Demand for Management Education Up From 2011: GMAC survey

Demand for graduate business and management education around the world shows signs of renewed growth, as 51 percent of programs surveyed by the Graduate Management Admission Council report more applications than last year.

Overall demand — as revealed in the 2012 Application Trends Survey — is spread among a greater variety of program types, including part-time self-paced, flexible, and online distance MBAs, as well as specialized master’s degrees in business, including information technology management. 

“As the global business space continues to become more complex, there is a greater demand that business schools today offer specialized and flexible programs to meet corporate and student needs,” said David Wilson, GMAC president and CEO. “Worldwide, these diverse graduate management programs are drawing different kinds of students.  Technology is a part of the solution to this challenge, but it is not the entire solution.  Flexibility in delivery mode, cadence of the program and the characteristics of the class cohort are now all variables in the graduate education solutions being offered.  The message students and companies are sending is clear; one size does not necessarily fit all.”

The annual survey, which charts year-to-year application changes at the program level, shows that specialized master’s programs in management, finance, and accounting continue to show robust growth, and applications to full-time two-year MBA programs appear to be stabilizing globally, with about half of all full-time two-year MBA programs showing increases or holding steady from last year.  

In open-ended comments, admissions professionals responding to the survey noted that economic conditions continued to play a role in student demand for programs. “[A student’s] reluctance to leave full-time position,” cited one admissions professional from a US full-time two-year MBA program. “The economy is picking up and students are finding full-time jobs or have received promotions and do not want to leave to go back to school for two years,” said another. 

A record 744 programs from 359 business schools in 46 countries participated in the survey this year. They include 527 MBA programs, 24 business doctoral programs (PhD/DBA) and 193 specialized masters programs. This year’s survey report includes, for the first time, results for masters in information technology management and masters of marketing/communications.

MBA on top: GMAC survey

The MBA programme remains top choice for prospective business school students despite the growing popularity of specialised master’s programmes.

A new report from the Graduate Management Admission Council reveals that among all prospective students surveyed, 55 percent indicated that they are only interested in attending an MBA programme (this has remained steady over the last three years), while 18 percent of prospective students are only considering a specialised master’s programme, up from 13 percent in 2009.

The mba.com Prospective Students Survey results for the first time offers insight into the reasons why prospects choose study destinations. Similar to GMAT score sending patterns, the top three preferred destinations were the United States, United Kingdom, and Canada. Reputation of a country’s educational system was the most cited reason for choosing a specific destination. Prospective students intending to study in the US cited better career preparation, whereas improved chances for an international career was cited for non-US destinations. Notably, affordability was cited among respondents selecting Canada, Singapore, and India.

“Prospective students have more information and more options with programme choice than ever before,” said Dave Wilson, president and CEO of GMAC. “But as the dark economic clouds continue to dissipate, the challenge of meeting the financial costs of a graduate management programme is very much on their minds.”

Fewer respondents cited economic reservations as a constraint to pursuing a graduate management degree compared with three years ago. Yet, when choosing a specific program to apply to, financial considerations have become more important. Potential students say they will rely more on personal savings and family support than on loans, grants and other aid.