CNN.com - Graduates seeing rosier prospects

Graduates in the United States pay around $80,000 for a two-year MBA or EMBA program.

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FT's Executive MBA Rankings
1. Wharton, U.S.
2. Hong Kong UST, China
3. London Business School, UK
4. Instituto de Empresa, Spain
5. Fuqua, Duke, U.S.
6. Chicago GSB, U.S.
7. Columbia, U.S.
8. Kellogg, U.S.
9. Stern, NY, U.S.
10. Cass, City University, UK
Source: Financial Times 2006

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EMBA SNAPSHOT

Executives taking the top EMBA courses in the U.S., Europe and Asia have average salaries of around $130,000 to $200,000.

A typical EMBA student is likely to be aged in the early 30s, with 6-10 years of working experience.

A top EMBA course can cost $100,000. Customized courses start at a few thousand dollars.

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(CNN) -- MBA graduates can look forward to rosier job prospects and higher starting salaries during 2006 as an improving global economy lifts the spirits of employers.

A survey of more than 1200 recruiters conducted by the U.S.-based Graduate Management Admissions Council (GMAC) found sentiment is more positive now than at any time since 2002.

The survey, released in late March, found recruiters plan to hire 18 percent more MBA graduates during 2006 than they did during the previous 12 months. Those with specialties in finance and marketing will find themselves in particularly high demand.

GMAC, a not-for-profit organization that represents a global group of business schools, conducts the research annually to provide graduates with an idea of the conditions they can expect once their studies have been completed.

The organization also operates the GMAT test, a standardized assessment system used by schools to select prospective students.

The survey results are good news for business schools which have been fighting perceptions that the MBA degree is falling out of favor with students. Some in the education sector believed the intensive course would eventually lose out to shorter, more targeted executive training programs.

According to the GMAC survey results, those graduating with MBA degrees in 2006 will have other reasons to be cheerful. Average base salaries are now topping $80,000 and total packages come in just a shade under $100,000, once bonuses and other perks are factored into the equation. This compares with average base salaries of $78,000 in 2005 and $77,066 in 2004.

The results coincide with a more positive feeling that is flowing through the world's top business schools, following a period of stagnation in MBA enrolment numbers earlier this decade.

Many schools had reported a noticeable drop off in MBA enquiries and enrolment numbers, and responded by renewing focus on shorter open courses in the hope of attracting larger numbers of participants.

Greater emphasis

Others had put a greater emphasis on their Executive MBA degree courses, designed for more experienced business people at a different phase of their careers.

Some schools have also been busy forging relationships with others in emerging markets such as China and establishing co-branded MBA degrees in the hopes of tapping into new potential markets.

MBA degrees attracted criticism from many in the business community who felt they had become out of step with modern business requirements. They believed the degree's structure and content did not effectively equip graduates to "hit the ground running" when they entered the business world.

The latest GMAC research found that, as well as good technical knowledge, employers are keen to find graduates well versed in softer skills such as communications and leadership.

Former director with global consulting firm McKinsey and Company, Don Watters, believes many employers look for more than academic marks and want evidence that recruits will be able to deal with the complexities of management.

Watters, who regularly speaks to groups of business students, says he has found that top MBA graduates do not necessarily become the most successful managers. While a sound grounding in areas such as strategy and operations is vital, the ability to engage with other staff is also important.

"It's not about seeming the smartest in the room, but finding the right answer," he says. "The solution is in seeking the answer together rather than imposing a personal or professional viewpoint."

Previous GMAC surveys of business school alumni have found many find it is the softer skills that become increasingly important as they advance up the career ladder. They advise schools to place even more emphasis on teaching such skills during their academic programs.

Graduates seeing rosier prospects

GMAC survey finds business in positive mood

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Greater emphasis