Business schools in India are at a crossroads. On the one hand, there is a growing demand for more B-schools to accommodate more and more students dreaming of a coveted MBA degree. On the other is a fading MBA gleam, with the industry gradually folding its hands on recruiting neophyte managers. While murmurs about this were doing the rounds, last year industry body Assocham bit the bullet and said only seven per cent MBAs were employable. Today, the statistical ratio may be worse, as more schools churn out mint-fresh MBAs.
In this scenario, leading B-schools like the IIMs are reinventing themselves to stay relevant and bring out graduates that matter to the industry. A bill for autonomy of the IIMs has already been passed by the Lok Sabha. This will give it more teeth, apart from more freedom to choose its curriculum and match steps with the industry’s needs. Many of the other top B-schools will follow a similar line. But the ones lower down the line will need to do serious thinking of how to stay relevant and survive this deepening freeze.