MBA Vs PGDM

While many think that there is a difference between the two, few also perceive both as the same degree, with just a difference in the name. It is very much important for an individual to understand how both of them differ from each other and what their relevance is.

MBA and PGDM are both business oriented courses. The main aim of the courses is to equip a person who wants to move up in the hierarchy and enter in to the management field. Pursuing both these courses helps one in the growth of their career, in getting a better position and obtaining a bigger salary.

MBA Vs PGDM

MBA (Master of Business Administration) is a degree, while PGDM (Post Graduate Diploma in Management) is a diploma program. As per the norms of the UGC, Colleges/Institutes affiliated to a university can offer MBA degrees. The autonomous/private Business Schools which are not affiliated to any university can offer the Post Graduate Diploma in Management (PGDM) programs.

Hence, even apex institutions like IIM, XLRI, MDI and SPJIMR offer PGDM and not the MBA degree since these institutions are autonomous bodies and are not affiliated to any university. As such, there is no difference in what is being taught in PGDM and MBA.

Curriculum:

However, the autonomous business schools frequently change the syllabus to meet the industry standards. A syllabus change in an MBA program is rare since the college offering the program has no authority to change syllabus. Before you make a decision you should also note that MBA programs are a lot cheaper than PGDM programmes.

Which is better: MBA or PGDM?

In an MBA degree, you will be provided with theoretical knowledge of management concepts and practices. Theoretical knowledge may be useful if you want to get into research. Also, MBA syllabus is not amended very regularly as the college offering MBA has no authority to change the syllabus. This can be a major deterrent in the management arena because the real business environment is very dynamic and full of sudden unexpected changes. Hence, the MBA degree is more academic and theoretical in nature.

The PGDM programme, if done from an above average business school, will drill you with efficient training and will give you insights into real life business situations. It is more practical in nature. Since autonomous business schools have freedom to change syllabus, the PGDM programme will be structured in a manner most suitable to the real business environment.

However, the fact is that the industry treats MBA and PGDM graduates in an equal manner. Even in the global job industry, same treatment is given to MBA and PGDM graduates. In fact, the industry is concerned more with the skill set of the students rather than the degree. Hence doing either MBA or PGDM will have the same impact on your career. Your starting salary will depend more on the reputation and brand name of your college/business school and not on the degree name. Hence you must carefully choose your college/business school if you want to pursue an MBA or PGDM.

Focus

Both MBA and PGDM courses have common core subjects. However, some experts claim most MBA courses focus more on theoretical and technical aspects of management rather than adopting a practical approach. PGP or PGDM courses have an industrial orientation and focus on skills based on market requirements.            

Cost Factor

It has been observed that most MBA courses have lower tuition fees as compared to PGP or PGDM courses. This may be so because mostly government approved universities offer MBA degrees. These universities receive financial aid and grants from the government, making the degree cheaper for the student. In case of a PGP or PGDM degree, students have to bear the cost of the entire programme. However, this is not an ironclad rule. There are MBA degrees which charge high tuition fees (such as IIFT).

SPECIALIZATIONS

PGDM Marketing

Focuses not only on the latest sort of courses, but also tips, trends and best practice (visual merchandising, Retailing, Marketing of IT/ITES, Corporate Communications, ERP, field sales Management etc.) To get all of the students to be finest sales and marketing professionals.

Post Graduate Diploma in Financial Management (PGDM BIFAAS)

This program focuses on Banking, Insurance, Finance, and Allied Services covering in the financial sector.

PGDM HR

HR program aims to bring all contemporary HR processes (Performance Management, Compensation Management, HR audit, Negotiating Skills Managing Diversity etc.) together to make the student fully equipped to take the HR courses.

Word of caution

While opting for PGDM courses, we must exercise caution and check the accreditation status of the college. Colleges offering PGDM courses needs to be accredited by AICTE. In case of MBA, the colleges are affiliated to an University and Universities are controlled by University Grants Commission (UGC) and the colleges may also get accredited by AICTE.

Is PGDM equal to MBA.

Not necessarily that a PGDM is equal to MBA because if PGDM is to be an equivalent to MBA then the college offering the PGDM course must have accreditation from AIU (The Association of Indian Universities).

Famous MBA institutes in India:

Faculty of Management Studies, University of Delhi, Delhi

SIBM (Symbiosis Institute of Business Management), Pune

NMIMS (Narsee Monjee Institute of Management Studies), Mumbai

IIFT (Indian Institute of Foreign Trade)

JBIMS (Jamnalal Bajaj Institute of Management Studies), Mumbai

Famous PGDM institutes in India:

IIMs (Indian Institute of Management)

XLRI (Xavier School of Management), Jamshedpur

SP Jain Institute of Management and Research, Mumbai

Management Development Institute, Gurgaon