Chameli Devi Institute in Indore
Madhya Pradesh has never really been an MBA destination. For the simple fact, that there is one Indian Institute of Management at Indore (IIM-I) and the rest: a huge bunch of three-tier schools, with a handful of two-tier thrown in, some of these genuinely trying hard to be two-tier. Of course, there is also the Indian Institute of Forest Management (IIFM) at Bhopal, an institute of repute, if one were to look at specialised MBA programs.
Much of this has to do with the culture in the state. For the locals, an MBA is as good or bad as any other post graduation degree or diploma. The majority of the 20,000 student community in MP takes admission into MBA programmes for many other reasons besides its didactic value. Some, just to pass time, a few to keep marriage away for a couple of years, and a sizeable number to escape working in the family business right-away.
When asked why these huge discrepancies in the quality of the institutes in MP, Prof Rohit Kapoor , who teaches Operations and Quantitative Techniques at IIMI answered that his institute is run by the government and is part of the IIM community. “IIM Indore, like the other IIMs has to only concentrate on teaching, upping programme quality and faculty. Students come to the IIMs because of the brand. With other institutes, it is a matter of survival and looking at all factors such as faculty, programmes, students, infrastructure, fees. These institutes get no grants or help from the government and if they cannot offer quality education, then filling up seats is also an issue. And if these institutes are run by those who do not understand MBA education, then things obviously turn bad.”
Gradual slow-down
Like Rajasthan, Madhya Pradesh too saw a gradual closure of management institutes over the last decade, after hundreds burst on the scene in early 2000. This tumble-down was a result of empty seats, high fees, wretched infrastructure and misplaced job placements. Today, there are some 200-250 plus management institutes in MP, which is half the number that existed earlier. The ones who have survived either had the funds to do so, at least try to offer quality education or are basically engineering colleges with MBA thrown in as a pile-on.
The raid
A director of one such school said : “The campaign against us lasted for one long year. Some of us had the time to make sure our students finished the programme and got placed, but some others faced problems.”
Survival of the fittest
Many think however that the raid ensured that only the best survived.
Prof AS Kittur, a dean at the Chameli Devi Group of Institutes, Indore says that it was good that the institutes closed down since they were not complying with the AICTE regulations. “Many had started over night and were out to make some quick money. Now students have better choices to make. ”
Adds S Kothari, Managing Director of the Indira Group of Institutes, Indore. “Such situations happen and those who can deliver, last. In some of those that closed down, there was hardly anything called a campus.”
Management education in MP means good moolah for agents too, with more than 50% of admissions in the smaller institutes got through them. One agent that PaGaLGuY spoke to, said that while he does not take money (for his services) from the candidates, he does take a tidy sum from the institutes. “If agents do not work, institutes will run totally empty. We literally have to sell the institute to the candidate,” he added.
But many institutes still run empty.
Despite the shake-up and the agentss roaring business in MP, quite a few institutes still run half empty classrooms, some as few as 10 students. Adds Mr Kittur: “Since the salaries post placements are not very grand, students get disillusioned and rather do a few-months diploma course of some sort, rather than spend two years doing an MBA.” PaGaLGuY had written an article where in Indore, companies prefer fresh graduates over MBA students.
Abhinav Tamrakar, Placement Officer with Swami Vivekananda University at Sagar has a different insight. “Empty seats does not always mean no admissions, it could also mean that students don’t want to attend class. In MP, it’s not a hidden fact that that half the number of candidates who take admission to the lower-rung institutes do so for a certificate only. Such candidates make their stand very clear at the time of admission. They are willing to part with the fees upfront and need a certificate at the end of the two years but they should not be expected to attend classes.”
Students are not denying any of this. PaGaLGuY spoke to a few. “I am enjoying my MBA but it is difficult following the teacher in class. Some of the concepts taught are difficult to grasp and hence I prefer not going to class,” said one.
A student at one of the smaller institutes said that he has to anyway join his father’s business, so the MBA should hopefully give him some new insights. “I attend lectures but not regularly,” he confessed.
According to Sundeep Manudhane, who owns PT Education, an MBA coaching centre, PGDM is a sinking certification in MP since the only MBA education which is really taken seriously is the one offered by universities. “The universities still hold a standing and respect in the field. Even recruiters take them more seriously. But then, these universities are running their semesters late, so there is no gain at the end anyway.”
PaGaLGuY had carried a story a year ago on how a two year MBA course from a university in MP actually stretches to almost three years. And with that comes the woes of having students/universities hunting for jobs much after the placement season is over in other institutes across MP and the country. Same goes for summer internships, which happen months after others, so options narrow down there too for the students.
On inquiry, we found out that this year, the condition has slightly improved and the universities have made up a few months in semester time. But the progress has not been good enough to either up the quality of education imparted or the timing of the placements.
MBA culture
The MBA culture, as it is called, is sadly missing in MP, barring in IIMI and IIFM, and a few other institutes which are trying hard to better themselves. “It’s a cycle,” says Prof AS Kittur. “Since majority of the institutes are below par, the kind of students they attract are also below par and that gets the kind of learning and teaching to a sub-standard level. This brings the level of education down.”
Prof Kapoor adds that institutes like IIMI and IFM attract students from other states and that leads to a healthy class make-up, while the smaller institutes in MP are content with local students, who may not truely understand the significance of an MBA education.
A point in illustration is this institute on the outskirts of Indore. When PaGaLGuY visited the campus at 4.30 pm, it was desolate. Not because it had closed down or it was a day off but because the institute had closed for the day. A clownish looking person claiming to be the watchman allowed this correspondent in without a question. And inside, there was not a soul around, just long winding corridors, locked classrooms and huge locks on toilet doors. It was a three-storied building, but there was nothing that spoke of life inside.
At the far end of the campus, some construction work seemed to be underway and one of the workers informed that the institute has closed for the day. “You are 15 minutes late. It just closed. Everybody has left campus in the college bus, even the faculty and the director.”
Obviously, this institute has not heard of group assignments and after class professor-student interaction – both so important for an MBA student.
According to Mr Kothari, the MBA is understood very differently in MP when compared to other states or bigger institutes. “Here it is MBA plus SAP which students want. From where MP local students come from, doing an MBA is more for education than employability. Many come from family business backgrounds and some others are hoping to get somewhere with a degree.”
But some changes are happening
Mr Shiv Raval from Sikkim Manipal University in Bhopal told PaGaLGuY that MBA education in MP is slowly gaining importance. “If you had seen the situation the state was in some time ago, it is actually much better now. Slowly, students are getting a hang of what is expected of them and how they will have to change if they want that degree to do something for them. Students are gradually coming back to class.”
Prof Kittur says that in fact in recent times, candidates from other states have also begun to take admission into management institutes in MP. “We not only have students from Maharashtra but also Karnataka and Punjab. This only shows that we are trying hard to do something right.”Institutes are also laying stress on getting good faculty on board,” he added. Prof Kuttir, for one has worked and taught in Germany for almost two decades before taking up the job at Chameli Devi.
Placements
And placements have their own flavor in Madhya Pradesh. Possibly the only state where institutes come together for ‘joint placements.’ Prof Kittur who spearheads most such joint placement sessions in Indore says that joint placements are important if the good companies have to come in. “We cannot have companies coming all the way here for a small group of students, most of whom may not fit their criteria. A large pool means more choice.”
These joint placement sessions are held at the campus of any one of the institutes participating in the process. The placements officers of the institutes usually discuss with each other the strengths and weaknesses of their students and then take a call on which companies to approach. While the absolute top companies may not come to the institutes, the range of salary offered is some Rs 2.5-3.5 lakhs, in a place like Indore. “Good companies may not take our students for the big posts. They give them the smaller jobs but some of the students are talented and come up from there.”
Mr Raval added that joint placement works only with some institutes in Indore, while in Bhopal, institutes can carry off individual recruiting sessions. “Like I said the situation is getting better. Efforts are being put in to get the right faculty, and also recruiters.”
The joint placements actually work to the advantage of both, the instiutes and also the recruiters. Costs are shared between institutes and students are picked from a very large pool. Recruiters need to visit a city only once and cover all the institutes at one go.
This correspondent was seated in one of the institutes, while a Placement Officer was making a sales pitch to a renowned software company based in Mumbai to comeover to Indore and recruit.. This Placement Officer kept pushing the case of his students, describing how talented the students were and so on. The Placement Officer then ended the discussion saying, “See, I am a famous man. PaGaLGuY has come all the way here to interview me. That means my institute is important, so you must come over for placements.”