MBA in the crisis: Why top degrees are no longer enough

The Harvard MBA was long regarded as a guarantee for a brilliant career. But times are changing rapidly and artificial intelligence is shaking up the world of work. What does this mean for students and young professionals?

In the latest episode of Paul the Insurer, Paul picks up on a newsletter by Eduardo Remolins: Job prospects for MBA graduates have deteriorated dramatically. The Harvard MBA was once seen as “life insurance” for a prestigious career. But this security is crumbling.

One figure makes this particularly clear: in 2021, only four percent of Harvard MBA graduates did not have a job offer three months after graduation. By 2024, this figure had risen to fifteen percent, an almost four-fold increase. Even among the best of the best, offers no longer seem to be a given. And Harvard is not an isolated case. Yale, Stanford and MIT are also seeing the same trend.

Why elitist degrees are losing their appeal

The central question is: what has changed so fundamentally that even top degrees no longer automatically open doors? According to Paul, the answer is simple: artificial intelligence.

AI is taking on more and more tasks, especially in the entry-level sector. These include data analysis, research and standardized decision-making processes: all the activities for which companies used to recruit young talent and then develop them over a period of years. This model is disappearing. Companies need fewer junior employees who first need to be developed and more employees who can deliver results immediately. Even highly qualified MBAs are therefore increasingly in direct competition with automated systems.

When career paths become less linear

For a long time, a career path was considered vertical, stable and plannable. However, this idea is becoming less and less in line with reality. Work is becoming more complex, more unpredictable and less hierarchically structured. Companies are no longer building long-term training programs. Prestige alone is no longer enough, as adaptability is becoming the decisive factor.

New possibilities thanks to artificial intelligence

However, change is not only a threat, but also an opportunity. AI makes many entry-level jobs superfluous, but at the same time opens up new paths. Those who actively use the technology can start their own projects more quickly, specialize or become entrepreneurial. The path may have become more difficult, but it is also more diverse.

Paul sums it up with an old saying: “When one door closes, another opens”.

The MBA crisis is a symptom of profound changes in the job market. But those who understand how AI is changing career paths and how to use this technology sensibly still have great opportunities. The future does not automatically belong to the best qualified, but to those who best adapt to the new reality.

Binci Heeb

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