Job Outlook for MBAs
by George Lorenzo

As the economy fluctuates, so do many of the top job prospects in the field of business. Regardless, there is always a need for people with comprehensive business smarts to make significant contributions to any company’s growth.

A solid education and on-the-job experience will always be the two key ingredients for the most success in the job marketplace for business majors. There is always a need for professionals in accounting, finance, marketing, and human resources. Plus, top-notch professionals with management-level know-how in such fields as information technology and health care are typically in high demand despite economic conditions.

Like most professional fields, where you decide to work, from a geographic perspective, could make a significant difference in available opportunities and salary ranges. For example, so-called new-economy positions in the older rust belt, manufacturing cities such as Pittsburgh, Cleveland and Buffalo are not nearly as plentiful as they are in high tech metros such as Austin, Denver, or Raleigh-Durham.

Prospects for General MBAs

Business managers and directors have a comprehensive range of skills for running day-to-day business operations. They have a wide swath of responsibilities for maintaining a company’s long-term economic viability. Business managers and directors must have strong communication skills and a keen understanding of and background in marketing, finance and information technology. He/she may lead and direct marketing, sales and a variety of product development teams.

MBAs typically have more responsibilities than managers and directors, often holding positions ranging from vice presidents and presidents to CEOs, provided that they also have a significant amount of on-the-job experience. A number of additional factors can influence an MBA’s worth. These include a company’s budget size, the number of employees the job candidate will manage, the candidate’s age, the program type (specialization) he or she completed, and one’s life values.

A business manager with 4 years experience can expect an annual salary starting at around $65,000, depending on the size and location of the company. More than 29 percent of business management jobs are found in the Western region of the US, and 21.5 percent are in the Southern states. People with a bachelor’s degree hold 43.40 percent of business management positions, and 45.09 percent have earned a master’s degree or MBA. More than 23 percent of business management jobs are at companies with 25 to 100 full-time employees, and 18.38 percent are at companies with 100-500 full- timers.

According to one Global MBA Graduate survey, MBAs can garner a 35 percent salary increase when compared to their pre-MBA salaries. Additionally, MBAs typically earn 28 percent more than graduates from other programs. Median MBA salaries, depending on the job, range from $73,876 to $123,810. The median salary for MBAs with 10 to 19 years experience is $95,000.

MBAs With an Emphasis in Finance or Accounting

Career tracks in the fields of accounting and finance range from general accountants, internal auditors, budget and credit analysts and controllers, to tax consultants, financial planners, financial planners and investment banking professionals. Finance and accounting professionals manage money and assets, advising companies about expenses, cash flow and profit and loss.

Accountants are responsible for bookkeeping operations, accounts receivable and payable, payroll and other financial data. Finance professionals are responsible for analyzing revenues, expenses and investments, ensuring financial viability and growth prospects.

Employment prospects for accountants are always higher than average. Driving the growth in this job sector today are changing financial laws and new governance regulations with a focus on increased accountability. Median annual earnings for experienced accountants and auditors is around $54,000. The top 10 percent typically earn annual salaries in the low to mid $90,000 range. According to a salary conducted by the National Association of Colleges and Employers, bachelor’s degree candidates in accounting received starting offers averaging $46,718 a year.

Financial managers are expected to see average growth up through 2016. Regulatory reforms and the continued expansion of a global economy will increase the need for financial expertise and drive some job growth. The creation of new businesses, which is a constant of varied degrees, always creates opportunities for financial managers. However, a current trend in corporate downsizing is likely to restrict employment growth in this sector for several years. Median annual earnings for experienced financial managers is around $91,000. The top 10 percent typically earn annual salaries in the middle $100,000 range.

MBAs With an Emphasis in Marketing

Marketing is an exciting field to pursue that requires a great deal of creativity and innovative insight to be successful. Jobs in marketing are also very competitive.

Marketing professionals are responsible for understanding the needs, wants and desires of the primary and secondary audiences who will purchase their company’s products and services. In addition to having creative advertising, public relations and sales skills for getting their company’s message and brand across effectively to its audiences, marketing professionals need to have research and data-gathering and management skills for analyzing customer behaviors and marketplace conditions. Additionally, it is vital that marketing pros know how to utilize modern Internet-based communication and information technologies to target a company’s message out to the public quickly and effectively by electronic means.

A marketing manager with 7 years experience can expect an annual salary ranging starting at $61,000, depending on the size and location of the company. More than 30 percent of marketing management jobs are found in the Western region of the US, and 21.8 percent are in the Southern states. People with a bachelor’s degree hold 54 percent of marketing management positions, and about 39 percent have earned a master’s degree or MBA. More than 22 percent of business management jobs are at companies with 25 to 100 full-time employees, and more than 21 percent are at companies with 100-500 full- timers.

MBAs With an Emphasis in Human Resource Management

According to the most recent Bureau of Labor Statistics reports, employment of human resources, training, and labor relations specialists is expected to grow faster than average for all occupations. Plus, graduates who have earned certification, such as the SHRM-PHR Certification that WGU graduates are required to earn, have the best job opportunities.

Human resource managers are basically responsible for attracting and vetting the most qualified employees to their company or organization. They also ensure that, once hired, employees are well informed of their compensation and benefits and all company policies. Managers will also develop opportunities for employees to improve their job skills and increase their on-the-job performance. They need to have an extensive range of knowledge about human relations as well as superb communication skills. Additionally human resource managers often supervise employee training and development programs.

A human resources manager with a bachelor’s degree and 7 years experience can expect an annual salary ranging starting at $58,000, depending on the size and location of the company. About 29 percent of human resources management jobs are found in Southern states, and 25.18 percent are in the Western region of the US. People with a bachelor’s degree hold 48.2 percent of human resources management positions, and 30.25 percent have earned a master’s degree or MBA. About 27 percent of human resources management jobs are at companies with 25 to 100 full-time employees, and about 37 percent are at companies with 100-500 full- timers.

MBAs With an Emphasis in Information Technology Management

Numerous job titles fall under the banner of information technology, making it difficult for hiring managers and graduates themselves to identify precisely the appropriate job for the appropriate candidate. To help alleviate the possibility of job-title confusion, CompTIA has a TechCareer Compass (http://tcc.comptia.org/job_roles.aspx) website for exploring IT job roles under three broad categories: administration, development and integration.

According to the Bureau of Labor Statistics, MBA graduates with a concentration in information technology “should enjoy favorable employment prospects.” In addition to the typical technical skills that come with any IT profession, people with broader business management skills that can help companies grow and prosper are always in high demand.

An Information Technology Manager is responsible for leading and directing the work of others and is familiar with a wide variety of concepts, practices and procedures. An Information Technology Manager with at least 5 years of experience can expect a base salary of $102,021. The next level up is an Information Technology Director who is responsible for establishing priorities for feasibility studies and information system design and implementation. An Information Technology Director with at least 8 years experience can expect a base salary of $150,703

MBAs With an Emphasis in Health Care Management

The healthcare industry typically pays the highest salaries to newly minted MBAs, with starting salaries in the $80,000 range. Plus, the demand for healthcare occupations is rising due to an aging baby boom population and an increase in longevity rates overall. [occupational outlook quarterly]

Health care management positions are available in hospitals and HMOs and typically require some kind of background in information technology. A background in accounting and marketing are also important as health care managers are responsible for cutting costs as well as for instituting plans that make their company’s more competitive in the marketplace.

According to publisher of career guidance information, WetFeet, “technical and administrative support positions are in high demand as the industry evolves in an intensely competitive market.” In addition to jobs in hospitals and HMOs, which is expected to slowdown, “there is a the need for qualified executive staff in home health care, nursing homes, and clinics is expected to more than make up the difference.” Salaries start at $50,000 and “experienced managers with an impressive track record in meeting and maintaining strict budgets can earn well into the six-figure range.”

Sources:

www.salary.com

www.payscale.com

The Bureau of Labor Statistics “Wages by Area and Occupation” http://www.bls.gov/bls/blswage.htm

GMAC, “MBA Salary,” http://www.gmac.com/NR/rdonlyres/4314D9F3-B844-4AC0-B84C-86798D74DDCE/0/RR0613_MBASalary.pdf

Dona DeZube, “The Best Paying Finance Jobs,” Monster Career Advice,

http://career-advice.monster.com/salary-trends/finance/The-Best-Paying-Finance-Jobs/home.aspx

Dona DeZube, “The Value of an MBA,” Monster Career Advice,

http://career-advice.monster.com/other/The-Value-of-an-MBA/home.aspx

Dona DeZube, “MBA Hiring Outlook: Sunny Today, But Clouds on the Horizon,” Monster Career Advice, http://career-advice.monster.com/job-industry-profiles/finance/2008-mba-hiring-outlook/home.asp

Monster Career Advice, “Why Employers Hire MBAs,”

http://career-advice.monster.com/job-search-essentials/Why-Employers-Hire-MBAs/home.aspx