Significant AI competency gap among management graduates: Study of top B schools

Artificial Intelligence is increasingly changing the nature of managerial work but there is a significant competency gap among management graduates when it comes to AI skills, a national study of top 75 B-schools in the country has found.

While industry expects MBA graduates to demonstrate competencies at 4/5 (Good), MBAs from the Top 75 B-schools are rated at an average of 3.2/5.

The findings and the Framework for Implementation of Artificial Intelligence in Indian Business Schools, jointly developed by the Association of Indian Management Schools (AIMS), Education Promotion Society for India (EPSI) and Indian Management Conclave (IMC), were released at the 16th Indian Management Conclave (IMC 2026) at the IIM Lucknow Noida Campus.


The study, based on assessments by senior industry experts, records scores of 3.36/5 for Tier 1, 3.29/5 for Tier 2 and 2.93/5 for Tier 3 business schools. The framework identifies the findings as an opportunity to strengthen alignment between the competencies developed through management education and the changing expectations of industry.

The AIMS-EPSI-IMC framework argues that this question becomes more urgent as Generative AI takes on much of the routine analytical work that entry-level MBA graduates were traditionally hired to perform. As AI increasingly handles analytical tasks, the framework places greater emphasis on capabilities such as critical thinking, judgement, leadership, relationship management and execution, alongside AI and data fluency.

"AI is rapidly changing the way business is done. As technology takes on a growing share of routine analytical work, business schools must place greater emphasis on behavioural competencies like judgement, critical thinking and leadership. The future of management education lies in intelligently adopting AI tools across MBA curriculum and pedagogy to prepare graduates for an AI-led workplace of the future," said Amit Agnihotri, Founder, Indian Management Conclave.

The study noted that while relevance of the MBA to industry has been questioned for over a decade, the evidence points to a persistent gap between the competencies industry requires and those business schools cultivate and assess - a gap AI now widens and makes it urgent.

"Crucially, India still has no national policy framework for AI specifically in management or higher education, leaving institutions, particularly standalone PGDM business schools, to navigate the transition without a shared playbook," the study noted.