MBA vs. Organizational Leadership: Where Do They Differ?
If you are a manager looking to move up the career ladder, advancing your leadership skills would help you achieve more. Two popular degree options you can choose from are the MBA and the Master of Science in Organizational Leadership (MSOL).
Even though they both provide knowledge and skills for aspiring leaders, they are not the same. In this article, we compare MBA vs. MSOL curriculums, skills, job positions, outlooks, and salaries, ultimately making deciding between them easier for you.
What Is an MBA?
In addition to being highly preferred by employers, an MBA degree is also one of the most popular choices by students.
A Master of Business Administration (MBA) is a postgraduate degree concentrating on business management. Often a stepping stone to popular C-suite jobs, it equips you with essential skills and knowledge that qualify you for leadership roles.
It usually takes two years to earn an MBA degree; however, the length depends on the type of program you choose to pursue. After obtaining your degree, you'll have a credential that provides a competitive edge in many industries, including business.
What Is an MSOL?
MSOL stands for Master of Science in Organizational Leadership. It is an advanced degree that focuses on leadership and prepares influential leaders and managers. In addition to the MBA, an MSOL degree is often the go-to for people who want to advance their leadership skills.
The program is typically designed for students with an undergraduate degree in business or a related field who want to grow their professional skill set. If you enroll in a full-time MSOL program, you can expect to earn your degree in two years.
What Do You Learn in an MBA vs. an MSOL?
Digging deeper into the master programs of business management vs. organizational leadership degrees, let's compare their curriculums and the skills you acquire from each degree.
Curriculum
A typical MBA curriculum focuses on providing students with a broad overview of the functional business areas, like marketing, accounting, finance, HR, operations management, information technology, etc. In addition, MBA usually includes classes related to economics, investments, organizational behavior, and business law.
The courses can vary depending on the specialization you choose, but you can expect classes like the following:
Principles of Accounting
Business Communication
Organizational Behaviour
Marketing Management
Business Environment
Financial Management
Human Resources Management
Entrepreneurship
Business Ethics
On the other hand, the MSOL curriculum doesn't always include functional areas such as accounting, economics, finance, or marketing. Instead, it emphasizes leadership and the human aspects of business operations.
Since the MSOL curriculum is interdisciplinary, it uses multiple disciplines like psychology, sociology, philosophy, and more. When you pursue an MSOL degree, you usually learn strategies for managing diverse organizations, how to foresee possible interpersonal conflicts, psychological factors that impact decision-making, and more. Every class you study will have a leadership focus. Core courses may include:
Foundations of Leadership
Leadership Practices
Organizational Theory
Organizational Communication
Behavioral Science
Skills
The MBA and organizational leadership master's degree will provide you with similar skills to help you succeed as a leader. The difference lies in that an MBA degree will concentrate more on analytical skills than an MSOL degree that focuses mainly on adaptability and collaborative skills for leadership.
By pursuing a master of business administration degree, you will sharpen your decision-making skills. A crucial part of making decisions is also the ability to assess risks; therefore, risk management is another focus of an MBA degree. Other skills you will likely gain include:
critical thinking,
communication,
strategic analysis and research,
entrepreneurial skills,
flexibility,
problem-solving,
networking.
On the other hand, a master's degree in organizational leadership equips you with skills to resolve different conflicts, like negotiation, motivation, and the ability to influence others. It also focuses on communication as an essential skill for influential leaders. In addition, it develops skills like:
creativity,
time-management,
interpersonal skills,
teamwork,
problem-solving,
project management, etc.
MBA Job Opportunities
A master's degree in business administration is known for its versatility in the career options available. With an MBA under your belt, you will be a strong candidate for employment in many industries. The areas you can get a job in include sales and marketing, finance, HR, international business, supply chain, entrepreneurship, and more. Below you can learn more about three lucrative positions that you can go for after pursuing an MBA.
Financial manager
Financial managers oversee the finances of a company or organization. They are responsible for performing data analysis, directing investment activities, and planning profits. Their duties include:
creating financial statements and reports,
reviewing financial reports,
analyzing market trends
helping senior managers make decisions,
coordinating accounting, and more.
According to the BLS, you can work in different insurance firms, banks, investment companies, and other industries as a financial manager. In 2020, the median salary for a financial manager was $134,180 per year.
Business operations manager
A business operations manager oversees and coordinates the fundamental functions needed to achieve company goals. They manage administrative employees, implement communications systems between departments, and develop strategies to enhance business efficiency.
Business operations managers can be found in various industries; businesses, governments, hospitals, schools, etc. Their day-to-day responsibilities include:
monitoring and improving everyday operations,
measuring system and procedure efficiency,
hiring people,
monitoring financial data,
addressing budget matters,
performing cost-benefit analyses,
negotiating contracts,
creating company policies to improve efficiency,
conducting staff performance reviews, and so on.
Business operations manager ranks as the 9th in best business jobs, earning a median yearly salary of $103,650.
Business consultant
Business owners often hire Business Consultants to achieve success. Business Consultants help companies work towards long-term goals by getting funds, reviewing the market for growth opportunities, etc.
A Business Consultant, commonly known as a Business Advisor, is responsible for giving professional advice to improve a company or organization's performance and efficiency.
Business consultants usually work for consulting companies, different organizations, or freelancers. Typical duties may include:
meeting with new clients,
developing and implementing a budget,
training employees,
creating a new business,
analyzing data to identify problems,
present findings and suggestions,
developing business plans,
guiding through any problem or issue,
organizing business projects, etc.
According to ZipRecruiter, business consultants earn an annual salary of $70,252, with the top 3% earning up to $134,500 a year.
MSOL Job Opportunities
An MS degree in organizational leadership can be your key to career success. An advanced leadership degree will be beneficial for many careers; however, below, we have presented three of the most popular jobs you can get as an MSOL graduate. Read on to learn more about each of them.
Human resources manager
Human resource (HR) managers are responsible for ensuring that the HR department of a company is running smoothly. This includes recruiting, hiring, and interviewing staff members, managing the daily functions of the department, administering pay, benefits, and leave, handling discipline according to company policy, etc. Other duties include:
ensuring compliance with employment laws and regulations (federal, state, and local),
creating and revising job descriptions,
maintaining knowledge of new technologies in human resources,
conducting annual salary surveys,
maintaining department records and reports,
planning, organizing, and managing HR department activities,
contributing to the development of overall HR department goals,
participating in administrative staff meetings, and more.
As a Human Resource Manager, you can earn $108,190 a year, going up to $132,773 annually as you gain more experience.
Health services manager
Health services managers, also known as healthcare administrators are responsible for the quality of healthcare services in a medical setting. They usually work in offices (like hospitals, nursing homes, or other healthcare facilities), sometimes face-to-face with patients, or a combination of the two.
Health Service Managers can manage entire facilities or specific areas or departments. As a Health Services Manager, your duties may include:
managing finances and creating budgets,
creating work schedules,
planning strategic changes to improve service,
planning and attending staff meetings,
writing reports and delivering presentations,
overseeing day-to-day operations of the facility
training staff when it comes to new policies or laws
using computers to organize data, etc.
The Health service manager gives lucrative pay too. In 2020, the median pay for a healthcare administrator was $104,280 per year.
Interested in pursuing a Healthcare Administration degree in California?
Fill out the form and get all the detailed information you need regarding your chosen program.
School principal
A school principal is the number one leader in an elementary, middle, or high school. They oversee school operations and daily activities, handle significant administrative tasks, and are responsible for supervising teachers and students. Other responsibilities you may have as a school principal include:
communicating with parents,
meeting with students to listen to their concerns,
creating school policies,
managing the school budget,
disciplining students when necessary,
planning academic calendars
dealing with student recruitments and admissions
hiring staff members,
providing a bias-free atmosphere for all students, etc.
The salary you can get as a School Principal depends mainly on your state. For example, School Principals in Massachusetts earn an annual salary of $94,039, while the same position is paid $87,516 per year.
MBA vs. MSOL Job Outlook and Salary
After learning more about different types of jobs you can get with an MBA vs. MSOL degree, let's look into the job outlook and salaries that come with these jobs.
If we compare the job outlook for the positions we mentioned above, we find out that the fastest employment growth in our list is that of health services managers — a job you can get by pursuing an MSOL degree. The U.S. Bureau of Labor Statistics predicts a 32% growth for this occupation during this decade.
Next, we have the two job positions you can choose from by obtaining an MBA: financial manager, with an estimated 17% job outlook, and business operations manager, with a 9% employment growth. Human resources managers also have a 9% predicted growth, while the positions of a school principal and a business consultant come with an 8% employment growth.
On the other hand, when we consider the latest data for the average annual salaries of these jobs, we conclude that MBA jobs provide higher median payments. Below we present the salaries of each job starting from the highest. The financial manager position is at the top of the list, followed by the business operations manager.
Financial Manager, $134,180
Human Resources Manager, $108,190
Medical and Health Services Manager, $104,280
Business Operations Manager, $103,650
School Principal, $87,090
Business Consultant, $70,252
Wrapping Up
To wrap it up, both masters of business administration and master of science in organizational leadership are famous degrees that can benefit you. However, they are not the same, and you must choose the one that fits your personal goals best. We hope that after reading this article, you have an idea of which side you see yourself more.