MBA to international development: Career transitions for business majors

International development is about improving the lives of the world’s poor. It’s also a global industry with needs in the areas of business, finance, accounting and management — and ample opportunity for job seekers with a business degree. Donors, NGOs and consultancies are looking for staff who can help them save, track or raise money. Key is that your skills are transferable, whether they are in fundraising, proposal writing, project management or banking. “We’re looking for people who can innovate but also use institutional knowledge to underpin what they do,” said Jeannie Crist, a recruiter with the International Finance Corp., a member of the World Bank Group that fosters sustainable economic growth in the developing world by boosting private sector investment. Over the years, many business majors have switched from the private sector, making the competition for jobs increasingly stiff. On the other hand, some aid workers have been able to advance their careers by adding a master’s in business administration to their academic achievements. Development banks, microfinance groups and other organizations with a financial focus may be among the most likely to hire MBAs. But, truth is, virtually every donor agency, foundation, consultancy and nonprofit has positions that would fit a business major. After all, international development is a business, and aid organizations are constantly striving to prove value-for-money. Making a business background work for you It can be difficult for recruiters to find people who have a hybrid of experience in the business world and the developing world. If you already have some work experience but you don’t have an advanced degree, you may be thinking about attending graduate school. Should you get an MBA, or would it make more sense to earn a master’s in a field such as international relations? “I think an MBA can be very valuable,” said Matt Daggett, who earned an MBA and worked for the Boston Consulting Group before joining Dalberg, a strategic advisory firm that aims to raise living standards in the developing world. However, Daggett added that even though having an MBA has helped him in his development career, an MBA is not right for everyone. “It depends on your experience — the combination and breadth and depth of skills,” explained Daggett, who already held an undergraduate degree in international relations before heading to business school. The type of degree that will be most helpful to you depends not only on your background, but also on the kind of position you’re interested in. Look at job postings on the Devex website, and talk with professionals who have the types of position you are attracted to. But, always remember that it takes more than academic achievements to make a career in global development. “An MBA alone is no longer a key differentiator on a candidate’s resume due to the greatly increased number of applicants that now hold advanced degrees,” said Jason Levergood, senior manager for international business development in Grant Thornton’s global public sector practice. In the development aid business, other things may be as important as an advanced degree. For example, an aid organization may be seeking individuals who have certain language skills or experience in a particular country, region or sector. “Obtaining the skills necessary to address the issues facing governments and international organizations today may not be found neatly packaged in an educational institution’s curriculum,” Levergood said. “To keep in step with international development trends, one may need to proactively seek out additional certifications, complete online trainings and break into new project areas to remain competitive.” A good example, Levergood added, may be renewable energy, which has been of increasing interest to the international development community. If you already have finance and accounting skills, chances are you know much of what you would learn in an MBA program. In this case, a master’s in international development may be more useful to you than a business degree. This is especially true if you don’t have an undergraduate degree in a related field such as international affairs or development studies. “An MA in international affairs or international relations makes sense,” said Karina Temirbulatova, a former international finance project manager at Grant Thornton and now a project manager at Booz Allen. “It certainly helps because you need to understand how the public sector works. An MPA or master’s in international development gives you an understanding of how things work in the U.S. and internationally.” Individuals who are thinking about getting an advanced degree may also want to consider a joint master’s in business administration and public administration, or a joint MBA and master’s in public policy. There are many other options, including Harvard Kennedy School’s three-year joint MBA-MPA-International Development degree. Development employers and jobs for business people The most realistic international development jobs for business majors transitioning from the private sector involve auditing, financial control, proposal writing, public-private partnerships and project management. Private sector expertise that’s particularly marketable in international development includes finance, investment banking, private equity, information technology, translation services and marketing. Common crossover degrees include business, economics, finance, accounting, public policy and international relations. Some examples: The World Bank is among the many aid groups that have been seeking economics and finance experts. IFC frequently hires professionals who have worked in areas such as investment banking and private equity; most of these individuals have MBAs. The Asian Development Bank has had a need for individuals with degrees in business administration, finance, economics and related fields for positions such as public-private partnership specialist and financial control specialist. The U.S. Agencyy for International Development looks for civil servants with expertise in project management, accounting and finance. The International Monetary Fund’s competitive Economist Program offers talented young professionals “the opportunity for specialized training while concurrently contributing to IMF’s work.” Although IMF is especially interested in applications from recent Ph.D.s and individuals who are completing doctoral studies, it will also consider candidates who have a master’s or MBA in a field such as economics, quantitative methods, finance, as well as international relations or public policy with graduate-level macroeconomics as well as relevant practical experience. Many of the larger accounting and consulting firms have a division devoted to international development, and you may be able to start out by getting some general public sector experience before transitioning into international work. For example, Grant Thornton’s global public sector practice, based in the Washington, D.C., Metro area, has a unique international business development support team, enabling new consultants with little international experience to volunteer for projects in support of Grant Thornton International member firms in over 100 countries. Ways to transition into international development Although there are a wide variety of jobs MBAs should consider in the international development sector, the industry is very competitive. There’s lots of competition especially for positions based in the field, and employers tend to look for people who have worked in a particular country, know a certain foreign language, and have experience working on projects funded by a particular donor. Business and finance experts eager to transition into international development may find it easier to first snatch an administrative support position at headquarters utilizing their transferable skills, before building the industry-specific skills and connections necessary to advance a career. “Generally, budgeting and finance positions are less competitive to get,” said Khary Dickerson, a business consultant. “You can use those skills [in budgeting and finance] to get the position you want and also have a livable wage.” Keep in mind that, even with an advanced degree, chances are that your rank will be lower than the seniority you enjoyed in the private sector. It’s also likely you’ll be earning less. However, once you have a foot in the door, you may find that another international development job offer will soon follow, and that you can work your way into a management position. As is the case with any career transition, knowing the right people can help you get a new job. Seek out informational interviews with people you know or network with through Devex or other avenues. If you’re interested in a particular organization, talk to staff about what it is actually like to work there. “Your end goal is to become familiar and trustworthy,” said Dickerson. “Networking is key.” Events such as career fairs can also present great networking opportunities. On-the-spot hiring seldom occurs there, but making a positive first impression can open doors. Research the organizations you intend to meet with before you attend a recruitment fair or networking event. Consider visiting — or even moving to — a humanitarian aid and development hub such as Washington, New York City, London or Geneva. Or, try your luck as a volunteer or local hire in a recipient country — but make sure you first research living conditions and safety concerns, and understand the risk of not landing full-time employment. International aid groups are increasingly relying on local staff and partners in recipient countries to implement field projects — a trend that has reduced overseas opportunities for development professionals. But, the right technical expertise or management experience can still get you that coveted job abroad. In microfinance, for instance, the hardest positions to fill are often the ones in country, according to Maria Largey, Agora Microfinance’s head of investor relations. “There are fewer people who are willing to pick up and change lives dramatically by moving to Africa or Asia,” she explained. “If your life is flexible enough to do that, financially and professionally, that is one of the bigger challenges for most organizations.” Gaining global experience Gaining experience in emerging markets will help set you apart from other job candidates, say recruiters and MBAs who’ve switched to international development. “We definitely look for people with some exposure to the developing world,” said IFC’s Crist. She added that this experience need not be through work. For example, it might be that the applicant is a U.S. national who grew up in Angola or had internships in developing countries. Depending on how far you are in your career as well as your personal circumstances, there are different ways to gain experience in the developing world. If you are relatively entry-level, there are a variety of volunteer opportunities in the developing world for MBAs. After graduating from Indiana University’s Kelley School of Business in 2007, Dickerson, for instance, spent 15 months in the Sudan with the MBA Enterprise Corps, which sends recent graduates from top U.S. business schools to share their skills with business owners in developing countries. “Every job I’ve gotten is because of Sudan,” Dickerson said. Organizations such as the Peace Corps also need volunteers with business degrees or experience, or both, in fields such as accounting, finance, management and marketing. Peace Corps business development volunteers might help local and regional governments implement economic development strategies, teach business basics classes or consult with businesses. Entry-level professionals can also gain relevant experience with other organizations through internships, fellowships, volunteer opportunities and young professionals programs. If traveling to Asia or Latin America for an extended period of time is not an option for you, there are still ways you can gain relevant experience. For example, Bankers Without Borders, Grameen Foundation’s global volunteer initiative, connects professionals who are interested in contributing their time and skills with microfinance institutions and other organizations that serve the poor. Volunteers come from diverse fields such as investment banking, risk management, information technology, translation services and marketing. Midlevel professionals may also be able to get valuable experience in their current position. For instance, during his time at the Boston Consulting Group, Daggett worked on a nine-month pro-bono case for Save the Children in Central Asia and Peru. At Grant Thornton, global support team volunteers assist with projects for international organizations such as the World Bank and USAID. Transitioning to a senior-level position is easiest in more administrative functions such as finance or human resources, provided you have the transferable skills and management experience, of course. Is the international development sector right for you? Individuals who have switched from the fast-paced corporate world to careers in international development often say they are happy with the change. At the same time, these professionals point out that there are some big differences between the type of work they do now and what they used to do. “The institutions are a lot smaller, and the deals are much smaller,” said Jill Chen, senior advisor at Grameen Foundation, who joined the organization in 2007 after nearly 20 years in finance, trade and banking. “If you’re used to doing $100 million deals, in microfinance it will be $2 million.” If you’re interested in transitioning to an international development position overseas, realize that you aren’t just switching jobs but also changing your entire lifestyle. Do some research ahead of time to figure out if you really want to be an expatriate in Afghanistan or Tanzania. Consider living conditions, security and other issues important to you. Also consider compensation. Investment banking and other fields may be all about closing deals and making money, but microfinance and international development are about achieving social change. “The pay isn’t close to what a banker would make,” said Chen. “Most people in the sector are driven by the love of what they do.” To figure out if international development is a good fit for you, connect with the industry through the Devex website, which features the world’s largest network of global development professionals. Seek informational interviews with individuals in the organizations, sectors and regions that interest you. Sign up for newsletters and attend networking events hosted by Devex and other groups. Welcome, and thank you for being part of the global development community! Read more: - How to transition from the private sector to international development - Career transitions: How to figure out if an aid job is right for you - Webinar: Starting your career in international aid and development - Webinar: Getting your next development job - Video: USAID career transitions for private sector professionals Read more international development career news.