This question has been raised so many times in so many different forums and question answer services that I feel obliged to write about this one.
Here are the main differences between MBA degree and PGDM degree:
1) MBA vs. PGDM/PGDBM, etc.
Its all in the name. Let’s check what type of degree MBA or PGDM actually is….
MBA (Master of Business Administration) is a Masters degree while PGDM (Post Graduate Diploma in Management) or PGDBM (Post Graduate Diploma in Business Management) is a Diploma certificate.
So, if you get into a b-school that offers an MBA, you get a Masters degree. But if you get into a b-school that offers a PGDM certificate, it is a diploma certificate only.
Yes, something like this one.
2) Institutes affiliated to any University can offer MBA degree; others give PGDM.
MBA degree can be awarded only by universities and colleges that are affiliated to the universities.
For example, JBIMS (Jamnalal Bajaj Institute of Management Studies), IMNU (Institute of Management, Nirma University), SIMSREE, FMS (Faculty of Management Studies) and other such colleges that are affiliated to a university can offer MBA degree.
Though some of the above mentioned colleges offer an MMS degree, it is to be noted that MMS degree is the same as MBA degree.
On the other hand, institutes that are not affiliated to any particular university cannot offer MBA and hence, they have to give you a certificate i.e Diploma certificate. The institutes have different names for the certificated but it is generally known as the PGDM (Post Graduate Diploma in Management). For example, IIM’s, XLRI, IIFT, SP Jain, etc.
Even IIM A gives PGDM..
3) MBA leaves scope for further studies from a university. PGDM doesn’t.
Having an MBA degree means that you can go ahead to pursue a Phd or any other course that can be done POST post graduation. However, whether you wish to do it or not…. is secondary. It gives you an option, at least. (Have to write this line as some of my friends argue saying that why would they need a Phd after MBA)
PGDM does not give you the option to do further studies from a recognized university.
umm…ok… all right. I get this… But…..
Which should I choose? PGDM or MBA
A very tough question………. right??
Not really. The answer is that whether you should go for an MBA or a PGDM depends on which institute has more reputation. So, if you have the chance of doing an MBA from X and a PGDM from Y and you find Y to be better, go for Y. And if you find X to be better, go for X. If you find both to be equivalent, I would prefer to go for X i.e. an MBA.
PGDM from IIMs is deemed equivalent to MBA in India. Such a certificate is available and any IIM grad can go for higher studies in India and outside using this.