Approvals6 min read

Online MBA and online PGDM compared

Short answer

Online MBA vs PGDM comes down to who awards it. An MBA is a degree from a college. A PGDM is a diploma from an AICTE-approved institution. Each is approved by a different body, so check the right record for the one you choose.

Checked against 6 official sourcesUpdated See sources

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Key takeaways

  • Degree or diplomaOnly a university can award an MBA degree. A PGDM is a diploma.
  • Two approversUGC recognises an online MBA. AICTE approves a PGDM, course by course.
  • Narrow equivalenceAIU's equivalence covers only certain two-year, full-time PGDMs.

Online MBA vs PGDM: who awards each one

If you are weighing an online MBA against a PGDM, start with a definition, not a ranking. Under Regulation 2(h), a degree is an award specified under section 22(3) of the UGC Act, 1956. Only a university or a deemed university can confer one.

An MBA is such a degree. A PGDM is not, because it is awarded by an autonomous institution approved by AICTE. That one difference explains most of what follows.

Neither award is better by definition. They are different kinds of award, checked by different bodies. The right one depends on what you need it to do next.

  • Online MBAA degree, conferred by a university or a deemed university.
  • PGDMA diploma, from an AICTE-approved autonomous institution.

Why the word degree matters

Some job notices and admission rules ask for a postgraduate degree. An MBA from a recognised college is one. A PGDM is a diploma, so it counts only where the rule accepts a diploma, or accepts it as equal to a degree.

So before you choose, read the rules for the job or course you plan next. If they ask for a degree, check whether they also name the PGDM, or AIU's equivalence. If they are silent, ask the body that set them, in writing.

Take your time over this step. It is the one that decides the rest.

How each one is approved

Two bodies keep two different records. For an online MBA, UGC lists colleges as entitled or recognised, course by course, for a set session. For a PGDM, AICTE approves each course at the institution.

So one record never covers the other. Ask for the right one.

For an online MBA, recognition lasts five years and is recorded for each session. So check the session you would join, not just the college.

Ask the PGDM institution for its approval letter. Check the year on it.

Who approves what
AwardApproved byWhere to check
Online MBAUGC, per course and sessionThe UGC-DEB list
PGDMAICTE, course by courseAsk the institution for its approval

Source: UGC-DEB list of recognised courses

Is a PGDM equal to an MBA?

Not automatically, and the details matter. AIU, the Association of Indian Universities, gives equivalence to the PGDM of listed institutions. It must be two years long, full-time, approved by AICTE and accredited by NBA. A PGDM outside those conditions is not covered.

An online MBA does not need AIU at all. Its equal status with a campus MBA comes from Regulation 22 of the UGC rules, when the college is recognised for that course in your session. UGC restated this in a public notice in 2022.

AIU's service does not cover Indian online degrees either. It does not need to. Their standing at home comes from UGC's rules, not from AIU.

So the honest answer is: sometimes. It depends on the course.

AIU's conditions, one by one

AIU's equivalence has five conditions, and a PGDM must meet all of them. Check each one for the course you are offered.

If a course fails one condition, the equivalence does not apply. Ask what else the institution can show.

What AIU's PGDM equivalence requires
ConditionWhat to check
Two years longA one-year course is not covered
Full-timeNot online, not part-time
AICTE-approvedApproval for the course and session
NBA-accreditedAccreditation for the course
A listed institutionThe institution is on AIU's list

Source: AIU, equivalence

Can a PGDM be taken online?

Some institutions offer a PGDM online. AIU's equivalence covers the full-time PGDM only, so an online PGDM sits outside it.

That does not make an online PGDM worthless. It does mean you should ask the institution, in writing, what recognition it relies on, and whether the bodies you care about accept it. An online MBA has a clearer route: Regulation 22 and the UGC-DEB list.

The same goes for a part-time PGDM. AIU's equivalence names full-time study.

Entry and enrolment

The entry rules for an online MBA are set by UGC. A PGDM's entry rules are set by the institution, so ask it for them.

No UGC rule requires an entrance exam for an online MBA. Where a college asks for a CAT, MAT, XAT or CMAT score, that is its own rule.

Ask the PGDM institution for its rules in writing. Then you can set the two side by side.

Entry rules
StepOnline MBAPGDM
Minimum entryA bachelor's degreeSet by the institution
Entrance examNot required by UGC rulesSet by the institution
Before you enrolA DEB-ID, linked to your credits IDAsk the institution

Source: UGC-DEB, DEB-ID

Length and credits

An online MBA must carry the same credits and the same minimum length as the college's campus MBA. You get up to double that time to finish, so a two-year course allows four years.

You may see an 80-credit figure quoted for online MBAs. That number belongs to the rule for postgraduate diplomas, not the MBA.

A PGDM's length is set by the institution. Ask for it, and for the hours of study each week.

  • Online MBASame credits and length as the campus MBA, with up to double the time to finish.
  • PGDMAIU's equivalence covers the two-year, full-time course only.

What it means for your next step

The useful question is whether anything you plan next asks for a degree. That depends on the body setting the requirement, so read its rule rather than relying on a general claim.

A PhD is the case people ask about most. The college that admits you to a PhD sets its own entry rules. Ask it, in writing, whether it accepts your MBA or PGDM, before you commit to either.

For jobs, read the notice for the post. It tells you whether a diploma will do.

  • JobsRead whether the notice asks for a degree, a diploma or either.
  • A PhD laterA PhD cannot be taken online or by distance. The admitting body sets its own entry rules.
  • RecognitionCheck the UGC-DEB list for an MBA, and AICTE approval for a PGDM.

How to choose

Online MBAs on Sidenotes cost ₹1,57,500 to ₹2,19,400 paid upfront, and run two years with the same credits as the campus course. Use that as a reference point for any PGDM quote.

Online MBA fees on Sidenotes also come in routes. Paid each semester, they run from ₹1,75,000 to ₹2,43,400.

  1. Decide whether you need a degreeCheck the rules of the job or course you plan next.
  2. Check the right approval recordUGC-DEB for an MBA, AICTE for a PGDM, for your session.
  3. Compare the full cost and lengthTwo full years, paid the same way, on both sides.
  4. Keep the proofA dated copy of the approval record, with your admission letter.

Questions to ask a PGDM institution

If you lean towards a PGDM, these four answers tell you where it stands. Ask for each one in writing.

Keep the replies with your admission letter. You may need them years from now.

  1. Is the course AICTE-approved for my session?Ask for the approval itself, not a summary.
  2. Is it NBA-accredited?For the course, not just the institution.
  3. Is the institution on AIU's list?Check the list yourself as well.
  4. Is it full-time, two years long?Online or shorter courses fall outside AIU's equivalence.

Courses to compare

  • Amity University Online

    Online MBA in Marketing

    Online · 2 years

    Full cost₹2,07,000
    View course
  • Dr. D. Y. Patil Vidyapeeth, Pune

    Online MBA in Operations Management

    Online · 2 years

    Full cost₹1,89,400
    View course
  • Manipal University Jaipur

    Online MBA in Data Science

    Online · 2 years

    Full cost₹1,75,000
    View course
  • NMIMS

    Online MBA in Finance

    Online · 2 years

    Full cost₹2,19,400
    View course

Programme details, fees and admission dates are set by the respective colleges and are subject to change.

Questions people ask

They are different awards. An MBA is a degree from a college, while a PGDM is a diploma from an AICTE-approved institution. AIU gives equivalence only to the two-year, full-time, AICTE-approved, NBA-accredited PGDM of listed institutions.

Yes, when a university awards it. Regulation 22 treats it as equal to the campus MBA, provided the college is recognised for that course in your session.

AICTE approves PGDM courses one by one at autonomous institutions. Ask the institution for the approval covering the session you would join.

The college admitting you sets that rule, so ask it in writing. Note that a PhD itself cannot be taken online or by distance.

AIU's equivalence covers only the two-year, full-time, AICTE-approved, NBA-accredited PGDM of listed institutions. An online PGDM falls outside it, so ask the institution in writing what recognition it relies on.

Read next

Sources

  1. UGC online and distance learning rules, 2020
  2. UGC notice on online degrees, 2022 PDF
  3. AIU, degree equivalence
  4. UGC-DEB list of recognised courses
  5. UGC-DEB home page
  6. UGC-DEB, DEB-ID
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