https://www.youtube.com/watch?v=9WZd6AyDZFs
http://en.wikipedia.org/wiki/Alabama_Crimson_Tide_football_under_Nick_Saban
The attention to detail and training facilities of this college football team is insane. Since this guys coaching program came into effect they've absolutely dominated. This guy is building a dynasty.
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Saban is an excellent coach, but he does not have a salary cap to work under. The big programmes get the best players, and bama is one of the biggest. What the Seahawks have done is very impressive, but a big part of that is a lot of their top players hit their peak while still in their first contract, which allowed the 'hawks to splash cash for an SB run.
Actually let's approach this from a business perspective.
Let's say building a first-class High Performance Centre for Parramatta costs $10m as I believe was stated in the video that less than the annual operating budget of the football club which is over that figure.
Let's say we borrow that amount, you're looking at interest repayments of say 5 per cent of the total budget of the football operation. The question then is does building those facilities give you greater than the expenditure as a return on investment. Will your outcomes improve enough to justify that expenditure.
I'd argue absolutely.
A facility like that exists over and above the salary cap. In an operating environment that is inherently designed to level out the performance of all teams, points of competitive differentiation are amplified. So if you can use your resources to invest in a significant point of differentiation that exists outside of the cap your creating for yourself a sustainable advantage.
Furthermore, that sustainable advantage is amplified again because most Rugby League clubs are operating under difficult financial conditions and therefore have limited abilities to match investments that other club makes.
I'd suggest a HPC of that ilk not only gets physical performance advantages but the recruitment attractiveness would be massive (therefore letting you cheat the efficiency of the salary cap to a certain degree).
It is for all these reasons that our HPC is the big untold issue on this club's books and that our club and indeed Parramatta Council should be looking to develop something that is absolutely world-class.
Phil, just a few questions in response to your article:
Firstly I think the interest rate on any borrowed money would be higher than 5% as stated so obviously that has to be factored into the operating budget.
Secondly is this centre only open to players or to the public, run on similar lines to fitness clubs, to generate income to help pay for the loan.
Thirdly, believe Leagues Club purchased properties around the club, have all these been sold or do they still own some, where HPC could be situated.
What is the latest on the HPC?
I haven't heard it mentioned for awhile now and it will continue to be difficult to attract big names to the eels without it, or something similar.
Can we align ourselves with the 9ers? That would be cool seeing Hayne hanging out with Kap!
Awesome programme they've got there.
The HPC reminds me of the assistant coach from the Water Boy.
College football is BIG.
Looking at the numbers, Alabama's revenue (I'm guessing 2013) was $144mil while expenditures were $117mil. A mere 3rd in the NCAA.
Where do they get their money? Most from alumni or "boosters" who pour money into the program religiously every year.
They have no salary cap because the NCAA is amatuer. ie Players are not allowed to be paid. Officially anyways. cough *3P agreements* cough.
In 2013, the average attendance for games at Alabama was 101, 000.
If we were to extrapolate those figures down to NRL level, then we aren't doing too badly IMO.
Yet those training facilities would be nice.
After a quick google search I saw that Parramatta gaol was decomissioned in 2011 yet the full facility is still there so we already have a prebuilt area we just need to put a roof on and make sure that everything is stable, I'm sure there's other costs but if we could get anything like what they had in the video we'd have a definite advantage.
With this sort of thing you could open it to the public at a certain time and if we become a premier football team I'm sure there'd be people lining up to train at the same gym the Eels use.