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Why 79% of MBAs are Not employable ?

Because of

Poor education
Less Opportunity

MBA in India: Only 21% of MBAs employable in 2011-12

The employability of management graduates in India has declined in the past five years, as only 21 per cent of MBAs surveyed are ‘employable’, a study has said.

According to MeriTrac employability study 2012, which covered 2,264 MBAs from 29 cities and 100 B-Schools, beyond the Top 25, only 21 per cent are employable.

The previous study of 2007 by MeriTrac had placed employability index at 25 per cent.

However, the number of MBA seats in India has grown almost four fold — from 94,704 in 2006-07 to 3,52,571 in 2011-12 — resulting in a five-year compounded annual growth rate of 30 per cent, but their employability rates have fallen, the study said.

The students were tested for verbal ability, quantitative ability and reasoning by using internationally standardised tests on behalf of recruiting companies.

The index of employability, at 21 per cent mark leaves scope for improvement considering that organisations hire from this talent pool for strategic roles and this is the managerial pool that companies bank on, the study pointed out.

“This report clearly brings out the employability gaps across various competencies and highlights the need for scientific examinations and tests to align the candidate skills to employability metrics,” MeritTrac Services India CEO and Director S Murlidhar said.

Overall average percentage score obtained by MBAs in verbal ability, quantitative ability and reasoning was 52.58 per cent, 41.17 per cent and 37.51 per cent respectively.

While performance on verbal ability seems to be satisfactory, reasoning is an area where there is scope for improvement. Considering that the elements of the reasoning test are crucial to making sound management decisions, this is a result which warrants closer attention, the study noted.

“Questions are asked about the talent coming out of MBA colleges, and whether they create a workforce responsive to the needs of the economy like understanding of business and on-the-feet thinking. So, decision-making skills are being valued more than ever,

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  1. MBA in India: Only 21% of MBAs employable in 2011-12: MeritTrac ...
    Only 21% of MBAs employable in 2011-12: News Bureau | 07 August , 2012 0620 hrs IST. A nationwide ...
  2. Business Line : News / Education : Only 21MBAs are employable ...
    7 Aug 2012 – Business Line A nationwide study of marks secured by 2,264 MBAs who sat for tests by recruiting companies found that only 21% of them could ...
  3. A meagre 21 of indian mbas are employable study : YourMoneySite ...
    9 Aug 2012 – 9 Aug, According to a recent survey, only 21% of MBAs in the country are best suited to be employed.

  4. 'Only 21% Indian MBAs are employable' - Indian Express
    7 Aug 2012 – 'Only 21% Indian MBAs are employable' - The employability of management graduates in India has declined in the past five years, as only 21 ...
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    Hello HR Skippers, Please find attached an very alarming DNA article on Only 21%MBA's are Employable.
  6. Only 21% Indian MBA grads employable | TruthDiveTruthDive
    8 Aug 2012 – New Delhi, Aug 8 (TruthDive): In the last five years MBA seats had increased four fold but employability of these graduates in India has ...
  7. Only 21MBAs employable: Study -
    8 Aug 2012 – A study concludes that only one out of five of the surveyed management graduates in India are employable. Survey excludes top 25 institutes.
  8. Only 21MBAs in India employable: Survey
    India may be churning out lots of business management graduates but theiremployability is under doubt after the revelation of the MBAUniverse.
  9. Only 21Employable! | SCIT Blog
    11 Aug 2012 – Only 21Employable! Dear All. In India, Master of Business Administration (MBA) is one of the most sought after professional courses.
  10. Only 21MBAs in India employable: Survey - The Times of India › Business
    7 Aug 2012 – According to a nationwide study of marks secured by 2264 MBAs who sat for tests ... companies, only 21% were found to be actually employable.


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