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.
Considering the Unrepresented
November 22, 2011
When I interviewed for the job of MHSAA executive director in the spring of 1986, I was asked about my administrative philosophies and approaches to problem solving. I don’t recall now all I said then, but I do clearly remember saying I would “err in favor of kids.” I meant that, when a difficult situation presented an unclear choice, I would give the benefit of doubt to kids.
That was somewhat naïve, I suppose; but I still do bring that mindset to situations that appear to be a toss-up.
Over the years I’ve stumbled upon or consciously cultivated other lessons for myself, and I have shared some of them with my dedicated colleagues at the MHSAA. Of many, here’s the first of six (the other five will be presented in subsequent blogs): Consider those not in the room or not at the table.
When people propose a change in a rule, consider where they are coming from, and consider those who are not present who may have different circumstances, perspectives and needs.
If the proposal is from large schools, consider how it might affect small schools. If from southern schools, how it might affect northern schools. If from suburban schools, how it might affect urban or rural. If from football coaches, how it might affect other sports; if from a winter sport, how it might affect fall or spring sports.
When people seek from the Executive Committee waiver of a particular rule on behalf of one student, ask how that waiver would affect those not present against whom this student would compete.
When someone seeks relief from a penalty, ask how that will affect those not present, including those who have received the penalty in the past or should receive the penalty in the future.
Considering those who are not in the room who may be affected by a proposal by those who are in the room has been a gift given to me by Keith Eldred of Williamston who served on the Representative Council over 25 years ending in 2008.