IIM Sambalpur was announced in 2014 by the central Ministry of Human Resource Development (MHRD)[6] and founded on 23 September 2015.

IIM Sambalpur has been allotted a piece of land measuring over 237 acres (960,000 m2) in Basantpur, for the permanent campus by the Government of Odisha.

[5] In 2018, the Government of India proposed a budget of ₹400 crore (US$46 million) for facilitating the construction of the permanent campus.

The Government of Odisha has selected 237 acres (960,000 m2) of land for the construction of the permanent campus of IIM Sambalpur at Basantpur.

Prime Minister Narendra Modi laid the foundation stone of the permanent campus on 2 January 2021.

The students of IIM Sambalpur who partake in the exchange program would spend an entire trimester at the host University at no additional academic fees.

IIM's also conducts its analytics writing test and personal interview (AWT & PI) in Ahmedabad, Banglore, Hyderabad, Kolkata, & New Delhi cities of selected candidates.

The first is the laterals process in January where firms interview students with prior work experience and offer them mid-level managerial positions.

The rooms are properly ventilated and well furnished with a bed, almirah, mattress, study-tables and chairs provided to each student.

Each hostel also has a separate common room where a TV and table tennis facilities are installed to cater to the recreational needs of the students.

Marmagya is a two-day annual business conclave organised by the Industry and Alumni Relations Committee.

Due to a lack of accommodation, 12 students were forced to leave the institute, and the strength of the 4th batch decreased from 111 to 99.

The institute director, Mahadeo Jaiswal, alleged that the Government of Odisha had allotted three hostel buildings.