MBA or PGDBM? How are two different? Which one is better? What are the similarities?

These are some of the questions that always pop-up in MBA aspirants mind. These questions become even more important because emphasis on education beyond MBA is increasing with every single student who is graduating from our B-schools. Before we delve further into this let us be clear about the macro level difference between the two programmes, MBA is a degree programme wherein a management student is given a diploma on successful completion of the programme whereas in PGDXX programme, you are actually awarded a diploma in management.

Industry, By and large treats both the programme at par. But from standpoint of a student one and probably the only difference, and for that matter a substantial one, is the fact that a post graduate degree is require in case a student wants to pursue a PhD. after completing two year management stint. PhD. of course is not possible after a diploma.

Why the Difference

Most of the educational institutes in our country are established under Societies Registration Act.XXI of 1860. Since these institutes are actually societies, they cannot award degrees because only universities are empowered to award degrees. All IIM’s, for that matter, are established under same act and Hence award a diploma. On the other hand, all existing IIT’s were established under Indian Institute of Technology Act and the act empowers all IIT’s to award degrees. That is the reason that all IIT’s award you Masters Degree.

Isn’t PGDM equivalent to MBA

Well No. Indian government passed an amendment (or may be a law, apologies for my not being clear on this front) to bring diploma’s awarded by IIM’s at par with Masters degree. But, this doesn’t apply to most of the institutes awarding diploma’s. An MBA degree from any university established under aegis of UGC ofcourse is treated the same way as any degree from any other regular university.

Should You care

You should if you wnat to do a PhD. You shouldn’t if you don’t plan to. But, it is always better to know.