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.
Late Start
August 11, 2015
Business took me to Indianapolis for a meeting on Thursday, July 30. Of the eight other meeting participants, four lived in Indiana, three lived in Georgia and one in Montana.
I learned that school was already in session for many schools of both Indiana and Georgia, four weeks prior to the start of classes for most Montana schools ... and six weeks before state law allows public schools to commence classes for students in Michigan.
These dramatic differences undermine any seriousness or sense of urgency in this state’s efforts to improve public education.
The scene that replays in my memory is of an all-district in-service day at a Michigan school district where the staff was busy in the cafeteria, while the students lounged outside the school and milled about the school halls, bored.
“Our kids are already here and ready to be in class,” the school superintendent told me; “but state law penalizes us if we dare to begin teaching them.”
I think of this as school sports teams and marching bands and cheerleaders are already hard at work this week honing their skills in extracurricular activities. Wouldn’t it be great if lawmakers would allow our students to be doing the same in academic classrooms?
If our students are lagging behind academically, it might have something to do with the fact that they start each year two or three laps behind kids in other states.