1. Shameless plug: The U of I (my school) is ranked 44. Yay?This morning I happened upon the Financial Times’ 2013 Global MBA Rankings. 1 Interestingly, comp is worth 40% of the total weighting here (20% salary adjusted for purchasing power and 20% for salary increase over 3 years).
As a person that is hugely motivated by extrinsic reward, I’m personally partial 2. Namely conversations with peers and general assumptions I’m making about why people go to school to get their MBAs.to this weighting. I would also say – based largely on anecdotal evidence 2 - that if faced with a similar question a majority of MBA students would assign a heavier weighting to compensation than any other component in an MBA ranking.
…Yet as a compensation guy, HR professional, and human being I know that there are many other things apart from compensation that drive life satisfaction. Autonomy, job significance, recognition, and flexibility are just a few of the things that impact happiness with work. Keeping this in mind, how much money (as a percent of income) are intrinsic rewards worth? Or, put another way, how much money would one have to be paid to do something that makes one miserable? We spend a very large portion of our lives working, and tomorrow is not promised.
Ultimately, the weighting of intrinsic versus extrinsic reward is going to be highly variable for each person. It’s what makes rankings like this so difficult to do. With that said, while self report studies have some built-in disadvantages I would like to see a ranking based on respondents’ weighting of the criteria. I don’t know if the results would be more valid (or if social desirability bias) would taint them, but the study (and subsequent rankings) would certainly be interesting, yes?
As always, please share your thoughts in the comments section below.
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