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.
Our Drop in the Ocean
December 18, 2015
It has been difficult, recently, for us to get too worked up over the complaints submitted to this office about officials’ calls, coaches’ decisions, students’ ineligibilities and tournament times and venues. All of this seems petty in light of the terrorism in Paris and other places, and the worldwide refugee crisis as innocent people flee from atrocities in their homelands.
Try to imagine the pain in Paris and other places of recent mass execution. Try to imagine the horror that refugees have faced in their native countries and their ongoing agony in the camps that contain them for years while more “civilized” nations struggle politically and economically with decisions that define their humanity.
But now, as often before, we remind ourselves that the job we are paid to do requires our focused attention and best efforts as we try to make our small niche in the world of sports – our drop of water in the ocean of the world’s concerns – a little bit better each day.
And also now, as often before, we try to interpret how the worldwide human condition affects us and might be affected by us. Affects us, for example, with the need to improve tournament venue security. Is affected by us, for example, by delivering programs that help create in young athletes those qualities that will make them good citizens of their future world – adults who are respectful, tolerant and compassionate.
When I traveled in Northern Africa recently, I encountered immense admiration for the United States – what our hosts always referred to as “America.” People elsewhere look past the shallow or spiteful political rhetoric of our so-called leaders and candidates for leadership to see a disciplined freedom exercised by the citizens of our country that is still, in spite of our shortcomings, the world’s best hope for peace and prosperity.
This country is unique in the world. And school-sponsored sports exist in this country like no other place on earth. There just might be a connection. Which is why – even when the world’s problems seem too large for us to impact – by doing our best every day to deliver these programs, we actually may be performing a vital role.