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# Does MBA Make a better CEO? HBR Blog post

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Does MBA Make a better CEO? HBR Blog post [#permalink]

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24 Jan 2010, 00:22
http://blogs.hbr.org/cs/2010/01/does_an ... etter.html

Are CEOs with MBAs actually stronger leaders? The answer might depend on the age of the CEO.

Inspired by the raging debate last year over the role of MBAs in the financial crisis, we tried to analyze whether having an MBA influences overall CEO performance. In a large-scale study of CEO performance since they took office, we found that other things equal, MBA CEOs had a slight performance edge over their non-MBA peers. In our analysis and ranking of the performance of 2,000 CEOs around the globe, CEOs who had an MBA on average ranked 40 places higher than CEOs who didn't have an MBA (a statistically significant effect).
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Re: Does MBA Make a better CEO? HBR Blog post [#permalink]

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24 Jan 2010, 17:56
Interesting - only a slight edge ....

CEO seems such a distant and almost impossible for many people....at least not a reachable dream for me...unless I start my own company.....
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Re: Does MBA Make a better CEO? HBR Blog post [#permalink]

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24 Jan 2010, 18:20
Good question.
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Re: Does MBA Make a better CEO? HBR Blog post [#permalink]

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25 Jan 2010, 23:20
I'd say not having one would make a weaker leader.
Today the degrees have been commoditized, and without MBA one may find himself in a disadvantageous position. The new age CEOs or the seasoned ones, need to supplement their on-the-job experience with formal education (now that sounds like essay material )

I have seen executives who don't have an MBA but are top of the line leaders and then on the other end of spectrum are highly decorated managers who don't seem to bring much value to the table (at least commensurate to their compensation). The former league is a rare find and is that of born leaders with a knack and talent for it. The majority of successful ones I've come across (in the middle of the spectrum) are having a strong foundation in the form of a MBA... and I guess companies have recognized this too. One consulting and two financial firms I was with in past built their own B-Schools, in collaboration with schools such as INSEAD, HBS etc., and with their own customized programs.

Recently I've been reading the Daily Drucker (Peter F. Drucker) and whatever doubts I had of falling into huge debts to get a MBA in current market is dispelled by this huge proponent of formal managerial education.
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Re: Does MBA Make a better CEO? HBR Blog post [#permalink]

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25 Jan 2010, 23:26
Good topic. I believe having more education is a definite plus, but not all MBA grads will make better CEO.
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Re: Does MBA Make a better CEO? HBR Blog post [#permalink]

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26 Jan 2010, 01:14
Re: Does MBA Make a better CEO? HBR Blog post   [#permalink] 26 Jan 2010, 01:14
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