‘Bitty Learning’ overtakes MBAs as the new Career Cache.

Why would The Wall Street Journal report that MBA applications across the world are down three years running? Isn’t an MBA a sure ticket to a high paying and interesting career?

At Slade Group we’re very interested in labour market trends and skills matches, but it’s been a long time since we’ve heard the phrase ‘an MBA would be highly desirable’ as a criteria for hiring.

There seem to be three indicators for the decline in the attraction of MBAs:

  1. Follow the money
  2. Currency of skills
  3. ‘Value Added Ratio’

Follow the money: The money’s left Wall Street, Collins St, Pitt St etc and is headed for wherever the Technology sector lives. While MBAs are useful in the tech sector, software engineers, mathematicians, systems engineers, machine learning skills are in more demand.

Currency of skills: Big jobs data tells a rich global story. At the recent Nous Group forum, Burning Glass Technologies’ Matthew Sigelman, joined the data dots to build the picture for skills, education and employment.

Skills are the unit of currency and they’re on the move. Traditional degrees can now carry less weight than relevant skills based learning like Lean Six Sigma or PMP Certification.

The big question raised at the Nous forum was how do we, as individuals, employers and governments reskill more often, and take charge of our future? Read more here.

Value Added Ratio: MBAs cost a great deal so when the ‘added value ratio’ doesn’t add up for someone who failed or nailed their GMAT, the attraction to an MBA course also declines. In lockstep, huge hikes in course costs have matched flat lining and declining salaries for MBA graduates. From 4:1 first year salary to course cost to a 1.8:1 ratio, the MBA flavor has soured.

The fact is that an MBA can now be worth less than the sum of its bitty parts.  It all trends towards upskilling for in-demand expertise throughout our careers as a pathway for growth and success. In response universities are finally starting to unbundle their degrees and allow for macro and micro learning programmes.

We’re in the middle of interesting times!

What is your experience in your world of learning @work?

Anita Ziemer

Anita Ziemer is Managing Director of Slade Group and a Director of The Wheeler Centre for Books, Writing and Ideas. In a career spanning roles working in government, not-for-profit, public company and the SME sector, Anita has a broad view of the landscape of Australians at work. She was Chairman of Melbourne Girls Grammar School, a Director of Kidspot through to its sale to News Ltd, and founding director of nexthire. She has B.Applied Science and an Adv Dip Screenwriting. She was Associate Producer of Summer Coda a 2010 Australian Indie feature film.

Anita has a major interest in serving the community and has held the following pro bono positions:

  • Melbourne Girls Grammar, School Council (Chairman 2011) 2009-2015
  • Melbourne Grammar School, Council’s Marketing Sub-Committee 2005-2009
  • Member, St Paul’s Restoration and Renewal Appeal 2003-2004
  • Board Member, Prostate Cancer Foundation of Australia 2002-2010
  • Co-education Chair, YPO/WPO 1994, 2001-2002
  • Council Member, Christ Church Grammar School 1995-2002
Anita Ziemer
Managing Director
Slade Group
Level 7, 15 William Street
Melbourne VIC 3000
Tel: +61 3 9235 5100
aziemer@sladegroup.com.au
sladegroup.com.au

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