2014 Global MBA Recruiting Market
Are you curious about where to find the top jobs and salaries across the globe after business school? QS Top MBA recently released its annual MBA employers survey, which, with 5,669 respondents worldwide contributing to this year’s report, makes it the most comprehensive global review of hiring and salary trends available.
Key Recruiting Trends in 2014:
Across North America, MBA demand has jumped 10% in 2014, in line with the forecast from last year’s report. It seems that as confidence in economic recovery arrives in North America, there is renewed demand for MBA graduates from globally oriented and local employers.
Western Europe reported 0% net growth in MBA demand in 2014. While growth in demand in Switzerland (15%), Germany (9%), Belgium (9%), France(6%) and the UK (5%) has buoyed the region, these results are offset by steep declines in Southern Europe, particularly Italy (-27%) and Spain (-1%).
However, there is some good news for Europe’s MBAs. The QS Top MBA survey reports growth across Europe is forecast to accelerate in 2015, with Italian and Spanish employers leading the way with a projected 15% and 7% growth in demand respectively.
Demand for MBAs in Asia is settling at a sustainable rate of 11% per year. Since 2011, India has been vying with the USA to be the largest MBA job market and there is no sign of this trend reversing with forecast growth of 8% in 2015.
Brazil, Argentina and Mexico continue to be the engines of MBA growth in Latin America. Demand has become much more plentiful in recent years and this trend is continuing, albeit at a more sustainable growth rate of 7% in 2014 after a year of 10% growth in 2013. Employers in the region are utilizing MBAs as a key talent pool as companies battle to internationalize across the region.
Top Ten Countries for MBA Demand:
- United Kingdom
- South Korea
Key MBA Salary Trends in 2014:
Overall MBA salaries have increased 4% on average in the mature North American and Western European markets for the first time in several years, the survey reveals. With evidence of MBA demand picking up steadily in North America as well as in several European markets, QS Top MBA continues to predict that MBA salaries are likely to increase again in 2015 in these regions.
- Average total compensation offered by MBA employers in North America increased by 15% to $128,600 ($112,200), with salaries of $97,700 and bonus of $30,900.
- Total compensation offered by MBA employers in Western Europe grew by 3% to $112,600 ($109,100).
- Total compensation offered by MBA employers in Asia-Pacific fell by 2% to $86,000. MBA salaries in the region remained roughly flat at $68,000 with bonuses being cut back.
- At $71,400, total MBA compensation in Latin America was slightly down in 2014, compared to 2013. Salaries offered by international employers in these regions were flat.
Growth By Sector:
Consulting— Consulting and professional services reports 9% demand growth in 2014 continuing this longstanding pattern, albeit at a slower rate than previous years. Consulting is a bellwether for the health of the MBA and the sector is forecasting 8% growth in 2015.
Technology and Telecoms— The big story in 2014 is the growing demand for MBA talent amongst global technology companies, which are now recruiting in almost every region of the world. High tech/electronics companies report 11% growth in demand in 2014. IT/computer services 8% growth, while telecoms report 7% growth.
General Industry—The consumer goods sector is reporting 12% growth in 2014, while manufacturing is reporting 10% growth, with large numbers of MBAs being hired, especially in emerging markets.
Energy Sector—This sector continues to report strong MBA recruiting with an 18% increase in MBA jobs in 2014.
Pharmaceuticals and Healthcare—This industry is dominated by global players,and after a bit of a lull, their appetite for MBAs seems to be resuming with 9% growth in demand in 2014.
This 54-page survey is chock-full of useful information, and QS Top MBA hopes current and future MBA students can use this data to decide which industries and geographies they want to pursue in their MBA job search, as well as to help negotiate an optimum compensation.
You can read the entire 2014-2015 QS Top MBA Job and Salary Trends survey here.