an MBA degree, is $66,271, and a candidate who has worked in telecommunications for four years is $74,378.

In developing countries, salaries for MBA graduates range from $32,000 to $160,000. It is unlikely that these salaries will decrease, given the projected demand for managers in the coming years.

MBA graduates in media and entertainment are in third place at $97,295 compared to $63,745 for candidates with four years of industry experience. The salaries of people with a master's degree or PhD are also always lower than MBA graduates.

On average, a business school graduate who joins a bank earns $89,169. By comparison, a non-MBA colleague with four years of banking experience earns an average of $80,236. sector reached $140,000 and a rather low $25,000 in some emerging markets.

KPMG, the global market leader in providing audit, tax and consulting services, in Europe traditionally prefers simple accountants, rather than candidates with an MBA degree. Lord Michael Hastings, Global Head of Diversity at KPMG International, says things are changing. KPMG is constantly working with clients around the world who are not only asking for advice when faced with tax problems. They are interested in how they could function and best develop their business in countries where difficult situations arise. An MBA degree opens up broader prospects than a standard financial education.

Salaries of MBA graduates depending on the region

The weakening dollar and the apparent increase in compensation in Western Europe have led to the fact that the salaries of Western European MBA graduates average $99,156, compared to $91,283 for graduates in North America (read more in).

Salaries in other regions, apparently, are also being pulled up to this level. Wages in Asia and the Pacific rose by more than 10% in 2008 to an average of $83,380 (Australia, Japan, Singapore, Korea, Taiwan, excluding data from China, India and Thailand).

Salaries in Latin America are also growing quite rapidly, reaching an average of $70,456 in 2008. In all regions, international corporations offer higher salaries to MBA graduates than local companies.

Within countries, salaries for MBA graduates are 20% higher in capitals and financial centers than in small towns. The UK saw the highest salary of $111,000 in 2007 thanks in large part to London-based recruiters. It is not known if the pattern will remain the same next year.

Comparing salaries in different regions, MBA graduates must also take into account living expenses - the real ratio of expenses and compensation in a particular country and company.

Every year, the OECD (Organization for Economic Co-operation and Development) publishes a study comparing purchasing power in various countries. Purchasing power in Mexico City is 24% higher than in the US, according to the study. Despite the fact that salaries for business school graduates in Latin America are 23% lower than in North America, graduates living in Mexico City will be able to afford more than their counterparts living in the US. In contrast, Japanese purchasing power is 36% lower than in the US, but higher prices will lead to lower living standards if wages are the same as in other countries.

* The QS TopMBA.com Salary & Recruitment Trends Report is published in August each year. Its summary results are available on TopMBA.com for registered candidates for the QS World MBA Tour exhibition and other QS forums and events.

Caroline Zimmerman, along with her MBA from INSEAD Business School, acquired the usual set of benefits: an understanding of business fundamentals and a wide network of connections. However, one skill was not offered by the program - programming in Python.

Python is one of the most important tools in Zimmerman's work (she leads the analysis and data processing in music company bmg). However, her lack of technical skills didn't stop her from applying for the job, because at INSEAD she learned how to face challenges—not to be afraid of them. And Zimmerman taught herself Python in online courses.

The desire to learn something new that you don't know is valued more than broad knowledge in the tech sector, Zimmerman says.

The ability to solve complex problems is one of the five most sought-after skills for MBA graduates by employers, according to the FT's 2018 FT MBA Skills Gap Survey. More than 70 of the world's largest employers took part in the study.

The FT data shows that employers tend to hire graduates with the right soft skills, such as the ability to work in a team and find mutual language with the most different people(among the most important they were named by 64 and 54% of FT respondents, respectively).

MBA programs traditionally provide a variety of professional knowledge and work skills (hard skills), and, according to employers, candidates with the necessary professional skills (for example, who accounting, knowledgeable marketing, economics, programming or foreign languages) are easier to find.

Susan Sandler Brennan, assistant dean of the Sloan School of Management at MIT, says positive social-psychological qualities will help those with them protect their jobs in the era of automation. However, at the stage of hiring an employee, such qualities are more difficult to assess than the same accounting skills. Now companies are increasingly using preliminary online testing of candidates, which means that only applicants with the necessary professional knowledge and experience reach the interview stage. The ability to build, maintain and expand relationships can be very valuable to an employer, but without the necessary technical skills, a graduate will not be invited to an interview, says Sandler Brennan.

Leading employers are increasingly skeptical about business schools as a channel for training employees with the necessary skills - both socio-psychological qualities and professional knowledge.

The Most Important Skills for Employers

1) Ability to work in a team 2) Ability to work with a wide variety of people 3) Ability to solve complex problems 4) Ability to build, maintain and expand relationships with people 5) Time management and the ability to prioritize

“We expect candidates to have professional experience, the ability to manage a team and coordinate work with clients,” says Anna Perchas, Partner at KPMG UK. Consulting company is looking for candidates with experience in their field, with leadership qualities and enthusiastic about their work. However, KPMG UK found that such candidates can be found not only in business schools, but also in other companies, especially in the technology sector. “We're not in the business of recruiting MBA graduates, and we don't even keep track of how many of our employees have that degree,” Purchas said.

Employers from all industries have admitted that big data analysts are the hardest to find. 13% of FT respondents said it was impossible to hire such specialists.

Candidates for positions at KPMG related to cybersecurity or data analytics should be proficient in programming languages ​​such as Python and R and data visualization tools such as Tableau.

Zimmerman says that the lack of technical subjects in the MBA program did not affect her satisfaction with the course, the acquired knowledge and experience were already valuable, but she feels that business schools do not pay enough attention to technical skills, while many of their graduates go to work to the technology sector.

Sangeet Chufla, CEO of the Graduate Management Admission Council (the organization that administers business school entrance examinations), says business schools are trying to add technical disciplines to programs and this process is proceeding quite quickly.

Still, a third of tech companies surveyed by the FT said they had the hardest time finding MBA graduates with programming skills.

Five Skills Employers Are Hardest to Find

1) Ability to influence others 2) Strategic thinking 3) Energy and resilience 4) Ability to analyze big data 5) Ability to solve complex problems

Almost half of the survey participants admitted that they had difficulty finding business school graduates with the skills and qualities they needed, and that the difficulty was getting worse every year.

Chufla recommends that business schools act in two directions: to identify candidates with the right employers potential and force students in the learning process to solve unusual problems and interact with people who are different from them. All this will help them in their work.

MBA graduates generally agree with employers that the right psychosocial qualities are most important, the FT survey found. However, they value their strengths than employers. Graduates from elite business schools were most often referred to as their most strong qualities energy and perseverance, as well as the ability to solve complex problems. Recruiters say these are the qualities they find hardest to find in business school candidates. Sandler Brennan acknowledges that MBA graduates overestimate their abilities.

Translated by Nadezhda Belichenko

In 2017, as part of the preparations for the next, eighth in a row, "People's rating" of the best MBA business schools in the Russian market, the portal "MBA in Moscow and Russia" (website) conducted a survey of graduates of the MBA and Executive MBA programs 2013-2015. release.

Based on the sum of the arithmetic mean marks of graduates of the MBA and EMBA programs, the following parameters were determined:

• income increase
• career
• level of established business relationships
• personal and professional development

Each parameter was rated by graduates from 1 (useless) to 5 (excellent). It should be emphasized that all these marks express the degree of satisfaction of graduates with the learning outcomes and are not always directly related to specific income figures that graduates receive two years after graduation from business schools.

The main feature of the survey results are more restrained estimates in almost all respects. There may be several explanations for this, from a decrease in the quality of training to the influence of the general economic situation. Obviously, in 2014-2015. Employers' demands for the knowledge and skills of managers have risen sharply, while wage growth has been limited. Therefore, students, in turn, have higher requirements for learning and would like to see a more effective return.

Judging by the estimates, it can be assumed that many business schools have not been able to quickly reorganize and continue to teach in the same “pre-crisis” mode. Only assessments of personal and professional development are still high, here business schools give consistently high results.

Based on the survey of 2013-2015 MBA graduates, the portrait of students on MBA programs in Russian schools business. As before, the majority are men, although their share has decreased from 74% to 68%. Accordingly, the proportion of MBA students increased by 6%.

As can be seen, the largest age segments account for more than three-quarters (76%).

Most MBAs decided to study business, working in the positions of middle managers (42%) and senior managers (28%). The remaining third were line managers (19%) and business owners (11%).

After studying for an MBA the share of middle managers decreased by 17%, the share of line managers - by 15%. At the same time, the number of senior managers grew by 20% and the number of business owners doubled (22%).
Career trajectories within each category of managers show a general trend towards steady promotion after completing an MBA.

In international rankings of business schools, real annual figures are usually used. wages reported by MBA graduates. Domestic mentality does not imply frankness of this kind, therefore, in the People's Rating, a graduate indicates only the percentage increase in his income and assesses satisfaction with its growth on a five-point scale. In other words, the graduate evaluates the degree of compliance of the actual result with salary expectations upon admission.

In the vast majority of cases, career growth was accompanied by an increase in income. Average income growth for all job categories MBA students 2 years after graduating from business schools in Moscow amounted to 47% , in St. Petersburg - 58% , in the regions - 34% .

Out of 43 business schools, only 30 out of 43 business schools were able to get into the shortlist of participants in the VIII People's Rating. As in previous ratings, to compensate for errors, one rating place was assigned to schools whose total scores differed by less than 0.03.
Participants of the VIII People's rating of business schools collectively represent at least 95% of the market Russian programs MBA. Scores for each business school are presented .

Data source

From February to May 2017, the MBA in Moscow and Russia portal conducted an online survey of business school graduates who received an MBA diploma in the period from 2013 to 2015. The survey involved 980 graduates of 43 Russian business schools from nine regions: Moscow. St. Petersburg, Nizhny Novgorod, Kazan, Ufa, Yekaterinburg, Perm, Novosibirsk, Irkutsk.

Business schools whose graduates took part in the survey on the MBA in Moscow and Russia portal

1. Baikal International Business School of Irkutsk State University (Irkutsk)
1. PwC Academy
2. Baltic State Technical University"Voenmekh" (St. Petersburg)
3. Banking Institute NRU "Higher School of Economics" (Moscow)
4. Business School of the All-Russian Academy foreign trade(Moscow)
5. AMI Business School (St. Petersburg)
6. IMISP Business School (St. Petersburg)
7. MFUA Business School (Moscow)
8. EMAS Business School (Nizhny Novgorod - Moscow)
9. Business School of the Ural Federal University (Yekaterinburg)
10. Higher School of Business Informatics NRU HSE (Moscow)
11. Higher School of Business of the State University of Management (Moscow)
12. Higher School of Business of Kazan Federal University (Kazan)
13. Higher School of Business of the Novosibirsk State University of Economics and Management (Novosibirsk)
14. Higher School of Corporate Governance of the Russian Academy National economy and public service under the President of the Russian Federation (Moscow)
15. Graduate School of Management of St. Petersburg State University (St. Petersburg)
16. Higher School of Project Management NRU HSE (Moscow)
17. Higher School of Finance and Management RANEPA (Moscow)
18. Higher School of Economics, St. Petersburg State University of Economics (St. Petersburg)
19. Institute of Business and Business Administration RANEPA (Moscow)
20. Institute of Public Administration and Management RANEPA (Moscow)
21. Institute of Communication Management NRU HSE (Moscow)
22. Institute of World Economy and Business of Peoples' Friendship University of Russia (Moscow)
23. Institute of Tax Management and Real Estate Economics, National Research University Higher School of Economics (Moscow)
24. Caspian open school business "AstrakhanLINK" (Astrakhan)
25. International Business School of the Financial University under the Government of the Russian Federation
26. International Institute of Management LINK (Moscow)
27. International MBA and EMBA programs at RANEPA with Kingston University (Moscow)
28. International Center for Training in Logistics NRU HSE (Moscow)
29. Moscow State University of Civil Engineering (Moscow)
30. Moscow School of Management "Skolkovo" (Moscow)
31. Moscow International Higher School of Business MIRBIS (Moscow)
32. Plekhanov School of Business "Intregral" of the Russian University of Economics. G.V. Plekhanov
33. Stockholm School of Economics in Russia (St. Petersburg-Moscow)
34. Ural-Siberian Institute of Business (Yekaterinburg)
35. Faculty of Finance and Banking, RANEPA (Moscow)
36. School of Business and International Competencies of the Moscow State Institute international relations(University) Ministry of Foreign Affairs of Russia (Moscow)
37. Linkam School of Business (Perm)
38. School of Business "Synergy" (Moscow)
39. School of IT Management RANEPA (Moscow)
40. Faculty of Economics, Moscow State University (Moscow)
41. First_Business_School (Ufa)
42. City Business School (Moscow)
43. Moscow Business School (Moscow)

The Financial Times conducted a survey among employers about the skills and abilities that they want to see in MBA graduates. The respondents were 48 companies distributed across 12 sectors of the economy ( financial activities, retail, e-commerce, etc.). Companies are localized all over the world: representatives from the USA, Europe, Brazil, China, Nigeria and other countries got into the research pool.

The essence of the survey is to assess the skills and abilities of applicants with an MBA diploma. In total, 29 such skills (soft and hard skills) are presented, and companies need to choose the most and the lack of important ones. The survey was conducted anonymously.

Most Important Skills

1. Ability to work with different people (“voted” by 76% of respondents).
2. Effective time management (72%).
3. Understanding the impact of digital technology and innovation on business.

The most significant skills for respondents are soft skills (“soft skills”), while “hard skills”, basic subject knowledge, were assigned a secondary role. At the same time, companies said that finding a graduate who is able to manage their time is quite difficult.

The absence of hard skills in the top five, according to respondents, is associated with the specifics of the activities of specific companies. In narrowly focused industries (for example, oil and gas, civil engineering, transport and energy), the presence of an MBA diploma is not a decisive factor in favor of choosing an employee for a job. leadership position. Employers are not sure that business schools provide industry-relevant knowledge and teach the right skills.

Least Important Skills

• Marketing skills.
• Statistics skills.
• Corporate responsibility and environmental management.
• Programming.
• Highly specialized financial knowledge and skills.

Another reason for relegating "hard skills" to less important ones is that employers are unsure if case studies in MBA programs will suit their companies. According to respondents, most of the cases studied in business schools are based on examples of large American corporations. The acquired knowledge is difficult to apply to small companies with their own traditions and regional characteristics.

Most Difficult Skills to Recruit

1. Using social media to increase profits.
2. Coaching or coaching skills, ability to teach others.
3. Financial forecasting.
4. Working with big data (Big data).
5. Brand building and brand story writing skills.

Difficulties begin when a candidate with technical skills and experience is looking for a managerial position. For example, a product manager in an IT company must be both a good manager and know the Big Data analysis methodology. Therefore, not only an MBA diploma is important here, but also qualifications in the industry.

Easiest Recruiting Skills

1. Marketing skills.
2. Project management.
3. Communication skills. Networking.
4. Ability to solve complex problems.
5. Ability to work with different people.

Finding an MBA graduate with practical skills in marketing or project management is easier, as these subjects are more commonly taught in business schools.

Based on ft.com research

Written and translated by Inna Koldun