The rise of the skill-based MBA

There was a time when an MBA was primarily about acquiring knowledge no matter whether it was finance, marketing, operations or HR. The degree was valued as a stamp of management education that guaranteed entry into corporate roles. But that era is firmly behind us. In 2025, employers are moving beyond degrees, searching for an answer to the much coveted question, and that is: what are they doing with their education?

This shift has redefined what an MBA graduate looks like. No longer is the diploma the sole achievement. Rather, students today are walking out with portfolios i.e., projects, internships, certifications, skill-based works, and much more entrepreneurial activities. In a way, this change reflects the larger shifts in the job market and the ambitions of a new generation.

From classrooms to workspaces

The days when learning ended in lecture halls are gone for the greater good. Companies expect students to arrive with workplace readiness from day one. That’s why internships have become an integral part of the MBA journey. Students often discover their true interests through the right internships. A person who had assumed they wished to pursue a career in banking realized their forte in analytics while interning with a fintech company, while another, who had hoped for a corporate marketing career, discovered her niche in social media strategy while working with a digital start-up. These internships become pilot tests, providing clarity and, more significantly, credibility to recruiters.

The rise of the skill-based MBA graduate

If internships sharpen application, skill acquisition broadens relevance. Employers want hybrid professionals, and by that we mean individuals who have an MBA in marketing, can read analytics dashboards, or an MBA in operations who understands supply chain tech. Students are responding by earning certifications in data analytics, AI, cloud computing, design thinking, and digital marketing alongside their coursework. It’s not really uncommon to see a graduating student present a portfolio of completed certifications from platforms like Google, AWS, or Coursera alongside their CGPA. These add weight to their resumes and confidence to their interviews. More importantly, they make students versatile: capable of adapting to multiple roles in dynamic environments.

Start-ups in the student playbook

This is perhaps the most exciting part of it. The new age MBA has a lot to do with the entrepreneurial spirit it nurtures. They’re not dependent on their first job to “begin their careers.” They’re experimenting with start-up ideas right during their MBA. Some of these ventures start small: campus-based e-commerce, digital content services, or local consulting solutions but the experience they provide is transformative.

Even when these start-ups don’t scale up, the learnings are invaluable. Students walk away understanding market research, customer behaviour, fundraising basics, and most importantly, resilience. And when graduates present such entrepreneurial experiments as part of their portfolio, employers get to experience initiative, problem-solving & risk-taking abilities: all qualities of future leaders.

Why does this shift matters?

This new model of the MBA responds directly to industry demands. Organizations need talent that can adapt quickly & contribute from the very first day. Traditional education alone cannot produce that. A mix of internships, skills, and entrepreneurial exposure makes graduates sharper, more confident, and far more employable.

At the same time, it changes the mindset of students. They don’t see the MBA as a degree to “earn and return” but as an ecosystem that allows them to experiment, fail, learn, and grow. The result is graduates who are creators: individuals ready to add value wherever they go.

An educator’s philosophy for the same

Veteran educators have always emphasized that education should not be measured only in grades or diplomas but in outcomes. When students graduate, the most important question is: what can you show for your two years? That’s why they encourage students to build portfolios: collections of experiences that matter. An internship that stretched them, a certification that gave them confidence, a start-up idea that tested their courage, as these together form the true picture of their MBA journey. Employers today are not confined to hiring for degrees. Instead, they are hiring for the stories, and every student should have one to tell.

The MBA is evolving, and rightly so. It is a product of pure practical wisdom, digital adaptability, and entrepreneurial spirit. In my view, this is a welcome change. Because in the end, management education was never meant to produce mere employees. It was meant to prepare leaders, innovators, and visionaries. And as MBAs continue to expand with portfolios in hand, institutes are finally closer to fulfilling that promise.

(The author is Director General, Institute of Management Studies (IMS) Noida)