master’s leadership symposium 2019...$59,886 $58,432 $55,839 $91,626 $84,692 $73,175 apac north...
TRANSCRIPT
Master’sLeadership Symposium 2019
Sangeet Chowfla
President & CEO
GMAC
A world where every talented person can benefit from the best business education for them
Provide the tools and information necessary for schools and talent to discover and evaluate each other
OneGlobal, nonprofit association
900+pieces of content developed and delivered
7000+programs worldwide trust the GMAT exam to build diverse classes
500,000+names in our database of qualified candidates
250,000+business school candidates take the GMAC Assessments yearly
150,000+GMAT score reports sent to business master’s programs annually
7,000,000unique visitors to digital properties:mba.com, businessbecause.com, gmac.com
Our agenda
Our path
forward
Student mobility
GME forces
$59,886 $58,432 $55,839
$91,626$84,692
$73,175
APAC North America Europe
MiM MiF
GME continues to be a valuable investment
Median starting salaries of Economist and Financial times ranked programs,
2018 - 2019
Projected median base starting salary by program location 69% of
APAC companies
plan to hire MiMtalent in
2019; 67% in Europe
and 33% in the US
GMAC (2019) Corporate recruiters Survey. Available at
gmac.com/market-intelligence-and-research
Alumni rating of the overall value of their graduate management education
GMAC (2018) Alumni Perspectives Survey. Available at gmac.com/alumniperspectives.
35%24% 21%
44%
47%42%
17%24%
28%
4% 5% 9%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
ALL GME MiF MiM
Outstanding Excellent Good Fair/Poor
Masters saw growth year-on-year
gmac.com/apptrends2019
Weighted Absolute Year-on-Year Change in Total Applications,* by Program Category
*A weighting methodology was applied to the absolute year-on-year change sample to adjust for the regional distribution of selective GME programs globally using data from AACSB, EFMD, and AMBA.
-3.1%
-6.9%
5.4%
-10%
-5%
0%
5%
10%
Overall (n=665) MBA (n=371) Business Master's(n=276)
Year-
on-Y
ear
Change in A
pplic
ations
Program Category
• 48% of programs, 32% of applications, and 36% of available seats
• 67% of candidates consider a Masters program type
• Top 3 programs by volume:
• Master of Finance (24%)
• Master of Data Analytics (14%)
• Master in Management (14%)
Masters Snapshot
Global Demand for GME
34%
25%
30%
25%
0%
10%
20%
30%
40%
50%
60%
Full-time 2-year MBA Full-time 1-year MBA Master of Finance Master of Data Analytics Master in InternationalManagement
Master in Management
Canada
United States
Europe
Asia Pacific
Program interest varies by region
Program types considered
% of prospective students GMAC (2018) mba.com Prospective Students Survey. Demand for MBA and Business Master’s Programs.
50%52%
Meanwhile … GME delivery is truly global
0
10
20
30
40
50
North America Europe APAC
0
10
20
30
40
50
North America Europe APAC
0
10
20
30
40
50
North America Europe APAC
Financial Times Global Rankings
Global EMBA rankings:FT top 50 programs
Global MBA rankings:FT top 50 programs
Global MiM rankings:FT top 50 programs
Candidate preference declines for the US,
grows for Europe
How, if at all, has the new US president influenced your decision to pursue GME in the United States?
18% 20%
11% 10%
13% 14%
41% 41%
0%
50%
100%
Feb'17 Dec'18
Significantly morelikely (7)
(6)
(5)
No impact (4)
(3)
(2)
Significantly lesslikely (1)
Candidates with international application plans - Preferred study destinations
0%
20%
40%
60%
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
United States Western Europe Canada APAC
Non-US citizens, February 2017 – December 2018Monthly survey of mba.com registrants,candidates interested in master’s programs
0%
20%
40%
60%
2009 2010 2011 2012 2013 2014 205 2016 2017 2018
Perc
enta
ge o
f non-U
S C
itiz
en G
MAT S
core
Report
s
United States Western Europe Canada Asia
ALL GME BUSINESS MASTERS
GME applications continue cyclical shift
out of US
Access the 2019 summary report at gmac.com/applicationtrends
5.2%
1.0%
9.4%
-9.1%
6.8%
1.3%
11.7%
-3.6%
3.9%
0.9%
8.6%
-13.7%
International Domestic Total
CANADA
USA
EUROPE
CHINA
1.0%
-9.1%
1.3%
-3.6%
0.9%
-13.7%
International Domestic Total
USA
EUROPE
Change in application volumes, 2019 over 2018
All program types Business Masters
11% 19%
3% 6%
2% 4%
3% 6%
5% 7%
45% 32%
21% 28%
Ten-year trend in score sending
Global GMAT score sending in TY2010
17%
78%United States
United States
East & SE Asia
East & SE Asia
Central & South Asia
Central & South Asia
Western Europe
Western Europe
Mexico, Caribbean and Latin America
Mexico, Caribbean and Latin America
Africa
Africa
Eastern Europe Australia & Pacific Islands
Australia & Pacific Islands
Middle East
Middle East
CanadaCanada
Eastern Europe
64%
21%
-2019
EXAMINEE CITIZENSHIP SCHOOL LOCATION
25%
15%
48%
Shifts in business master’s GMAT score-
sending patterns over the last 10 years
Global GMAT Score Sending TY2009 and TY2018
45%
32%United States
17%
53%
Score sender citizenship
TY2010
TY2019
TY2019
Business Master’s Score Sending
For more, visit gmac.com/geographictrends.
School location
6% 10%
8% 13%
TY2019
Western Europe
Mexico, Caribbean, and Latin America Africa
Eastern Europe
Australia and Pacific Islands
Middle East
Canada
United States76% 54%
TY2010 TY2019
East and Southeast Asia3% 10%
Central and South Asia <1%
18% 31%Western Europe
Middle East
Canada
Mexico, Caribbean, and Latin AmericaAfricaEastern EuropeAustralia and Pacific Islands
East and Southeast Asia
Central and South Asia
TY2010
Early Warning Signals: Winners and Losers in the Global Race for Talent
gmac.com/talentmobility
• Immigration is critical for the productivity and growth of global economies.
• The rise of nationalism around the world has led to a backlash against mobility as nations turn inward and seek to keep immigrants out.
• Movement of talent across borders is critical to fueling economic growth and supporting businesses.
• The business school community must take the lead in explaining the link between immigration and innovation.
…but it’s more than just the US political climate that’s turned against mobility
• One-third of people who voted for Brexit in 2016 cited immigration as their primary reason
• In France, half of all respondents in a recent Ipsos poll say they view foreigners as a threat to French values, and 46 percent see them as a risk to the economy
• In Germany, 38 percent rate immigration as the most important issue facing the nation
• In Brazil, anti-immigrant violence is rising , and President Jair Bolsonaro withdrew the country from the UN Compact on Migration
• In India, 29 percent of people think there should be less immigration to the nation, and a further 16 percent believe there should be none at all
Wall Street Journal15/Dec/2019
Business schools face more competition for qualified applicants than ever before. More schools, program types, and country options means power has shifted from schools to candidates — selection is now a two-way process. Recruitment precedes admissions.
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
TY2010 TY2019
India
Candidate needs are no longer homogenous
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
TY2010 TY2019
China
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
TY2010 TY2019
Europe
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
TY2010 TY2019
United States
Other
Canada
Europe
East and Southeast Asia
Central and South Asia
United States
62.7%
60.6%
48.0%
25%
50%
75%
Perc
enta
ge o
f non-U
S C
itiz
en G
MAT S
core
Report
s
Percentage of GMAT Score Reports Sent by Non-US Citizens to US Schools
Score sending destinations by test taking region
GMAT Score sending data, TY2010-TY2019
As GME markets mature and segment, we can no longer use a uniform approach worldwide but must develop region & program specific strategies and points of focus that reflect market needs
Our MissionProvide the tools and information necessary for schools and talent to discover and evaluate each other.
Introducing GMAC CONNECT
Solutions to meet your marketing and recruitment challenges
Help schools more effectively reach and promote themselves to highly qualified right fit candidates
mba.com
MEDIAOPPORTUNITIES
MARKETINGOPPORTUNITIES
ENGAGEMENTOPPORTUNITIES
NATIVE ADVERTISING
CONTENTMARKETING
DIGITALDISPLAY
SOCIALMEDIA
QUALIFIED LEADS
EMAILMARKETING
CANDIDATEBOOTCAMPS
FAIRS MEETUPS SCHOOLPRESENTATIONS
LIVEBROADCASTS
COMMON CANDIDATE PROFILE
1,000 stories 72 M ad impressions 500,000 qualified leads 50,000 meet ups
Developing GMAC ASSESSMENTS
The best portfolio to evaluate talent
The most reliable, secure and valid assessments for business schools
COMMON CANDIDATE PROFILE
Discovering Enrollment Matches for 300,000+ Talented Candidates Each Year
Fair, Valid and Reliable Assessment of Candidate Readiness for Diverse GME Programs
SOCIAL & EMOTIONAL
INTELLIGENCE
ESSENTIAL SKILLS
The need to give GME a voice is becoming more pressing
Data shows a slight decline of global GME applications, with a significant geographical shift in application destinations and origins (e.g. USA▼ Europe▲China▲ India▲). GME demand is mostly static but facing decentralization.
Perception that GME value is in decline
GME programs and formats have increased significantly.
Application trends and market dynamics are being amplified by geo-political contexts and require a targeted approach.
1 2Negative GME media narrative
Media coverage centered on the value of business education varies by sentiment and requires pull and push strategies to help reshape the narrative.
3Fragmented GME public policy efforts
Multiple associations do some form of advocacy but it’s not cohesive or coordinated.
School lobbying is presumably fragmented since schools face significant pressure to achieve enrollment goals and typically work in isolation from other institutions.
Consequently, the GMAC Board and schools have expressed interest in having GMAC play a more active role in building GME preference across candidates, schools, media and public policy makers.
A “Whole of GMAC” approach
Invest in a multi-year initiative that leverages the connecting points and opportunities to more cohesively unify GMAC efforts driving GME GMAC INITIATIVES
Calling All Optimists:
Increase GME preference
Media War Room:
Reshape GME narrative
PublicPolicy:
Influence GME policies
CO-MARKETING PROGRAMS
PARTNERSHIPS
Elevate the value of, and preference for GME
“Change is the law of life. And those who look only to the past or present are sure to miss the future”
-John F. Kennedy