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.

Membership Mentality

September 16, 2014

The Michigan High School Athletic Association is a membership organization – an association of schools, not individuals – that usually doesn’t think of itself as such. Most member-based organizations work hard to recruit and retain members because member dues are an important revenue source.

That’s not true for the MHSAA which charges no membership dues, no sport sponsorship assessments and no tournament entry fees. The MHSAA is free to join and its tournaments are free to enter.

But that doesn’t mean we shouldn’t think like a member-based organization or that none of the dynamics of membership-based organizations apply here.

For example, we are in the business of recruiting and retaining contest officials; and while we registered approximately 10,600 officials last year, that number is significantly lower than six years ago, and the average age is increasing. So, like any other member-based organization, we need strategies for attracting and holding new, young officials.

A new tactic launched this fall is the “Be The Referee” feature (Click Here) on a Lansing-based sports talk daily radio show and weekly television show. Our staff explains rules and points of emphasis, and then we make a pitch for new officials.

But the most fundamental strategy for recruiting and retaining officials is consistent, ceaseless efforts to improve officials’ working environment. This means improving the assigner-official relationship before events and the sportsmanship at events.

Ultimately, if assigners treat new officials unprofessionally and spectators treat them abusively, we have no chance to increase the numbers and decrease the age of MHSAA registered officials.