Fresher vs Work-Ex MBA: Does Experience Really Raise Your Package?

Work experience does not really raise salary package during campus placements of B-Schools. It does however aid in getting mid and senior level roles. Check in this blog a detailed explanation of whether work experience improves chances of better salary packages or not.

Fresher vs Work-Ex MBA: Does Experience Really Raise Your Package? A Detailed Analysis

MBA aspirants may have noticed extra points for work experience in selection criteria of top B-Schools in India. Why is it so? Is it because B-Schools prefer students who already have an experience of corporate, business and industries. Or is it because such candidates bring in expertise and experience to the class? This follows another question – Does work experience really help raise salary package in campus placements or independent hiring?

Having addressed several such queries of MBA aspirants, we at Shiksha feel this is one of the biggest concerns among individuals planning a career in management. The dilemma to choose between MBA immediately after graduation or a job. Here we attempt to clear the dilemma.

Fresher vs Work-Ex MBA: Placements and Package

Many aspirants take a year or two off before preparing for the CAT exam to pursue MBA. Many top B-schools also have a deferment policy wherein candidates selected for admission can confirm the seat but join in the next batch. Shiksha has previously spoken to CAT toppers who despite getting a seat in the top IIMs chose to join it a year later as their then current job offered valuable skill enhancement opportunities, which they didn’t want to forego.

However, B-School placement data reveal that although students with work experience get mid or senior level roles, there is no significant benefit of work experience in terms of salary package.

• At top B-Schools like the IIMs, freshers and candidates with work experience are evaluated on the same scale for hiring and the latter does not really have a great advantage, unlike it is widely believed.
• Candidates with work experience are offered mid and senior level roles such as marketing manager, financial manager, product lead, etc. Freshers are often offered junior level roles such as business consultant, sales executive, etc.
• In domains like Consulting, IT, Finance and FMCG, freshers are widely preferred whereas in product management, logistics and supply chain domains MBA graduates with work experience are preferred as these domains require practical experience in problem solving.

How Many Years of Work Experience is Most Desirable for MBA?

Most of the top MBA colleges in India such as the IIMs, SPJIMR, MDI, FMS, IIFT, XLRI, JBIMS, SIMSREE, etc. assign maximum points to 18 to 30 months of work experience. Less than 12 months of work experience invite no points. Thus, it is critical to be aware of the weightage for work experience if you plan to build a profile before pursuing an MBA. For example, check below the rating score of IIM Ahmedabad MBA programme.

More importantly, it is the job type that plays a significant role. MBA colleges select candidates with only managerial level work experience in full time mode. Part time, freelancing and executive level roles are not considered. For entrepreneurs, the conditions may differ.

Also Read:

• IIM Admission Criteria 2027
• MBA from IITs: Cut offs and criteria

Fresher vs Work-Ex MBA: Financial Trade Off

Joining an MBA programme after working for 2-3 years means sacrificing a regular income in addition to paying the course fee that run in lakhs. The average fee range of an MBA course ranges from INR 12 lakh to 30 lakh in India.

At the time of placements too, candidates with work experience risks a disadvantage. A fresher who is usually of around 23 years when they complete the MBA course will get the same salary package in the campus placement as the candidate with work experience who will be of around 27-28 years at the same time.

Also Read: MBA admission 2027- Application deadline of top colleges

Conclusion:

When planning to pursue an MBA degree check all options and then take a decisions. Working prior to pursuing the course may give you an advantage in the classroom but not so much during placements. However, pre-programme network that you may have built may help in climbing up corporate ladder faster after the MBA degree. The choice between pursuing MBA just after graduation and after a job stint should be based on choice of sector, career aspiration and finances. Our recommendation will be to pursue MBA after graduation and build a fantastic profile in B-schools with high performance, summer internships, industry exposure and alumni networking.

Read More:

• MBA Salary Trends of IIMs in Last 5 Years
• MBA After Engineering vs MBA After BCom- Which one to choose
• Rs 15-25 Lakh Fee, How Many Years to Break Even? Calculator ROI for Top 10 B-Schools