MBA Specialization - Business Analytics

We are launching a series of articles covering the red-hot MBA specializations at present. In our first article, we cover Business Analytics. Read on to understand how the industry looks, and what is driving the craze around it.

 

What is Business Analytics?

 

These days, anything related to data is being referred to as “Business Analytics”, which obviously causes a lot of confusion in the aspirants’ and even professionals’ minds. In practice, the Business Analytics spectrum can be explained based on the complexity of data and its worth to the business or the company.

 

At one extreme (low complexity data and low worth to business) is Business Reporting, which explains what had happened to the business. This includes, Management Information System (MIS). Some companies have an advanced version of MIS, which also explains the managers “why” that had happened. Based on this report they can make their daily / weekly plans.

 

At the other extreme is Big Data Analysis (very large and complex data sets, and potentially very high worth to the businesses). In between fall Business Dashboards, Business Intelligence, and Predictive Analysis. All of them are one or the other form of the same Business Analytics spectrum!

 

Business Dashboard is a summary of the key business metrics (based on real-time business performance) of an organization. Managers can quickly look at the ‘exact information’ that may help their activities. Business Intelligence and Predictive Analysis utilizes historical data and trends attempts to predict the future behaviour or outcome.

 

When the Predictive Analysis is performed on a very large and complex data set (imagine, you have access to a business’s historical sales, customers’ details, their social media presence etc.), which may seem disconnected, and analyze it to make sense in ways the consumer behaviour can impact the business. That is called Big Data Analysis.

 

How big is the Business Analytics market in India?

 

The table below indicates how the Business Analytics market is evolving in recent times.

 

Year

2015

2016

2017

2018 (E)

2025 (E)

Market Size (US$)

$ 1.15 bn.

$ 1.64 bn.

$ 2 bn.

$ 2.3 bn.

$ 16 bn.

Estimated by

Avendus Capital

Analytics India Magazine

NASSCOM

NASSCOM

NASSCOM

 

NASSCOM estimates that the Analytics market in India alone will be about US$ 16 billion worth, about 8 times its current size in just under a decade. That is over 25% CAGR! There can not be a more exciting market in India at present!

 

How will this impact the job market?

 

To power such growth, the industry needs an extremely healthy supply of Analytics professionals. According to NASSCOM, by 2018, the industry will require over 5 lakh Data Scientists!

 

What is the typical expected candidate profile?

 

According to a research by Analytics India Magazine, the candidates with up to 2 years of experience form about 35% of the preference pool. Although Engineering graduates are highly sought after (42%), the Post-graduates candidates make 26% of the preference pool , of which 10% have MBA or equivalent degree.

 

How good are the job prospects?

 

While the salary offered differs from one company to the other (there are at least 500 companies in this space in India at present), the average salary offered to candidates with up to 2 years of experience ranges from Rs. 4-6 Lakh, and Rs. 6-8 Lakh if the candidates have 2-4 years experience.

Typical roles or designations offered are – Data Analyst, Data Scientist, and Analytics Manager.

 

Institutes offering full-time, post-graduate and reputed courses on Business Analytics

 

Institute: Indian Statistical Institute (ISI), Kolkata; Indian Institute of Technology, Kharagpur and Indian Institute of Management, Calcutta

Course Name: Post Graduate Diploma in Business Analytics (PGDBA)

Salient Features: Offered by three behemoths, ISI Kolkata, IIM Calcutta, and IIT Kharagpur, this course is bound to be the defining moment in the Business Analytics education in India

No. of Seats: 60

Duration: 2 Years

Course Fee: Rs.  17 Lakh

Average Graduating Salary: Rs. 17.14 Lakh / Year

 

Institute: Praxis Business School, Kolkata and Bangalore

Course Name: Post Graduate Diploma in Business Analytics (PGDBA)

Salient Features: Launched in 2011, the course is run in association with ICICI and PwC as knowledge partners. A candidate can quickly return to work-force, offering a very attractive proposition to candidates with no or less experience

No. of Seats: 60

Duration: 1 Year

Course Fee: Rs.  3.60 Lakh

Average Graduating Salary: Rs. 6.90 Lakh / Year

  

Institute: Narsee Monjee Institute of Management Studies (NMIMS), Bangalore

Course Name: Post Graduate Diploma in Management (Analytics)

Salient Features: NA

No. of Seats: 180 (all specializations)

Duration: 2 Years

Course Fee: Rs.  14 Lakh

Average Graduating Salary: Not Available at present