T P D Mba:: HE OST Ownturn

THE POST DOWNTURN MBA:
AN AGENDA F OR CHANGE
The Association of MBAs is the international impartial authority on postgraduate business education. Its accreditation service is the global standard for all MBA, DBA and MBM programmes. The Association is the only professional membership association for over 9,000 MBA students and graduates, accredited business schools, and MBA employers. The Research & Consultancy Centre (R&CC) has been established by the Association to develop its position as the independent and international authority on postgraduate management education. The Centre produces important and relevant research for the continual development of postgraduate management education worldwide, in order to promote the value of these programmes, and to provide an essential new service for all the Associations stakeholders. Any feedback, comments or questions on this report, or on the work of the R&CC is welcomed. Please contact: Mark Stoddard, Accreditation Projects Manager m.stoddard@mbaworld.com +44 (0)207 246 2697 Dina Giannikopoulou, Research Co-ordinator d.giannikopoulou@mbaworld.com +44 (0)207 246 2685
Founded in 1965, Durham Business School is one of the longest established business schools in the UK and has over 2800 students, representing more than 162 nationalities. 635 of these students are studying for an MBA. Most recently, it has been ranked in the top ten business schools in the country, according to The Economist 2009 Which MBA? ranking. Durham Business School received AACSB International accreditation in April 2009 making it one of only eleven schools in the UK to carry all three quality kitemarks. The School is characterised by premier quality research that in turn feeds into the curriculum and its teaching philosophy emphasises the practical and not just the theoretical aspects of business.
CONTENTS
1:
Introduction a) Executive Summary b) Methodology Responses: MBA Alumni a) Respondent Background b) Assessment of MBA Experience c) Opinions on MBA Development Post Economic Downturn d) Relevancy of the MBA Responses: Business Schools a) Respondent Background b) Assessment of Current MBA Curriculum c) Opinions on MBA Development Post Economic Downturn d) Relevancy of the MBA In Comparison: Alumni and Business Schools Conclusion: An Agenda for Change
04 05 08 09 10 13 22 27 30 31 32 39 42 43 51
2:
3:
4: 5:
INTRODUCTION
INTRODUCTION
The Post Downturn MBA: An Agenda for Change is a research report designed to assess the state of the current MBA market and to act as a catalyst for debate on how the MBA should develop in order to better train the business leaders of tomorrow. Business schools were widely criticised for contributing to the current economic crisis by producing MBAs that are focused on creating shareholder value and high risk strategies instead of sustainable practices and stakeholder responsibility. The downturn was considered by some to have revealed numerous shortcomings in the MBA, particularly in the fields of risk management, change management, business ethics and sustainability. In order to ensure that the MBA remains relevant and meets the needs of responsible business, the Association of MBAs in partnership with Durham Business School launched the MBA Curriculum Survey in July 2009. The questions were designed to take a closer look at the skills, competencies and knowledge that MBAs need to add value in the current climate and into the future. The report looks at responses from MBA alumni and business school data sets individually in sections two and three, respectively, and offers a comparison of responses in section four.
a) Executive Summary
In this report, respondents were asked to provide answers to questions by ranking their opinions on a scale of 1 to 5, with 1 indicating the lowest level of agreement and 5 the highest. MBA ALUMNI RESPONSES At the time alumni completed their MBA: The most important curriculum topics for alumni were: business policy and strategy (4.37), external factors affecting organisations (3.94), organisational theory (3.93), leadership and entrepreneurship (3.91) and change management (3.86). The topics which received the lowest average rating were: sustainability (2.72), corporate social responsibility (2.74) and corporate governance (2.94). When asked to rate the extent to which their MBA curriculum covered a range of topics related to the economic downturn, change management received the highest rating at 3.64, risk management received a modest 2.90, business ethics 2.48, and sustainability had the lowest rating of 2.20. The most important transferable skills were: communication (4.19), ability to manage change (4.18), problem solving (4.16), leadership (4.09), ability to make tough decisions (4.04) and teamwork (4.02). Transferable skills which received the lowest average rating were: stress management (2.91), assertiveness (3.63) and project management (3.65). No transferable skills were rated lower than 2.91, with the vast majority over 3.5, which indicates the general value of such skills on the MBA.
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INTRODUCTION
For todays MBA students: The topics which alumni feel are most important for the post downturn MBA are: business policy and strategy (4.41), change management (4.41), leadership and entrepreneurship (4.39), external factors affecting organisations (4.32), strategic risk and consequences (4.32) and creativity and innovation (4.24). While mostly the same topics remained in the top positions as when alumni completed their MBAs, respondents elevated strategic risk and consequences to a higher position, and placed a greater emphasis on creativity and innovation. The topics with the widest margins of difference between the time of graduation and the needs of todays students are: sustainability (+ 1.28), corporate social responsibility (+ 1.17), corporate governance (+ 1.08), risk management (+ 1.02) and business ethics (+ 0.98). The transferable skills which MBA alumni feel are most important for todays MBA students are: ability to manage change (4.58), communication (4.52), leadership (4.46), ability to deal with ambiguity (4.43), teamwork (4.40) and ability to make tough decisions (4.39). The transferable skills with the widest margins of difference between the time of graduation and the needs of todays students are: stress management (+ 0.91), ability to deal with ambiguity (+ 0.53), creativity (+ 0.44), interpersonal skills (+ 0.41) and ability to manage change (+ 0.40). When asked how relevant they think their MBA is today, the average response was 4.01. BUSINESS SCHOOL RESPONSES In the current MBA curriculum: The vast majority of business schools have undergone a full re-design of their curriculum within the past five years. Of those, 11% did so within six months prior to being surveyed, and 54% within six months to two years. This suggests that business schools therefore regularly update their offerings to keep pace with changes in the economy and the demands of the marketplace. The most important curriculum topics are: business policy and strategy (4.71), leadership & entrepreneurship (4.46), globalisation (4.33), business ethics (4.17) and external factors affecting organisations (4.10) The topics with the lowest, but still significant average ratings are: risk management (3.41), business research methods (3.51), consultancy skills (3.52), stakeholder relationships (3.56) and strategic risk and consequences (3.71). When asked to rate the extent to which their MBA curriculum covers a range of topics related to the economic downturn, change management received the most coverage (4.01), then business ethics (3.65), sustainability (3.46) and lastly risk management (3.43). For schools that redesigned their curriculum within six months of the survey, coverage of business ethics and sustainability increased substantially while the increase in change management and risk management was smaller. The most important transferable skills in the current MBA are: teamwork (4.53), leadership (4.53), interpersonal skills (4.49), communication (4.42) and ability to manage change (4.38).

AN AGENDA FOR CHANGE
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INTRODUCTION
For todays MBA students: The topics which schools feel are most important are: business ethics (4.59), business policy and strategy (4.58), leadership and entrepreneurship (4.56), sustainability (4.54) and globalisation (4.50). The topics with the widest margins of difference between the needs of todays economic climate and the MBA curriculum are: risk management (+ 0.86), sustainability (+ 0.71), strategic risk & consequences (+ 0.58), stakeholder relationships (+ 0.50) and corporate governance (+ 0.49). The transferable skills which business schools rate as most important in todays economic climate are: ability to manage change (4.75), ability to deal with ambiguity (4.72), communication (4.72), leadership (4.71) and teamwork (4.68). Business schools overwhelmingly consider the MBA to be the most relevant vehicle for developing business leaders, with 91% in agreement. The current priority areas for development for schools with regard to their MBA curriculum are sustainability, pedagogy, and leadership.
MBA ALUMNI AND BUSINESS SCHOOL COMPARISONS For most academic topics the divergence of opinion between alumni and business schools is not statistically significant, which suggests that alumni and business schools have similar ideas about the quality of the MBA, its curriculum, and how to best improve it. The curriculum topics rated as most important in todays economic climate when alumni and business school ratings are combined are: business policy and strategy (4.50), leadership and entrepreneurship (4.48), change management (4.45), external factors affecting organisations (4.38), business ethics (4.37) and creativity and innovation (4.36). Of the topics most closely related to the economic downturn, change management is by far the most covered, and sustainability the least, with general consensus among alumni and business schools. Overall, alumni reported lower ratings than schools in all categories, while recent graduates and business schools have more similar scores. This indicates an increased amount of emphasis on these topics in recent years, possibly even before the downturn. Data suggests that business schools think they are putting far greater emphasis on ethics and sustainability than alumni experienced, particularly in a core or integrated way. This suggests that schools are not delivering these topics as successfully they believe they are. Together, alumni and business schools rated the following as the most important transferable skills: ability to manage change (4.67), communication (4.62), leadership (4.59), ability to deal with ambiguity (4.58) and teamwork (4.54).
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INTRODUCTION
b) Methodology
The research project was initiated by Durham Business School in late 2008, and developed in partnership with the Association of MBAs in early February 2009. At that time the questionnaires were designed by Durham Business School and edited by the Associations Research & Consultancy Centre. The survey was launched electronically on Survey Monkey beginning July 14, 2009. The Survey Monkey account, access to data, and communications with participants were all managed by the Associations Research & Consultancy Centre in London. An email linking to the electronic questionnaires on Survey Monkey was sent by the Association of MBAs to two groups: a) contacts affiliated with the Deans and Directors of all 158 accredited business schools, and b) MBA alumni who were current members of the Association of MBAs. All the respondents were therefore part of the Associations network of internationally accredited MBA programmes. Both surveys closed on 10 September, 2009. In total 100 business schools (of 158 at the time of the survey) completed the questionnaire, and 544 members completed the alumni version. Responses spanned a wide geographic region, though a significant proportion of the data comes from Western Europe. The majority of questions asked respondents to rate their views on a five-point scale. The results are presented according to the mean average, a number between 1 and 5. Where possible, the answers are broken down into subcategories according to a number of relevant variables. In addition to the quantitative data, several questions consisted of open-text boxes where subjects were asked to type in their responses. The responses were analysed, coded into categories, and presented as percentages. All percentages have been rounded to the nearest whole figure, and as such all totals may not add up to exactly 100%. Data analysis and the writing of the report were carried out in collaboration between the Association of MBAs and Durham Business School.

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RESPONSES: MBA ALUMNI

a) Respondent Background
i) Demographics Figures 2.1 and 2.2 show the age and gender of the MBA alumni who participated in this survey. Over 89% were over 35, with the largest group being between 46 to 55 years of age. The sample was overwhelmingly male, with 79% of respondents male and 21% female. Table 2.1 lists the full range of 57 countries represented. The UK accounted for approximately 75% of the sample, with each other country individually accounting for 2% or less of the total.
3% 19%
11%
26 - 35 36 - 45 46 - 55 56 - 65 Over 65
21%
Male Female
79%
27% 40%
Figure 2.1: Age of respondents
Figure 2.2: Gender of respondents
Albania Argentina Australia Austria Barbados Belgium Bermuda Brazil Bulgaria Cameroon Canada China Congo Croatia Cyprus Denmark
Estonia Finland France Germany Ghana Greece Hungary India Iraq Ireland Italy Jamaica Japan Kazakhstan Kenya Lebanon
Malaysia Malta Mauritius Mexico Morocco Netherlands New Zealand Nigeria Pakistan Peru Poland Portugal Qatar Romania Russia Slovenia
South Africa Spain Switzerland Togo Ukraine United Kingdom USA Zambia Zimbabwe
Table 2.1: Respondents primary country of work

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ii) About Your MBA Alumni were asked about the country in which the majority of their coursework was completed, as well as their year of graduation and mode of study. Approximately 90% of respondents pursued their MBA studies in the UK. Alumni were diverse in terms of year of graduation, as evidenced in Figure 2.3, with the largest cohort having graduated between 19901998. Figure 2.4 shows that 40% of students completed Full Time programmes, 33% completed Part Time programmes, and the remaining quarter completed more flexible Modular, Blended and Distance Learning courses.
5% 11%
1% 13% 19%
2008-2009 2003-2007 1999-2002 1990-1998 1980-1989
33%
40%
Full Time Part Time Modular
1% 3% 23%
Blended Learning Distance Learning
31% 20%
Figure 2.3: Year of graduation
1970-1979 Before 1970
Figure 2.4: Mode of study
iii) Current Status The majority of respondents (66%) reported being employed full time, while 23% were self employed (see Table 2.2).
Employment Status Employed Full Time Employed Part Time Self Employed Further Study Retired Unemployed
Table 2.2: Current employment status
66% 3% 23% 1% 4% 4%
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Table 2.3 shows the range of current job titles held by MBA alumni respondents. The largest category were Senior Managers / Senior Professionals (26%), followed by Middle Managers / Middle Professionals (16%). Approximately one quarter were at Board Level or above, including CEOs / Presidents (8%). An additional 20% were Independent Consultants or Sole Traders / Self Employed.
Job Title CEO / President Main Board Director / Partner / Vice-President Subsidiary Board Director Senior Manager / Senior Professional Middle Manager / Middle Professional Junior Manager Independent Consultant Sole Trader / Self Employed Other
Table 2.3: Current job title
8% 13% 3% 26% 16% 1% 14% 6% 13%
The two largest business areas represented in this report, after Other (18%), were Consulting (15%) and Finance (13%).
Business Area Aeronautics Automobiles Building & Construction Chemicals Computer Services Consulting Education Electrical Engineering Energy Finance Food, Drinks & Tobacco Information Technology Mechanical Engineering Media Petroleum Pharmaceutical & Health Care Public Services Retail Telecommunications Travel & Transport Other (please specify)
Table 2.4: Current employment status
1% 1% 4% 1% 1% 15% 6% 2% 6% 13% 1% 8% 1% 2% 1% 6% 6% 2% 3% 3% 18%

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Why did you choose to do an MBA? Most alumni (67%) cited their career as the primary reason for taking an MBA (see Table 2.5). The remaining 32% predominantly wanted to gain more knowledge/skills, often citing non-business backgrounds as a motivation to learn more about business. Only 8% of respondents cited personal development as a reason to do an MBA and of the 9% who were seeking credibility several mentioned the idea of gaining international credibility as their main motivation.
Career progression Career change Personal development Gain more detailed knowledge/improve skills Broaden knowledge / skills Gain credibility
Table 2.5: Why did you choose to do an MBA?1
39% 28% 8% 27% 18% 9%
b) Assessment of MBA Experience

The questions in this section asked respondents to rate their answers on a scale of 1 to 5. Where possible and relevant, some questions have been cross-tabulated with various data on demographic background, type of MBA, and current status. How does your MBA assist you in todays uncertain times? Figure 2.5 shows the average response to each statement, from 1: Agree to a very small extent to 5: Agree to a very large extent. Respondents agreed most strongly with Equipped me to manage change (3.77), then Prepared me to deal with uncertainty (3.48), and finally Provides an advantage in the job market (3.24). While the MBA clearly provides an advantage in career progression, it has actually generated greater benefit in terms of the skills necessary to successfully negotiate challenging situations such as the current downturn.
Equipped me to manage change
3.77
Prepared me to deal with uncertainty
3.48
Provides an advantage in the job market
3.24
1.00
1.50
2.00
2.50
3.00
3.50
4.00
4.50
5.00
Figure 2.5: How does your MBA assist you in todays uncertain times?
1
This was an open-text question which allowed respondents to cite a number of reasons which were then coded into categories. For this reason the responses do not equal 100%.
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What did your MBA equip you to do? Figure 2.6 shows respondent ratings, from 1: Strongly disagree to 5: Strongly agree. The averages for the first three statements are nearly identical (4.17 and 4.19) at a Strongly agree level. The lowest of the four is Understand the concept of leadership through strategic management, at 3.95. The MBA clearly enhances analytical and critical thinking skills, as well as the ability to think broadly about the business environment. Concepts of leadership and strategy were also rated positively, though to a slightly lesser extent.
Integrate learning from a range of subject areas to understand and address complex situations holistically Know and understand organisations, the external context in which they operate and how they are managed Integrate new knowledge with previous learning experiences
4.19
4.17
4.19
Understand the concept of leadership through strategic management
3.95
1.00
1.50
2.00
2.50
3.00
3.50
4.00
4.50
5.00
Figure 2.6: What did your MBA equip you to do?
To what extent did your MBA coursework include the following areas? MBAs were asked to rate the extent to which their coursework included a number of different teaching tools, from 1: To a very small extent to 5: To a very large extent. Figure 2.7 shows that responses varied greatly. The most widespread methods by far were case studies (4.24) and dissertations (4.00). These were followed by peer-to-peer learning (3.59), which is one of the tenets on which the MBA is based, and business simulations (3.16). The less widespread methods included guest speakers (2.99), consultancy projects (2.81), and internships (1.54). Consultancy projects and internships are valuable parts of the MBA curriculum, but being resource intensive for both students and faculty perhaps makes them harder to integrate as part of the core curriculum in most MBA programmes.

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Internships
1.54 3.59 2.99 2.81 4.00 4.24 3.16 1.00 1.50 2.00 2.50 3.00 3.50 4.00 4.50 5.00
Peer-to-peer learning
Guest speakers Consultancy project (in-company) Dissertation
Case studies
Business simulations
Figure 2.7: To what extent did your MBA coursework include the following areas?
Table 2.6 breaks down the data above by year of graduation. Case studies and dissertations consistently ranked highest among MBA graduates across time (with the exception of dissertations prior to 1970). Internships and consultancy projects also consistently rated lowest, but with increasing prominence in the most recent MBA graduates, suggesting a rise in importance in the modern MBA.
Rating Average 2008 2009 2003 2007 1999 2002 1990 1998 1980 1989 1970 1979 Before 1970
Business simulations Case studies Dissertation Consultancy project (in-company) Guest speakers Peer-to-peer learning Internships
3.16 4.24 4.00 2.81 2.99 3.59 1.54
3.25 4.18 4.47 3.07 3.26 3.47 2.00
3.12 4.24 4.14 2.64 2.70 3.51 1.44
3.35 4.25 3.96 2.95 2.96 3.61 1.68
3.07 4.26 3.96 2.89 3.08 3.57 1.42
3.17 4.19 3.63 2.40 2.87 3.83 1.44
2.92 4.42 3.67 2.67 3.17 3.71 1.29
3.00 4.00 3.00 1.50 3.33 3.67 1.67
Table 2.6: Structure of your MBA coursework (year of graduation)
Please rate the following topics on their importance at the time you completed your MBA Respondents were asked to rate the importance of a number of business related topics at the time they completed their MBA, from 1: Very unimportant to 5: Very important. A full breakdown is shown in Figure 2.8. The most important topics, with the highest averages out of 5, were: Business policy and strategy (4.37) Organisational theory (3.93) Change management (3.86) External factors affecting organisations (3.94) Leadership and entrepreneurship (3.91)
Those which received the lowest average rating were: Sustainability (2.72) Corporate governance (2.94) Corporate social responsibility (2.74)
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The most highly-rated topics represent areas which are traditionally the mainstay of the MBA degree, and integral to the unique nature of this programme. Despite the lower scores for sustainability and corporate governance, business ethics and risk management both averaged a modest 3.16, which suggests that historically MBAs have perceived less need for such knowledge in their immediate working lives.
Sustainability Strategic risk and consequences Stakeholder relationships Risk management Production and marketing of goods/services Organisational theory Leadership and entrepreneurship Human resource management Globalisation Financing of business enterprise External factors affecting organisations Creativity and innovation Corporate social responsibilty Corporate governance Consultancy skills Change management Business research methods Business policy and strategy Business ethics Accountancy practices 1.00 1.50 2.00 2.50
2.72 3.54 3.26 3.16 3.75 3.93 3.91 3.73 3.49 3.66 3.94 3.64 2.74 2.94 3.10 3.86 3.32 4.37 3.16 3.72 3.00 3.50 4.00 4.50 5.00
Figure 2.8: Importance of topics at the time you completed your MBA
Table 2.7 breaks down the responses by year of graduation. In general, MBAs who graduated in 20082009 had higher average responses than in previous years for many of the topics listed. The widest margins between 20082009 and 20032007 were for the following topics, in order: Sustainability (+ 0.49) Financing of business enterprise (+ 0.47) Consultancy skills (+ 0.36) Corporate governance (+ 0.28) Risk management (+ 0.49) Globalisation (+ 0.36) Corporate social responsibility (+ 0.29) Business ethics (+ 0.26)

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This shows a clear shift in the requirements of the MBA curriculum over the last several years, to include a more expansive range of diverse topics. MBAs may have found value in sustainability and risk management in the past, but in times of a booming economy, they may not have received the same degree of attention or emphasis. Broader curriculum coverage for more recent graduates in their MBA may also have created better understanding and awareness of the value of these topics. The most important areas among 20082009 graduates were business policy and strategy (consistently the number one topic since before 1970), leadership and entrepreneurship, change management, and globalisation. The general trend towards a more broadly focused curriculum can be seen in the consistent trend across time for fewer topics to receive ratings below 3: Before 1970: 7 topics 19801989: 8 topics 19992002: 2 topics 20082009: 0 topics 19701979: 11 topics 19901998: 6 topics 20032007: 0 topics
The needs and requirements of MBA graduates has therefore shifted over time, from a more focused programme on functional skills and leadership, to a broader, more comprehensive curriculum required today.
Answer Options Accountancy practices Business ethics Business policy and strategy Business research methods Change management Consultancy skills Corporate governance Corporate social responsibility Creativity and innovation External factors affecting organisations Financing of business enterprise Globalisation Human resource management Leadership and entrepreneurship Organisational theory Production and marketing of goods/services Risk management Stakeholder relationships Strategic risk and consequences Sustainability
Rating Average
2008 2009
2003 2007
1999 2002
1990 1998
1980 1989
1970 1979
Before 1970
3.72 3.16 4.37 3.32 3.86 3.10 2.94 2.74 3.64 3.94 3.66 3.49 3.73 3.91 3.93 3.75 3.16 3.26 3.54 2.72
3.71 3.67 4.44 3.67 4.10 3.53 3.61 3.49 3.96 3.90 3.98 4.02 3.90 4.27 3.88 3.86 3.84 3.65 3.96 3.71
3.51 3.41 4.39 3.66 3.98 3.17 3.33 3.20 3.81 3.88 3.51 3.66 3.77 4.11 3.90 3.70 3.35 3.53 3.66 3.22
3.79 3.34 4.33 3.35 4.14 3.43 3.11 2.91 3.88 4.08 3.77 3.73 3.75 4.05 4.03 3.74 3.43 3.64 3.71 2.99
3.67 2.97 4.32 3.15 3.95 2.90 2.67 2.42 3.56 4.02 3.58 3.38 3.77 3.83 3.85 3.72 2.99 3.11 3.45 2.30
3.96 2.71 4.38 3.06 3.02 2.77 2.35 2.17 3.19 3.60 3.52 2.90 3.41 3.44 3.98 3.88 2.54 2.59 3.21 2.14
4.35 2.48 4.52 3.00 2.96 2.43 2.17 1.95 2.78 3.87 3.96 2.59 3.52 3.23 4.00 3.70 2.41 2.35 2.78 1.50
3.50 3.00 4.00 2.00 2.50 3.50 2.00 2.00 3.50 4.50 4.50 3.50 3.50 4.50 4.50 3.50 2.00 1.50 3.00 1.00
Table 2.7: Importance of topics at the time you completed your MBA (year of graduation)
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To what extent did your MBA curriculum cover business ethics, sustainability, change management and risk management? MBAs were asked to consider four topics in greater depth and to rate the extent to which they were covered in their MBA curriculum, from 1: To a very small extent to 5: To a very large extent. These topics were chosen because they have been widely viewed by commentators as key factors behind the emergence of the downturn. Figure 2.9 shows that change management received the most coverage among this sample, with a rating of 3.64. Risk management received a modest 2.90, business ethics 2.48, and sustainability had the lowest rating of 2.20.
Risk management
2.90
Change management
3.64
Substainability
2.20
Business ethics
2.48
1.00
1.50
2.00
2.50
3.00
3.50
4.00
4.50
5.00
Figure 2.9: Extent to which MBA covered business ethics, sustainability, change management and risk management
Table 2.8 breaks down the responses by year of graduation. MBAs who graduated in 20082009 reported significantly higher averages than their earlier counterparts, particularly in business ethics (+ 0.69), sustainability (+ 0.68), and risk management (+ 0.47). Change management retained the highest scores across time, while there is a general trend of incremental growth in other subjects. While business schools are showing greater interest in these topics after the downturn, awareness of their importance to the curriculum has been increasing steadily over time.
Overall
2008 2009
2003 2007
1999 2002
1990 1998
1980 1989
1970 1979
Before 1970
Business ethics Sustainability Change management Risk management
2.48 2.20 3.64 2.90
3.40 3.13 3.91 3.40
2.71 2.45 3.52 2.93
2.64 2.49 3.92 3.27
2.21 1.91 3.73 2.81
1.96 1.57 2.90 2.24
1.68 1.18 3.14 2.30
2.50 1.00 3.50 2.50
Table 2.8: Extent to which MBA covered business ethics, sustainability, change management and risk management (year of graduation)

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How were business ethics, sustainability, change management and risk management primarily covered in the curriculum? Respondents were asked to identify the mode2 by which business ethics, sustainability, change management and risk management were primarily covered. While overlap was likely to exist in most cases (some courses offered these topics in both core and elective modules for example), MBAs were asked to identify the primary means by which this topic was delivered. In all cases, except for change management, these topics were mostly taught in an integrated or thematic way throughout the curriculum, which is currently viewed to be the most effective means of delivering such content. Change management is, as a traditionally core MBA subject, unsurprisingly a departure from this trend.
100% 80% 60% 40% 23% 20% 0% Business ethics

Core Module
60% 52% 35% 25% 17% 23% 35% 30% 28% 22% 50%
Sustainability
Elective Module
Change management
Risk management
Integrated/Thermatic
Figure 2.10: How were business ethics, sustainability, change management and risk management primarily covered in the curriculum?
Please rate the importance of the following transferable skills at the time you completed your MBA Respondents were asked to rate the importance of a number of transferable skills at the time they completed their MBA, from 1: Very unimportant to 5: Very important. A full breakdown is shown in Figure 2.11. The most important skills, with the highest averages out of 5, were: Communication (4.19) Problem solving (4.16) Ability to make tough decisions (4.04) Ability to manage change (4.18) Leadership (4.09) Teamwork (4.02)
Core Module refers to a mandatory module in the MBA curriculum specifically focused on this area. Elective Module refers to a module that students can choose to take as part of their curriculum if they wish. Integrated / Thematic refers to the fact that the programme has been specifically designed to include reference to these topics across each module in the programme.
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Those which received the lowest average rating were: Stress management (2.91) Project management (3.65) Assertiveness (3.63)
None of the transferable skills were rated lower than 2.91, with the vast majority over 3.5, which indicates the general value of such skills on the MBA. Because the MBA is a post experience degree, most MBA students will already possess a number of transferable skills prior to embarking on the programme. For this reason, they may feel that some of these skills were not particularly enhanced any further by the MBA.
Teamwork Stress management Project management Problem solving Presentation skills Negotiation Motivation Leadership Interpersonal skills Initiative Creativity Confidence Communication Assertiveness Ability to manage change Ability to make tough decisions Ability to deal with ambiguity 1.00 1.50 2.00 2.50 3.00 3.50 3.63 3.78 3.74 2.91 3.65
4.02
4.16
3.97 4.09 3.97 3.93 3.72 3.90 4.19
4.18 4.04 3.90 4.00 4.50 5.00
Figure 2.11: Importance of transferable skills at the time you completed your MBA

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Table 2.9 breaks the responses down by year of graduation. In general, all transferable skills were highly rated since before 1970, well in the range of high 3 to high 4 in most cases. Graduates from 20082009 reported significantly higher scores than the overall average, as well as higher scores than their earlier counterparts. The widest margins between 20082009 and 20032007 were for the following topics, in order: Stress management (+ 0.37) Problem solving (+ 0.30) Teamwork (+ 0.28) Project management (+ 0.31) Ability to deal with ambiguity (+ 0.30)
Overall
2008 2009
2003 2007
1999 2002
1990 1998
1980 1989
1970 1979
Before 1970
Ability to deal with ambiguity Ability to make tough decisions Ability to manage change Assertiveness Communication Confidence Creativity Initiative Interpersonal skills Leadership Motivation Negotiation Presentation skills Problem solving Project management Stress management Teamwork
3.90 4.04 4.18 3.63 4.19 3.90 3.72 3.93 3.97 4.09 3.97 3.74 3.78 4.16 3.65 2.91 4.02
4.22 4.26 4.39 3.98 4.35 4.07 3.89 4.07 4.20 4.43 4.22 4.04 3.83 4.33 3.96 3.51 4.30
3.92 4.21 4.33 3.77 4.38 3.98 3.97 4.09 4.23 4.34 4.14 3.81 3.79 4.03 3.65 3.14 4.02
3.88 4.04 4.29 3.71 4.27 3.83 3.90 4.03 3.89 4.12 3.99 3.82 3.82 4.23 3.76 3.08 4.10
3.84 3.93 4.21 3.50 4.14 3.89 3.60 3.86 3.88 3.99 3.89 3.61 3.74 4.09 3.51 2.71 3.90
3.73 3.96 3.75 3.45 3.94 3.78 3.49 3.80 3.80 3.80 3.84 3.78 3.88 4.33 3.76 2.53 4.06
4.09 3.91 3.45 3.32 3.77 3.86 3.09 3.41 3.68 3.64 3.50 3.27 3.50 4.09 3.14 2.23 3.68
4.00 4.00 4.00 3.00 3.50 4.00 3.00 3.00 4.00 3.50 3.50 3.00 2.50 4.50 3.50 1.50 4.50
Table 2.9: Importance of transferable skills at the time you completed your MBA
21

This indicates the increasing value MBA alumni place on a wide range of transferable skills, presumably many of which have been directly influenced by MBA study.
c) Opinions on MBA Development Post Economic Downturn

For the two questions asking alumni to rate the importance of various topics and transferable skills at the time they completed their MBA, they were also asked to rate the importance of each for post downturn MBA students. This allows a comparison between what was required in the past with what alumni believe the MBA should be delivering now and in the future. Figure 2.12 shows the results of the comparison on various MBA related topics. Topics with the highest average rating, from 1: Very unimportant to 5: Very important, for todays MBA students were: Business policy and strategy (4.41) Leadership and entrepreneurship (4.39) Strategic risk and consequences (4.32) Change management (4.41) External factors affecting organisations (4.32) Creativity and innovation (4.24)
While mostly the same topics remained in the top positions, alumni elevated strategic risk and consequences to a higher position. In addition, more emphasis was placed on creativity and innovation. This indicates that the business climate into which new MBAs are entering requires a higher amount of outside-the-box thinking, as many of the traditional models of doing business are changing after the downturn. The topics with the lowest ratings when alumni completed their MBAs increased significantly in importance. Sustainability went from 2.72 to 4.00, corporate social responsibility went from 2.74 to 3.91, and corporate governance increased from 2.94 to 4.02. Only one topic decreased in importance: organisational theory. The topics with the widest margins of difference are listed below. They represent the topics with the highest increase in reported value in light of the downturn. Sustainability (+ 1.28) Corporate governance (+ 1.08) Business ethics (+ 0.98) Corporate social responsibility (+ 1.17) Risk management (+ 1.02)

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Sustainability Strategic risk and consequences Stakeholder relationships Risk management Production and marketing of goods/services Organisational theory Leadership and entrepreneurship Human resource management Globalisation Financing of business enterprise External factors affecting organisations Creativity and innovation Corporate social responsibilty Corporate governance Consultancy skills Change management Business research methods Business policy and strategy Business ethics Accountancy practices 1.00 1.50 2.00 2.50
2.72 4.00 3.54 4.32 3.26 4.00 3.16 4.18 3.75 3.93 3.93 3.62 3.91 4.39 3.73 3.91 3.49 4.03 3.66 4.15 3.94 4.32 3.64 4.24 2.74 3.91 2.94 4.02 3.10 3.50 3.86 4.41 3.32 3.51 4.37 4.41 3.16 4.14 3.72 3.94 3.00 3.50 4.00 4.50 5.00
Current curriculum
Post downturn MBA
Figure 2.12: Importance of topics at the time you completed your MBA and for post downturn students
23

Table 2.10 breaks down the data further by gender, business area and job title.
Main Board Director/ Partner/Vice - President
Accountancy practices Business ethics Business policy and strategy Business research methods Change management Consultancy skills Corporate governance Corporate social responsibility Creativity and innovation External factors affecting organisations Financing of business enterprise Globalisation Human resource management Leadership and entrepreneurship Organisational theory Production & marketing of goods/services Risk management Stakeholder relationships Strategic risk and consequences Sustainability
3.94 4.14 4.41 3.51 4.41 3.50 4.02 3.91 4.24 4.32 4.15 4.03 3.91 4.39 3.62 3.93 4.18 4.00 4.32 4.00
4.00 4.34 4.43 3.68 4.56 3.66 4.19 4.16 4.31 4.40 4.14 4.14 4.18 4.51 3.79 3.95 4.37 4.30 4.53 4.33
3.92 4.09 4.40 3.47 4.37 3.46 3.98 3.85 4.22 4.29 4.15 4.00 3.84 4.36 3.57 3.92 4.13 3.92 4.26 3.92
3.75 4.18 4.41 3.63 4.32 3.78 4.00 3.86 4.27 4.29 3.86 3.99 3.78 4.37 3.53 3.78 3.99 4.03 4.22 4.08
4.07 4.13 4.38 3.48 4.41 3.60 4.27 3.88 4.14 4.35 4.38 3.95 3.83 4.28 3.60 3.82 4.37 4.03 4.37 3.97
Education
Overall
Male
3.83 4.31 4.52 3.55 4.24 3.76 4.07 4.28 4.45 4.24 4.07 4.10 3.93 4.66 3.64 4.14 4.17 4.07 4.28 4.28
3.89 3.74 4.19 3.38 4.46 3.41 3.89 3.70 4.04 4.22 4.19 3.96 3.81 4.07 3.38 3.70 4.08 4.00 4.15 4.00
3.79 4.10 4.34 3.10 4.49 3.28 3.74 3.72 4.32 4.28 3.92 3.95 3.79 4.51 3.44 3.89 4.05 3.85 4.21 3.86
3.97 4.22 4.58 3.53 4.35 3.27 4.13 3.92 4.32 4.35 4.15 4.00 3.92 4.58 3.50 3.97 4.23 3.87 4.31 4.08
Subsidiary Board Director
Finance
3.57 3.86 4.21 3.86 4.57 3.29 4.00 3.86 4.14 4.36 3.86 4.29 4.14 4.43 3.93 4.14 3.86 4.21 4.07 3.86
Table 2.10: Importance of topics for todays students (gender, business area, job title)

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Senior Manager/ Senior Professional
Public Services
CEO/President
Consulting
Female
4.00 4.12 4.39 3.56 4.48 3.51 4.08 3.93 4.26 4.33 4.25 4.07 3.80 4.32 3.66 3.95 4.27 4.08 4.37 3.99

Figure 2.13 shows the results of the comparison of the importance of various transferable skills at the time when respondents completed their MBAs against their perceived importance for todays MBA students. The transferable skills with the highest average rating, from 1: Very unimportant to 5: Very important, for todays MBA students were: Ability to manage change (4.58) Leadership (4.46) Teamwork (4.40) Communication (4.52) Ability to deal with ambiguity (4.43) Ability to make tough decisions (4.39)
All of these transferable skills were in the top-rated positions at the time alumni completed their MBAs, with the exception of ability to deal with ambiguity, and are therefore the skills consistently considered the most valuable to graduates. The transferable skills which received the lowest average rating remain unchanged [assertiveness (3.81), and stress management (3.82)]. The skills with the widest margins of difference are listed below. They represent the skills with the highest increase in reported value in light of the downturn: Stress management (+ 0.91) Creativity (+ 0.44) Ability to manage change ( + 0.40) Ability to deal with ambiguity (+ 0.53) Interpersonal skills (+ 0.41)
Business schools should therefore consider the ways in which these skills can be developed in their MBA programmes.
Teamwork Stress management Project management Problem solving Presentation skills Negotiation Motivation Leadership Interpersonal skills Initiative Creativity Confidence Communication Assertiveness Ability to manage change Ability to make tough decisions Ability to deal with ambiguity 1.00 1.50 2.00 2.50 3.00 3.50 2.91
4.02 4.40 3.82 3.65 4.04 4.16 4.37 3.78 4.03 3.74 4.13 3.97 4.24 4.09 4.46 3.97 4.38 3.93 4.26 3.72 4.16 3.90 4.11 4.19 4.52 3.63 3.81 4.18 4.58 4.04 4.39 3.90 4.43 4.00 4.50 5.00
Current curriculum
Post downturn MBA
Figure 2.13: Importance of transferable skills at the time you completed your MBA and for post downturn students
25

Table 2.11 breaks down the data further by gender, business area and job title.
Main Board Director/ Partner/Vice - President
Ability to deal with ambiguity Ability to make tough decisions Ability to manage change Assertiveness Communication Confidence Creativity Initiative Interpersonal skills Leadership Motivation Negotiation Presentation skills Problem solving Project management Stress management Teamwork
4.43 4.39 4.58 3.81 4.52 4.11 4.16 4.26 4.38 4.46 4.24 4.13 4.03 4.37 4.04 3.82 4.40
4.41 4.54 4.77 4.01 4.65 4.21 4.27 4.37 4.62 4.68 4.42 4.29 4.16 4.53 4.34 4.29 4.47
4.44 4.36 4.53 3.76 4.49 4.08 4.13 4.24 4.32 4.40 4.20 4.09 3.99 4.33 3.96 3.70 4.38
4.54 4.33 4.57 4.08 4.47 4.26 4.31 4.33 4.39 4.53 4.25 4.13 4.13 4.51 4.14 3.83 4.44
4.42 4.44 4.61 3.67 4.58 4.05 4.12 4.30 4.44 4.33 4.33 4.11 4.07 4.28 4.04 3.89 4.42
Education
Overall
Male
4.48 4.30 4.37 3.48 4.37 3.97 4.23 4.20 4.40 4.47 4.13 4.00 4.03 4.40 4.07 3.69 4.40
4.54 4.54 4.78 3.52 4.44 3.96 4.15 4.30 4.26 4.44 4.22 4.19 3.67 4.58 4.15 3.89 4.37
4.26 4.11 4.32 3.53 4.34 4.05 4.05 4.21 4.21 4.32 4.19 3.74 3.61 4.16 3.66 3.43 4.19
4.43 4.52 4.57 4.00 4.60 4.33 4.25 4.29 4.35 4.63 4.35 4.22 4.19 4.38 4.17 3.87 4.40
Subsidiary Board Director
4.21 4.64 4.79 3.79 4.50 4.07 3.86 4.36 4.21 4.43 4.07 4.14 4.29 4.36 3.86 3.79 4.57
Table 2.11: Importance of transferable skills for todays students (gender, business area, job title)

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Senior Manager/ Senior Professional
Public Services
CEO/President
Consulting
Finance
Female
4.49 4.38 4.61 3.80 4.57 4.02 4.14 4.19 4.40 4.53 4.27 4.08 3.97 4.34 4.02 3.95 4.46

d) Relevancy of the MBA
Figure 2.14 shows the perceptions of MBA alumni regarding several additional facets of their MBA. When asked to agree on a scale of 1: To a very large extent to 5: to a very large extent, alumni overwhelmingly agreed that they enjoyed their MBA experience (4.67), and that the material used during the MBA was up-to-date and relevant (4.03). A large but more modest number agreed that the MBA should adopt a stakeholder focus, and that corporate social responsibility should underpin actions of organisations. There was marginal agreement that the teaching style of the MBA was more theoretical than practical (3.05) with less believing that business schools should play a role in creating new regulation (2.96).
Overall I enjoyed my MBA experience
4.67
Business schools should play a role in creating new regulation
2.96
The teaching style of my MBA was more theoretical than practical
3.05
Corporate social responsibilty should underpin the actions of organisations
3.55
The material used during my MBA was upto-date and relevant The MBA should adopt a stakeholder focus - concerning all those affected by the actions of an organisation, rather than a shareholder focus
4.03
3.75 1.50 2.00 2.50 3.00 3.50 4.00 4.50 5.00
1.00
Figure 2.14: To what extent do you agree with these statements about MBA relevancy?
Please take a moment to consider three ways in which the MBA could be changed to better prepare future students in a now changed working world. Members were provided with three open-text boxes to suggest ways in which the MBA could be changed to better prepare students post-downturn. The main responses are listed in Table 2.12. Improvements to the MBA Ethics Continuing professional development Risk management Leadership Improved case studies More stringent admissions policies Internships / in-company projects Change management Curriculum development International Sustainability Real business situation focus Soft skills
Percentage reporting this
10% 16% 12% 11% 13% 14% 15% 16% 16% 18% 36% 31% 34%
Table 2.12: Ways to change the MBA; percentage of member respondents mentioning given topic
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The categories contained a range of views which can be summarised as: Continuing Professional Development discussion focused mostly on post-graduate assistance in job placement and further development and increased involvement in alumni organisations. Admissions most respondents felt it was necessary to require all incoming students to possess relevant prior work experience (the Associations accreditation criteria has not always stipulated that all students must have significant managerial experience, although this has been the case for several years). Curriculum increased integration of specific elective topics was outlined, including the law, marketing, accountancy and finance. Real business situation focus respondents felt that programmes should be focused more on real-world scenarios and less on theoretical ones. Overwhelmingly, alumni feel that more focus needs to be given to soft skills and the real-life application of theory. While almost one half of the respondents talked about issues relating to sustainability or ethics, there remained a minority (around 3%) who specifically talked about resisting the temptation for MBAs to focus on these topics. How relevant do you think your MBA is today? Respondents were provided with an open-text box in order to address the relevancy of their MBA. Comments were codified on a five-point scale, with 1 conveying the least relevancy and 5 the highest. The average response was 4.01, with more than 140 respondents suggesting that the MBA is very relevant. Of those respondents who made further comment more than half suggested that the skills and knowledge they developed were of use to them at work, and roughly 15% suggested that it was good foundation upon which to build a career. Furthermore, roughly one third of respondents suggested they found that the MBA has helped accelerate their career, with many referring to it opening doors or giving new opportunities. Of those respondents who did not think the MBA is still relevant, most criticised shallow content and a lack of appreciation of its value within their own companies. If you were to start your MBA during todays uncertain climate, what criteria would you look for in an MBA programme? Respondents were provided an open-text box to identify the criteria they would look for in an MBA programme if they were to start in todays climate.

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General Student base School ratings Accreditation Alumni association Curriculum Sustainability Ethics Risk management Change management Innovation Leadership Other Other Pedagogy International dimension Practical components
10% 26% 3% 3%
11% 9% 16% 19% 7% 13% 33%
20% 8% 21%
Table 2.13: Criteria MBA alumni would look for in a programme today1
Of the 26% of respondents who were concerned about school rating, half suggested it would be their primary concern. Approximately 10% of respondents also stated that the intake of the school would be important to them, specifically the work and cultural backgrounds of their cohort. By far the greatest concern was the content of the curriculum, with more than half of all respondents suggesting topics that should be covered. The most frequently cited are listed in Table 2.13. Most notably, 19% suggested they would look for a course which contained more coverage of change management, with risk management and leadership also featuring heavily. In the Other category, responses generally revolved around the delivery of curriculum, discussing the importance of group work, internships and guest speakers. More than half of the respondents that made these comments said that they would look for a course that contained more practical elements in MBA teaching.
This was an open-text question which allowed respondents to cite a number of reasons which were then coded into categories. For this reason the responses do not equal 100%.
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RESPONSES : BUSINESS SCHOOLS
RESPONSES: BUSINESS SCHOOLS

a) Respondent Background
Business school responses spanned a wide geographical area, although the UK and Europe made up 68% of the total sample pool.
8% 8% 35%
Europe (Western and Southern) UK Russia & Eastern Europe
12% 4%
South America North America Asia
33%
Figure 3.1: Business school respondents by region
Figure 3.2 shows that respondent schools were experienced providers of MBAs with only 2% offering MBAs for less than six years. Approximately 36% of schools offered MBAs for more than 20 years. Figure 3.3 shows that the participating business schools predominantly offered Part Time and Full Time programmes.
2%
3 - 5 years
18%
6 - 10 years
36%
11 - 20 years More than 20 years
44%
Figure 3.2: How long have you offered an MBA?
80% 74% 60%
78%
40% 32% 20%
11%
12%
0 Full Time Figure 3.3: Mode(s) of study offered Part Time Modular Blended Learning Distance Learning
31

The vast majority of business schools have undergone a full re-design of their curriculum within the past five years (see Figure 3.4). Of those, 11% did so within six months prior to being surveyed, and 54% within six months to two years. This suggests that business schools therefore regularly update their offerings to keep pace with changes in the economy and the demands of the marketplace.
3%
2%
11%
Less than 6 months 6 months to 2 years
29%
3 to 5 years 6 to 10 years Longer than 10 years
54%
Figure 3.4: How long since your MBA underwent a full curriculum redesign?
b) Assessment of Current MBA Curriculum

The questions in this section asked business schools to rate their answers on a scale of 1 to 5. Where possible and relevant, some questions have been cross-tabulated with various data on business school region and time since curriculum re-design. To what extent do these phrases capture the essence of the MBA curriculum? On a five point scale, with 1: Agree to a very small extent to 5: Agree to a very large extent, business schools strongly agreed with each statement (Figure 3.5). The statement with the highest level of agreement addressed the MBAs ability to produce graduates who can integrate knowledge from multiple subject areas and use it to deal with complex situations.
Integrate learning from a range of subject areas to understand and address complex situations holistically
4.46
Know and understand organisations, the external context in which they operate and how they are managed
4.44
Integrate new knowledge with previous learning experiences
4.31
Understand the concept of leadership through strategic management
4.35
1.00
1.50
2.00
2.50
3.00
3.50
4.00
4.50
5.00
Figure 3.5: To what extent do these phrases capture the essence of the MBA?

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To what extent does your MBA coursework include the following areas? Business schools were asked to rate the extent to which their coursework included a number of different teaching tools, from 1: To a very small extent to 5: To a very large extent. Figure 3.6 shows that case studies and peer-to-peer learning are the most preferred modes of delivery for this sample. Most schools also reported using dissertations, consultancy projects and guest speakers heavily in their courses. The least prevalent methods were internships and business simulations. Most schools offer a range of teaching and learning tools designed to equip MBAs with both the theoretical and practical skills necessary for this qualification.
Internships
2.19 4.05 3.63 3.85 3.82 4.26 3.14 1.00 1.50 2.00 2.50 3.00 3.50 4.00 4.50 5.00
Guest speakers Consultancy project (in-company) Dissertation
Case studies
Figure 3.6: To what extent does your MBA coursework include the following areas?
33

Table 3.1 below breaks down the data in Figure 3.6 according to time since full curriculum re-design and geographic region. It shows that schools who have recently re-designed their curriculum were more likely to offer internships, peer-to-peer learning, guest speakers and dissertations, while fewer offered business simulations, case studies and consultancy projects.
Consultancy project (in-company)
Guest speakers
Case studies
Dissertation
Overall 06 months 6 months2 years 35 years 610 years Longer than 10 years Europe (Western and Southern) UK Russia & Eastern Europe South America North America Asia
3.14 2.78 3.11 3.21 3.00 5.00 3.60 2.68 2.50 3.11 3.17 3.20
4.26 3.78 4.37 4.22 4.50 5.00 4.30 4.21 3.75 4.20 4.17 4.60
3.82 4.75 3.42 4.12 4.50 4.50 3.50 4.25 3.50 4.00 3.20 3.80
3.85 3.38 3.96 3.88 3.00 4.00 3.88 4.11 3.75 3.22 4.17 2.60
3.63 3.89 3.50 3.85 3.00 4.00 3.54 3.79 3.75 3.20 3.50 4.20
4.05 4.67 3.98 4.08 4.00 2.50 3.85 4.25 4.75 3.67 3.83 3.60
2.19 3.17 2.09 2.32 1.00 1.00 2.48 2.24 2.00 2.22 2.40 1.20
Table 3.1: Structure of your MBA coursework (time since MBA re-design and region)
There is considerable regional diversity apparent regarding the range of teaching and learning styles employed on the accredited MBA, and much of the reasoning for this may be historical and cultural as well as by specific design. However, the breadth of styles used across the globe is impressive, with only the use of internships rated consistently low. Please rate the following topics on their importance within your current MBA Business schools were asked to rate the importance of a number of management related topics in their current MBA, from 1: Very unimportant to 5: Very important. A full breakdown is shown in Figure 3.7. The most important topics, with the highest averages out of 5, were: Business policy and strategy (4.71) Globalisation (4.33) External factors affecting organisations (4.10) Leadership & entrepreneurship (4.46) Business ethics (4.17)
Those which received the lowest, but still significant average rating were: Risk management (3.41) Consultancy skills (3.52) Strategic risk and consequences (3.71) Business research methods (3.51) Stakeholder relationships (3.56)

34
Internships

It is evident that business schools strive to produce well-rounded graduates with a wide range of knowledge and skills to put to use in the global economy, although it is also interesting to note that less importance is currently placed on risk management, stakeholder relationships, and strategic risk and consequences all topics which received a large amount of attention in light of the economic downturn.
Sustainability Strategic risk and consequences Stakeholder relationships Risk management Production and marketing of goods/services Organisational theory Leadership and entrepreneurship Human resource management Globalisation Financing of business enterprise External factors affecting organisations Creativity and innovation Corporate social responsibilty Corporate governance Consultancy skills Change management Business research methods Business policy and strategy Business ethics Accountancy practices 1.00 1.50 2.00 2.50 3.00 3.50 3.51 3.52 3.56 3.41
3.83 3.71
3.99 3.78 4.46 4.00 4.33 4.06 4.10 4.06 3.99 3.78
4.05
4.71 4.17 3.72 4.00 4.50 5.00
Figure 3.7: Importance of topics covered within your current MBA
To what extent does your MBA curriculum cover business ethics, sustainability, change management and risk management? Business schools were asked to consider four topics in greater depth and to rate the extent to which they were covered in their curriculum, from 1: To a very small extent to 5: To a very large extent.
35

Figure 3.8 shows that change management received the most coverage at schools, on average (4.01). Business ethics is covered less (3.65), while sustainability (3.46) and risk management (3.43) are offered the least of the four. However, these three topics still receive a modest scores, which indicates that schools do consider them to be important.
Risk management
3.43
Change management
4.01
Substainability
3.46
Business ethics
3.65
1.00
1.50
2.00
2.50
3.00
3.50
4.00
4.50
5.00
Figure 3.8: Extent to which your current MBA covers business ethics, sustainability, change management and risk management
Table 3.2 breaks down the data by time since curriculum re-design. It is interesting to note that, for schools who re-designed their curriculum within six months of the survey, coverage of business ethics and sustainability increased substantially while the increase in change management and risk management was smaller. It is also apparent that European schools consider themselves to be leading the way with regards to coverage of such topics.
Change management
Overall 06 months 6 months2 years 35 years 610 years Longer than 10 years Europe (Western and Southern) UK Russia & Eastern Europe South America North America
3.65 4.11 3.52 3.64 3.50 4.50 3.81 3.46 3.00 3.56 4.17
3.46 4.00 3.51 3.12 3.00 4.50 3.85 3.16 2.67 3.22 3.50
4.01 4.33 4.05 3.68 5.00 5.00 4.19 3.96 4.00 3.89 4.00
3.43 3.78 3.50 3.12 3.00 4.50 3.54 3.19 3.33 3.78 3.50
Table 3.2: Extent to which current MBA covers business ethics, sustainability, change management and risk management (time since curriculum re-design and region)

36
Risk management
Business ethics
Sustainability

Schools were also asked to identify the way in which business ethics, sustainability, change management and risk management were primarily covered in their curricula. While overlap was likely to exist in most cases (some courses are offered in both core and elective modules, for example), schools were asked to identify the means by which the most emphasis on the topic was placed. The results are shown in Figure 3.9. Of the four topics, business ethics and change management were significantly more likely to be taught in a core module, though business ethics was equally as likely to be taught in an integrated or thematic way. Sustainability was most likely to be covered in an integrated or thematic way and least likely to be covered in a core module, while risk management is most likely to be covered in an elective module or in an integrated or thematic way. There appears to be less elective (optional) coverage of these issues, perhaps with the exception of risk management.
100% 80% 60% 40% 21% 20% 0% Business ethics

Core Module
62% 46% 46% 41% 32% 17% 8% 27% 21%
40%
40%
Sustainability
Elective Module
Change management
Risk management
Integrated/Thermatic
Figure 3.9: How are business ethics, sustainability, change management and risk management primarily covered in the current curriculum?
37

Importance of transferable skills within your current MBA Business schools were asked to rate the importance of a number of transferable skills on their current MBA, from 1: Very unimportant to 5: Very important. A full breakdown is shown in Figure 3.10. The most important skills, were: Leadership (4.53) Interpersonal skills (4.49) Ability to manage change (4.38) Teamwork (4.53) Communication (4.42)
Those which received the lowest, though still significant average rating were: Stress management (3.24) Project management (3.86) Assertiveness (3.77)
The number of skills rated 4 or above illustrates the importance that schools place on a broad range of transferable skills on their MBA.
Teamwork Stress management Project management Problem solving Presentation skills Negotiation Motivation Leadership Interpersonal skills Initiative Creativity Confidence Communication Assertiveness Ability to manage change Ability to make tough decisions Ability to deal with ambiguity 1.00 1.50 2.00 2.50 3.00 3.50 4.00 3.77 4.38 4.18 4.29 4.50 4.06 4.01 4.17 4.42 3.90 3.90 4.08 3.24 3.86 4.37
4.53
4.53 4.49
5.00
Figure 3.10: Importance of transferable skills within your current MBA

38

c) Opinions on MBA Development Post Economic Downturn
For the two questions asking business schools to rate the importance of various topics and transferable skills in their current MBAs, they were also asked to rate the importance of each in todays economic climate. This allows a comparison between what the MBA has delivered with what business schools believe the MBA should be delivering now and in the future. Figure 3.11 shows the results of the comparison on various MBA related topics. Topics with the highest average rating, from 1: Very unimportant to 5: Very important, in todays economic climate were: Business ethics (4.59) Leadership and entrepreneurship (4.56) Globalisation (4.50) Business policy and strategy (4.58) Sustainability (4.54)
Business policy and strategy, and leadership and entrepreneurship remain in the top three most important topics among business schools. However, the schools surveyed now consider business ethics to have more prominence in todays economic climate. In addition, sustainability and globalisation have entered the list of top five important topics.
Sustainability Strategic risk and consequences Stakeholder relationships Risk management Production and marketing of goods/services Organisational theory Leadership and entrepreneurship Human resource management Globalisation Financing of business enterprise External factors affecting organisations Creativity and innovation Corporate social responsibilty Corporate governance Consultancy skills Change management Business research methods Business policy and strategy Business ethics Accountancy practices 1.00 1.50 2.00 2.50 3.00 3.50 3.51 3.56 3.56 3.41
3.83 4.54 3.71 4.29 3.56 4.06 4.27 3.99 3.95 3.78 4.46 4.56 4.00 4.09 4.33 4.50 4.06 4.10 4.10 4.43 4.06 4.48 3.99 4.46 3.78 4.27 3.52 3.59 4.05 4.49 4.71 4.58 4.17 4.59 3.72 3.82 4.00 4.50 5.00
Current curriculum
Post downturn MBA
Figure 3.11: Importance of topics to your current MBA and for post-downturn students
39

Only three topics decreased in importance: production and marketing of goods/services, organisational theory, and business policy and strategy. The topics with the widest margins of difference, which indicate the highest divergence of opinion between what the school is offering as opposed to what it should be offering, were: Risk management (+ 0.86) Strategic risk & consequences (+ 0.58) Corporate governance (+ 0.49) Sustainability (+ 0.71) Stakeholder relationships (+ 0.50)
It is notable that the widest difference in ratings of importance among business schools appears in topics for which MBAs have received the most criticism in recent times, with risk management featuring most prominently. Figure 3.12 shows the results of the comparison of the importance of various transferable skills in current MBA programmes with their importance for post downturn students. The transferable skills with the highest average rating, from 1: Very unimportant to 5: Very important, in todays economic climate were: Ability to manage change (4.75) Communication (4.72) Teamwork (4.68) Ability to deal with ambiguity (4.72) Leadership (4.71)
All of these transferable skills were in the top positions in the current MBA curriculum, with the exception of the ability to deal with ambiguity. This is evidence that these are among the skills consistently considered the most valuable for MBAs according to business schools. The transferable skills which received the lowest average rating were stress management (3.92) and assertiveness (3.97). The skills with the widest margins of difference, which indicate the highest divergence of opinion between what the schools are currently focusing on as opposed to what they believe the market needs, were: Stress management (+ 0.68) Initiative (+ 0.45) Creativity (+ 0.62) Ability to deal with ambiguity (+0.43)

40
Teamwork Stress management Project management Problem solving Presentation skills Negotiation Motivation Leadership Interpersonal skills Initiative Creativity Confidence Communication Assertiveness Ability to manage change Ability to make tough decisions Ability to deal with ambiguity 1.00 1.50 2.00 2.50 3.00 3.50 4.00 3.77 3.97 4.38 4.06 3.24 3.92 3.86 4.19 4.37
4.53 4.68
4.65 3.90 4.13 3.90 4.29 4.08 4.39 4.53 4.71 4.49 4.65 4.51 4.01 4.63 4.17 4.24 4.42 4.72
4.75 4.18 4.54 4.29 4.72 4.50 5.00
Current curriculum
Post downturn MBA
Figure 3.12: Importance of transferable skills to your current MBA and for post downturn students
41

d) Relevancy of the MBA
Business schools perhaps somewhat unsurprisingly overwhelmingly consider the MBA to be the most relevant vehicle for developing business leaders. When asked whether this was the case, 91% responded yes and only 9% responded no. Figure 3.14 shows the responses of business schools regarding several facets of their MBA curriculum. When asked to agree on a scale of 1: To a very large extent to 5: To a very large extent, business schools largely agreed their curriculum is frequently updated to remain relevant, that the MBA should adopt a stakeholder focus, and that corporate social responsibility should underpin the actions of organisations. Fewer business schools felt that they should play a role in creating new regulation, while the majority view was negative that the MBA was more theoretical than practical in nature.
Business schools should play a role in creating new regulation
3.27
MBA pedagogy is more theoretical than practice
2.38
4.17
Our MBA curriculum content is frequently updated to remain relevant
4.28
The MBA should adopt a stakeholder focus - concerning all those affected by the actions of an organisation, rather than a shareholder focus
4.21
1.00
1.50
2.00
2.50
3.00
3.50
4.00
4.50
5.00
Business schools were provided with three open-text boxes to suggest ways in which the MBA could be changed to better prepare students post-downturn. The main responses are shown in Figure 3.15. The current priority areas for development for schools with regard to their MBA curriculum are sustainability, pedagogy, and leadership, with risk management surprisingly low.
20% Percentage of respondents concerned about topic 15%
11% 12% 11% 7% 11% 18% 15%
10%
6%
5% 0%
Ethics Sustainability Leadership Soft skills International CPD New topics
5%
4%
Change Risk management management
Pedagogy
Figure 3:15: What key changes are you considering making to your MBA to ensure it remains relevant to the changing economic climate?

42
IN COMPARISON : ALUMNI AND BUSINESS SCHOOLS
IN COMPARISON: ALUMNI AND BUSINESS SCHOOLS

Several questions were asked to both alumni and business schools to allow direct comparison, and the data is compared in this section. Importance of topics for todays MBA Figure 4.1 looks at responses of both groups regarding the importance of various topics in todays post-downturn climate. For most topics the margin of difference is not statistically significant, which suggests that alumni and business schools have similar ideas about the quality of the MBA, its curriculum, and how to best improve it. Two topics which are ranked highest for both alumni members and business schools are business policy and strategy, and leadership and entrepreneurship.
Sustainability Strategic risk and consequences Stakeholder relationships Risk management Production and marketing of goods/services Organisational theory Leadership and entrepreneurship Human resource management Globalisation Financing of business enterprise External factors affecting organisations Creativity and innovation Corporate social responsibilty Corporate governance Consultancy skills Change management Business research methods Business policy and strategy Business ethics Accountancy practices 1.00 1.50
Alumni
4.00 4.54 4.32 4.29 4.00 4.06 4.18 4.27 3.93 3.95 3.62 3.56 4.39 4.56 3.91 4.09 4.03 4.50 4.15 4.10 4.32 4.43 4.24 4.48 3.91 4.46 4.02 4.27 3.50 3.59 4.41 4.49 3.51 3.56 4.41 4.58 4.14 4.59 3.94 3.82 2.00 2.50 3.00
Schools
3.50
4.00
4.50
5.00
Figure 4.1: Importance of topics in post downturn climate

44

Table 4.1 lists the highest and lowest rated topics for both groups.
1 2 3 4 5 16 17 18 19 20
Members Business policy and strategy Change management Leadership and entrepreneurship External factors affecting organisations Strategic risk and consequences Corporate social responsibility Human Resource Management Organisational theory Business research methods Consultancy skills
Schools Business ethics Business policy and strategy Leadership and entrepreneurship Sustainability Globalisation Production and marketing of goods/services Accountancy practices Consultancy skills Business research methods Organisational theory
Table 4.1: Highest and lowest ranking of topics post downturn for alumni and business schools
It is striking that business schools place the highest emphasis on business ethics for todays MBA students while alumni do not rate it among their top five. In addition, business schools place high emphasis on sustainability and globalisation, while alumni report the importance of external factors affecting organisations and strategic risk and consequences. In both cases, the topics rated lowest in importance consist of more functional or knowledge-based disciplines.
45

When the responses of alumni and business schools are combined, they provide a holistic perspective of the MBA curriculum from both stakeholders. The results show general consensus on the importance of business policy and strategy and leadership and entrepreneurship (see Figure 4.2). The topics rated as most important in total are: Business policy and strategy (4.50) Change management (4.45) Business ethics (4.37) Leadership and entrepreneurship (4.48) External factors affecting organisations (4.38) Creativity and innovation (4.36)
Sustainability Strategic risk and consequences Stakeholder relationships Risk management Production and marketing of goods/services Organisational theory Leadership and entrepreneurship Human resource management Globalisation Financing of business enterprise External factors affecting organisations Creativity and innovation Corporate social responsibilty Corporate governance Consultancy skills Change management Business research methods Business policy and strategy Business ethics Accountancy practices 1.00 1.50 2.00 2.50 3.00 3.50 3.88 4.00 3.54 3.55 4.00 3.59 3.94 4.03
4.27 4.31
4.23
4.48
4.27 4.13 4.38 4.36 4.19 4.15
4.45
4.50 4.37
4.50
Figure 4.2: Combined scores for the importance of topics for the post downturn MBA (average)

46

To what extent does your MBA curriculum cover business ethics, sustainability, change management and risk management? Alumni and business schools were asked to rate the extent to which their MBA included business ethics, sustainability, change management, and risk management. Figure 4.3 shows the responses, including those of recent 20082009 graduates. Change management is by far the most covered, and sustainability the least, with general consensus among all groups. Overall, alumni reported the lowest scores in all four categories, while recent graduates and business schools have more similar scores. This indicates an increased amount of emphasis on these topics in recent years, probably even before the downturn. The importance of ethics, risk and sustainability, as illustrated by Figure 4.2, suggests that coverage of these areas needs to be increased in the post-downturn MBA curriculum.
5 4.01 4 3.65 3.40 2.48 2.20 2 3.46 3.13
3.91 3.64 3.43 3.40 2.90
1 Business ethics
Schools
Sustainability
Recent graduates
Change management
alumni
Risk management
Figure 4.3: To what extent does/did your MBA curriculum cover the following areas?
Table 4.2 shows how these four topics were primarily covered in the MBA. It would certainly appear that the business schools think they are putting far greater emphasis on ethics and sustainability than alumni experienced, particularly in a core or integrated way. This may reflect a recent change in curriculum or it could suggest that schools are not delivering these topics as well as they think they are. It is certainly the case that in comparing the opinions of the recent 20082009 graduates with those of the business schools, the difference is much smaller. Module Business Ethics Sustainability Change Management Risk Management Business Ethics Sustainability Change Management Risk Management Business Ethics Sustainability Change Management Risk Management Core 23% 16% 35% 22% 46% 16% 39% 21% 29% 20% 33% 28% Elective 25% 22% 34% 28% 8% 20% 30% 40% 37% 33% 48% 40% Integrated/Thematic 52% 58% 30% 50% 46% 59% 25% 40% 35% 47% 19% 32%
Alumni
Business Schools
Recent Graduates
Table 4.2: Comparison for mode of topic delivery
47

Importance of transferable skills for todays MBA Figure 4.4 looks at responses of both groups regarding the importance of various transferable skills in todays post-downturn climate. Even more so than curriculum topics, there is a very strong consensus across the board though alumni tend to give a slightly lower score than business schools (this may suggest either that business schools are more optimistic about the skills graduates take away, or that these skills are not as important to alumni as they are to schools).
Teamwork Stress management Project management Problem solving Presentation skills Negotiation Motivation Leadership Interpersonal skills Initiative Creativity Confidence Communication Assertiveness Ability to manage change Ability to make tough decisions Ability to deal with ambiguity 1.00 1.50
Alumni
4.40 4.68 3.82 3.92 4.04 4.19 4.37 4.65 4.03 4.13 4.13 4.29 4.24 4.39 4.46 4.71 4.38 4.65 4.26 4.51 4.16 4.63 4.11 4.24 4.52 4.72 3.81 3.97 4.58 4.75 4.39 4.54 4.43 4.72 2.00 2.50 3.00
Schools
3.50
4.00
4.50
5.00
Figure 4.4: Importance of transferable skills in post downturn climate
Table 4.3 shows the highest and lowest ranked skills. The most important to both groups is the ability to manage change, which reflects the importance placed on this area as a curriculum topic. It is also interesting that both groups place the least (though still significant) emphasis on the same three topics.
1 2 3 15 16 17
Alumni Ability to manage change Communication Leadership Presentation skills Stress management Assertiveness
Schools Ability to manage change Ability to deal with ambiguity Teamwork Presentation skills Assertiveness Stress management
Table 4.3: Highest and lowest ranking of transferable skills post downturn for alumni and business schools

48

Business schools rated creativity at 4.63 on a scale of 5, with 5 indicating largest agreement, while alumni rated it a still strong 4.16. The same applied to ability to deal with ambiguity and problem solving, with responses from both groups high (though higher among business schools). At the other end of the spectrum, members and business schools were in closest agreement about confidence, stress management, and presentation skills the latter two appearing at the bottom of the scale. In all instances, the high scores attributed to all transferable skills illustrate their increased importance to the post-downturn world. When the responses of alumni and business schools are combined, they provide a somewhat different picture of the ranking importance of transferable skills than when viewed separately (see Figure 4.5). Together, members and business schools rated the following as the most important transferable skills: Ability to manage change (4.67) Leadership (4.59) Teamwork (4.54) Communication (4.62) Ability to deal with ambiguity (4.58)
Teamwork Stress management Project management Problem solving Presentation skills Negotiation Motivation Leadership Interpersonal skills Initiative Creativity Confidence Communication Assertiveness Ability to manage change Ability to make tough decisions Ability to deal with ambiguity 1.00 1.50 2.00 2.50 3.00 3.50 4.00 4.50 3.89 4.39 4.40 4.18 4.08 4.21 4.32 3.87 4.12
4.54
4.51
4.59 4.52
4.62
4.67 4.47 4.58 5.00
Figure 4.5: Combined scores for the importance of transferable skills for the post downturn MBAs
49

Figure 4.6 looks at the relevance of the MBA, both in terms of material used and practical application. While impressively positive on the relevancy of material, the lower alumni scores for both questions suggests that schools need to re-appraise their own perceptions of their delivery on these key areas.
The material used during my MBA was up-to-date and relevant
4.03 4.28
The teaching style of my MBA was more theorectical than practical
3.05 2.38
1.00
1.50
Alumni
2.00
2.50
3.00
Schools
3.50
4.00
4.50
5.00
Figure 4.7 compares the alumni and school views on the extent to which business schools should actively participate in the development of wider society. Schools were more positive across all variables, suggesting that they believe that their institutions have a central role to play in the development of a new, responsible, stakeholder-centric economy. Given the prominence of this qualification in the business world, the MBA will play an important role in advancing this agenda.
Business schools should play a role creating new regulation
2.96 3.27
3.55 4.17
The MBA should adopt a stakeholder focus - concerning all those affected by the actions of an organisation, rather than a shareholder focus
3.75 4.21
1.00
1.50
Alumni
2.00
2.50
3.00
Schools
3.50
4.00
4.50
5.00
Figure 4.7 To what extent do you agree with these statements about the wider role of the MBA and business schools?

50
CONCLUSION: AN AGENDA FOR CHANGE

Criticism of the MBA has been virulent in the last 18 months in light of the current global economic downturn. The fact that many (although by no means all) of the business leaders prominently derided in the public eye for their part in the financial crisis held an MBA made the degree an easy target. Does the modern MBA curriculum focus too heavily on the generation of shareholder over stakeholder value, creating unethical leaders unable or unwilling to manage risk and develop sustainable business practices? This in-depth survey of the MBA curriculum in part aims to assess the value of the content of the accredited MBA, the extent to which it is adapting to deal with the changing practices of global management, and to provide constructive feedback to drive the agenda for change necessary for the continual development of the degree. Even accepting that the perceptions of the MBA from alumni and awarding institutions are always likely to be positive, the results presented here are optimistic, whilst providing some important recommendations for future development. By considering the value of the MBA in the past, and its relevance for the present and future in the post-global economic downturn, this project aims to ensure that the MBA retains its importance as the premium degree for the development of future business leaders. As such, the findings of this report will heavily inform the review of the Associations accreditation criteria for quality MBA programmes in 2010. This far-reaching appraisal of the international standards that comprise the assessment criteria will include inputs from a diverse range of stakeholders to ensure that the outputs of the accredited MBA meet the needs of contemporary managers, leaders, organisations and society and in many cases leads the way in doing so. Schools are often bold about their links with alumni and employers and the way in which these stakeholders feed back into programme design; however, the reality is that schools are not always as active in this regard as they should be. The report will also provide business schools with an over-arching view of best practice in the changing MBA curriculum, providing a consumer perspective as well as a benchmarking opportunity against the best MBA programmes worldwide. This report has taken a major step forward towards this agenda, by analysing the views of MBA alumni those that buy and use the MBA as well as business schools, who are responsible for the design and delivery of such programmes. The diversity of respondents, in terms of geography, career role, functional area and company size should ensure that developments in the MBA remain relevant to programmes around the world. Many of the alumni respondents are currently working in senior positions, themselves now leading organisations and perhaps even hiring MBAs, providing an even broader insight into the future requirements of this degree.

52

Alumni have been clear about the value that they have found in their accredited MBA irrespective of their year of graduation particularly in terms of skills and the ability to deal with complex issues, rather than simple career advancement. While strategy, leadership and change management feature prominently as the important features of the MBA upon graduation, contemporary issues such as sustainability and corporate social responsibility (CSR) were viewed as having less importance historically in the management sphere for new graduates. Alumni responses over time have shown a clear need for a general increase in breadth of the topics featuring prominently in the MBA curriculum, which has developed beyond the core functional areas such as accounting, finance, human resources management (HRM) and marketing, to incorporate the theory and practice of sustainability, risk, globalisation and ethics. The MBA appears to have always had a significant impact on the transferable skills of graduates, although their importance has also increased over time in response to the increasing demands of modern businesses. Despite this positive outlook, there is always a need for continual improvement in the MBA curriculum in order to meet modern challenges. In particular, the perceived need for a greater emphasis on areas such as sustainability and CSR, as well as a wider coverage of most skills, needs to be heeded by the business school community. Not all alumni were overwhelmingly positive regarding the extent to which CSR and ethics were covered in their programmes. Of course, being able to balance these extended requirements in a short-term Masters degree will continue to be a challenge for business schools. The fact that a focus on change and risk management, in addition to practical application on theory, features highly in alumni views on the areas that they would look for when considering a programme today, provides a clear message to MBA providers as they look to design the MBA for tomorrow. One clear and pertinent message from schools with accredited MBA programmes is the extent to which they try, and to a significant extent succeed, in continually developing their programmes to ensure that the MBA is relevant to current management and leadership issues and in many ways, staying ahead of the game in doing so. This is borne out both by the regular re-design of MBA programmes and the increasing extent to which a wide variety of subjects, especially softer skills and the topics such as sustainability and CSR, have become increasingly prominent in the core or thematic delivery of accredited programmes. The pattern of increasing coverage of contemporary issues over time illustrates that accredited programmes generally adopt a long-term approach to curriculum enhancement; schools are not just making knee-jerk reactions to the current economic climate, but are working hard to be at the forefront of adopting these key ideas into the delivery of the MBA and the creation of future business leaders. It can be hoped that many of the more recent MBA graduates from accredited programmes will shortly be reaching senior positions in organisations, with the breadth of skills and knowledge required to negotiate the current downturn and to move forward with sustainable global growth.
53

While schools continue to view the cornerstones of the MBA such as strategy, leadership and external environment as important in terms of key areas of study, the prominence of other topics, such as ethics and entrepreneurship, are also leading the curriculum agenda. Ethics, sustainability and risk are afforded less curriculum coverage than, for instance, change management but the responses are still significant and are likely to receive greater prominence as curricula enter the next phase of re-design. The shift away from optional, silo teaching of these key contemporary issues from elective, into core, and then into integrated thematic teaching also represents that fact that schools are shifting their perceptions of these issues from nice to have into a central position within the development of new business leaders. Importantly, the continual development of the MBA curriculum to focus on the issues of sustainability and ethics looks set to lead MBA curriculum design in the coming months and years. If anything, it appears as if the MBA should be shifting away from the more functional areas of management teaching, towards the development of more rounded individuals with the soft skills to lead and the ability to integrate thinking to create sustainable, ethical, and stakeholder-focused management decisions. Risk management is also an area likely to receive greater emphasis in the new MBA curriculum, as schools admit that this topic has the widest disconnect between what they offer now and what they should be offering. In the light of the downturn, it is essential that the MBA bridges this gap. While there is consensus from both groups that the MBA is up-to-date and relevant, there is broad agreement that the modern MBA should be even broader if it is to retain its role as the premier qualification for the development of leaders able to work effectively in the current, rapidly-changing global economic environment. What perhaps needs to change (as many of the schools themselves admit) as much as the content of the MBA is the pedagogy and practical relevance that underpins the way these subjects are taught, to enhance the effectiveness of these programmes in inculcating their MBA students within a short period of only one or two years with the right knowledge and skills to be a positive force in society for the rest of their careers. Transferable skills appear to be particularly prominent and highly valued in the current economy. Given this, schools need to be more specific and coherent about the ways in which these skills are formed throughout their programmes, with regular feedback from alumni and employers to judge the success of these activities. Comparisons between alumni and school responses provide the clearest, most realistic picture of possible development paths for the future MBA degree. While accepting that in some cases schools may have a better understanding of the content and delivery of their programmes, the disconnect shown between the two sets of respondents illustrate that schools do need to be more realistic about the ways and means in which they deliver some of the key aspects of the modern MBA programme. With respect to the issues of sustainability, CSR, ethics and change management alumni reported substantially lower scores than schools with regards to the extent of coverage within their programmes. If these issues are to form part of the cornerstone of the post-downturn MBA which this report suggests they will schools should take heed of the fact that such topics are not in reality being given the attention that they should. That said, the closing of the perception gap by more recent graduates suggests that this is a situation which is already being addressed.

54

The general level of recent consensus suggests that business schools with accredited programmes are already redesigning the MBA in the right direction in terms of creating responsible business leaders, and will continue to do so. Maintaining focus on the overarching themes of strategy and leadership, the post-downturn MBA will require more concentration on areas such as change management, the external factors that affect organisations, sustainability, and business ethics, while less emphasis will be required on the more functional areas of management. In fact, schools envision an even broader, well-rounded MBA in terms of subject coverage than that deemed necessary by alumni, and it could be argued that schools are taking a leading role in terms of the inclusion of topics such as business ethics, creativity and innovation, and sustainability. Business schools are also taking the lead in defining the future agenda for the MBA, with a dominant view that the degree should adopt a stakeholder focus over a shareholder one, and that CSR should underpin the actions of organisations. A key question will be the way in which schools can develop the right pedagogy to ensure that the teaching of this broader MBA will translate into long-term learning.
The Association of MBAs, alongside providers of accredited MBA programmes, are committed to ensuring that the MBA remains relevant, and produces the right kind of responsible and effective business leaders. This report has set the foundations for developing the agenda for the MBA in the post downturn world. These changes do not represent an entirely one-off reaction to the financial crisis, either from business schools or the Association of MBAs; both have been working steadily over time to develop the accredited MBA to meet the needs of modern organisations. However, the findings of this report have highlighted that there is still more work to be done. The role of all MBA stakeholders is now to ensure that this becomes reality, through the adaptation of accreditation standards and curriculum reviews as well as the recruitment and remuneration practices adopted by companies worldwide.
55
NOTES

56
NOTES
57
NOTES

58
Association of MBAs 25 Hosier Lane London United Kingdom EC1A 9LQ Tel : +44 (0) 20 7246 2686 Fax : +44 (0) 20 7246 2687 E-mail: racc@mbaworld.com www.mbaworld.com
Durham Business School Mill Hill Lane Durham City DH1 3LB www.durham.ac.uk/dbs
Design: M Star Graphics Ltd 01992 552928

T P D Mba:: HE OST Ownturn

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THE POST DOWNTURN MBA:

THE POST DOWNTURN MBA:

THE POST DOWNTURN MBA:

RESPONSES: MBA ALUMNI

RESPONSES: MBA ALUMNI

Figure 2.1: Age of respondents

Figure 2.2: Gender of respondents

Table 2.1: Respondents primary country of work

THE POST DOWNTURN MBA:

RESPONSES: MBA ALUMNI

Full Time Part Time Modular

Blended Learning Distance Learning

1970-1979 Before 1970

Figure 2.4: Mode of study

RESPONSES: MBA ALUMNI

8% 13% 3% 26% 16% 1% 14% 6% 13%

1% 1% 4% 1% 1% 15% 6% 2% 6% 13% 1% 8% 1% 2% 1% 6% 6% 2% 3% 3% 18%

THE POST DOWNTURN MBA:

RESPONSES: MBA ALUMNI

39% 28% 8% 27% 18% 9%

b) Assessment of MBA Experience

Equipped me to manage change

Prepared me to deal with uncertainty

Provides an advantage in the job market

RESPONSES: MBA ALUMNI

Understand the concept of leadership through strategic management

Figure 2.6: What did your MBA equip you to do?

THE POST DOWNTURN MBA:

RESPONSES: MBA ALUMNI

Guest speakers Consultancy project (in-company) Dissertation

3.16 4.24 4.00 2.81 2.99 3.59 1.54

3.25 4.18 4.47 3.07 3.26 3.47 2.00

3.12 4.24 4.14 2.64 2.70 3.51 1.44

3.35 4.25 3.96 2.95 2.96 3.61 1.68

3.07 4.26 3.96 2.89 3.08 3.57 1.42

3.17 4.19 3.63 2.40 2.87 3.83 1.44

2.92 4.42 3.67 2.67 3.17 3.71 1.29

3.00 4.00 3.00 1.50 3.33 3.67 1.67

Table 2.6: Structure of your MBA coursework (year of graduation)

RESPONSES: MBA ALUMNI

THE POST DOWNTURN MBA:

RESPONSES: MBA ALUMNI

RESPONSES: MBA ALUMNI

Business ethics Sustainability Change management Risk management

2.48 2.20 3.64 2.90

3.40 3.13 3.91 3.40

2.71 2.45 3.52 2.93

2.64 2.49 3.92 3.27

2.21 1.91 3.73 2.81

1.96 1.57 2.90 2.24

1.68 1.18 3.14 2.30

2.50 1.00 3.50 2.50

THE POST DOWNTURN MBA:

RESPONSES: MBA ALUMNI

100% 80% 60% 40% 23% 20% 0% Business ethics

RESPONSES: MBA ALUMNI

3.97 4.09 3.97 3.93 3.72 3.90 4.19

4.18 4.04 3.90 4.00 4.50 5.00

THE POST DOWNTURN MBA:

RESPONSES: MBA ALUMNI

RESPONSES: MBA ALUMNI

c) Opinions on MBA Development Post Economic Downturn