Studying for an MBA is a major commitment, and choosing a course from the many on offer can be challenging.
As the year draws to a close, thousands of members of the business community will start thinking about whether it is time to finally sign up for a master of business administration qualification.
But the first test comes well before enrolment, and that’s deciding which MBA program best suits their needs.
The MBA is the flagship program of business schools globally and arguably the world’s most recognised qualification.
It is designed specifically to enable students to develop skills in leadership, management and business, and is considered a highly useful qualification for those working across the corporate, not-for-profit, government and charitable sectors.
When it comes to selecting which of the hundreds of available MBA courses to study, many will talk up the importance of a qualification or a particular business school’s accreditation.
While accreditation is an important differentiator that prospective students can use to judge an MBA, it is important to understand exactly what independent bodies focus on when assessing the quality of a course.
Globally, there are three major players in the MBA accreditation space: the European Quality Improvement System (EQUIS), managed by the Brussels-based European Foundation for Management Development; the US-based Associate of Advanced Collegiate Schools of Business (AACSB); and the Londonbased Association of MBAs (AMBA).
EQUIS’s accreditation evaluates a provider as a whole rather than individual undergraduate and postgraduate programs. It demands that programs at all levels in a school meet rigorous academic standards while offering practical relevance and strong links to the business sector.
Only 12 universities in Australia have EQUIS accreditation. The list includes Curtin University and the University of Western Australia.
AACSB was established as a global member organisation for business schools.
Its accreditation requires a rigorous external review of a school’s mission, the qualifications of academics, the curriculum on offer at both undergraduate and postgraduate levels, and other aspects of an institution’s ability to provide the highest-quality programs.
In all, 22 Australian universities have sought and received AASCB accreditation, including Curtin, UWA and Edith Cowan University.
The third major accreditation provider differs from EQUIS and AACBS because its focus is on the MBA qualification rather than the business school as a whole.
AMBA accredits MBA programs by evaluating more than 100 mainly qualitative standards across seven areas: institution history; facilities; faculty and research; program management; student admissions; curriculum; and learning outcomes.
In Australia, 10 MBA providers have AMBA accreditation, though none of them are in WA.
The fact many Australian MBAs lack validation from one, two, or all three main accrediting authorities might concern some prospective MBA students. It also raises the question whether a prospective student should limit their selection to only those MBAs that possess external accreditation.
It is important to understand the myriad reasons why universities bypass an external validation of their MBA.
Accreditation is expensive and requires ongoing investment. Many institutions prefer to inject this cash in ongoing self-improvement of their MBA.
Other universities choose to remain unaccredited to retain more control over their MBA program structure and content. Accreditation requirements can limit a university’s capacity to adapt quickly in response to changing business trends or innovative teaching methods.
Some MBAs are new to market and not yet eligible for external validation.
There are also some institutions focused on providing a specialised type of MBA that does not align with the criteria set by the accrediting bodies. A university, for example, might want to focus on a niche area that is not widely recognised by traditional accrediting body standards.
And a handful of providers avoid accreditation because those in charge of the institution fear their MBAs will not meet the standards imposed by an independent authority.
Students considering an MBA program should assess how the lack of accreditation might affect their educational experience and future career opportunities.
While accreditation acts as a mark of quality assurance, it is only one of many factors to consider when choosing which MBA to apply for.
Faculty expertise, class size and profile, delivery modes, international opportunities and cost remain other important considerations.
Ultimately, the true measure of any MBA’s value is in how it aligns with an individual’s career path and personal growth ambitions.
• Professor Gary Martin is chief executive officer of the Australian Institute of Management WA
