Placement Overview 2007

Indian Institute of Management,Ahmedabad

Proof 5 • April 17, 2007 • 2

Year after year, the placements at IIMA have kept getting better. Indian Institute of Manage-ment, Ahmedabad where the least you can be is “The best,” has been internationallyacclaimed as the toughest B-school in the world to get into. A place where values are sacro-sanct and mediocrity is profanity, a constant search for excellence drives the students to scaleinsuperable heights – an attribute they carry with them for the rest of their lives. Rankedamongst the top three in Asia Pacific and known for its academic rigour, IIMA has lived upto its reputation of offering the best breed of managers and leaders to the corporate world forover four decades now. This year too, the Summer Placements and the Finals saw immensebelief and trust shown by recruiters from varied fields in brand IIMA.

Growing Stature of IIMA

The designations being offered by some of the leading global brands in the field of privateequity, banking and consulting are now at par with those offered to top graduates of IvyLeague business schools. This is testament to the value that these firms see in the students ofIIMA, which has manifested itself time and again in the achievements of our esteemed alumni.

The Week of Reckoning . . .

Final placements at IIMA were conducted between March 08 and 13, 2007. Although antici-pation of weakening sentiments in the markets had led to a fall in international recruitmentacross campuses, for IIMA it was a very different story. Almost 40 per cent of the batch hadbeen placed or had opted out by the end of the coveted Day Zero of placements. By Day 1, 90per cent of the batch had accepted the offers made to them. (Figure 1)

Post-Graduate Programme in Management

0 months (43%)1 to 6 months (15%)7 to 12 months (5%)

13 to 18 months (17%)

19 to 24 months (4%)25 to 36 months (9%)

More than 36 months (7%)

STUDENT PROFILE AT A GLANCE: BATCH 2005-07

Educational Background Work Experience

Engineering/Technology (73%)Commerce (14%)IT (6%)Science (4%)

Business Administration (1%)Medicine (1%)Others (1%)

Proof 5 • April 17, 2007 • 3

Spoilt for Choice!!

Ninety-one firms, 493 offers and 235 students– phew!!Indeed a dilemma of sorts for those with multiple of-fers. Out of 493 offers, 373 were domestic and 120 wereoverseas (Figure 2). The highest number of offers wasgiven by Lehman Brothers (17 offers - 14 acceptances)followed closely by Merrill Lynch (15 offers - 14 accept-ances) and McKinsey (13 offers - 12 acceptances). Indianconsults like PWC, marketing majors like Cypress andIT firms like Cognizant weren’t far behind. Table 1 givessector-wise details of Top Recruiters by number. The listof recruiters at Placements 2007 can be found in Box 1.

Over and Across the Seas

The number of overseas offers increased substantiallyto 120 as compared to 86 made last year. Location-wisedistribution has been illustrated in Figure 3.

FIGURE 1: OFFERS AND ACCEPTANCE (2007)

FIGURE 3: LOCATION WISE DISTRIBUTION

FIGURE 2: FOREIGN AND DOMESTIC OFFERSAND ACCEPTANCE

* Singapore, Japan, Hong Kong

BOX 1: LIST OF RECRUITERS

ABN AmroABN Amro IndiaAccentureAditya BirlaAir IndiaAlghanimM.H. Al Shaya Co.Arcelor MittalArthur D LittleAT KearneyBainBank of AmericaBarclaysBCGBhartiBlackstone

Booz Allen HamiltonBristlecone AdvisorsBritish GasCitibankCitigroupCognizantCypress SemiconductorDaburDellDeloitteDeutsche BankDevelopment Bank of

SingaporeDr. Reddy’seBayEdelweiss Capital

Ernst and YoungEssarFeedbackFischer JordanGE Commercial FinanceGlenmarkGlobal e-ProcureHCLHewittHindujaHLLHoney WellHSBC IndiaHT MediaIBMICICI Bank

ICICI PrudentialICICI SecuritiesICRAIDFCiMaritimeInductisInfosysINGING Investment

ManagementITCJM Morgan StanleyKotakKPMGLehman BrothersMarico

McKinseyMerrill LynchMiebach LogisticsMotorolaNokiaOCWENOlam InternationalOpera SolutionsP&GPriceWaterhouseCoopersRelianceRPGSandstoneSEBISociete GeneraleStandard Chartered

SunbeltSyntelTASTech MahindraTrikona CapitalTSMGUBSUBS IndiaUTI BankValue PartnersWiproYahooYes Bank

TABLE 1: TOP RECRUITERS (BY NUMBERS RECRUITED)

Sector Recruiter Numbers % toRecruited total

Consulting McKinsey 12 5.1PWC 8 3.5BCG & Bain 6 2.6

Banking & Finance Merrill Lynch 14 6.2Services Lehman 14 6.2

ICICI Bank 9 4.0

General Management Alghanim 5 2.2TAS 3 1.3Black Stone 2 0.9

IT CTS 3 1.3

Marketing Cypress 7 3.1Bharti Airtel 4 1.7P&G 3 1.3

120

344

29

90122

12

Slot 0 Slot 1 Slot 2

Offers Acceptance

397

413

373

179

171

160

82 86

120

70 64 64

2005 2006 2007

Domestic Offers Domestic AcceptanceOverseas Offers Overseas Acceptance

179

18 18 19 15

171

25 15 24

0

160

23 20 16

5

India UK USA Asia Pacific* Others

2005 2006 2007

Proof 5 • April 17, 2007 • 4

Diversity Redefined

This year saw significant diversity in the placements, both interms of the recruiter base and the kind of roles offered. Newrecruiters included private equity firms, hedge funds, inter-national marketing giants and consulting majors among oth-ers (Box 2). Some very niche roles like strategic marketing inIT requiring knowledge about different sectors found favourwith a lot of students. A sector-wise distribution of job offerscan be seen in Table 2.

The “Compensation” Bull Run

The salaries offered to IIMA graduates have steadily increasedover the past few years, and this year was no exception. Thehighest international acceptances ranged from US$ 225,000to US$ 300,000 and the highest domestic acceptances rangedfrom Rs. 60 lakh to Rs. 1 crore, depending on minimum andaverage bonuses. The average entry level domestic salaryincreased by around 40 per cent to INR 13.6 lakh per annumfrom INR 9.72 lakh last year, while the international averagestands at US$ 115,300, a rise of around 25 per cent (Figure 4).

Defying the Norms

Keeping the spirit of adventure alive, 11 out of the 234 stu-dents this year shunned their lucrative jobs (some offeringsix figure dollar salaries) in favour of entrepreneurship. Thisnumber accounts for almost 5 per cent of the batch which isat par with other renowned international B-schools.

The Indian Phenomenon

In what has been another interesting trend, 11 students gaveup foreign offers in order to take up offers from firms in In-dia and to be a part of the Indian growth story.

FIGURE 4: COMPENSATION DETAILS

Indian (Rupees in lakh)

Foreign (US $ thousand)

BOX 2: NEW RECRUITERS

Arthur D Little Global management consulting

Blackstone Advisors Real estate erivate equity investing

Bristlecone Supply chain management consulting

Cypress Semiconductor Semiconductor design and manufacturingcompany

Fischer Jordan Management consultancy firm

iMaritime Marine and naval consultancy firm

M.H. Al Shaya Co Leading name in international franchiseretailing, trading from more than 750stores across the Middle East, Turkey,Cyprus and Russia

Miebach Logistics Logistics management consultancy

Olam International Global supply chain manager ofagricultural products and food ingredients

Opera Solutions Management Consultancy focusing onpricing and investment optimization,sourcing and outsourcing, global off-shoring, and processre-engineering.

SEBI Government body regulating securitiesindustry/stock market

Societe Generale European financial services company(retail/ investment banking)

Sunbelt Business brokerage firm

Syntel Offshore IT service provider and businessprocess outsourcing (BPO) company,application migration and software testingservices, global IT outsourcing consultants

Trikona Capital Fund management/private equity in realestate

Value Partners Leading European strategy consulting

7.9 9.6 13.714.5

34.19

100

2005 2006 2007

Average Highest

80 92.5 100

152185

300

2005 2006 2007

Average Highest

Proof 5 • April 17, 2007 • 5

Lateral Expansions

Sheer diversity of job offerings for the middle managementpositions characterized the lateral placement process thisyear. Variety ranged from roles in private equity, businessdevelopment, sales, consulting and finance to those in gen-eral management, IT, marketing, operations, retail and strat-egy. As many as 153 offers (last year 127 offers), including 14foreign were made by 38 firms to the eligible candidates. Thisindicates a commendable rise of almost 21 per cent over of-fers made last year. The average laterals salary accepted wasRs. 16.13 lakh per annum, a rise of around 52 per cent overlast year.

TABLE 2: SECTOR/ FUNCTION-WISE PLACEMENTS

Sector/ Function Overseas Indian % of Total

2005

Sales/Marketing 3 32 14.0Investment Banking/ 44 55 40.0Commercial Banking/ FinanceSystems/IT/ITES 0 38 15.0Operations 0 3 1.0Consulting 9 41 20.0General Management (Pharma, 14 10 10.0Auto, Travel, Trading, etc.)Total 70 179 100.0

2006

Sales/Marketing 0 30 12.8Investment Banking/ 57 32 37.9Commercial Banking/ FinanceSystems/IT/ITES 0 40 17.0Operations 2 3 2.1Consulting 4 51 23.4General Management (Pharma, 1 15 6.8Auto, Travel, Trading, etc.)

Total 64 171 100.0

2007

Sales/Marketing 0 23 10.3Investment Banking/Commercial Banking/Finance 55 60 51.4Systems/IT/ITES 0 7 3.2Operations 5 6 4.9Consulting 4 58 27.6General Management (Retail, 0 6 2.6Real estate, Private Equity, etc.)

Total 64 160 100.0

Proof 5 • April 17, 2007 • 6

Sector No. of Percentageplacements

Banking & Financial Services 140 57.0

Consulting 40 16.2

Marketing & Sales 37 15.0

IT/ ITES 18 7.3

General Management & Operation 11 4.5

Total 246 100

FIGURE 5: SECTOR-WISE DISTRIBUTION OF SUMMER PLACEMENT

Summer Placements: Developing Perspectives

As part of the curriculum, it is mandatory for students to undertake a summer internshipafter their first year to gain experience of the corporate life.

Summer placements at IIMA this year saw 92 companies come down to campus to recruit246 students for their internship programmes. The list of companies included some of thebest names in their respective sectors. All major companies that came down for final place-ments had come for summer recruitments as well. Figure 5 provides the statistics of thesector-wise distribution of summer placement made this year.

Summer Placement

Proof 5 • April 17, 2007 • 7

5.2

77.5

9.45

2004 2005 2006 2007

Profiles get more interesting atPGP-ABM placementsThe Post-Graduate Programme in Agribusiness Management(PGP-ABM) at IIM Ahmedabad batch of 20 students received35 offers this year. Recruitments 2007 saw average salariesincreasing by 25 per cent for freshers and 24 per cent for lat-eral candidates. It also gives credence to the tremendousvalue addition to the ABM students who undergo commonacademic module with the PGP programme for the first yearof study.

Greater job diversity was the distinguishing feature of place-ments this year. New sectors are opening their doors for ABMgraduates. The PGP-ABM students bagged consulting andadvisory roles in RABO bank, one of the largest banks world-wide, engaged in agri-financing and consulting. Yet anothernew profile in offer was that of knowledge banking in YESbank. While continuing the long association with the bignames in sectors of food, supply chain, procurement, agri-cultural finance, retail and commodity trading, the place-ments this year also saw interest of FMCG giants like Pepsiand Marico who participated in the process for the first time.

The rapid growth of average compensation stands testimonyto the overwhelming demand of the PGP-ABM programmein the industry. The icing on the cake was low variability inthe compensation. All students got placed within the bracketof INR 8 lakh to INR 11 lakh.

STUDENT PROFILE AT A GLANCE

SECTOR WISE PLACEMENT DETAILS:FINAL PLACEMENTS 2007

TRENDS IN AVERAGE DOMESTIC SALARIES(2004-07)

MaricoGodrej AgrovetRPGRabo BankYes BankICICI BankICICI PrudentialS.M. ConsultantsMonsanto

Average Lateral Offer: 9.8 lakh/annumAverage Overall: 9.4 lakh/annumHighest Domestic Overall: 10.0 lakh/annum

NCDEXOlam InternationalAlghanimsM.H. Alshaya CoMurugappa GroupPantaloons Retail IndiaDSCLPepsico

LIST OF RECRUITERS (CURRENT YEAR)

Post-Graduate Programme inAgribusiness Management

0 to 6 months (61%)

6 to 12 months (14%)

12 to 24 months (10%)

24 to 36 months (5%)

More than 36 months (10%)

Work Experience

Educational Background

Agricultural Science (42%)

Agri Engg/Dairy Sc (24%)

Veterinary Science (10%)

Engg/Technology (14%)

Others (10%)

6

3

15

4

7

4

0

8

2

5

Retail Commodities Finance FMCG Consult

Offers Acceptance

Placement Planner: 2007-08

Activities Dates

Summer Final

PGPInvitation to Companies July 31, 2007 July 31, 2007

Pre-placement Presentation by Companies September – October, 2007 December 2007 – February 2008

Submission of Resumes September – October, 2007 Mid-February, 2008

Short-listing of Candidates October, 2007 End-February, 2008

Pre-processes by the Companies October – November, 2007 March, 2008

Interviews November 13-18, 2007 2nd week of March 2008

PGP-ABM

Invitation to Companies August 10, 2007 October 30, 2007

Pre-placement Presentation by Companies September, 2007 December 2007 – January 2008

Submission of Resumes September – October, 2007 February, 2008

Short-listing of Candidates October, 2007 February, 2008

Pre-processes by the Companies October, 2007 March, 2008

Interviews 3rd Week of October, 2007 1st week of March 2008

In-charge, Placement OfficeIndian Institute of ManagementVastrapur, Ahmedabad 380 015 (India)Tel: +91-79-2632 4666/67Fax: +91-79-2630 6896, 2632 4665Email: placement@iimahd.ernet.in