http://www.rediff.com/money/2007/oct/01iim.htm

The rising accolades for India on the world corporate arena is not benefiting the companies alone, the would-be managers in the country are also getting a pie with job offers running into crores. Still to complete their study, five students at Indian Institute of Management, Calcutta have got pre-placement job offers with an average salary of Rs 1 crore, all coming from global investment banks.

"The number of offers have already surpassed the last year's figures when only four students had bagged PPOs till the time of final placements," IIM-C's student recruitment co-ordinator Mahesh Nair told PTI. All the five offers are from international investment banks, Nair said, but did not divulge the employers' names. The process is still on and the institute expects more offers to come in the immediate future.

The other IIMs in the country are also seeing a rush of international corporates with an increasing number of pre-placement offers (PPOs) for their students. PPOs are final placement offers made to the students based on their performance during the summer internship at a company after the first year of MBA.

"This year, we have seen a significant rise in the number of PPOs made to our students and this remarkable feature is unparallelled across all IIMs," the placement cell of IIM Banagalore said in a statement. Job offers have been pouring for IIM-B students this year, with a record 70 pre-placement offers having been made for a batch of 250 students. At IIM-B, many companies are still in the process of completing the evaluation of candidates and more PPOs could be on way.

At IIM-Ahmedabad, nine students have already bagged PPOs from leading investment banks, with many more associate offers being in the pipeline. "As of now, nine students have been extended associate offers this year - the highest across all B-schools in the country and by some distance. With more than six months to go before actual placements, this number represents a record of sorts," an IIM-A statement said.

IIM-A continues to attract top firms in spite of recent sub-prime crisis and the economic downturn, the release said. "IIM-A students are obtaining senior level positions on par with global business schools, where the average work-experience tends to be much higher. A trend is visible that global recruiters find IIM-A students overqualified for entry-level positions," the institute's placement cell said.

IIM-Indore has also received around 21 PPOs so far, while IIM-Kozhikode has got 17 national and one international PPOs, the placement cell of these institutes said. As per recruitment trends this year, the students are bagging good profiles in companies. However, IIM-B and IIM-A refused to disclose the salary figures of the students who have accepted the PPOs.

With March still being 6 months away, these figures suggest that future of Indian Institute of Management would hold umpteen lucrative and desirable opportunities. IIM students have managed to get an increasing number of PPOs with companies like McKinsey & Co, Boston Consulting Group (BCG), Goldman Sachs, Lehman Brothers, JP Morgan, Citigroup, AT Kearney, HLL [Get Quote], P&G and Marico making final offers to the interns who worked across locations like London, New York and the Asia-Pacific.

"The summer internship process at AT Kearney gives us an opportunity to evaluate interns rigorously and assess them within the organisation. We are very pleased with the summer interns from IIM-B this year and have decided to extend PPOs to them," AT Kearney Principal Vikas Kaushal said.

"We have been associated with IIM Bangalore since last seven years and our experience has always been fantastic. Every IIM Bangalore intern with us so far has received a final offer," international management consultancy and research firm Boston Consulting Group (BCG) Principal Rahul Jain said. Companies are increasingly finding the PPO route to final selection more useful as they get to take a closer look at the candidates during the summer internship, he added.

Hi DIO,

Since you are so much into all this- what is the average salary of an IIM grad?

I have several friends in India whose children are grads of IIMs but their salaries upon graduation are around 10 % of Rs 1 crore.

Anybody else on CD can answer that question?

There was an article in OutlookIndia (or some other major magazine) about this. Firstly, the salaries stated are the offers made for investment banking positions in the US / UK. They are literally converted to Indian rupees and publicized in the media. They are not the norm . i.e. Not every IIM grad gets 1 crore offer; its a select few that get them. But, it's a good publicity vehicle for the news crazy media in India.

I would read all these news with a grain of salt !

There are number of management schools that have mushroomed in India. Majority of them just want to cash in on the craze. But few private schools are really good (there is one in Mumabi that is really good, par with IIMs).

IIMs are different. Graduates from iIMs are snapped up before they look for work. Agreed, media has done some hype, converting $$ to Rs. Still, $100-$200k (Rs. 40-80 lakhs) is a good money for a fresh graduate from IIMs.

Two of my cousins are graduates from IIM B'lore and never left India to look for work outside. Both work for MNCs in B'lore. Content and happy, earning very good money.

Though we should not compare, call centre staff earn abt Rs. 3 lakhs p.a. Work in night shift most of the times if the company is catering to Americans. So IIM graduates will get much more.

DIO

Average salary for a fresh IIM Grad ~ about 10 lacs . Grows with experience . Once an IIM grad told me what IIM stood for .... ' I am an imminent millionare '

-----------------------------------------------------------------
Fido.

Not every IIM Diploma holder is making 1 Crore; only the top 10 Diploma holders from each IIM A,B,and C are making good money. The course is tough and the Candidates are smart that is why the major MN C's or McKenzies are paying that high salary for a fresh diploma holders.

IIM's are not awarding degrees like BBA and MBA only Diploma's like PGDBA....... They are unique and staying away from the crowd.

-----------------------------------------------------------------
I am new

Unlike the West, the MBA is looked upon as a finishing degree in India and lots of people directly transition from their undergraduate studies to their MBA program with minimal or no work experience. These high salaries are being offered to folks who have put in a few years before they got into the IIM. None of these companies are foolish enough to offer 200-300K to fresh grads, on the basis of 2 months of summer training. Even folks from top B schools in the US do not make that much money in their first job after the MBA, and unlike students from India, the vast majority have atleast 5 years of work experience and are in their late twenties.