MBA in India- One Year vs Two Year vs Executive MBA - MBAkarma

It is that time of the year. MBA admission season is over and the next one begins in a few months.

If you plan to apply for an MBA this year you must be done with the GMAT latest by May end.

Once GMAT is done and dusted, your first priority must be to brainstorm your MBA & career goals. By June you should build enough clarity of thought to answer these crucial questions-

1. Why MBA?
2. Why now?
3. Why you?
4. Why this university?

Once you pen down your plans, it’ll get easier to write application essays that are full of conviction.

In case you are considering Indian colleges, there is an added question- Which MBA program?

One year MBA in India? Two Year? Executive MBA? PGDM? PGP? PGPM? PGPX? EPGP? PGPeX? IPMX?

What the heck?!

You need to make an informed decision long before applications open in the second half of the year.

With so many programs it can be overwhelming to make the right choice for your career goals.

Short answer

There are broadly 3 MBA programs in India

1. Two Year Program in Management- Aimed at people with less than 2 years’ experience
2. One Year Program in Management- Aimed at people with 2-15 years’ experience
3. Part Time Program in Management- Aimed at working professionals

Long Answer

Firstly, there are very few colleges in India that actually offer an MBA degree. Most colleges actually offer a Diploma in Management.

Let’s not get into the ridiculously funny (or annoying) reasons why this is so.

However, academically these programs offer similar content as any reputed International MBA program.

So in other words, a rose by any other name… yeah, you know the rest.

But what is the best program for you? Read on.

Two Year MBA in India

Definition– The 2-year-program is the flagship programs in most colleges. It has been the default choice for a post-graduation in management made popular by success of IIMs and other top institutes. It is the most commonly known program in India.

Admission– The admissions usually happen on basis of CAT or other entrance exams and interviews. The programs typically award a Post Graduate Diploma in Management (PGDM). In early 2018 some IIMs have started awarding degrees after receiving an authority to do so.

Target– Academically these programs are structured similar to an MBA internationally. However, (and I’ll get some hate for saying this) technically they are equivalent to a Masters in Management (MiM) internationally. This is primarily due to differences in admission process and batch profile.

The 2-year-program is mainly meant for people with less than two years of experience. In fact a majority of the students come with no work experience.

Internationally an MBA candidate at the likes of Harvard, LBS or Stanford has an average work ex of 5 years. The admissions rely on multiple facets of an applicant’s profile– GMAT, quality of work experience, leadership qualities, communication and diversity. The 2-year-program in India relies heavily on test scores, past academics and interviews.

Features of the 2 year program-

1. Strong Brand with a longer history
2. Industry Exposure through multiple internships
3. Wider pool of companies for placements
4. Large alumni base
5. Deeper academic immersion due to a period of 2 years
6. Opportunity cost of 2 years
7. Extremely Smart but inexperienced peer group
8. High Fees, But still lower than the 1-year-program
9. Massive reliance on test scores than on overall profile

Any of the above features can be an advantage or a disadvantage depending on your situation.

All said and done, 2-year-program at a top Indian college is top-notch and academically fulfilling.

One Year MBA in India

Definition– The 1-year-program gained traction in India after the success of ISB in early 2000s. IIMs and other institutes followed suit and have been offering the 1-year-program since late 2000s. It was introduced due to demand of quality high education for experienced professionals that was missing in India. However, the 1-year-program has been a cause of confusion as the name of the program varies at each college. Some examples are-

1. ISB- PGP (Post Graduate Program)
2. IIM Ahmedabad- PGPX (Post Graduate Program for Executives)
3. IIM Bangalore- EPGP (Executive Post Graduate Program)
4. IIM Kolkata- PGPeX (Post Graduate Program for Executives)
5. IIM Lucknow- IPMX (International Program in Management for Executives)
6. XLRI GMP
7. S.P. JAIN (Dubai & Singapore Campus)

The uncalled for creativity to name the 1-year-program grows further as more colleges add this to their academic offering.

The 1-year-program is not helped by the fact that most programs have the word ‘Executive’ in the name. This leads applicants and recruiting companies to perceive it as an Executive MBA (which it is not, but more on that later). The only solution is for all colleges to decide a common name unanimously. But seriously- don’t hold your breath for that.

Admission– The admissions happen on basis of GMAT, Essays and Interviews. A combination of this holy trinity helps the admissions committee judge the applicanton Academics, Work Experience, Goal Clarity, Diversity, Leadership and Communication. You have to be very strong on most of these elements to secure admit. A weak area in an applicant’s profile can be offset by another very strong element. For instance weak academics can be offset by a stellar work experience. So, overall profile of the applicant is very important.

Target– It is primarily meant for people with several years of experience. Programs like ISB are best suited for someone over 2-3 years of experience, whereas IIMs (A/B/C) are more suited for people with over 5-7 years of experience. The programs usually award a diploma in management, same as a 2-year-program (with their highly colorful names of course).

Academically and otherwise the 1-year-program is equivalent to an MBA internationally. This is further strengthened by the fact that, major international rankings such as Financial Times consider the 1-year-program. ISB and IIMs (A/B/C) have featured prominently over the past few years.

These programs have made a strong brand in India in just a few years, but still have a long way to go.

Features

1. Strong Brand of the college- The programs are still building a brand of their own (ISB has carved a niche, and top IIMs have caught up very fast)
2. Lack of Industry Internship- Experienced professionals may not require an internship
3. International Immersion
4. Smaller pool of companies- Few companies hire a large number of people with a high work experience. Certain industries prefer to hire from the 2 years programs.
5. Smaller Alumni Base
6. International Recognition- Top programs affiliated with international bodies and feature in International Rankings
7. Experienced Peer group
8. Very High Fees
9. Lower academic immersion due to a smaller period of 1 year
10. Lower opportunity cost of 1 year
11. Admissions based on overall profile

Any of the above features can be an advantage or a disadvantage depending on your situation.

All in all, the 1-year-program at the top B-Schools in India will give you a great experience academically.

So what is an Executive MBA?

Internationally an Executive MBA is meant for working professionals. In other words it is a part time MBA program. The classes can be held on weekends, once in a few months, or there may not be any need to physically attend classes. By pursuing this program you do not have to leave your job or move cities. Several B-schools including IIMs offer such a program. It serves a different purpose and the intent of this article is not to discuss part time programs.

Executive MBA = Part Time MBA.

To summarize there are 3 kinds of management programs in India-

1. 2-Year-Full Time Program (PGDM)
2. 1-Year-Full Time Program (PGP/PGPX/EPGP etc.)
3. Part-Time-Program (Executive MBA)

What is the point- which program should I pursue?

Since you are planning an MBA, you may as well get used to the phrase you will hear most often-

It Depends.

To choose the right program you need to be absolutely clear with your reasons to do an MBA. Your reasons and your profile will help you decide program is best suited for your career goals and profile.

Simply put, the name of the program does NOT matter. What you put into it does.

But wait- that’s only for India. What if I want to choose between 1-year-MBA vs a 2-year-MBA internationally? Well my friend- that is a discussion for another time.

Still have questions? Reach out to us on info@MBAkarma.com to get a free consultation on your career goals.