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CHAPTER 2

College and Amateur Sports

2Chapter 2.1 College Athletics

GOALSUnderstand the funding of college activitiesDiscuss the functions of management for

college sports.Describe the levels of management, and

explain the concept of Total Quality Management (TQM).

Think/Pair/Share - AnswerWhat are some of the activities you might find

on a college campus?

Where do they get funding for these activities?

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4Managing College Sports

Universities rely on revenue from successful management of athletics and student activities

Needed to fund a diverse group of male and female sports and activities Research Activity: Look on line to see where many

colleges get funding for their athletic program(s) & other activities(s) Only 7 of 228 NCAA D 1 schools make enough to cover

expensesAnswer:

What is the subsidy amount in the form of student fees? or

How much per year per student on average? Generally $50 to $1,200 per college year

AnswerAre student activity fees legal at state run

universities? Yes

There are a number of organizations that are funded by my activity fees. Am I forced to contribute to all of these activities? Yes and no

Only way to not fund if administratively and you must demonstrate a reasonable objection. However, as you will see on the next series of slides, your savings will be minimal at best.

You must ask yourself, is it worth the time and effort to save a few dollars?

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Ohio State University Activity FeeResearch: Where does the activity fee

money go for Ohio State Students? Give the breakdown in percentages

What is the money generated from the fee used for?

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Ohio State University Activity FeeWhat is the money generated from the

fee used for?A: The breakdown is:53.20% campus-wide programming

administered by Ohio Union Activities Board (OUAB)

13.30% Discount Ticket Program (D-Tix) 12.75% student organization funding8.65% student government funding6.45% Signature Events funding 5.20% Buck-I-SERV (alternative breaks

program)0.45% Pay It Forward (local service

initiatives)

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Penn State Activity Fee Breakdown8

ConclusionsWhat conclusions can you draw from this

information? College activities is more than just sports College Activities is BIG business College Activities need people and resources to run Even if you do not like sports, you can benefit from

student activity fees

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Successful College ProgramsMost successful colleges hire best coachesRecruit most talented playersKeep stands full with paying fans

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11Managing College Sports

What do successful college programs translate into for colleges?

Successful programs result in More money Greater attendance

Greater attendance is more money More attention and money from corporate sponsors More money donated by satisfied alumni More interest in the college

St. Joe’s after deep NCAA run

12Managing College Sports

Management responsibilities Obligated to carry out all necessary tasks for college

sports eventsList of Managers responsible

College presidents Athletic directors Coaches

Employees Responsible for ticket sales Security And all operational details

13Managing College Sports

In college sports it is the Athletic Director that has the responsibility Look up responsibility and job description for college

AD For running all athletics on campus Generally a low profile job

If you do not think it is important, go to USA Today college athletic director salaries

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Athletic Director Salary

15Highest Paid AD’s At Colleges

USA Today article

16Managing College Sports

So why do they earn so much?3 points – ½ sheet of paper

Look on line and summarize what are the job responsibilities of a collegiate athletic director. List at least (minimum) four of their major responsibilities with a brief description of each.

Why Are They Paid So Much?Sponsorships and alumni donationsNot for profit universitiesWinningHiring (and firing) coaches

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More Than Coaches & Athletic Directors

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19Managing College Sports

Athletic directors, college presidents, coaches, and many other dedicated individuals are needed to carry out ticket sales, sponsorships, and the event itself.

20Management in Action

PlanningOrganizingImplementingControlling

21Planning

Scheduling all games Deciding and Scheduling games out of

conference.Less-noted teamsTelevised gamesConference alignment to better produce

revenue.

22Organizing

A college sporting event is a major recruiting tool for the university for both athletes and prospective academic students.

University fundingProper staffing so fans can feel SAFE

23Implementing

Carrying out game day activities,Activity: Working with a “Management

team” come up with a list of at least 12 things that need to be handled on game day.

This would be your checklist to use to be certain everything is accomplished that needs to be done.

Create in checklist format Give detail like security Different levels

24Controlling

What will take place in the future and streamline operations.

How would this be accomplished?

Specific Levels of ManagementWhat are the “Characteristics” of

Amateur sports? Professional sports Business in general

Or what differentiates these from each other?

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Look It UpWhat is the NCAA?

What is their role or function?

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27Role of the NCAA

National Collegiate Athletic AssociationRegulates collegiate athleticsResponsibility for adherence to NCAA’s

guidelines Athletic directors Coaches

28Levels of Management

There is typically more then one level of management in most college athletic programs

What is a Manager?What are the different levels of management?

Video moment

The use of people and resources to accomplish organizational objectives

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Missing workHand back papers

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Managing Business and SportsAreas of

Commonality Leadership and

strategy matter Value creation Ways to grow revenue Product innovation Quality matters Branding matters Fans/customer base

matters

Areas of differentiation Winning Diverse objectives Manage in a fishbowl Revenue pooling Resource allocation

rules Athletes are assets Manage the

misbehaved Support the weakest Handicap the

strongest

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33Levels of Management

There is typically more then one level of management in most college athletic programs

34Executives

Top level managers who spend most their time on the functions of management.

Executives usually have other managers reporting to them.

35Mid-Managers

Spend most their time on one management function such as planning or controlling.

Responsible for a specific part of the program.

36Supervisors

Work directly with employees and are called upon to translate an athletic departments plan.

Major tasks include implementing

37Nature of Management

Levels of management Executives

Top level managers Time spent on management functions

Mid Level Managers Most spend time on one management function Might be responsible for one specific part of a program

Supervisors Work directly with employees Translate athletic departments plan into action Instill team spirit Responsible for seeing things get done

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Activity – 4 ptsPick a manager – Parent, coach teacher, boss

1. Identify the function(s) each performs (parent, coach, teacher, boss) 1 pt.

2. Identify the level of management you believe they are in their organization (1pt)

3. Explain why you believe they are the level you believe using the descriptions of levels of management used in class (2 pts)

Yes, you will hand in for 4 points

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40Nature of Management

Total Quality Management Dr. W. Edwards Deming

Suggested Long term commitment to quality Customer satisfaction Employee satisfaction All always look for ways to improve Do it right the first time

All leading to successRelies on leadership from the top down

It becomes part of the culture

TQMViews employees as valuable contributors to

organization Not just a number or person doing a job Asset to organization

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42TQM

Developed by Dr. Edwards Deming in the 1950’s

Quality, customer satisfaction and employee morale lead to success

Teamwork and employee involvement in decision making

Originated idea “do it right the first time and it will cost you less”

“If you don't do it right the first time, when will you have time to go back and do it over?”

43TQM

Customer Satisfaction and employee motivation are the top concerns over traditional management styles.

Customer satisfaction comes from doing things “right” the first time with the customer

TQM views employees as valuable contributors to the success of customer satisfaction (and organization) and uses training and education to improve employee effectiveness

TQM ActivityWhat is the cost to you for not doing

something right the first time? 1. Give three consequences for not doing school work

right the first time.

2. What is the cost to you if you have to do work over a second time? What is the average time it takes to do it a second time? What have you given up by having to do it a second time? Is there a dollar cost associated with having to do it a

second time?

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45Consequences

In the sports and entertainment world What are some consequences of not doing something

right the first time?

Movies: Scenes shot multiple times Drives cost up Delay opening of movie

Sports: Jet not maintained/fixed properly Sports team may be delayed arriving at destination or

worse Poor travel arrangements

46TQM

Generally a cost associated with lack of quality in work Unsatisfied customers Frustrated employees Cost of doing something a second time

47Encore page 33

Questions 1 and 2 question and answerQuestions3-6 answers only

48Management Collaboration

The NCAA has just hired a new President. As a management team responsible for a conference in the NCAA you have to bring the new President “up to speed” on the conference.

Prepare a presentation to the class on your conference.

This is a management team effort.

49Management Collaboration

Debrief: Observations

1. Need to improve your team participation2. Pull your weight3. Participate4. Improve presentation skills

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Chapter 2.2

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Managing Amateur Sports - Chapter 2.2

GOALSDescribe the management functions necessary for amateur sports.

Explain the management of a successful sports camp.

Read & AnswerGo to my web site and read the article titled:Community sports pose management

challengesAnswer the following questions:

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53Youth Sports

1. Name 6 challenges managers face in youth sports

2. How do managers come to understand an organizations goals, policies and procedures?

3. Because they are at the forefront of sport “delivery” who receives a considerable amount of training?

DefineWhat really is the purpose of youth sports?

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What are local sports organizations?What challenges do you think they face?

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Issues In Youth Sports

1. What is the purpose of youth sports?2. Do youth sports do enough to protect the

health and safety of participants?3. Is winning everything or does everyone

deserve a trophy4. What is ethical coaching?5. How should parents behave?

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1. Purpose Of Youth Sports?What are the Purposes?

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2. Do YS Do Enough To Protect Participants?

Protect from what? Other participants Bullying Being cursed at Pressure to play injured Yelled at by parent Yelled at by coaches Intentional injuries #1 fear of participants ----The ride home with parents

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3. Is Winning Everything?Read the article on a real management

decision and why winning should not be everything in youth sports

Article is on my web site titled: The missing ingredient in U.S. Talent development

Read the article and be prepared to discuss. Main point of article Do they make a good argument for winning not being

everything? WHY?

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4. What Is Ethical Coaching?61

5. How should Parents Behave?62

Research and WriteYou are the manager of a youth league. You

are having “issues” and want to address these issues. Therefore ---

Using the graphic organizer provided, pick one of the five topics listed on previous page and write a five paragraph essay by answering the question posed.

Typed: Hand in graphic organizer (5 pts)Rubric with written material are worth up to

20 points.See my writing tips for MLA format and a

paragraph

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Other Key Statistics - Youth Sports Issues

Almost one in 10 acknowledged cheating 13 percent tried to injure an opponent 31 percent argued with an official 13 percent made fun of a less-skilled

teammate 27 percent admitted to acting like a bad

sport Compounding the above findings was a lack

of remorse for such actions. 14 percent of the youngsters said they believe

cheating is an acceptable behavior 32 percent consider arguing with officials to

be part of the game.

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Where do children “learn” these behaviors?65

Video: A professional athletes view on youth sports

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SI video on youth sports statistics

SI video on violence in youth sports

National Alliance for Youth Sports

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69Growth of Amateur Sports

High school athletics have become important events for small and large communities.

Small towns often gain an image from their amateur sports Small towns often have signs about state champions Go on line and look up the Allen Texas High School

Stadium Cost? Seats? What does it Include?

Small town – Big StadiumGo on line and look up the Allen Texas High

School Stadium Cost? Seats? What does it Include?

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71Youth Sports

The Allen Texas High School Stadium

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The new stadium will feature: Video Scoreboard Two level press box with film deck and Observation deck Home side reserved seating with seat backs 1,5000 additional parking spaces with 4,500 total parking spaces 18,000 seat Stadium with upper deck seating including:

5,000 reserved seating, 2,700 General Admission 4,000 Students 5,300 Visitor 1,000 Band

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After looking at the cost and other factors, was it worth the $60 million cost to the taxpayers of the community? Looking at this as an Athletic Director of the Allen High School, would you have recommended spending that amount of money for a stadium and an equal amount for a state of the art performing arts center?

Yes or No

MUST answer the question why or why not.

74Youth Sports

Management of amateur sports has become increasingly important League Tournaments Recreation Travel

75Popularity

Have grown in popularity Four reasons

1. Physical exercise2. Social activity3. Team skills4. Community association

76Management of Armature Sports

Increasingly important Baseball, softball, soccer, hockey, lacrosse, football

Requires management to schedule games

What management function would this fall under? Planning and organizing

77Growth of Amateur Sports

With your management team, develop a list of---

Who participates in amateur sports? Think demographics

What are the sports that are considered amateur sports?

Is there any money to be made in amateur sports? If yes, by whom?

78Growth of Amateur Sports

What defines a youth league?

The greatest challenge in youth league sports has become field situations and facility usage.

83Mainstream Sports

What do we mean when we say “mainstream” sports?

What things could be shifting young athletes away from mainstream sports?

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Mainstream Sports and Losing Young People

Decline of interest in traditional sportsMovement away from team sports

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ECONOMICS

Chapter 2.3

88Economic Impact

GOALSExplain the financial impact of college

athletics.Explain the financial impact of amateur

sports and amateur sports participation on the travel industry

Describe the influence of amateur sports on family spending.

Warm Up

Should college athletes be paid? Before you answer yes or know, consider this

If yes, who gets paid? Where will the money come from?

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We will look at this through a managers eyes by looking at the economics of college sports

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91Financial Impact of College Athletics

Most college athletic programs are, at best, Marginally profitable

Revenue less than cost

Tough decisions because economic times make less money available

92A Look at Financials

Go to my web siteFirst, look at link for

University of Michigan Athletics financials.1. What sport generated the most revenue?

What %?2. What were the three top sources of the

revenue?3. How much total revenue did they generate?4. Rev vs. expenses, was there a surplus or

deficit in revenue? How much?5. Vs. the budget, was the _______greater or

smaller than the budget?

93 Conference Revenues

Go to my web siteLook for the NCAA

Revenue and Profits of Division 1A College conferences

Overall, which conferences are making a profit?

In your opinion, why are the conferences losing money?

94Financial Impact of College Athletics

Now, thinking like a manager ---What about paying athletes?Where do lines get drawn?What would happen if athletes were paid

given the conference statistics?

What are NCAA Views on athletes? Rules on amateur status?

95Financial Impact of College Athletics

In your opinion, is the NFL and the NCAA in collusion with each other to force students to stay in college until they are eligible for the draft in the NFL? WHY

Look up the NCAA rules for eligibility and the NFL rules on when a player may leave for the draft.

Answer the question in paragraph form. This should be a persuasive argument. If needed, a persuasive argument graphic organizer is on my web site.

96Pay Athletes

Should College Athletes be paid?

If yes, where would the money come from?

ThinkWhat do we consider traditional sports

For Women?

For Men?

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98Title IX

What is Title IX?

Title IX bans sex discrimination at schools that receive federal funding and sets parameters for female sports that schools must meet

99Title IX

Look up the actual law for Title IX. What is the law?What does it mean?

Title IX bans sex discrimination at schools that receive federal funding and sets parameters for female sports that schools must meet

100Title IX – Actual Wording

"No person in the United States shall, on the basis of sex, be excluded from participation in, be denied the benefits of, or be subjected to discrimination under any education program or activity receiving Federal financial assistance ..."

Those words lead a section of federal law - 20 U.S.C. section 1681, to be exact - known in the sports world simply as Title IX.

101Title IX and Managing Athletics

All managers, AD’s in all Amateur Spots must be aware of Title IX.

Don’t think so?Go to the web site of the National Woman’s

Law CenterGo to issues----Title IX------AthleticsWhat is this site and what is on the web?What law case have recently been won by

them with high schools?See Title IX at your school, check it out.

102Revenue Shortfall

Shortfall of revenue has led to difficult decisions to be made.

Athletic Directors can use different strategies to cut costs

TieringRegionalizingCuts

103Tough Decisions

Tiering Fund (example) 6 sports at high level 5 or 6 at a medium level 5 or 6 at low level

Benefit is no programs cutRegionalizing

Geographic limits set on recruiting and travel Benefit is reduced cost

Cuts Cut programs BIG problem with Title IX factor Not generally an option

104Big Business of Amateur Sports

Summary Amateur sports is supposed to be for the participants

primarilay There are a number of ongoing issues

Youth Sports & School105