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.
My Best Man
January 15, 2013
Upon the death of my father last month, a sports writer from the Milwaukee Journal Sentinel, who was preparing a story on my father’s career as athlete, coach and Wisconsin Interscholastic Athletic Association executive director, asked for my insights about Dad and his impact on me. I could have written a book, but here’s what I had space to say . . . just the right length for a blog:
“Dad served at a time before electronic media and online meetings when state high school association executive directors traveled their states doing rules meetings, thus building stronger relationships with coaches and officials than is common in our work today. And in Dad's case, because he was THE expert in high school wrestling rules in the United States, Dad traveled the country presenting wrestling rules meetings in states where wrestling was an emerging high school sport. It is not an exaggeration to say Dad was the ‘father of high school wrestling in America.’
“Dad and I worked together when he headed the WIAA and I was an assistant director at the National Federation of State High School Associations in the 1970s, allowing us to form an even closer bond in both our personal and professional lives than most fathers and sons enjoy. In those days, when there was a particularly difficult speaking assignment at a national meeting on school sports, Dad would be one of the first people whose name came to mind to address that topic. He was a forceful speaker; and I expect that my nationwide speaking trail owes a great debt to the many times as a youngster that I traveled with Dad when he gave sports banquet speeches.
“I'm told I idolized Dad when he coached, and know I admired him as a state association executive, and he was my closest male friend ever -- even ‘Best Man’ at my wedding. He was a great model as a father, husband and leader.
“At his retirement dinner in December of 1985, a spokesperson on behalf of the state's coaches said: ‘John, we didn't always agree with your decisions, but we never once doubted your motives.’ I can't think of a greater compliment for any man who worked so long in such a controversial line of work, which Dad loved so much.”