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STRATEGIES
FOR
REPOSITIONING BUSINESS EDUCATION IN INDIA

Education is an important index of human development, along with economic growth and

empowerment. Among various levels of education, higher education has pervasive and

influential impact on development, since it empowers the individual with necessary skills and

competence for achieving personal and social goals and thereby contributing to the social

development. Thus, it is widely believed that the state of higher education in a country is an

index of its future well being. It also has an increasingly crucial role to play in producing change

agents for moving the country along the development continuum. The phenomena of

liberalisation and globalisation of the Indian economy coupled with revolution in information

technology have brought new challenges to higher education. For Indian companies liberalisation

and globalisation of services have meant increase in competition, which forces Indian companies

to use rich technology that comes with additional cost. This type of situation need to have human

resource with quality knowledge generated at higher education institutes and that human

resource should be available throughout the economy. But the products (graduates) developed by

the business school are not suitable to the industry as it is, which made the industry to think that

that products (graduates) not suitable to industry unless they provide training. Having negative

perception about management student is known as improper positioning.

BUSINESS EDUCATION

Business education is the enterprise of education directed at the study and research of the

field of business. It is often or almost always oriented toward preparing students for the practice

of an occupation in business or business-related fields.

There are six Indian Institutes of Management (IIMs - Ahmedabad, Bangalore, Indore,

Kolkata, Kozhikode and Lucknow) are the premier management schools of India. Apart from the

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IIMs there are few IITs, autonomous institutions, deemed universities and institutes under

Universities.

POSITIONING

Positioning is an attempt to distinguish the business school from its competitors along

real dimensions in order to be the most preferred business school for industry. It is an attempt to

have a clear or unique position in the industry. Also, positioning is a competitive marketing tool

that goes beyond image making. The image-making business school seeks to cultivate an image

in the employer’s (customer’s) eyes and mind. Positioning is a process of establishing and

maintaining a distinctive place and image in the industry for an organization and/or its individual

product offerings so that the target industry understands and appreciates what the business school

stands for in relation to its competitors.

In a competitive environment, a “position” reflects how corporate (employers’) perceive

the graduates, (products) business school performance on specific attributes relative to that of the

competitors. Thus, business schools have to either reinforce or modify employers’ perception or

image. Positioning plays a pivotal role in placing students in the industry or attracting corporate

to the campus. In short, the term positioning refers to how a business school wishes to be seen in

the industry, what its values are, and its overall image. A business school can occupy a position

as a large business school, a global school, a niche school, or an efficient business school. But

this is possible by providing quality education.

REASONS RESPONSIBLE FOR IMPROPER POSITION

The only one reason for improper positioning business education in the minds of

corporate is low quality business education. There are several factors that lead to the `above

problem:

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- Poor Infrastructure: One of the most vital factors, which contribute to the inability of Indian

management education to provide quality management education, is the poor infrastructure.

Physical Infrastructure: Lack of basic physical infrastructure–lecturer halls, well-equipped

laboratories, adequate library resources, facilities for sports, recreation facilities and special

living (hospitality) facilities with good environment that motivate students to concentrate on

lecture and learn.

Intellectual Infrastructure: Quality education depends on the talent of the faculty, who truly

adds value to the student. At the same a good number of business schools are operating with

a skeletal faculty of four to five faculty members, while the rest are visiting faculty, who

often do not have time or inclination to commit to individual needs of students.

- Large Student to Faculty Ratio: Indian universities and business schools have a significant

large student to faculty ratio, which makes it difficult for the students to have individual

attention and discuss their problems with faculty members at the one-to-one level.

- Outdated Syllabus: The syllabus that Indian Business Schools teach is not updated as when

there is change in industry.

- Lack of Industry Interaction: Indian business schools provide little interaction with industry

through arranging industrial visits, visiting faculty members, conducting seminars and guest

lectures as compared to the global counterparts and some schools provide no interaction at all.

- Lack of Students with Work Experience: The average age group of the Indian MBA students

is about 23 years, which is five years less than the average age of MBA students (28 Years) in

USA. For MBA admission in India business schools, work experience is not necessary (except

some universities’ evening courses), but most US business schools (reputed) stress on

minimum of two years work experience.

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- Lack of Sufficient Funds: Non-availability of sufficient funds to provide infrastructure for

many private institutes.

- Over Regulation by Universities: Government regulation on educational institutions should

be progressively reduced as each institute becomes more and more self-reliant. Majority of the

Indian Business schools are operating under the jurisdiction of various State Universities

(except IIMs and some deemed and autonomous universities). Red tapism is the unmistakable

feature of the most of the State Universities. This red tapism results students end up learning

old and outdated syllabi.

- One-Side Authoritarian: Majority of business schools teachers is one-sided, which will stop

students achieving participation in the learning on their own initiative or creativity.

- Low Focus on Research: Most of the business schools have been focused at low level

research, due shortage of core & talented faculty, funds and no facilities for research work.

- Non-availability of Indian Course Material: There has been very little attention provided for

preparing course materials specific to the Indian context.

- No or Less Investment on FDPs: Business schools investing very nominal amount for faculty

development even though most of the committees earlier had identified this as a major lacuna.

STRATEGIES

Proper positioning of business education among the industries and the students is very

important for any business school for attracting students and placements respectively. The

following are the few strategies that help in repositioning business education in India.

1. Improvement of Infrastructure: Infrastructure consists of physical, social, and intellectual.

Physical Infrastructure: Universities and other business schools should improve

infrastructure in the form of good lecturer halls, well-equipped laboratories, adequate library

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 resources, facilities for sports, recreation facilities and special living facilities (Establishment

of Student Villages) with good environment that motivate students to concentrate of lecture

and learn and the environment should be the replica of corporate environment.

Social Infrastructure: Strengthening social infrastructure by organising programmes like

family stay, cultural festivals, celebration of national days of different countries, ethnic day

so as to promote cultural exchange and mutual understanding.

Intellectual Infrastructure: Recruitment of talented faculty and provide industry exposure

to faculty and promoting a research culture for improving intellectual infrastructure.

2. Dynamic Syllabus: Hon’ble President of India, A. P. J. Abdul Kalam suggesting that

Universities should come up with dynamic syllabus (at the UGC Golden Jubilee celebration

function in Delhi on 28th December 2003). They may quickly upgrade or modify syllabi on

par with global trends and in line with the requirements of the industry (including global).

Hence updating syllabi is major issue in providing quality education

3. Change of Teaching Methodology: Majority business schools in India teaching through

using modern teaching methodology like black board, one side authority etc. But in the

globalisation era business schools should adopt modern teaching methodologies (case study,

role plays, etc.).

4. In-depth Practical Exposure: One of the issues that management education has to consider

is the manner in which experiential learning elements could be enhanced. This could also

enhance the context specificity while learning. Given the considerable contextual and

institutional varieties of management education not just between different countries but

within them, learning has to be experiential. Real life situations are complex. Bringing in a

living experience is a more promising vehicle for the introduction of messy, irrational

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 complexity, which is arguably closer to management realities. The challenge of management

education is to bring students close to real situations. There are no easy solutions as there are

many unknowns in real life situations and many events unfold in an evolutionary manner as

decisions are made. Providing real life business issues ensure that management education

makes people capable of handling real life situations and at the same time make them

understand the value frame they use for solving problems and dealing with real life

situations.

5. Industry Business School Interaction: Prior globalization majority business schools in

India have been providing little interaction with industry through arranging industrial visits,

visiting faculty members, conducting seminars and gust lectures as compared to the global

counterparts. Now time has come to business schools to provide industry friendly education

there by proper positioning of business education among students community and the

industry community.

6. Global Tie-ups or Partnership with Foreign Universities: Global education is a two-way

process and it is essential that Indian business schools, especially universities, autonomous

institutions and deemed universities should establish partnerships and develop networks with

foreign universities in both the developed and developing countries. Having partnership is

the unique feature of world’s business schools. For example Kellogg School of Management

at Northern University, The Wharton School at the University of Pennsylvania. Global tie-

ups avoid the Indian students, who prefer the tag of a foreign degree to take admission in the

foreign universities, and attract foreign students to take admission in the Indian universities.

7. Development of Material Relevant to the Indian Context: Many of the ideas and concepts

that have been teaching in India are developed and found using in other countries. They may

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 be effective in the countries of their origin have been less effective in India. For example

Indian business schools have been using cases or teaching material developed by others

written on the basis of other countries business issues. Put in simple the materials available

are not specific or relevant to Indian context. There are no easy approaches for solving the

issue of inadequacy of context specific material, but business schools tries to develop cases

and materials that are an Indian industry base.

8. Corporate Governance for B-Schools: Lack of corporate governance is a major weakness

in Indian business schools. This issue needs careful consideration. Though the primary

responsibility for upgrading and maintaining the quality of education must rest with the

concerned institution, in the absence of a proper corporate governance system, this has not

been so. Transparency has to be the root of corporate governance. Information on faculty

qualifications, the size and contents of the libraries, availability of computer facilities,

adequate provisions for scholarships, reach out programs to take management education to

deprived sections of the population, a rating for all institutions that guides students and

recruiters in making sensible choices, have to become a part of the corporate governance

agenda in B-Schools.

9. Extending Management Education: Business schools are slowly extending management

education to domains such as cooperatives, hospitals, NGOs, public governance etc.

10. Offers Industry Specific Specialization: Business schools should come up with business

specific specialization, there by enhancing the relevance of management education. This is

because there is demand from different industries on industry specific knowledge. For

example, agricultural services, infrastructure management, contract research, high tech

entrepreneurship, hospital management, and NGO rapidly growing areas in business.

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11. Broadening the Perspective: One of the major concerns that have been expressed widely

about business schools has been that the people coming out with a very narrow perspective.

Business education and more specifically the MBA has little if any discernible positive effect

upon career success or managerial performance. Management is a value-laden field. The

groups of critical management thinkers are of the view that management needs have to be

taught in ways that explicitly acknowledge the political, ethical and philosophical nature of

management practice. Management education without broader perspective does not make

better managers. Reconstruction of management education has to recognize that managers

need to attend to interpersonal relations, communication, conflicts, feelings, politics and the

like.

CONCLUSION

Among various levels of education, higher education and particularly management

education has pervasive and influential impact on economic development, because it produces

change agents for moving the country along the development continuum. At the same time

management education system in India will have to play crucial role to enable the industry to

cope with emerging challenges arising due liberalisation and globalisation. This type of situation

need to have human resource with quality knowledge generated at higher education institutes and

that human resource should be available throughout the economy. Indian business schools should

offer talented managers to the industry there by the country to overcome problems that they have

been facing since inception. Providing quality management and proper positioning of business

education among students community and industry is possible only when business schools

overcome the problems faced by them by using the above discussed strategies.

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REFERENCES

AUCC-ACE-EUA-CHEA, (2001), Joint Declaration on Higher Education and the General

Agreement on Trade in Services, IAU Newsletter 6-7, March, 2002.
Daniel, J., (2000), Global Developments in Higher Education, www.open.ac.uk/vcs-speaches
Joshi, M.M., (1998), Higher Education in India: Vision and Action, UNESCO, World conference
on Higher Education in the Twenty-First century, Country Paper, October 5-9, Paris.
NIEPA, (2001), Trade in Education Service under WTO Regime – An Indian Response, National
Institute of Planning and Administration, New Delhi, November 26-27.
Powar, K.B., (2002), WTO, GATS, and Higher Education: An Indian Perspective, AIU
Occasional Paper 2002/1.
Van Damme, D., (2001), Quality Issues in the Internationalisation of Higher Education, Higher
Education.

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 STRATEGIES
FOR
REPOSITIONING BUSINESS EDUCATION IN INDIA
Dr.Sudarsana Reddy G*.
Dr.Raghunatha Reddy S*
Dr. Mohan Reddy P**
Abstract
Among various levels of education, higher education, particularly management education
has pervasive and influential impact on economic development, because it produces change
agents for moving the country along the development continuum. Business education system in
India will have to play crucial role to enable the industry to cope with emerging challenges
arising due to liberalisation and globalisation by overcoming the problems that they have been
facing since inception.
Proper positioning of business education among the students and industries is very
important for any business school for attracting students and placements respectively. Business
schools in India have not properly positioned the products (graduates) in the industry. The only
one reason for improper positioning business education in the minds of corporate is low quality
business education. The main factors that are responsible for low quality education are: poor
infrastructure (physical infrastructure, and intellectual infrastructure), large student to faculty
ratio, outdated syllabus, lack of industry interaction, lack of students with work experience, lack
of sufficient funds, over regulation by universities, one-side authoritarian, low focus on research,
non-availability of Indian course material, no or less investment on FDPs. A business school can
occupy a position as a large business school, a global school, a niche school, or an efficient
business school by providing quality education. Few strategies that help in repositioning business
education in India are: improvement of infrastructure, dynamic syllabus, change of teaching
methodology, in-depth practical exposure, industry business school interaction, global tie-ups or
partnership with foreign universities, development of material relevant to the Indian context,
corporate governance for b-schools, extending management education, offers industry specific
specialization, and broadening the perspective Providing quality management education is the
only solution for repositioning of business education in India.

*Asst. Professors of Management, Acharya Institute of Management (AIMS), Peenya, B’lore-58.

** Associate Professor & Head, Dept. of Commerce, SVU PG Center, KADAPA-516 001.

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