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.

Transfer Culture

March 14, 2017

It is rare when a problem of major college athletics doesn’t eventually become a pollutant of high school athletics. A current issue demonstrates the point.

In 2015, NCAA research reported that about 40 percent of Division I men’s basketball players who had entered an NCAA institution directly from high school as freshmen had departed that institution by the end of their sophomore year.

Approximately 44 percent of the transfers were to other Division I programs, 33 percent to Division II programs, one percent to Division III, and 23 percent to non-NCAA colleges. Nearly 90 percent of all transfers said they changed schools for athletic reasons.

At the 2016 Men’s Final Four, NCAA President Mark Emmert stated that the issue of transfers is one of the most hotly debated in NCAA men’s basketball and football.

The culture that contributes to this is created in youth programs, starting even before students reach high school. There are no rules that govern players’ change from one non-school team to another, year after year. Players, parents and handlers talk with each other about where players can find the coach or team that will give them the best shot for a college scholarship or to fulfill their dreams of a professional career; and they will drive any distance from their homes to connect with that non-school team or coach.

This culture has infected high school sports, as witnessed by what appears to be increasing numbers of students who change schools for reasons more related to their non-school contacts and their college dreams than their high school experience, either athletic or academic.

These pressures will only increase under the current model of major college sports that treats superior athletes as if they were superior human beings and lavishes publicity and perks upon them. Until the major college sports experience is disincentivised, those colleges will have transfer troubles. And so will we.