In this article
- Learn about the differences between an online and in-person MBA, including the pros and cons of synchronous vs. asynchronous programming.
- Get considerations for choosing an online MBA program, including the caliber of the faculty, the availability of career coaching, the opportunities for networking, and the options for in-person experiences.
- Find out about the advantages of an MBA degree and how much time and financial investment an online MBA can take.
Pursuing a Master of Business Administration (MBA) can offer invaluable experiences to further your career or make a pivot in a new direction. But if you love where you live, have family and friends nearby, or have an already-demanding job, uprooting to start an MBA can feel out of reach.
That’s where an online MBA program can be invaluable. Doing most of the coursework online makes it possible for professionals with busy schedules to further their education without relocating to a new city or leaving their current job.
In 1999, the Kelley School of Business became the first top 20 business school to launch an online MBA. Today, Kelley Direct has been ranked as the #1 Online MBA by U.S. News & World Report, Poets&Quants, Princeton Review, and Fortune.
Because we pioneered the online MBA, we know the ins and outs of what works best for professionals in terms of an online MBA curriculum and experience.
In this article, we’ll answer some of the most frequently asked questions from professionals considering an online MBA—so you can know exactly what to expect and decide if pursuing an MBA online is right for you.
Understanding the structure of an online MBA: Is an online MBA as good as a residential program?
Comparing online and in-person programs involves a few considerations. First, there are two MBA categories: programs that are synchronous, and programs that are asynchronous. Synchronous programs have scheduled, real-time classes that take place every week, usually over an online meeting platform. Asynchronous programs happen on a student’s own time, and don’t require them to attend scheduled classes throughout the week.
The Kelley Direct Online MBA is a synchronous program, meaning that students participate in weekly online classes at the same time as their professors and classmates. Kelley Direct delivers online learning with state-of-the-art technology and filmmaking equipment from the Brian D. Jellison Studio Classroom and Studios, which are located on the Indiana University Bloomington campus, so that the course content and learning environment match the in-person experience.
“Kelley Direct is a high-touch program,” says Tim Byrne, Kelley Direct’s senior director for admissions and financial aid. “Once we remove the physical piece, it’s effectively the exact same program. It’s the same faculty, the same courses and concepts. You’re doing group projects and real business. You log on for class at a specific time. You have the full experience, while still getting to live where you already live.”
In addition to the structure of the coursework, many professionals wonder how an online MBA will be perceived by an employer. According to a recent study, online MBA programs are now considered equal to or better than full-time MBA programs in terms of quality by 71% of employers. This shift in employer perceptions will prompt more potential students to consider an online MBA for working professionals instead of a traditional residential program.
71% of employers consider online MBA programs equal to or better than full-time MBA programs in terms of quality by.1
Benefits of pursuing an online MBA: Career advancement, flexibility, and networking opportunities
In addition to increasingly favorable employer perceptions, online MBA programs offer several of the same advantages of an MBA degree completed in person.
A 2022 survey of corporate recruiters by Graduate Management Admissions Council found that MBA graduates working at US companies earn a median annual salary of $115,000 compared to $75,000 with a bachelor’s degree. Additionally, completing an MBA can help professions switch sectors or functional areas, such as transitioning into marketing from communications.
With the flexibility of an online MBA, these transitions are possible while keeping your current job and staying in the place you currently live. Even in a synchronous program that requires students to join class online at a certain time, students can avoid relocating their families or taking on the financial burden of moving by choosing to complete their program online, and still receive the benefits of an MBA degree.
After beginning the Kelley Direct Online MBA program, Gary Tong, MBA’24, pivoted from his job as an engineer at Boeing to serving as a senior vice president at a global consulting firm—while continuing to prioritize his family.
“I don’t really balance my work, coursework, and my family time—I harmonize all three,” Tong explains. “I constantly shift my priorities to maximize my productivity at work, even as I engage with professors, classmates, and my family.”
Some online MBA programs also offer in-person experiences for students to network with their classmates and professors in person. Kelley Direct offers global and domestic immersion experiences and requires students to complete two in-person courses, which many students say are the most impactful parts of the Kelley Direct program.
- International or domestic immersions: Each term, Kelley Direct students have opportunities to travel domestically and internationally to study a country’s business culture or consult with real clients. Students who participate in immersions build skills in innovative thinking and entrepreneurship, project management, and clear communication.
- In-person courses: BUKD-X503: Kelley On Campus is an intensive, required introduction to the Kelley Direct program and MBA coursework, hosted on Indiana University’s Bloomington campus. BUKD-X513: Kelley On Location is, also a required course, designed to give students a deep dive into an industry, geographic region, or emerging challenge shaping today’s business landscape, and takes place in a chosen US city.
In addition to getting facetime to talk through real-world business challenges, Kelley Direct students also have the opportunity to expand their network across the country during these in-person experiences.
“What’s super valuable about our network, size and diversity is that you could have an executive from an engineering company in Charlotte and an entrepreneur in Phoenix in the same group project,” says Byrne. “You gain incredible amounts of perspective and knowledge from your peers and from the faculty, then you can implement that in your current role and future networking.”
Choosing an online MBA program: How do I know which program is right for me?
After deciding if you want to pursue an MBA, the next step is to consider which program is right for you. A good place to start might be to look at the rankings by U.S. News & World Report, Poets&Quants, and Princeton Review.
If you know what type of business you want to specialize in, you should also see what options programs offer for majors that you can choose to specialize in, such as entrepreneurship, business analytics, finance, marketing, or supply chain and operations.
When you’re weighing different programs, it’s important to look at the value offered by the program, including networking and career advancement opportunities, the caliber of the faculty, and the opportunities to get support from fellow students. While online MBA programs are equal in quality to residential programs, it’s crucial to recognize that OMBA programs do not offer uniform levels of value.
If you’re considering an online MBA, look for a program that is designed and delivered by the same faculty who teach at the university’s business school. Some universities partner with for-profit vendors called online program managers (OPMs) to outsource many aspects of their online MBA programs, including admissions, marketing, course design, and even the learning platform itself. Some online MBA programs pay these OPMs 80% of all tuition revenue, according to reporting by the Wall Street Journal.
Additionally, you should also look for a program that is accredited through a recognized accreditation process. The Kelley School and Kelley Direct are accredited by AACSB International, a process that includes self-evaluation and peer-review elements, plus a continuous improvement review every five years.
At Kelley Direct, tuition is reinvested back into the program, which is good for students’ wallets and their overall learning experience. Because of this approach, the same faculty members who teach in the Kelley School’s in-residence programs—including the Full-Time MBA Program—design Kelley Direct courses, provide live weekly instruction, grade assignments, and advise students.
If you’re considering an online MBA, you should also look at the specific benefits of an MBA offered by the school, including the program’s networking opportunities and executive career coaching. Is there a network of alumni who you can readily connect with? Does the program have in-house career coaching specifically for students of the online MBA program?
Kelley Direct students are paired with a certified executive career coach who is dedicated to helping them achieve their personal and professional career goals. Coaches are available to help students talk through career pivots, performance reviews, job offer negotiations, and more.
The cost of an online MBA: How much time and money will I spend?
When you’re comparing online MBAs, there are logistical questions to ask about the financial cost and time it will take to complete the program, especially for students who are continuing to work full time. Here are a few of the questions that our admissions counselors receive the most and that we recommend any potential students ask about the online MBAs they’re considering.
- How many years does it take? Most Kelley Direct students take two years to complete the degree, while others take up to three years. Students complete a total of 54 credits over the eight quarters.
- How much time does it take during the week? While there’s no set time for how long it takes each student to complete assignments, students can expect to spend 10 to 15 hours per week on coursework, including live class time, asynchronous videos, class assignments, and study time.
- How much time will I have to take off of work? Students may have to take off of work to complete in-person courses or global or domestic immersions. Many of the immersions last around a week.
- How much does it cost? The total tuition for Kelley Direct students based on 54 credits during the 2024-2025 school year is $94,444.42. In-person courses have an additional fee of $2,000.
- Are scholarships or financial aid available? Kelley Direct students can apply for federal financial aid. Some students may also be eligible for employer tuition assistance, Veteran Affairs benefits, or Corporate Partnership programs. Kelley Direct also offers a range of scholarships, and students can find out how much scholarship funding they’ll be awarded before they enroll. Students may receive a maximum of $25K in scholarships.
Is getting an online MBA worth it?
The question of whether an online MBA is worth it is largely up to your individual career goals and personal circumstances, but if you choose the right program, you can benefit just as much from an online MBA as an on-campus program.
Experience the best online MBA program on the market by applying to Kelley Direct. Get the rigor you expect from a world-renowned business school and the full worth of an MBA, with the flexibility you need to keep working to earn your degree.