The MBA Shift

Only 41% of Fortune 100 CEO’s have an MBA today. But 92% of employers planned to hire an MBA in 2015. Alternatives to an MBA - master degrees in specialized niches such as Real Estate - rose 58% between 2007 and 2014. Is getting a graduate business degree worth it? The average starting salary for an MBA from Stanford University, who topped the list, was $133,400 immediately after graduation. (Interestingly, Stanford male graduates commanded on average $52,000 more that their female counterparts.) Thanks to this month’s “Sky” for the stats and interviewing top business professors on how graduate business education is changing. Emphasis now is on how to navigate increasing data in decision making, how leadership needs to treat “stakeholders” - consumers, employees and communities where businesses are located – as importantly as “shareholders” in business decisions. During the downturn many companies preferred to hire employees without advanced degrees. We were told the issue was not money, but flexibility in what was being asked of them during the changing market. The paradigm shift in graduate business education appears to be teaching students to be more in the moment and more prepared to deal with change.

Susan Phillips, CEO SelectLeaders
March 8, 2016

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