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.
Sweating the Small Stuff - #1
May 29, 2018
I would prefer that the 51 organizations which make up the membership of the National Federation of State High School Associations would not waste another breath talking about the NFHS conducting national athletic events. But just about as frequently as U.S. presidential elections, the topic returns to NFHS meeting agendas.
About a third of NFHS member associations are somewhat in favor of national events, another third are strongly opposed, and a final third won’t offer an opinion until they are provided more details of what a national event would look like.
Most of this undecided group will reject anything that is in the nature of a national high school championship ... anything that would follow or extend seasons and diminish their own state high school championships. Most of this undecided group will reject anything involving team sports.
That has led to talk of a summertime track & field invitational event. Like dozens of other such events available to individual students without any time or expense for their schools.
Even then, there would be hours of debate about who would be invited and how, what specific track & field events would be contested, as well as when and where the event would be held. And who would pay. And what would be the fate of state associations’ existing policies which limit when, where and how much their member schools’ students may compete.
Even if the planners choose a path of least resistance for a national event, the devil will be found in the details.
While many will be busy sweating the small stuff, this association will focus on a more fundamental question: “How could the NFHS ever presume to conduct events that would cause some of its member high school associations’ schools and students and coaches to violate existing rules of their state associations?”