This is an updated and expanded version of a previous post.
Now that 2nd round MBA results are rolling in all their joy, pain, and annoyance  have more or less emerged, some people will find themselves in that  netherworld known as waitlist. For some, the wait will actually end once 3rd round results are released, but for others, the wait might very  well continue, well, for months and months. For some, the waitlist will ultimately convert into a ding.
Given the  large number of applicants for Fall 2010, waitlisting is not likely to  become less common.  Schools waitlist because they actually are  uncertain whether their estimated yield- the percentage of admitted  applicants who accept an offer of admision, see here  for more about it-  will be sufficient to fill their class. They  waitlist because they don't want empty seats. They waitlist because they  have too many qualified applicants for too few slots, but want to  reserve the possibility of eventually letting someone in.  They don't waitlist to make applicants feel better by giving some sort of second prize.  Schools don't  waitlist because their are sadistic fiends, but from a waitlisted  applicant's perspective, it might feel that way.
In the  rest of this post,  I  will provide advice on what do if you are  waitlisted by an MBA program.
IF YOU ARE WAITLISTED....
1.  Don't panic or become depressed.  The reason you were waitlisted is because there were too many qualified  applicants and adcom likes you, but they don't know that they love you  yet. Now is the time to think clearly and act effectively.
2.  For those waitlisted in the first  round, you should, of course,  know that adcom likes you, but they really wanted to see the main pool  of applicants, before making any decisions. You might be waiting  for a quite a while longer, but be patient.
3.  For those waitlisted in the second or third  round, adcom also likes you, but they are not yet convinced that it  would be right to give you a spot because there were simply too many  qualified applicants. Your wait could go on for months.  Consider  other alternatives, but don't give up because it is possible to get off  the waitlist.
4. Be  proactive, but not aggressively annoying, with admissions. Adcom  will let you know what additional materials they will accept and you  should most certainly provide them. That said, the worst thing you can  do is send a continuous stream of correspondence or otherwise annoy the  admissions office. If you turn yourself  into an annoying freak, you can assume you will not get admitted.  
Also, keep in mind that some schools, simply do not accept any additional materials.  Wharton, for example, has the following policy:
"Candidates can expect to remain on the waitlist until the following  round of decisions are released. There is no rank order to the waitlist.  We are unable to offer feedback to candidates while they remain on the  list. We are also unable to accept additional materials for inclusion in  a waitlisted applicant's file. This policy is designed to create an  admissions process that is fair and equitable for all candidates."
On their Admisssions Blog, Wharton reiterates this policy.  See here for example.  If you are waitlisted at Wharton, the only thing to really do is just wait.  
5.   GMAT and TOEFL:  If you  can take it again, do it, if your score goes up report it. Higher scores are always helpful for any school that will take additional information.
6.  Additional recommendation: If they  will take one, provide it. It is fine to send more than one  recommendation if the school allows it.  Think very strategically about  your selection(s). You don't want a recommendation that will not add  something substantially different from what your previous  recommendations stated. Try to use a recommender (or recommenders) who  will do one or more of the following:
(a) A recommender who will  provide support  to help you overcome any areas of professional and/or academic weakness in your  background.
(b) A recommender who will provide a perspective on  different part of your background.
(c) A recommender who will  provide support for earlier or more recent period of your life.
(d)  If academic recommendations are acceptable and your GPA is not great,  consider getting an academic recommendation if you can get a strong one.
(e)  If your English ability maybe the issue, consider getting a  recommendation from someone who can speak positively about your English  communication skills. This is especially important if your iBT TOEFL or  IELTS score is not that high or if you think your interview was not so  strong because of your speaking skills.
Additionally,  many schools will also take informal recommendations from alums or  current students, so if you can get one from someone who knows you, it  can't hurt.
7.  Waitlist essay.  Write one!  The typical components:
-Additional  reasons why you want to attend to show your real commitment and passion  for the school. Think classes, school's culture, or any other reason  that would make the school ideal for you.
-Discussion of changes  that have taken place in your professional career after your applied. If  anything new and great has happened, you should most certainly write  about it.
- New content that was not emphasized in your  application.   Use some combination of the following possible topics:
(a)   If you did not sufficiently discuss your leadership or teamwork  abilities, you should most certainly do so.
(b) Write about  contributions you can make to the school based on your experience,  background, personality, and network.
(c) If your academic  potential was not obvious, you should try to demonstrate that.
(d)  If you have SUBSTANTIAL  personal or professional accomplishments that  you did not discuss in your initial application, you should do so.
(e)  If you did not focus  very much on non-professional content in your application, focus on it  here, at least to some extent.
(f) If you were waitlisted without an interview, remember to ask for the opportunity to interview. 
If the length is not stated, I would try to keep  it to between 500 and 1000 words. More is not inherently better, quality  is, so don't write about everything you can think of. This essay is  quite important, so make sure that the content is at least as good as  that of your original application.
8.  If you have not  visited the school and  can visit the school, do so.  Make a point of  letting admissions know this, either in your waitlist essay or through  contact with them.  VISITING (or even visiting again) CAN MAKE A DIFFERENCE.  For schools where you can actually meet with admissions, making a personal appeal is worth the effort.  Showing your commitment to a school that is open to such an appeal can result in a positive outcome.  Note:  The personal appeal approach does not work at all schools.  It is especially does not work if admissions has told you that they cannot meet with you.  It also does not work if you are simply not good at selling yourself.  My clients who have succeeded at this, have, in general, been highly charismatic individuals.
9.  Get a fresh perspective on your application by rereading it now.  By doing so, you will probably have a good idea about what kind of  recommendation to get and waitlist essay to write.
10. If you had an interview, how did it go? While it might not be easy for you to fully remember or assess it, think critically about your interview experience.  If you have done well on other interviews, did this one go as well?  While it is obviously too late to do anything about any interview that was not ideal, thinking about your interview experience might very well help you figure out where the problem was and consider how to approach future interviews.  Unless you are certain that your interview went well, assume the interview was at least part if not the entire problem.  Schools seemingly place a different level of value on interviews.  At HBS and MIT, for example, interviews are conducted by admissions staff who have taken the time to review your application completely, so assume a waitlist there, at least partially reflects the fact that compared to other candidates you were good, but others received an overall higher evaluation.  For schools like Wharton or Columbia, where interviews are conducted blind,  assume the interview is just one factor.  For schools that put a huge emphasis and have intensive interviews, such as  IMD, HEC, and LBS, assume the interview was certainly a critical factor for why you are now waitlisted.
11. Consider seeking the advice of an  admissions consultant. If you have already worked with one, you  can go back to that person if you are otherwise pleased with their work.  They know you and they could help you put something together that  caught admissions' eye. On the other hand, you might want to pay for a  fresh perspective. I offer waitlist,  reapplication, interview, and comprehensive consulting services.
12.  Do you need a PLAN B? If you  are waitlisted and/or dinged everywhere you applied, it is now time to  start thinking about whether you are going to apply for more schools for 2010, reapply for 2011, or expand your career in some other way. Whatever the case, you need a  Plan B in place. If you are thinking about applying to more schools for  Fall 2010 or just reconsidering school selection in general, please see here.
Best  of luck and may your wait be short and culminate in admission!
If you are interested in my waitlist counseling or other graduate  admission consulting services, please click here.
Questions? Write  comments, but do not send me emails asking me to advise you on your  application strategy unless you are interested in my consulting  services. Please see my FAQ  regarding the types of questions I will respond to. Before emailing me questions about your  chances for admission or personal profile, please see my recent post on "Why I don't analyze profiles without  consulting with the applicant." 
-Adam Markus
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The Source for Independent Advice on MBA, LL.M. & Graduate Admissions
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