- 1 Ranking the Returns on Executive M.B.A. Programs
- 2 Ohio State University’s Fisher School of Business: A Compelling Investment
- 3 The Wall Street Journal’s Top Picks
- 4 Considering the Costs in an Uncertain Economy
- 5 Analyzing the Methodology
- 6 Surprising Results
- 7 The Texas A&M Advantage
- 8 Highlighting High Returns at Other Schools
- 9 Factors Beyond Salary
- 10 The Intangible Value of Executive M.B.A. Programs
- 11 The Final Verdict
Ranking the Returns on Executive M.B.A. Programs
In the world of Executive M.B.A. programs, the quest for a solid return on investment is paramount. Executives like Scott Thomas carefully assess their options, seeking programs that offer not only a great education but also promising career development. This article of Investmentchannel.net explores the top-ranked U.S. Executive M.B.A. programs with impressive returns and the factors that set them apart in terms of both cost and benefits.
Ohio State University’s Fisher School of Business: A Compelling Investment
Scott Thomas experienced the dilemma faced by many Executive M.B.A. students when he decided to switch from a Cleveland school to Ohio State University’s Fisher School of Business. Despite the higher tuition costs of $72,500 for the 18-month degree, Thomas found that Ohio State offered unparalleled career development opportunities and education. He praised the school’s extensive alumni network and their loyalty, which convinced him of the program’s value.
The Wall Street Journal’s Top Picks
The Wall Street Journal’s analysis of the five-year return on investment for Executive M.B.A. programs positioned Ohio State at an impressive third place. With a 170% return on investment, it outperformed many other programs. However, Texas A&M’s Mays School of Business and the University of Florida’s Warrington School of Business secured the top two spots with returns of 243% and 212%, respectively.
Considering the Costs in an Uncertain Economy
As the deadline for Executive M.B.A. program applications approaches, working executives must carefully evaluate the costs and potential benefits, particularly in an uncertain economic climate. With companies scaling back on education spending, many students now shoulder the expenses themselves. This shift in responsibility has made cost-benefit calculations critical in their decision-making process.
Analyzing the Methodology
The methodology employed for evaluating the best return on investment involved a comprehensive assessment of various factors, including salary data, raises received after graduation, company sponsorship figures, and tuition costs. The analysis spanned 27 U.S. programs and nine international programs. The calculation considered both tuition payouts and out-of-pocket expenses reported by graduates, projecting the median raise after program completion as the first-year salary increase. A 5% annual increase over the subsequent four years was added based on data from compensation specialists and executive recruiters.
The analysis revealed some unexpected findings, as not all highly ranked schools based on other criteria performed well in terms of return on investment. Northwestern University’s Kellogg School of Management, which topped the September E.M.B.A. ranking, only ranked 12th in returns. Likewise, Texas A&M and the University of Florida, despite their strong returns, did not secure positions among the top 25 in the earlier rankings.
The Texas A&M Advantage
Texas A&M’s Mays School of Business stood out with its low tuition and no-frills approach, focusing on essential aspects of business education. The program’s affordable tuition of just $53,000 for a 21-month program allowed graduates to achieve a median 11% raise upon completion, projecting a median salary of $181,718 after five years, excluding bonuses. The emphasis on the fundamentals and the state institution’s financial stability contributed to its impressive return on investment.
Highlighting High Returns at Other Schools
Other top-rated schools in the earlier E.M.B.A. rankings also demonstrated strong returns on investment. University of Southern California Marshall School of Business and University of California-Los Angeles Anderson School of Business outperformed many competitors. Kellogg’s graduates, despite higher average tuition of nearly $105,000, reaped significant benefits, with a projected five-year salary of $257,687 and a 127% return.
Factors Beyond Salary
Although higher returns on investment were desirable, some top-tier programs showcased other valuable benefits. Columbia University’s E.M.B.A. Global, a joint program with London Business School, projected the highest salary after five years, with a median of $272,577, despite its 69% return in the same period. The program catered to slightly older executives, many of whom already held advanced degrees and higher salaries, which influenced the program’s lower return.
The Intangible Value of Executive M.B.A. Programs
For many graduates, the value of an Executive M.B.A. program extended beyond monetary benefits. Graduates often reported receiving promotions upon program completion, even if not all expected salary raises. Executives like Alex Gorsky credit their Executive M.B.A. degrees with propelling them to top positions and fostering a culture of commitment and innovation within their companies. School administrators, too, highlighted the importance of a school’s brand cachet and access to influential executives.
The Final Verdict
As the Executive M.B.A. programs strive to attract prospective students in an ever-changing economic landscape, the ranking of returns on investment provides crucial insights. While impressive returns are desirable, prospective students must consider other factors, such as a school’s brand reputation, networking opportunities, and career development resources. In the end, the decision should align with each individual’s unique goals and aspirations.