Risk Taking
February 14, 2012
The June 22, 2009 cover story of Business Week which I just reread was titled “The Risk Takers.” It featured businesses which during difficult times, instead of playing it safe, placed bets on some gutsy new strategies.
To make a point, the author used an illustration that we can relate to here in Michigan. I paraphrase:
Imagine a driver on a snowy night. If the car starts to slip, the driver’s natural instinct is to slam on the brakes and jerk the steering wheel in the opposite direction. But the laws of physics advise the opposite: laying off the brakes and steering into the turn.
The author reports that from 1985 to 2000, the average merger in an economic downturn created an 8.5 percent rise in shareholder value after two years; while the average deal in good times resulted in a 6.2 percent drop in the buyer’s share value. In other words, mergers – one of the biggest, boldest moves in business – do better in bad times than good. Much better, in fact.
It wasn’t recklessness this article was celebrating; it was risk taking – daring to be aggressive, rather than just defensive, amid a weak economy. Steering into the turn, so to speak.
Just like the winter driving analogy in the article, we who are involved in school sports in Michigan can relate to the big idea of the article because we too made some of our biggest moves at our bleakest times. The MHSAA retrenched in some ways, but the greater theme as we climbed out of our bad times of 2008 was that we made unprecedented investments in new technology.
Today MHSAA.com is the website of highest traffic and MHSAA.tv is the website with the most productions of any comparable organization in the U.S. And all of these investments in technology during those bad times have allowed us to undertake the ArbiterGame project now that will provide all member high schools the electronic tools necessary to make their tough tasks of school administration more streamlined than ever before.
Making Matters Worse
March 17, 2017
For many years there have been complaints that the MHSAA Football Playoffs make it difficult for some teams to schedule regular season football games. Teams that are too good are avoided because opponents fear losses, and teams that are too small are avoided by larger schools because they do not generate enough playoff point value for wins.
Recently the MHSAA has learned, only indirectly, that some among the state’s football coaches association are recycling an old plan that would make matters worse. It’s called the “Enhanced Strength of Schedule Playoff System.”
Among its features is doubling the number of different point value classifications from four (80 for Class A down to 32 for Class D) to eight (88 for Division 1 down to 32 for Division 8).
What this does is make the art of scheduling regular season games even more difficult; for the greater variety of values you assign to schools, the more difficult it is to align with like-sized schools.
The “Enhanced Strength of Schedule Playoff System” makes matters even worse by creating eight different multipliers depending on the size of opposing schools. Imagine having to consider all this when building a regular season football schedule.
When this proposal was discussed previously statewide in 2012, it was revealed that it would have caused 15 teams with six regular season wins to miss the playoffs that year, while two teams with losing records would have qualified. How do you explain that to people? It was also demonstrated in 2012 that larger schools in more isolated areas would have to travel far and wide across the state, week after week, to build a schedule with potential point value to match similar sized schools located in more heavily populated parts of our state and have many scheduling options nearby. How is that fair?
The proposal is seriously flawed, and by circumventing the MHSAA Football Committee, its proponents assure it is fatally flawed.