M.B.A. programs’ lack of focus on diversity and high tuition have harmed African-Americans’ pipeline to corporate jobs, graduates and schools say
By Patrick Thomas Close Patrick Thomas June 17, 2020 7:30 am ET One of the most important pipelines of African-American professional talent into corporate America has been virtually stagnant for a decade.
The issue of diversity in M.B.A. programs returned to the spotlight on June 7, when Harvard Business School Dean Nitin Nohria said in a letter that past efforts to recruit black students were “painfully insufficient.” The number of black M.B.A. students at Harvard has been stagnant around 50 per class, or roughly 5% of the total, for three decades, he wrote. AACSB International, the main accrediting firm for business schools, said black students in its member M.B.A.
Some top programs have said they are investing in new diversity initiatives. After seeing declining black student enrollment, the Haas School of Business at the University of California, Berkeley in 2018 pledged to change its M.B.A. application and admissions processes and increase funding for scholarships by 63%. The school says it has since had some improvement and enrolled 19 black students in its 283-person class of 2021, compared with six in the prior year’s class.
Black students typically aren’t entering business school with the same wealth standing that some M.B.A. students have, he said, which means they are more reliant on student loans to fund their education. A U.S. Department of Education study in 2018 showed that a larger portion of white master’s degree students receive grant aid from their employer, compared with black and Hispanic students. Employer support for M.B.A. degrees has fallen in general in recent years.
Shartoyea Scott Dixon, vice president of campus programs at Management Leadership for Tomorrow, which focuses on increasing diversity at business schools and in corporate leadership, cited low minority representation in entry-level jobs at investment banks or consulting firms, employers that often funnel prospective students to graduate business schools.
“For my peers that have more money or from a higher income bracket, they probably have siblings or relatives who have gone through this process. I don’t have that,” she said. “I count myself very lucky, many people are not in my position. If I didn’t go to Harvard, I would be less certain that I would be applying to M.B.A. programs right now.”
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