The paper "Governance in the Football Federation of Australia " is a great example of a management case study. Sports governance describes a system of directing and managing organizations in order to achieve their objectives. Governance is concerned with the objectives of the organization, procedures and rules to be followed in making organizational decisions. Other governance procedures include performance assessment and monitoring. In sports organizations, governance impacts the accountability, transparency, use of resources, responsibility and activities of the sports organization. Poor governance in sporting organizations is a leading cause of public mistrust of sporting organizations. This case explores governance in the Football Federation of Australia (FFA).
In particular, the paper addresses the observance of the Australian Sports Commission (ASC) governance principles by the FFA. Secondly, it outlines problems facing the FFA as a result of poor governance and failure to follow the guidelines of the ASC on sports governance. The paper finally provides several recommendations that can solve the problems facing the FFA. The Australian Sports Commission Governance Principles The Australian sports commission (ASC) has set out a number of governance principles to be followed by sports organizations in Australia.
According to the ASC (2012), the governance principles are supposed to assist sports’ organization's management boards in: Developing the organization’ s strategic direction and goals. In monitoring board performance and ensuring their commitment to the goals and objectives of the organization In complying with legal and regulatory obligations Protecting the interests of members The ASC principles of governance focus on strengthening good decision making and leadership structures within a sports organization. ASC hopes the principles can assist in aligning management practices in sport organizations with corporate governance in the profit sectors of the Australian economy.
In the view of the ASC (2012), effective governance in sport organization is dependent on observing the following governance principles: Principle 1: Board composition Principle 2: Governance processes Principle 3: Governance systems Principle 4: Performance reporting and monitoring Principle 5: Stakeholder relationship and reporting Principle 6: Ethics and responsibility for decision making. Sports Governance Observer benchmarks Six European universities recently developed a new governance benchmarking tool meant to enhance the governance of international and national sports federations around the world. The new benchmarks focus on four key aspects of sports governance including Democratic processes, transparency and public communication, checks and balances and solidarity.
According to, the benchmarks are meant to deal with backroom dealings and corruption in sporting organizations. Governance at the Football Federation Australia Limited The Football Federation Australia Limited was formed in 2004 after the dissolution of the problem-plagued National Australian soccer league (NSL). The FFA is mandated with the management of football throughout Australia and is the recognized representative of FIFA in Australia (Macdonald and Ramsay, 2014). The FFA mandate allows the federation to establish football leagues in Australia. The FFA runs the A- league which is established in the 2005/06 season.
The A-league consisted of new franchise clubs and some former NSL clubs. Today, the A-league consists of 9 football clubs from Australia and one from New Zealand. Board structure According to principle 1 of the ASC governance principles, a national sporting organization should be run by a board with clearly delineated responsibilities, roles and powers (ASC, 2012). Further, the ASC advises that there should be no overlap of roles of any two members of the board. The ASC further argues that the board structure should facilitate the easy guidance of the organization, allow for monitoring of management performance, and ensure authority is balanced to prevent a single individual from holding unfettered power.
Australian Sports Council, ASC (2012). Sports Governance Principles: March 2012.
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