Gallop’s departure right decision, but poorly handled
By Adam_Vaughan, 26 Jun 2012 Adam_Vaughan is a Roar Rookie
- Tagged:
- David Gallop, John Grant, NRL, Rugby League
Former chief executive of the Australian Rugby League Commission David Gallop. AAP Image/Dean Lewins
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The departure of David Gallop from his post as NRL Commission CEO has surprised many, more for the timing than the end result.
From the moment the NRL Commission became a reality, Gallop’s days were numbered. The business relationship was forced; it was not an amicable or natural fit to start with. It came through the conditions negotiated by News Limited that cleared the way for the new Commission.
Loyalty had its perks for the former legal adviser for Super League.
For ten years, Gallop had the trust of his News Limited bosses. Originally, the NRL had been a partnership between News and the Australian Rugby League to bring the game back together after the Super League war. Three representatives of each side combined to make up the board in which the CEO was to report. However, for better or worse Gallop was allowed to almost single handedly run the game as he saw fit.
So, when the Commission arrived with its eight new faces that included hands on chairman John Grant, the operational setup that Gallop had enjoyed for so long was gone. Even though Gallop had signed a four year deal, Grant wasn’t backward in coming forward when he quipped “Don’t forget, you’re working for a new boss now.”
For the independent Gallop, having to answer to someone other than an old friend who simply signed off on whatever he wanted was a bigger change than he could handle. Basically, for an unnatural relationship, it was a natural end.
It was also an undignified end. For a man who had run the highest level of club rugby league in Australia for over a decade, the farewell given to Gallop was nothing short of disgraceful.
The debacle began when Grant held his own press conference, alone, informing the rugby league world that the days of Gallop being CEO were over. Effective immediately. A key word in Grant’s announcement was “reactive”. He seemed to almost spit the word out in disgust. “Reactive” was how the new boss saw Gallop’s management style. The phrase “fresh approach” soon followed in Grant’s address. It was obvious to everyone that Grant had not been Gallop’s number one fan.
Then, it was Gallop’s turn. He held a press conference on his own as well. All alone. No support from those who had worked diligently beside him, no well wishes from any of the newly appointed commission and certainly no thanks from them either. He was alone for all to see in every way possible. The only thing they didn’t do was throw him out the front door of league’s new headquarters, which was, ironically, a building that Gallop had a significant hand in delivering for the new administrators of the game.
It was one of the worst good-byes of all time. Dictators have been farewelled better than this. It would be easier to understand if Gallop had done terrible job. But he hadn’t, he had undertaken one of the hardest jobs in the country and somehow made it work. Granted it didn’t always go smoothly, but what does?
The Gallop era will be remembered primarily for the Melbourne Storm salary cap scandal. A close second will be Brett Stewart. On one issue I give him the thumbs up, on the other I have to agree with John Grant’s assessment in that the response was very “reactive” and a load of PR crap.
The strangest thing that I found following the Storm saga was that even after Gallop took away two premierships, stripped three minor premierships, made their 2010 season null and void, fined the club $500,000 and made them pay back the $1.1 million in prize money – was that he was still criticised.
He took too long to make a decision, he should have known this was going on, he wasn’t hard enough, he was too hard on them, blah, blah, blah. The man had done what he had to do. For a competition built on the premise of a salary cap, what other option did he have?
Gallop had to act on a serious salary cap breach early in his tenure when the Bulldogs blatantly disregarded the rules during the 2002 season. The penalty for the Bulldogs was to have the club stripped of all but four competition points, effectively ending their season. They were also fined $500,000.
The Storm obviously didn’t think that penalty was enough to stop them from doing the same thing. So I ask again, what option did he have? To me, that was strong leadership. He took the time to get all the facts, he then acted accordingly. It sent a clear message to the other clubs. So far, it seems the clubs have listened.
However when it comes to the events of Friday, March 6, 2009, Gallop and I have a differing opinion.
The Manly Sea Eagles decided that they would hold their season launch at Manly Leagues Club to celebrate the winning of the 2008 premiership and hopefully win back to back titles. The problem was that it turned into an alcohol fuelled free for all. Words were said that shouldn’t have been said, push turned to shove and eventually a punch was thrown.
Brett Stewart wasn’t involved in any of these incidents, yet he found himself suspended for four weeks and no longer the face of the rugby league.
The rugby league world woke up the next day to find that Brett Stewart had been accused of the rape of a 17-year-old girl. Straight away, Gallop pushed the panic button and went into PR mode.
This is the reason Stewart and those close to him will never forgive Gallop for the action he took. Not to mention the perceived guilt put on Stewart from the NRL CEO before any evidence was given in the courts. Stewart was eventually cleared after a lengthy legal process but the damage had well and truly been done.
Stewart was guilty of one thing, being heavily intoxicated. His teammates and many other patrons at the season launch were also guilty of this. Forget the “face of the game” issue as we would’ve been reading a lot more about Anthony Watmough’s altercation with a club sponsor if it wasn’t for the rape allegation. Gallop was more concerned with the court of popular opinion than the court of law. Rumour and innuendo instead of fact. This was a weak moment in Gallop’s leadership and unfortunately it will be one of the first things many think of when remembering the Gallop era.
However, even Gallop’s critics accept that the game is in a better place since he took over a decade ago. Each club can beat any other on their day. The salary cap is doing its job, the clubs are being administered better (not perfectly though eh Titans?), the game is on the verge of its biggest TV rights deal and there is a genuine hunger for the game that exceeds the traditional heartlands.
It was time for change, but in the great rugby league tradition, the departure of David Gallop has been a dog’s breakfast. Hopefully the Commission will handle itself better when making other changes to the way the great game of rugby league is administered in this country.
But in saying that, I wouldn’t be adverse to the Commission giving Bill Harrigan his marching orders in the same fashion. Just a suggestion.
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June 26th 2012 @ 3:07am
Dogs Of War said | June 26th 2012 @ 3:07am | Report comment
What sort of exit do you expect him to get? In any industry, if you are not seen to be part of the future, you are lead out the door immediately. Grant had to explain the decision, and I am sure if Gallop wanted support at his press conference he would have got some.
As for Gallop overall, I think he did a good job managing the game, but I don’t think he did much more than that. You have to think he failed in some areas such as TV rights, by not opening it up last time around to other bidders. Thus the reactive part of Gallop, who when faced with a situation with clubs asking for more money, negotiated exactly that (Channel 9 said they would bring forward the agreement and pay extra out to the clubs immediately), without pushing back and telling the clubs we could get more if you give me more time.
I don’t think their is ever going to be an easy way to get rid of someone who has been in a role for 10 years, it’s always going to come as a shock, and really who wants the fanfare when you have in reality just been sacked.
The real question is where the game is going next, and with Gallop’s removal, I feel that the commission has the balls to make the hard calls and enact them. Now just to find the right person to replace Gallop.
June 26th 2012 @ 12:41pm
oikee said | June 26th 2012 @ 12:41pm | Report comment
Well said, nicely worded. I would have said the same thing but it probably would not have looked the same on paper.
Gobbly goop mine would have been. You should post more.
June 26th 2012 @ 8:35am
mushi said | June 26th 2012 @ 8:35am | Report comment
It’s odd that most of the criticism of gallop was also reactionary as well.
On the Stewart thing yes he mishandled it but what is often forgotten is that the NRL had just given clubs the nod to discipline in house. Manly essentially took that as green light to clear their players without any engagement and mismanaged the process as well.
Gallop was called upon to make hard calls for much of his reign. The irony being that many of his biggest trials – the dogs, the storm, the sharks, the titans – were products of complete and utter mismanagement at the club level and yet it is those clubs which have formed a body labelling it Gallops fault for reacting to their stupidity rather than forecasting it.
In hindsight the TV was subpar just like in hindsight every major commercial deal in 2006 and 2007 destroyed value for someone. Not saying we shouldn’t evaluate with the benefit of hindsight but we should acknowledge that benefit.
He leaves with crowds up, ratings up, public disgraces seeming to be on the slide, clubs outside those comprehensively mismanaged seeming to be surviving and and the on field game seems to be thriving despite the end of the world coming when 0.5% of the players left for the AFL.
The NRL ceo role is a very difficult job, made more difficult by the fact the guy will now answer to the Muppets whose mistakes make it so difficult and a public which can barely agree on which day of the week it is.
Whomever takes the batton long term I hope they’ve got the thick skin for unwarranted criticism and that the commission gives them sufficient autonomy to operate as they see fit.
June 26th 2012 @ 9:13am
turbodewd said | June 26th 2012 @ 9:13am | Report comment
Crowds up eh? Taken from http://www.austadiums.com/sport/comp.php?sid=2
2005 17,346
2006 16,486
2007 16,580
2008 16,317
2009 17,086
2010 17,453
2011 17,234
2012 16,696
Australia adds a million people every 4-5 yrs so Id say those crowds are barely keeping up with population growth.
June 26th 2012 @ 10:34am
mushi said | June 26th 2012 @ 10:34am | Report comment
turbo care to look at say the 2001 numbers given that was the year prior to him taking control?
Care to highlight that 2005 was the outlying year or are your analytical abilities so poor you don’t even relasie you’re cherry picking?
June 26th 2012 @ 10:53am
turbodewd said | June 26th 2012 @ 10:53am | Report comment
No, I like cherry-picking :^)
Lets compare 2006 and 2007. In 2007 we had the Titans join the league and they got great crowds, they came 2nd highest in the league. Alas crowds only rose 0.6%…so if we took out the Titans home crowds the figures would have been a dash more ordinary unfortunately.
Now Im not trying to bring the NRL down here. Im an NRL fan and I can see a few simply measures can be enacted to really boost average NRL crowd figures. I think NRL is the best football code on the planet…it has so much potential! Alas I dont think Gallop drove any signicant big winning moves for the NRL.
June 26th 2012 @ 10:42am
mushi said | June 26th 2012 @ 10:42am | Report comment
Where are the 2001 numbers turbo?
didn’t like them because they didn’t fit your arguement?
June 26th 2012 @ 7:00pm
Ted Skinner said | June 26th 2012 @ 7:00pm | Report comment
Turbo
An extra team was included (The Titans) about 4 years ago. So the extra games over a season the aggregate crowd number has surpassed population growth.
June 26th 2012 @ 9:28am
Boomshanka said | June 26th 2012 @ 9:28am | Report comment
Name one proactive step or comment Gallop took to enforce the TV contract (which he negotiated), and get Rugby League on at a decent hour into non heartland states.
His silence and inaction on the warehousing of the game (which saw a total blackout of live Friday night, Sunday afternoon – even with a pay TV subscription) outside of NSW and QLD, made him equally complicit in holding back the game whilst allowing other codes a free ride.
His dismissal was justified as he was a puppet of the media interests that have controlled the game for too long. Getting Channel Nine out of Rugby League is the next task for the ARLC.
Good bye and good riddance!
June 26th 2012 @ 10:44am
mushi said | June 26th 2012 @ 10:44am | Report comment
So let me get this straight you grand plan for NRL’s future is to get media out of the game?
So essentially the only revenue will be jersey sales and gate receipts. It will be like 1932
June 26th 2012 @ 10:55am
Boomshanka said | June 26th 2012 @ 10:55am | Report comment
No that’s not what I said. My preference is for Channel Nine (for all its years of abuse and neglect of thew game) to have nothing do do with the sport in the future.
The government has us stuck in the 80′s thanks to dodgy anti siphoning legislation which sees the networks like Nine having a say in the game at all.
Media has changed forever. It’s now 2012 and we can watch live sport on our phones for goodness sake. Free to Air TV networks are self serving dinosaurs still thinking they can dictate what we watch and when. The demand is for live sport, yet these muppets (of which I’ll implicate Gallop here) still think that one live game and two delayed a week is acceptable.
Seeing as how I’ve clarified that for you, please name one comment or proactive step that Gallop has done to stop fans of the sport being shafted in Melbourne.
June 26th 2012 @ 11:16am
mushi said | June 26th 2012 @ 11:16am | Report comment
Okay so him being a media puppet and we just now need to get rid of nine. So you instead want to go back to the media of which he was apparenlty a puppet?
But anyway. As for a comment if a single comment ahd the power to stop the shafting well then you guys would have solved in long ago.
I’ve always thought there was more to the melbourne issue and if there isn’t then yes the melbourne broadcasting is a failing of gallop and the NRL at that period.
I do actually think that the cap peanalties he levelled at melbourne will end up being what delivers league into victoria. (but I don’t necessarily think that was his intention)
June 26th 2012 @ 12:46pm
oikee said | June 26th 2012 @ 12:46pm | Report comment
I know what your saying, and i think League has been treated like a mushroom. The game has got massive room for growth. I think it is time the media promoted the game. And the government.
Is that code for afl,= government.
June 26th 2012 @ 8:35am
turbodewd said | June 26th 2012 @ 8:35am | Report comment
I think his expulsion was apt. Can anyone name me one or 2 big positive things he steered the NRL toward? The Titans were admitted in 2007…but that was a fairly easy choice to bring the NRL up to 16 teams.
Crowds havent moved since 2005.
TV deals were ho hum.
He mishandled the Brett Stewart matter and owes him apology as it turns out.
Happy to be proven wrong, but what wins did he pull off?
June 26th 2012 @ 8:54am
Cman said | June 26th 2012 @ 8:54am | Report comment
1. He improved player behaviour tenfold.
2. Helped educate young players coming into the Toyota cup.
3. Made a massive growth in membership
4. Massive growth in junior development.
5. Got the clubs to become part of the community again.
6. Helped bring the Indigenous players together for the Allstars game.
7. Stopped the game from killing itself.
8. Got the New Commission up and running.
9. Made the NRL the closest competition in the world.
10. Beat the AFL back into their corner without very much money.
And that’s just off the top of my head.
I’m sure I could think of way more.
June 26th 2012 @ 10:40am
turbodewd said | June 26th 2012 @ 10:40am | Report comment
1. Im not sure he did. There has been a fair amount of dodgy behaviour in the past 10 years. I dont blame Gallop for the player behaviour though.
10. Well the AFL managed to secure a $20 million dollar grant from the ACT government to pay the GWS to play 3 games per year in Canberra over 10 years. Why didnt Gallop secure deals like this?! And the AFL has put 2 teams in our backyard…hardly stemming the tide of AFL zealots entering RL heartland.
I think Gallop was a good administrator. Underline administrator. An administrator doesnt design nor engineer nor create nor have ideas.
June 26th 2012 @ 12:52pm
oikee said | June 26th 2012 @ 12:52pm | Report comment
Yes i agree, and have said he did alot for the game behind the scenes.
The Toyota cup and women in league are huge, and the monster raffles.
The game is now ready to move forward, with pride and dignity. It was not long ago some players were ashamed to be known as league players, lets not forget this lads,.
Mind you the media did a,lot of damage also to the game, only reporting all the bad stuff. People got jack of it, even now i dont buy papers, they brought this on themselves.
June 26th 2012 @ 10:29am
mushi said | June 26th 2012 @ 10:29am | Report comment
I give your exhibit 1 of why the NRL CEO is a tough job. Ill considered analysis with cheery picked facts that can’t live up to basic scrutiny. Sad part is the CEO has neither the time nor ability to shoot down each of these ridiculous statements.
Yes crowds haven’t really grown on a per game basis since 2005. Some thoughts around that though.
Gallop started in 2002. The year before crowds were when crowds were 14043 with 17243 last year(+23%). Now in the same time population growth in the states with teams has been 14% (again our very unbiased analyst provides a view based on Australia wide numbers because Gallop was expected to get people to fly from Perth to attend a game between Parr and Penrith) that is real growth.
Should we be impressed by moderate amount of real growth. Well it depends. Do you view the NRL as a high growth game? Commercially the game is many decades old. It operates in a developed competitive landscape where the entire market for sport I would think is at best holding firm.
Are there millions of people completely unaware of the NRL that don’t follow another sport or are completely disenfranchised with their existing one? Not by the looks of these boards.
So essentially the game managed to substantially grow crowd market share in a very competitive mature environment. Anything above trends should be seen as a win.
So if gallop started in 2002 why has this person chosen 2005. Oh I see. 2005 is an outlier year, now even the most amateur of analysts wouldn’t use an outlier year as their baseline.
The only reason you use an outlier with little relevance (given Gallop actually was in charge prior to that) is if you’ve formed your opinion and realise the facts don’t support it. So now you cherry pick a few things and throw out the misdirection (twice I might add) so that people don’t realise your views are baseless.
The other thing is that total crowds are up since 2005. Yes we’ve had more games but remember the basic concepts of supply and demand and diminishing returns, you get incrementally less the more you produce. The market for consumption of live sport is finite.
Also you adjust for the titans and the numbers are marginally up, not by much mind you but I’d still be happy as a shareholder if a company could grow beyond its banner year.
June 26th 2012 @ 9:55am
Rabby said | June 26th 2012 @ 9:55am | Report comment
In business there is a well known mantra for senior executives, if you want to make a name for your self, take over a disaster. If you fail well it was a disaster anyway and if you survive you will be a miracle worker. All around you will help because you are in a bind and allowances will be made where others wouldn’t stand a chance.
This is exactly what Gallop did and Rugby league survived but that does not make him a good leader of the game. Most executives in his position would have done as well and most would have done a whole lot better. Gallop was reactionary, focused on the minutia and loved being judge, jury and executioner. He hated making real decisions, hated anything new that might take the game forward much preferring the status quo. His handling of the Melbourne affair was appauling as recognised by many NRL customers in Victoria. Sure steps had to be taken and I am not saying that heavy penalties wern’t appropriate but the way he did it was dreadful. He deserved every single one of those boos he received last year.
But he has gone, so much the better and not before time either.
June 26th 2012 @ 1:02pm
oikee said | June 26th 2012 @ 1:02pm | Report comment
Their is also a mantra for “move on every 5 years”, Gallop was in league for 10, time he moved on anyhow.
Designed to keep them on their toes and not grow stale.
June 26th 2012 @ 2:38pm
mushi said | June 26th 2012 @ 2:38pm | Report comment
Yep mantra held by those with thought capacity of a peanut that led the tech boom.
June 26th 2012 @ 10:57am
bbt said | June 26th 2012 @ 10:57am | Report comment
Gallop’s handling of NRL in Victoria was hopeless. Channel 9 show games after midnight, no promotion from head office, no concessions to Storm to grow the game and profile – unlike the AFL in Sydney and Brisbane etc etc. That is main reason the Storm salary cap issue rankles so deeply down here. He was a News Ltd man. News Ltd ran half the competition, News Ltd owned Melbourne Storm and signed the cheques. A bit of a conflict of interest there. Were Storm ever rewarded for developing Slater, Smith, Inglis and Cronk? Imagine if the Swans had developed such superstars from scratch, the AFL would let them do whatever. Gallop had no idea about growing the pie, which involves some tough decisions, and may well compromise the competition in the short term, but grow it in the longer. The Melbourne public, used to press releases from AFL headquarters about growing the game in Sydney and Brisbane, presumed that the NRL did not want Melbourne Storm to succeed.
June 26th 2012 @ 12:06pm
Rabby said | June 26th 2012 @ 12:06pm | Report comment
Well Said
June 26th 2012 @ 12:27pm
Mals said | June 26th 2012 @ 12:27pm | Report comment
Gallop who?
June 26th 2012 @ 12:56pm
adam said | June 26th 2012 @ 12:56pm | Report comment
In other breaking news, man has discovered that by rubbing two sticks together they can create fire….
Seriously didn’t Gallop get punted about a month ago?!
Lets move on people. I get so annoyed because the media harp on about off field “information” and don’t focus on the actual game itself, and it seems it happens in the “Wanna-be” media as well… sheeshh…
June 26th 2012 @ 1:14pm
oikee said | June 26th 2012 @ 1:14pm | Report comment
Yes turbo, but you also have to allow for, the game had the worst misbehaving issues the game had ever seen, and every second day the code had another story about someone behaving badly. This knocked the code for six. You cant expect to grow the game if everyone thinks it is a bad news code.
Gallop had to make changes to change the way the public veiwed the game, i think he has slowly done that, this year i think has been really successful, and i noticed some guys complaining about pink, rather than understanding what it all means.
I have followed the pink and women in league for a few years, i am very impressed.
Most of this was Gallops best acheivement, like i said, work behind the scenes. we will see the benifits of this more in 5-10 years from now.
Heritage rounds, and all-stars long with the under 20′s comp and how good this has been for the game with players being made aware of their responibilities, is all background work that Gallop got little credit for, the media still is backward in reporting this good work.
Anyhow, who we going to blame now i wonder.
And the next change should be bringing the game under 1 banner. i am sick of calling it ARL, or NRL.
Drop the NRL and call it the Australiasian rugby league. Think of the future. 20-30 years from now.
June 26th 2012 @ 1:53pm
Midfielder said | June 26th 2012 @ 1:53pm | Report comment
The measure of a CEO can be complex eg if they have a poor product or brand or in a sunset industry…
My measurement of DG is during his watch … RU received a better media deal per team and grew… AFL have stolen a big march on RL in developing as a national code … Football’s A-League and media deal grew from nothing to 17 million per year..
So RU expanded, ADL expanded. Football expanded … RL has stood still… whether or not he had control over News or not … but on the two big plays … one the media deal and second expansion of the competition … he did a poor job…
June 26th 2012 @ 2:53pm
oikee said | June 26th 2012 @ 2:53pm | Report comment
Tiny bit unfair, we have the only junior comp televised on a sports channel weekly(free of charge nearly, i think we pay them
).
You will find it was a good idea to let him go, the next tv deal might shock a few people. The game has been stuck in Dave’s 6 year time tunnel deal.
Not much we could do, but watch out, this one, the next one is a doozey they tell me.
Apparently we are being beamed straight into Hobart via norse code.
June 26th 2012 @ 6:17pm
Midfielder said | June 26th 2012 @ 6:17pm | Report comment
Oikee
The difference between a good CEO and an excellent CEO is the CEO who tells them what they don’t want to here and gets them to agree …
Brisbane still only has one RL team so do the other codes … the QLD Reds might even give the Bronco’s a run for their money as the most supported team in Brisbane ..
Under his watch other codes have expanded and received very much improved media deals… nothing can hide this fact..
June 26th 2012 @ 3:30pm
Crosscoder said | June 26th 2012 @ 3:30pm | Report comment
The methodology of his removal was perhaps brutal,but in this harsh economic world, his situation is hardly unique.Ask loyal,servants of the print media,many who have been involved for decades.Due to restructuring these guys will be gvien the royal order of the boot,without a by your leave..
Gallop was indeed the man for the times and did an extremely good job,unfortunatëly as Bob Dylan would say”The times they are a changing.”The last Tv deal was perhaps his undoing,but he had his hands tied.
The new CEO has to be aggressive,promotion capable and not try to be a friend to everyone.He and the Commission must lead the code toward a new horizon,and have the code with the foundation necessary to last 100 years.