The MBA degree in Europe
History of the MBA in Europe
In 1957, INSEAD became the first European university offering the MBA degree, followed in 1964 by IESE (first two-year program in Europe), the Rotterdam School of Management in 1966, the Cranfield School of Management in 1967 and in 1969 by the HEC School of Management (in French, the École des Hautes Études Commerciales) and the Institut d’Etudes Politiques de Paris.
Bologna Accord
In Europe, the recent Bologna Accord established uniformity in three levels of higher education: Bachelor (three years), Masters (five years), and Doctorate (eight years). Students can acquire professional experience after their initial bachelor degree at any European institution and later complete their masters in any other European institution via the European Credit Transfer and Accumulation System. A European masters degree in Management is therefore equivalent to the American MBA having additional scientific content; for example, a European MBA requires writing and defending a master’s thesis.
Accreditation
Accreditation standards are not uniform in Europe. Some countries have legal requirements for accreditation (e.g. most German states), in some there is a legal requirement only for universities of a certain type (e.g. Austria), and others have no accreditation law at all. Even where there is no legal requirement, many business schools are accredited by independent bodies voluntarily to ensure quality standards.
The MBA in the United Kingdom
The UK based Association of MBAs (AMBA) was established in 1967 and is an active advocate for MBA degrees. The Association’s accreditation service is internationally recognised for all MBA, DBA and PEMM programs. AMBA also offer the only professional membership association for MBA students and graduates. UK MBA programs typically consist of a set number of taught courses plus a dissertation or project.
Persons holding an MBA from the world’s top 50 business schools (according to the list published by the UK government[4]) automatically receive the minimum score necessary to qualify for the UK’s Highly Skilled Migrant Programme. This program initially entitles the person to a two-year UK work permit, after which it can be renewed for an additional three years, if that person is gainfully employed at the time of renewal.[5]
The MBA in Germany and Austria
Germany was one of the last western countries to adopt the MBA degree. In 1998 the Hochschulrahmengesetz (Higher Education Framework Act), a German federal law regulating higher education including the types of degrees offered, was modified to permit German universities to offer master’s degrees. The traditional German degree in business administration was the Diplom but since 1999, bachelor’s and master’s degrees have gradually displaced the traditional degrees (see Bologna process). Today most German business schools offer the MBA. Most German states require that MBA degrees have to be accredited by one of the six agencies officially recognized by the German Akkreditierungsrat (accreditation council), the German counterpart to the US-American CHEA. The busiest of these six agencies (in respect to MBA degrees) is the Foundation for International Business Administration Accreditation (FIBAA). All universities themselves have to be institutionally accredited by the state (staatlich anerkannt).
In Austria, MBA programmes of private universities have to be accredited by the Austrian Accreditation Council (Österreichischer Akkreditierungsrat). State-run universities have no accreditation requirements, however, some of them voluntarily undergo accreditation procedures by independent bodies. There are also MBA programmes of non-academic business schools, who are entitled by the Austrian government to offer these programmes until 2010 (Lehrgang universitären Charakters). Some non-academic institutions cooperate with state-run universities to ensure legality of their degrees.
The MBA in France and French speaking countries
In France and in the Francophone countries such as Switzerland, Belgium, and Quebec (Canada), the Hautes Études Commerciales (HEC) schools’ MBA degree programs at the public accredited universities are similar to those offered in the Anglo-Saxon countries. English is the main learning language but French language may also be necessary for admission at some schools.
Ukraine
Recently MBA programs appeared in Ukraine where there are now about ten schools of business offering a variety of MBA programs. Two of these are subsidiaries European schools of business, while the remaining institutions are independent.
The MBA degree in Africa and Asia
Today, MBA and Doctor of Business Administration (DBA) designations can be found anywhere and even accessed through on-line, distance learning or e-learning. Because of the varying standards of MBAs worldwide, many business schools are accredited by independent bodies.
South Africa
In 2004, South Africa’s Council on Higher Education (CHE) completed an extensive re-accreditation of MBA degrees offered in the country. The process was the first of its kind in the world to be undertaken by a statutory body and attracted widespread international media attention for its innovation and thoroughness.
Ghana
Business schools of the traditional universities such as the University of Cape Coast and the University of Ghana run a variety of MBA programs. In addition, foreign accredited institutions offer MBA degrees by distance learning in Ghana.
India
There are 1600 Business School in India offering two year MBA program; predominantly targeting fresh students without any experience. The Indian Institutes of Management (IIM) are the oldest institutions for management education in India. Gaining admission to any of the IIM schools requires passing the Common Admission Test. The acceptance rate is less than 1%, making the IIMs among the world’s most selective schools. The institute offers a postgraduate diploma in management which is recognized in India as similar to an MBA degree. Non-government accredited, one-year fast-track MBA programs have grown in India, especially for candidates with work experience. Such programs are commonly known as Post Graduate Program (PGP) in Business Management.
Pakistan
The Lahore University of Management Sciences (LUMS) MBA program has instituted exchange programs with other schools in Europe and Asia. The Asian Development Bank recognizes LUMS as a center of excellence and awards full scholarships to MBA applicants from ADB member countries, covering the tuition fees, medical insurance, housing allowance, and other expenses. In addition to LUMS, other universities in Pakistan offer MBA degrees in affiliation with several American universities.
Rest of Asia
International MBA programs are acquiring brand value in Asia. For example, while a foreign MBA is still preferred in South Korea, many students are now studying at one of many “Global MBA” English language programs being offered. English-only MBA programs are also offered in Japan, Taiwan, Singapore, and Thailand.
For North American students who want a different experience, many Asian programs offer scholarships and discounted tuition, to encourage an international environment in the classroom.
