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.
Seeding Questions
April 6, 2015
The more I hear people speak with absolute certainty that seeding MHSAA tournaments would be a good thing for more sports to implement, the less I’m certain that adequate wisdom accompanies those words. And I’m particularly concerned with the condescending attitude of the advocates toward those who question if seeding is practical or fair for MHSAA tournaments.
Before seeding is adopted for additional MHSAA tournaments (and it appears ice hockey is on the fastest track), there are many practical questions to address for each sport, including who decides, how they decide and when they decide. Seeding in school sports is a much more difficult task than it is at higher levels where there are many fewer teams operating in much less diverse settings.
Any successful proposal for seeding in school sports must be able to give an informed “No” to these questions:
- Will the plan cause the “rich to get richer,” the successful to be even more successful?
- Will the plan add fuel to the public vs. nonpublic school discord?
- Will the plan create additional travel expenses for schools and loss of classroom instructional time for students?
Furthermore, any successful seeding plan must also provide an informed “Yes” to these questions:
- Will the plan promote the tournament among schools, media and the public?
- Will the plan increase tournament attendance?
And it is of most importance that every advocate of seeding acknowledge that opponents of seeding pose the right questions when they ask:
- Is it fair and is it right to ease the tournament trail for teams based on their regular season performance?
- Is a brand new start in the postseason bad, and if so, by what educational criteria?
When people boast that “the seeds held” in the NCAA basketball tournament or in our own MHSAA Tennis Tournament, we have to admit that this is exactly what ought to have happened when we gave the top seeds the easiest road to the trophy.
It is not wrong to question if that’s the right thing to do.