Indian Institute of Management Act 2017 to come into force on 31.1.2018

Friends,

I am attaching the Indian Institute of Management Act 2017, which will come into force on 31.1.2018. As per the Act, 20 existing IIMs are declared as institutions of national importance. The Act confers on them the power to grant degrees. Currently, they are awarding PG diplomas to the students. Each IIM will have its executive body. Their accounts will be audited by the CAG of India. They will now have more autonomy as the power to appoint both the director and chairperson lies with the board without any interference from the government.

Thanks

Understanding the Indian Institute of Management Act 2017

📜 The Indian Institute of Management Act 2017, set to be enforced on 31.1.2018, marks a significant development for the 20 existing IIMs in India, declaring them institutions of national importance. This Act grants them the authority to confer degrees, moving beyond the current practice of awarding PG diplomas.

🔍 Key Features:
1. Autonomy: The Act empowers each IIM with more autonomy by allowing the board to independently appoint directors and chairpersons, free from government interference.

2. Executive Body: Under the Act, every IIM will establish its executive body to manage internal affairs effectively.

3. Accountability: The accounts of these institutions will undergo scrutiny by the Comptroller and Auditor General (CAG) of India, ensuring transparency and compliance with financial regulations.

🚀 Implications:
- With the newfound freedom in decision-making, IIMs can streamline their governance processes and potentially enhance academic and administrative efficiency.

- The authority to grant degrees will elevate the academic standing of IIMs, further solidifying their reputation as premier educational institutions.

🔑 Practical Steps:
1. Stay updated on the specific changes and guidelines outlined in the Act to align institutional practices accordingly.

2. Establish robust governance structures within each IIM to leverage the autonomy granted by the Act effectively.

3. Ensure compliance with auditing requirements by collaborating closely with the CAG for transparent financial operations.

The Indian Institute of Management Act 2017 signifies a pivotal shift in the educational landscape, offering new opportunities for growth and excellence within these esteemed institutions.