Source: Wealth Creator Magazine May/June

Several surveys have been conducted rating Australian business schools.

In 2005, the Economic Intelligence survey ranked the Monash MBA as number one in Australia, number two in Australasia and number six in the world for the category of Personal Development and Educational Experience. 2005 Australian Financial Review’s BOSS magazine ranked the Monash MBA in the top tier – equal first – and the 2006 Good Universities Guide to MBA and Executive Short Courses has ranked the Monash MBA as equal first. In 2004 the Financial Times ranked the Australian Graduate School of Management as Australia’s top business school.

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The Currency of Intellectual Capital.

Source: Wealth Creator Magazine May/June

The currency of intellectual capital.

From Monash University in Melbourne, to Curtin University in WA, Bond University in Queensland and Macquarie University in Sydney, there are a host of institutions ready to help you improve your business skills or mould you into a corporate tiger.

So is it worth going back to school to complete an MBA, or undertake graduate management classes? It is if your ambition is to thrive as a manager in a large corporation.

According to Management Issues News demand for MBAs is once again growing. “Research across 500 key recruiters around the world has found an overall rise in demand for MBAs of 20%, with the consulting sector reporting a 35% increase, financial services 20%, general industry 17% and the technology sector 18%. In Australia, there are close to 50 Australian institutions offering over 80 types of MBAs.

The costs

If company heads are deciding whether to send certain talented employees back to school, they will need to weigh up time taken out of the company against benefit to the company. In other words, how will an MBA improve the bottom line of the business and how much will taking an employee out of business for 25 hours a week affect cash flow? Time is money.

Students studying considering an MBA at their expense should weigh up remuneration against the cost of an MBA. Some businesses will pay for their employees to undertake the course, but if you find you have to undergo the costs alone, it would be wise to weigh up work commitments, family commitments and how much the course costs in respect to what you earn. Macquarie graduates with management qualifications earn an average of $96,527.

Intake

Many of the institutions won’t take MBA students unless they have at least two years experience in business. At Monash University the average age of an MBA student is 31-to-32 years and according to Human Resources magazine usually have ten years commercial experience behind them.

Monash has an excellent international reputation and screens its students for experience believing that time in the field is important to the overall class structure.

Education vs on site experience

Universities and other learning institutions will tell you that there are specific skills that need to be learnt before you take a job: statistical and financial analysis and managerial economics to name a few. Businesses are warming to the idea of rote skills and employees with those skills drilled into them will most likely have the academic savvy to take on a management role.

The one thing university can’t teach is pressure. The pressure to complete an assignment or take a test has no bearing on what actually happens in a working environment. Add people to the mix and the way you deal with situations may be completely different.

Academic skills are important, as they are the start of the learning process. While necessary in terms of technical knowledge, learning the business, how to deal with clients, staff and bosses comes only with experience. When you have gained that experience, it is worth considering the MBA. Many companies may even put up the money if there is the possibility of taking difficult case studies into the classroom to find a solution. That sort of feedback is invaluable.

Also invaluable are the contacts made both at graduate and MBA level. Often business graduates are the industry future and the bonds forged at school can mean great synergies between companies when those graduates do go out into the workforce. Graduates should make all attempts to keep in touch with alumni.

How does Australia stack up?

Several surveys have been conducted rating Australian business schools. In 2005, the Economic Intelligence survey ranked the Monash MBA as number one in Australia, number two in Australasia and number six in the world for the category of Personal Development and Educational Experience. 2005 Australian Financial Review’s BOSS magazine ranked the Monash MBA in the top tier – equal first – and the 2006 Good Universities Guide to MBA and Executive Short Courses has ranked the Monash MBA as equal first. In 2004 the Financial Times ranked the Australian Graduate School of Management as Australia’s top business school.

Each survey usually follows a different set of criteria, which means actually ranking universities in general terms can be a little misleading, however universities do have specific curricula which may or may not suit a student’s specific needs.

It is fair to say that Australian business schools are becoming prominent on the world stage, with many of the country’s top schools registering on an international level. As such more and more Australians are seeking overseas positions, or positions within large organisations. According to the Australian Financial Review, last year Deloitte took on about 160 graduates, many had double degrees. Deloiite Consulting employed 45 graduates across major universities, 15 were MBAs.

The news is rosy for graduates and MBA holders. The National Australia Bank hires close to 150 graduates for its financial services area, the ATO also hire a good number of graduates, while Macquarie scours the world, particularly America’s top business schools, for MBA graduates.

Australians do make attractive employees for their level of education and willingness to continue to learn. The labour market, however, is extremely competitive. Graduates with double degrees are highly sought and MBAs provide a bonus, but while not necessarily meaning power, it certainly can mean profit.

More info:

Please find further reference to the Universities below.

Macquarie Uni (www.mq.edu.au)

Bond Uni (www.bond.edu.au)

Curtin Uni (www.curtin.edu.au)

Monash Uni (www.mq.edu.au)