There are myriad reasons to embark on an MBA and there is a broad spectrum of opportunities that are available to candidates when they graduate. For many, it can be difficult and even overwhelming when it comes to deciding which path to take. For this reason, an internship can offer a valuable helping hand.

A wide range of employers including Sony, Toyota, Deutsche Bank, JP Morgan and Wal-Mart now offer MBA internships. Usually taken during the summer between the first and second years of an MBA program, and lasting around ten weeks, internships allow candidates to gain experience of working on a project, of a company’s culture and a business sector.

Business schools back internships
Both business schools and employers agree that internships are becoming increasingly common and can benefit nearly all students. Sophia Taylor, a spokeswoman for Nottingham University Business School, explains that it offers a “taster” of company life to the student and shows the employer that the MBA is committed to their new direction.

It also helps MBAs to make their career decisions and can be particularly important for people that are changing careers, says a MBA recruiter at a major financial services employer. “If a student knows what they want to do then it can reinforce that ambition, but it also helps if a candidate is unsure about what they want to do. It helps them if they try a project so they can get to know a company and see if it is right for them.”

The QS TopMBA.com International Recruitment and Salary Report 2007 shows that 58.4% of employers rate relevant experience to the job as “very important” and just 6.9% did not consider this not an important criterion, demonstrating that an internship can be particularly useful for younger students with less experience. Nottingham’s Taylor adds: “Candidates often discover that doing an internship is the difference between a job offer and a rejection.”

As internships become increasingly common, some business schools have made them a requirement of an MBA, although it is still an option at a majority of schools. Either way, the careers service on campus will be able to advise students on how to apply with many schools having existing relationships with employers that run programs. The larger employers also visit campuses on recruitment drives and post positions on online jobs boards.

The selection process
The selection process varies from company to company but usually includes a two-stage interview process. The bigger companies that have sophisticated structures in place, pit students from different schools against each other to ensure employers get the best candidates. However, Camilla de Wit Giesemann, the director of career services at Esade Business School in Barcelona, warns that not all business sectors are that advanced and those without internship programs in place can be harder to find placements in.

Where are the opportunities?
A significant number of internships are available in consultancy and IT but business sources say that investment banking is currently offering the most opportunities. One recruiter in investment banking says an internship is “crucial” for students interested in a career in the sector. She adds: “It helps everyone [the student and the employer] decide if it is the right thing to do.”

The projects offered to interns tend to be focused in the traditional business functions such as product or brand management, finance and operations. Lisa Feldman, director of recruiting for MBA career services at Hass School of Business at Berkeley in California, says students should “look for opportunities everywhere”. She adds: “An MBA can network into all sorts of activities, which can help them create internships of their own if choose to.”

As many as 40% of interns do get offers as a result of their placements, according to de Wit Giesemann, and it is openly used as a method of recruiting across investment banking, consultancy and IT. But recruiters and career advisors unanimously say that this should not be a student’s primary motivation for taking an internship.

“Students should look for internships where they really will contribute to the activities of the organization as if they were an actual employee,” says Feldman. “Internships where students are asked to do a research project and deliver it at the end of the summer won’t provide the experience, perspective or improvement of skills.”

Real life – not simulation
Students are advised to approach the internship as a consultancy project as companies will expect you to behave like a first year associate. The projects are often live deals that require working with real clients so it is crucial as an MBA; you approach the internship with the right attitude.

Employers are looking for a proven ability to perform, strong skills and a cultural fit. A good intern, says a recruitment manager for an IT company, should also show a willingness to work and should not be afraid to ask what the objectives of a project are and the time scale.

MBAs also need to be able to work with all levels of staff, says the financial services recruiter. “We look for people with good communications skills that can work with a managing director or vice-president without being overwhelmed.”

De wit Giesemann adds that on top of that, MBAs should also use the experience to make contacts. She explains: “I think MBAs forget that they are also there to network with the people at the company but also with their MBA colleagues.

An internship can be intense and draining for students so companies with more advanced programs will assign interns an associate level “buddy” as a mentor and will also offer a program of social events. A MBA recruiter at a major investment bank says it runs a “lunch and learn” program to teach interns about other areas of the business so they get a broader overview.

What if it goes wrong?
Unfortunately not all MBAs report internships as happy or as helpful as they had hoped. It can lead to a student deciding that the career they thought they wanted is not right for them. Berkeley’s Feldmand says: “Not all internships are successful but MBAs that have a miserable experience often ultimately learn the most. It can bring into focus what a student really wants out of a career.”

It is also important for MBAs not to forget that the company is also benefiting from their time there. An internship from the employers’ point of view offers them fresh talent at a low risk and, in some cases, it turns out to be a ten-week interview for a job.

There is a strong recruitment market right now, says the investment bank recruiter, and she says competition from new firms such as Google and from the hedge fund sector is growing. For this reason, she says, it increasingly turning to its internship program for new staff. “We have 29 people across Europe, Middle East and Africa this summer and there is a job for all of them if they do well.”

Internships may not suit all MBAs, for example students that are already working full or part time, but those that can should seriously consider the opportunities available. Not only can it lead to a job offer at the end, but also as part of the MBA program, it can help you gain a more rounded education.

Source: Caroline Parry, QS Top MBA Career Guide