While the highest salary package this year touched a dizzy Rs 1.44 crore per annum (or $360,000 inclusive of bonus as an average component) compared to the IIM Kolkatas highest of Rs 1.36 crore and its own highest of Rs 1.17 crore last year, even the average salaries offered saw a gravity defying rise of around 20% over last years packages. The adverse market conditions across the globe were not a dampner and salaries offered to the batch of 2008 exceeded all expectations. The average domestic salary amongst the accepted offers this year is Rs 17.85 lakh, a stunning 30 per cent jump over last years average figure of Rs 13.7 lakh while on the international front, the average salary offered is $ 1,19,000 which again is a significant jump from previous years. The highest domestic acceptance was in the range of Rs 50 lakh to Rs 70 lakh.
Addressing the media, IIMA Director Samir Barua said that the sub prime crisis and the slowdown of the US economy had not impacted the placements at the IIM (A). The institute continues to be a most preferred destination for recruitment as reflected not only in terms of the diversity of organizations that participated but also by the offers that have been made, he said.
Dispelling the notion that global economic cues were impacting Indias placement scenario, Dr Barua claimed that the acceptances indicate that there is an increase in the acceptances by students in the Asia Pacific region as compared to Europe and the US. Thisis indicative of the balance of economic power shifting from the West to the East.
This is clearly indicated by the fact that while 76 percent of the students preferred to work in India, 11 percent chose Asia pacific region for employment only 7% opted for Europe and 4 percent looked at US for career destination.
The biggest recruiter of the season remained the financial sector in spite of the markets being the red for a while now. Out of 255 students, 113 students have been inducted into the sector this year. Major banks like Goldman Sachs, Lehman Brothers, Morgan Stanley, JP Morgan and Barcleys have inducted IIMA graduates this year.
Students also preferred consulting firms in the slot Zero, which inducted as many as 41 graduates.Among the private equity players Greater Pacific Capital and Carlyle Group chose to recruit solely from the IIMA.
This year, the increasing preference for Indian firms and locations was another noticeable trend. Many students opted for India over associate offers in prominent investment banks abroad. Furthermore, the increasingly attractive roles and packages offered by Indian corporates led to a larger number of students opting for Indian companies.
Another trend which has emerged over the past few years is the significant number of students who are opting out of the placement system to start their own ventures. This year eleven students have decided to take this road less traveled and have plans to start their ventures in areas as diverse as logistics, manufacturing, advertising, finance and agro-processing and IT. According to the IIMA Director,
This is clearly indicative that the students passing out of IIMA have the capability to take risks.