Do Business Schools have a strategy?

Business schools are facing multiple challenges. Last few years there is a visible warning sign for business schools: the challenge of placements! The business of business schools is in danger. Its high time business schools need to get their house in order, to stay relevant, add value and make an impact.

To face the challenges, business schools need to have a strategy! But does business schools have a strategy? Are they practicing strategy, that they teach to others in the business schools?

When it comes to strategy in business schools, the researcher has overheard / heard repeatedly the followings:

1. Let’s get the national accreditation!
2. We need to get international accreditation!
3. We need to start a new program which is started by another institution!
4. To make our strategy, lets copy the strategy of others!
5. We need to do benchmarking!
6. We need to start a new campus as done by others!
7. We are offering this course because it is done at so and so institute!

….and so on.

A basic understanding of strategy will tell this is not strategy! At best, it is benchmarking. Benchmarking is not strategy as Prof Porter and others said repeatedly. By benchmarking, they are all becoming almost same and engaging in cutthroat competition, leading to further pressures on pricing. This is not good for business schools.

It is high time the business schools need to go back to basics and ask themselves some fundamental questions on their strategy such as who are their target customers? Do they really have a strategy? What is their strategy? What is their business model? How are they differentiating if that is their strategy or low cost? Is their strategy working? Is it delivering value and impact?

By going back to basics, rather than being part of mindless rat race, business schools can create a strategy that works for them, creates value for customers and make an impact on the stakeholders. And by doing so, they would be in a better position to face the various dangers to the business education.