For the first time, Indian Institute of Management-Bangalore (IIM-Bangalore) has found a place on the chart at 68th position. With this, it has become third such Indian institution to have figured in top 100 management schools globally.
According to Global MBA Ranking-2014 released yesterday by FT, rankings of IIM-Ahmedabad and ISB slipped to 30 and 36, respectively, from their last year's positions of 26 and 34 respectively.
ISB had slipped 14 points to rank 34 last year as against 20th position a year before. Similarly, IIM-Ahmedabad had slipped 15 places at 26th rank from 11th position in 2012. In 2011, IIM-Ahmedabad ranked 11th and ISB 13.
When contacted, a senior ISB official pointed out that ISB was the youngest institution to find a place in global MBA rankings in 2008.
"Since then ISB has consistently been ranked among the best globally. Our programme continues to provide the highest quality of learning and professional opportunities to our students, which is what institutions can and must focus on.
"In the recent years, a key factor affecting Indian schools has been the weakening of the rupee and its corresponding impact on the PPP (Purchasing power parity) exchange. This has affected the weighted salary parameters which accounts for 20 per cent of the ranking criteria. It seems Indian schools have been disproportionately impacted by this, relative to schools from other countries", the official said.
Harvard Business School, Stanford Graduate School of Business and London Business School occupied first, second and third positions, respectively in this year's ranking.
With respect to weighted average salary, IIM-Ahmedabad student is paid an annual USD 1,57,459 (86 per cent increase over last year) while his ISB counterpart is drawing USD 1,17,308 (130 per cent hike) whereas the student of debutant IIMB is being paid weighted salary of USD 1,25,249 per annum.
The ranking is based on two surveys of the business schools and their alumni who graduated in 2010. MBA programmes are assessed according to the career progression of their alumni, the school's idea generation and diversity of students and faculty, FT said.
"This is the fifth time (that) Harvard has topped the rankings since the survey began in 1999. Stanford Graduate School of Business remained second, while London Business School leapfrogged the Wharton school at the University of Pennsylvania, pushing the latter into fourth place. Columbia Business School and Insead are joint fifth", FT said in its website.
To compile the 2014 ranking, FT surveyed 23,000 alumni from 153 business schools across the globe. More than 10,000 MBA graduates completed the survey, a response rate of 47 per cent, according to FT.