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Introduction to Sports Management – Week Two Welcome Assessment Summary Discussion Forums Review Week One Complete Module OneHappy New Zealanders celebrate their win against Australia in the first of five T20 matches. TheAussies have their best cricketers at home and a T20 World Cup in India in only eight months.The International Olympic Committee has designated Brisbane its preferred host city for the 2032 Summer Olympic Games, awardingQueensland exclusive negotiation rights for the event and making Australia the overwhelming favourite to host its third-ever Olympic Games.The IOC executive voted unanimously overnight to approve the decision made by their Future Host Summer Commission, with IOC PresidentThomas Bach announcing the decision to reporters this morning.Brisbane beat out numerous other cities, including Budapest, Istanbul, Doha, New Delhi and Germany’s Rhine Ruhr region, which had allpreviously flagged interest in hosting the 2032 Games.“The IOC is seizing the momentum offered by the excellent project of Brisbane 2032 and the Australian Olympic Committee, in this waybringing stability to the Olympic Games. The main reason Brisbane 2032 was proposed for the targeted dialogue are: the very advanced gamesconcept … using 80 to 90 per cent of existing or temporary venues, the venue masterplan, the high levels of expertise in hosting majorinternational sporting events [and] the favourable climate conditions for athletes in July and August.”https://indaily.com.au/news/2021/02/25/what-we-know-today-thursday-february-25Student ExerciseGiven the success of the Australian Open, and the need to grow the game of Cricket,should Cricket Australia be playing test cricket in South Africa now?Student ExerciseGiven the decision to avoid South Africa, should Australia be sending athletes to theTokyo 2021 Olympics?Student ExerciseShould elite athletes be given priority for the COVID-19 vaccine given it is their employment,and they provide employment for others, plus entertainment for a global audience?Subject Overview Module 1Module 2Module 3Module 4Module 5Module 6The Sports IndustryGovernance and RiskSport Marketing and MediaSport Tourism and EventsSport Facilities and VenuesProfessionalism and Ethics Assessment Summary AssessmentAssessment TypeLengthDueWeight1Reflective Journal –My Sport Experience1000 wordsEnd of Week 4 – Sun Mar 1420%2Project Proposal for anew sport (Report)1500 wordsEnd of Week 6 – Sun Mar 2840%3Final Report for a newsport1500 wordsEnd of Week 12 – Sun May 940% Assessment 2 and 3 are linked – you need to choose create a new sport, or modify an existingsport, to attract a new market.Assessment One – Reflective Journal: My Sport ExperienceAssessment 1 requires you to reflect on previous experiences you have had in sport as a participant, spectator, coach,official or volunteer. When sharing your experience think about the emotions you felt, the impact of the sport on youand other people involved, and any issues or outcomes from the experience that you still think about.This reflection will help you with Assessment 2 and 3 where you will be creating a new sport or modifying anexisting sport for other people. Consider the following: What was your first involvement in sport? Who influenced your involvement in sport? Did you focus on one sport or try multiple sports? Were your sport experiences positive, negative or a combination of both? What feelings or emotions did your sport experiences evoke? Do you recall any risks or ethical issues from your sport experiences?Assessment One – Reflective Journal: My Sport ExperienceWhen you have finished your reflection write a paper that addresses the following: A brief summary of your introduction to sport A sporting experience that has provided positive memories for you The factors, conditions or people that contributed to this positive experience Any risks, social or ethical issues that influenced this experience How this experience shaped your interest in the management of sport today.Make sure you check the Assessment Brief and the Rubric: Content Audience and Purpose 30% Personal autonomy, accountability and reflective skill 40% Effective Communication 30%Discussion Forum: Week 1 – Photo of your favourite sporting momentDiscussion Forum: Week 1 – Photo of your favourite sporting momentDiscussion ForumWeek 2: Your own definition of sportActiveCompetitionCompetitiveCompetitivenessEnjoymentExcitingExcitementFunInclusiveInteractiveMentally demandingMentally healthyPassionPhysicalPhysical activityPhysically demandingPhysically healthySkills with physical attributesSocial activityUnites peopleModule One Topics1. Definitions2. Industry Overview3. Special Features of SportThis Week4. Tools of the Trade5. Strategic Planning6. Government PolicyModule One Readings1. Module One Lecture Slides2. Chapter 2 – Special Features of Sport (this week)3. Chapter 3 – Strategic Planning (next week)4. What is a game? (Suits)5. Words on play (Suits)6. Management Tools (Rigby)7. List of websites – refer Blackboard Module Onehttps://www.sportaus.gov.au/grants_and_funding/investment_announcementsPlay-Sport ContinuumA continuum of physical activities ranging from informal play to formal sport, from E. Snyder (1990), Sport and Fitness Management, Human Kinetics.INFORMAL INFORMAL SEMI-FORMAL FORMALPLAY SPORT SPORT SPORTSpontaneous Community Recreation Weekly Leagues Professional SportFree from constraints Primary School Sport High School Sport Highly regulatedEngaged in voluntarily Participation programs University Sport Formal rules and rolesTerminated at will Come ‘n’ Try Masters Sport External pressuresNo competition Fun Runs Regional events Importance of outcomeRunning Sports days Training/Routine Increased effortJumping Carnivals Winning matters Work-likeThrowingSplashingThe Sports Industry in AustraliaIndustry data confirms that the sports industry inAustralia generates $12.8 billion in revenue andemploys 220,000 Australians.Sport is part of the Australian fabric. 92% ofAustralian adults have an interest in sport,11 million adults and 3 million childrenparticipate in sport each year.1.8 million Australians volunteer 158 millionhours each year, and nearly 8 million Australiansattend live sport events each year.Sport contributes 3% to GDP.The 2030 National Sport Plan isavailable at www.sportaus.gov.auWhere is the employment? State and National sportassociations/federations Professional sport clubs andleagues Private sport/health/golf clubsand resorts Community Recreation andAmateur Sport Associations School and College sportprograms University Sport and Academicprograms Sport stadia and arenas Community Sport andRecreation Centres Aquatic Centres Gyms and Fitness Centres Sport Participation and PhysicalActivity programs Sport Events/Competitions Sport Marketing/Communication Sport Media/Journalism Sport Science/Human Movement Sport Coaching/Instructing Sport Law Sport for Development & Peace Player Management Player Associations (Unions) Corporate Sponsorship Sport Planning/Consulting Sport Apparel Sporting Goods Industry Sport EngineeringSport for AllPeople who work in leisure, recreation and sport have onecommon, united focus – they expect sport to be availableand accessible for everyone.The general population are looking for unique, fun and socialexperiences in their leisure time – they turn to recreation andsport for this experience.Sport offers unique opportunities that are not availableelsewhere – participation, coaching, officiating, volunteering –and people also seek enjoyment from watching sport andbelonging to a sports team or club.Sport for AllSport therefore has a responsibility to provide opportunitiesfor all and create a delivery system that accommodatespeople at all levels.This delivery system welcomes people learning sport for thefirst time and facilitates their progress to competitive or elitesport if they have the desire and ability to do so.The Sport Development Model (next slide) highlights thedifferent levels of the sport delivery system, and each leveloffers opportunity to those who are passionate about sport.Sport Development ModelElitePerformanceParticipationFoundationRegional and State Competitions;Competitive Leagues; Talent Squads;Regular Coaching; Emphasis on winning.Physical Education; Holiday Clinics;Development Programs (AUSKICK);Basic skills, positive attitudes.Mass participation at clubs, schools,leisure centres; Participation Events;Non-competitive; Fun, Health, FriendshipsNational and International Competitions; Olympicand Paralympic Games; Professional Leagues;Professional Coaching; Sport Science; Excellence.Designing Leisure ExperiencesThe Sport Development Model consists of multiple programs –junior development programs, competitions, high performanceprograms – and it is these programs that need to be designed.Rossman and Schlatter (2000) referred to programming as theprocess of designing leisure experiences. They believed thatdesigning and delivering leisure, recreation and sport serviceswas the major function of the leisure service profession – andthe reason why the profession and the organisations exist.To design and deliver these experiences are why we needprofessionals in sport. We will return to this in future modules.https://www.sportaus.gov.au/participationVIDEO: https://www.sportaus.gov.au/media-centre/news/new-design-toolkit-helping-bring-aussies-back-to-sportThis toolkit will help sports designquality participation experiencesand attract and retain moreparticipants. The information,resources and templates will assistsport to develop effectiveparticipation plans and co-designparticipant-centred products andexperiences that are informed bymarket insights and evidencebased approaches.Sport is a unique businessThe growth and commercialism in sport since the 1980’shas created the need for professional sport managers.Smith and Stewart (1999) explored the special features ofsport and declared that “Sport is a business but it is a specialform of business”.The authors identified ten special features of sport that areunique to the sports industry and therefore demand that sportprofessionals have specific knowledge and qualifications toperform the roles.Special Features of Sport Irrational passionsSport has a symbolic significance and emotional intensity that is notfound in other businesses. Sport is consumed by strong emotionalattachments that are linked to the past through nostalgia andtradition. A star player may be appointed coach even though theyare not the best applicant, or a change to club colours will bechallenged by the fans.Profits or Premierships?In business we measure success by the size of the profit, but in sportmost fans are focused on winning the premiership.Designing a level playing fieldWe want our teams to win but we also want close games and aneven competition, so our sporting competitions introduce rules andpolicies to design a level playing field and ‘outcome uncertainty’.Variable qualityThere is enormous variability in the quality of sporting performancesdue to many reasons, including weather, injuries and the venue, andthe final result is unpredictable. Most other businesses canguarantee the quality of their product or service.Collaboration and cartelsClubs and teams must collaborate with their rivals – they need eachother to deliver a successful competition and ensure their long termsurvival. Most other businesses are not interested in working withtheir competitors. Smith, A. & Stewart, B. (1999) Sports Management: A Guide to Professional Practice, Allen andUnwin: SydneySpecial Features of Sport Product and Brand LoyaltySport fans (or customers) are very loyal to their club/team/sport andrarely change, even when they are unhappy with the performance orresult. Most other businesses would lose their customers if the productor service was poor.Vicarious IdentificationSport fans choose to identify with their sports teams/clubs and individualathletes which has a powerful influence on their spending patterns.Other businesses do not have this and therefore choose to align withsports brands.Blind OptimismSports fans will despise the opposition but then welcome an oppositionplayer into the club. The fans of the opposition club will continue tosupport their team even if the team has lost this player.TechnologyMost businesses will embrace change and technology but sport willoften resist change.Fixed supply schedulesMost businesses who have success will increase production and sellmore products to maximise profits. Sport clubs and teams howeverhave a fixed schedule and memberships are often restricted due to thesize of the stadium. Smith, A. & Stewart, B. (1999) Sports Management: A Guide to Professional Practice, Allen andUnwin: SydneyPLANNING & POLICYTools of the tradeIf sport is a business then we need to adopt managementtools and practices used by other businesses and applythem to sport if we are to be successful and sustainable.The tools include: Strategic Planning Goal Setting and SMART Objectives SWOT Analysis and PESTEL Environmental Analysis Risk Analysis, Needs Assessments, Feasibility Studies The Marketing Mix (8’Ps) Project Management, Event Management, Gantt ChartsStrategic PlanningStrategic planning is: a fundamental management skill a blueprint for action a tool for deciding where to go and how to get there about gaining competitive advantageStrategy is primarily concerned with: the scope of an organisation a definition of the business the organisation is in now and the future business it should be involved in.Strategy DevelopmentStrategy development is done in three phases: Formulation Implementation MonitoringOr to describe it another way: deciding what we want to do instructing those responsible to do it; and making sure it has been donePort Adelaide has unveiled its grand vision for the next five years,headlined by winning three premierships, having over 100,000members and eliminating $12 million in debt.Dubbed Chasing Greatness, the five-year strategic vision was revealedto members at the club’s Annual General Meeting recently. WIN 3 premierships 100,000 members COMMUNITY heart COMMERCIAL growth RE-DEVELOPED Alberton Precinct, and DEBT freehttps://www.portadelaidefc.com.au/news/863094/strategic-vision-chasing-greatnesshttps://www.footballaustralia.com.au/news/football-australia-unveils-ambitious-fifa-womens-world-cup-2023tmLegacy 23 has five key pillars: increasing football participation building and upgradingcommunity facilities enhancing tourism andinternational engagement developing more female leaders ensuring that Australia’s seniorwomen’s national team, theWestfield Matildas, enter thetournament as prepared aspossible to compete deep in thecompetition.The Strategic Planning ProcessDifferent models and frameworks for strategic planning exist butthey all focus on the following process: Describe the organisation’s mission, vision and fundamental values Target potential business arenas and explore each market foremerging threats and opportunities Understand the current and future priorities of targeted customersegments Analyse the company’s strengths and weaknesses relative tocompetitors and determine which elements of the value chain thecompany should make versus buy Identify and evaluate alternative strategiesRigby, D.K (2015) Management Tools 2015: An Executives Guide, Bain and Company Inc: Boston.The Strategic Planning Process Develop an advantageous business model that will profitablydifferentiate the company from its competitors Define stakeholder expectations and establish clear andcompelling objectives for the business Prepare programs, policies, and plans to implement the strategy Establish supportive organisational structures, decision processes,information and control systems, and hiring and training systems Allocate resources to develop critical capabilities Plan for and respond to contingencies or environmental changes Monitor performanceRigby, D. (2015) Management Tools 2015: An Executives Guide, Bain and Company Inc: Boston.Five Step Strategy ModelSmith and Stewart(1999) refer to thefollowing five-stepstrategy model that willbe explored further.Smith, A. and Stewart, B(1999) Sports Management: Aguide to professional practice,Allen and Unwin: Sydney.Step One: Strategic DirectionSmith and Stewart (1999) suggest that at the start of the strategic planningprocess any sport organisation should ask itself two fundamental questions:1. Why do we exist?2. What do we want?The answers are addressed by the Mission and Vision Statements. Someorganisations combine these two statements into one but they are different andaddressing both questions does assist the planning process.Mission StatementA Mission Statement states the organisation’s reason forexistence or it’s purpose.The mission statement clearly defines the business of theorganisation, what it was set up to achieve, what generalproducts or services it provides, and for whom it providesthem. It is focused on the here and now.The mission statement should be concise and does notcontain any measurable outcomes or targets – these arewritten later. The mission statement should set theorganisation apart from its competitors.Vision StatementA vision is a statement about what your organisation wantsto become – the desired future position of the organisation.The vision statement suggests that the organisation islooking ahead, it wants to grow, have more success ormore significant outcomes.The vision should resonate with all members of theorganisation and help them feel proud, excited and part ofsomething much bigger than themselves.Student ExerciseDo you know the mission or vision of your favourite sports team?“We exist to win premierships and make our community proud”Common UsesMission and Vision Statements are commonly used to:Internally Guide management’s thinking on strategic issues Help define performance standards Inspire employees to work more productively by providing focus andcommon goals Guide employee decision making Help establish a framework for ethical behaviourExternally Enlist external support Create closer linkages and better communication with customers,suppliers and partners Serve as a public relations toolRigby, D. (2015) Management Tools 2015: An Executives Guide, Bain & Company Inc: Boston.Goals and ObjectivesOnce the Mission and Vision are confirmed the focus is on what can beachieved in the next 1-5 years – the Goals and SMART Objectives.Goals (or Aims) outline the key areas of focus that will help the organisationto achieve its Mission and Vision.Each Goal then has SMART Objectives that outline the targets to bereached and the timeframe. It is the Objectives that will be measured.SMART is an acronym for: Specific, Measurable, Achievable, Relevant andTimebound. Every objective should be SMART. If the organisation achievesits SMART Objectives then it achieves its goals, mission and vision.Goals and ObjectivesWhen writing the Mission, Vision, Goals and SMART Objectives wemove from very broad statements to very specific sentences, otherwiseknown as ‘stepwise refinement’.Mission and VisionGoalsSMARTObjectivesLet’s explore an example from Cricket Australia:Mission: To unite and inspire communities through cricket. Vision:For cricket to be Australia’s favourite sport, anda sport for all Australians. Cricket Australia would have many goals to achieve this Mission andVision as outlined in their strategic plan. CA have invested in threeforms of cricket and grown both the men’s and women’s game. Theymay decide that they would like to see more Aboriginal Australiansplaying the sport which would help to achieve their vision.This strategic decision requires a Goal and SMART Objectives: Goal 1To introduce 10,000 Aboriginal Australians to thegame by Year X. Objective 1.1Provide cricket pitches to 20 Aboriginal and remotecommunities by Year X. Objective 1.2Educate 100 cricket coaches in Aboriginal andremote communities by Year X. Objective 1.3Facilitate 5 coaching sessions and 1 carnival in20 Aboriginal and remote communities by Year X. Make sure that the objectives above are SMART!Goals and ObjectivesSmith and Stewart (1999) suggest that the goals and objectives ofmost sports are focused on:1. Participation – increase number2. Performance – increase ‘success’ (on-field or off-field)3. Promotion – increase awareness4. Profit – increase financial returnsSome sport organisations may decide to have a goal for eachfunction or department – eg junior participation, coaching, highperformance, marketing, finance, people and culture.Step Two: Strategic AnalysisSmith and Stewart (1999) suggest that once the strategicdirection has been confirmed it is time to complete a strategicanalysis to clarify any internal organisational features or anyexternal environmental factors that might influence or impactthe achievement of your goals and objectives.Two tools that we can use for this analysis are: SWOT Analysis PESTEL AnalysisSWOT AnalysisA SWOT Analysis explores all the internal and external factors thatinfluence the organisation now and in the immediate future.SWOT is an acronym for: Strengths – internal things that the organisation does well and caneffect Weaknesses – internal things that the organisation doesn’t do sowell and can change Opportunities – external situations or factors that the organisationcan use to its advantage or take “opportunity” of Threats – external factors which are detrimental to the organisationSWOT AnalysisA SWOT Analysis usually adopts the format below with four quadrantsand four headings. Beneath each heading, list all the relevant aspectsof the business (internal) and the environment it operates in (external). Strengths (Internal)Weaknesses (Internal)Opportunities (External)Threats (External) Internal Strengths and WeaknessesYour internal analysis should cover the following, but is not limited to thesealone: products and product range (good and services) production capacity staff and management skills/knowledge/capabilities research and development skills/budget market share profitability level of borrowed fundsExternal Opportunities and ThreatsYour external research should look into these factors: competitors – their present position, likely future and reasons for success orfailure economics – the state of the economy, interest rates and employment levels technology – changes to existing products, methods of distribution andproduction politics – tax, environment, wages and regulations social situation – changes in social behaviour, attitudes, standard of living orincome levels health and safety – changes in zoning regulations or environmental standardsImportant SWOT tips Don’t get bogged down in operational detail unless it isstrategically important and a factor in competitiveadvantage or disadvantage. E.g. “Our accounting system is so bad we don’t knowwho owes us money” would be an operational issue ofstrategic importance, but “We use MYOB to do ouraccounting” probably isn’t of strategic importance. Don’t forget to look at all aspects of the organisation, notjust the sport-recreation issues.PESTEL AnalysisThe PESTEL Analysis expands your SWOT Analysis andencourages you to think broadly about the externalenvironment. How do the following factors affect yourorganisation? Political Economic Social Technological Environmental LegalStep Three: Strategic OptionsFollowing the strategic analysis the organisation will have variousoptions to move forward. The options may include: More of the same Something new A few small changes A radical transformationTwo additional tools help to determine the most suitable strategies: Gap analysis BenchmarkingGap AnalysisExamines the differences between the organisation’scurrent position and it’s desired position.Takes into consideration the results of SWOT and PESTELanalysis in terms of the organisation’s stated mission/visionand its goals/objectives.The Gap Analysis asks the question:“What options are there from moving from A to B”BenchmarkingBenchmarking is comparing your organisation to anotherorganisation that is performing better than you are and thentrying to achieve that level of performance.By comparing, studying and measuring other processes andfunctions that are of a higher quality you gain some insightinto what you need to focus on.A fancy way of copying what somebody else is doing.4 types of BenchmarkingSmith and Stewart (1999) identify four types of benchmarking: Internal: Identify the internal performance standards in the sameorganisation. Good for large/national/global organisations. Competitive: Compare companies in the same markets that havecompeting products or services or work processes eg AFL and NRL. Industry: Compare companies in the same industry who may havethe same products or services but are not competitors in the samemarket eg AFL and EPL. Process: This type of benchmarking focuses on excellent workprocesses rather than on the business practices of a particularorganisation or industry. Some business functions or processes arethe same regardless of dissimilarities of the industries. Forexample, the process of online shopping at Amazon may highlightkey learnings for AFL clubs.Step Four: Strategic PlanThe analysis has been completed and now the strategicplan is written. The plan should assist the organisation tobridge the gap and move forward.The plan can become very detailed as it attempts to setthe direction for all employees for the next 1-5 years.Most organisations will publically communicate theirMission, Vision and Goals, but may choose to keep theSMART objectives, actions and resources confidential.There is no exact way to display the required informationbut the following table highlights one example.Step Four: Strategic PlanMission: To unite and inspire communities through cricket.Vision: For cricket to be Australia’s favourite sport, and a sport for all Australians.Goal 1: To introduce 10,000 Aboriginal Australians to the game by Year X.Objectives: 1.1 1.2 1.3 Actions:1.1.11.1.21.1.31.2.11.2.21.2.31.3.11.3.21.3.3 Budget: $ $ $Responsibility: X Y ZStep Four: Strategic PlanIt would not be unusual for the organisation to have 6-8goals, and each goal has numerous SMART Objectives,and each objective has its own actions or tactics.This ‘cascading approach’ is deliberate – it highlightswhat needs to be implemented each day and by whom toachieve the organisation’s mission and vision.The strategic plan determines who is employed, their rolesand responsibilities, and the budget for the next 12 months.Step Five: Strategic EvaluationStrategic Plans are continually reviewed and evaluated toensure the organisation is on track.If your SMART Objectives are well written then you havealready outlined targets for the next twelve months.These targets are often referred to as Key PerformanceIndicators (KPIs) and they are the key measures that needto be achieved if the organisation is to be successful.It is the KPIs that the CEO and Senior Managers will bechecking each week to make sure progress has been made.Strategy in SportSport organisations need to adopt strategy and strategicplanning like any other business: It provides a sense of direction and can unite keystakeholders – employees, members, commercial partners It highlights priorities and funding commitments for thenext 1-5 years It demonstrates to Government and other investors thatyour sport is well organised, united and thinking ahead. It could provide your sport with a competitive advantageover other sports and forms of leisure or entertainment.Government FundingThe annual budget cycle adopted by Federal and StateGovernment is critical to sport organisations if they are tosecure funding for programs, operations, events and facilities.The strategic plan demonstrates to Governments that thesport is worthy of future investment. The strategic planwould be required as part of the funding application.Sports aligned to the Summer and Winter Olympics operateon a four-year cycle and are seeking funding to prepare theirathletes for the next Olympic Games.Government PolicyFederal and State Governments outline their funding policiesin advance and work closely with sport organisations to developstrategic plans, feasibility studies and funding needs.Government funding is usually focused on outcomes andpriorities that are considered important by the Government ofthe day. Recent examples have included physical activity forall, inclusion in sport and protecting the integrity of sport.A good strategic plan would normally address current policiesoutlined by Government and highlight how the sport will meetthese challenges, which helps to justify the importance of sportin the community and the Government’s decision to invest.Government PolicyOther examples of Government Policy related to sport: Adherence to the WADA (Anti-Doping) Code Child Protection and Working with Children Increased participation for women and girls Eliminating racism and other forms of discrimination Tackling binge-drinking in sport Privacy for members of sport organisations Sport Diplomacy to assist with trade and investmentReferencesHuizinga, J. (1949). Homo Ludens: A Study of the Play Element in Culture,Routledge & Kegan Paul: London.Rigby, D. (2015). Management Tools 2015: An Executives Guide, Bain &Company Inc: Boston.Rossman, J. and Schlatter, B. (2000). Recreation Programming: DesigningLeisure Experiences, Sagamore Publishing: USA.Smith, A. and Stewart. B. (1999). Sports Management: A Guide toProfessional Practice, Allen and Unwin: Sydney.Suits, B. (1973). “The Elements of Sport,” in The Philosophy of Sport: ACollection of Original Essays, ed. Robert G. Osterhoudt, Charles C ThomasPublishers, p. 48-64.