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PGDM or MBA Which is the more valuable?


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Choosing which program to pursue in further higher education is one of the most difficult periods a student goes through after graduation. However, if you want to join the ranks of future managers, an MBA is the ideal way to get started. There are also PGDM programs! What is the difference between PGDM and MBA, and is there one at all? Yes, of course, both are postgraduate-level management courses. MBA stands for Masters in Business Administration, while PGDM stands for Post Graduate Diploma in Management. Both courses specialize in distinct areas.

Things fade away with time, and the MBA may be one of them unless new life is breathed into it. For individuals interested in management studies, a two-year certificate program called PGDM, or Post Graduate Diploma in Management, seems preferable. In general, the PGDM program is significantly more industry-relevant and practical in terms of job placement.

What exactly is PGDM?

AICTE (All India Council of Technical Studies) has authorized a two-year Post Graduate Diploma in Management program. Approximately 500 universities are accredited to offer PGDM in India by AICTE. These accredited institutions create their own curriculum, update it as needed, administer their own exams, and assess their own students. In general, curricula are created with industry demand in mind so that students can be placed appropriately.

What exactly is AICTE?

Under the Ministry of Human Resource Development, the AICTE (All India Council for Technical Education) is a Central Government entity and council that regulates and approves technical and management education. The AICTE was founded in 1945 as an advisory organization and later granted statutory standing by an Act of Parliament in 1987. The AICTE is responsible for the proper planning and development of India's technical and management education systems.

What exactly is an MBA?

MBA, or Master of Business Administration, is a post-graduate degree program approved by the University Grants Commission that can be provided by universities. The program is two years long. The majority of universities have affiliate colleges that teach the MBA program. This program is offered by roughly 5500 universities and colleges across India. Most institutions, on average, update their curriculum every 5 to 10 years. When institutes discuss placements, this renders the course meaningless and unnecessary. In comparison to their PGDM colleagues, students typically earn lower incomes.

What exactly is UGC?

The University Grants Commission of India, or UGC, is a central government agency that was established in 1956 by an act of parliament under the Ministry of Human Resource Development. The UGC is in charge of coordinating, determining, and maintaining higher education standards. It acknowledges Indian institutions and colleges and provides funding to them.

The difference between PGDM vs MBA:

The legal distinction between MBA and PGDM is that both organizations (AICTE and UGC) were established by an Act of Parliament to promote higher education. As a result, the programs approved by these authorities have the same legal standing. That is to say, both the PGDM and MBA are postgraduate programs with the same legal equivalency for government jobs and enrolling for a Ph.D. Some universities may require an equivalence certificate from AIU (Association of Indian Universities) for enrolling PGDM students in Ph.D. programs.

PGDM and MBA are two different programs.

For anyone interested in pursuing a career in senior management, understanding the difference between PGDM and MBA is essential.

Before you rush to take entrance exams and fill out application papers for your ideal school, be sure you have the essentials covered.

So, let's take a closer look at PGDM vs MBA.

  • MBA programs are more theoretical, whereas PGDM programs are more practical. This also gives PGDM students an advantage during job interviews.
  • 30% of MBA students get hired for the same position that 70% of PGDM students are hired for.
  • MBA is offered by 5500 universities and colleges, whereas PGDM is offered by approximately 500 business schools. Less supply of PGDM creates more demand for them.
  • Institutions are in charge of selecting students, devising course content, teaching them, evaluating them, and finally placing them in PGDM programs. While an MBA, institutions develop the program and its affiliated colleges teach it. Here's where the gap is! Students begin an MBA course, with the goal of completing the degree. Furthermore, institutions do not update their curriculum for decades. MBA students find it challenging to respond to queries during job interviews since interviewers frequently ask about current events. The PGDM, as a single-window curriculum, improves the student's abilities and keeps them up to date on market trends. 
  • PGDM is typically offered by stand-alone institutions, which means they only offer one program, so they are focused, whereas MBA is offered by universities and colleges that offer dozens of other courses, so the focus is spread out.
  • A student can pursue a Ph.D. or any other course with PGDM or MBA if they so desire.

Degree Diploma

The most significant distinction between these two programs is that the PGDM is a diploma program, whereas the MBA is a degree program. Many individuals believe that the market worth of a diploma program (PGDM) does not correspond to the level of a degree. Anyway, that's just a thought.

The primary distinction is that an MBA is a degree program offered by universities and colleges affiliated with those universities. The PGDM diploma program is offered by independent institutes that have been recognized by the AICTE and approved by the Ministry of HRD and the Government of India.

Check for Accreditation

Because PGDM is a course offered by autonomous bodies, you should take extra precautions to ensure that a particular college has the necessary accreditations. You should only apply for admission there after receiving confirmation. Some minor institutions, or institutes, may not have the required accreditation status. MBA degree programs, on the other hand, are run by universities and have a lower risk of fraud.

Curriculum and Syllabus

The syllabus is another factor that distinguishes MBA and PGDM programs. In the majority of MBA programs, the curriculum is developed by the university and is therefore fairly rigid. As a result, two MBA colleges recognized by the same university should have the same core curriculum.

On the other hand, PGDM courses are custom-designed by each institute, allowing for greater curriculum flexibility. Every year, changes in the industry cause numerous adjustments in the syllabus. As a result, universities that offer a PGDM curriculum are believed to be more suitable and connected with corporate trends.

The Course's main focus

The two courses' core subjects, i.e. MBA and PGDM degrees are popular. Experts believe, however, that MBA programs place a greater emphasis on technical and theoretical parts of management rather than the application of practical knowledge.

PGDM courses, on the other hand, are more focused on the industry and practical expertise. This course is designed to help you build the abilities you'll need in today's industry. As a result, the PGDM degree is more beneficial for students to build practical marketing skills while taking into account industry views.


This is undoubtedly one of the most significant PGDM and MBA differences. As a general rule, the tuition fees for MBA programs are lower than those for PGDM programs.

One of the reasons for this is that the majority of MBA-granting universities are government-approved. As a result, they receive generous financial aid from the government, making obtaining a degree more affordable for students. However, in the case of a PGDM, the candidate is responsible for all program fees because the government does not provide financial assistance to the college. However, this is not a rule, as many MBA programs charge exorbitant tuition prices.

Innovative Instructional Techniques

Under PGDM, training and teaching are multi-dimensional, including activities such as cases, presentations, short-term training, and simulations. The possibility for innovation in MBA is also excellent because the curriculum is set by the university and does not revolve solely upon bookish knowledge. Institutes place a greater emphasis on our students' entire personalities than on their theoretical knowledge.

The institution is primarily known for instilling real-life skills in students so that they can succeed.

Do jobs pay well in PGDM?

PGDM salaries are affected by a variety of criteria such as job title, location, experience, and company type. You can get high-paying jobs in the corporate domain if you have a post-graduate diploma degree in your hand. which is better MBA or PGDM? you may ask, the answer is definitely PGDM.

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