Management Education in India: Some Issues and Concerns

Abstract

The Indian corporate sector in India has been able to facilitate the adoption of professional management. Transformation of the managers of family-owned companies into professional managers of huge corporations has been induced by a number of factors including the emergence of business management schools in different parts of the country. The liberal policy adopted by the State has permitted the proliferation of management institutes as a part of its explicit desire to enlarge the reach of higher education in India. There are three categories of management institutes now functioning in India. The IIMs developed in association with foreign universities. In the second category there are management institutes sponsored by educational institutions and some business houses, which have adequate financial support and are growing strong. Thirdly, the smaller, new management schools, some of which are yet to make their presence felt by the corporate sector. The employment markets for MBAs of the three categories of management institutes are also practically different. Graduates from the first two categories have openings in corporate abroad or mostly in Indian companies. Employment market accessible to most of the MBAs from the third category is the non-corporate small business segment, which would generate greater demand for effective middle level managers in future. It is necessary that the management institutes should recognize the potentiality of this segment and tailor their academic programmes accordingly.