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Difference between MBA and PGDM

MBA is an abbreviation for Master of Business Administration, whereas PGDM is an abbreviation for Post Graduate Diploma in Management. Both are two-year programs with minor differences.  MBA is a degree program, whereas PGDM is a diploma program. PGDM programs are more industry-focused, whereas MBA programs are more theoretical.

MBA programs are recognized and regulated by UGC, whereas PGDM programs are governed by AICTE. The admissions process for both courses is similar. Students will be required to take entrance exams such as the CAT, MAT, XAT, GMAT, MAH MBA CET, and others. Top colleges such as IIMs, FMS Delhi, and XLRI require GD/PI before admission.

MBA programs are provided by accredited universities, whereas PGDM programs are provided by autonomous institutes. The curriculum of PGDM changes quickly in response to industrial requirements, whereas changes in the curriculum of MBA take 3-7 years. According to reports, PGDM candidates have a higher placement rate than MBA candidates.

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MBA vs PGDM: Highlights

Candidates can select between PGDM and MBA programs based on factors such as ranking, curriculum, fees, placements, and other considerations. The following are some general parameters that show the difference between MBA and PGDM programs.

ParametersMBAPGDM
Full FormMaster in Business AdministrationPost Graduate Diploma in Management
Course LevelPost Graduate DegreePost Graduate Diploma
Duration2 year2 year
EligibilityA bachelor’s degree with a minimum of 50% marks from a recognized university in any discipline.A bachelor’s degree from a recognized institute in any discipline.
Accreditation UGC (University Grants Commission) AICTE (All India Council for Technical Education)
FocusFocus on theoretical and technical aspects of business managementFocus on practical knowledge and industrial orientation
AffordabilityMore AffordableExpensive

Difference between MBA and PGDM

Both MBA and PGDM programs teach management skills, but there are few distinctions between the two. The key distinctions between MBA and PGDM programs are discussed below:

  • MBA programs are degree programs, whereas PGDM programs are diploma programs.
  • MBA is administered by UGC, whereas PGDM is administered by AICTE.
  • MBA programs are more theoretical in nature, whereas PGDM programs are more industry-oriented.

MBA vs PGDM: Eligibility

The following are the basic eligibility requirements for MBA and PGDM programs.

  • Candidates for both the MBA and PGDM programs must have a bachelor’s degree with a minimum of 50% aggregate marks in any discipline.
  • To be admitted to popular business schools in India, candidates must pass a national or university-level entrance exam.
  • Prior work experience is also required for admission to some management programs.

MBA vs PGDM: Affiliation and Accreditations

MBA programs are provided by government or private colleges affiliated with accredited universities recognized by the University Grants Commission (UGC). Autonomous institutes accredited by the All India Council for Technical Education (AICTE) offer PGDM programs.

MBA vs PGDM: Admission and Entrance Exam

Both the MBA and PGDM admissions processes are nearly identical. The general steps involved in admission to MBA and PGDM programs are academic qualifications, entrance examinations, and interviews.

MBA and PGDM Admission Process

Admission to MBA programs is based on a variety of MBA entrance exams, such as the CAT, MAT, GMAT, XAT, SNAP, CMAT, and others. Scores from state-level entrance exams such as MHT CET, TSICET, TANCET, and PGCET are also accepted by some colleges.

  • Registration and completing the application form.
  • Appear for management entrance exam.
  • Taking GD and PI rounds.
  • Counseling for final seat allotment.

MBA vs PGDM: Syllabus

The MBA program’s syllabus is created by the university with which the college is affiliated. The MBA curriculum provides a theoretical approach and remains consistent for nearly 3-7 years. The general topics covered in the MBA syllabus are listed below. 

Finance ManagementMarketing Management
Business StatisticsOrganizational Behavior
Project ManagementPrinciples of Accounting
Human Resource ManagementBusiness Communication and Skills

The institutes create the PGDM Syllabus. The PGDM curriculum is more practical and up to date than the MBA curriculum. The PGDM curriculum is constantly evolving in response to industry demands. The following are some general topics covered in the PGDM syllabus.

Marketing and Consumer BehaviorIntroduction to Information Technology
Financial Reporting and AnalysisOperations Management
Strategic ManagementBusiness Law & Corporate Governance
Finance AccountingManagement Information Systems

MBA vs PGDM: Fees

  • MBA courses are less expensive than PGDM courses because they are offered by universities and colleges, the majority of which receive government funding.
  • PGDM courses are more expensive than MBA programs because the institutions that offer them frequently cover all of the costs.
  • The course fees for the PGDM range from INR 10,00,000 to INR 35,00,000, while the MBA course fees range from INR 10,00,000 to INR 25,00,000.

MBA vs PGDM: Placements

The following section lists the MBA and PGDM placements available at the top colleges.

MBA Placements

College NameAverage Annual Salary
IIM CalcuttaINR 34,00,000
ISB HyderabadINR 34,70,000
IIM BangaloreINR 33,80,000
FMS DelhiINR 32,40,000
SP Jain Institute of Management and ResearchINR 32,00,000

PGDM Placements

College NameAverage Annual Salary
Institute of Management Technology GhaziabadINR 17,35,000
XLRI Xavier School of ManagementINR 32,70,000
Birla Institute of Management TechnologyINR 11,25,000
SP Jain Institute of Management and ResearchINR 33,02,000
GLIM ChennaiINR 14,50,000
Jaipuria Institute of Management, JaipurINR 11,49,000

MBA vs PGDM: Jobs and Salary

The top job options available after completing MBA and PGDM courses, along with average annual salaries, are listed below.

Jobs and Salary after MBA

Following is a list of top job profiles as well as the average annual salary offered after completing an MBA program.

Job ProfileAverage Annual Salary
Accounting ManagerINR 7,21,000
Human Resource ManagerINR 6,60,000
Marketing ManagerINR 7,00,000
Business Development ManagerINR 5,70,000
Senior Business AnalystINR 11,60,000

Jobs and Salary after PGDM

The following are the top job profiles available after completing a PGDM course.

Job ProfileAverage Annual Salary
Business ConsultantINR 9,40,000
PR OfficerINR 2,50,000
Strategic ManagerINR 19,88,000
Brand ManagerINR 12,00,000
International Sales ManagerINR 10,00,000

Top Colleges Offering MBA/PGDM

The top MBA and PGDM programs are listed below, along with their average annual fees.

Top MBA colleges

The top colleges offering MBA programs are listed below, along with their average annual fees.

College NameAverage Annual Fees
IIM Ahmedabad INR 23,00,000
IIM BangaloreINR 23,00,000
IIM CalcuttaINR 23,00,000
IIT DelhiINR 10,40,000
IIM KozhikodeINR 9,50,000
IIM LucknowINR 10,05,000

Top PGDM Colleges

The top colleges offering PGDM courses with average annual fees are listed below.

College NameAverage Annual Fees
Institute of Management Technology GhaziabadINR 19,53,000
XLRI Xavier School of Management INR 12,90,000
SP Jain Institute of Management and ResearchINR 20,42,000
Birla Institute of Management Technology INR 13,00,000
GLIM ChennaiINR 18,75,000
Jaipuria Institute of ManagementINR 5,70,000
Ramaiah Institute of Management, Bangalore INR 8,00,000

What is the primary difference between MBA and PGDM?

MBA is a degree program offered by universities, while PGDM is a diploma program offered by autonomous institutes or business schools.

Is one more recognized than the other in the industry?

Both MBA and PGDM are recognized qualifications in the industry. The reputation of the institution and program is often more crucial than the specific degree or diploma.

Who awards the degree or diploma?

MBA degrees are awarded by universities, while PGDM diplomas are awarded by the autonomous institutes or business schools offering the program.

Which program offers more flexibility in curriculum design?

PGDM programs generally have more flexibility in designing their curriculum since they are not bound by university affiliations. This allows them to adapt quickly to industry trends.

Do both programs have similar admission criteria?

Admission criteria can vary, but PGDM programs often have more flexibility, considering factors beyond academic qualifications, such as work experience and entrance exam scores.