REFLECTING a greater stability in Indian companies,including PSUs,the Indian Institute of Management Bangalore (IIM-B) placement process concluded after an unprecedented nine days on Monday with all 249 students finding jobs.
The students got placements in over 97 companies,including 39 new ones,across broader sectors,as compared to a total of 65 companies which recruited all 256 students in three days time last year.
In 2008,investment banks were the toast at IIM-B,hiring around 21 per cent of the students while keeping the salaries high. This year,with the likes of Lehman Brothers being non-existent,the investment banking jobs were down to seven per cent.
Overall,the process has been longer but there have been more companies. The PSUs and a large number of Indian companies came. With companies like Lehman Brothers not here,average salaries are down but comparable to other IIMs, said Prof Sourav Mukherji,chairperson of the placement process at IIMB.
Other institutions like IIM-Ahmedabad have reported a 30 per cent dip in the average salaries from around Rs 19 lakh per annum to Rs 13 lakh per annum.
Foreign investment banks offers were rejected (by students) to work for private equity and consulting firms in India, Prof Mukherji said.
Among new sectors that opened for students apart from PSUs were education,management and clean energy,IIMB placement officials said. As many as seven students opted out of the placement process preferring entrepreneurial dreams.
A record number of PSUs GAIL,BPCL,HPCL,NTPC,Oriental Bank,Indian Oil Corporation,SEBI and SIDBI recruited from the IIM-B this year. They are getting used to the process. They have a longer decision-making process. There was no resistance to PSUs from the students. It is the start of a longer relationship, IIM-B placement officials said.
The placements show companies are still doing well,especially in India. Before the placements,we were all concerned about the young people who are graduating, Prof Mukherji said.
Like last year,consulting remained a favourite among students with 25 per cent opting for it (compared to 37 per cent last time). The finance sector also remained a key option with 28 per cent students opting for it (19 per cent in 2008).
General management,sales and marketing made a bigger impact as job preferences with a combined 32 per cent students opting for it. IT hires were down to three per cent from six per cent last year. Foreign placement offers were down from 75 to 25 with only 10 acceptances.
We are seeing a lot of continuity. Students need not change careers. It does not matter if investment banking is not there,opportunities exist in financial analysis, said Prof Mukherji.
According to Prof Mukherji,a great deal of anxiety surrounded the placement process this time. After the first few days,the process hit a lag. This was a concern. However,companies continued to come. There was no delay in making offers to candidates but there was a delay in coming to the campus, he said. Nearly 15 offers from PSUs were made on the ninth day.
There was a wider choice of sectors available to students. Yes there was anxiety but students could choose the sector they wanted. Many were happy that they could be placed on campus instead of being out there with no offers, said Arun Bhagwati,one of the 41 students whose pre-placement offers were converted.
Students of the IIM-B placement committee who will appear in the job market in 2010 said they were keeping their fingers crossed. We will have to take it as it comes, said a student.
Given how business schools around the world have fared in placements and given the economic collapse,IIM-B has had an unusually optimistic outcome, said director Prof Pankaj Chandra.