You might have discussed the big figures of payrolls offered to IIM Students by private companies and have heard that even after doing B. Tech. from institutes like IITs or even after leaving their jobs just for adding one more degree, MBA from IIM. Many of you might have watched “3 Idiots” recently and wondered that why one student of the college chooses to suicide in the movie? Let’s discuss some of facts and comments on today’s high educations in India ….
Some boring family history … Father doing a simple job in PNB, Mom housewife, Three brothers; Second to me secured 50th rank in UP Boards, engineering (B. Tech electronics) from MNNIT (after missing IIT by a few ranks), Allahabad and then started career with to HAL, B’glore. Third and last one, secured 19th rank in UP Boards; engineering (B. Tech Mechanical) from BIT, Ranchi and secured placement with NTPC.
Coming to point, both the bro’s participated in a few MBA entrance exams and second brother secured IIM, B’glore and IIM, Lucknow, here comes to call. Do you know how much fees one needs to pay for getting an IIM degree now? More than 10 lacs? Yes! You know that you are reading it right, you already have heard debates about it, but I just realized the pain of figures by today only.
I have read many arguing in favour of fees hikes as faculty asking more. People say that at elast this is one place, which don’t beg money from Government and wants to keep the things real. ‘Common man’ will be graduated to ‘rich’ in three four years, what’s big deal?
Knowing something, discussing something, reasoning something, arguing about something is just another thing and being into it… just another…which you wont understand.
A father earning around 20k or you may assume a little more, spending a part of salary in house construction like most of the parents do once their other sons start working. Parents, who hardly might have took any load ever or even if would have taken then it was a house loan itself and the son asks for signing on a loan of 13 lacs for his studies. The amount already says that the EMIs to paid later on for years (6-7 years) would be of same amount as currently salary of his dad.
If mature, then the son already might have done some savings from his engineering job of last 4-5 years knowing his family conditions. Might be the case that he has few lacs (not more than 2-3) saved in his accounts, but still … what you expect from a father?
He sure would have heard of MBAs from IIM. He may be aware or might not be aware that what worth an IIM degree has. But still … he doesn’t know that is it that worth to leave a job that was already paying more than double of his income?
Why such high fees? If you think from the view of businessmen then its justified coz to give lectures in IIMs, we don’t get professors here, who didn’t been practical and smart enough to get placed with big companies. You need already successful businessmen and management professionals, who knows the language of money only, the language, which someone doing an MBA needs to know more than anything. Bringing anything lesser asks for degradation, so it goes justified in a way.
But question is, why Government banking it this much if they want such money by fees themselves? Why they don’t think an MBA bringing worth fo country than an engineer do? Why they want only business tycoons afford such degree not the talent?
Yes!!! Educational loans come in to ‘rescue’, but unfortunately the only rescue. What will you put against a guarantee, when you never earned even one third of such a amount that you expect to get in your first paycheck? The banks know it, so they take only IIM as guarantee, means your loan will be forwarded to your first employer and you will be set to pay 15-20k per month till next 5-7 years after completing the degree. A career will begin with a debt, a debt, which none of the family ever thought to took. Loan is a scary word in itself. No wonder not every talent making it to IIM.
Six-seven years is much for a big time, the amount you expect to earn ask for a high life style, can you hold? What if wanted to buy a flat in the big metro, you might be working then? Why wouldn’t you wish for a car suiting to your profile? Would you be able to? Would you be fresh with ideas under thoughts of a debt over you?
Lacs of students who take such loans every year, prove that there is not much of risk involved as it sounds, but who has to understand it, students or banks or government? Higher interest rates than even home loans already shout that its not about education, but about profit. Probably the first lesson an MBA aspirant gets before even starting, its a tough world about taking risk and earning money only. Morals don’t matter.
Congr8s IIMs. Congr8s Banks. Congra8s Government. You doing a nice job.