The northern star shines

The fringe of the Lake District, you might think, would be an ideal location for a summer course on poetry, a religious retreat possibly, or an outward bound-style activities weekend. But what about as a venue for an MBA, with all the associated links to the worlds of commerce, finance and communications? On first consideration, that requires a leap of imagination of Olympic proportions.

But think again. Lancaster University's one-year full-time MBA programme has just been ranked comfortably inside the top 100 MBAs in the world by the Financial Times, with only seven British institutions ahead of it. In addition, the Lancaster University Management School (LUMS), which runs the MBA, is now rated a 6* business school, having been given a 5* rating for its research in two consecutive Research Assessment Exercise. Of the other similar UK establishments, only the London Business School can match this accolade.

"In the global business sense, our location is quite irrelevant," explains Professor Rick Crawley, head of external relations. "Communications are never a problem and we have a high-quality environment which is conducive to high quality study. Lots of our MBA students want time out from their urban lifestyles."

But there's clearly more to Lancaster's appeal than the opportunity it presents for contemplative walks on the Cumbrian fells. One of the unique elements of its MBA, and one which the school argues has given it a cutting edge alongside competitor business schools, is the Managing in Action element of the course. This runs alongside and complements the more conventional lectures and assessments in the individual management disciplines, such as accounting, marketing, and human resources.

Managing in Action lectures and practicals start from the premise that in the real business world, problems are complex and rarely respond to the application of one simple measure. Students are taught how to think their way through difficult management situations and find solutions that are more likely to be understood by, and be acceptable to, all of the interested parties within the organisation. This aims to equip students with the skills, or tools as they're often called in this world, to deal with messy business situations.

"It's knowing what to do when you don't know what to do," explains Steve Kempster, director of the full-time MBA.

Managing in Action sessions start in the first term and, initially, some students find it difficult to get the point of them and struggle to see their relevance. However, most see the benefit when they are sent, in small groups, into real business situations and asked to apply the principles to analyse the problems and suggest solutions.

"The Managing in Action practical project was the turning point for me," says Irina Gorbarenko, from Russia, who visited a waste management firm. "I could really see how what we'd learnt could actually help in a business situation."

The most frequent comment from students is that the Managing in Action programme teaches you how to think. As for the course as a whole, no one suggests it is easy going.

"It is probably the toughest degree on the campus," says Kempster unapologetically. He's also proud of the growing emphasis that Lancaster places on the soft skills of management. "We teach a less macho, less heroic approach to business leadership, including the skills of empathy, sympathy and always remembering that you are managing individuals, not just systems."

James Killen, 26, who was a manager in the catering business before he began the MBA, highlights the lectures on differing theories of human resources as examples of how he'll take a different approach to personnel management in the future. "The quality of the teaching has stood out. I've learnt the ability to understand and take the world view of a person."

Forty students are on the one-year full-time MBA, of whom 11 are British, nine from India, five from China and the rest spread around Europe. Just over half this year's group are women, in contrast to the predominantly male-dominated environments of many MBA courses.

Fees for the Brits are £16,500, while the rest have had to fork out £2,000 more. Given that they've all left jobs with salaries of around £30,000 ( salaries vary depending on whether or not students are British nationals or foreign students), and taking into account living costs for a year, that means they'll all be at least £45,000 worse off than a year ago.

However, Lancaster's high placing in the FT rankings results, in no small measure, from the success of previous MBA students in boosting their earnings significantly.

Steve Rawlings, from last year's cohort, has recently begun working for the marketing company, Strategem. He is full of praise for how the course enhanced his effectiveness as a business manager.

"I was not particularly bothered about my grades and marks, but more about the processes I was encountering and what I could learn about working with other people in business situations."

The course lasts a full 12 months, the final element being a business placement and associated dissertation. The rare students who fail the course often fall at this hurdle. However, from Day One, students are encouraged and guided in thinking about careers post-Lancaster.

The future for Lancaster's MBA looks bright, not least given the imminent completion of the £10m new extension to the management school's premises. Funded by the university and the North West Development Agency in equal measure, it'll be known as the Lancashire Leadership Centre and provide a new focus for business excellence in the North-west.

The MBA students will spend much of their time in the new building. It'll give them opportunities to rub shoulders with high-calibre commercial figures from the public and private sectors, who'll be frequent visitors to the centre.

"The front door will look fantastic," enthuses Kempster, who clearly sees the centre as confirming the calibre of Lancaster's MBA. "We'll have 6* resources to match our 6* institution."