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.

Stacking

December 19, 2014

Many in the interscholastic tennis community of this state have complained for years about the unethical practices of a small number of coaches who “stack” their lineups so that their better players compete in lower flights to increase their chances of success in advancing and earning points for their teams.

The current meet scoring system, which fails to reward teams for placing players at the highest levels, invites the problem. Appealing to personal integrity works with most coaches, but not all; so the issue of stacking festers, and it frustrates many coaches.

Hearing this pain, in 2009 the MHSAA convened a group of tennis coaches to discuss stacking. We utilized a paid professional facilitator. One obvious outcome was very little support to solve the problem by restructuring the tennis meet scoring system to disincentivize stacking.

The simple solution – to modify the meet scoring system to provide more team points for Number 1 singles than Number 2, and for Number 2 more than Number 3, etc. – was a double fault with the clear majority of the coaches assembled in 2009.

Of course, simple solutions rarely are so simple. And with this scoring system solution comes the likelihood that stronger teams move even further out of reach of their challengers. Other critics are uncomfortable with giving one student-athlete a higher potential team point value than another.

If those and other objections are the prevailing sentiment, then a new scoring system won’t be in our future. And stacking still will be.