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.
“Tournacation”
February 9, 2018
Here is one of several gold nuggets from Tom Farrey, executive director of the Aspen Institute, in a piece commissioned by the British Broadcasting Company and published in late December.
A study by George Washington University found that what children wanted most from sport was the chance to play and to try their best, guided by a coach who respects them.
Of the 81 reasons they gave for why sports were fun, “winning” came 48th, “playing in tournaments” 63rd, and “traveling to new places to play” 73rd.
Children’s wishes, however, are not always put first, as parents compete to provide what they believe are the best opportunities.
In the U.S., for instance, there may be no better example of the state of play than the growth of the “tournacation,” a term merging “tournament” and “vacation.”
At one of the nation’s largest children’s football (soccer) tournaments, in rural New Jersey, a drone in flight is best positioned to see the scale of such an event.
Up there, you can see the 75 pristine pitches that will host more than 600 teams of children aged nine to 14, chasing shiny balls, in shiny uniforms.
The cars of thousands of parents mass at the playing fields’ edges.
A two-day event such as this is an opportunity for organizers to make serious money, in this case up to $1,250 per team.
That’s on top of travel and hotel costs of as much as $500 and the $3,000 or more many parents pay each year to their child’s club.
It is an industry built on the wallets of parents, and the chase for opportunities to play in college, perhaps with a scholarship.
What the drone can’t see is how many other children – those who aren’t early bloomers, or whose families don’t have the funds, or time, to take part – have fallen away from the game.
They are often unable to join the best teams, which have the best coaches, training environments, and access to college scouts.
Football (soccer) has declined among those left behind, with fewer children joining either local teams, or playing informal games in the park.
Since 2011, the number of six- to 17-year-olds who play football (soccer) regularly has fallen nine percent to 4.2 million, according to the Sports and Fitness Industry Association.
The number of children who touch a football (soccer ball) at least once a year, in any setting, was down 15 percent.
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