Vineet Gupta, founder of Ashoka University, emphasizes the urgent need for management education in India to adapt amid rising costs, declining job placements, and the impact of artificial intelligence.
In India’s dynamic higher education landscape, the management degree, once considered a gateway to career success and social prestige, is now facing significant challenges. Each year, tens of thousands of young Indians enroll in MBA programs, only to confront the harsh realities of escalating tuition costs, disappointing campus placements, and increasing student loan debt. Vineet Gupta, founder of Ashoka University and Plaksha University, asserts that “management education has to reinvent to remain relevant not only in India but all over the world.”
The rapid expansion of management education in India over the past decade was fueled by a surge in demand. Currently, there are approximately 3,900 management schools across the country, offering nearly 350,000 seats. However, the landscape is shifting dramatically. Reports indicate that around 65 business management colleges are expected to close in 2025, while many others are grappling with declining enrollment and uncertain futures.
The underlying issue is clear: the promise of an MBA is increasingly failing to align with actual outcomes. Many lesser-known institutions are burdened by outdated curricula, inexperienced faculty, and a significant disconnect from the realities of the business world. Consequently, “very few respectable companies participate in the course-end recruitment drives,” leaving students without job offers despite investing between ₹4 lakh and ₹30 lakh in their education.
A recent survey highlights a troubling trend: nearly 50% of MBA graduates in India struggle to find relevant employment within months of graduation, particularly those hailing from Tier 2 and Tier 3 institutes, according to an ASSOCHAM report from 2017. Many of these young graduates are now encumbered by substantial student loans and lack a clear path to repayment, raising concerns about the true return on investment (ROI) of their education.
Gupta’s observations reflect this shift in perspective: “At the postgraduate level, a lot of middle-class families take loans especially for professional degrees like engineering, management, and medicine, hence the expectation of ROI is high. If the focus of accreditation shifts to quality, many of our institutions will face problems in getting notified.” The result is a troubling scenario where aggressive expansion and lax regulation have left too many students paying for degrees that fail to deliver meaningful career opportunities.
As demand stagnates for graduates from lower-tier business schools, elite institutions like the Indian Institutes of Management (IIMs) continue to attract a robust pool of applicants. However, industry expectations have evolved. Companies now seek business graduates who are not only knowledgeable but also adaptable, multidisciplinary, and capable of solving real-world problems creatively.
Moreover, the rise of technology and artificial intelligence is fundamentally altering the job market. A McKinsey Global Report indicates that approximately one-third of activities across 60% of all jobs are automatable. In India, AI and automation have already led to reduced hiring in repetitive roles such as back-office operations, data entry, customer support, and even entry-level HR screening. For instance, Tata Consultancy Services (TCS) recently announced layoffs affecting over 12,000 employees, attributing the decision to AI-driven efficiencies in coding, testing, and IT support. Analysts warn that up to 500,000 jobs in the outsourcing sector may be at risk due to these technological advancements.
As these technologies proliferate, fresh graduates—particularly those trained for routine corporate functions—are finding fewer job opportunities available to them. “Conventional MBA programs train the wrong people in the wrong ways with the wrong consequences,” remarked a leading academic, a sentiment echoed by numerous business leaders who question whether current programs adequately prepare graduates for future challenges.
Gupta offers a vision for addressing these pressing issues, advocating for a comprehensive rethinking of how management education is structured, delivered, and evaluated. He emphasizes the need for a shift from input-based evaluation—focusing on the number of teachers and facilities—to output-based metrics that prioritize graduate employability, student learning gains, and career progression.
Furthermore, he suggests that programs should be co-created with industry partners to ensure real-world relevance. Gupta advocates for making experiential learning, capstone projects, and internships core components of each program, stating, “It brings in the whole element of learning by doing.”
In light of the inevitability of AI, universities must equip students to work alongside technology rather than compete with it. This includes integrating courses on data analytics, machine learning, digital transformation, and AI-driven decision-making into the MBA curriculum. For example, Delhi University’s partnership with Google Cloud now trains students in AI, cloud computing, and data analytics.
Gupta also underscores the importance of teaching quality and student well-being. Engaging pedagogy, top faculty, and campus environments that foster resilience and holistic development are essential for nurturing capable graduates.
Transparency in outcomes is another critical area Gupta highlights. He suggests that regulators should publish placement, salary, and ROI data for each institution, empowering students to make informed decisions about their education.
Finally, he encourages experimentation and the adoption of global best practices, citing the Ashoka and Plaksha models, which are grounded in philanthropy, interdisciplinarity, and global benchmarking as examples of how to build impactful institutions.
As the traditional ‘MBA factory’ model begins to fade, a more rigorous, student-centric, and future-ready system must emerge. This transformation requires not only the integration of real-world industry practices but also alignment with the technological changes reshaping the job market. Gupta asserts, “We need an expansion in both capacity and quality of our higher education. For management education to justify its cost and earn back student trust, it must prove through jobs, innovation, and leadership development that it remains relevant in a rapidly changing global economy. Until that happens, student debt without jobs will continue to shape and challenge the very purpose of the Indian MBA.”
Source: Original article
Hosted by Namaste Bay Area and Bolly 92.3FM, the full-day festival transformed the Bishop Ranch City Center into a vibrant sea of devotion, culture, music, food, and community spirit. Even with temperatures soaring past 100°F, the energy never wavered—chants of “Ganpati Bappa Morya!” resonated across the grounds as the grand procession with 100+ dhol-tasha drummers, devotional dances, and community-led aartis brought the streets alive.
Eco-Friendly Ganesha – 100% clay idols & eco-conscious décor promoted sustainable worship.
200+ Artists on Stage – Classical dance, devotional music, drama, and cultural showcases.
Hourly Aartis & Bhajans – Families united in devotion throughout the day.
Grand Procession & Visarjan – 100+ dhol-tasha drummers ignited the night with an unforgettable farewell.
Food & Bazaar – 100+ vendors with authentic Indian food, jewelry, clothing, arts, and community services.
wider community.