Professionals hesitate to leave their current jobs in such market conditions
On the back of the economic slowdown which saw an uncertain placement season in 2008, students are approaching the one-year executive MBA degree with caution. Their apprehension may not be unfounded since some of the premier Indian Institutes of Management (IIMs) are seeing a drop in applications with regard to some post-graduate programmes for executives/working professionals.
Consider this. IIM Ahmedabad (IIM-A) which received about 1,300 applications last year has seen the number drop to 1,000 applicants this year. Similarly, IIM Calcutta (IIM-C), which also had around 1,000 applications after the initial screening last year, expects the number to fall this year as well.
“There are several factors discouraging young working professionals from leaving their jobs and applying for these executive programmes. One of them could be that they intend to wait and watch the economic scenario transform completely. Even now they are wary whether it would be wise enough to leave jobs in such market conditions. This has resulted in less number of applications for our Post Graduate Programme for Executives (PGPX),” says Shailesh Gandhi, chairperson of PGPX at IIM-A.
It could also be lack of funds, according to Biju Abraham, Chairman for PGPEX at IIM-C. “With the stock market being unstable since some time, many of the professionals have lost their assets like shares which could have helped them fund their education. Moreover, they may not want to leave their current jobs as they are unsure whether they would be able to get a similar job, leave alone a better one, after they graduate,” says Abraham.
Nevertheless, the Indian School of Business (ISB) is not leaving anything to chance and has implemented a strategy to meet students directly and clear the apprehension surrounding the financial environment. “There was a feeling that B-schools may not get the right placement options due to the recession over the last year but in the last two-three months, we have seen a change. We are getting many inquiries from the international community,” says V K Menon, Admission Director, Indian School of Business (ISB), Hyderabad.
The institute is conducting various information sessions in India and abroad to impart more information on its one year executive management programme. Last year the institute conducted video-conferencing sessions with students in 38 cities which have gone up to 51 cities. Overall, the institute has been conducting information sessions in 20 countries.
“An institute needs robust placement to attract international students. The last couple of years has been positive on that front at ISB. Last year, 60 international companies registered with us for placement,” says Menon. He added while there was some scepticism on whether it was the right time to spend two years on an MBA, one year was a more attractive option for people with an average experience of 5-6 years.
Poonam Sehgal, chairperson of International Programme in Management for Executives (IPMX) at IIM Lucknow counters that she has not seen a big dip in interest from applications for the one-year management programme this year. “In fact, the recession is an opportunity for executives to renew their skills,” she said. She added that the programme continued to attract a lot of interest among those who got into jobs right after graduation or post-graduation and wanted to hone their skills through a management programme.
