What is the Scope of MBA in HR? – Things You Must Know
Even though digitalization is said to take over 50 percent of the total sales of a company, according to a research conducted by Forrester and McKinsey (source), HR continues to remain an integral part of the company, be it local or international.
It is responsible for a variety of tasks, from recruiting new team members to maintaining the public image of the company. There has been an increased interest in HR, with some students taking up MBA-HR in business schools.
MBA in Human Resources is a specialization of the MBA course itself.
It is also a 2-year post-graduate course, which trains students in the techniques of human management and the strategies involved with it, like recruitment, selection process, the hiring of employees, onboarding, talent acquisition, training and retention of employees.
Thus, it is evident that there is a lot of scope of MBA in HR.
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What are some of the career prospects of the course?
Like MBA graduates, MBAs in the HR specialization are also sought after in various respects. Persons trained in the MBA-HR course are required for the recruitment and screening of potential candidates.
They also motivate the existing candidates by providing them with competitive compensations and many more such benefits. They frame the company’s HR policy and ensure that it is followed by all employees.
They also look after the welfare of all employees and pay heed to any complaints that they may be having.
There is a lot of demand for learned and experienced MBA in Human Resources graduates. The more the experience, the higher is the position and the salary package.
According to the U.S Bureau of Labour Statistics (BLS), the employment of general human resource managers will increase by 9 percent from 2014 to 2024 (source).
This definitely increases the scope of MBA in HR, providing more and more job opportunities to prospective candidates.
Upon completing the course and gaining experience as a trainee, here are some of the prominent job positions that one can apply for:
- HR Generalist: This is one of the entry-level positions for a Human Resources MBA graduate.
The job description of the position involves working like receiving job applications from candidates, evaluating their resumes, selecting documentation, organizing recruitment projects and so on. The salary package usually begins at more than INR 2.5 lakhs per annum.
- Staffing Director: This is one of the higher ranking jobs associated with the course. It is the staffing director who is responsible for taking important decisions about the existing staff of the company.
He plays an important role in forming the recruitment policies, promotional policies, and policies relating to transfer and training.
- Compensation Manager: The compensation manager looks into the financial matters of the company. He fixes the salaries of the previous and new employees of the company.
He is required to look at the minimum wages act and the labour laws and ensure that the salaries he determines for the employees adhere to these laws. He also determines the amount of bonus and benefits that are to be given to the employees.
- Technical Recruiter: This is another job description available to graduates of MBA in Human Resources.
During the recruitment process, he is responsible for testing the technical skills of the recruits and choose the ones who are well-versed in the technical aspects. This is very beneficial for sectors like IT and Banking.
- Employee Relations Manager: The Employee Relations Manager acts as the bridge between the company and the employees or the trade unions.
They organize meetings for the employees and trade unions, address any complaints or grievances that they may be having and settle disputes between the company and the staff. They have a salary package of about Rs. 5 lakhs per annum.
- Director of HR Training and Development:This is one of the highest and most well-paid jobs in the HR sector.
He conducts training sessions for the new candidates and ensures that the training process goes by smoothly without any glitches.
It invariably affects the output of the company by increasing the productivity of the employees.
The Benefits of doing MBA in Human Resources
Now, let us take a look at some of the advantages of pursuing a course of MBA in Human Resources:
- An improved pay scale
- More job opportunities
- You can take on more responsibilities
- Increased insight into your career
- You will have better job stability
People with a Master Degree in HR management have a higher chance of occupying a well paid job in the company, according to the Bureau of Labour Statistics. (source).
An MBA in HR will provide you with a lot of attractive job opportunities in the corporate sector.
Some of the jobs that you can opt for have already been mentioned above. Each job requires its own specific skill set, so you can look for a job description that fits both your interests and your area of expertise.
Once you complete your MBA course, you will have an increased knowledge of all the small details of the industry.
You will be able to operate better with this knowledge, and even guide those who are placed under you in the company.
With a masters degree, you will have specialized skills and training which will help you take on the role of a leader and decide on important aspects of the company.
This is one of the key benefits of choosing a career on HR- you will gain a lot of insight into your own personal growth and job prospects.
These advanced courses on human resources also have portions on organized psychology, which will lend you a broader and deeper understanding of the human psyche.
You can use your skills for workplace learning, and how to work better with different human beings. You will learn how to develop a business and use your skills to train would be human resource generalists.
Instead of focusing on only hiring, you will be able to take part in the more significant work such as employee development and training.
Both academics and experience matter in maintaining a job, so the chances are that a higher degree will help you maintain your job for a longer time.
The fact that you have a higher degree like MBA in HR will means that you have improved knowledge and skills to help a company and their management needs- from hiring employees to sorting out administrative issues.
This will make you invaluable to any company, which is why you will have a higher chance of maintaining your job even if the economic conditions come under the rough weather.
Thus, the importance of the HR department in any business organization cannot be negated or diminished.
They conduct a significant portion of the company’s proceedings. This is why HR officials are in high demand in the market at the moment.
The scope of MBA in HR is and will always remain wide and pertinent because it is impossible to run a company without a good HR team backing it up.
If you are someone who enjoys working with other people and wants to use his/her knowledge to help a company grow, then an MBA in HR is the route you should take.