Tech companies are turning to business school to find new hires.
If free meals, rides to and from work, and nap pods sound like an attractive addition to your career after business school, then you might consider management opportunities in the tech industry. Working for such companies as Google, Apple, or Amazon can include some amazing perks. In fact, many of these tech giants have earned a reputation for being among the best companies to work for.
The good news for aspiring MBAs like you? Business school graduates are being hired in record numbers by leading tech companies. Here’s a snapshot of the current state of tech industry job prospects for MBAs.
Which business schools feed new hires to the tech industry?
A record 43% of UC Berkeley’s Haas School of Business graduates joined technology companies in 2014 (an increase of about 10% from prior years). The leading companies that hired MBAs from Haas included Adobe Systems and video game creator Zynga, in addition to the larger firms you would typically expect: Amazon, Apple, Facebook, Google, and Microsoft, among others.
Tech industry hires also saw a big jump at Northwestern University’s Kellogg School of Management. Amazon, Apple, and Microsoft were high on the list of employers, and the percentage of Kellogg MBA students scoring a job in this sector rose from 12.2% in 2013 to 18.4% in 2014. Similarly, hires by high tech firms at MIT Sloan hit an all-time high of 26.2% this year, up from 19.2% in 2013 and 16.8% in 2012. The tech industry also claimed 15% of Michigan Ross’ 2014 MBAs.
IBM is recognized as the single largest tech employer of MBAs, employing more than 100 graduates respectively from such top-ranked business schools as HBS, Wharton, Kellogg, Duke Fuqua, NYU Stern, Kenan-Flagler, McCombs, Chicago Booth, MIT Sloan, CBS, Cornell Johnson, Ross, Anderson, Tepper, and Goizueta.
What types of tech industry jobs are in demand for MBAs?
Opportunities abound for MBAs. The aforementioned tech giant IBM, for example, has several leadership development tracks for business school graduates, including corporate finance, strategy consulting, analytics, marketing, and a global program for general managers.
Mark Gasche, managing director of Kellogg’s Career Management Center, observes that the tech industry is “finding people for a number of different kinds of roles in operations, strategy, marketing and finance as project managers, supply chain managers, and product managers…and we don’t see the rise in technology letting up.”
It appears as though the possible jobs for MBAs in the tech industry are varied, in high demand, and still increasing. Pretty awesome, right?
How does salary compare to other MBA careers?
There are a lot of facts and figures about the measurable ROI of getting your MBA. After graduating from business school, you can often expect to be pulling in a much higher annual salary, often with a sizable bonus package. So how does the tech industry stack up against MBA careers in, say, finance or consulting?
Interestingly, although tech firms are hiring a greater percentage of MBA graduates, the salaries for these jobs actually tend to be slightly lower than other, more traditional MBA jobs. For Haas MBAs, median salaries in tech were $115,000, about $5K less than the overall median, and sign-on bonuses and year-end compensation were also less than the overall average. For Kellogg MBAs, the median pay for tech jobs was actually slightly higher (about $5K) than in finance—but the median signing bonus for finance was $40,000, compared to just $25,000 for tech.
At Stanford GSB, on the other hand, lower median starting salaries may actually be part of the reason for last year’s decline in MBAs accepting jobs with tech companies post-graduation. Median starting salaries for tech retail jobs, for instance, was only $115,000, a full $10K below the overall class median.
If you’re considering a potential career in the tech industry, however, it is likely (at least in part) because you have a sincere interest in and passion for the field or identify with the unique company culture—and not solely because you are seeking the highest pay day. Many MBAs value the opportunity to work for companies at the cutting edge of technology.
What skills do tech companies look for in new MBA hires?
Depending on the specific job, the corporate culture, and the key initiatives of the organization going forward, tech companies will vary in the skills and requirements they are seeking.
However, tech companies will typically look for evidence of the following skills in a potential MBA hire:
- Undergraduate technical major and/or demonstrated knowledge and interest in the field
- Long-term commitment and success at prior jobs/organizations
- Passion, dedication, and determination
- Trust and responsibility
- Leadership
- Initiative
- Innovative thinking
- Adaptability
- Strong communication and language skills
How do I break into the tech industry?
Geography matters when it comes to which business schools offer the best in tech recruiting. It is no surprise that UC Berkeley and Stanford’s business schools, for example, which are both located near Silicon Valley and the tech-heavy San Francisco Bay Area, have a significant percentage of their MBAs claimed by the tech industry. Click here for a list of the number of MBAs from top business schools working for leading tech companies.
In addition to choosing a business school with access to these jobs, you should be able to demonstrate a passion for technology. You may not have majored in something tech-related as an undergrad, but you can still demonstrate this passion and knowledge through the activities you’re involved in and the clubs you belong to. An internship at a tech company is another important way to both demonstrate your interest and gain experience in the field.
What do you think? Could a career in the tech industry be your key to unlocking the good life? Share your thoughts below.
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