A Brief History of the Business Administration Major
At the core of every business school is the business administration major, a subject which integrates the disciplines of finance, accounting, strategic planning, marketing, and organizational behavior. The origins of business education date back to 1881 when the University of Pennsylvania founded the Wharton School. As the first collegiate business school in the United States, as well as the world, Wharton was purposed to provide young men with an education that specifically focused on finance and economy in order to prepare them to be leaders within business and government. Business schools that followed in Wharton’s footsteps primarily focused on commerce, meaning that curriculum emphasized the economy as an entire system that comprises the right environment for business.
In 1900, Dartmouth College founded the Tuck School of Business which was the first institution to offer master’s degrees in commercial sciences, namely the Master’s of Science in Commerce which was the predecessor of the Master’s of Business Administration degree. Then, in 1908, Harvard University founded the Graduate School of Business Administration which was the home of the world’s first MBA program. But it wasn’t until after World War II that business administration schools began gaining popularity, due to significant industrial growth. Today, business administration degrees are offered at practically every institution of higher education to meet the demand of this highly applicable discipline. Along with the general business education this major provides, it is becoming increasingly common for students to also choose a business specialization to focus on. By completing a number of additional courses, business students can graduate with a concentration in common areas like finance, marketing, management, and accounting.
Delving Into the Business Administration Major
Those students looking for the flexibility to work with many different types of companies and the skills to start their own business will find what they are seeking in a business administration major. Business administration curricula will include general classes in management and finance as well as economics and leadership. Depending on the focus that students choose, courses will also be offered in international business, human resources, entrepreneurship, real estate, operations management, information systems, finance, or accounting. Courses in business ethics and social responsibility may also be included. In order to receive training across all disciplines, those seeking a degree in business administration will also take classes in advertising, sales and marketing. Common course titles in business administration majors include business policy and strategy, business statistics, financial management, economics, marketing, and management information systems.
As practical experience is a necessary component to business education, students should expect programs to incorporate professional training, internships, industrial visits, and expert interaction. Course will likely involve a variety of projects such as case studies and presentations in which they study, analyze, and find solutions for common business problems. Students should gain the skills necessary to deal with the challenges faced in the workplace such as teambuilding and interviewing. Additionally, students will also develop the skills necessary for practical management, effective communication, and decision-making as it relates to a business environment. Business administration is a prerequisite for a number of graduate programs with a Masters in Business Administration being one of the most popular.
Degree Levels:
Associate
Students pursuing an Associate of Business Administration degree are introduced to the core concepts of business like accounting, management, statistics and business law. These types of programs generally take two years to complete and require students to earn around 61 credits through courses like business computer skills, principles of accounting, composition and rhetoric, principles of management, statistics, introduction to macroeconomics and microeconomics, and law. Graduates of an ABA program will develop the skills necessary to communicate professionally, utilize computer applications, and solve and identify problems through critical thinking. As a foundational business degree, the ABA can be awarded by a two-year college or used to transfer to a four-year college or university.
Bachelor’s
Those who decide to earn a Bachelor’s in Business Administration will receive a broad education that incorporates both business and commerce. Students will learn about how the business industry as a whole, and about the functional areas of businesses including how they related to one another. Along with taking a comprehensive approach to learning about business administration, many BBA programs also give students the option to specialize within a certain area of business such as management, finance, marketing, accounting, or human resources. These types of programs generally require students to earn around 120 credits through courses like business ethics, financial mathematics, quantitative techniques, organizational behavior, and operations management.
Master’s
Those interested in earning a professional degree should pursue a Master’s of Business Administration. These types of programs take a broad approach to education through curriculum that is related to but not necessarily unique to business. MBA programs can take from one to three years to complete depending on program format, generally MBA students are required to complete anywhere from 48 to 60 credit hours. Within the first part of the program, students take courses on advanced topics in core business subjects, such as corporate strategy, marketing implementation, managerial accounting, organizational structure, and decision models. In the second part of the program, students take courses within a chosen specialization such as management science, project management, real estate, entrepreneurship, economics, and finance.
Doctorate
Those interested in business research can pursue a doctorate in business administration. This degree goes above and beyond that of a master’s degree and consists of advanced coursework and research. It is designed for those in managerial and executive positions who want to use their knowledge to contribute to professional development and business practice. Doctoral students conduct research related to business theories and practices, of which typically leads to a dissertation or journal publication. These types of programs may also require students to complete a residency, doctoral study project, or thesis. DBA can take from three to four years to complete and require students to complete around 60 hours.
Supplementing Your Business Administration Major
As business administration is applicable to a variety of industries there are various concentrations within this discipline that students can choose in order to further their knowledge and define their expertise within a certain niche. Some concentrations are more traditional including accountancy, finance, general management, human resources, marketing, and communications. Other concentrations may focus on a particular field like international business, real estate, construction management, insurance, health care administration, non-profit management, and restaurant and hotel management. There are also many concentrations that have more recently evolved due to an ever advancing business environment, such as information technology, organizational behavior, entrepreneurship, E-commerce, management of information systems, risk management, organizational leadership, quantitative analysis, or economics. Students who are able to specialize in a particular kind of business will give themselves a leg up coming out of school. In addition, updating one’s talents to include proficiency with different technologies used in business will make the degree holder that much more valuable to any business.
Students can also further define and customize their education by minoring in an area that complements there career goals. In undergraduate studies, students can declared a secondary focus, known as a minor, if they wish to expand their education to more than just one subject area. Not as many courses are required to complete a minor, which usually consists of about 18 to 21 credit hours, and students have greater flexibility when it comes to the courses they can choose to take. A minor is often a great way to gain additional knowledge, gain additional specializations, and make yourself more attractive to employers. Common minors for the business-minded individual include management technology, computer information systems, economics, statistics, legal studies, or advertising. Minors can also be beneficial depending on your business administration concentration. For example, if you are a business administration major who is specializing in international business, minoring in a foreign language could help you qualify to do business with a foreign country. If your concentration is human resources, then a minor in a social science like sociology or psychology could be beneficial. Additionally, if your dream is to one day be a business owner, you may want to minor in the area you wish to conduct business in. Want to be the owner of your own performing arts studio? Minor in dance, music, art, or theater. Do you desire to open and manage your own store? Consider minors in fashion merchandising, apparel design, or consumer sciences.
Learn More About the Business Administration Major
- Princeton Review Major: Business Administration
- MIT Sloan Management OpenCourseWare
- The Business Journal
The Business Administration Major in the Job Market
First and foremost, degree holders will be well prepared to enter and compete in the business world and should gain the leadership skills to be able to move into management positions. As with many business degrees, those with a background in business administration should be able to move into a variety of companies and positions within those companies. Those who are pursuing a degree in business administration should have a variety of job opportunities upon completion of their studies. Starting salaries for business administration degree holders are comparable to other business undergraduate degree holders’ at $40,000 to $50,000 at smaller firms and reaching as much as $70,000 at larger firms, according to Payscale. The advantage to a business administration degree is that there may be more flexibility to move among different types of companies. Common industries for business administration degree holders to fall into include financial services, product development, manufacturing, information technology, and consulting.
Students with the entrepreneurial spirit to start their own business will gain the necessary skills to do so with a degree in business administration. The ability to start one’s own company gives business administration degree holders the independence and freedom to pursue the work they are most passionate about and to work for oneself. Obviously, the salary potential for someone with their own company is impossible to define with the top end being in the hundreds of thousands of dollars or more. It is not uncommon for those with degrees in business administration to own their own companies within financial services, human resources, retail, real estate, marketing, information technology, or professional services.
Those with an associate in business administration can pursue careers as administrative professionals like secretaries, executive administrative assistants, support specialists, and office supervisors. In May 2008 these types of administrative professions earned a median annual income of $40,030, according to the Bureau of Labor Statistics. Bachelor’s degree holders in business administration are generally eligible for management positions within operations, projects, human resources, or administrative services. According to the Bureau of Labor Statistics, the median annual wages of these types of managers in May 2008 was $91,570. Those with an advanced degree in business administration, such as master’s or doctoral, can qualify for positions as top executives including titles like chief executive officer, chief operating officer, chief financial officer, or chief information officers. These types of executives are among the highest paid workers in the country, although their salaries often depend on the type, size, and location of employer.
Those interested in learning more about business administration education and careers should check out the following resources. If you’re confused about whether or not business is the educational path you want to take, check out College Board’s Major and Careers Central for more information on this preprofessional degree. The Wall Street Journal’s Career page is also a great resource for business administration students who want to read the latest business news, stay current on industry trends, and get relevant information on career outlook in the corporate world.
Careers I Can Get with This Degree:
