Career Launcher's B-school suspends operation
Indus World School of Business at Greater Noida which was launched by Career Launcher, an MBA test prep institute, in 2008 has lost its affiliation to Pondicherry Central University. The institute has suspended its operations for the time being and if the B-school does not get re-affiliated, Career Launcher may have to shut down its management programme, reported Business Standard.
R Srinivasan, director, Indus World School of Business (IWSB) confirmed the news. According to him, affiliation of 35 colleges has been cancelled. The school has put on hold its admission process until it gets a re-affiliation. Nevertheless, the 2011 batch which comprises 60 students will graduate in 2013.
However, Career Launcher will continue to hold other programme that it had launched in association with some industrial, government and development bodies like TiE (The Indus Entrepreneurs), Sife (Students in Free Enterprise) and NEN (National Entrepreneurship Network). According to the news report, the institute is also working on some international partnerships and may look at a re-launch.
So far, 95 B-schools have been shut down in the past two years. According to industry experts, more institutions are likely to shut shop due to lack of students and the inability of colleges to prepare students to meet the requirements of corporate India. Crisil Research report shows that the average occupancy rate declined in 2011-12 to around 67 per cent for engineering colleges and to about 65 per cent for B-schools. (Read more)
Moreover, the quality of MBAs in the tier-II institutes is found to be poor. According to a recent MeriTrac survey report in collaboration with a MBA education blog, only one out of five MBAs in such schools is employable. (Read full story)
Earlier this year, the All India Council for Technical Education (AICTE) had shut down various management colleges due to their low admission rate and poor campus placement among other factors. AICTE Chairman, Shankar S Mantha told BS that approximately 110 institutes including 60 B-schools, have sought permission to shut shop.
The Mumbai Business School which was promoted by A Mahendran, managing director, Godrej Consumer Product Limited (GCPL), has also suspended operations after three years of its establishment. The institute was modeled on the Indian School of Business, Hyderabad, to provide a one-year full time programme in management. However, due to low admission rate of students, the school’s management team has decided to shut shop and start a new school for brand development. (Read more)
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