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.

Tasks Before Us

May 20, 2014

A year ago the MHSAA convened the first of several task forces that are tackling the kind of complicated topics on which our annual committee meeting process seemed incapable of making sufficient progress.

We assembled a 16-member task force that met four times over six months during 2013 to develop policy proposals to enhance acclimatization and reduce head-to-head contact in football practices. Meeting multiple times, the group could delve more deeply into data and explore emerging trends in both school-based and non-school football. The task force would develop ideas at one meeting, test them with constituents for a few weeks and then tweak the ideas at the next meetings. Task force members had the time to be both philosophical and practical, to think about what would be ideal and then trim that idea to be workable in all sorts and sizes of schools across Michigan.

As a result of this focused, multi-session approach, the Football Practice Proposals sailed smoothly through a vetting process during the winter months, earned the MHSAA Representative Council’s approval in March and will be controlling MHSAA member school football practices this fall.

Meanwhile, we began 2014 with the appointment of another task force to tackle many thorny issues related to junior high/middle schools. Some of the issues are so fundamental that changes in the MHSAA Constitution could be required to change what the MHSAA should be doing with respect to school sports prior to the 9th grade. There is equal chance that the task force could propose some very large changes, or very little change. We don’t prescribe the result, we just provide the forum and facilitation – create focus that has been lacking for too long.

Later this year and during 2015 we see the likelihood that additional task forces will address other tough topics, like out-of-season coaching, redefining what subvarsity means, and possibly address more risk management issues, perhaps in ice hockey and soccer first and then other sports where health and safety questions are raised.