With the boom of e-commerce and advancements in manufacturing and production technology and processes, businesses require a new and improved form of operations management. This has led to the creation of an MBA in Operations management program.
Some business schools offer MBA specializations in operations, while others offer related programs in fields such as logistics and supply chain management.
An MBA in Operations Management can prepare students to handle different aspects of a business, such as planning, manufacturing, production, or providing services, with an attractive salary package. The average salary range for the best business schools in operations management 2022 is between $60,000 – $135,000.
In this article, we take a look at what is an MBA in operations management and discuss the career scope, salary, and job profile post-MBA in operations. Here is the outline of the article:
Operations management is a vital function for any organization. It involves planning, organizing, and supervising activities related to producing goods and providing services. With today’s complex global supply chains and demand for efficiency, expertise in operations is highly valued across industries. Many professionals pursue an MBA in Operations Management to gain these sought-after skills.
In this article, we will demystify what this specialized MBA entails. We’ll cover:
- What operations management involves
- Curriculum and coursework
- Career paths for graduates
- Benefits of the degree
- Finding the right program
Whether you want to maximize productivity, quality, or agility in business operations, an MBA in Operations Management can equip you with the strategic perspective and analytical abilities to succeed.
What is Operations Management?
Operations management focuses on the processes used to produce goods or provide services. Its primary aims are to:
- Improve efficiency – Minimize resource waste, cut costs, streamline processes
- Enhance quality – Reduce errors, defects, variability in output
- Maximize flexibility – Respond quickly to changing customer demands or market dynamics
Key responsibilities include
- Planning and forecasting – Predict requirements, balance supply and demand
- Resource allocation – Optimize workforce, materials, equipment, and facilities
- Production control – Schedule activities, oversee inventory
- Quality assurance – Implement controls and standards, ensure compliance
- Performance analysis – Identify issues, recommend improvements
Operations roles span industries from manufacturing to healthcare, finance, retail, and more. This versatility is part of the appeal of an operations-focused MBA.
MBA in Operations Management Curriculum
While programs vary students can expect coursework covering topics like
- Operations strategy – Align operations goals with overall business strategy
- Process analysis – Map and evaluate processes to identify bottlenecks or waste
- Quality management – Apply statistics and techniques like Six Sigma or Lean
- Supply chain management – Manage sourcing, logistics, and relationships with suppliers
- Project management – Plan and oversee initiatives with stakeholders to achieve objectives
- Business analytics – Collect and analyze data to derive insights and drive decisions
- Systems thinking – Understand how interlinked processes shape overall performance
Programs may offer specializations in areas like service operations, technology and operations management, or sustainability. Students also take core business courses in subjects like accounting, finance, marketing, and leadership.
Through case studies, simulations, and group projects, students gain hands-on experience applying operations principles. This prepares them to make an immediate impact in leadership roles after graduation.
Career Paths with an MBA in Operations
Armed with the skills from this degree, graduates pursue roles like:
- Operations manager – Oversee production, supply chains, or provisions of services
- Logistics manager – Manage the flow of goods from suppliers to consumers
- Project manager – Drive complex initiatives from planning through execution
- Management consultant – Advise clients on operations strategies and process improvements
- Quality assurance manager – Establish and monitor quality standards
- Process improvement analyst – Assess processes, recommend enhancements
- Operations research analyst – Create models to optimize systems and decision-making
Positions are available across various industries such as manufacturing, transportation, healthcare, retail, and aerospace. Professionals take on increasing responsibility to eventually ascend to executive leadership as Chief Operating Officers or Vice Presidents of Operations.
According to the Graduate Management Admission Council’s 2020 report, the median starting salary for MBA graduates with an operations concentration was $115,000.
Why Earn an MBA in Operations?
Pursuing this degree offers many advantages:
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Gain a competitive edge – The specialized skills help you stand out compared to general management candidates.
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Enhance efficiency – Apply the latest concepts and tools to reduce waste in processes.
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Boost quality – Learn process excellence frameworks to improve quality control.
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Maximize flexibility – Develop agility to adjust to changing markets and new technologies.
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Facilitate innovation – Optimize operations strategies to support innovation.
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Understand cross-functional impact – Recognize how each business function affects the others.
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Build leadership skills – Run major initiatives across departments with diverse stakeholders.
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Leverage data analytics – Harness data and metrics to derive insights and guide decisions.
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Advance your career – Transition into leadership roles in operations and general management.
Choosing the Right MBA in Operations Program
When researching schools, look for:
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Strong operations curriculum – Variety of specialized courses going beyond just supply chain management
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Real-world learning – Opportunities like simulations, internships, and consulting projects
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Industry partnerships – Ties to companies for recruiting and data access
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Cross-disciplinary focus – Intersection of operations with IT, analytics, engineering, and business
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Flexibility – Accommodates part-time, online, or accelerated programs for working professionals
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Faculty expertise – Instructors with extensive operations experience
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Powerful alumni network – Graduates working in leadership roles across industries
Take time to identify programs that align with your interests and career goals.
Launch Your Operations Leadership Career
The complexities of global business underscore the growing importance of optimizing operations. MBA programs specializing in Operations Management equip graduates to streamline processes, maximize efficiency, and help organizations gain competitive advantage.
Whether you aspire to lead a fast-paced e-commerce supply chain, oversee manufacturing for a multinational conglomerate, or manage large-scale healthcare operations, this degree provides the perfect springboard. Evaluate potential schools and determine how to best fit an MBA into your career progression.
With expertise in operations management, you will be well-positioned to advance and make a real impact as a leader. Turn your passion for orchestrating and improving processes into a dynamic career that keeps you engaged for years to come.
Scope of MBA in Operations Management
An MBA in operations management personnel is responsible for overseeing the company’s operations by ensuring they’re efficient and effective. They are the backbone of the company’s day-to-day operations and help in delivering quality products/services at the right cost and on schedule.
If we must describe it in one sentence, then operation management is all about executing the corporate strategy on the ground.
A graduate with an MBA in operations management is primarily concerned with planning, organizing, and supervising in the context of production, manufacturing, or providing services. It is a delivery focussed discipline that requires analytical as well as organizational skills.
In the present scenario, operations excellence is the key to survival. Besides, LinkedIn has nearly 40,000 job listings with the words “operational manager,” which indicated the need for them. Companies like Airbnb, Lyft, Amazon, etc. are already operating with well-defined operational excellence to win the market share.
Operations management has grown in scope and increased in importance. Besides, efficient organization operations are a vital tool in achieving competitive advantage.
Salary and Employment statistics
According to the 2019 GMAC Corporate Recruiters Survey, 26% of employers surveyed plan to hire MBA graduates for operations roles in 2019. Organizations in the energy/utility industry and manufacturing industries plan to place 38% and 47% of new hires into operations roles.
Other major industries hiring MBA graduates for operations roles include non-profit/government (26%), product and services (29%), and healthcare (30%).
According to the U.S. Bureau of Labour and Statistics, the mean annual wage for an operations manager for last year was $123,880. The 75th percentile pay figure is 157,120.
It’s a common misconception that MBA in Operations management leads to working in the only manufacturing industry, which is not valid.
An MBA in operations is suitable for roles in diverse sectors such as wholesale trade, e-commerce companies, pharmaceuticals, and many more. Common job titles offered to MBA graduates in operations include:
- Purchasing manager
- Inventory coordinator
- Warehouse operations manager
- Logistics/supply chain manager
- Operations consultant
- Sales or marketing operational manager
- And many more
What is Operation Management? | Duties and Responsibilities in Operation Management
What is the difference between an MBA and Operations Management?
An MBA is a Master of Business Administration, and operations management is a common specialization among business degrees. It teaches students to develop effective organizational and analytical skills and prepares them to manage the planning, production and manufacturing aspects of a business.
Why should you get an MBA in operations management?
An MBA in operations management or a specialisation in a related field, such as logistics or supply chain management, should help students to enter the industry by developing the requisite skillset or to help those already in the industry to widen their knowledge and push on into a business leadership role.
What does an Operations Management MBA specialization entail?
Professor Miguel Angel Heras of ESADE Business School has explained to TopMBA.com what an Operations Management MBA specialization entails. What does Operations mean? The term Operations is generally used as an umbrella term to refer to the corporate area responsible for actually producing goods and services.
How much does an MBA in operations management make?
The average salary range for the best business schools in operations management 2022 is between $60,000 – $135,000. In this article, we take a look at what is an MBA in operations management and discuss the career scope, salary, and job profile post-MBA in operations. Here is the outline of the article: What is MBA in Operations Management?
