IIM -A has come out with a statement that the cost of 2 year PGP education per student is 5.5 lakhs!
Incredible figure.! Specially with "depreciated-to-zero" infrastructure, low faculty-to-student ratio , no huge expansion in amphitheatres & classrooms and no additional expenditure on providing students' amenities & other facilities that is not being charged to students anyway. Looks like students are also being made to pay for the new executives' block, MDP building & other infrastructure .
Secondly with a conservative faculty-student ratio of 1:10 and an average faculty salary of 7.5 lakh (after the hike) , the cost per student on account of faculty is only 75 thousand per year which comes to only 14% of the annual fee charged. How do you account for the balance 86%?
Why don't IIM-A and other IIMs publish their accounts in the public domain? Even NGOs today do the same.
If IIM s wants to behave as corporate then they must also show responsibility to be transparent to the society at large and not hide behind a clause of a NFP (not-for-profit organisations) that requires annual account statement to be submitted only to the "Registrar of Societies". Let the public calculate the cost per student by themselves and come to an informed conclusion whether IIMs (whose claim to fame are the alumni and not themselves) are justified in converting their institution to one for the meritorious among the affluent only .