In today’s free market economy, prompt co-ordination and efficient management are the two key factors for any business to succeed in this cut throat competition. The entire business is conveniently divided into four broad segments- production, marketing, human resource and finance. All these four segments require expert and specialized knowledge for effective functioning. As a natural corollary all the business organizations these days hire MBA pass outs from renowned B- schools.
There are a plethora of MBA schools both in India and abroad that offers business management courses with specialization in any of the above mentioned four fields. Almost all the reputed business schools assure a good placement with a handsome pay package. The market trends, the lucrative career option, the huge potential for future growth- all these have made MBA the most sought for career option. And not only students, even those who are already working opt for an executive MBA degree to take huge a leap in the career. Once you have an MBA degree under your belt you can move from the position of trainee to the managerial ranks almost in no time.
It is true that all the four departments of production, marketing, human resource and finance are equally important for any business, however, it is finance which is the most complicated part and has a definite bearing on all the other activities related to a business. Well-organized finances are absolutely crucial to the growth of any business. For creditable solutions to the finance requirements most companies prefer MBA degree holders or people with work experience in this sector. Therefore a masters or MBA in finance is a golden degree.
Now coming to the question why finance is so important and what does an MBA degree holder in finance is expected to do? First and foremost such a financial manager is expected to analyze the overall finances of the company. A degree in finance makes one competent enough to identify the various sources of finance as well as chalking out the ways of raising the fund. Other important decision he needs to take is to recognize the cost of financing and to analyze the probable risks that are associated in the process. It is these financial decisions that help the organization in taking prompt investment decisions, in strategic planning and many more, thereby contributing to the overall growth of the business.
For any student passing out with an MBA degree with finance as specialization, there are quite a few leading companies from various sectors (like banks, corporations, security firms and various consultancies dealing with finances and investments) waiting eagerly to recruit these fresh faces. A degree in finance even permits people to move to insurance, FOREX department, treasury, merchant banking and many other fields. Infact with some work experience that is with the live experience of the market one can also start a venture on his own. It is a finance degree that inculcate leadership aptitude within a person and ingrains in him decision-making capacity.