MBA vs PGDM Which is better and Why?
By admin | Last Updated Jan, 2023
MBA vs PGDM Which is better and Why?
All candidates interested in pursuing a postgraduate study in management have struggled with the challenge of choosing between an MBA and a PGDM. Candidates frequently experience difficulty since they are not fully aware of the distinctions or similarities between an MBA and a PGDM.
In India, the word “diploma” carries a negative connotation. Therefore, it is crucial to understand what factors to consider before being admitted to any specific course, whether it be an MBA or PGDM.
MBA vs PGDM? What are their meanings?
The MBA, or Master of Business Administration, is a degree program that can only be provided by affiliated institutes with universities, whereas the PGDM, or Post Graduate Diploma in Management, is a diploma program offered by independent institutes. This is one of the biggest differences between the two degrees.
What are the major differences between MBA and PGDM?
The secret to determining which degree best matches your needs is to weigh the distinctions and similarities between an MBA and a PGDM. We’ve compared MBA and PGDM programs on six key criteria in the chart below, which should help you determine which is best for your needs.
| Key Differences | MBA | PGDM |
| Eligibility | The graduate degree, which must last a minimum of three years. Varying colleges have different thresholds for graduation rates attained. Instead, the generally accepted percentage criteria is 50%. Candidates who are in their final year of a bachelor’s degree program or have a comparable qualification are qualified for admission as long as they can submit a letter from the dean of their college attesting to their latest condition as indicated. | |
| Entrance Exams | MAT, CAT, GMAT, SNAP, IIFT, XAT, CMAT, NMAT, IRMSAT, etc | |
| Qualification | Degree program | Diploma program |
| Course structure and approach | The majority of the curriculum is conceptual in nature and is therefore standardised among institutions connected to universities. system mostly centred on semesters. | An industry-focused program gave more emphasis to developing soft skills. scheme mostly based on trimesters. |
| Accreditation | UGC | AICTE |
| Perception | When it comes to hiring, both an MBA and a PGDM are assumed equal. The institution that is providing it is mostly the determining factor. Additionally, despite the fact that PGDM programmes may be industry-focused and favored by corporations, students may have difficulties while seeking for employment or higher education opportunities abroad. |
However, caution must be exercised when applying for admission to PGDM programmes. Due to the awarding institutes’ autonomy, it is crucial to verify the course’s authorization because doing so can prevent serious incidents of deception.
MBA vs PGDM Syllabus
The university typically develops the curriculum for the MBA courses. Two MBA colleges affiliated with the same institution will have essentially the same core curriculum (and occasionally, even the same electives). On the other hand, each institute chooses its own PGDM curriculum. This allows the course program some versatility. Every year, the curriculum is modified in accordance with business needs. Universities frequently fall behind and update their course offerings every few years.
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MBA vs PGDM Cost
Most MBA programmes charge less in tuition than PGP or PGDM programs, according to studies. This may be the case because most MBA programmes are offered by government-approved universities. Government subsidies and financial aid are provided to certain colleges, making degrees more affordable for students. Students are responsible for covering the whole cost of a PGP or PGDM degree programme. This isn’t a hard-and-fast rule, though. There are MBA programs that have expensive tuition.
MBA vs PGDM: Possibility of Scamming
Since PGDM programmes are provided by independent organisations, applicants should take precautions. Many lesser-known universities and institutions make claims but lack the necessary accreditation. Since universities award MBA degrees, the likelihood of false claims is decreased. Aspiring managers should search for legitimate accreditations. AACSB, NAAC, AMBA, and Equis are other accrediting bodies for institutions in addition to UGC approval.
MBA vs PGDM: Entrance Exams
Every year, a large number of entrance exams are offered in India to get admission to management institutes for both MBA and PGDM programmes. Exams like the CAT, MAT, and GMAT are required for some institutes to grant applicants eligibility. Additionally, several tests, including as the IIFT, SNAP, NMAT, and others, are required for admission to specific institutions.
In the table below, we’ve included information on a few of the prominent entrance tests for entrance to MBA and PGDM programs:
| Entrance Exams | Conducting Body | Mode of exam | Sections | Frequency |
| CAT | Indian Institute of Management | Online | QA, Data Interpretation and Logical Reasoning, Verbal ability and reading comprehension | Annually |
| Indian Institute of Foreign Trade (IIFT) | NTA | Online | English Grammar and Vocabulary, Logical reasoning, GK and Current affairs, Data interpretation and Qnatitative Analysis | Annually |
| MAT | AIMA | Online and Offline | Language comprehension, critical reasoning, Data sufficiency, Mathematical skills, and Indian and Global Environment | Four times a year |
| GMAT | Graduate Management admission council | Online | Verbal, Quant, Analytical writing assessment, and integrated reasoning | Throughout the year |
| SNAP | Symbiosis International University | Online | English, Data Interpretation and Data Sufficiency, analytical and logical reasoning | Annually |
| NMAT | Graduate Management Admission Council | Online | Language Skills, Quantitative skills and logical reasoning | Annually |
| CMAT | AICTE | Online | Logical reasoning, verbal, General awareness section | Annually |
| XAT | XLRI Jamshedpur | Online | Decision making, Verbal and logical reasoning, Quantitative ability, Data interpretation, General Knowledge | Annually |
| Institute of Rural Management Anand Social Awareness Test | IRMA but also requires CAT/XAT scores | Online | Analytical reasoning, Quantitative ability, Issue of social concern and English | Annually |
MBA vs PGDM: Which is better?
We discussed the differences and similarities between both the MBA and PGDM programmes in this post. For these two courses, different pieces of data were displayed and compared. Additionally, we highlighted the prerequisites for MBA admission.
Although the MBA and PGDM programs differ in a number of ways, the primary determining factor is the institution that offers each program.
The majority of the time, recruiters evaluate a student’s degree or credential based on their skill set and the institution’s reputation.
While MBA degree institutes place a greater emphasis on management theory, PGDM courses are recognised to place more emphasis on developing the skill set.
Frequently Asked Questions
Which is more valuable MBA or PGDM?
The value of an MBA and PGDM is based on a number of variables, including the program and pedagogic quality as well as the standing and reputation of the institution.
What do IIMs offer – MBA or PGDM?
Prior to the IIM Act of 2017, IIMs gave their student PGDMs. IIMs are now permitted to provide degrees as a result of the passage of this Act. Not all IIMs, nevertheless, have yet switched over.
Is PGDM equivalent to MBA?
Since the PGDM is a diploma program and the MBA is a degree programme, it cannot be said that the two programs are totally interchangeable. However, the MBA and PGDM share a lot of similarities in terms of the key subjects and curricula.
Can I go abroad for higher education after PGDM?
Yes, after earning a PGDM, you can seek an MBA full-time abroad. But an MBA is required to pursue a PhD. However, the job prospects for both MBA and PGDM graduates in India and overseas are nearly comparable.
Which is better among MBA and PGDM?
There is no absolute truth that makes one MBA or PGDM better than the other. The value of a management education, whether it be an MBA or PGDM, depends on a lot of different things, including its syllabus, faculty, industry connections, and foreign exposure, to mention a few.
