Good governance in international sports organisations drs. Arnout Geeraert [email protected] dr. Michael Groll [email protected] AGGIS – Action for Good Governance in International Sports Organisations • Project funded by European Commission’s Sport Unit • Project co-ordination • Project partners AGGIS – Action for Good Governance in International Sports Organisations • Tool for assessing good governance in international sports organisations • Academic work on transparency, accountability, compliance, monitoring, democratic procedures... • Presentation of the project: Brussels, 8 April 2013 • More information: http://www.aggis.eu Good governance • Current global quest for so-called “good governance” • Is about the quality of governance. In essence prescriptive. • Checklists of factors that are indicators of good governance by • International institutions o UN Development Programme; European Commission; OECD; World Bank; IMF Checklists include key concepts o Accountability, efficiency, effectiveness, predictability, sound financial management, fighting corruption and transparency o When referring to the political area: participation and democratisation Good governance checklists for • Public governance • • o End of the cold war: questioning of the quality of political and economic governance systems of countries in international fora o Urging of governments to heed higher standards of democratic representation, accountability and transparency Corporate governance o “corporate governance” or “good corporate governance” o Make private and public held companies accountable to their internal and external stakeholders o Originates from early stages of capital investment and regained prominence out of scepticism that product market competition alone can solve the problems of corporate failures International organisations and NGOs o More recently: calls for GG in IOs and NGOs What about... Good governance in international sports organisations? • Only recently, calls for better governance in sport o o Traditionally: closed, self-governing sporting world No government interference: Switzerland • Commercialisation of sport o o Exposed governance failures such as corruption and bribery Money in sport attracts cross-border criminals (cf matchfixing, players agents, human trafficking) Why is good governance in sport important? • Economic sustainability • Ensure effectiveness in an increasingly complex environment • Corruption jeopardises important sociocultural values of sport • International sport organisations have huge impact on society Good governance in sport: knowledge gaps Situated at two levels • What constitutes good governance in INGSOs? o o No generally accepted “checklist” of factors INGSOs are peculiar kind of organisations: existing GG codes cannot blindly be applied • How bad is the situation? o o Lack of empirical data on the internal functioning of INGSOs High-profile scandals tell us that there is something wrong structurally -> Premise for our paper Paper in the framework of AGGIS project • Good governance in International Non-Governmental Sport Organisations: an analysis based on empirical data on accountability, participation and executive body members in Sport Governing Bodies Arnout Geeraerta,b,c, Jens Almd,e and Michael Grollf aHIVA-Research Institute for Work and Society, KU Leuven, Leuven, Belgium; bInstitute for International and European Policy, KU Leuven, Leuven, Belgium; cPolicy in Sports & Physical Activity Research Group, KU Leuven, Leuven, Belgium; dDanish Institute for Sports Studies/Play the Game, Copenhagen, Denmark; eDepartment of Sport Sciences, Malmö University, Malmö, Sweden; fInstitute of European Sport Development and Leisure Studies, German Sport University, Cologne, Germany Purpose of the study • Gather empirical evidence o o o From 35 organisations Define structural problems How bad is the situation? • Incorporate concepts from political science o o Interpreting the empirical data Theory building: what constitutes GG in international sports organisations Quid international sports organisations? • Before we look into the governance of international sport organisations... • Typology needed on international sports organisations! Typology of International Sport Organisations Background: - Quite a few expressions: Global Sports Organisations (GSO) Sport Governing Bodies (SGB) International Federations (IF) International Sport Organisations (ISO) - Only a few efforts on typologies Examples Gomez, Opazo & Marti (2008) Hybrid Global Primary purpose: promotion of participation & specific values/services Examples: CIFP, CAS, ICSSPE, AIOWF, ASOIF Regional/ Primary purpose: Selective promotion of participation & specific values/services Examples: Confederation Europeanne Santé National Primary purpose: promotion of participation & specific values/services Examples:BASES, Youth Sport Trust Governmental Primary purpose: Primary purpose: managing/organisi event organising ng sport, athletes Examples: IOC, IPC and events Examples: FIFA, UCI Primary purpose: regulation Examples: WADA, ICSSPE Primary purpose: regulation & utilisation Examples: UNESCO, WHO Primary purpose: managing/organizi ng sport, athletes and events Examples: UEFA, EHF Primary purpose: event organising Examples: Pan American Sports Organisation Primary purpose: regulation Examples: WADA Regional Offices Primary purpose: regulation & utilisation Examples: EU, Council of Europe Primary purpose: managing/organizi ng sport, athletes and events Examples: domestic sport federations Primary purpose: event organising Examples: British University Sports Associatiuon Primary purpose: regulation Examples: some national Anti-Doping Organisations Primary purpose: regulation & utilisation Examples: UK Sport, Sport England Sawyer, Bodey & Judge (2008) Typology of Global Sport Organisations (GSO) Team Sports Bodies Solo Sports Governing Bodies IHF FI S IAAF ... ... FIFA Sport Event Governing Body IOC Specialist Bodies WADA FIMS ICAS ... Forster & Pope (2004) Typology of International Non-Governmental Sport Organizations (INGSOs) Sport Governing Bodies Sport Event Governing Bodies Special Task Bodies Representative Bodies Typology of International Non-Governmental Sport Organizations (INGSOs) Sport Governing Bodies Team Sports Bodies Solo Sports Bodies Sport Event Governing Bodies Bodies of Olympic /Paralympic Events Bodies of Non-Olympic Events Special Task Bodies Governing Relevance Informational Relevance Representative Bodies Sport Bodies Stakeholder Bodies Typology of International Non-Governmental Sport Organizations (INGSOs) Sport Governing Bodies Sport Event Governing Bodies Team Sports Bodies Solo Sports Bodies FIFA FIS IOC IWGA IHF IAAF IPC FISU ... ... UEFA EAA EHF UEG ... ... PGA Bodies of Olympic /Paralympic Events Bodies of Non-Olympic Events Governing Relevance Sport Bodies Stakeholder Bodies WADA* FIMS ICAS ICSSPE ASOI F FIFPro Supporte rs Direct ... ... EUPEA EOC FARE ... EPFL ... OCA ANOCA Continental / Regional Level CGF Representative Bodies Informational Relevance Global Level Other * = Hybrid Organisation Special Task Bodies ... ... Typology of International Non-Governmental Sport Organizations (INGSOs) Sport Governing Bodies Team Sports Bodies Solo Sports Bodies FIFA FIS IHF IAAF ... ... UEFA EAA EHF UEG ... ... PGA Sport Event Governing Bodies Body of Olympic Events IOC Bodies of Non-Olympic Events Special Task Bodies Governing Relevance Representative Bodies Informational Relevance Sport Bodies Stakeholder Bodies Supporte rs Direct IWGA WADA FIMS ASOIF FISU ICAS ICSSPE FIFPro ... ... Global Level OCA EUPEA EOC FARE ... EPFL ... AGGIS Research Area ANOCA Continental / Regional Level CGF Other ... ... Methodology • Focus on 35 Sport Governing Bodies • Explorative set of indicators o • • Based on academic literature + other GG codes Lack of publicly available data! o Focus inevitably on available data (e.g. statutes) o Website research o SGBs were not cooperative Focus on areas perceived as problematic: accountability, stakeholder participation and executive body members in SGBs Accountability What? A Has to explain and justify conduct Actor Forum Can pose questions and pass judgement B C Three elements: A, B & C Accountability arrangements help to make sure 3 elements are present Accountability Why? • A lack of accountability arrangements constitutes a breeding ground for o Corruption o Concentration of power o Lack of democracy and effectiveness The importance of accountability arrangements Usually explained in 3 ways: (1) A democratic means to monitor and control government conduct (2) To prevent the concentration of power (checks and balances) (3) It induces the executive branch to learn The importance of accountability (1) A democratic means to monitor and control government conduct In parliamentary democracy In corporate governance Here, accountability arrangements make sure the actor acts in the interest of the forum (principal – agent relationship) + WATCHDOG FUNCTION of the forum The importance of accountability (1) A democratic means to monitor and control government conduct In Sport Governing Bodies • SGB: no shareholders or citizens • Member Federations own the organisation since they have created it! In principle, executive body of SGB should be accountable to the Member federations! Member federations have an important watchdog function The importance of accountability (1) A democratic means to monitor and control government conduct The problem in Sport Governing Bodies • • • Often, SGBs make vast sums of mony, which has made them independent from their Member federations Member federations are partly dependent on the funding they receive from their SGB Nothing wrong with funding, but risks: o MFs may become benevolent towards or servants to their SGB o Funds can be used to ensure votes, support a certain agenda, ensure the re-election of officers o As such, MFs may become lapdogs instead of watchdogs! The importance of accountability (1) A democratic means to monitor and control government conduct To prevent haphazard us of funds: paramount that funds are distributed • • Transparently According to pre-established, objective criteria The importance of accountability (2) To prevent the concentration of power (checks and balances) An ethics committee could be called to adjudicate on the behaviour of members of the executive body of the SGB. Has to explain and justify conduct SGB Executive body Ethics committee Can pose questions and pass judgement The importance of accountability (2) To prevent the concentration of power (checks and balances) In order to be an effective accountability mechanism, an ethics committee must be: • Independent from the governing body • Able to perform investigations on its own initiative (ex officio) o without referral by the executive body/ president The importance of accountability (3) It induces the executive branch to learn • Possibility of punishment in the event of errors and shortcomings motivates the executive body to search for more intelligent ways to run their businesses • Accountability makes sure that executive body reflects on governance failures resulting from their past conduct Thus, lack of accountability mechanisms prevents the impetus for change in SGBs! Participation Participation of the governed in their government is, in theory, the cornerstone of democracy. No participation Participation • More research is needed, because mere consultation offers no assurance that athletes’ concerns and ideas will actually be taken into account • Institutionalised consultation does not equal actual participation, since the latter requires that affected parties have access to decision making and power • Participation will lead to legal certainty o o Including stakeholders in decision making process gives them sense of “ownership” They will come to see the decisions of the SGB as their own decisions -> less likely to contest these before legal courts Executive body Members Nationality issues • • Anachronistic dominance of European continent Can decisions be devised in the overall global interest? NaCaCa: North America, Central America and the Caribbean Executive body Members Nationality issues NaCaCa: North America, Central America and the Caribbean Executive body Members Gender inequality Overwhelming overrepresentation of male members within SGBs executive bodies However, 16 SGBs have some form of regulation in place assuring female representation Executive body Members Tenure issues In general, term limits constitute a remedy for several tenure issues • High rates of reelection stemming directly from the advantage incumbents enjoy over challengers • Apathetic voters due to the certain reelection of incumbents • Monopolisation of power Conclusion • Paper does not paint a comprehensive picture on governance issues in SGBs • A lot of data left to be uncovered and many research avenues are still to be explored. • In spite of the obvious limitations, the presented empirical evidence clearly supports the recent calls for good governance in sport. • SGBs need to agree upon a set of well-defined criteria of good governance and take action towards compliance with those. Only then, the self-governance of sport will be credible and justifiable.