Latin American business schools have been integrating artificial intelligence into their programs on two fronts, with a view to developing skills in executives on the effective use of this technology, whose emergence in various industries is reconfiguring the way of doing business.
Artificial intelligence (AI) has arrived in education and its advancement, as in many other industries, is imminent. However, in this sector, especially in executive education, the impact has been twofold.
On the one hand, Latin American business schools have been integrating AI into their MBA programs as a pedagogical tool as well as into their curriculum, so that students – executives behind the strategic decision-making of companies – understand its implications with a view to integrating it into future business models.
“AI challenges MBA programs to go beyond the development of technological knowledge and skills, to evolve learning strategies to incorporate them transversally as training tools, as well as in the discussion of ethical and managerial dilemmas on the different business and entrepreneurial areas addressed in MBAs,” says William Steinwascher, Director of Postgraduate Studies in Administration at the University of Monterrey (UDEM).
Likewise, Patricia Lam, Director of Masters at Pacífico Business School, points out that artificial intelligence is a great tool that allows for an exponential leap in the development of organizations, therefore "business schools cannot ignore the potential it offers."
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In this sense, the commitment of educational institutions to this technology is becoming increasingly urgent, taking into account the high demand for human capital specialized in new technologies and the limited current supply in the labor market.
According to the World Economic Forum's The Future of Jobs Report 2024, six out of 10 workers will need to retrain by 2027, which poses a challenge to existing curricula. Continuing education is therefore essential to remain competitive in an ever-changing labour market.
Given the current situation, it is undeniable that AI applications, such as process automation or service customization, are increasingly diverse and are becoming essential for the competitiveness of organizations in all industries. Therefore, training in managerial and digital skills for strategic decision-making around AI is crucial for executives, beyond understanding its technical implications, to be able to incorporate it into the general strategy of their companies.
“MBAs, in conjunction with the use of other more flexible educational platforms, are training professionals who not only understand the technical foundations of AI, but also know how to apply it in the business context to generate value,” says Gilbert Leiva, CEO of I-ED and President of the Human Capital Board of the Chilean Association of Information Technology Companies (ACTI AG).
For Luis Diaz, Academic Director of the MBA at the Universidad de los Andes, information technology is present in almost all aspects of today's organizations and that is why it is a key component in business management. "Those who hold leadership positions in today's organizations must have a solid knowledge base in defining and managing technology so that they can discern and guide appropriate decisions related to information resources, so that they can place the role of information technology in the right place in the strategy of a business organization," he says.
However, the specialists consulted for this article agree that while MBA students must be able to understand concepts of technologies such as machine learning, generative AI and risks associated with AI in order to lead projects, this does not mean that they must become expert programmers or algorithm trainers.
AI in the curriculum
More and more MBA programs are incorporating artificial intelligence into their curricula given the growing interest of students in learning about and becoming familiar with this technology. The latest Graduate Management Admission Council (GMAC) survey of prospective students shows that 40% of potential MBA candidates view AI as a “must-have” curriculum, up from 29% in 2023, and the fastest-growing skill in demand by prospective applicants.
“The ability of an MBA student must be oriented towards having the criteria to analyze, evaluate and decide on the identification, selection and implementation of IT in accordance with the strategic needs of the organization, and in this same line with the training or hiring of the respective experts,” notes Luis Diaz.
But how have these business schools integrated AI into their academic offerings? In the case of the University of Monterrey, they have incorporated it into the MBA curriculum as a central element within a mandatory course and in elective courses of the program, specifically in the area of innovation, entrepreneurship and competitiveness.
“In these courses, students are made aware of their potential and advantages for innovation projects in their organizations, but also of the risks and ethical dilemmas they may incur. In addition, the professors of the different subjects of the master's degree are gradually adopting the use of AI tools to incorporate them transversally as learning tools in the topics they address in their field of knowledge,” Steinwascher explains.
At the University of Los Andes, the approach is similar to its Mexican counterpart, as it incorporates artificial intelligence in similar courses, but also in subjects focused on organizational challenges based on problem-focused learning methodologies where students face organizational decision-making situations.
“It is more important to have the ability to identify which AIs are appropriate within the framework of the organizational strategy of companies, so the objective should be for the student to develop the necessary skills to define and implement strategies for using information technologies aligned with the business (operational excellence, market growth, margin growth, cost reduction, etc.), which act as enablers of business transformation processes and constitute a competitive advantage for successful companies,” says Diaz.
Likewise, the Colombian university's curriculum offers specific and elective courses in emerging and AI technologies for learning some specific tools.
AI as a pedagogical tool
The integration of AI in MBAs is not limited to the curriculum, but also as a support for the learning process. “The main impact of AI in a program such as the MBA is at an academic level, especially through curricular interventions and learning experiences in the program courses in which AI is used to support, create and facilitate participant-centered learning processes in which it is important for students to be able to face real-life situations,” says Luis Diaz.
In the field of generative AI, the ChatGPT and Gemini models stand out as the most widely used tools, which have become a kind of assistant for students, capable of generating images, presentations and texts. However, these are not infallible since their databases cover the Internet in general, without addressing a specific subject. Likewise, their responses should be taken as one more option among those available. Another potential use of these models is advice for the development of a risk assessment matrix for the creation of a startup , which, in many cases, is the main motivation for students to study an MBA.
“AI is significantly changing learning because it is able to adapt to the specific needs of each student. By using AI algorithms, it is possible to analyze the behavior and progress of students, recommending remedial courses, materials appropriate to their way of learning, and even alternatives to delve deeper into specific areas,” says Gilbert Leiva.
On the teachers' side, they can use artificial intelligence as a pedagogical tool for the creation of avatars or artificially created people who appear to explain a topic. Some business schools already use these models to introduce classes where the impact of technology on business is explained.
“In our MBA we are using it in certain specific courses as a practical tool in the development of business innovation projects, and as a new resource for negotiation and commercial interaction exercises, for the analysis and discussion of cases, and as a resource that facilitates data analysis,” explains William Steinwascher.
If we broaden the spectrum of technological tools, virtual reality (VR) is also playing an interesting role in immersing students in possible decision-making. For example, in the Corporate Governance course in the EMBA at the Universidad de Los Andes, it is used to recreate scenarios about decisions in boards of directors. Students use augmented reality glasses to visualize the scenario, interact and experience the discussion and decision-making involved.
The videos of these virtual sessions are then reviewed in class under the moderation of the professor to consolidate experiential learning with discussion and evaluation by all participants.
For William Steinwascher, the ethical issue in developing skills to manage AI should not be overlooked. “MBA programs should help companies, through their graduates, to define the ethical guidelines that will define its use in strategies, as well as the scope in which their companies' employees will be allowed to act with AI and the capabilities they acquire,” he says.
Patricia Lam agrees with Steinwascher: “AI needs to be taught so that students can apply it in their work with a strategic sense and especially on an ethical basis. Thus, in international experiences (through visiting professors or study trips) they are exposed to the latest developments in AI at a global level.”
In this way, artificial intelligence has implied a realignment of MBAs to train future business leaders in the effective use of AI, in a world where its emergence is already a reality and knowing how to confront it – and manage it – is essential for the survival and success of companies.
