Timing MBA with Military service
Hey all,
This is my first post on here but I've been a long time lurker. I am a recent graduate of one of the service academies. I recognize that my number one priority for at least 5 years is to serve my country and be the best officer possible. However, I know at some point that I would like to attend a top MBA program and eventually transition into IB/PE.
My dilemma about the MBA is whether I should do it while on active duty or do it once I get out.
Option #1: My branch offers a program where I could be picked up for a MBA and my "job" for 1-2 years would be to go to school and maintain a certain GPA. While I would be in school, I would still receive full pay. The catch however is that I would owe an additional 3-4 years of service. This payback time however would typically be spent in some sort of finance role within the service. After I finished this additional time, I would have the option to leave the service or stay in. SIDE NOTE: While completing the MBA, I would be able to network with other students within the class. However, I would be limited to working at non-profits/government agencies for summer internships. I think not being able to do an IB/PE summer internship plus having to serve additional 3-4 years after my MBA may hurt my chances of landing an offer when I do leave the service.
Option #2: I transition after my service obligation and complete the MBA on my own terms. The only thing that has me nervous about this option is the opportunity costs (tuition, no salary, etc.)
Thank you in advance to responding to my question! I am open to any and all advice.
I think this is an easy decision once you answer a difficult question: do you want to stay in the military for 20+ or do you want to get out? If you want to stay in, why would you not take a free-MBA (while making ~$90k/year in O-3 salary)? If you don't see yourself in the military long term, then get out and do the MBA.
I wouldn't stay in the military just for a "free" MBA when you are a junior O-3. Are you really going to get out of the military with 10-12 years in? Probably not.
Congrats on graduating and best of luck with your service. I'll preface my advice by saying I've never served so I would firstly defer to other officers who have moved onto an MBA program, however I do have some peripheral experience. I'd recommend to try to reach out to some of the alum from your academy who have got their MBA's and are working in finance currently and see what they say.
Generally, I think folks who choose to have their branch sponsor an MBA in exchange for additional service commitment seem to do it to help advance their military career. If you're goal is getting into finance after the military, I would suggest targeting getting out and going full time to an MBA program as a civilian. There are a lot of guys working in investment banking with that profile, and I've personally worked for a number of West Point and USNA grads with MBA's. The prospect of turning down a full-ride for your MBA is difficult, but if you're out of active duty service you'll be much better positioned to land a finance job. Most large banks that recruit their associates from MBA programs do so through summer associate programs between your 1st and 2nd year and will fill the majority of their full time slots with SA's from the summer. Just my two cents.
Speaking as another vet -> MBA.
Only do it in service if you are 100% sure you want to stay in for the whole 20.
Here would be my gameplan now:
First 3 years: Focus on absolutely NOTHING other than getting top bucket OER's. Your goal here is to get good recommendations you can use later. You aren't going to play the "careerist" suck up game that lifers do, but for now you're going to pretend to.
After you graduate OBC and move to your first unit start being proactive. Since you aren't a careerist I would highly recommend that you work with your chain of command and try to get an assignment based not on WHAT you will be doing or what the title is, but on who you'll be working for. That dream PL/XO job with someone who doesn't like you well enough to give a top rating and hagiographic recommendation won't benefit you as much as working in the ops shop with someone who does. How you sell your jobs and having good recommendations attached will matter more than what you actually do....doubly so because there isn't a direct civilian equivalent to most of the these jobs.
Year 4: Begin studying your GMAT and aim to take the first practice test. Make some cursory informational interviews with other service academy grads in finance. This will be invaluable for being able to craft an application that makes sense. You should be promoted to Captain.
At this point you should have a little bit more moral courage and a little bit more willingness to fall on your sword to protect your soldiers. If you have great recommendations lined up by now then you start to need Army political capital less.
Year 5: Drop your packet. Finalize the GMAT, score over 700, send off applications. At this point you should be strongly prioritizing your next career. Do everything that your duties demand, but also don't be afraid to spend all of your remaining political and social capital at this point if necessary.
Assuming you have a reasonable GPA from the service getting admission top an M7 school should be relatively easy if you succeed in everything I suggest here.
AFTER LEAVING:
DO EVERYTHING IN YOUR POWER TO GET A PRE-MBA FINANCE INTERNSHIP. Do it unpaid if you have to. Do it for the shittiest, local shop in your town. Network with a local corporation and see if you can shadow a financial analyst. Even be a financial advisor. Literally ANYTHING capital markets related will put you in a much stronger position than strictly military experience, because people will know that you will at least understand the concept of financial statements and know what things like primary issues and options are.