A case of collusion over bidding for work related to the Tokyo Olympic and Paralympic test competitions.

Why did it happen at a big sports event that was held while the pros and cons of holding were divided due to the influence of the new coronavirus?


We asked Munehiko Harada, President of Osaka University of Physical Education, who specializes in the sports business and was involved in the bid for the Olympic and Paralympic Games in Japan, about the background and required measures.

Summarized in Q&A format.


《Yuri Numata, Sports News Department》

Lack of business sense and common sense of the person in charge

Q.


How do you feel about the bid-rigging incident related to the Tokyo Olympics and Paralympics?



A. As


usual, the Olympics weren't held as planned, but I think it was a busy tournament with changes and sudden adjustments due to the influence of the new coronavirus.



That said, I think that the person in charge probably lacked a little bit of business sense and common sense because it was necessary to protect what should be protected.



In addition, I feel that the incident occurred when we were making adjustments while under various pressures.



I think that it is an irreversible mistake to have made a bid-rigging adjustment in a dire situation, and furthermore, if the advertising agencies and vendors involved in the event stop nominating bids, I am concerned that there will be a big impact on events and sports competitions.

A limited number of acquaintances, collusion in the "village society"

Q. Then


why did the bid rigging incident occur?



A.In


sports, Dentsu is at the top, with advertising agencies at the top, and event planners at the bottom. Such disputes occur.



Bid rigging has happened many times in the past in various industries, but it has unfortunately happened in the sports world.



Everyone wants to do an event like the Olympics where a huge amount of money moves.



I think that would give birth to something like a bid-rigging culture.



However, in the Olympics, where tax money is used, it became a big problem because the people who suffer the most damage are the taxpayers who discuss and decide among their peers.

Structural problem Check function did not work

Q.


The Organizing Committee, which was in charge of running the event, consisted mostly of staff seconded from the Tokyo Metropolitan Government, the national government, and the private sector.

Were there any difficulties in holding test competitions and final competitions in such an organization?



A.


I think it's a structural problem.



I think that Dentsu, which has a lot of experience in international sporting events, had something like a piggyback ride, so I don't think we could have held such a tournament without Dentsu as a dedicated agent.



However, in the midst of the urgency of holding the test tournament and the business plan for the final tournament, it came all at once. It may have been the reality that



I feel like it's a pretty structural problem, and there should have been people who said, 'This is collusion'.

It is a pity that such a check function did not work.



I think it's a matter of governance and compliance.

Thorough shortage of skilled human resources such as sports management

Q.


What should I do to prevent recurrence after receiving the incident?



A.


First of all, regarding human resources, I think there is a thorough shortage of human resources who are good at sports management and sports business.



I think we need a system to raise literacy, such as bringing in excellent human resources and handling sports and business well.



Even if an organizing committee for the Games is to be set up, I think that it will become a very open organization if such personnel are included, but among traditional sports organizations, there are many people who have only participated in competitions, and there are many people who have only participated in competitions. It is true that the problem of is erupting in various places.

Bringing people who are good at sports business into the organization

Q.


What is required of sports organizations and JOC = Japanese Olympic Committee?



A.


We will implement various reforms while making use of this lesson. For example, we will support the group as a side dish without having a dedicated agency, or how to incorporate people who have worked at agencies so far into the know-how. do you want me to teach you



Most recently, the World Expo will be held in Osaka in 2025, and the Asian Games will be held in Nagoya in 2026, so if the relationship between companies and events is not improved, bidding will be suspended, and the movement will stop suddenly. I think there will be big problems.



Until now, Japanese sports organizations have been organizations that "play sports", so when international events come along, they say, "Leave everything up to you." There was also a tendency to outsource all complicated matters, which is still going on.



What we need to do in the future is to bring it in-house so that we can do it with our own personnel within the organization.



In order to do that, I think it would be useless if we didn't have someone with considerable experience in the private sector sports business in the organization.

Same thing if you don't improve your literacy

Q.


Do events other than sports have a similar composition?



A.


Yes.

I think it's been a big event so far that the marketing department was all "outside".



In fact, the advertising agency that received the work was also very large, and the company also had a system to use such an agency, so it was a good match for the big event in Japan. I think it's the current situation.



There are good things about it, but there are also bad things like this time, so if I don't improve my literacy, I think the same thing will happen again.

An organization that can demonstrate the function of the board of directors

Q.


What kind of organizing committee should the 2030 Winter Olympics and Paralympics take place in Sapporo?



A.


I think that the role of the board of directors of the organizing committee is exhausted.



Rather than choosing people because of their names or famousness, we will form a board that truly fights, or rather, a board that can demonstrate leadership.



There should be an organization in which human resources such as certified public accountants, lawyers, and academics closely monitor governance and compliance.



I believe that such problems can be prevented by creating an organization in which the functions of the Board of Directors can be fully demonstrated.



Furthermore, it is extremely important to appoint a solid public relations person and spokesperson to disclose the events and information to the public in a timely manner.