Consultants with MBAs Report Higher Job Satisfaction

Considering a career in consulting? An MBA may do more than just improving your chances of landing a job. According to a recent Poets & Quants article, consultants who have MBAs report a better employee experience within consulting firms than those who have obtained an undergraduate degree alone. In fact, MBAs report higher satisfaction than their bachelor’s degree holding counterparts across all Quality of Work and Life dimensions that were measured in a consulting ranking by Vault and analyzed by Firsthand, an industry intelligence platform. 

MBAs noted significantly higher satisfaction with international opportunities, compensation, client interaction, level of challenge and benefits, while the two groups aligned more closely in satisfaction on “big picture items” such as business outlook, innovation in industry, firm leadership, and supervisor relationships. 

Below, we’ve included a chart showing the various Quality of Work and Life dimensions, along with the average satisfaction scores (with ten as the highest score) for MBAs and those with undergraduate degrees alone.

Source: Poets & Quants

U.S. Schools Dominate the Financial Times’ 2023 Global MBA Rankings

The Financial Times just released its 2023 Global MBA rankings. Schools located in the U.S. performed well, making up three of the top five spots and twelve of the top fifteen. For the first time in the ranking’s history, Columbia University took the top rank. Notably, last year’s number one ranked program, University of Pennsylvania’s Wharton School was not ranked at all due to not meeting the minimum response threshold on the alumni survey. Poets & Quants notes that while other schools have suffered the same fate in previous years, it has never occurred at such a prestigious program, likely causing embarrassment at both Wharton and the FT. In addition to last year, Wharton has garnered the top rank ten times since the ranking’s debut in 1999.

Also of note, amidst the controversy surrounding the U.S. News’ rankings for medical and law schools, the FT updated its methodology for this year’s ranking. While the ranking still maintains an emphasis on outcome measures, including employment three years past graduation, salary, and salary change from pre- to post-MBA, the FT has also increased the weight given to metrics related to societal goals. These include social mobility, which uses metrics such as financial aid, study costs, and post-MBA earnings, as well as gender parity and student diversity, and sustainability and the environment. 

Rank School Name

1 Columbia

2 Insead, France/Singapore

3 IESE, Spain

4 Harvard

4 Stanford

6 SDA (Bocconi), Italy

7 UC Berkeley (Haas)

8 Cornell (Johnson)

9 Northwestern (Kellogg)

10 Yale

11 Duke (Fuqua)

11 MIT (Sloan)

11 University of Chicago (Booth)

14 UCLA (Anderson)

15 Dartmouth (Tuck)

Crafting Your Personal Statement: Lessons from Memoir Writing

A memoir requires more than a recounting of events from your life. Rather, you must show the reader that you’ve experienced transcendence. Marion Roach Smith calls it the “golden rule” of memoir. She writes, “Memoir is not about what you did. Memoir is about what you did with it.” The experience is not the focus or the reason for the writing, just the vessel for sharing a more universal learning with your audience. 

Smith expands this thought when she writes, “Specifically memoir is a promise from me that I experienced something, I’ve given some real thought to it and now know what it is, and now I am going to share what I now know with you. The promise is not that I am going to recreate the experience or make you relive it with me.” 

This approach also aligns with what admissions committees are seeking in your personal statement. From your past experiences, they want to learn more about your potential and character. Show them how a recent discovery helped you evolve, how you’ve refined your abilities in innovation and/or leadership, and/or teamwork. Prove to them that you are ready to pursue a graduate education and career path.

Below, we’ve compiled a few other takeaways from Marion Roach Smith’s approach to memoir that will help you craft a strong personal statement. Also, be sure to check out her memoir manifesto. 

1. Structure. Memoir is created out of three components. Prior to writing, sit down and consider the building blocks of your piece. 1) What is this about (think: universal, e.g., connecting with and empowering your team, trying and trying again to find the right approach to solve a complex problem)? 2) What is your argument (something that you learned based on your experience)? 3) What experiences from your life will you deploy to prove your argument? 

2. Think small. Memoir requires that you share your growth with the audience, which can be done effectively by incorporating small details. Smith notes the power of observation for showing the reader your journey to transcendence. She writes, “Never forget about the small stuff and how it reveals the big stuff of life.” Small details also create a relationship with your reader, drawing them into the experience. 

3. Don’t forget your audience. Your memoir should hit on universal themes that are relatable to the reader. When you’re writing, and more importantly editing and rewriting, keep in mind how your audience will take in what you’re saying. Did you provide enough detail of the experiences to show growth and to make your argument? Did you provide too much or extraneous detail? Were you vulnerable and honest in your writing? 

4. Keep it tight. Focus only on the experiences, sentences, and words that you absolutely need to support your argument and demonstrate your growth in the piece. You want to go deep, not broad. Adding in additional stories can distract the reader, and potentially lose them. Once you have demonstrated growth and made your argument, your personal statement is complete. Fight the urge to turn it into an autobiography or a resume.

Princeton Review Releases On-Campus MBA Rankings

The Princeton Review just released its rankings of top on-campus MBA programs. They do not show all schools for a “best of” view because the Princeton Review believes each of the 243 schools included provide an excellent academic experience. Rather, their rankings are organized by categories which are designed to provide prospective students with insights and data (gathered from 20,300 student experience surveys of on-campus enrollees of the MBA programs, as well as institutional data collected from an administrator survey) on various aspects of the program’s experience.  

You can access the top 10 lists for each of the 18 topic areas here. Below, we highlight three of the Princeton Review’s MBA rankings. 

Best Classroom Experience: (student response data only)

1. Stanford Graduate School of Business

2. UVA Darden 

3. Georgia Tech Scheller 

4. University of Michigan Ross 

5. Duke Fuqua 

6. UCLA Anderson 

7. University of Florida Hough 

8. UNC Kenan-Flagler 

9. University of Washington Foster 

10. Rice University Jones 

Best Campus Environment: (student response data only)

1. Cornell University Johnson 

2. UVA Darden 

3. Dartmouth Tuck 

4. Duke Fuqua 

5. Southern Methodist University Cox 

6. Vanderbilt Owen 

7. Carnegie Mellon Tepper 

8. UNC Kenan-Flagler 

9. University of Washington Foster 

10. Texas Tech Rawls 

Best Career Prospects: (combination of administrator surveys/school reported data and student response data)

1. NYU Stern 

2. UVA Darden 

3. Cornell Johnson 

4. Stanford Graduate School of Business

5. University of Michigan Ross 

6. Duke Fuqua 

7. UCLA Anderson 

8. Rice University Jones 

9. Columbia Business School

10. Harvard Business School
    

A ChatGPT3 Passed a Wharton Operations Exam. A Professor Reviews the Implications on the MBA Degree.

ChatGPT3 has been all over the news recently. In the past few weeks, researchers have announced that it performed within passing range on the three components of the U.S. Medical Licensing Exam, and a recently published paper claimed that it received a B/B- grade on a Wharton MBA-level operations exam. 

The fact that the bot passed the exam is not overly surprising, but some of the findings in Wharton Professor Christian Terwiesch’s paper titled, “Would Chat GPT Get a Wharton MBA? A Prediction Based on its Performance in the Operations Management Course,” are. While the bot handled basic operations management and process analysis questions extremely well, Terwiesch emphasized that the bot made some fairly simple calculation errors within the exam. 

“Chat GPT at times makes surprising mistakes in relatively simple calculations at the level of 6th grade Math,” he wrote. He continued on to note that these errors can become, “massive in magnitude.” Additionally, he noted that the current version of the ChatGPT3 could not handle more advanced process analysis questions, such as those that include multiple products or demand variability, and that having “a human in the loop” proved meaningful. When a human expert provided a hint, not only was the bot adept at correcting itself, but it was able to learn so that the hint was not necessary in later iterations. 

Professor Terwiesch also provided his view of the implications that the technology may have on the MBA degree itself. Rather than expressing concern, he thinks the bot could afford students and professors an additional learning resource, specifically in developing necessary leadership skills in critical evaluation and the assessment of alternatives. 

“MBA students are preparing for leadership positions, in which they will have to make managerial decisions based upon actions brought to them by ‘consultants, co-workers, and direct reports.’ Using the bot to generate plausible, well-presented (although possibly incorrect) alternatives in response to a scenario can provide students with meaningful experience in evaluating alternatives,” he said.  

Read the whole paper, including the additional implications, here.

Related:

• STEM-Designated MBA Programs are on the Rise

• Trends in Business: MBA Programs Prepare Students for Leadership Roles in Technology

MBA Students Covered by a Grade Non-Disclosure Policy Take Harder Classes and Participate More in Extracurriculars

Grade nondisclosure (GND) policies, which date back to the 1990s, exist predominantly within an elite group of MBA programs including Wharton, Stanford, and Columbia. They codify a (typically student-driven) collective agreement not to disclose grades to potential employers during the recruiting process, even if they are requested. Proponents of the practice argue that a GND policy promotes collaboration between students and allows them to pursue additional extracurricular experiences, and take harder classes without fear of the impact to their GPA. Critics of the policy say it deprives employers of a key metric for making hiring decisions and discourages students from spending time on academics. 

The Wall Street Journal has previously published study findings examining the impact of a GND policy on student behavior, which shows that both proponents and critics are correct. The study’s authors—Eric Floyd, Assistant Professor of Accounting at the University of California San Diego, Daniel Lee, Assistant Professor of Entrepreneurship at the University of Delaware, and Sorabh Tomar, Assistant Professor of Accounting at Southern Methodist University—reviewed data from one MBA program to compare the choices of full-time students covered by a GND, with those of part-time students, who were not bound by the GND. 

They found:

• Students with a GND spent about 4.9 percent less time per course, compared to students without a GND. However, GND students did generally enroll in harder classes, which meant that their total time spent on academics was not statistically different from their counterparts. 

• GND students were 7.6 percent more likely to engage in extracurricular activities than their counterparts.

• GND students reported lower tenure at their first job post-graduation. They were 7.7 percent less likely to remain for more than a year and 12.8 percent less likely to stay longer than two years when compared to non-GND students.

While the study’s findings provide helpful insight into student behaviors, there is variation in the way the data could be interpreted. “Between the extracurriculars and the difficult classes, what we say isn’t all time spent away from academics is lost time,” said Dr. Lee. “But we can’t really comment on the good or bad effects.” Similarly, Dr. Tomar told the WSJ that the explanation for the reduced employment tenure could be attributed to either the negative effects that grade nondisclosure had on job matching between students and employers or the positive effects that additional time spent on extracurricular activities had on GND students’ networks, thereby increasing their likelihood of obtaining additional job opportunities and offers. 

MBA Class of 2022 Graduates Offered Record-Setting Salaries

Earlier this season we reported that preliminary MBA employment profiles showed record-breaking salaries for the class of 2022. Additional employment data has only validated this trend. Almost all of the U.S. News top 10 ranked programs have reported median salary increases of ten percent or more compared to last year. Below, we’ve aggregated data on the median salaries and compensation for these programs. 

University of Chicago (Booth): The median salary increased 12.9 percent from 2021 ($155,000) to 2022 ($175,000), while median total compensation increased by more than 10 percent to $196,600. Graduates split fairly evenly into consulting (36 percent) and financial services (35 percent), followed by technology (15 percent). 

University of Pennsylvania (Wharton): The median salary increased 12.9 percent from 2021 ($155,000) to 2022 ($175,000). Over one-third of graduates went into financial services (39 percent), followed by consulting (24 percent) and technology (17 percent). 

Northwestern University (Kellogg): The median salary increased 10 percent from 2021 ($150,000) to 2022 ($165,000), while median total compensation increased by 8.7 percent to $191,100. Over one-third of graduates entered into consulting (40 percent), followed by technology (21 percent), and financial services (16 percent). 

Harvard University: The median salary increased 16 percent from 2021 ($150,500) to 2022 ($175,000), while median total compensation increased 17.5 percent to $223,100. Over one-third of graduates went into financial services (34 percent), followed by consulting (26 percent) and venture capital/private equity (22 percent). 

MIT (Sloan): The median salary increased 10 percent from 2021 ($150,000) to 2022 ($165,000), while median total compensation increased by 4.7 percent to $204,700. Almost one-third graduates went into consulting (31 percent), followed by an even split between financial services (26 percent) and technology (26 percent). 

Yale University SOM: The median salary increased 14 percent from 2021 ($140,400) to 2022 ($160,110), while median total compensation increased by 12.5 percent to $185,940. Nearly half of graduates entered into careers in consulting (46 percent), followed by financial services (22 percent) and CPG/retail (11 percent). 

Columbia University: The median salary increased 16.7 percent from 2021 ($150,000) to 2022 ($175,000), while median total compensation increased by 14 percent to $203,252. Over one-third of graduates went into finance (37 percent) and consulting (34 percent), followed by media/tech (16 percent). 

UC Berkeley (Haas): The median salary increased 4 percent from 2021 ($149,000) to 2022 ($155,000), while median total compensation increased by 3.7 percent to $179,696. About one-third of graduates entered into careers in technology (33 percent), followed by consulting (28 percent) and financial services (14 percent). 

University of Michigan (Ross): The median salary increased 14.6 percent from 2021 ($144,000) to 2022 ($165,000), while median total compensation increased by about 12 percent to $192,270. Over one-third of graduates entered into consulting (42 percent), followed by technology (17 percent) and financial services (15 percent).

Note: At time of publishing, Stanford GSB’s class of 2022 employment profile was not available.

Related: 

Downtown in MBA Program Applicant Volume Continues

Preliminary Reports Show Significant Increases for MBA Class of 2022 Starting Salaries

Downturn in MBA Program Applicant Volume Continues

Despite top-ranked MBA programs continuing to report record-setting levels of compensation for graduates, application volume is way down. It may just be an ideal time to apply.

A Poets & Quants’ analysis of application trends found that in the 2021-2022 admissions cycle, application numbers fell at 16 of the top 25-ranked schools, when compared to the prior year. At some schools, applications dropped by more than 10 percent year-over-year, including MIT (-24.8 percent), Stanford GSB (-16.5 percent), Yale SOM (-16.5 percent), Harvard (-15.4 percent), UPenn Wharton (-13.9 percent), and Chicago Booth (-13.6 percent). 

According to a recent QS survey of business school admissions officers, many expect this downturn to continue through the current admissions cycle. Among the respondents, just over half replied that they expect domestic applications to be slightly lower (30 percent) or much lower (22 percent) this year. Responses were more optimistic in regards to international applicants, however, with most (91 percent) noting that they expect the number to stay the same or increase. 

“There has been a lot of discussion about the ‘great resignation’ in the US. It’s likely that what we’re seeing here is that the buoyancy in job vacancies is presenting sufficient opportunities for career mobility for aspiring managers, so there is less of an incentive to invest in an MBA to develop their skills and accelerate their career progression,” Nunzio Quacquarelli, CEO of QS Quacquarelli Symonds said. “In my experience, MBA demand is counter cyclical. With interest rates rising and market volatility, this situation could change quickly and MBA demand for 2023 could see a significant uplift.” 

As a result of the continued drop in application volume, domestic applicants are seeing some benefits:

--Schools have continued to maintain or incorporate flexible standardized testing policies. Columbia University, Duke Fuqua, UVA Darden, Michigan Ross, and Georgetown McDonough are all accepting the Executive Assessment (EA) as an alternative to the GRE/GMAT. The EA is a shorter exam (90 minutes) requiring less preparation. Additionally, UVA Darden, Michigan Ross, and Georgetown McDonough are continuing to offer test waivers to applicants who can demonstrate academic readiness through work experience, undergraduate academic record, and in some cases even expired GMAT/GRE scores (older than five years). 

--A number of schools have made public overtures to those who have been affected by layoffs in the tech industry. Schools, hoping to attract highly qualified applicants, have made various offers to accommodate tech veterans wishing to switch course and pursue an MBA. They include flexibility in terms of application requirements (e.g., test waivers) and extended round two deadlines.  

Related: Preliminary Reports Show Significant Increases for MBA Class of 2022 Starting Salaries

More MBA Programs Offer Admissions Accommodations to Laid Off Tech Workers

A number of business schools are joining Northwestern’s Kellogg in offering special admissions accommodations to the tens of thousands of recently laid off tech workers. 

MIT Sloan will extend its Round Two deadline from January 18th to February 23rd for recently laid off tech employees. Applicants will still need to submit the full application, including GMAT/GRE scores. 

Indiana Kelley is offering laid off employees an application fee waiver, and highlights that they offer GMAT/GRE waivers to all applicants (in any round) with a strong past academic record that includes the successful completion of quantitative coursework. Upcoming application deadlines are January 5th, March 1st, and April 15th.

UC-Berkeley Haas is offering any applicant who has been laid off in the past six months (regardless of industry/location) an application fee waiver for the full-time MBA program, as well as an extension for the Round Two application deadline from January 5th to February 2nd. 

NYU Stern announced that it will waive entrance exams for the one-year Andre Koo Technology and Entrepreneurship MBA program (May 2023 start). Upcoming application deadlines are January 15th and February 15th.

Related: Kellogg Waives Standardized Test Requirement for Laid-off Tech Employees

The Number of Women in Full-time MBA Programs Continues to Grow

According to a Forté Foundation analysis, the number of women matriculating to full-time MBA programs continues to grow. In 2022, among the 56 members of the Forte Foundation coalition, women’s enrollment averaged 41.4 percent, up slightly from 41.2 percent in 2021. This is an increase of almost ten percentage points from 2011. Two full-time MBA programs achieved gender parity: Johns Hopkins’ Carey and University of Pennsylvania’s Wharton. And, an increasing number of programs came close; in 2022, 17 programs enrolled at least 45 percent women (see list below), up from 10 the year before. There were zero in 2012. 

“It’s exciting and gratifying to see the impact of our efforts over the last two decades to close the gender parity gap in MBA programs,” Elissa Sangster, Forté’s CEO, told Bizwomen, an online business journal. “More women today understand the opportunities an MBA offers and our work has helped build the pipeline of young women interested in business careers and advancing to leadership,” she said.

Full-time MBA programs where women’s enrollment reached at least 45 percent in 2022: 

Johns Hopkins University (Carey): 52 percent

University of Pennsylvania (Wharton): 50 percent

Southern Methodist University (Cox): 48 percent

Duke University (Fuqua): 48 percent

Northwestern University (Kellogg): 48 percent

Oxford University (Saïd): 48 percent

Washington University in St. Louis (Olin): 47 percent

University of Cambridge (Judge): 47 percent

George Washington University: 47 percent

University of California-Berkeley (Haas): 46 percent

Harvard Business School: 46 percent

University of Southern California (Marshall): 46 percent

MIT (Sloan): 46 percent

New York University (Stern): 45 percent

Alliance Manchester School of Business: 45 percent

Dartmouth College (Tuck): 45 percent

Columbia University: 45 percent

Kellogg Waives Standardized Test Requirement for Laid-off Tech Employees

Greg Hanifee, Associate Dean of Degree Programs and Operations at the Kellogg School of Management at Northwestern University, announced earlier this week that Kellogg will waive the standardized test score requirement for any Round Two applicants impacted by the recent, wide-scale tech industry lay-offs. Noting the vast impact of the lay-offs as well as Kellogg’s “long heritage of acting with empathy and valuing collaboration,” Hanifee laid out the specifics of the program:

• This test waiver is geared for individuals recently laid off from the tech industry and only applies to Round Two applicants. 

• Those eligible can apply by providing their transcripts, resume, and a completed application (including a brief essay on their most recent role, as well as how Kellogg’s MBA program will advance their transformation). 

• The waiver extends to all Kellogg Full-Time Programs including their One-Year, Two-Year, MMM (a dual degree with the McCormick School of Engineering), and MBAi (a joint degree with the McCormick School of Engineering), as well as their Evening and Weekend Programs.  

Hanifee stipulates that Kellogg will not be able to accept everyone who applies using the waiver, as applicants will still have to meet the rigorous acceptance criteria.

Related: Trends in Business: MBA Programs Prepare Students for Leadership Roles in Technology 

How to Approach University of Chicago Booth’s Essays

The admissions team at University of Chicago Booth is, of course, interested in your abilities in leadership, critical thinking, and collaboration. But they also want to see you, a person with a unique path, who may even be able to embrace and celebrate your own “weirdness.”

The Booth application requires all candidates to submit responses to two short-answer questions, which will provide you the best opportunity to demonstrate your unique qualities through stories from your past, and give the admissions committee a view into the person and professional behind the experiences and accomplishments listed on your resume. They also provide an optional third question.

Short Answer Question 1: How will a Booth MBA help you achieve your immediate and long-term post-MBA career goals? (Minimum 250 words, no maximum.)

Although the question asks about your future goals and how a Booth MBA will help you achieve them, you will want to anchor this essay in the past. Because what you’ve already done, learned, and achieved is far more important than what you haven’t—what you say you want to do in the future. In order to fully satisfy the objective of this prompt, go into your backstory and detail the key moments that influenced you and the formation of your goals. Your resume will provide an overview of your professional path to date, but this is your chance to provide a deep dive into your most pivotal experiences. Once the reader has taken this trip to your past, your proposed path forward and why Booth is the perfect fit, will make much more sense. 

The Writing Process

Begin with a brainstorm. Do not underestimate the importance of this step. Document your experiences, positive and negative, that prompted an evolution in your perspective—you know, those “ah-ha!” moments without which you would be a different student, professional, and/or person today. Then, record those experiences that will show the reader your abilities in innovation (critical/creative thinking and problem solving), leadership, and teamwork, as well as those experiences that reinforced your interest in an MBA program. Capture as many details as possible, paying particular attention to what you thought, felt, said, and did in each situation. Your focus should be on adult experiences (from the start of college and later), though stories from your youth could comprise up to 20 percent of this brainstorm.

During your brainstorm, don’t limit yourself by worrying about a cohesive narrative, the quality of your writing, or the number/length of your stories. Simply focus on collecting those situations that helped to guide your path to this point and impacted your decision to apply to the Chicago Booth MBA program.

Craft an outline. Select the key stories you will use to anchor your narratives. Remember that you’ll use your essays to go deep into experiences that demonstrate the traits you want to emphasize. Think about your application as a whole and use your responses to strategically cover any qualities that may not be adequately addressed in other aspects of your application. 

Write. Keep in mind that you must be showing, not telling the reader who you are. Invite the reader into your life by highlighting sensory details, such as smells and sounds, and don’t hesitate to engage your readers emotionally. Sprinkle in humor (if you feel comfortable doing so) or hit a poignant note. In contrast to your resume which provides a general overview of your experiences, your essay responses should go deep into a story that allows the reader to come to their own conclusions about some of your character traits and abilities. Highlight how you’ve struggled, triumphed, learned, and how these experiences have developed you into the person you are now.  

Review. Revise. Repeat. Confirm your word count and read your essay aloud noting where you stumble. Make revisions as necessary. Once it reads smoothly, set it down and walk away for at least 24 hours. Then re-read it. Is it you? Is it personal and authentic? You want the reader to see the real person behind the applicant number. While we caution against “oversharing,” being appropriately vulnerable will create connection.  

Short Answer Question 2: An MBA is as much about personal growth as it is about professional development. In addition to sharing your experience and goals in terms of career, we’d like to learn more about you outside of the office. Use this opportunity to tell us something about who you are… (Minimum 250 words, no maximum.)

It’s time to showcase some personality! Booth is looking for students who will be collaborative and form lasting personal and professional relationships, so exposing a bit of vulnerability to show a quirky or sentimental side is a good idea, especially because your other essay delved deeply into your professional and/or academic interests and abilities. You may also want to showcase how you will contribute to the diversity of the class and what you will offer your classmates. Are you a passionate environmentalist who spends weekends leading group hikes? Do you organize food drives with a local non-profit? Do you spend all of your vacation time traveling to a specific region of the world? Are you an avid guitar player? Show the admissions committee who you are and what you are most passionate about. 

The following question is optional: Is there any unclear information in your application that needs further explanation? (Maximum 300 words.)

This essay is for additional context around a weak spot in your application. Did you get a C in calculus? Or withdraw from your courses your sophomore year to help a family member? Do you feel that your lackluster GMAT score isn’t indicative of your abilities?

If you are going to address a low grade in an analytical course or a low GMAT score, don’t make excuses. Spend the majority of your word count demonstrating your ability to excel in rigorous academic or professional environments using specific examples. Provide information on similar classes in which you achieved excellent grades or give details about a professional pursuit that resulted in success.

If you are speaking to a more sensitive situation, perhaps a big mistake or legal issue that impacted your GPA, spend approximately 20 percent of your essay addressing the situation. Then use the remaining 80 percent on the actions you took to improve and what happened as a result. Do not make excuses, simply address the situation, placing the emphasis on what you learned. Remember, everyone makes mistakes, taking accountability and moving forward demonstrates maturity.

Related: 

• Your MBA Application. Acing the Video Essay

• How to Approach the Harvard Business School Essay

• How to Approach Wharton’s Essays

• How to Approach Columbia’s Essays

• How to Approach the MIT Sloan Essays

A Dearth of Data: Business Schools Seek to Address Social Impact—But How Are They Measuring Their Progress?

The Financial Times recently shined a light on the relative lack of meaningful data on business schools’ social impact initiatives. Without such data, they report, it is difficult for the schools to analyze, benchmark, and improve upon their efforts. Still, the Times acknowledges signs of progress in current aggregated reporting efforts. These may help move the business school community towards a more focused discussion on the outcomes of sustainability and social impact initiatives. 

Two organizations, Responsible Research for Business and Management (RRBM) and the United Nations Principles for Responsible Management Education (PRME) have taken a lead in calling upon business schools to update their curriculums to equip future leaders to take on climate change, inequality, and other societal and environmental challenges, reports the Times. The RRBM and others, including the Financial Times itself, have recently led competitions that highlight strong individual examples of ESG courses and research. The PMRE requests regular reports from members, although the responses are not easily measurable or comparable between schools. 

In September 2022, the Association to Advance the Collegiate Schools of Business (AACSB), a nonprofit organization that provides trustworthy accreditation, published its first outcomes-based report on business schools’ initiatives mapped to the UN’s 17 Sustainable Development Goals for 2030. The AACSB noted that just 74 schools, predominantly in the U.S. and the U.K., submitted reports, and few went beyond describing activities. Most submitted initiatives focused on quality education, decent work and economic growth, and gender equality. The AACSB described the report to the Financial Times by saying, “Schools are quite immature in their societal impact plans. Most…are just figuring out the areas in which they want to concentrate their efforts.” They continued, “[They] need to progress beyond a list of service activities.”

In contrast to other countries, in the U.K. all universities must provide case studies and research papers to demonstrate their actions and impact to the Research Excellence Framework (REF), reports the Times. The REF then provides an external assessment of each submission and assigns a grade to the universities based on the “originality, significance, and [rigor]” of the initiatives. However, critics of the REF note that the time and resources used for reporting social impact might be better spent on pursuing social impact. 

As we blogged in January, environmental and social conscientiousness is indeed becoming a bigger part of business school curriculums. This is necessary in part because corporations themselves value these things more and more, and students must understand the modern work culture. "Profit, equity, sustainability, and inclusion must co-exist," Federico Frattini, dean at MIP Politecnico di Milano told BusinessBecause. New reports bolster the importance of schools addressing social issues on campus too, lowering their carbon footprint and caring for students' mental health. 

BusinessBecause interviewed 17 business school deans about the key trends they expected would influence business education in 2022. The deans noted that, among other trends, climate change and social issues will play an important role in the future of MBA education. Specifically, they pointed to the need for schools to update their curriculums to better reflect businesses’ expanding views on creating value and the importance of considering their own operational sustainability.

Related:  MBA Curriculums Expand to Include Content in Environmental and Social Conscientiousness

Preliminary Reports Show Significant Increases for MBA Class of 2022 Starting Salaries

According to Fortune Education, preliminary MBA employment outcome reports for the class of 2022 show that MBA graduates’ salaries “are surging.”

New York University (Stern) announced earlier this week that median base salaries increased to $170,000, up $15,000 from last year. Average total compensation for 2022 graduates, including signing bonuses (median $35,000), averaged $196,143. This is an 8 percent uptick from 2021. Similarly, University of Virginia (Darden) reported last month that 2022 graduates obtained a record-breaking median base salary of $175,000, an increase of 21 percent from 2021. And, at Vanderbilt University, Owen graduates garnered a median base salary of $135,000, an all-time high, coupled with a median signing bonus of $30,000, which equated to a 12 percent increase from 2021.

Representatives from MBA Career Management offices noted that 2022 graduates reaped the benefits of a tight and competitive labor market. “The fiercest competition in the labor market is for ‘top talent,’ and consulting firms are competing for this top talent not just between themselves, but also more broadly versus Silicon Valley, Wall Street, and traditional corporate America,” said Namaan Mian, Chief Operating Officer of Management Consulted, when interviewed previously by Fortune Education.

Trends in Business School: Happiness, Purpose, and Self-Awareness

MIT Sloan recently announced that it will offer their MBA students a course on happiness. It’s good timing. Gallup’s State of the Global Workplace 2022 report found that only 21 percent of employees feel engaged at work and, while just a third of employees reported to be thriving, a full 19 percent said they were “miserable.” MIT’s course, titled Pursuing Happiness and a Meaningful Life, will explore research findings on happiness and purpose, and provide students with self-assessment surveys, introspective weekly exercises, and guest speakers. Robert Pozen, MIT Sloan Senior Lecturer, says it will teach students to, “enhance their own happiness by changing their behaviors.”

MIT is the latest among prestigious MBA programs to offer courses focused on soft skills and emotional-awareness. Earlier this year, the Wall Street Journal published a profile of Harvard’s in-demand course offering titled Leadership and Happiness. The course, pitched and designed by Arthur Brooks, an HBS Professor, social scientist, and writer behind The Atlantic’s “How to Build a Life” series, contends that happiness is a byproduct of decision-making, not of chance. That good leaders must know how to cultivate happiness for themselves and their teams. His ideas resonate. Although the class has doubled in size from its original 72 students over the past two years, it still has a waiting list.  

At Stanford’s Graduate School of Business, students can take Organizational Behavior 374: Interpersonal Dynamics, better known as “touchy feely.” The course focuses on self-awareness as a key to effective and productive communications and relationships. Yale’s School of Management offers students a course titled Mastering Influence and Persuasion, which provides them with the means to more authentically persuade and motivate others. University of Pennsylvania’s Wharton School allows students to apply for a six-week program, “P3: Purpose Passion and Principles,” in which participants take a structured approach to considering and defining what success and happiness looks like for them. 

The wide-spread existence of these courses within the most prestigious MBA programs is a clear indication that the business world’s valuation of soft skills and emotional intelligence is increasing. There is real value in learning to find purpose and joy, and helping others to find it too.

MBA Interviews: When the Interview Requires More than an Interview

To get to know applicants better, MBA programs such as Harvard and MIT will ask interview participants to submit additional materials.

Harvard Business School—Post-Interview Reflections

Within 24 hours of the interview, candidates are required to submit a written reflection through Harvard Business School’s online application system. The submission is not a formal essay. Rather, it should be written similarly to a post-meeting summary one would write to a colleague or supervisor at work.

Shortly after instituting the Post-Interview Reflection, Harvard’s Admissions Blog described the exercise as a real-world practicum, as well as a chance to get students’ opinions regarding their interviews. Professionals routinely need to send emails summarizing meetings and offering assessments. Their ability to do this well is critical for workplace success.

Your Strategy: Be genuine and think critically about the interview. What were the highlights? What could have gone better? Were there remaining “gaps” after your interview, and if so, how do you wish you could have addressed those? The post-interview reflection is an opportunity for you to demonstrate real-world critical thinking and writing skills, as well as offer any information that you feel you did not adequately explain in the interview. In other words, Harvard is not expecting your most polished product, but rather a thoughtful assessment of your interview coupled with a compelling communication. As such, this piece should not be crafted prior to the interview, adapted from another essay, or used as additional resume space. You may, however, want to take some time immediately after your interview to make notes on areas that you’ll want to include in your submission. Then give yourself a bit of reflection time prior to producing your final product. You’ll want to make the most of this final opportunity to show the admissions committee who you are and how you think.

MIT Sloan—Pre-Interview Essay Submission

Those invited to interview at Sloan will be asked to answer the following questions:

• The mission of the MIT Sloan School of Management is to develop principled, innovative leaders who improve the world and to generate ideas that advance management practice. We believe that a commitment to diversity, inclusion, equity, and well-being is a key component of both principled leadership and sound management practice. In 250 words or less, please describe a time when you contributed toward making a work environment or organization more welcoming, inclusive, and diverse.

• We are interested in learning more about how you use data to make decisions and analyze results. Please select one of the following prompts to respond to:

  • Please select an existing data visualization and in 250 words or less explain why it matters to you. The data visualization should be uploaded as a PDF. Examples may come from current events, a business analysis, or personal research.

  • In 250 words or less, please describe a recent data driven decision you had to make, and include one slide presenting your analysis. The slide may include a data visualization example and should present data used in a professional context. Your slide must be uploaded as a PDF.

The interview process is about getting to know applicants more thoroughly. The first question provides you with an opportunity to not only demonstrate that your values match those of MIT Sloan, but that you are willing to proactively work to put those values into action during your business school tenure. The second question allows you to submit proof of your analytical skills and showcase your comfort working with data and using it to drive decision-making.

Your Strategy: Your response to the first question should examine how you will demonstrate leadership in creating a diverse environment and promoting wellbeing among your peers. Focus on a specific example from your past professional experience to demonstrate your ability to cultivate a positive culture. Use the SAR (Situation, Action, Response) model. Spend about 20 percent of your response on the situation, and the remaining 80 percent on the actions you took and what resulted/what you learned. And be sure to clearly link the perspective you gained from this experience to what you hope to accomplish at Sloan.

In the second question, you will want to demonstrate your comfort with using data to tell a story, draw conclusions, and make decisions. If you opt to share a data visualization, clearly state the reasoning for the data visualization, the story or hypothesis you are looking to understand via the data, and why it is meaningful to you. You may want to visit the MIT Data Visualization project page to see current research projects, and gather inspiration. If you opt to submit a professional power point slide showing a data-based decision, ensure that your slide is simple, easy to read, and clearly describes your analysis, assumptions, and conclusions. Then, use your supplemental essay to expand upon each of these areas including the sources of the data, why you analyzed it in the way that you did (and, if applicable, why you did not use other analysis methods), the basis for your assumptions, and how you came to the conclusion that you did (including additional data that would help you to confirm your decision).

The Wharton Interview: Excel in the Team Based Discussion

An invitation to Wharton’s Team Based Discussion can be as nerve-wracking as it is exciting. But with preparation and the proper mind-set, it can be an excellent opportunity to demonstrate your ability to think on your feet, respond under pressure, and collaborate with others. 

To ace the interview, consider the following tips:

1. Prepare thoroughly. After you receive the scenario, create a proposal and know it inside and out. Practice your presentation, out loud. Present in front of a mirror, or to a live-audience of friends. Be sure that you feel confident about your ability to present your idea in a relaxed way, showcasing how you thought through the exercise. While you don’t want to memorize your presentation word-for-word or sound overly rehearsed, you do want to be able to describe your idea in an articulate way. 

2. Anticipate questions and think through possible responses. Consider what questions may arise from your teammates about your proposal and write out responses to them. The more people you can share your idea with and collect questions from, the better. After working with an idea for a long period, it will become harder and harder to poke holes in it. Let your friends, co-workers, or parents help you with this process.

To begin, ask yourself the following questions:

• What are the benefits of your proposal for students? For Wharton?

• What are the risks of your proposal?

• What assumptions are you making?

3. Be able to articulate the “why?” behind all the components of your proposal, as well as the “why not?” for other potential possibilities. This is important because (most likely) your proposal will not be selected. However, if you can find other students who have a similar “why?” as the foundation of their ideas, it will help you to collaborate with them and contribute to the discussion.

4. Be a team player. We cannot stress this enough. While there is an aspect of competition to the interview, the Team Based Discussion is an opportunity to show your collaborative nature. Don’t try to “win” by pressuring the group to select your proposal or taking up all of the air time. Instead, demonstrate how you will fit into the MBA community by being inclusive and showing curiosity, humility, and adaptability. Articulate your thought process clearly, be positive and encouraging of others’ ideas, continue to move the group forward by summarizing ideas, and question respectfully. Remember that the point of the exercise is to drive towards a strong team outcome; the better the team interacts together, the better all of you will look individually.

5. Set yourself up for a professional virtual appearance, as Wharton will once again facilitate the Team Based Discussion using a virtual format.

• Understand the platform that you’ll be using; if it’s new to you, download the platform and practice with a friend or family member to gain some comfort prior to your interview. 

• Opt for a clean, uncluttered background or select a plain virtual background (forget the beach, mountains, or the Golden Gate bridge). 

• Place a light in front of you so that your face is clearly visible on the screen (backlighting will result in shadows). You may want to take a test run with a friend or family member around the same time of day as your interview to confirm that they are able to see you clearly (this will ensure any natural light in the room isn’t casting shadows).

• If possible, ask others in your home to log out of any high-bandwidth activities during the time of your interview, or consider hardwiring your computer into the internet. You may also want to perform an internet speed test (you can find via google).

6. Day-of tips: 

• Wear a business suit.

• Make your notes available, but do not read them directly or rely on them for more than a memory trigger. It helps to use a larger font, with key words bolded so that you can find your reference quickly.

• Pace yourself when speaking. (When nerves hit, people tend to speak more quickly.) Use hand gestures to emphasize your points, and make eye contact as much as possible with the other attendees. 

• Stay calm in the event of a tough question. Collect yourself by taking a deep breath or a sip of water. Don’t feel the need to launch into a response prior to gathering your thoughts.

• As much as possible, relax and try to enjoy the experience. This will be representative of the dynamic you’ll live in for the next two years. Ensure it feels right to you.

Related blog: How to Approach Wharton’s Essays

Top Ten Tips. MBA Behavioral Interviews

If you’ve been invited to interview at any or all of the schools on your list, congratulations! Now, it is time to begin preparing. See below for a list of our top ten interview tips:

1. Upon receiving the invitation, schedule the interview as soon as possible. This will enable you to avoid scheduling conflicts and select the time of day when you have the most energy and the fewest distractions. 

2. Read all you can about the program, and follow them on social media to stay abreast of their latest announcements, research findings, and other content. If possible, schedule an in-person visit prior to the interview, which often will include a tour, class observation, and lunch with current students. Talk to current or former students already in your network to gain insight on the interview process and other aspects of their MBA experience. 

3. Review your application and think through how you will succinctly, yet cohesively, explain your path to this point. What have been some of your most meaningful experiences that reinforced your interest in the study of business? You will likely receive some introductory question(s), which will require a three-minute elevator-pitch response, as well as several others that will require you to back up claims you make about your abilities in the areas of innovation, leadership, and teamwork with specific examples from your professional life. 

4. Convince them that their program is at the perfect intersection of where you’ve been and where you want to go. Be sure you can speak about specific courses, professors, case competitions, experiential learning opportunities, etc. that interest you most.  And explain why, citing some of your past experiences and/or future goals.  Remember, depth is better than breadth.  We would rather you explain at length one or two specifics that really set the program apart for you, than briefly mention seven to ten.

5. Prepare to weave into your responses what you will be able to offer the school. Make it clear how your experiences and interests, personal and professional, will benefit the school and create a stronger, more diverse MBA class and alumni base.

6. Think through your biggest career successes and failures, and consider what you learned from both. When answering a question about one of your failures, spend only 20 percent of the response on the situation and mistake. The rest of your response should be devoted to the actions you took to gain a better understanding and improve, and what you learned as a result.

7. Determine if there are any red flags in your application and, if so, craft a response that addresses the issue without making excuses. For example, if asked about the ‘C’ you received in Calculus your sophomore year, discuss what you have done to improve your quantitative ability since then, and make mention of those specific areas in your transcript and post-baccalaureate experience that are more indicative of your ability to compete in a rigorous academic environment.  

8. Stay current on domestic and international news. The Economist is wonderful, one of our favorite publications. You will also want to be aware of any news related to your current company, industry, and desired career path as these are great areas from which your interviewer may draw questions.  Setting up Google alerts for key phrases related to your company and industry will also help ensure you’re up to date.

9. Prepare three questions, which demonstrate your knowledge of and enthusiasm for the program, to ask the interviewer at the end of your session.

10. Compose a hand-written thank you note and snail mail it to your interviewer. In the note, thank them for their time, reiterate your interest in the school with specifics, make note of something memorable you spoke about during the interview, and, if applicable, make the yield protection statement (If admitted, I will attend.).

MBA Program Announcements Roundup

We’ve rounded up and summarized the most recent MBA program announcements below. 

• Duke’s Fuqua School of Business announced this week that its MBA degree has received a STEM designation. Prior to receiving the designation, the school’s MBA offered a STEM-designated second degree in Management Science and Technology Management (MSTeM). “We had been one of the first schools to offer a STEM second major or second degree for a certain series of courses that a student would take,” says Shari Hubert, Associate Dean for Admissions at Fuqua. “But now the entire MBA program is STEM-qualifying, which, for our students, is really game-changing because it gives them that additional two years of OPT, depending on the job that they take.”

• NYU Stern announced the establishment of the Chao-Hon Chen Institute for Global Real Estate Finance, which is funded by a $20 million gift from alumni and board member, Charles C.Y. Chen. The institute will facilitate research, immersive learning, and industry interactions in real estate and the built environment, as well as fund annual scholarships for undergraduate and MBA students studying real estate. 

• Columbia University announced that it will offer a Global Executive MBA starting in May 2023. The program will take a hybrid format, relying predominantly on virtual instruction, with only about a quarter of the 22-month long program expected to take place in an in-person residential format. The content will be geared towards experienced professionals who have about ten years of professional experience and five years of management experience. 

• Georgetown’s McDonough School of Business announced a new online MBA degree, available in August 2023. The program will include two in-person campus visits, but the large majority will be offered through synchronous and asynchronous virtual classes. This MBA will be the school’s third online degree offering, which currently consists of specialized masters programs in finance and business analytics. “More and more MBA programs and business schools are moving toward online degrees,” says Prashant Malaviya, Senior Associate Dean of MBA programs at McDonough. “We have two right now. Both of them have done well. So we know the model works, that there are students who are interested in this—and we also have a nobler goal, which is to increase access to the Georgetown education outside of the DMV region.”

• UVA Darden’s first cohort of part-time MBA students based in Washington, D.C. kicked off classes at its Rosslyn, VA campus last month. The program is designed for working individuals in the DC area and is self-paced with students obtaining their MBA in between 28 and 48 months. “A part-time program adds flexibility and optionality to the MBA,” explains Yael Grushka-Cockayne, Senior Associate Dean for Professional Degree Programs at Darden.  “It allows some students who in the past couldn’t take the time off to have an MBA experience.”

Lower Overall Applicant Numbers in MBA Class of 2024, with Large Uptick in International Matriculants

MBA programs have started to release profiles for their entering classes. Poets & Quants highlighted a consistent downward trend in MBA application volume from last year’s admissions season. With a low unemployment rate, and many corporations paying top dollar to retain or attract talent, business school applications declined at many schools, even at the most prestigious (with Cornell Johnson as one notable exception). The declines are most concentrated among domestic applicants. Schools that have reported their Class of 2024 profiles note record-breaking diversity numbers and increases in the number of international matriculants. 

UPenn (Wharton) 

• Last year, Wharton applications declined by 13.9 percent. While the school does not report their acceptance rate, Poets & Quants estimates it to be approximately 25 percent compared to an estimated 18 percent the year prior. 

• The average GMAT score remained steady at an (record-breaking) average of 733.

• The full-time MBA class maintained gender parity. Women make up 50 percent of the class. This is down slightly from last year’s 52 percent. International students now comprise 35 percent of the class.  

NYU (Stern)

• NYU’s application volume decreased ten percent last year and matriculation decreased 11 percent. Stern’s acceptance rate increased to 27 percent from 19 percent. 

• The entering class set a new record for both average GMAT scores—733 from 729—and GPA—3.62, up from 3.59. 

• Women make up 45 percent of the class (a record), and underrepresented ethnicities make up 21 percent. Just under half, 44 percent, hold international citizenship. 

UVA (Darden)

• Applicant volume decreased just 3.5 percent last year at Darden, a relatively small change compared to other programs. 

• The entering class set a new record for average GMAT score—720 up from 715.

• In terms of diversity, the entering class boasts the highest ever percentage of international students (43 percent), first-generation college graduates (16 percent), and LGBTQ+ students (8 percent). 

Columbia

• Columbia’s application volume decreased by 5.5 percent last year and the school increased its number of admitted students by just over 12 percent. The school’s acceptance rate increased to 22.1 percent from 18.6 percent the year before.

• The entering class reported GMAT scores consistent with the previous year (729), and an increase in average GPA—3.6, up from 3.5 the previous year.

• Columbia’s entering class includes a record-setting proportion of women (45 percent), international students (51 percent), and minorities (42 percent).  

Cornell (Johnson)

• Applicants to Johnson increased by over 21 percent last year, compared to the year before, and the school also maintained its class size. 

• The class maintained its quality metrics, with the average GMAT score the same as the previous year (710). The average GPA declined just slightly—3.3, down from 3.34. 

• The Class of 2024 also saw a sharp uptick in the proportion of international students—43 percent compared to 35 percent the year before. The percentage of women in the class (39 percent) stayed consistent with the prior year, while the number of underrepresented minority students declined—16 percent, compared to 25 percent the year before. 

Michigan (Ross)

• Applicants to Ross decreased by 9.3 percent last year with a corresponding 4.5 percent decrease in class size. Similarly, the school’s acceptance rate increased to 28.1 percent from 20.2 percent the year before. 

• Despite the decline in applications, the average GMAT score—720, down from 722—and GPA—3.5, down from 3.53—for the entering class remained on par with the previous year.

• The proportion of international students increased to 36 percent (a record), as did the U.S. minorities (42 percent, from 36 percent), first generation college graduates (14 percent), LGBTQ+ (9 percent), and students with military backgrounds (7 percent). The proportion of women, on the other hand, dipped slightly below the level seen in recent years (42 percent, from 46 percent the year before). 

UCLA (Anderson) 

• The number of applicants for Anderson’s entering class declined 20 percent, with a corresponding 8.3 percent decrease in the number of enrolled students. 

• The average GMAT score declined to 711, from 714 the previous year (although the average is higher than that seen for the Class of 2022), and the average work experience increased to six years, up from five years. 

• While the proportion of international students increased considerably to 47 percent, up from 36 percent, the percentages of both women (35 percent) and minorities (28 percent) declined for this class compared to the one previously.