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Economic Indicators

July 19, 2016

We don’t need the Federal Reserve Bank chairwoman to tell us about economic indicators; we have our own way of knowing at the Michigan High School Athletic Association office when the state’s economy is bad or good.

In bad economic times, we experience an increase in those registering to become MHSAA officials. When jobs are lost or hours are cut, a little extra income from officiating can make a big difference to people.

In good economic times, we see a decline in the number of registrations. We lose the officials who are in it for the money and retain the 10,000 hard core, committed officials whom school sports depends on in Michigan.

Another economic indicator is litigation. In bad economic times, fewer people resort to courts to solve disputes; while in good economic times, more people have more money to spend on lawyers to settle their squabbles.

So, what do those indicators tell us about today’s economic news?

Officials registrations in 2015-16 were the lowest in 29 years. And 2015-16 was the busiest year of litigation since 2010.

So, the good news is that the economy is improving. That’s also the bad news.

Holding Back

February 24, 2015

I wrote last week in this space about the positive place for disagreement in organizations; and I held back on pushing the topic a bit further.

Sometimes an organization leader has to hold back. Sometimes the leader needs to recognize that the organization has more disagreement than it can handle and that taking on another topic for which much disagreement is likely would be like drinking from a fire hose.

In Leadership on the Line (HBS, 2002), authors Ronald Heifetz and Marty Linsky write that “leadership requires disturbing people – but at a rate they can absorb.”

Heifetz and Linsky describe the need to “orchestrate the conflict” in four steps:

  1. “Create a holding environment” – a safe place to interact.
  2. “Control the temperature” – turn the heat up to get people’s attention, and turn it down for them to cool off or to catch up.
  3. “Set the pace” – not too fast that we leave too many people behind; not too slow that we lose the vision and momentum.
  4. “Show the future” – remind people of the “orienting value” – that is, the positive reason to go through all the negative rancor.