Indiana University, Kelley School of Business

Two years can be a long time to be out of the workforce.

That means lost income, stalled momentum, and daunting debt. Of course, a one-year MBA means a breakneck pace where students can miss out on valuable elective courses, networking opportunities, and unforgettable times. What if MBAs could return to work during the second year without missing those deep dives into a specific industry, geography, or issue? What if students could still stay connected as a second-year while enjoying the flexibility to take courses when it is best for them?

The Kelley School may have found that sweet spot – a middle, win-win way where full-time MBAs can finish their second year without being tethered to campus. In October, the Kelley School announced the launch of the Kelley Full-Time +Flex MBA program. Basically, students complete their first year in Bloomington before receiving the option to complete their second year online.

“The single biggest binding constraint is the opportunity cost of leaving a job for two years,” explains Patrick E. Hopkins, vice dean at Kelley. “We know we have potential students who span the horizon of needs. We are saying no two students are alike. Some will benefit from a fully immersive two-year experience on campus, but on the other end, we have students who want to lean in on the flexibility of the online program. There is a middle there.”

Hopkins frames the Kelley School as the “first movers” in this space, a bold position that allows students to gain several advantages. Land a job after an internship? Well, a student could start work and complete the online program during evenings and weekends. With Kelley grads earning roughly $145,000 to start, that places them on the fast track to re-coup their opportunity costs faster. Even more, it would theoretically wipe away the second-year opportunity cost, which could run upwards of $77,000.

While second-years would still pay the costs of food and rent no different than residential students, Kelley MBAs would get a head start on paying down debt – which at $47,699 on average ranks among the lowest for top tier programs. Even more, it doubles down on a Kelley MBA strength, with the school ranking 2nd for fastest return on Investment (ROI) according to one source.

That said, second-years would still pay the same full-time residential tuition, regardless of whether they choose the online route. However, the Kelley Direct program is exactly why the Kelley School can offer this option. It consistently ranks among the top online MBA programs, whether it is measured by Poets&Quants (2nd), U.S. News & World Report (1st), or Fortune Education (1st).

“I think we are one of the very few schools that have this large selection of online electives all taught by full-time faculty,” adds outgoing Kelley Dean Ash Soni. “No adjuncts. We only have one MBA at Kelley. My MBA is from the full-time program, but someone getting the MBA from the Kelley Direct program gets the same MBA as me.”

That begs the big question: How many full-time MBAs will opt for the online program as second-years? By the math, the first-year class features 103 students, with a total of 1,400 students studying online. On the surface, this change opens the possibility of the online option cannibalizing its residential sibling. However, John D. Hill, faculty chair of the Full Time +Flex MBA, believes it will be a boon for the residential program.

“Most of our current full-time students are here for a two-year, fully immersive experience. We believe this will open up another market to us that other schools can’t compete with. We do expect to grow the numbers in our residential program.”

Why not? The current students love the program! In a 2024 survey conducted by The Financial Times, the Kelley MBA posted the 4th-highest score from alumni and students for the effectiveness of its career services center. When The Princeton Review surveyed current students last spring, the school ranked among the Top for its Faculty, Administration, Family-Friendliness, and Classroom Experience. In terms of curriculum, Kelley students gave the program the second-highest score for Marketing (and 10th for Consulting). When it comes to cutting edge ideas, Kelley finished in the Top 10 in both The Financial Times and UT-Dallas business school research rankings for the scope and quality of its research. One reason: Kelley employs over 325 faculty members and caters to over 14,000 undergraduate and graduate business students – a scale that is nearly unmatched in business education.

Translation: If a student wants to learn more about something, there is a good chance that there is a faculty member who can help.

While the Kelley MBA benefits from its academic prowess and high satisfaction rates, it also offers something truly unique: a distinctive identity and mission. The Kelley School is a place where career changers head to switch industries, functions, or geographies. That’s one reason why the program incorporates an integrated core to teach business during the first semester-and-a-half. Rather than breaking apart subjects and teaching them individually, they are taught together. As a result, first-years can see how areas like finance, strategy, marketing, operations, and general management intersect and impact each other at every level of an organization.

Before Kelley first-years learn about business, however, they spend time working on themselves to prepare them for their transition. To kick off the program, MBAs complete Me, Inc., a three-week mix of reflections, group exercises, and intensive coaching. In the process, first-years experience how others see them, confront their underlying drivers and skill gaps, plot out their personal journey, and develop a plan for taking them from where they are to where they want to go. In the process, they gain the self-awareness needed to develop a pitch and a brand that will entice employers.

“[Me, Inc.] is an amazing opportunity to increase one’s self-knowledge even before classes begin,” explains Lívia Bragança Claudio, who’ll be graduating this spring. “I had already gone through a career coaching experience before and realized how important it is to clearly identify one’s strengths and values so we can move towards and achieve our major life goals. I feel like this chance to deep dive into my personal story right at the beginning of the MBA program is a Kelley differential.”

These efforts don’t end when the Integrated Core starts. Each full-time student is assigned an executive coach – someone who has undergone hundreds of hours of coaching training before receiving certification from a professional coaching association. That way, students are held accountable for continuing to answer the big questions, work on their weaknesses, and execute their plans.

“Students continue to meet with their coach throughout their time at Kelley, although it isn’t required as much as they move through the program,” according to Rebecca Cook, executive director of Kelley Career Services, in a 2024 interview with P&Q. “We pride ourselves as having good relationships with all of our students, and knowing what they are looking for and where they are at in their job search.  The more we know, the better we can help them.”

The same goes for helping Kelley first-years gain vital experience in their industry of choice. Before their summer internship, MBAs must complete an Academy. Think of it as an immersion in their field.  It includes industry-specific coursework, networking events, and coaching – along with a consulting project to provide real-world experience. On Academy Fridays, MBAs make site visits and attend industry speakers to get an insider’s view of their industry. Bottom line: the academies position students for a fast start and greater impact during their internships, enabling them to make a strong impression on their prospective employers.

Currently, students can choose between seven academies: Business Marketing, Capital Markets, Consulting, Consumer Marketing, Strategic Finance, Supply Chain and Digital Enterprise, and PLUS Life Sciences. First-years also enjoy the flexibility to design a custom academy in an area like Healthcare. As second-years, they can complete academies related to Entrepreneurship or Leadership. According to Ben Krebs, a ’23 alum and EY-Parthenon consultant, it is hard to argue with the success of the Academies.

“I have been exceptionally impressed with the placement of my classmates for both internships and full-time jobs. Our Consulting Academy is placing students in the MBBs as well as other top boutique firms. Our Business Marketing Academy is sending people to Microsoft, Dow Chemical, and Chevron. You might think that a school in southern Indiana would have difficulty placing MBA candidates in investment banking since we’re so far away from New York and other traditional financial hubs. On the contrary, our Capital Markets Academy members have almost a 100 percent success rate in placement for Investment Banking…During my time at Kelley, the only inhibitor of success was my own self-doubt. I had every resource available to me to improve and feel supported through the process.”

Beyond Kelley’s attention to each student’s growth, there is Kelley’s hidden advantage: Bloomington. Within a 4-5-hour drive, you’ll find Chicago, Detroit, Cincinnati, St. Louis, Columbus, Louisville, and Nashville. Indianapolis is just an hour north. In other words, MBAs have quick access to leading companies like Eli Lilly, Procter & Gamble, Humana, and Nationwide. At the same time, MBAs can spend two years in a safe, affordable, slow-paced, family-friendly Midwest college town where they can enjoy the best of four different seasons. Whether they choose to spend two years in Bloomington – or opt for the Kelley Full-Time +Flex option – you can bet MBAs won’t regret investing their time at Kelley.

“Coming from Los Angeles, which is spread out, it could take an hour to drive 10 miles sometimes,” explains “23 grad Brittany Bolden.” “But here, people live either within walking distance or a 10-minute car ride from each other. It makes getting together or social activities or doing homework so easy, and you get to build a deeper connection with your classmates.”

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