It is therefore clear that value needs to be defined. Rather than focus on the denominator, namely price, or on short-term metrics, business schools need to enrich the numerator. The question schools need to answer is not ‘What is your placement record?’ but rather ‘how well have you prepared me and continue to prepare me for my entire career?’ This may necessitate new ways of looking at both prospective and current students such as mapping out their career path rather than their placement prospects at a job, periodic up-skilling opportunities for alumni, global alliances for facilitating cross-fertilisation, and several other possibilities.

A second source of value that can be created in the general MBA is a greater emphasis on customisation. Business education around the world is in the mature stage of the product life cycle. Along with maturity comes hyper-competition, as schools jostle for the attention of the best and brightest, offering scholarships as a means of attraction. While such moves do generate temporary gains, they are unlikely to create a sustainable advantage. This is why business schools need to move towards customisation. Students do not learn at the same rate, and the large classroom format is not conducive to producing consistent learning outcomes for all students. The availability of online learning formats can be a powerful option for providing customised content to individual students.

A third source of value is the network. The benefit of being an alumnus of a good business school can be hardly overstated. The power of an alumni network opens doors when they are otherwise closed. This is one advantage that online learning platforms and specialised programme will not be able to replicate easily. However, alumni engagement is still not very high at most business schools in India, apart from some annual get-togethers. Institutions that invest in alumni engagement and build brand passion are more likely to create long-term value.

Finally, value is created by investment in knowledge creation. Institutions that are at the forefront of research provide more contemporary perspectives on the problems of today rather than regurgitating knowledge created for solving the problems of yesterday. A lot has been said about incorporating practical content into the curriculum. I agree with this view. However, a healthy eco-system should not only have to rely on industry to provide inputs to the classroom; rather, there must be a reverse flow from the classroom to industry, with new knowledge being relayed back to companies for implementation.

In closing, I would suggest that the question ‘Is the ‘general MBA’ losing its value?’ is a misleading one. Certainly, there is erosion in value if looked through the standard lens of price and short-term outcomes. However, I believe there are plenty of ways to redefine value that can help business schools sustain the true worth of the MBA and keep it competitive with substitute options.