Creating a sustainable, competitive advantage within a ‘winning’ football academy model in South Africa. Mark McIlroy 29621276 A research project submitted to the Gordon Institute of Business Science, University of Pretoria, in partial fulfilment of the requirements for the degree of Master of Business Administration. 10 November 2010 © University of Pretoria Abstract African football academies are a seriously neglected field of research but are a highly important step in the evolution of football (Scherrens, 2007). The study is motivated by the lack of research on football academy structures in particular South Africa. The primary focus of the research is on football development in South Africa, whilst it also reviews substantial literature concerning the phenomenon of elite sport development in order to explain the dynamics surrounding the football academy structure. The study identifies the relevant key components within the current football models and proposes a ‘winning’ model for South Africa. The study unpacks two theoretical frameworks, in understanding the impact of competitive advantage within a football academy. Through gaining insight into the strategic models employed within the various researched academy systems, this study outlines the important resources, competencies and capabilities within a football academy. The analysis revealed certain trends and provided the basis for the answering of the research questions. Hence the broad scope which is critical to understanding the football development phenomenon.The research aims to empower administrators and management of football clubs in South Africa with the strategic knowledge to provide a sustainable and competitive academy through player development, which can aid our national teams. The dynamic processes involved in football development enabled a winning model for a football academy in South Africa which could provide a competitive, sustainable advantage for a football academy. ii © University of Pretoria Keywords Football; development; Academy; Sustainable competitive advantage iii © University of Pretoria Declaration I declare that his research project is my own work. It is submitted in partial fulfilment of the requirements for the degree of Master of Business Administration at the Gordon Institute of Business Science, University of Pretoria. It has not been submitted before for any degree or examination in any other University. I further declare that I have obtained the necessary authorisation and consent to carry out this research. Student name:_______________________ Student signature:____________________ Date: ______________________________ iv © University of Pretoria Acknowledgments My Sincerest thanks To my Supervisor, Mr. Michael Goldman, for all his patience, support and guidance. Your incredible passion for the business of sport, knowledge, experience and valuable time in providing direction for the research. Additionally your time spent reviewing and the insightful comments for my research project have kept me motivated during the course of the year. To each person who contributed their valuable time to my research and provided me with the knowledge for my data collection. To my family and friends for the continued motivation and support throughout the duration of my studies. To my wife, for your support and love over the past two years. v © University of Pretoria Contents CHAPTER 1 ............................................................................................................................ 1 1.2 Introduction to the research problem .................................................................................................................... 1 1.4 Research scope ....................................................................................................................................................... 7 1.5 Research motivation .............................................................................................................................................. 7 1.6 Research objectives ................................................................................................................................................ 8 1.7 Research aim .......................................................................................................................................................... 9 CHAPTER 2 .......................................................................................................................... 11 2.1 Introduction to the South African soccer industry ................................................................................................ 11 2.2 The economic reality behind football development ............................................................................................ 12 2.3 Talent development ............................................................................................................................................. 13 2.4 Definition of an ‘elite’ sports system ................................................................................................................... 15 2.5 Sporting success within an academy system ........................................................................................................ 17 2.6 A youth academy.................................................................................................................................................. 18 2.7 The football academy or ‘Centre of Excellence’ .................................................................................................... 20 2.8 Successful football academies .............................................................................................................................. 21 2.9 The four categories of African football academies ................................................................................................ 22 2.9.1 Academies organised and run by the club sides or national federation ............................................................22 2.9.2 Afro-European academies ..................................................................................................................................24 2.9.3 Private or corporate-sponsored academies .......................................................................................................25 2.9.4 Non-affiliated, improvised academies ................................................................................................................26 2.10 Business strategy in sport - a systematic approach .......................................................................................... 26 2.10.1 Talent identification structures ..........................................................................................................................28 2.10.2 Athlete Development Pathways .........................................................................................................................29 vi © University of Pretoria 2.10.3 Sport science support .........................................................................................................................................30 2.10.4 Coach education system ....................................................................................................................................31 2.10.5 Access to facilities and equipment .....................................................................................................................32 2.10.6 Athlete lifestyle support .....................................................................................................................................32 2.11 Unpacking the model ....................................................................................................................................... 33 2.12 The resource-based view (RBV) of strategy ...................................................................................................... 34 2.13 Sustainable competitive advantage within an academy .................................................................................. 37 2.14 Achieving a sustainable competitive advantage .............................................................................................. 39 2.15 Conclusion ....................................................................................................................................................... 40 CHAPTER 3 .......................................................................................................................... 42 CHAPTER 4 .......................................................................................................................... 44 4.1 Introduction to the research................................................................................................................................. 44 4.2 Research methodology ......................................................................................................................................... 45 4.3 Research design.................................................................................................................................................... 46 4.4 Methodology and rationale .................................................................................................................................. 48 4.4.1 Research aid .......................................................................................................................................................49