If you are wondering whether it is worth pursuing an online MBA (OMBA), then the answer is YES!

Graduates of online MBA programs can increase their earning potential by up to 65% over their pre-MBA salary. Graduates of Imperial College, Carnegie Mellon, and the University of Washington earn more than 50% (over their previous salary) immediately after graduating from the online MBA program. 

What’s more, graduates of top 10 Online MBA programs are reporting average salary increases of nearly 30% over their pre-MBA pay.

Furthermore, top Online MBA programs are, on average, 50% cheaper than top in-person MBA programs. For example, top-ranking full-time MBA programs like those offered by Harvard and Wharton can cost around $250,000 (including tuition and living). In contrast, top-ranking online MBA programs such as Marshall and UNC-CH (Kenan-Flagler) can cost about $120,000 (tuition and no living expenses).

Plus, you can keep working in your current job and role in an online MBA program. This means that you don’t need to: 

• bear the opportunity cost of taking a two-year career break, 
• sacrifice your salary,
• stay away from your family and kids,
• pay extra money to relocate and live on campus.

Keep in mind that the opportunity cost of leaving a job to do a full-time on-campus MBA can be huge. For example, you will have to give up two years of salary, bonuses, and benefits. You will have to sacrifice any potential promotions and pay increments. You may have to forgo valuable on-job challenges and experience critical to growing professionally. You will have to pay through the nose to relocate and live on campus, which can easily cost 1500-2,000 per person. If you have a family, you will have to either stay away from them for a couple of years or bear an exorbitant sum to take them with you. Not to miss the fact that your family will have to restart their things if they relocate with you.

Here is a quick summary of all the benefits and drawbacks of an online MBA program.

Benefits of Online MBA Programs

1. You can customize your schedule and take classes at your own pace from anywhere.
2. Depending on your pace, you can finish your MBA degree in two years or three or more.
3. You can continue working a full-time job without bearing the added cost of being in school for two years.
4. You can continue earning your salary while doing an MBA, and you don’t need to leave your family.
5. Online MBA is best for you if you intend to work in the same industry and field after your MBA.
6. Online MBA graduates can significantly increase their salaries in their current company through promotions and added responsibilities.
7. After your online MBA, you can join a new company in a similar but senior role.
8. GMAT & GRE scores are not very competitive and, in many cases, can be waived.
9. Access to a network of alumni that is spread all over the globe.

 Drawbacks of Online MBA Programs

1. It is challenging to switch industries and roles after an online MBA. For example, it is unlikely to switch from supply chain to finance after an Online MBA.
2. You don’t get to do summer internships, which are usually critical if you want to switch fields/industries.
3. Due to the remote nature of an online MBA, your ability to network and make connections with your classmates and peers is limited.

An online MBA is worthwhile if your priority is flexibility, cost, and your current job. Without a doubt, getting an online MBA does help you grow professionally and financially. 

Now let’s talk about Penn State’s online MBA program.

Further in this post, I will do everything you need to apply to Penn State OMBA, such as GPA, GMAT/GRE, Essays, letters of recommendation, and much more.

Additionally, this post will include valuable information on letters of recommendation, scholarships, loans, and other specific information that you need to make it to Penn State’s online MBA program.

So why should you care to read what I write?

I have mentored over 1,000 applicants (since 2012) who dreamed of making it into the top global business schools. So, I have seen everything.

Additionally, I have tutored over 15,000 individuals for the GMAT and the GREs, which are one of the prerequisites to get into the top MBA programs.

What are Penn State’s Online MBA admission requirements?

When selecting an online MBA program, you want a quality education that fits your needs. This Online MBA program is delivered through Penn State World Campus and the Penn State Smeal College of Business.

Penn State World Campus considers many factors while selecting candidates for their online MBA program. 

These mainly include diverse academic and professional backgrounds, and good analytical and quantitative problem-solving skills.

Penn evaluates these traits by looking at the following aspects of your application:

• GPA of last two years of undergrad (junior/senior year)
• GMAT/GRE Test scores
• Resume
• Application Essays
• Letters of recommendation

Before you go on further, here are some of the most salient features of Penn State’s Online MBA program.

• Ranks 15th in the top Online MBA programs list.
• Ranks 5th in the top Online MBA programs for veterans.
• Ranks 7th in Best Online Finance MBA Programs and in Best Online General Management MBA Programs
• Ranks 10th in Best Online MBA Programs in Marketing
• Ranks 15th in Best Online Business Analytics MBA Programs (tie)
• The cost of attending Penn State’s Online MBA is $60,000.
• On-Campus Residency option is available, which is suited for those who want a hybrid learning experience.
• Numerous scholarships and fellowships are open to Online MBA students.
• 24 concentrations available to choose from.
• Network of more than 88,000 alumni.
• Flexibility to join the program in any semester.
• Accredited by the Association to Advance Collegiate Schools of Business, the gold standard of business school accreditation.

How long is the Penn State Online MBA? Penn State Online MBA program is 2 to 2.5 years long, but you have the option to extend the program to 3-4 years if you need greater flexibility.

Penn State’s online MBA program has an acceptance rate of 90%. Nearly 600 applicants apply to their Online MBA program every year, and around 540 get selected. The total enrollment at Penn State Online MBA is approximately 900 students.

Penn State has 3 admissions cycles each year:

• Spring Intake
• Summer Intake
• Fall Intake

Online MBA programs have acceptance rates that are nearly 6-7 times higher than in-person MBA programs.

To get an idea of the competition of some of the Top In-Person MBA programs, here are the acceptance rates of 5 of the top in-person MBA programs.

data source: university admissions website

Whereas, the acceptance rates for 5 of the top ranked Online MBA programs are:

data source: poetsandquants

Acceptance rates give you an idea about how tough it is to get in. The top 5 OMBA programs have an average acceptance rate of nearly 50%, i.e., 5 in 10 applicants gets in.

In the case of Penn State OMBA program, 9 in 10 applicants make it, which makes it a lot less competitive compared to the top 5 OMBA programs.

To ensure a good fit for the program, applicants to Penn State’s OMBA program may have to pass through an online interview. Not everyone has to go through an online interview, but the admissions committee may request it on a case-by-case basis.

Penn State OMBA mainly looks at the following things in an applicant:

• Collaboration. Given the team-based nature of the program, collaboration with your peers is critical for success. This can be demonstrated as follows:

1. College extracurricular activities include athletic participation, academic teams, clubs, and political activism.
2. Academic achievements such as leading a successful group project.
3. Business achievements such as developing/implementing new procedures leading special projects.
4. Personal accomplishments include overcoming depression/drug abuse, honours list, leading a startup alongside a demanding full-time job.

• Analytical Chops. This can be exhibited through:

1. GMAT/GRE scores.
2. Nature of work experience.
3. Previous GPA.
4. Diploma’s/certifications such as CFA levels 1,2 and 3.

• Adaptability. Some examples can be:

1. How you responded to unexpected situations.
2. Taking on different roles and responsibilities.
3. Changing your communication style based on who you are talking to.
4. How you have constantly improved your skills

Penn State’s Online MBA GPA Requirements

For Penn State, there is no minimum GPA to apply. The average GPA of admitted applicants at Penn State OMBA is 3.3. 

Penn State values your last two years’ GPA, i.e., the GPA you got in your junior and senior years. 

Your undergraduate majors and university ranking matter as well. For instance, someone from MIT engineering with a GPA of 3.3 is far academically superior to someone, let’s say, with a 4.0 in an arts degree from Florida Memorial University. (Not to say the Florida Memorial University is wrong, lol)

Since the OMBA curriculum is data-driven, you must show your analytical ability with some STEM-based undergrad courses or a high quantitative score on standardized tests.

All things aside, what to do if your GPA is low since it is impossible to change your GPA now. Some applicants think that doing a master’s with a better GPA can help you apply. Some say that one should enrol in some short courses and improve your GPA. Don’t do either of the two. Instead, if your GPA is below 3, focus on your GMAT/GRE to compensate.

GMAT & GRE requirements at Penn State OMBA

First, Penn State has no preference for GMAT over GRE or GRE over GMAT. Therefore, you can take either the GMAT or the GRE before the application deadline to complete your application.

Penn State’s OMBA Average GMAT score & Analysis

Penn State has no cutoff GMAT score, but a decent score is necessary.

Nearly all OMBA programs do not have a very high requirement when it comes to GMAT scores. Penn State is no different. Their average GMAT score is 590. Scoring this much on the GMAT is not a big challenge and nearly 60% of the global GMAT test-takers score 590+ on the GMAT.

It usually takes 2-3 months of prep to score something above 600 on the GMAT. You may want to look at this post to get the best books to prepare for the GMAT. Or if you like to study online, then here is the best online GMAT prep course that is the most affordable.

Penn State OMBA program doesn’t look closely at the Integrated Reasoning (IR) and analytical writing (AWA) portion of the GMAT exam. Nevertheless, a decent IR and AWA score for Penn State OMBA would be:

• Integrated Reasoning (IR) score of 4+ out of 8.
• AWA score of 4+ out of 6.

Penn State’s OMBA GRE Score & Analysis

Penn State has no cutoff GRE score, but a decent score is necessary.

Again, this score is very easy to get and nearly 40% of the global GRE test-takers score 308+ on the GRE.

It usually takes 2-3 months of decent prep to score something above 310 on the GRE. So you may want to look at this post to get the best books to prepare for the GRE. Or if you like to study online, then here is the best online GRE prep course that is the most affordable.

A good GRE AWA score for Penn State OMBA is 4+ out of 6.

Should you take the GRE or GMAT for Penn State MBA?

Penn State says that they have no preference between GRE or GMAT. However, there are a few things that you should know.

GRE is much easier overall than the GMAT. Math on the GMAT is much more complex, whereas Verbal on the GRE is slightly more challenging.  

Since Penn State has no preference between the two exams, you must take the GRE. You will easily be able to score a 310+ on the GRE than a 600+ on the GMAT. You will be able to prepare for the GRE in nearly half the time it would take you to prepare for the GMAT. 

Also, Penn State likes to see a competitive quantitative score in the 50th-60th percentile range, as there is a strong correlation between how well someone does in their Math section and how well they perform in the OMBA program. Since GRE Math is easier than the GMAT Math, one must take the GRE and aim for a 60th percentile score for a strong chance of making it to the program.

Multiple GMAT or GRE attempts

Multiple GMAT or GRE attempts are very common among OMBA applicants. This is understandable since most applicants have been away from books (studying) for more than 10-15 years. Therefore, I recommend consulting the best prep material to score decently on the GMAT or the GRE.

Penn State OMBA has no bias against someone who takes the GMAT or the GRE multiple times.

Multiple GRE or GMAT attempts can positively impact your OMBA application. It tells Penn State’s admissions board that you are persistent and ambitious enough to work hard to improve every aspect of your application.

You could have taken the GMAT, let’s say seven times, and every time you failed to achieve a 600+. Then the 8th time, you decided to take the GRE, which is easier than the GMAT and scored your desired score. This speaks volumes about your commitment and will significantly impact your application.

GRE and GMAT Waiver at Penn State Online MBA

Penn State can give you a GRE or GMAT waiver for their OMBA program on a case to case basis. 

Over 80% of applicants get a GRE/GMAT waiver.

However, to be eligible for the waiver, you must follow one or more of the following criteria:

1. Advanced degrees (Medical Doctor, Doctor of Osteopathic, and PhD automatically waived)
2. Have at least five years of relevant and progressive post-undergraduate work experience
3. Significant leadership experience, particularly in the army
4. Demonstrate strong quantitative ability and advanced analytical reasoning skills.

If you have already taken the GMAT or the GRE in the past five years, you are not eligible for any waiver – even if you qualify on the above criterion. Although, one fails to understand this logic since an applicant can choose not to send their GMAT/GRE scores from any exam they took in the past five years. If you don’t send your scores to Penn State, they would never know that you ever took the GMAT/GRE. So, this restriction can be easily bypassed.

Work Experience

The average pre-OMBA work experience at Penn State is 12 years, and the range of work experience is 2-33 years.

The average age of an admitted OMBA applicant is 34, and the range of age is 24-55 years old.

It is very rare for Penn State OMBA to admit applicants having no full-time work experience. To apply and gain full benefit from the program (also the best bang for the buck), you must have at least 2-3 years of experience working full time after your undergraduate. 

The ideal number of years of work experience for the OMBA program at Penn State is 10-12 years. 

For most top OMBA programs, 10-15 years is the perfect amount of work experience. According to the leading MBA forum poets and quants, online MBA programs years of work experience is twice as much as that of in-person MBA programs. Here is the average work experience of admitted students in the top 5 OMBA programs. 

data souce: poetsandquants

The quality of work experience matters a lot in the case of Penn State OMBA. Penn State seeks individuals who have diverse backgrounds and professional maturity. You could have worked for five years in a role where you didn’t get a chance to develop your leadership skills. That work experience is futile for an MBA at Penn State. 

Letters of recommendation

You need two letters of recommendation (LORs) to apply to Penn State Online MBA. 

LORs are an essential part of your application since a great letter validates your credentials and what you say in your application. A great LOR is not generic saying things like ‘this person is talented and brilliant. Everything that your referee says must be backed by actual examples. Make sure that your recommender can talk about specific things about you. Here are some examples of good LORs that you can consult for your application.

The title and credentials of your recommender are as important as what they write. Therefore, try to get references from high achievers who professionally know you exceptionally well.

What is the importance of each part of your Online MBA application?

Over the years, we have interviewed top OMBA admissions consultants, interviewed hundreds of OMBA students, and asked them to weigh each Penn State OMBA application component. Here is what our studies concluded:

data source: online surveys of admitted students and admissions consultants

Quality and Length of work experience are the most important admission factors at Penn State OMBA. This is because most admitted applicants have over a decade of diverse professional work experience. The majority of the admitted students keep working on their full-time jobs while taking the OMBA coursework. Moreover, Penn State OMBA immensely values diversity. Applicants who have a wide range of exposure and have developed professional maturity early have a considerable edge over others.

Moreover, a good GMAT/GRE Math score and a good GPA make up almost 20% of the overall admission weight. This shows that academic and analytical aptitude is a significant factor that top OMBA programs focus on.

Also, Penn State gives a lot of weight to your extracurriculars. The reason is that Penn State OMBA is highly synergetic. Penn State Online MBA’s curriculum follows a learning approach called ICE – Integration, Collaboration, and Engagement. ICE is the central focus of the program and is extensively used in the selection process and the overall design and implementation of classes. Penn State kicks off their OMBA program with a mandatory residency experience (in-person or online). During the residency, you meet your faculty and network with your peers while taking your first core course of the program, Team Performance. 

Letters of recommendation are as crucial as the application Essays. Penn also gives weight to LORs that come from accomplished referees. Ideally, if you get a letter from someone who knows you well (and has a strong relationship with) and has an impressive title/profile will add a lot of value to your application.

What is an Ideal applicant profile for Online MBA at Penn State?

So, admission decision to Penn State Online MBA relies on many factors. 

However, based on the data and past profiles of admitted applicants, the ideal profile for getting admitted to the Online MBA program at Penn State is as follows: 

To have the best shot of getting into Penn State’s Online MBA program, you should aim for a 600+ on the GMAT or a 310+ on the GRE, with a 3.4 GPA or higher. You should have 11 years of work experience with a strong mathematical and statistical ability.

Your acceptance chance to Penn State OMBA will be super high if your profile is similar to this.

70% of the admitted students at Penn’s OMBA are Males, and 30% are Females. 

Penn State does not share the number of female to male applicants to their OMBA program, but more male applicants than female applicants apply to their program. 

Application Requirements for Penn State Online MBA

Penn State’s Online MBA program requires an online application that comprises of the following:

Deadlines and Rounds: Go here.

Is Penn State Online MBA good?

Overall, Penn State Online MBA students are delighted with the program and are a happy bunch. For example, two of the Penn State Online MBA program graduates, Yuri Vanessa Cuervo and Matthew Thomas Mullins, have rated their experience of Penn State’s Online MBA 10 out of 10. 

You only need to spend 10-15 hours a week to do the Penn State online MBA – that means you can easily balance a 40-hour workweek, family, rest, play, and your education. In addition, Penn State has organized the program so that you can receive the benefits of an in-person MBA via their on-campus residency and those of remote learning. Also, you can take classes on the weekends and work on your assignments during the weekdays.

Students remain connected to one another throughout the program through group learning activities. You can collaborate with your peers spread across different states and countries. Every student in the program comes from a diverse professional and academic background. All of this immensely helps you learn from the faculty and your peers. 

If analytical skills are not your strong suit, then Penn State’s OMBA is a good choice as the program will equip you with all the tools to help you think critically and strategically about the data you are evaluating. 

Since the pandemic, more and more people enrol in online MBA programs. As a result, enrollment in some of the top Online MBA programs has nearly doubled in the past couple of years. The reasons for the popularity of OMBA programs are already discussed earlier in this post:

• Flexibility.
• No opportunity cost.
• No need to quit your job.
• Greater curriculum customization.
• Salary boost after post-MBA and less stringent GRE/GMAT requirements.

Above all that, the satisfaction levels of online MBA graduates are very high. On average, graduates of OMBA programs have a satisfaction rate of more than 90%. CMU’s online MBA program had a satisfaction rate of 100%.

One of the few things you sacrifice in an Online MBA program is a strong network connection you build with your peers in a regular in-person MBA. You also sacrifice the on-campus recruitment drives. If your goal is a career change and you want to take the full benefit of the placement office of an MBA program, then Online MBA is not for you.

Nonetheless, you get a salary boost as top Online MBA programs report an average salary increase of 30% over their pre-MBA salary. So if you don’t want to quit your job and sacrifice your salary, then Online MBA can be a great prospect.