Are you unsure whether to pursue an MBA in finance or HR? Learn more about the course’s potential, focus, pay, job prospects, benefits, and best colleges.
Considering earning an MBA? Or debating a certain specialization? Not to worry! This article will serve as the mystery’s key.
One of the most difficult and prestigious courses to take in India is an MBA course. However, one must choose the specialization in which they want to pursue a career. Which should I pick: Finance or HR? One the one hand, a career involving the financial facets of a corporation, such as risk management, fund valuation, and accounting, is possible for graduates with an MBA in finance. The largest capital of an organization, i.e., human capital, must be managed, according to an MBA in HR.
MBA Finance vs MBA HR – Key Highlights
An organization is made up of different departments with unique functions and guiding principles. The human resource department and the finance department, which are in charge of managing and administering an organization’s personnel and financial resources, are two such departments that are of utmost importance to any organization. However, the two have a variety of chances and scope that are specific to their needs.
| Basis | MBA Finance | MBA HR |
| Full-Form | Masters of Business Administration in Financial Management | Masters of Business Administration in Human Resource Management |
| Duration | 2 years including internship | 2 years including internship. |
| Eligibility | Minimum 50% in the undergraduate degree. | Minimum 50% in the undergraduate degree. |
| Domain of Study | Financial Valuation, Accounting, Investment Management. | Labour Laws, Principles and Policies of Human Resource, Compensation Management. |
| Entrance Exam | CAT, XAT, SNAP, MAT, NMAT and CMAT. | CAT, XAT, SNAP, MAT, NMAT and CMAT. |
| Average Salary | INR 7 – 20 LPA | INR 3 – 18 LPA |
| Who can opt for this? | Students having an inclination in finance and investment management and analysis. | Students having an inclination towards management of human welfare and maintenance of laws and policies should opt for this. |
MBA Finance vs MBA HR – Overview
An internationally recognized 2-year post-graduate program is the MBA, or Master of Business Administration. Students can learn analytical and critical thinking abilities in this course, as well as a curriculum that will help them learn more and become specialists in a particular area. The aspirants enroll in an MBA program for a variety of reasons: some come to expand their skill sets and advance their professional paths, others come to change their field of expertise, and some come to improve their employment prospects when the program is over.
One of the most important specializations one can choose from is human resources. This speciality is frequently misconstrued as being simple and suitable just for less competent individuals. But that is simply untrue. Gaining specialized expertise in people management will help you become a successful recruiter, and an MBA with a specialty in human resource (HR) will enable you to learn about ethical issues and business environment policies.
MBA Finance vs MBA HR – Subjects & Syllabus
The completely different curricula and disciplines given during an MBA’s two-year program are one of the main distinctions between an MBA in Finance and an MBA in Human Resources. Despite the fact that the first year of education focuses mostly on the fundamentals and core knowledge of business, One learns the fundamentals of every discipline, including finance, human resources, marketing, and operations. However, one can select a specialization of their own during the second year of an MBA based on objectives and interests. The MBA in HR and Finance course outline and major topics are listed below:
MBA Finance Subjects
- Portfolio Management
- International Trade and Finance
- Merchant Banking
- Strategic Management
- Accounting
- Corporate Financial Planning
MBA HR Subjects
- Labour Laws
- Training and Development
- Human Resource Planning
- Human Resource Information Systems
- Performance Management
- Cross Culture HR
MBA Finance vs MBA HR – Skills
MBAs are renowned for their specialized knowledge and abilities. For someone considering a job in management, traits including leadership, interpersonal communication, problem-solving, and analytical skills are among the most important. However, a person choosing HR may or may not have an interest in accounting, but for a student studying finance, having an understanding of accounting is essential. The following are some of the abilities needed for an MBA in HR and Finance:
MBA in Finance – Skills
- An understanding of Financial principles and accounting.
- One has to be a multi-tasker and a calm mind to take in criticism.
- Quantitative and Analytical skills.
- Should have the ability to handle complex data and break it down into simpler fragments.
- Should have an eye for details.
MBA in HR – Skills
- Should adapt to react to change management in the organisation.
- Negotiation Skills are paramount for HR managers.
- Need to be discrete and ethical in their approach.
- Negotiating and conflict management skills.
MBA Finance vs MBA HR – Benefits Of Pursuing
Students who pursue an MBA in Finance or HR have excellent employment options as well as the possibility to advance in their chosen fields. However, there are certain distinct advantages of the two courses that a student may obtain by choosing them:
MBA Finance Advantages
Planning, projecting, obtaining, allocating, and analyzing the resources and cash of an organization at each step of operation have been central to a career in finance. As top management is constantly present, a student pursuing a career in finance has the opportunity to grow and widen his or her professional network. Additionally, one has the chance to comprehend the financial globe in a far more straightforward and comprehensive way. Here are a few of the advantages:
- An analyst’s and critical thinking abilities are strengthened by having to deal with financial and investment risk on a regular basis as a finance professional.
- This industry is open to the world’s financial markets, and there is potential for additional expansion and improvement.
- One develops specialized knowledge in several facets of finance, including accounting, valuation, and investment.
MBA HR Advantages
One of the most responsible and astute employees in a company is a human resources specialist. They have daily interactions with both the board of directors and the employees, who represent different departments and cultures. A effective HR practitioner must have a cool, collected demeanor. Following are a few advantages of a profession in human resources:
- Being an HR professional becomes important to an organization’s performance, which raises job stability.
- One must possess in-depth knowledge of industry trends and developments to function as an organization’s HR, which promotes both professional development and industry comprehension.
- Employees are guided and prepared for future development by HR. An HR professional’s leadership abilities are highlighted by this.
MBA Finance vs MBA HR – Scope & Opportunities
due to the increased economic development of all national economies. Demand for employment has risen quickly, which raises the need for a superior human resources professional to choose and efficiently manage the best candidates. An organization’s risk financing planning has increased along with this rise. Organizations need finance managers to forecast and plan the resources at this point. This implies that there will always be plenty of opportunities for managers of finance and human resources. The list of top employers for these two specialists is endless and includes Deloitte, Wipro, and TCS. The opportunities an HR and finance manager can search for are listed below:
MBA in Finance – Job Opportunities
- Financial Advisor
- Financial Analyst
- Accounting & Taxation Managers
- Investment Bankers
- Credit Risk Managers
- Portfolio Manager
MBA in HR – Job Opportunities
- Talent Acquisition HR Manager
- Compliance HR Manager
- Training HR Manager
- Labour Relations Manager
- Training and Development Specialist
MBA Finance vs MBA HR – Salary
People frequently worry about compensation plans and wages after completing an expensive school like an MBA. However, a person is likely to receive a respectable salary after earning an MBA. However, we have given typical salaries for a few positions in finance and human resources open to MBA graduates:
MBA Finance Salary
JOB ROLE | AVERAGE PAYSCALE |
| Financial Analyst | INR 4.2 LPA |
| Accounting & Taxation Manager | INR 7 LPA |
| Investment Banker | INR 9.4 LPA |
| Portfolio Manager | INR 10 LPA |
| Credit Risk Manager | INR 9.8 LPA |
MBA HR Salary
| JOB ROLE | AVERAGE PAYSCALE |
| Talent Acquisition HR Manager | INR 5.5 LPA |
| Labour Relations Manager | INR 8 LPA |
| Training HR Manager | INR 7.7 LPA |
| Training and Development Specialist | INR 5.8 LPA |
| Compliance HR Manager | INR 10 LPA |
MBA Finance vs MBA HR – Top Colleges
The division of the business known as finance is in charge of allocating resources and finances inside the company. The main capital of any firm is its human resources, which are managed by HR specialists. To attract, develop, and hold onto the greatest personnel in the sector, any firm must have the top HR specialists. One needs a university or institute that offers world-class education and facilities in order to acquire the abilities and knowledge necessary to become an expert and to adequately educate oneself about theory and practice.
MBA Finance vs MBA HR – Which One To Choose?
The MBA program is famous for providing its students with excellent experiential learning opportunities. Through its rigorous classroom instruction and case study-based, practical education, the course is designed to prepare its students to enter the workforce as “corporate ready” individuals. Some justifications for picking MBA Finance and HR include:
Global acceptance: MBA courses are recognized all across the world. All throughout the world, whether in Australia, the United States, or Europe, MBA experts are respected and valued.
High-paying Jobs: Pursuing an MBA degree helps a person’s career path grow and improve. A candidate for an MBA has the chance to join the middle management of a firm and receive highly lucrative salaries and benefits.
It all comes down to the potential managers who want to pursue careers in that area. Before choosing a specialization, one must comprehend and evaluate their interests and objectives. Before selecting a choice, one should take into account variables like career goals and open chances. We have made an effort to include some of the key facets of finance and HR specialization. Happy learning until then!
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