Business Schools Embrace Nondegree Credentials
Credit: SDI Productions / E+ / Getty Images- A GMAC report found that 62% of business schools offer some form of nondegree credentials for students.
- These include offerings like stackable credentials, executive education, and certificates.
- Nondegree credentials are a popular option for both students and employers.
- GMAC found a higher percentage of business schools in Europe and Canada embraced nondegree credentials than those in the U.S.
Nondegree credentials are a popular option for students — and business schools are embracing these short-term educational offerings.
The Graduate Management Admission Council (GMAC) found in its 2024 Application Trends Survey that 62% of business schools offer some form of nondegree credentials for students.
These nondegree credentials take on a number of forms, according to the GMAC report, from stackable certificates to microcredentials and executive education programs.
“Overall, the number of business schools around the world offering nondegree learning opportunities signals that they understand one size does not fit all, especially in the age of AI (artificial intelligence), flexible work, and personalization,” the report reads.
Schools that were highly ranked tended to be more likely to offer nondegree credentials than others, and public schools were significantly more likely to offer them.
Nearly 70% of business schools at public universities offered nondegree credentials, compared to 57% of private, nonprofit universities.
GMAC also found geographic variation in which business schools offered nondegree credentials, with schools in the U.S. less likely to offer them compared to schools in Canada and Europe.
| Location | Percentage Offering Nondegree Credentials |
|---|---|
| Canada | 79% |
| Europe | 73% |
| United States | 56% |
| Asia-Pacific | 46% |
Universities have rolled out short-term credentials in recent years amid rising demand from students who see the value in these nondegree programs — particularly as employers drop college degree requirements.
The University of Texas (UT) System recently expanded its popular no-cost job certificate program with Coursera to include all students, staff, and alumni. That wide-ranging program has seen UT students spend more than 111,000 hours learning online since its launch last year.
Short-term and stackable credentials come in a variety of formats, including certificates, microcredentials, badges, and more. Nondegree credentials are rising in popularity, and employers indicated in a 2023 report that they see value in nondegree programs.
Business schools have launched short-term credential programs in high-demand areas like AI and financial technology (fintech) over the past year. The Ohio State Fisher College of Business debuted a short-term credential in fintech earlier this year.
That two-course, 4.5-credit hour credential is open to all professionals with a four-year undergraduate degree.
“Successful innovation means being in tune with the needs of our audiences,” Fisher Dean Anil K. Makhija said in a press release at the time.
“The fintech microcredential, the first such offering by a university statewide, is an example of identifying a real need among industry and business professionals and then responding to that need by creating a convenient, relevant, and accessible path toward personal growth and lifelong learning.”
Some master of business administration (MBA) programs have even integrated credentials into their curriculum. The University of Jamestown’s new online MBA program is built around stackable credentials in high-demand fields.
University of Jamestown Provost and Vice President Paul Olson said in the school’s press release that the program’s curriculum “has all the essential elements of an excellent MBA program and has the added bonus of microcredentials that allow students to specialize in the areas that best meet their professional goals and needs.”
The embrace of stackable credentials comes alongside skyrocketing applications at graduate business schools: The GMAC report found a 12% rise in applications this year after two years of declines.