All Talk and No Action

Entrepreneurs and the impact they can have on any society has always interested me.

Many people I know of plan to get into some business of their own in future. Also there is no dearth of ideas today. Some are sound and practical. Others, a little over the top. However, it’s nice and encouraging to be living in an age which is brimming with optimism and action.

Most studies and learned men tell us that India needs entrepreneurial spirit and ventures if it has to succeed and carve a niche for itself. The various problems that plague our country cannot be left to be solved by the government. Active participation by the masses is required if we want more employment and wealth creation.

Now most of these young people including myself who plan to be a part of this change also plan to do our Masters in Business Administration.

Every year hordes of people pass out of management institutes armed with world class degrees. There is no stopping them once they are armed with such fancy degrees.

However, here comes the confusing or rather, the eye opening part.

Most people that feature in Forbes/HBS/ BusinessWeek lists’ of successful entrepreneurs do not have any formal management degrees. In fact many of them have had no formal education at all !

Also, those who have had sound education – their degrees have varied from law to physics to fine arts to history!

Famous Indian entrepreneurs like Sunil Mittal, Kiran Shaw, P.P. Chabbria, Laxmi Mittal and many more have had no formal background in “How to do business”.

I for one also believe that a management course makes good “Managers” rather than leaders/entrepreneurs. The course makes one analyse/follow processes/think in a structured way.

Yes, an MBA opens doors for you, helps build a fabulous network and provides the “first push” required. However, a degree alone cannot predict the course of your future !

Many studies have shown that most MBAs from world renowned institutes do not venture into businesses. A few who do, generally stick to tried and tested business models. They rarely come up with path breaking ideas. Can this be blamed on to their education?

Successful businesses not only require processes and systems but also creativity and resilience. They require risk taking ability and venturing into dangerous waters. One needs to make very good use of intuition to juggle out of problems. You might know all the facts and figures and have ready analysis – however, it is your gut feel and belief in your idea that shall sail you through.

Most important – one requires belief and self confidence. A will to succeed and perform. Alas, these cannot be taught even by the best universities in the world.

Now, this brings me back to square one – how much importance should be accorded to a management education?

And more importantly, which way is India headed?