Careers360 Logo
MBA in Finance or MBA in HR: Which is Better?

MBA in Finance or MBA in HR: Which is Better?

Edited By Tarun Bisht | Updated on Aug 23, 2024 11:59 AM IST | #CAT

A major question for many MBA aspirants is whether to pursue an MBA in Finance or HR? MBA in finance and MBA in HR both have their pros and cons. HR and Finance are the most popular MBA specializations preferred by the candidates. Candidates should understand the different factors like required skills, industry trends, career opportunities, long-term goals, etc to decide which out of the two specializations is suitable for them. This article serves as a comprehensive guide to understanding the Finance and HR specialization to decide the one to choose for an MBA.

MBA in Finance or HR?

For the first year of the MBA, the candidates are taught the same curriculum. Upon entering the second year of the MBA candidates are provided with the choice of selecting an MBA specialization. Candidates can choose from a variety of alternatives like Finance, Marketing, HR, Operations, Retail, E-Commerce etc. Specializations like Finance, Marketing, and Operations tend to have more salary than others like Human Resources.

Great Lakes - PGPM & PGDM 2025

Admissions Open | Globally Recognized by AACSB (US) & AMBA (UK) | 17.3 LPA Avg. CTC for PGPM 2024

GMAT™ Exam

Select test center appointment | Scores valid for 5 Years | Multiple Attempts | Round 1 Applications Closing Soon

MBA in Finance or HR? Skillset Comparison

Finance and HR are two very different MBA specializations to deal with. Both have a skillset unique to them. Some skills might appear to be common but those are the general skills common to every MBA specialization. The skills that one gets specialized in after these MBA specializations are given in the table below.

CAT 2024 Most Scoring Concepts- VARC, DILR & QUANT
Start your CAT journey today and download CAT 2024 most scoring concepts PDF, including study materials based on CAT previous year papers, CAT question papers, and CAT exam sample questions.
Download EBook

MBA Finance Skills

MBA HR Skills

Financial Analysis

Employee Relations

Financial Modelling

Recruitment Strategies

Investment Strategies

Organizational Behaviour

Risk Management

Performance Management

MBA in Finance or HR? Career Opportunities

When it comes to career opportunities finance is a much more preferred MBA specialization than HR. An MBA in finance can get a candidate a high-paying job in top companies operating in fields like Investment Banking, Asset Management, Equity Research Analyst, and Financial Analysis. The HR specialization on the other hand has limited career choices for candidates. Candidates with an MBA specializing in HR tend to stay within the domain of recruitment. The industry can vary though. Different career roles for both MBA specializations are given in the table below.

MBA Finance Career Roles

MBA HR Career Roles

Financial Analyst

HR Manager

Investment Banker

Talent Acquisition Specialist

Financial Manager

Organisational Development Consultant

Equity Research Analyst (Buy/Sell Side)

Chief Human Resource Officer

Institutional Trader

Performance Coach

Fund Manager


Chief Financial Officer


Financial Consultant


MBA in Finance or HR? Industry Trends

The industry trends for MBA in Finance and HR are quite different. Finance roles are generally high paying with roles that are of crucial importance to the company. They often have to make sensitive decisions concerning money. HR roles are also important for the overall health of the organization. The HR roles are also well compensated, especially at senior levels. The best part about HR roles is that they are needed in almost every sector which makes it a very safe choice. Finance roles can have a serious impact during a period of recession.

MBA in Finance or HR? Longterm Goals

The long-term goals and career plans are important to consider when deciding whether to do an MBA in finance or HR. Depending on how a candidate sets long-term goals for their career the choice of either MBA specialization can have a great impact. Candidates wanting to see themselves associated in an important leadership role with any of the big financial institutions should ideally go for an MBA specializing in Finance.

But if a candidate is looking for a safer career route irrespective of industry and wants more work-life balance they should choose HR as their MBA specialization. The pay scale might get stagnant. Candidates choosing finance should prepare themselves for a hectic work life with tight deadlines in exchange for great pay and the opportunity to get relocated to a tier-one country.

Frequently Asked Questions (FAQs)

1. Which MBA is better, HR or finance?

It depends on factors like the required skills, industry trends, career opportunities, long-term goals, etc to decide which out of the two specializations is suitable for them.

2. Who gets more salary, HR or finance?

In terms of salary and pay scale, an MBA in Finance tends to pay a lot more than an MBA in HR. At senior levels HR roles are also well compensated but nowhere near finance roles.

3. How do I choose between HR and Finance?

For choosing between HR and Finance various factors should be considered like what are the expectations from one's career, the skillset they excel in, long-term career plans, etc. Based on how both specializations tend to prove for each factor candidates can decide for themselves.

4. What is the MBA HR salary?

The starting salary of an HR after an MBA is generally between Rs. 4 to 10 lakhs per annum. The salary will increase with more and more years of experience. The salary for MBA HR can go up to Rs. 30 lakhs per annum on the higher end.

Articles

Explore Top Universities Across Globe

Questions related to CAT

Have a question related to CAT ?

A CAT percentile of 90 or above can strengthen your application to MICA, it is not the only factor that determines admission.MICA considers scores of CAT and MICAT which are weighted 50–50 percent for the interview call.

Strong performance in the Pshycometric test and descriptive writing increase your chances to get into mica even if you score 80 percentile.the admission is based upon whole performance including every marks.

ALL the best!!!!


Hello aspirant,

A timetable is essential if you are preparing for the CAT in addition to your college coursework. It will give you an idea of how long it will take you to finish your syllabus and then set aside the appropriate amount of time for revision and mock exams. Without a set timetable, you risk taking your time and not completing your preparation as thoroughly as is necessary.

Thank you

Hope it helps you.

Hello Nikita,

To get into any of the top IIMs, such as IIM Ahmedabad, Bangalore, Calcutta, Lucknow, Kozhikode, or Indore, a good percentile in CAT is required, although academics play a vital role too. Let's break it down below:

CAT Score: 98+ percentile is an excellent score and makes one competitive.

Academic Scores:

Your 10th score at 84% is quite good.

A 12th score of 65% is on the lower side, which might hamper your chances at some of the top IIMs since they give weightage to past academic performance.

IIM Selection Criteria:

Every IIM has its own weightage for the scores of academics, CAT percentile, work experience, if any, and diversity.

For example, IIM Ahmedabad requires consistent academic records, while IIM Bangalore puts the strongest focus on work experience and diversified profiles.

Graduation: You are currently pursuing graduation, and your performance during that will also be considered in the shortlisting process.

While your CAT score is going to be the major pointer, your academic record-doing in class 12-is going to affect your prospects a bit at IIMs that place significant emphasis on your past performance. Still, you will have a healthy shot, at least at institutes like Lucknow, Kozhikode, and Indore, where a good score in CAT may offset lower marks in academics.

If you have diverse profiled extracurricular activities, leadership roles etc, or work experience, then it can build up your application further.

Hello!

Prep for CAT 2024: Application Pattern

Syllabus: Focus on those areas that fall under the syllabus; for instance, Quantitative Aptitude, Verbal Ability & Reading Comprehension, and Data Interpretation & Logical Reasoning.

Books: Stick to standard books from renowned authors, say, Arun Sharma for Quant, Norman Lewis in vocabulary, and some mock tests available from TIME, IMS, or Career Launcher.

Mock Tests: Take mocks and study the mistakes made.

Time management: F ocus on speed and accuracy.

If you need a more structured approach, consider a coaching institute.

Start early and become a regular.

Wishing you the best! thankyou!

Directions for question :

M/s Deloitte Touche Tohmatsu Limited, one of the top four audit and accounting firms in the world with headquarters at London, UK, and with an operational presence in 153 countries, hires Management Trainees (MT) from all the premier management institutes of India thrice every year, in the months of January, May and September.

Each new group of Management Trainees (MT) have to go through a four month rigorous training schedule, after which they have to pass through a test consisting of a written assessment and a case-analysis. The top hundred ranked Management Trainees (MT) based on the performance in the test are confirmed as Management Executives (ME). The rest are given the opportunity of undergoing the training for four months one more time along with the next batch of Management Trainees (MT) and then passing through the subsequent test consisting of the written assessment and case-analysis. The Management Trainee (MT) who fails to get confirmed as a Management Executive (ME) the second time is fired.

The scatter-graph below depicts the number of Management Trainees (MT) at Deloitte taking the tests from January 2020 till May 2022, and the vis-à-vis hired Management Trainees (MT) at Deloitte who were fired :

It is also known that for the month of September 2019 at Deloitte, 96 hired Management Trainees (MT) failed to be confirmed as a Management Executive (ME) the first time, and that 36 hired Management Trainees (MT) were fired. 

Question :

In which test did the minimum number of Management Trainees (MT) get confirmed as a Management Executive (ME) in the second attempt ?

Option: 1

September 2020

 

 


Option: 2

May 2021


Option: 3

January 2021

 


Option: 4

January 2022 


Directions for question:

Two friends Moloy and Niloy passed out from the Purulia Institute of Science and Technology with B.Tech degrees in Mechanical Engineering, but even after a year placement was hard to find. So they decided to take the challenge head-on, came down to Kolkata, rented a garage space on Park Street, and having an affinity towards making people enjoy good food, started their firm named 'B.Tech Bread-Omlette Wala'. 

They started with three items on the menu. One was the French Toast which could be prepared in 3 minutes. The second was the Egg Tortillas which took 15 minutes to prepare. Any one of Moloy and Niloy could prepare any one of them at a time. The third was the Egg Bhurji with French Fries. This however was prepared on an automated fryer which could prepare 3 servings at a time and took 5 minutes irrespective of the number of servings equal to or below 3. The fryer did not need anyone to attend to it, and the time to put in the raw ingredients could be neglected. So one could tend to the preparation of other items while the Egg Bhurji with French Fries were being prepared. 

They wanted to serve the orders as early as possible after the order was given. The individual items in any order were served as and when all the items were ready, and the order was then considered closed. None of the items on the menu were prepared in advance in anticipation of future orders. 

On the first day, 3 groups of customers came in and ordered at 6.00 pm, 6.10 pm, and 6.13 pm. The first order was for a plate of Egg Tortillas, two plates of French Toast, and three plates of Egg Bhurji with French Fries. The second order was for a plate of French Toast and two plates of Egg Bhurji with French Fries. The third order was for a plate of Egg Tortilla and a plate of Egg Bhurji with French Fries. 

On the backdrop of the above information answer the questions given :

Question: 

Assuming that the next customer's order could only be attended to when the previous customer's order was closed, at what time would the first customer's order be considered closed ?

 

Option: 1

6.15 pm

 

 


Option: 2

6.17 pm

 


Option: 3

6.18 pm

 


Option: 4

6.20 pm


Directions for question :

Six sticks of equal lengths were kept in the vertical position in an empty flower-vase, to be arranged at the six corners of a regular hexagon. The two ends of each of the sticks were of different colours. 

The top ends of the sticks were one of each of the following colours – Red, Cyan, Pink, Brown, Black and Green. The bottom ends were one of each of the following colours – Blue, Yellow, White, Orange, Purple and Grey. Both the sets of colours mentioned were in no particular order.

It was also known that :

a) The stick with the red colour was opposite to the stick with the blue colour

b) There were exactly two sticks whose both ends had colours whose names started with the same letter

c) The stick with the grey colour was adjacent to the stick with the white colour

d) The stick with the cyan colour was adjacent to both the sticks with the brown colour and the one with the blue colour

e) The stick with the purple colour was adjacent to both the sticks with the grey colour and the one with the green colour

f) The stick with the white colour was opposite to the stick with the green colour

Question :

What was the colour of the bottom end of the stick having brown colour at the top end ?

Option: 1

 White 

 


Option: 2

Yellow 


Option: 3

Black

 


Option: 4

Grey


Directions for question:

Two friends Moloy and Niloy passed out from the Purulia Institute of Science and Technology with B.Tech degrees in Mechanical Engineering, but even after a year placement was hard to find. So they decided to take the challenge head-on, came down to Kolkata, rented a garage space on Park Street, and having an affinity towards making people enjoy good food, started their firm named 'B.Tech Bread-Omlette Wala'. 

They started with three items on the menu. One was the French Toast which could be prepared in 3 minutes. The second was the Egg Tortillas which took 15 minutes to prepare. Any one of Moloy and Niloy could prepare any one of them at a time. The third was the Egg Bhurji with French Fries. This however was prepared on an automated fryer which could prepare 3 servings at a time and took 5 minutes irrespective of the number of servings equal to or below 3. The fryer did not need anyone to attend to it, and the time to put in the raw ingredients could be neglected. So one could tend to the preparation of other items while the Egg Bhurji with French Fries were being prepared. 

They wanted to serve the orders as early as possible after the order was given. The individual items in any order were served as and when all the items were ready, and the order was then considered closed. None of the items on the menu were prepared in advance in anticipation of future orders. 

On the first day, 3 groups of customers came in and ordered at 6.00 pm, 6.10 pm, and 6.13 pm. The first order was for a plate of Egg Tortillas, two plates of French Toast, and three plates of Egg Bhurji with French Fries. The second order was for a plate of French Toast and two plates of Egg Bhurji with French Fries. The third order was for a plate of Egg Tortilla and a plate of Egg Bhurji with French Fries. 

On the backdrop of the above information answer the questions given :

Question: 

Assuming that the next customer's order could only be attended to when the previous customer's order was closed, at what time would the third customer's order be considered closed ?

 

Option: 1

6.28 pm

 


Option: 2

6.35 pm

 


Option: 3

6.38 pm


Option: 4

6.45 pm


Directions for question:

Two friends Moloy and Niloy passed out from the Purulia Institute of Science and Technology with B.Tech degrees in Mechanical Engineering, but even after a year placement was hard to find. So they decided to take the challenge head-on, came down to Kolkata, rented a garage space on Park Street, and having an affinity towards making people enjoy good food, started their firm named 'B.Tech Bread-Omlette Wala'. 

They started with three items on the menu. One was the French Toast which could be prepared in 3 minutes. The second was the Egg Tortillas which took 15 minutes to prepare. Any one of Moloy and Niloy could prepare any one of them at a time. The third was the Egg Bhurji with French Fries. This however was prepared on an automated fryer which could prepare 3 servings at a time and took 5 minutes irrespective of the number of servings equal to or below 3. The fryer did not need anyone to attend to it, and the time to put in the raw ingredients could be neglected. So one could tend to the preparation of other items while the Egg Bhurji with French Fries were being prepared. 

They wanted to serve the orders as early as possible after the order was given. The individual items in any order were served as and when all the items were ready, and the order was then considered closed. None of the items on the menu were prepared in advance in anticipation of future orders. 

On the first day, 3 groups of customers came in and ordered at 6.00 pm, 6.10 pm, and 6.13 pm. The first order was for a plate of Egg Tortillas, two plates of French Toast, and three plates of Egg Bhurji with French Fries. The second order was for a plate of French Toast and two plates of Egg Bhurji with French Fries. The third order was for a plate of Egg Tortilla and a plate of Egg Bhurji with French Fries. 

On the backdrop of the above information answer the questions given :

Question: 

Suppose Moloy and Niloy had decided to process multiple orders at the same time, however strictly prioritising a first come first serve basis, when would the second customer's order be considered closed ?

Option: 1

6.20 pm

 

 


Option: 2

6.18 pm


Option: 3

6.15 pm

 


Option: 4

6.12 pm


Directions for question:

Two friends Moloy and Niloy passed out from the Purulia Institute of Science and Technology with B.Tech degrees in Mechanical Engineering, but even after a year placement was hard to find. So they decided to take the challenge head-on, came down to Kolkata, rented a garage space on Park Street, and having an affinity towards making people enjoy good food, started their firm named 'B.Tech Bread-Omlette Wala'. 

They started with three items on the menu. One was the French Toast which could be prepared in 3 minutes. The second was the Egg Tortillas which took 15 minutes to prepare. Any one of Moloy and Niloy could prepare any one of them at a time. The third was the Egg Bhurji with French Fries. This however was prepared on an automated fryer which could prepare 3 servings at a time and took 5 minutes irrespective of the number of servings equal to or below 3. The fryer did not need anyone to attend to it, and the time to put in the raw ingredients could be neglected. So one could tend to the preparation of other items while the Egg Bhurji with French Fries were being prepared. 

They wanted to serve the orders as early as possible after the order was given. The individual items in any order were served as and when all the items were ready, and the order was then considered closed. None of the items on the menu were prepared in advance in anticipation of future orders. 

On the first day, 3 groups of customers came in and ordered at 6.00 pm, 6.10 pm, and 6.13 pm. The first order was for a plate of Egg Tortillas, two plates of French Toast, and three plates of Egg Bhurji with French Fries. The second order was for a plate of French Toast and two plates of Egg Bhurji with French Fries. The third order was for a plate of Egg Tortilla and a plate of Egg Bhurji with French Fries. 

On the backdrop of the above information answer the questions given :

Question: 

Suppose Moloy and Niloy had decided to process multiple orders at the same time, however strictly prioritising a first come first serve basis, when would the third customer's order be considered closed ?

 

Option: 1

6.22 pm

 


Option: 2

6.25 pm


Option: 3

6.28 pm 


Option: 4

6.30 pm


Directions for question:

Two friends Moloy and Niloy passed out from the Purulia Institute of Science and Technology with B.Tech degrees in Mechanical Engineering, but even after a year placement was hard to find. So they decided to take the challenge head-on, came down to Kolkata, rented a garage space on Park Street, and having an affinity towards making people enjoy good food, started their firm named 'B.Tech Bread-Omlette Wala'. 

They started with three items on the menu. One was the French Toast which could be prepared in 3 minutes. The second was the Egg Tortillas which took 15 minutes to prepare. Any one of Moloy and Niloy could prepare any one of them at a time. The third was the Egg Bhurji with French Fries. This however was prepared on an automated fryer which could prepare 3 servings at a time and took 5 minutes irrespective of the number of servings equal to or below 3. The fryer did not need anyone to attend to it, and the time to put in the raw ingredients could be neglected. So one could tend to the preparation of other items while the Egg Bhurji with French Fries were being prepared. 

They wanted to serve the orders as early as possible after the order was given. The individual items in any order were served as and when all the items were ready, and the order was then considered closed. None of the items on the menu were prepared in advance in anticipation of future orders. 

On the first day, 3 groups of customers came in and ordered at 6.00 pm, 6.10 pm, and 6.13 pm. The first order was for a plate of Egg Tortillas, two plates of French Toast, and three plates of Egg Bhurji with French Fries. The second order was for a plate of French Toast and two plates of Egg Bhurji with French Fries. The third order was for a plate of Egg Tortilla and a plate of Egg Bhurji with French Fries. 

On the backdrop of the above information answer the questions given :

Question: 

A fourth customer comes in and orders two plates of French Toast at 6.24 pm. Suppose Moloy and Niloy had decided to process multiple orders at the same time, however strictly prioritising a first come first serve basis. For exactly how many minutes would one of the friends be idle from 6.00 pm till serving the last customer, assuming that the four customers were the only ones to have come in within the period being discussed ?

Option: 1

9

 


Option: 2

13


Option: 3

18


Option: 4

21


Directions for question:

Two friends Moloy and Niloy passed out from the Purulia Institute of Science and Technology with B.Tech degrees in Mechanical Engineering, but even after a year placement was hard to find. So they decided to take the challenge head-on, came down to Kolkata, rented a garage space on Park Street, and having an affinity towards making people enjoy good food, started their firm named 'B.Tech Bread-Omlette Wala'. 

They started with three items on the menu. One was the French Toast which could be prepared in 3 minutes. The second was the Egg Tortillas which took 15 minutes to prepare. Any one of Moloy and Niloy could prepare any one of them at a time. The third was the Egg Bhurji with French Fries. This however was prepared on an automated fryer which could prepare 3 servings at a time and took 5 minutes irrespective of the number of servings equal to or below 3. The fryer did not need anyone to attend to it, and the time to put in the raw ingredients could be neglected. So one could tend to the preparation of other items while the Egg Bhurji with French Fries were being prepared. 

They wanted to serve the orders as early as possible after the order was given. The individual items in any order were served as and when all the items were ready, and the order was then considered closed. None of the items on the menu were prepared in advance in anticipation of future orders. 

On the first day, 3 groups of customers came in and ordered at 6.00 pm, 6.10 pm, and 6.13 pm. The first order was for a plate of Egg Tortillas, two plates of French Toast, and three plates of Egg Bhurji with French Fries. The second order was for a plate of French Toast and two plates of Egg Bhurji with French Fries. The third order was for a plate of Egg Tortilla and a plate of Egg Bhurji with French Fries. 

On the backdrop of the above information answer the questions given :

Question: 

Had Niloy been absent on that day, and assuming that the next customer's order could only be attended to when the previous customer's order was closed, at what time would the fourth customer's order (refer to the previous question) be considered closed ?

Option: 1

6:38 pm

 


Option: 2

6:42 pm

 


Option: 3

6:47 pm


Option: 4

6:49 pm


Directions for question:

The bar-graph given below shows the foreign exchange reserves of Nepal (in million Rupees) from 2014 to 2021. Answer the following questions based on the graph :

Question:

What was the percentage increase (rounded to the nearest integer, if deemed necessary) in the foreign exchange reserves in 2020 over 2016 ?

Option: 1 None

Option: 2 None

Option: 3 None

Option: 4 None

Directions for question:

The Jadavpur University’s Prince Anwar Shah Road hostel consists of two large separate buildings, one for the ladies and the other for the gents, while having a common kitchen and dining hall. It is the hostel of the CS and the EEC department of engineering students of the university.

In recognition of the growing dissatisfaction and hence complaints among the inmates of the hostel regarding the menu served for dinner, the Dean of the engineering department, Dr Aparesh Sanyal, personally decided to investigate the matter. He set about collecting information about the preference of dinner among the inmates, separately from the gents and the ladies wing of the hostel.

Dr Sanyal was able to gather the following partial information :  

 

Hostel inmates

Menu preference for dinner

Total

Egg Meal

Fish Meal

Chicken Meal

Gents

   

20

 

Ladies

     

64

Total

 

60

   

 

The Warden of the hostel was consulted, who after investigation declared that the following facts were clear :

1. Forty percent of the hostel inmates were ladies

2. One-third of the gentlemen inmates preferred an egg meal for dinner

3. Half the hostel inmates preferred either fish meal or chicken meal

Question:

What proportion of the lady hostel inmates preferred a fish meal for dinner ?

 

 

Option: 1

0.25

 

 


Option: 2

0.50

 


Option: 3

0.75

 


Option: 4

1.00 


Marketing Director

A career as Marketing Director is also known as a marketing expert who is responsible for the overall marketing aspect of the company. He or she oversees plans and develops the company's budget. The marketing Director collaborates with the business team to plan and develop the marketing and branding strategies for the company's products or services. 

4 Jobs Available
Content Marketing Specialist

Content Marketing Specialists are also known as Content Specialists. They are responsible for crafting content, editing and developing it to meet the requirements of digital marketing campaigns. To ensure that the material created is consistent with the overall aims of a digital marketing campaign, content marketing specialists work closely with SEO and digital marketing professionals.

3 Jobs Available
Sales Manager
2 Jobs Available
Business Analyst
2 Jobs Available
Marketing Manager
2 Jobs Available
SEO Analyst

An SEO Analyst is a web professional who is proficient in the implementation of SEO strategies to target more keywords to improve the reach of the content on search engines. He or she provides support to acquire the goals and success of the client’s campaigns. 

2 Jobs Available
Digital Marketing Executive

Digital marketing is growing, diverse, and is covering a wide variety of career paths. Each job function aids in the development of effective digital marketing strategies and techniques. The aims and objectives of the individuals who opt for a career as a digital marketing executive are similar to those of a marketing professional: to build brand awareness, promote company services or products, and increase conversions. Individuals who opt for a career as Digital Marketing Executives, unlike traditional marketing companies, communicate effectively through suitable technology platforms.

2 Jobs Available
Back to top