Today’s episode focuses on the 2008 Global Financial Crisis and how it relates to what is going on now and job prospects for MBA grads.
For some of you the GFC may have greatly impacted your career and life. For others, the GFC may have simply been a blip on your radar because you were in elementary school.
Regardless of your situation 12+ years ago, there were a number of lessons learned during that time that are relevant to what’s going on today.
More Bitterness Ahead
I remember reading an article in Time magazine in late 2008. The title of that article was “Why MBA means More Bitterness Ahead.” That title always stuck with me. I can see from some of the MBA clients I’m currently working with that this alternate abbreviation is applicable to some job seekers today.
Plenty of MBAs complete their course of study part-time while working full-time and therefore don’t do an internship.
Some of the bigger name programs expect and require MBA students to study full time for two years and complete an internship between their first and second year.
MBA students complete these internships in anticipation of receiving a full-time job offer upon successful completion.
During the summer of 2008, MBA students went out en-mass to do their internships. In mid-September, Lehman Brothers declared bankruptcy, thus triggering the GFC.
That left a lot of 2nd year MBA students who had just returned to campus in limbo, anxiously awaiting an email telling them whether or not they would be extended a full-time position.
The Need for MBAs to Pivot: Then and Now
How does this relate to today’s situation? In 2020, we all probably heard the word “pivot” more times than ever before.
Companies pivoted. Governments pivoted. The tourism industry pivoted. Employees were pivoting, sometimes into new sectors, sometimes they were pivoting to new entrepreneurial opportunities.
In short, it seemed like everyone was pivoting in 2020 and that this trend is continuing on into 2021.
Something similar happened in 2008. Even though the word pivot was not really used, many MBAs did exactly that.
Prior to the GFC, MBAs traditionally went directly into finance upon graduation. But, as its name indicates, the Global Financial Crisis meant there weren’t jobs available in financial firms.
This forced MBA grads to get creative. They started looking for opportunities in other sectors, such as health care and energy.
How can current MBA grads who are on the job hunt avoid the possibility of more bitterness ahead?
Continuing MBA Job Opportunities: Management Consultants and Financial Managers
Two positions commonly filled by MBA grads are still very much in need: Management Consultants and Financial Managers.
Management Consultancies thrive during economic downturns. Companies engage consultants when they have a problem or are in a tough situation and need someone unaffiliated with the organization to come in and evaluate options.
Consultants are outsiders with independent experiences and have a unique way of looking at things. Since many businesses are looking to pivot right now it management consultants are in high demand.
Financial Management positions are typically filled by MBA grads. There is high demand for MBAs to fill these roles currently because MBAs are familiar with solving cash flow problems and finding cost cutting opportunities.
Countless companies are looking to get back on track given the current environment. Financial experts are needed to assist organizations in finding ways to be as profitable as possible in order to secure long term viability.
Other Positions Well Suited to MBAs
There are three other positions that are highly sought after at the moment that MBA grads might want to consider.
One excellent opportunity is the position of Business Operations Manager. Many companies are moving to either part-time or in some cases, full-time work from home arrangements.
Some firms have announced this as a temporary solution to social distancing needs, such as Google and Uber. Other companies, like Twitter and Zillow, have said their employees can elect to work remotely or on-site indefinitely into the future.
As organizations are making these changes, they need people to oversee rewriting operating procedures while keeping workers effective and efficient, upholding service standards, and ensuring contractual agreements and deadlines are met.
Current MBA grads are well placed to obtain positions as Health Services Managers or Directors.
At present we have a pandemic and vaccination programs rolling out.
The population is aging.
There is a ever-growing need for medical services.
Most hospital directors and other highly placed healthcare positions are NOT medical professionals.
While the doctors, nurses, and surgeons handle patient care, informed businesspeople make sure financial records are kept, policies are followed, and hiring practises are upheld.
The need for medical and health services managers’ and directors’ positions is expected to grow as much as 30% in the next decade given current global health and population trends.
Finally, Marketing Managers are in higher demand than ever before. Many companies need to change what they’re doing to remain competitive.
With social distancing and more business occurring long distance rather than brick and mortar, many companies feel the need to reinvent themselves and rebrand.
There is demand for people who are comfortable exploring new target markets, experience creating new products or services, and developing strategic plans to increase sales and profitability.
Ultimately, there is no need to suffer from MBA syndrome. While some people may feel they are gearing up for more bitterness ahead, there are opportunities available.
Remember, when considering these (or any other!) option, be thoughtful regarding how you frame you MBA in your job applications.
None of the roles mentioned above typically REQUIRE an MBA. But MBA grads are well suited to fill these roles because of the skills they possess. It is up to you to highlight those skills and relate them to the job opening.
Mentioned in this episode:
4 Facts MBA Grads MUST Know to Take Control of Their Careers and Design Meaningful Futures
Next Episode: If skills are outdated after five years what does that mean for MBAs?
