Football Federation Australia

Football Federation Australia A Company Limited by Guarantee Unit Assessment – Report 2007 (35%) Anthony Siokos (5835) MM112: Sport Administration Ross Brennan Due: Week 11, 19/10/07 Administration of Football at National Level Objects of FFA  To be the premier body for Football in Australia, as such to promote and enforce the Statutes and Regulations and the Laws of the Game at all levels  To be the Australian member of FIFA and comply with the Statutes and Regulations in force from time to time  To govern Football throughout Australia, prevent infringement of the Statutes and Regulations and the Laws of the Game and protect Football from abuse 29/05/2008 MM112: Report 2007 - Prepared by Anthony Siokos (5835) 2 Administration of Football at National Level (cont.) Objects of FFA (cont.)  To make, adopt, vary and publish rules, regulations, by-laws and conditions for regulating Football in Australia  To secure and maintain affiliation with other bodies, domestic and international, having a common interest in Football  To promote, provide for, regulate and ensure effective management of Football tournaments and games under the control of or authorised by FFA (Football Federation Australia, 2007, p.2) 29/05/2008 MM112: Report 2007 - Prepared by Anthony Siokos (5835) 3 Income and payments Application of income  All FFA‟s profits (if any), other income and property, however derived, must be applied only to promote its objects No dividends, bonus or profit to be paid to Members  None of FFA‟s profits, or other income or property may be paid or transferred to the Members, directly or indirectly, by any means 29/05/2008 MM112: Report 2007 - Prepared by Anthony Siokos (5835) 4 Income and payments (cont.) Payments in good faith  Does not prevent the payment in good faith to an officer or Member, or to a firm of which an officer or Member is a partner: (a) of remuneration for services to FFA (b) for goods supplied to FFA in the ordinary course of business (c) of interest on money borrowed from them by FFA at a rate not exceeding the rate fixed by FFA (d) of reasonable rent for premises let by them to FFA (FFA, 2007, p.3) 29/05/2008 MM112: Report 2007 - Prepared by Anthony Siokos (5835) 5 How it raises money Federal Government funding  In 2003, “football received $9m to restructure following the ground-breaking [Independent Soccer Review known as the] Crawford Report”  “The FFA also gets more than $3m a year from the Australian Sports Commission”  In September 2007, “the FFA was awarded a special handout of $4 million a year for the next four years – a $16m non-core pre-election promise, no other sport enjoys such direct largesse” (Magnay, 2007, p.39). 29/05/2008 MM112: Report 2007 - Prepared by Anthony Siokos (5835) 6 How it raises money (cont.) Major sources of revenue  Registration monies for young football players goes to the national federation to help pay off its continuing $6m government loan from that time  In April 2006, Frank Lowy “confirmed a sevenyear deal worth „in excess of $120 million‟ with pay television broadcaster Fox Sports” (AAP, 2006, p.24).  Ticket sales (this includes the Football Family‟s exclusive priority ticketing concept created in 2005), merchandise and organised media events are all income generating activities 29/05/2008 MM112: Report 2007 - Prepared by Anthony Siokos (5835) 7 Sponsorship  Corporate partners are impressive which include: - Qantas, Foxtel, Hyundai, Nike, Powerade, Telstra, National Australia Bank (NAB) and Westfield - Reebok are the official kit suppliers of the Hyundai A-League 29/05/2008 Figure 1. “Qantas Socceroos” (Gray, Reuters, 2006) MM112: Report 2007 - Prepared by Anthony Siokos (5835) 8 Australia’s Membership with Asia – The AFC  “Australia's membership of the Asian football community offered a direct and effective use of football as an instrument of foreign policy” (Bubalo, 2005, cited in Magnay, 2007, p.39).  The adventure into Asia will be a test for the FFA administrators. The Socceroos are now ranked 48th and the Matildas 12th in the world, good governance will help improve these rankings  The two best A-League clubs will compete in the AFC Champions League club competition, in 2007 it was Sydney FC and Adelaide United FC 29/05/2008 MM112: Report 2007 - Prepared by Anthony Siokos (5835) 9 How it spends money     Funding of nine national teams Competitions (e.g. Hyundai A-League) Marketing & promotions (e.g. TV ad campaigns) Employment of national, state and local level staff (from corporate to commercial operations) Community football programs (Telstra Football Anytime, boys/girls 5-12 years) and development Research and analysis projects Coaching & development/Referees/Futsal Providing assistance to States (e.g. Football NSW) MM112: Report 2007 - Prepared by Anthony Siokos (5835) 10     29/05/2008 Hyundai A-League: Australia’s national competition  The Hyundai A-League is the “men‟s national club competition staged by FFA, including the pre-season, season proper, finals series and any post-season tournament or knockout cup competition organised or sanctioned by FFA” (FFA, 2007, p.2).  Adelaide, Central Coast, Melbourne, Newcastle, Perth, Queensland, Sydney and Wellington make up the eight team club competition (Wellington replaced the failed New Zealand Knights in 2007) 29/05/2008 MM112: Report 2007 - Prepared by Anthony Siokos (5835) 11 Football’s next goal: A-League for women  “The FFA's head of high performance John Boultbee, revealed that plans were in place for a league to start in late 2008” (Sygall, 2007, p.102).  Women‟s football will be lifted off the bottom of the pile 29/05/2008 Figure 2. “The Matildas embrace each other after their exit from the FIFA Women‟s World Cup held in China during September 2007” (Getty Images, 2007) 12 MM112: Report 2007 - Prepared by Anthony Siokos (5835) The management theory Frank Lowy  FFA Chairman of the Board (the man with the power) Ben Buckley  FFA Chief Executive Officer (the administrator) Brian Schwartz  FFA Deputy Chairman 29/05/2008 Figure 3. “Ben Buckley and Frank Lowy” (Rae, The Sydney Morning Herald, 2006) MM112: Report 2007 - Prepared by Anthony Siokos (5835) 13 FFA Management Theory: It would seem… Administrative  FFA Chairman, Frank Lowy, seems to govern using a tops down approach  As this theory suggests, “Authority is needed to manage and power comes with a managers position” (Brennan, 2007, p.9).  From the outside looking in, the FFA seems to operate using equity, initiative and centralisation  All employees are given a clear understanding of what their role is and the pathway to the top should they have ambitions to climb the corporate ladder  The old “Soccer Australia” were notoriously bad administrators, the FFA will not go backwards 29/05/2008 MM112: Report 2007 - Prepared by Anthony Siokos (5835) 14 Constitutions key features: Sections 3-6 Membership  The Directors must recognise as a State Body one body in respect of each State which, in their opinion, represents Football in that State, with the exception of New South Wales, in respect of which the Directors may recognise two bodies which, in their opinion, represent Football in New South Wales 29/05/2008 Figure 4. “Constitution” (FFA, 2007) MM112: Report 2007 - Prepared by Anthony Siokos (5835) 15 Constitutions key features: Sections 3-6 (cont.) General meetings  Annual general meetings of FFA are to be held according to the Corporation Act Votes of Members  At a general meeting, on a show of hands and on a poll, each of the following Members has one vote: 1. A State Body Member; 2. A Football League Member; and 3. for so long as they remain a Member, a First Member 29/05/2008 MM112: Report 2007 - Prepared by Anthony Siokos (5835) 16 Constitutions key features: Sections 7-8 Obligations of State Body Members  The Directors must adopt a By-law containing a model constitution for State Body Members to use as their constitutions FIFA and AFC  FFA must co-operate with FFA and AFC in all matters relating to the organisation of international competitions, FFA‟s own competitions and Football in general 29/05/2008 MM112: Report 2007 - Prepared by Anthony Siokos (5835) 17 Constitutions key features: Sections 10-12 Directors  There must be not less than five Directors and not more than nine Directors  An Elected Director may not serve more than two consecutive terms as a Director (First Directors do not count) Proceedings of Directors  The Directors may delegate any of their powers to any person or persons, or to committees, consisting of those persons they think fit, and may vary or revoke any delegation 29/05/2008 MM112: Report 2007 - Prepared by Anthony Siokos (5835) 18 Constitutions key features: Sections 13-14 Chief Executive Officer  The Directors must appoint a Chief Executive Officer. If a Managing Director is appointed by the Directors, the Managing Director will also be the Chief Executive Officer Secretary  There must be at least one Secretary who is to be appointed by the Directors  The Directors may suspend or remove a Secretary from that office 29/05/2008 MM112: Report 2007 - Prepared by Anthony Siokos (5835) 19 Constitutions key features: Sections 15-19 By-laws  The Directors may from time to time make Bylaws which in their opinion are necessary or desirable for the control, administration and management of FFA‟s affairs, and may amend, repeal and replace those By-laws Indemnity  Every person who is or has been a Director, a Chief Executive Officer or a Secretary (each an Officer) is entitled to be indemnified out of the property of FFA 29/05/2008 MM112: Report 2007 - Prepared by Anthony Siokos (5835) 20 Constitutions key features: Sections 20-21 Winding up  Each Member must contribute to FFA‟s property if FFA is wound up while they are a Member or within one year after their membership ceases (the amount is not to exceed $20.00) Accounts  The Directors must cause the accounts of FFA to be audited as required by the Corporations Act (FFA, 2007, pp. 4-26)  To read the complete Constitution click here> 29/05/2008 MM112: Report 2007 - Prepared by Anthony Siokos (5835) 21 Business structure Ownership  Football Federation Australia Limited (“FFA”) is a company limited by guarantee Control structures  FFA Board (Frank Lowy AC, Chairman and Brian Schwartz AM, Deputy Chairman)  Board of Directors (Moya Dodd, Les Owen, Jack Reilly, Ron Walker and Phillip Wolanski)  Chief Executive Officer (Ben Buckley)  Management Committee (Department Heads) 29/05/2008 MM112: Report 2007 - Prepared by Anthony Siokos (5835) 22 Administration positions Who’s Who at Football Federation Australia  Organisational structure:  Management Committee  Corporate Office  Operations  Hyundai A-League & National Women‟s Football Competitions  Finance Department  Commercial Operations  High Performance Unit  Marketing, Communications & Strategy (FFA, 2007) 29/05/2008 MM112: Report 2007 - Prepared by Anthony Siokos (5835) 23 How are the various administrative positions filled?  Each department within the organisation has key positions which clearly specify tasks to be performed and who workers report to  A list of positions can be found on the FFA Who‟s Who webpage click here>  Employees of FFA are experienced and have qualifications in either business, sport management, administration, accounting and finance or the ability to co-ordinate programs  Positions are normally filled by advertising, recruitment agencies and targeted head-hunting 29/05/2008 MM112: Report 2007 - Prepared by Anthony Siokos (5835) 24 Workforce Size and type  There are 86 current positions listed within the organisation  It is a corporate business assisted by Government funding Volunteers  These include game-day ball boys/girls and assistance from the community for major football events  Most are paid positions 29/05/2008 Figure 5. “Graham Arnold” (Subprasom, Reuters, 2007) 25 MM112: Report 2007 - Prepared by Anthony Siokos (5835) Finally, a Technical Director in Robert Baan – the way forward  Rob Baan, 64, signed a lucrative two-year contract to become Australia's technical director at the start of this year  “The… position will provide strategic, tactical, and technical direction to the FFA and its representative teams, in addition to the elite player development scheme” (Reuters, 2006). 29/05/2008 Figure 6. “Rob Baan” (Getty Images, 2007) MM112: Report 2007 - Prepared by Anthony Siokos (5835) 26 The significant weight of supporting nine national teams From the top down  Socceroos  Matildas  Olyroos  Young Socceroos  Young Matildas  U/17‟s Men‟s (Joeys)  U/17‟s Women‟s  Paralympics  Futsalroos 29/05/2008 Figure 7. “Socceroos get ready to play an international friendly against Argentina at the MCG” (Getty Images, 2007) 27 MM112: Report 2007 - Prepared by Anthony Siokos (5835) The continued support of these nine teams is critical – why?  International success  Commercial sponsorship  Political diplomacy  Fitness/health and increased participation (especially women) 29/05/2008 Figure 8. “Matildas at the FIFA Women‟s World Cup” (Getty Images, 2007) MM112: Report 2007 - Prepared by Anthony Siokos (5835) 28 How has administration managed change?  Since the Crawford Report, Football in Australia has moved forward with the FFA referring to the past as “old soccer” and the present and future as “new football”  “The committee identified a series of crises evidenced by severe financial problems, political infighting and lack of direction and presented an agenda for the introduction of its own ideas” (Thompson, 2006, p.146).  Gone are the days when the States controlled the governing body, the future is a top down approach with the FFA calling the shots 29/05/2008 MM112: Report 2007 - Prepared by Anthony Siokos (5835) 29 How has administration managed change? (cont.)  “The new regime at the helm of the game had been in place for less than three years but has already achieved more than any other administration… Three objectives have been met. Qualification for the World Cup... a new national league, [and] …Australia to leave Oceania and embrace a new future in Asia” (Thompson, 2006, p.144).  John O‟Neill, the FFA‟s first and most successful CEO, has moved back to Rugby Union. His successor, Ben Buckley, is a capable replacement 29/05/2008 MM112: Report 2007 - Prepared by Anthony Siokos (5835) 30 Interview with Craig Foster: SBS Chief Football Analyst  “The first major hurdle is understanding and acceptance… from the whole football community that we need to change”  “The barrier has always been that football in this country has been run from ground up not top down”  “We‟ve always had a governing body with a complete lack of understanding… those who were appointed to the old Soccer Australia were beholden anyway to the people of the States [and] no one could ever make a decision” (Foster, 2007). 29/05/2008 MM112: Report 2007 - Prepared by Anthony Siokos (5835) 31 29/05/2008 Anthony Siokos and 2007 - Prepared by Anthony Siokos (5835) Craig Foster (31 August, 2007) MM112: Report 32 Internal environmental issues  The internal environment presents management issues in the following areas:  Financial, Accounting & Legal (money & risk)  Marketing (strategy, research & analysis)  Human resources management (people)  Operations (commercial & high performance)  For the first time in the games history specialist roles have been created within the organisation. These roles need to be managed using key performance indicators and benchmarks 29/05/2008 MM112: Report 2007 - Prepared by Anthony Siokos (5835) 33 External environmental issues  FFA administrators need to effectively manage some key external issues which include:  Competitors (other football codes e.g. AFL)  Government (level of funding, facilities)  Socio-economic (cost structures, affordability)  Supporters (fan-base, bandwagon & pundits)  The external environment provides opportunities for administrators to succeed in the sports market, however, there are also threats and risks which need to be carefully managed 29/05/2008 MM112: Report 2007 - Prepared by Anthony Siokos (5835) 34 Organisational culture  In the past, the culture within the game was rife with constant allegations of corruption and inexplicable acts of self-interest  In 1995, the controversial Stewart Report into the dealings of the now defunct Australian Soccer Federation (ASF) exposed corruption and made strong recommendations for a clean-out  “Nothing less than a sea-change will satisfy the critics of the administration of soccer in Australia. It is nothing less than players, supporters, and officials alike, deserve. It is what I recommend; without it soccer will never reach its full potential in this country” (Stewart, 1995, cited in Solly, 2004, p.61). 29/05/2008 MM112: Report 2007 - Prepared by Anthony Siokos (5835) 35 Football’s turbulent history…  “Soccer and the people running it in Australia had been the subject of ridicule for a long time. No-one trusted anyone, most people had been compromised, and there were too many people more interested in 'payback' than in charting a future for soccer” (Solly, 2004, p.5).  “Football is a game of opinions but unfortunately in Australia many within the game are scared of opinions” (Warren, 2002, p.333).  Johnny Warren believed that change would bring success and has it ever, as he said, “I told you so” 29/05/2008 MM112: Report 2007 - Prepared by Anthony Siokos (5835) 36 If you build it – they will come!  Football is now a brand in which Australian‟s can get excited about, the game post-World Cup has experienced its highest peak in popularity  The administrators, employees, volunteers and participants are working together to produce a positive culture and future for the game in this country  The FFA is now an organisation based on a tireless work-ethic utilising good management and demonstrating commitment to the game for the benefit of all “stakeholders” 29/05/2008 MM112: Report 2007 - Prepared by Anthony Siokos (5835) 37 SWOT Analysis: The state of the game today Strengths Current FFA board Available expertise Methodical management Vision & mission for the game Popularity has increased Government support Major tournament qualification Becoming No. 1 football code Weaknesses Reliance on board Not utilising skills Stifled creativity Prioritising projects Other sporting codes Losing funding Not qualifying Complacency 38 Opportunities Threats 29/05/2008 MM112: Report 2007 - Prepared by Anthony Siokos (5835) Conclusion Summary  FFA is the premier body for Football in Australia  Football receives Government funding  FFA funds nine national teams and one men‟s national club competition, the Hyundai A-League  Australia is now a member of the Asian Football Confederation (AFC)  FFA develops coaching licences and community programs  The administration of football has changed significantly over time. It is now well governed by capable administrators and pragmatic in its dealings with respect to the game in this country 29/05/2008 MM112: Report 2007 - Prepared by Anthony Siokos (5835) 39 Evaluation – How could the administration be improved? The FFA administrators need to focus on:  Developing grassroots football (boys & girls)  Improved national coaching licences (education)  A national philosophy (how we play in Australia)  Establish a national women‟s competition and pay more attention to women in sport, especially after the Matildas success in the World Cup  Allow more competitive fixtures to be played in Asia across all nine national teams  Be more transparent, allow public access to goings-on within the organisation and always remember the game is owned by the fans 29/05/2008 MM112: Report 2007 - Prepared by Anthony Siokos (5835) 40 Reference List AAP. (2006, April 26). $120m TV deal. Herald Sun, (Sport) p.24. Brennan, R. (2007, September 14). The evolution of management theory. Paper presented in lectures for Research Analysis at ACPE. Football Federation Australia. (2007). Constitution. Sydney, New South Wales: Author. Football Federation Australia Inside FFA. (2007). Retrieved September 24, 2007, from http://www.footballaustralia.com.au Football Federation Australia. (2007). Statutes. Sydney, New South Wales: Author. Magnay, J. (2007, September 15). Friendships score as football receives $16m free kick. The Sydney Morning Herald, (Sport) p.39. Reuters. (2006). FFA signs another Dutchman. Retrieved September 24, 2007, from http://www.abc.net.au/news/stories/2006/12/05/1804618.htm Solly, R. (2004). Shoot out: The passion and the politics of soccer's fight for survival in Australia. Milton, QLD: John Wiley & Sons Australia Ltd. Sygall, D. (2007, September 23). Football‟s next goal: A-League for women. The Sun-Herald, p.102. Thompson, T. (2006). One fantastic goal: A complete history of football in Australia. Sydney, NSW: ABC Books. 29/05/2008 MM112: Report 2007 - Prepared by Anthony Siokos (5835) 41 Reference List (cont.) Warren, J. (2002). Sheilas, wogs & poofters: An incomplete biography of Johnny Warren and soccer in Australia. Milsons Point, NSW: Random House Australia Pty Ltd. 29/05/2008 MM112: Report 2007 - Prepared by Anthony Siokos (5835) 42 Illustrations List Football Federation Australia Homepage. (2007). Retrieved September 15, 2007, from http://www.footballaustralia.com.au Getty Images. (Photographer).(2007). Australia v Argentina [Online image]. Retrieved 24 September, 2007, from http://au.fourfourtwo.com/gallery .aspx?galleryID=37&imageID=580 Getty Images. (Photographer).(2007). Baan confident in Olyroos [Online image]. Retrieved 24 September, 2007, from http://au.fourfourtwo.com /news/51089,baan-confident-in-olyroos.aspx Getty Images. (Photographer).(2007). Matildas edged out by Brazil [Online image]. Retrieved 24 September, 2007, from http://au.fourfourtwo.com/ gallery.aspx?galleryID=69&imageID=1507 Getty Images. (Photographer).(2007). Matildas match Norway [Online image]. Retrieved 24 September, 2007, from http://au.fourfourtwo.com/gallery .aspx?galleryID=49&imageID=950 Gray, D. (Photographer).(2006). Media listen to Australian World Cup soccer squad members Beauchamp, Milligan, Football Federation Australia CEO O’Neill and assistant coach Arnold at Sydney Airport [Online image]. Retrieved 18 September, 2007, from http://oasis.acpe.edu.au:2070/at/ default.aspx 29/05/2008 MM112: Report 2007 - Prepared by Anthony Siokos (5835) 43 Illustrations List (cont.) Rae, P. (Photographer).(2006). Lowy gets his man: in comes AFL rising star Buckley - and out goes O'Neill [Online image]. Retrieved 17 September, 2007, from http://www.smh.com.au/news/football/lowy-gets-his-man-incomes-afl-rising-star-buckley--and-out-goesoneill/2006/11/08/ 1162661758067.html Subprasom, C. (Photographer).(2007). Australia's national soccer team head coach Graham Arnold gestures to players during a team training session in Bangkok [Online image]. Retrieved 17 September, 2007, from http://oa sis.acpe.edu.au:2070/at/default.aspx 29/05/2008 MM112: Report 2007 - Prepared by Anthony Siokos (5835) 44