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.
Persuasion
April 13, 2012
“People are persuaded by relationships more than reasons.”
That’s the one statement I remember from a radio interview I was inattentively listening to during a recent long drive. I don’t remember the topic, the speaker, the interviewer or the radio station; but that single statement soaked further into my soul as the miles passed by.
I began to think of many instances when I gave the benefit of the doubt to a person I knew well. And the times when both sides of a debate had merit but I decided in favor of the source I knew better and trusted more. Relationships.
I thought of my own failures to direct a change or defend the status quo because I depended solely on solid rationale and disregarded the biases and baggage of those I needed to influence. When I didn’t take time to cultivate allies because I was so certain that the idea itself was powerful enough to carry the day. When my confidence that “what was right” would ultimately prevail, but it did not. Relationships.
Twice during the past four months we have seen a preview of how, more frequently in the future, people will attempt to influence decision making in school sports without building genuine relationships. Once as a first strategy, and once as a last resort, a constituent of our state utilized the World Wide Web to generate support for a policy change.
In each case an online petition was initiated that generated, from across the nation and around the world, a large number of emails, many of which were vulgar, profane or ridiculous, triggering all email to the MHSAA through that website to be filtered as spam, never to be seen by the decision-makers. This approach is the antithesis of effective persuasion.
No organization of substance should be swayed by bored souls surfing the web who, by mere chance, stumble across an issue and then ring in, without real knowledge of that issue, and no real stake in its outcome.