• So everyone talks about “The GMAT,” but what is it really?
• And do I really have to take this test if I am applying to online mba schools?
• And what is it like?

Well, we wanted to take a closer look at this infamous exam and uncover some of the mystery. In this Part 1 of a 2 part article, we will look at the basics of the test, the scoring format, and the Analytical Writing Assessment section.

First, The Basics

The GMAT (Graduate Management Admission Test) is a standardized test that is administered by the GMAC (Graduate Management Admission Council) and taken in testing centers throughout the world. The test is designed to assess your mathematical, verbal, analytical and writing skills and abilities to provide business schools with some measure of your likely success in an MBA program. The GMAT is a requirement for a majority of MBA schools and programs, including the top online mba programs.

The total exam time is 3.5 hours and is broken down into 3 section: Analytical Writing Assessment, Quantitative, and Verbal – we will look at each section a little more closely below. A new 4th section will be introduced to the GMAT in June of 2012, read more about it here. The GMAT is famous for it’s unique question structures, which are likely different that any other exam you have ever taken, and its “adaptive” scoring method.

Now let’s take a closer look…

Format and Scoring

The GMAT uses an “adaptive scoring” methodology that it will use to calculate your scores that will be reported to mba schools. This basically means that the test “adapts” to your abiliity level as it continues. You begin the test with a question of “medium” and based on your response to that question, the test decides which question to present next. Usually, a correct answer will result in a slightly more difficult question next, and a wrong answer would result in a slightly less difficult question next. The idea is that this method zeros in on your true ability in the subject matter.

Since the test is scoring each question before deciding which question to present next, you answer only 1 question at a time. This also means you can NOT skip a question, go back to one later, or change any answers. Once you click next, that’s it! If you make accidentally click the wrong answer, but new the correct one, the adaptive system should get back to the correct difficulty level within a couple questions.

FINISH ON TIME! There is a significant penalty for not completing the exam, so pace yourself appropriately. It might be better to make an educated guess on a question than to spend too much time on it and not finish the test.

Analytical Writing Assessment

This is basically the essay section. It consists of two 30-minute written responses to a prompt; one on “Analysis of an issue” and one on “Analysis of an argument.” It isn’t necessary to have specific knowledge of the topics being addressed in the prompt, only an ability to write analytically. Note, this section is often not considered by MBA programs when evaluating candidates. In fact, most mba schools don’t even look at this score (so don’t stress too much over it). However some schools, including some online mba schools, may look at this section – so you do need to take it seriously.

Analysis of an Issue

In this section, there is no correct or incorrect answer; rather you just need to analyze the issue, then develop and present your own opinion on the matter. You should consider multiple perspective and support your opinion with personal experiences, observations or reading.

Click here to see a sample “analysis of an issue” question.

Click here to download a complete list of the current Analysis of an Issue Topics. (note:these change all the time and may not be current)

Analysis of an Argument

In this section, you are presented with an argument and asked to analyze and critique that argument. You are not presenting your opinion here, it doesn’t matter whether you agree or disagree with the argument presented, you are being evaluated on your ability to critique the argument. According to the GMAC: “The Analysis of an Argument section tests your ability to formulate an appropriate and constructive critique of a specific conclusion based on a specific line of thinking.” In this section, you are looking for questionable assumptions used in the argument, alternative explanations, or missing evidence that might strengthen or weaken the argument.

Click here to see a sample “analysis of an argument” question.

Click here to download a complete list of the current Analysis of an Argument Topics. (note:these change all the time and may not be current)

Bottom line: The GMAT is tough, but if you study and utilize all the study resources available, you should survive. Remember to research various online mba schools or programs to determine the admission requirements for each mba program you are interested in. Make sure to check out Part 2 of this article where we look at the quantitative and verbal sections….

For those that can’t afford to take 2 years off work to complete a traditional MBA program, online mba programs are becoming an increasingly attractive alternative. Online MBA Programs from accredited online universities are often highly respected and offer a flexible learning structure to accommodate working professionals or other demanding life situations, as well as a variety of customized mba programs.

As the completion date for an online MBA program grows closer, many students look for the areas of top job placement from online MBA programs. Despite negative turns in the world of business, there are positive projections for new opportunities for graduating MBA students.

How Strong is Job Growth in the Online MBA Sector?

According to the Bureau of Labor and Statistics, between the years of 2008 and 2018, substantial job growth is expected in the areas of

management, business, financial, and professional sectors. Management, business, and financial sectors are expecting a job growth of 11% while other professional sectors can look forward to job growth of 18%. Growth in the employment sector overall for people with an MBA is expected to reach 18%1 as well. So, where are graduates of online MBA programs most likely to be placed after graduation?

Wind Energy and Alternative Energy

About 70% of states in the United States are currently producing electricity via wind energy. In 2009, jobs in the wind energy field were 21% manufacturing, 11% construction, 5% operation and maintenance, and 63% other jobs.2 These other jobs include financial, consulting services, and logistics – all areas that often require an MBA.

Management, Business, and Finance

Not all management positions are projected to see growth in the ten year period between 2008 and 2018, but two are looking to drive the 11% projected increase. The highest area of growth is expected in the accounting and auditing areas of business management, with total new jobs reaching 279,400. Management analyst positions should add 178,300 jobs over the 10 years. This number does not take into account the replacement jobs due to retirement and job loss,1 which will make these figures only better.

Professional and Related Occupations

The professional sector of the employment population typically includes medical and social services, accounting for a large percentage of job growth. Specialized online MBA programs in areas such as Healthcare Management, Project Management, Operations, and Human Resources are all highly sought after in these growing industries. Between 2008 and 2018, graduates from an online MBA program may also find a few changes in the definition of professional services, giving them access to more than 1.3 million new jobs. Professionals now include the fields of education, training, and library occupations. With job growth of 14% in these three areas alone, the professional MBA can also find growing opportunities in the education industry or as a training consultant.1

Opportunities from an aging workforce.

The labor force is changing with a significant shift in ages of working professionals. By 2018, 23.9% of the job force is expected to fall in the 55 and up age bracket. That means almost 40 million people in the workforce will be at or very close to the retirement age; these older professionals occupy a major part of what is considered “upper management” positions, positions that often require an MBA. As they retire, these positions will need to be filled with qualified professionals. Just more than 41% of the job force will be between the ages of 35 and 543.

With age comes experience, but employers want both experience and education. Many professionals choose to take job placement by the horns and complete an online MBA program to set themselves apart from the rest of the workforce. Even if a job competitor has 20 years of experience in a given field, that MBA could be the piece of the puzzle that lands you the job.

How will an MBA affect your price tag?

Let’s face it, we all work for a reason, and one of those reasons is usually to get paid! Well good news if you are considering an MBA Program, MBA’s get paid as much or more than all other degree types.

According to this salary information, jobs with MBA in their descriptions pay 53% more than Bachelor’s degrees, 46% more than other  Masters Degrees, and virtually the same as PhD’s.

All jobs and degree holders have seen salaries drop in the past couple years of the current recession. However as you can see below, MBA holders seem to be fairing pretty well over the past 12 months, even seeing some slight increase in salaries.

While there is never any guarantee that more education will increase your income, the statistics sure are in your favor if you are considering an MBA program. With MBA’s getting paid as much or more than all other degree holders, now may be the right time to get that next level of education.

What about the time and expense?

It is true, an MBA program can take some significant time on your part, as well as cost a pretty penny. But there are options out there for those of us that can’t afford to take the next 2 years off work – online MBA programs offer great alternatives that allow students to study at times and places that are convenient for them. And there are a huge number of accredited online mba schools these days.

And the expense? Oh the options! There are a lot of different ways to pay for mba schools and programs these days. The federal government offers a number of grants (aka “Free Money”), student loans with very low interest rates, and other great programs. You can also look into potential tuition reimbursement programs through your current employer, and plenty of private scholarships. To learn more about these options, we recommend reading some of our articles on Financial Aid.

Take the next steps toward increasing your earning potential today and start researching online mba programs. Most schools offer brochures and information for free! Check out the links in the box “Next Steps” box below to start your search.

Economists. What do they do?

With the economy how it is today, is becoming and economist the right idea? The following is a little insight into the ups and downs of an economist.

The Career. Everything from Macro to Micro.

Economy is the study of the distribution of society’s resources in an effort to create goods and services. As economists collect data on such resources including labor, raw materials, land, etc, they are able to analyze it and build predictions for a vast array of purposes. Whether they are working for a corporation and looking to find trends in their industry, or working to develop key forecasts for economic growth on a grand scale, economists research, collect, and analyze data from the past to present day in order to better prepare for the future.

Within the field of economics, there are multiple different career paths.  You may be interested in focusing on an individual company, the national financial market, or even the international global market- and the good news is, you can.

Microeconomists research the supply and demand market of individuals, as well as companies. They determine ways to maximize profits as well as research the consumers’ demand of goods or services at a specific cost.

Industrial and organizational economists focus on the market structure of companies with respect to their competition. This can include the study of monopolies and antitrust policies.

Macroeconomists study the economy on a broad scale. They research historical patterns in order to develop predictions for future trends in fields such as inflation, employment, and investments. Similarly, financial economists work on future predictions for things like interest rates within the banking system.

International economists focus on just that- the global economy. They study everything from trade tariffs to currency exchange rates

Labor and demographic economists look at demographic patterns like increasing immigration and the effects they have on employment and labor markets. They also study the determination of wages.

Public finance economists study the role of the government within the economy and the changes brought on by the federal budget, tax cuts, and welfare policies.

Econometricians are the math geniuses. Using advanced mathematical techniques in calculus, game theory and regression analysis, they are able to study the relationships of all that is financial and develop models that will help predict trends in everything from business cycles to rate inflation effects.

As an economist, you will gain the skills to be able to effectively study the market trends in whatever specific field you are interested in.

Qualifications, Personality and Education.

The nature of economics demands a person who is patient and precise. An economist must have excellent attention to detail. They must also have thorough experience in computers as well as highly developed quantitative skills. It is also helpful for economists to have good communication skills so they can explain their research both orally and on paper

To become an economist, a bachelors degree is minimal. As a graduate with a bachelors degree you may be able to work at an entry level job as a research analyst, but any jobs of greater responsibility will require higher education, such as an MBA in Economics. To work for the government as an entry-level economist, you are required to have a bachelors with at least 21 semesters of economics as well as hours in statistics, accounting, and/or calculus. There are very little jobs in the private sector that do not require a masters or Ph.D. in economics.

Employment opportunities

Once you have the education, what can you do with it? As a person with a qualified knowledge of economics, you can work in several different fields. Economists can work in both the government and the private sector. In 2008, 53% of economists worked in the government, with the remaining in private fields such as development services and scientific research. Many economists also do part-time consulting or teaching. In 2008, there were roughly 14,600 jobs for economists. The down side is that job opportunities are projected to grow at a slower rate (6% from 2008 to 2018) than the average career, as many of those with higher education in economics seek careers in the business and finance or insurance fields.  However, if you are interested in a career in those fields, their job opportunities are projected to grow much faster. The employment growth for economists in the government will be slower than that of the private sector.

The best job opportunities will go to those who hold degrees of higher education, are fluent in quantitative techniques, have a detailed understanding of economic forecasting, and good communication skills. Individuals with these qualifications often eventually leave their jobs and teach at a college level. You can gain these types of advanced education at traditional graduate schools or through online mba programs.

The Money. Numbers don’t lie, right?

As an aspiring economist, you need numbers- so here they are. The average salary per year for economists in March of 2009 was $108,010 with the top ten percent of the field making over $149,110 and the lowest ten percent making under $44,050. In May of 2008, the median annual wage was $83,590.

In a world where the future seems highly uncertain, having the knowledge to turn historical data into a working future model seems priceless. The job opportunities as an official economist may be growing at a slow rate, but an education in economics can help you work in industries with a faster growing job opportunity rate. Start your path to graduating with a masters in economics by researching the best online schools in economics today.

If you already know what Linkedin is, you may want to skip down to the section entitled “How do I use it well?” or read our article on Linkedin Etiquette.

So What is it really?

You’re wondering what “professional networking online” really is? Well it is basically on online resume + professional connections + some extras. Let’s clarify:

1. Online Resume: Your Linkedin profile is a page where you display information about you, your expertise, professional background, education (like an online mba program), etc.
2. Professional Connections: Linkedin allows you to maintain a list of connections with your colleagues that are also on Linkedin. This is where the real magic is . . . we’ll talk more about this in a minute.
3. Extras: There are a number of extra things you can do on linked in, we’ll just highlight a couple of our favorites here:

• Recommendations: You can “recommend” people you have done work with. This is basically writing a brief paragraph about how great someone is, which will show up on their profile if they choose to. You can also request recommendations from people you have worked with.

• Groups: These are groups (obviously) of Linkedin members that share some common interest, trait, etc. where you can share information, news, or post discussions. Members do not have to know one another to join a group. Examples include: online mba programs alumni, healthcare professionals, fans of…whatever.

What Linkedin is NOT: A place where you can write on someone’s wall, poke someone, post endless pictures, or play any games – this is just business people!

How you should start:

Here are the basics for getting started. If you already have a profile, you may want to skip down to the next section.

First (after you have created a new account), fill in all the basic information fields about your professional life. This is a great opportunity to highlight some professional accomplishments, academic achievement, and anything else that might make you stand out. It is a good idea to include a profile photo, so connections from your past might more easily remember you – but make sure it is a professional looking photograph! This is the only photograph you can upload on Linkedin, so make sure it represents you well. Please don’t leave these fields blank, there is nothing more disappointing than finding someone on linked in with a profile that just says:

John Doe
8 connections
Pepsi Co.
3 Years, 6 months

Next, add some extras to your profile. These are a great way to add a little more excitement to your profile that you don’t usually get to include in a resume.

1.       Recommendations: I strongly suggest requesting a couple good recommendations to add to your profile. It says something about you when people you have worked with are willing to take the time to write a recommendation to add to your profile. BUT make sure to only do a few, otherwise they will get lost in a long list down at the bottom of your profile. Also make sure to request recommendations from people that have significant experience working with you, so they can write something meaningful. You may want to write a recommendation for someone else, which will often result in a reciprocal recommendation from them.

2.       Groups: Join a few groups that you can be proud to display on your profile. These group logos can be shown on your profile and help identify you as someone that stays current with associations in your industry. This is especially true if you include industry recognized professional organizations that have created “official” Linkedin groups for the organization – which most have!

Finally, start connecting with colleagues. During the set-up process you can use your email address book to search for people on Linkedin and connect with them. If you do this, make sure to look through the list Linkedin generates and remove anyone you don’t really know or that won’t remember who you are. You can also search for specific people to find them on Linkedin. Another good way to discover colleagues is to peruse the connection lists of your connections – they may be connected with people you know but forgot to add.

So what’s so great about Linkedin?

Okay, here is the good stuff – why we love Linkedin. It’s not really about creating an online list of your connections, the real nectar of this flower has 2 main benefits:

1.       Your online reputation: Your presence online is becoming increasingly important. If you don’t think recruiters, hiring managers, or other business professionals are going to search you online before doing business with you, you are wrong! Linkedin is one of the best ways to present your professional persona online – it is a well respected site for professionals and best of all, you can control it. A quick Google search of my name and Linkedin is the #1 result…

2.       Connections of your connections: You’ve heard of the “Six degrees of separation” right? Well with online media today, it is probably less than 6! Linkedin allows you to not only search for companies, industries, keywords, etc. within your connections, it shows you results from the connections of your connections (2^nd level) and even their connections (3^rd level) – all considered “Your Network.” This is a powerful way to find connections into almost any company or any industry. Once you do find that connection, you can request an introduction from one of your colleagues to their colleagues, and so on.

A quick search on my Linkedin for some keywords gives these results JUST within 1sts and 2^nd level connections: “Apple” = 79 people, “Marketing” = 4051 people, “Private Equity” = 101 people

DANGER WILL ROBINSON

Be careful when using Linkedin. While Linkedin can be a powerfully positive tool for your job search after an online mba degree or your career progression, it can also be a powerfully negative thing if used incorrectly. Make sure to always be professional, connect with people you know, don’t post personal contact info on your public profile, and be thoughtful about the “online resume” you are presenting to the world.

The “Next Generation GMAT” is what GMAC (Graduate Management Admission Council) is calling it, and if you are planning to apply to online mba programs, you may be taking this new test. In fact, all test takers after June 4, 2012 will be taking the new GMAT. GMAC has also announced that GMAT test takers between November 19-24 will get a sneak peek at some of the new questions, as GMAC will be trying out some of the questions for research purposes. Don’t get nervous though, during this trial period the new questions won’t be scored or reported.

The new section is called Integrated Reasoning and will be 30 minutes long. According to MBA.com (a GMAC website), “The new question types will test a candidate’s ability to assimilate information from different sources, interpret and convert data and evaluate outcomes.” From what we can tell, the question will present a problem or issue, then supply data in multiple forms (written, graphs, teables, charts, etc.) and ask the test taker to make judgments or interpretations based on all the information provided.

You can check out some samples of this new question type now on their website: Ten Sample Questions. **UPDATE: This link no longer works, GMAC appears to have pulled them off the site.

Better yet, here is a video that walks through the new Integrated Reasoning question type: Video

Below is a list of our current career profiles. We are constantly adding new profiles, so check back regularly or subscribe to our RSS feed here to get regular updates. If you don’t see what you are looking for, please request a profile be written by contact us here.

1. Review the career profiles below that look interesting to you.

2. Learn about the appropriate online mba programs here.

3. Research the online mba schools here and request free information from the schools.

Accounting. What’s it really like? And is it the job for you?

Is it all really papers, numbers and taxes, taxes, taxes? The following is a brief look at the accounting profession, careers available with an accounting mba, and what you need to do to get there.

The Job. Let’s break it down

Accounting and auditing is a career specializing in helping individuals, corporations, non-profit organizations, and governments run efficiently, keep their pubic records accurate and make sure their taxes are paid properly and on time.  Often times, accountants offer financial planning, information technology consulting, budget analysis and much more. Whatever the area of accounting you choose, there are substantial and steady jobs that can help you provide income for yourself and your family.

Within in the field of accounting, there are four different specialties.

Public Accountants do work for a broad range of clients. They often work out of offices and even part-time from their home and run their own accounting firms. They may do accounting for individuals, corporations and sometimes governments. Some public accountants may specialize in forensic accounting and work along side the law to find those committing crimes of embezzlement, tax fraud, etc.

Management Accountants generally do work inside a company focusing on financial analysis and budget planning. Often times management accountants work in teams focusing on company strategy. If you prefer to work along side other business professionals in a corporate setting, a management accounting position might be right for you.

Government Accountants and Auditors. Ahh, the IRS. Yes, as a government accountant, you would have the opportunity to be an IRS agent (Internal Revenue Service) but there are other opportunities available as well. As a government accountant, there are jobs that specialize in financial management, budget analysis and administration, and financial institution administration.

Internal Auditors work with organizations to evaluate efficiency, effectiveness, and accordance with government regulations. Often internal auditors will check for mismanagement and fraud. Due to the advances in technology, Internal auditors generally use company computer systems to gather information and real-time data to analyze the reliability of a company and so are well versed in many software programs.

Accounting today offers a wide variety of jobs, which makes its easier to find employment that is conducive to your lifestyle and interests. The tedious days of data inputting are changing due to the new technology advances in accounting software, and therefore have lead to accounting jobs in software developing as well. Oh the options!

Training Required. What do you have to do?

Education. For some positions as an accountant, only a Bachelor’s Degree in Accounting or something relative to accounting is required. Jobs available to these candidates are generally junior accountants, working under a CPA (certified public accountant) and have the opportunity to work up to a higher-level job within that company based on years and experience. Other accounting jobs will require a CPA (Certified Public Accountant) license given through an exam issued bv the State you work in and a Masters in Accounting or an MBA in Accounting.  The more education you have, the more qualified you will be for higher paying and higher profile jobs as an accountant.

Other Qualifications. Qualifications besides experience and education include an aptitude for math, analytical skills, and ability to translate their information to others in their work place both verbally and in writing, people skills, a knowledge of computers and accounting software, and integrity due to the importance of reporting financial information truthfully and correctly.

Other Certifications. There are several other certifications besides the CPA that can help to advance an accountant in his/her career. For example, for a management accountant there is the CMA (Certified Management Accountant) for those that have been working in the field for at least two years and pass the exam.  Likewise, there is a CIA (Certified Internal Auditor) offered to those who have worked as internal auditors after graduating from an accredited university, and so on. Receiving certification in the field of accounting you specialize in is a good way to move up through the company your work for. More tests= more job opportunities.

Employment Statistics

Now let’s talk employment. In an economy like this, employment is often the first thing someone asks about a new career. Good news for accountants- employment is projected to grow by 22 percent from the year 2008 to 2018 because of the increase in number of businesses, financial law changes, increased accountability for protecting stakeholders, and corporate governance regulations.  Those accountants with certifications (especially a CPA) or a Master’s in Accounting or an MBA (Master’s in Business Administration) will have the best opportunity for jobs in the future.

With enrollment on the rise for graduate degrees, including online graduate degree programs, the job landscape will continue to become more competitive.

And Finally, The Money Factor

Show me the money! How much will you make? In May 2008, the top 10 percent of accountants and auditors earned more than $102,380 a year. The bottom 10 percent earned less than $36,720 a year, and the middle half of the occupation earned between $45,900 and $78,210. In July of 2009, according to a survey done by the National Association of Colleges and Employers, undergraduate degree accountants were offered a starting annual salary of $48,993 and a master’s degree accountant started at $49,786. Accountants are generally offered regular benefits including health and medical insurance and life insurance.

Employees with advanced degrees often start at slightly higher salaries, but also see greater promotion opportunity as their career advance.

So why accounting? Becoming an accountant can allow you to earn money, work according to your preferred lifestyle, and have good job insurance going into the future.

The official change will happen on June 4, 2012, after which time all test takers will be taking the new GMAT. However, we suspect that the GMAC will start testing the new questions on test takers several months before that. New questions used during this “testing” period on exams before June 4, 2012 would not be scored or sent to colleges.

The Current Format

The current GMAT format consists of 3 sections with a total test time of 3 1/2 hours. The 3 sections are:

1. Analytical Writing Assessment (60 minutes) – This section is basically the “essay” section and consists of 2 analytical writing prompts, with 30 minutes to read, analyze, and write an essay on each prompt. One prompt tests your analysis of an issue and the second tests your analysis of an argument.
2. Quantitative Section (75 minutes) – This is basically the math section. It consists of 37 multiple-choice questions on “Data Sufficiency” and problem solving.
3. Verbal Section (75 minutes) – This is the reading and writing section. It has 41 multiple choice questions on reading comprehension, critical reasoning, and sentence correction (grammar).

The New Format

The new GMAT format will add a 4th section to the test, titled “Integrated Reasoning.” Not much has been released about the new questions, but we do know that this new section will be 30 minutes. However, the total test time will not be increased, instead the Analytical Writing Assessment (Essay) section will be reduced from 60 minutes to 30 minutes and will only be 1 essay prompt instead of 2. So, the new format will break down like this:

1. Analytical Writing Assessment (30 minutes) – Still the “essay” section, but now with only 1 prompt. We do not yet know if it will be a random selection between issue analysis and argument analysis, or if all tests will be only one of these.
2. Quantitative Section (75 minutes) – Same as the current format.
3. Verbal Section (75 minutes) – Same as the current format.
4. Integrated Reasoning (30 minutes) – New section, with details about the questions yet to be released.

The GMAT is well know for being a very difficult exam which most students study several months for. There are also a number of valuable private test preparation programs that have been designed to help prepare students for the GMAT. We recommend all student considering an online mba program research as much as they can about the GMAT and allow themselves plenty of time to prepare; we also feel private test-prep programs can be great, if your budget can allow. The introduction of this new section is likely to make the exam even more difficult, especially in the 1st few years before the study materials catch up and learn how to prepare students properly.

We will of course keep you updated as we learn more about the new GMAT and help you prepare to apply for online MBA programs! Remember, we always recommend considering only accredited online mba schools for your education!

**UPDATE**

Check out some Sample Questions from the new GMAT and make sure to watch this video from the GMAC