In Frame: Indian School of Business

In India’s rapidly transforming landscape of higher education, universities are increasingly confronted with the imperative to reimagine their value proposition and diversify their revenue streams. Executive education programs have emerged as a strategic opportunity that promises not just financial sustainability, but also a profound mechanism for bridging the critical gap between academic knowledge and industry requirements.

The business case for executive education in India is compelling and multifaceted. With a massive demographic dividend, a rapidly expanding economy, and increasing global competitiveness, Indian universities have a unique opportunity to position themselves as catalysts of professional excellence.

The Global Executive Education Market is Growing Rapidly Due to Multiple Skill Gaps in the Industry

Source: Future Market Insights, KPMG, Forbes, FICO and CMI

The meteoric rise of the global executive education market underscores a fundamental shift in how organizations approach talent development and skill enhancement. This remarkable growth trajectory is not merely a statistical phenomenon but reflects the pressing need to address critical skill gaps that have emerged across industries in an era of rapid technological advancement and business transformation.

The accelerating pace of digital transformation has created a unique paradox in the corporate world, particularly in emerging markets like India. Traditional academic curricula and conventional corporate training programs have struggled to keep pace with the dynamic requirements of Industry 4.0, creating an unprecedented demand for specialized executive education interventions.

These skill gaps manifest across multiple dimensions — from data analytics to strategic thinking and adaptive leadership. As organizations grapple with artificial intelligence, machine learning, and automation, there is an urgent need to upskill existing talent pools while simultaneously preparing the next generation of leaders.

India Has a Significantly Under-Penetrated Executive Education Market Despite Having a Large Workforce

Source: World Economic Forum, Future Market Insights and Ken Research

The stark contrast between India’s workforce size and its share in the global executive education market presents both a challenge and an unprecedented opportunity.

Several structural factors have historically contributed to this marked under-penetration of executive education in the Indian market:

Emphasis on Formal Degree Programs: Indian corporations and professionals have historically prioritized conventional academic credentials over specialized executive education, leading to a cultural mindset that often overlooks the strategic value of targeted skill enhancement programs.Cost-Sensitive Market: With limited corporate training budgets and individuals often bearing the expense of their professional development, the relatively high cost of quality executive education programs has restricted widespread adoption.Accessibility Gap: Until recently, premier executive education programs were primarily concentrated in major metropolitan areas, creating geographical barriers for a vast segment of India’s professional workforce.Disconnect Between Academic Curricula and Industry Requirements: Many traditional education offerings have struggled to align with the unique challenges and contexts of Indian businesses, particularly in sectors undergoing rapid digital transformation.

With India’s workforce increasingly integrated into global value chains and the rising demand for specialized skills across sectors, the executive education market stands at an inflection point.

Senior Executives and Corporations are Recognizing the Impact of Executive Education on Their Organizations

Source: Emeritus Survey

The convergence of technological disruption, evolving business models, and increasing market volatility has created an unprecedented need for continuous leadership development. This shift is primarily driven by three key factors.

The accelerating pace of digital transformation requires leaders to constantly update their technological understanding and digital leadership capabilities.The growing complexity of global markets and stakeholder expectations demands new frameworks for strategic decision-making and risk management.The evolution of workplace dynamics, including remote teams, multi-generational workforces, and changing employee expectations, requires leaders to develop new approaches to talent management and organizational culture.

The impact of executive education extends far beyond individual skill enhancement. Organizations are witnessing how targeted leadership development programs create cascading benefits throughout their operations. As businesses face increasing pressure to remain agile and innovative, executive education has emerged as a crucial lever for organizational transformation and business growth.

Executive Education Can Have a Flywheel Effect and Enhance Brand Prestige for Core University Programs

By engaging with working professionals through executive education, institutions create multiple reinforcing loops that strengthen their overall brand equity and market position in higher education.

The presence of seasoned professionals in executive programs naturally attracts enhanced attention from corporate recruiters, who begin viewing the institution as a strategic talent partner rather than just a source of entry-level graduates. This strengthened corporate relationship leads to more diverse placement opportunities for students across all programs.

Simultaneously, successful executive participants become brand ambassadors, contributing to an increasingly influential alumni network. The ripple effects extend to the university’s core academic offerings as well. The practical insights and industry connections gained through executive education programs often inform and enrich regular curriculum development, making traditional programs more relevant and market-aligned.

The result is a self-reinforcing cycle where success in executive education catalyzes growth and prestige across the entire institutional framework.

Multiple HigherEd Players are Seizing This Opportunity By Building New-Age Executive Education Programs

As organizations prioritize digital transformation and seek to enhance their competitive edge, multiple higher education institutions are stepping up to meet this demand. By developing innovative executive education programs that cater to the specific needs of industries such as technology, healthcare, and finance, these institutions are not only addressing skill gaps but also fostering a culture of continuous learning among professionals.

SPJIMR: Renowned for its innovative participant-centric executive programs with strong industry integration; specializes in family business management and leadership development through its PGPGM and PGEMP programs.IIM Ahmedabad: Offers prestigious executive programs like the PGPX and diverse short-duration MDPs; known for case-based learning methodology and programs co-created with global institutions like Harvard Business School.Amity University: Leverages its multi-campus presence to deliver flexible executive programs across domains; strong focus on technology-enabled learning with specialized programs in emerging fields like AI, Data Science, and Digital Marketing.XLRI Jamshedpur: Pioneer in virtual interactive learning programs (VIL) for working professionals; known for its flagship General Management Programs and specialized courses in HR Analytics and Strategic Leadership.IIM Calcutta: Distinguished for its Advanced Management Programs and specialized offerings in Digital Strategies; strong emphasis on analytics and finance-focused executive education with global partnerships.Great Lakes Institute of Management: Leader in analytics and technology-focused executive education; offers innovative programs in AI & Machine Learning, Business Analytics, and Digital Business Transformation.IIT Bombay: Excels in technical management programs through its SJMSOM; offers unique blend of technology and management courses with strong focus on Operations and Project Management.KIIT University: Provides industry-aligned executive programs with focus on emerging technologies; known for its flexible delivery models and strong regional corporate connections in Eastern India.IIM Bangalore: Offers comprehensive executive education portfolio including the renowned EGMP; distinguished by its strong research orientation and expertise in entrepreneurship and innovation management.UPES: Specializes in sector-specific executive programs for energy, infrastructure, and transportation industries; known for its unique industry-integrated curriculum design.IIT Kharagpur: Offers distinctive technology-management fusion programs; known for its specialized executive programs in Supply Chain, Manufacturing Excellence, and Technology Management.Symbiosis: Pioneer in distance and online executive education; offers diverse portfolio of industry-relevant programs with strong focus on international business and digital transformation.In Frame: Indian School of BusinessISB Executive Education: Pioneering Leadership Development in IndiaThe Indian School of Business (ISB) has established itself as a premier institution for executive education in Asia, demonstrating remarkable growth since its inception in 2001. Through strategic partnerships with leading global business schools like Wharton, Kellogg, and London Business School, ISB has developed a comprehensive portfolio of executive education programs that cater to the evolving needs of business leaders in the region.The school’s executive education offerings have become a significant revenue stream while simultaneously strengthening its brand presence in the corporate education landscape.ISB’s executive education portfolio is strategically diversified across three key segments: open-enrollment programs, custom-designed programs for organizations, and online certificate programs. The open-enrollment programs, ranging from 2-day intensive workshops to 12-month modular programs, address crucial areas such as leadership development, digital transformation, and strategic management.These programs have consistently attracted senior executives from major corporations across Asia, with particularly strong enrollment from India’s leading companies. Custom programs have been developed for organizations like Microsoft, Google, and major Indian conglomerates, demonstrating the institution’s ability to create tailored solutions for complex organizational needs.The success of ISB’s executive education can be attributed to several key factors. First, the institution has maintained strong faculty excellence by combining its resident faculty with visiting professors from partner institutions and industry practitioners. Second, ISB has invested heavily in digital learning infrastructure, enabling it to pivot successfully during the COVID-19 pandemic and expand its reach through hybrid delivery models. Third, the school has developed strong corporate partnerships, creating an ecosystem that facilitates networking opportunities and real-world learning experiences for participants. Additionally, ISB’s location in both Hyderabad and Mohali has allowed it to serve multiple geographic markets effectively.Source: Harvard Business School and IIM Calcutta’s Annual Reports

Indian HigherEd Operators Have an Opportunity to Leverage Executive Education to Create Value in Multifold Ways

As India’s corporate sector increasingly recognizes the importance of continuous learning and professional development, higher education operators are uniquely positioned to capitalize on this growing demand while strengthening their institutional capabilities.

Economic Opportunity: With the market projected to grow substantially and current penetration levels being low, institutions can tap into this high-margin segment to create substantial additional revenue streams.Higher Asset Sweating: By utilizing campus facilities, learning resources, and faculty bandwidth during off-peak hours and weekends, institutions can significantly improve their asset utilization rates, which translates directly to better returns on institutional investments.Brand Enhancement: By engaging with senior professionals and leading corporations, institutions can elevate their market positioning from traditional degree providers to strategic knowledge partners for the industry.Network Effect: Executive education programs help institutions build a powerful network of accomplished professionals who become brand ambassadors in the corporate world, with the expanding base of senior executive alumni enhancing institutional credibility.Source: Financial Times Executive Education Custom Rankings 2024

HigherEd Institutions Need Multiple Enablers as Critical Success Factors To Leverage Exec. Ed. Offerings to the Fullest

A strong established brand in higher education serves as the foundation, lending credibility and trust to executive offerings. Equally crucial is the development of faculty capabilities beyond traditional academic teaching — educators must be equipped to deliver practical, industry-relevant content while effectively engaging with experienced professionals who bring their expertise to the classroom.

Deep connections with the corporate world ensure program relevance, provide real-world learning opportunities, and create valuable networking possibilities for participants. Modern infrastructure, encompassing both physical and digital learning environments, demonstrates institutional commitment to excellence and enables the delivery of sophisticated learning experiences that senior executives expect.

When these four enablers work in concert, institutions can fully capitalize on the executive education opportunity while maintaining their academic integrity and enhancing their market position.

The Executive Education Market is Poised for Transformative Growth Driven by a Confluence of Factors

As organizations grapple with multiple disruptions simultaneously, the need for continuous leadership development and skill enhancement has become more critical than ever. This fundamental shift in how businesses approach learning and development, combined with the growing complexity of the business environment, is creating sustained momentum for executive education programs.

Digital Transformation Imperative: The rapid adoption of AI, automation, and digital technologies has created an urgent need for executive education programs that equip leaders with upskilling opportunities, prepare them to navigate digital disruptions in traditional business models, and enhance their ability to make data-driven decisions.Evolving Workforce Dynamics: The rise of hybrid work models, multi-generational teams, and the increasing focus on employee experience and retention are driving the need for executive education to develop adaptive leadership and management skills tailored to evolving workforce expectations.Economic Uncertainty and Market Volatility: In a complex and volatile global business environment, executive education is essential to strengthen strategic thinking, foster agile decision-making, and build capabilities in risk management and organizational resilience among leaders.Skill Obsolescence and Continuous Learning: The accelerating pace of skill obsolescence and the shorter lifespan of technical and management knowledge highlight the importance of executive education in fostering continuous learning and keeping leaders equipped with relevant skills.Regulatory and Compliance Evolution: As regulatory landscapes become increasingly complex, executive education is critical in providing leaders with updated governance knowledge, compliance expertise, and the ethical leadership skills needed to manage corporations.Sustainability and ESG Focus: The growing emphasis on sustainable business practices and ESG principles underscores the need for executive education programs that develop responsible leadership, enhance ESG literacy, and prepare executives to meet rising stakeholder expectations.

The establishment of executive education programs represents more than just a revenue opportunity for Indian universities — it is a strategic imperative in today’s competitive higher education landscape. The business case for executive education is compelling, supported by strong market demand, significant revenue potential, and opportunities for institutional advancement.

Universities that successfully launch and scale executive education programs stand to gain not only financially but also in terms of enhanced market position, stronger industry relationships, and improved academic quality. As India continues its economic ascent, universities that embrace executive education will be better positioned to meet the evolving needs of industry while building sustainable, diversified revenue streams for the future.

LoEstro Advisors is an investment banking firm specializing in sell-side fundraise and M&A advisory, along with a strong consulting arm. Recognized as the #1 financial advisor in education in India, we are the advisor of choice to India’s blue-chip education businesses.

Over the last four years, we have grown to be one of India’s largest (in terms of M&A transactions) homegrown boutique investment banks, with $1.2bn+ worth of combined deals closed across education, healthcare, consumer, and technology sectors.