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.
The Old Is New Again
October 23, 2015
In the hidden back reaches of my closet at home I’ve kept some ties, suits and pants I have not worn for many years, forgotten as I purchased or was given newer and more fashionable clothes. Needing space, and heeding my wife’s suggestion that it was time to donate what I never wear, I gave my wife a fashion show of my long-neglected wardrobe. I wanted her help to decide what to discard.
Some of the items I modeled brought back memories of happy times, like weddings and reunions; others of sadder times, like funerals. Some items were laughably out of style. But, surprisingly, some of the oldest items looked the best ... almost as good as the most recent additions to my wardrobe. They were, in fact, back in fashion.
This caused me to recall that some of the discarded policies of educational athletics are working their way back in fashion. For example …
- For many years, even after many states changed their rules, the MHSAA was criticized for prohibiting member schools’ students from wearing full equipment at and participating in the full-contact summer football camps of universities and commercial organizations. Now, with greater attention to improving acclimatization and reducing head contact in football, other states are returning to the policies we never discarded: contact-free out-of-season football camps and clinics.
- Equally “dishonored” by those who believe there is never too much of a good thing have been MHSAA rules that limit the number of contests and the distance of travel. After years of more and more of everything, the new normal of severely limited school sports budgets makes our modest schedules more virtuous than ever.
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For many years, MHSAA policy has stood apart from most states by limiting students to competing in only one level of a sport in a single day … no JV and varsity in the same day, no fifth or sixth quarter rule. Now, with even greater attention to reducing head and overuse injuries and other student health and safety issues, our rules look both protective and progressive, not overly restrictive.
If a man waits long enough, even his narrowest tie or widest lapel will be back in fashion; so what makes me cling to old clothes also makes me think twice about changing established rules. It is just as difficult to restore a discarded rule as it is to wear a discarded jacket.
It’s always easier to relax a policy than to restore it when we rediscover we need it.