The Graduate Management Admission Test, or GMAT, as it is known in short, is one of the widely accepted exams for admission into the top business schools across the globe. Over the past decade, the exam has also started gaining acceptance in some of the top business schools in India. In 2023, the GMAT underwent a revamp to become more flexible and streamlined, and this updated version is called the GMAT Focus Edition.
Let us try to understand the reason for the global acceptance of GMAT. To do this, we shall look at GMAT in content of the world and India separately, as in India, CAT still holds sway, but the GMAT is getting closer by the year.
In many colleges across the world, the GMAT exam is typically used as a qualifier along with other criteria such as the Statement of Purpose (SOP), work experience, resume, and academic record. Most of these universities provide a specific GMAT score range below which a student is unlikely to gain admission. Today, more than 2100 universities worldwide accept GMAT scores for admissions into their management programs.
Top management programs offered by these universities are:
Most of us have heard and know about MBA programs, but not many would have heard about MIM programs. MIM has been experiencing a steady increase in demand over the past few years. To understand this growth, let us explore both these management programs.
While MBA programs are offered all over the world, MIM programs were mostly a European phenomenon until recently. The increasing popularity of MIM programs over the years has led US universities to offer it to their students as well. It is not surprising that top-ranking colleges offering MIM programs are mostly European, as American universities are still catching-up. At the same time, US universities hold top rankings for MBA programs.
Applicants for MBA programs are required to have a significant amount of work experience. The program is designed to cater to the needs of mid-level managers or non-management personnel who would want to shift to a management role after gaining decent exposure in their line of work. Typically, MBA programs from top schools would require applicants to have at least 3-4 years of work experience.
On the other hand, MIM programs are designed for students who are fresh out of college or have less than 1-2 years of work experience. The program is designed to produce entry-level managers. An MIM graduate can consider pursuing an MBA program after accumulating 7-10 years of work experience. This second master's in management would propel the student to the higher echelons of decision-making in an organization.
Due to the differing work experience requirements of MIM and MBA programs, the age of MIM applicants typically ranges from 22-24 years, while for MBA applicants, it falls within the age range of 27-32.
There is roughly a 30% overlap between the two curricula. While both MBA and MIM programs aim to train students in general management principles and teamwork, there are stark differences in the methodology adopted.
MIM, due to its criteria of requiring little or no work experience, focuses more on the theoretical side of management. Many programs include strong math courses as part of the curriculum, coupled with research-based final dissertations.
MBA programs, on the other hand, are designed for students with relevant work experience. Hence, the theoretical aspect, while present, will be limited to introducing various concepts. The emphasis of the program is mostly on the practical applications of the theory discussed. There will be exposure to some elemental concepts like accounting and business finance, but the focus will quickly shift to the applications of these concepts. Students are often required to complete many live company projects as part of the curriculum.
Most MBA programs offered by top universities require students to have a respectable GMAT Focus Edition score. While some accept GRE scores, almost all Ivy League universities accept only GMAT scores. The score requirement varies based on the college's reputation and the profile of the applicant.
MIM programs offered by universities consider both GMAT Focus Edition and GRE scores. Some universities have their entrance tests as well. Roughly 40% of the universities accept GMAT Focus Edition scores for their MIM programs.
Apart from the GRE/GMAT Focus Edition scores, colleges consider academic performance, extracurricular activities, and interview performance of the applicants with significant weight. Work experience also holds importance based on whether it's for an MBA or MIM program.
MIM programs, on average, are cheaper than MBA programs. This, in hindsight, should be obvious given the students they target. MBAs, with their work-experienced crowd, offer the next level of advancement on the management ladder and can therefore price the program at a premium. MIM, catering to the young and fresh crowd with little earnings, cannot play the premium game. MIM programs are cheaper by a factor of 1/3 to 1/2 compared to MBA programs.
Both MBA and MIM programs offer varied options to students. However, MIM graduates typically enter entry-level roles, whereas MBA graduates are placed in mid-management or leadership roles.
The pay packages for MBA grads are significantly higher than those for MIM grads. This, once again, should not be surprising given the nature of the applicants. MIM, however, gives students the much-needed edge to enter the management world at an early age. With the right planning and an MBA at a later stage in their careers, MIM graduates can end up performing better than those who pursue only an MBA.
Below is a simplified breakdown of the key differences between Master in Management (MIM) and Master of Business Administration (MBA) programs:
|
Aspect |
MIM |
MBA |
|
Availability |
Mostly in Europe, but expanding globally. |
Offered everywhere, especially in the US. |
|
Work Experience |
Designed for recent graduates or those with 1-2 years of experience. |
Requires work experience, at least 3-4 years. |
|
Age of Applicant |
Typically 22-24 years old |
Usually 27-32 years old. |
|
Curriculum |
Focuses on theory, includes math, and research. |
Practical focus, real-world projects. |
|
Admission Criteria |
Considers GMAT and GRE, with some use entrance tests. |
Requires a good GMAT score. Might accept GRE sometimes. (Ivy League prefers GMAT.) |
|
Tuition Fee |
Around USD 35,000-55,000 |
Around USD 45,000-70,000 |
|
Career Options |
Entry-level roles |
Mid-management or leadership roles |
|
Career Advancement |
Early entry into management, potential for better performance with MBA later. |
Moving up to higher positions in management with higher packages. |
Now that there is some idea about the two courses, let us look at some of the top universities offering these programs.
|
University of St. Gallen, Switzerland |
|
HEC, Paris |
|
Essec Business School, France/Singapore |
|
CEMS, Europe |
|
Rotterdam School of Management, Erasmus University, Netherlands |
|
London School of Business, UK |
|
WHU Otto Beisheim School of Management, Germany |
|
ESADE Business School, Spain |
|
ESCP Europe |
|
Universita Bocconi, Italy |
|
London Business School |
|
Wharton (University of Pennsylvania) |
|
Stanford University |
|
Colombia University |
|
Insead |
|
Booth - University of Chicago |
|
Kellogg (Northwestern University) |
Most Indian colleges offer a 2-year MBA program or a PGDM diploma. The MIM program is almost unheard of in the country. None of the top colleges in India consider GMAT scores for their 2-year MBA programs. Most of them have their entrance exams or accept scores from exams like CAT, XAT, etc. The only exception is for non-resident students who want to pursue a 2-year MBA program. GMAT scores are accepted for these students.
There are 1-year MBA programs that have gained prominence only in the last 5-7 years. These programs do accept GMAT scores along with other entrance exam scores.
So why should students in India take the GMAT Focus Edition exam?
The GMAT exam is useful for those students who want to go for a 1-year MBA program. Almost all top B-Schools accept GMAT scores for their 1-year program. Also, the GMAT score is valid for 5 years, as opposed to other exam scores that are valid only for 1 year. So, if you are fresh out of college, you could have taken the GMAT during your final year of college and used the score 3 years later!
B-Schools like ISB in India have started the deferment program for their 1-year flagship MBA courses. The idea is to give admission to an applicant based on GMAT and other criteria and then defer their admission for 2 years so that the student can come after gaining relevant work experience that is much needed for the 1-year program. The students admitted have an average GMAT score of 705.
To know more about different aspects and support programs for GMAT, you can check out the information here!
|
ISB, Hyderabad |
|
All IIMs |
|
S.P. Jain |
|
NMIMS |
|
XLRI |
|
MDI |
|
FMS |
|
IIFT |
|
Great Lakes Institute of Management |
|
TAPMI |
|
ICFAI Business School |
|
Goa Institute of Management |
|
MICA |
|
TISS |
|
IIT (Delhi, Kanpur, Bombay, Madras, Roorkee, Kharagpur) |
While a good score in the GMAT is always helpful, it cannot be the only criterion to meet for gaining admission to universities abroad. It depends on the university of choice.
No, candidates with good GRE scores can apply for an MBA too. While the admission criteria differ with one’s university of choice, both GMAT and GRE can prove useful for admission to MBA programs abroad.
Harvard, in fact, does not state a solid preference between the two. However, it is to be noted that generally, candidates with a good GMAT Focus Edition score are most likely to perform better in admissions than someone with a GRE score.
All the 7 IIMs accept GMAT scores for their admission process.
No, the standard fee for the GMAT is US $275, irrespective of the candidate's chosen university location. For the online exam, the fee is US $300.