That Welingkar Institute of Management, Mumbai was raided by the IT dept for collecting large sums of money as capitation fee is just one part of the story. There is a more important lesson, and that is that such monies can be collected only when there is substantial brand equity.
I do not know who collected how much money, and, truly , during a season when scams are being highlighted as though things were wonderful before, it is just one more. Even though I worked for Welingkar in Bangalore, trust my views are objective, considering I got no where near the Director and had heart wrenching terrible feedback from students for the first time in all my career!
The point we need to see is that Welingkar was able to charge a premium on its price because it had built a brand name. Building a higher education brand calls for addressing various student/parent relevant touch points successfully. Impressions are formed online, in classrooms, through physical infrastructure, contact personnel, placements, subjects taught, and a long list of tangible and intangible things( that should suffice for a free list!). In the last few years, Welingkar has managed this very well and hence it was able to collect the donations in a year that has seen, across the world, a significant drop in admissions to management programs. Whether the premium was really worth it, I think we should believe that the customer is not a fool and understands value.
Today management schools that teach a small bit of management theory, provide survival skills, and are finishing schools, all at once are what customers in India want and there are jobs for young management graduate who walk out of these schools.
Let the Income Tax guys do their jobs, while we appreciate the brand building efforts of Welingkar. It is not that Welingkar is perfect on all counts. Which institution is? I think however with solid history, some great faculty, great infrastructure and inevitable ( education brands take for ever otherwise!) fluff a really nice brand was built and this tax issue is not a road block, only a small bump on the road.
MBA HOAX. Cart before the horse story. Why companies are keen to hire (buy) semi-finished product?’
ReplyDeleteParesh, a student from an MBA institute approached me and asked if I would like to subscribe for DNA Newspaper (name changed). He explained me the scheme, etc. I asked him if he has finished his MBA. He said, no, no he is still in third semester, but since he has the JOB (before finishing) he has grabbed the opportunity. Proudly he said he is getting a package of Rs.3 point something lacs. Moreover, he needs money urgently.
I am wondering if that is the right thing for him. He is not attending any lecture because it is open secret that in third semester and fourth semester there are no teaching activity. Only placement and placement activity. Because that will give the competitive edge to the ‘training institute’. The other day I after some holidays, one reputed (more responsible) institute was frantically trying to contact parents by landline, SMS, email, etc., and were informing them that their ward (son /daughter) should report to classes. However, misguided youth was enjoying the freedom and forgot that whole life is there to enjoy. Now put in your best effort for two years and gain as much as you can from experienced faculty and by using library.
The question is how they have become master without attending lectures. In some institute, attendance is given importance, but in most, it is not. I will tell you where the management is focusing today: (1) AICTE compliance, (2) placement, and (3) they show that they are ISO 9000 certified. Yes, I mean show, not necessary follow. What TUV and other agencies are doing is ear-before-eyes. The youth is also misguided by telling them to appear for interview BEFORE they appear for the exam and finish their studies. Classic example of cart before the horse. In fact, one student came and said he cannot attend the classes before he has to go to Mumbai for interview. That means he is already master of all the subjects, need not study, because some HR manager is giving him a job (that may be for telephone operator job, actually call center). When I asked one senior person, he simply said, Zaveri, this is accepted trend in most management institute. On 26 January we all would see Attenborough Gandhi, but I am told today’s time such truth is not to be followed. I hope I am wrong. It is high time this nonsense is stopped. Unfortunately, we are all part of the deteriorated system.
Parents are also stakeholders . For parents, the brand name of corporate is important, like ICICI has called for interview, even if the job is to sell mutual fund and chase the targets, which does not require MBA kind of degree. Don’t you think some urgent reforms are necessary?
Management students should be offered the job AFTER successful completion of MBA course. After second semester, summer placement (internship) is a welcome idea, they need this work experience. The big question is ‘why companies come to campus during 3rd semester? Why not after fourth semester? Why companies are keen to hire (buy) semi-finished product?’ That implies that even HR is to be blamed and not only students. The entire recruitment process & system needs overhaul. Perhaps HR is rushing to rope in the best talent, but in the process, don’t’ you think the system is diluted.
I am not against or bias with any institute or college. Nor saying everyone is bad. There are good establishments but are eclipsed by the rotten. However, lots of improvement is urgently required. Your comments are welcome. Please email or click on comment with some more facts. I know it is not easy to change the rot overnight. From: jyotindra.zaveri@gmail.com
I agree with Prof Zaveri on most things he has said. My blog was had a restricted scope about building brands. Employers are also looking for 'reputed'brand of institutes
ReplyDeleteI too agree with Mr. Zaveri. Placement should be during the last semester. If it is trmester system then the placement should be after 5th trimester and in semester system this should be after third only.
ReplyDeleteI think college can play proper roles in this scenario. Complete the studies first then enjoy.