UGC Guidelines: EPSI & Business Schools Association object; fear negative impact on PGDM

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Updated on December 9, 2013
EPSI and Indian Association of Autonomous Business Schools both have objected to the rushed manner in which UGC is trying to create a new regulatory framework for technical colleges.

Reacting sharply to the recent UGC “draft guidelines” to regulate thousands of technical colleges including engineering and management schools in the country, Education Promotion Society of India (EPSI), and the newly formed Indian Association of Autonomous Business School, have both objected to the rushed manner in which UGC is trying to create a new regulatory framework.   

Both bodies have recommended alternative ways to regulate the MBA/PGDM sector, and have expressed fear that if management education falls under the ambit of UGC, it will end up suffering due to red-tapism and lack of expertise to run a specialized sector. 

“Handing over to MBA, MCA and engineering education to UGC will prove disastrous because our public universities lack capabilities and experience to regulate technical education. EPSI will request Mr Pallam Raju, Minister of HRD, to intervene in this matter,” said Dr H Chaturvedi, Alternate President of EPSI, and Director of BIMTECH.

In a letter to UGC Chairman, a copy of which is with MBAUniverse.com, Indian Association of Autonomous Business School, said, “We are writing this appeal in the context of the draft-regulations on technical and professional education dated December 3, issued by UGC for the regulation of technical education in the country including the autonomous PGDM schools.

The regulations came as a surprise to the PGDM schools primarily on four grounds. These PGDM schools have performed eminently well all these years due to the autonomy and flexibility they enjoyed. There is a genuine fear that if the autonomous PGDM schools are brought under the governance of any Universities or UGC—which basically deals with universities and colleges—this autonomy and therefore the assurance of high quality can be lost.”

On December 3, University Grants Commission (UGC) had stirred the hornets’ nest by announcing new “draft guidelines” to regulate thousands of technical colleges including engineering and management schools in the country. UGC gave just 6 days to education institutions to come back with their objections!

This move by UGC comes seven months after the Supreme Court Verdict that questioned the authority of the All India Council for Technical Education (AICTE) to regulate technical education. On April 25, 2013, the apex court had said that colleges affiliated to universities don’t fall under the purview of AICTE. Though the HRD ministry had initially suggested promulgating an ordinance to restore the powers of AICTE, the move was put on the back burner due to the prevailing policy uncertainty.

The UGC draft guideline, published under “notice” section of UGC website on December 3, notes, “It has become imperative for the universities and UGC to evolve a suitable methodology to ensure that existing technical/engineering colleges affiliated to universities do not dilute standards of technical education imparted by them. Regulations shall apply to all colleges offering technical education and seeking approval and/or already approved/affiliated to the Universities in India established or incorporated by or under a Central Act, a Provincial Act or a State Act.” MBAUniverse.com has reviewed the copy of this notification.

The strong reaction from EPSI and Indian Association of Autonomous Business School was expected as the “draft guidelines” shall impinge and negatively impact the technical education sector, particularly the 300 odd PGDM B-schools. 

MBAUniverse.com readers will remember that your portal was the first media platform to raise the concern about the rushed manner in which UGC is trying to create a new regulatory framework. Our story dated December 6 categorically mentioned, “It may be noted that the guidelines were published on UGC website a few days back – on December 3. This short window of time to seek feedback is impractical and seen by experts as a move by UGC to hasten the process of adopting new guidelines for management and technical institutions.” 

Fearing the negative impact of this notification, Dr H Chaturvedi of EPSI said, “MHRD could have opted for some legislative methods to deal with implications arising out of the Supreme Court’s verdict of April 2013. Handing over to MBA, MCA and engineering education to UGC will prove disastrous because our public universities lack capabilities and experience to regulate technical education. Let us not do anything for which the country may repent in future. AICTE should continue as the regulator of technical education.  It should also change into a catalyst for helping institution to become globally competitive. EPSI will request Mr Pallam Raju, Minister of HRD, to intervene in this matter.”

Offering seasons against adopting the current “draft guidelines” especially for PGDM institutions, Indian Association of Autonomous Business School said, “A case is pending before the Hon. Supreme Court between Association of Indian Management Schools (AIMS) and Education Promotion Society of India (EPSI) v/s AICTE, in which the final judgement is yet to be pronounced. Therefore, the matter is under the consideration of the Hon’ble Supreme Court and hence subs judice. PGDM Institutions are not universities nor affiliated colleges but stand-alone management institutions which have all along been regulated by a specialised body.”

Commenting on the rushed manner in which UGC wanted to carry out these changes, the Indian Association of Autonomous Business School said, “Since most of the affected parties came to know about the notification only through the newspaper reports on 4th/ 5th of December, 2013 the time that we have got to respond to UGC is just 5 days (by 9th December).”

Indian Association of Autonomous Business School was formally set up on November 19 when ten leading B-schools including XLRI, MDI, IMT, TAPMI and XIME came together to get up a body to look after the interest of PGDM B-schools. The body is now registered as a trust in Chennai. Prof J Philip recently announced the formation of this body at the MBAUniverse.com Directors’ Round Table in Bangalore on November 27.

The SC judgment on April 25 had virtually ended the AICTE control over the management programs. The 67-pages Supreme Court Judgment on April 25, 2013, a copy of which is with MBAUniverse.com, states, “As per definition of ‘technical education’ under Section 2(g) of the AICTE Act and non production of any material by the AICTE to show that MBA course is a technical education, we hold that MBA course is not a technical course within the definition of the AICTE Act and in so far as reasons assigned for MCA course being ‘technical education’, the same does not hold for MBA course. Therefore, for the reasons assigned while answering the points which are framed in so far as the MCA course is concerned, the approval from the AICTE is not required for obtaining permission and running MBA course by the appellant colleges.”

MBAUniverse.com will continue to track this important development that will have a major impact on the Indian MBA education, particularly the 300 PGDM B-schools. Stay tuned.

Related Links

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