Wednesday 30 December 2009

Is football about to shoot itself in the foot?

As suggested by Gareth Roberts (@robbohuyton for you twitterers) in his Well Red blog, hopefully the ‘green shoots of recovery’ are underway. We may well see these blossom into full recovery heading into the early part of 2010. Although a run of difficult fixtures against the likes of Spurs, Everton and Arsenal risk the opportunity for early 2010 prosperity. But we are starting to show that while, you may not fear us like you did last season, we are a team you really don’t want to play against. There are flashes of fluidity rather than lengthy periods but hopefully we are ‘on our way’ to building that much needed confidence.

Thursday 24 December 2009

We are, after all, in this together!

As we all know, times at Anfield are challenging and difficult at this moment. It is a time for strength of support to well up around the club. It is in these times of adversity that the 'kop faithful' has delivered time and time again.

Monday 21 December 2009

A Xmas Message (I'm about to get slated for!)

I got quite a few re-tweets which led to yesterday's post being one of my most viewed. Watch this one dive bomb, oh and watch the idiot counter at the footer go up.
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Sunday 20 December 2009

Wholesale Changes Needed at LFC

You know the core of all organisations, once a number of employees are involved, are the same. Whether you're in the business of buying and selling goods or engineering rocket parts the key challenges all share the same intrinsic qualities.

Tuesday 15 December 2009

Hello.... we've had injury problems!

So the media battering of our manager continues. It would appear that unless Rafa Benitez wins every game for the rest of the season (and every competition we remain in) there will be no respite. Even if we win our next few games, the first time we trip up will no doubt mean the onslaught is reignited in every tabloid, newsroom and sky sports review.




Monday 14 December 2009

Reflecting on the Arsenal game

I've purposefully stayed away from my blog and other sites to reflect on the game yesterday. The reason being that even die hard Rafa fans, like myself, have their moments of questioning things, especially after such a torrid run.


After some reflection though I believe the tactics employed for the first half were spot on. I expected Rafa to play Masch and Lucas, and they did exactly what was expected of them. Which was to break down Arsenal's attacks and prevent their sublime passing game. Arsenal looked shell shocked in the first half and really struggled to compete against our pure intensity. We played that well that Wenger 'lost it' like never seen before by established players. For 45 minutes we played them off the pitch.


However with two defensive midfielders you're not going to create many chances. One of our problems being that we didn't take the ones created, especially the Gerrard / Torres one (although Torres in fairness is coming back from injury - be honest, a few games under his belt and we all know the result would have been different).


After going one up and already having your best defensive options on the pitch it's natural to expect us to sit it out and play on the counter attack. Something which Gerrard and Torres were doing relatively well in the first half. Although they do not appear to have quite 'clicked into place' like last season yet.


But as if we hadn't had enough bad luck this season, it was an own goal that effectively ended the game for us. With confidence already fragile and luck always seeming to run against us (beach balls, injuries and refereeing decisions anyone?) we looked like a frightened fighter who had just taken a sucker punch. A punch that led us to quickly losing the intensity, which had seen us convincingly terrorise Arsenal for the first forty five. While Arsenal came at us with a renewed vigour, the flea in the ear from Wenger echoing no doubt. As the half went on hope really diminished as the players returning from injury faded.


The good news is that there were times when the team showed some of the promise of last season. Short periods of quick passing football with vision. But balls though were sometimes just not quite getting there or passes were being played for a run when the player wanted it to feet. The hallmarks of a side which has faced tumultuous changes and is just our of sync at the moment (but with an underlying potential).


With a run like this you ask yourself questions. I have said that Rafa is not beyond reproach and he should not be. I stand by my reasons for giving him more time though (injuries, form of key players, bad luck etc.). The reason I haven't changed my mind since yesterday is that tactically I think his decisions were right. Masch and Lucas won that first half battle for us and he tried to bring in additional creativity after the two Arsenal goals went in. We lost to the bad luck of an own goal, a superb strike from Arshavin and a team with key players just getting back from injury. The tactics were right, the team selection was right; but bad luck remains while our confidence continues to be knocked.


However, three games we should and must win coming up. If we lose any of them (without us losing half the squad through injury or illness) well I think even the most die hard Rafa fans will be starting to ask questions.


You'll Never Walk Alone

Sunday 13 December 2009

Liverpool FC - Title Contenders

This is one of those posts that when you start writing it you hope it isn't about to backfire on you. Fate, a bad omen or superstition stops posts like these all over the world? Not me, oh no, I'm going to post it and if it backfires... well I'll just delete it later ;-)


Towards the end of November I questioned whether we should be written off as 'title contenders' and that our moniker should be replaced by '4th place scrappers'. At the time United were 8 points ahead of us (the same difference existing the season before, albeit we were the ones 8 points ahead), a not insurmountable points difference I argued. But Chelsea were a further 5 points ahead of them. I had already pointed out that Chelsea had a potentially points dropping run coming up and the African Cup of Nations to contend with, but a few days later I tweeted that I expected City to definitely beat them. This was following a poor run of results by City with a team that was capable of so much more. I personally think Chelsea just caught them at a time when they had to prove they could be contenders, even if they weren't (if you get what I mean).


So a few weeks on, after concluding that we shouldn't be written off as title contenders, where are we up to? Well, if we win today (and despite us still not having 'fired on all cylinders') we move a step closer. We will have reduced the points gap to United by one point and Chelsea by three. I realise this would only be the first small step but it would be a significant step forward nevertheless.


We finally have our first team back and Rafa has selection headaches today more akin to last season rather than this. A first team I would suggest that is better than United's and as good as Chelsea's. Our squad unfortunately cannot compare to either of them, so keeping our first XI fit is imperative if we are to lead a charge to the top. But, fitness withstanding, I truly believe that a 10 point gap can be closed down against a team which has faltered of late and still has to lose their best players for a period. Lets see how they get on without their best midfielder and striker shall we? 


As for United well they have more quality than us when you get past the starting XI, so injuries don't quite effect them in the same way; especially against the lesser teams. But I believe their starting XI is currently punching above their weight. They do not seem to have the cutting edge they had with Ronaldo (who effectively won the title for them last season). Despite some good results I expect they will start to fade and possibly implode when they hit their bad patch, which they will.


We have been written off way to early, by everyone (ourselves included). There is still over half a season to go and we can still pull a rabbit out of the hat. But we must start today and come the 3rd January we will need to have picked up maximum points. This is not impossible once our first XI starts firing on all cylinders. Let's see how the land lies then shall we?


One final thought. I've got good money on Wenger arriving at Anfield today lambasting his luck in the date of this fixture. This would have been a very different post a few weeks ago!


You'll Never Walk Alone

Saturday 12 December 2009

Liverpool's Debt 'Problems'

There have been a couple of interesting articles this week in relation to Liverpool's debt 'problems'. So I figured that now should be a time to revisit this old topic. Those of you who've read my posts will know my opinions on our club's debt and its owners. For those visiting for the first time you can find them here:


Liverpool FC and the Blame Game
Liverpool FC Sinking in a sea of Debt
Liverpool FC - Blame Game Decisions Part One (Owners)


The first article is about Tom Hicks' and the ownership of his American sporting ventures. It would appear that Tom's debt woes aren't contained to these shores as he comes under increasing pressure to pay off debts across the pond as well. The potentially enforced sale of the Texas Rangers, for up to $500m, being the possible cure to his financial headaches. This follows on from the recent sale of George Gillette's NHL team, the Montreal Canadiens, presumably for similar reasons.



It is becoming abundantly clear that the worldwide credit crunch is coming back to haunt those individuals involved in leveraged takeovers or expansion. Never forgetting that the wealth of people is based on paper assets, as well as their money, an individuals wealth can vanish quite quickly. This however doesn't appear to be the case with our American owners who are both expected to realise a profit from their recent asset sales.


Back in the days of debt being a perfectly normal way of life the lenders, I believe, were as much at fault as anyone else. How else do you explain Hicks' lenders providing him the opportunity to default on interest payments for up to two years? Oh how the world has changed now, you'd be lucky to miss a single payment these days!


We really need to start thinking about the world as pre and post credit crunch. Before the credit crunch I do not believe there were any doubts that Liverpool FC would have a new stadium well on its way to completion by now. The stadium would no doubt have been completed while also adding star players. How? Well, back then, the banks would have happily continued lending to pretty much anyone with a half decent business record and some personal wealth. 


Is this the fault of the businessmen of the world? Well they have to shoulder some of the responsibility but they will, quite rightly, ask you to consider the pressures they were under. You see debt funding, while easy to attain, was one of the ways of creating or maintaining competitive advantage. As an example if you sell widgets but the widget maker up the road has a new machine meaning he can produce and thus sell his widgets cheaper, well you have to react or go out of business. While debts were freely available every 'widget maker' in the world was updating their plant and machinery to create competitive advantage. Market conditions, consumer choice, shareholders and globalisation all placed pressure on senior managers to react (or live with the consequences of non reaction), so invariably they reacted rather than died.


So then consider these normal pressures and add in fan pressure and expectation to the quite clear realisation that with some considerable investment Liverpool FC could, in the fullness of time, surpass the revenue and profit generating machine at Old Trafford. To borrow or not to borrow and get there quicker while leaving my own cash free? I know what my answer would have been.


Sport is a business like no other, where on the pitch success is inextricably linked to off the pitch rewards. You can't just let time stand still with your playing squad while you take a few years to build a new stadium. Likewise you can't invest hundreds of millions into the playing squad without the stadium (and thus revenues) to pay for them over the longer term. Add in the increased requirements for home-grown talents (requiring investment in academies) and unless you are owned by Sultan Loadsofmoney or Oligarch Abramovich you simply can't do both things at once. You have to balance the requirements. Before the credit crunch and while using borrowed money these 'balanced steps' were more like leaps forward whereas post credit crunch they are now quite small. Thus requiring a lot of extra patience.


Borrowing is something that, post credit crunch, is increasingly difficult to do. Reeling from the reverberations of the financial shock waves, financial institutions have now gone the complete opposite way of their pre credit crunch proclivities. This is not only a reaction to the mistakes but also a result of the requirements to retain better capital reserves. Banks quite simply cannot take chances like they used to. Any lending must be first and foremost prudently assessed. Let's be honest many sporting ventures were / are over leveraged and therefore always going to come under close scrutiny. I don't really care what Alex Ferguson says, the fact that he netted over £80m in the summer and spent very little speaks absolute volumes to me. We are not the only ones in this situation. Any sporting venture across the world which is considered to be over leveraged will have to 'cut their cloth'.


What is interesting, to me anyway, is that Liverpool FC probably represents the owners' most saleable asset. However they probably believe that LFC is still an untapped oil reserve that will provide an exceptional return on investment in the future. Hence why, in my opinion, no amount of demonstrating is going to do any good, but potentially harm, with calculating hard nosed businessmen. Especially as, in relation to debt, the marketplace seems to be sorting itself out through banking imposed requirements.


As the debt avenue has closed down the owners need to bring in additional investment capital into the business. Before the credit crunch they could have achieved their targets (and kept all of the returns) without diluting their shareholding. That does not seem feasible now. Which in fairness they appear to have recognised and are attempting to do something about.


So we move onto the frank account from Rafa Benitez this morning and how he has helped the owners with their need to bring down the debt levels. I actually see this as a positive. It becomes clear, for the first time, that Rafa is actually involved and up to speed with the finances of the club. Even more importantly it appears that he is playing his part, being realistic and still not writing off success. It would also appear that he signed his new 5 year contract, despite the callings of Real Madrid, in full knowledge of the situation.


Rafa has taken a very responsible and realistic position in the current situation. Something I actually find quite heartening and something that the 'anti-Rafa brigade' and every journalist should consider (as well as our injuries, delay to Aquilani, loss of form from key players etc.) the next time they decide to open their mouths with their short term views.


The possible down side is that you would expect that key players are also aware of the situation and there could be a knock on effect on morale for our star players, knowing that additional 'star players' may not be arriving any time soon. Although I can't think of any one better to manage this than Rafa.


As I have stated countless time we are on a long term ride people. This is seen throughout every level of the club. We no longer have access to quick cash through borrowing. Therefore things are going to take time. 


- The owners, I have no doubt, will move on. When they can realise a good return on their investment. This will take time.


- A new stadium will be built. But we need the global uncertainty over borrowing to subside or an investor to come in. This will take time.


- New players will be brought into the club. But we need the global uncertainty over borrowing to subside or an investor to come in. This will take time.


- We will win the Premiership and other competitions when we get an injury reduced season or new players come in to the squad. This will take time.


Anything negative that anyone wants to do, say or try and impose in the mean time (in relation to the owners or Rafa) will not get us any nearer to the club's current goals. Goals which they seem to be inexorably heading towards. They all need to be left alone and given time to get on with business.

Tuesday 8 December 2009

How I Lost 5 Stone


Is anyone truly happy with their body shape? If you are, are there other things in your life you aren't happy with? I always found it a difficult balancing act keeping the main areas of my life in sync, with a level happiness. 


When I was younger I was as thin as a stick and it didn't matter what I ate it just didn't stay on. In my teens I was 6' 2" and kind of gangly looking. But in later life, a few years back and after the birth of my second son Kai, I was settled and things were good (or so I thought). I'd just taken on a new job and I was earning good money with a company car etc. Ironically while I was at my most settled I also put more and more and more weight on. I'd already added some significant podge in the run up to Kai being born. Without even realising it I soon, slowly and surely, added more to my significant waistline.


Me when Kai was born  

This picture was taken with still about another two stone to go on. There aren't many pictures of me from those days (those which do exist have probably been burnt by the ex-wife in some sort of ritual). As you can see though the fat face is hidden. There is another picture of me in work and my face is like a cartoon characters, very round!


I said above "without realising it", you kind of just justify things. My wife (at the time) was shrinking my clothes and those pesky clothes companies kept changing their sizes. Before I knew it my wife had shrunk the clothes before she even washed them and those clothes companies were making me buy 48" waist trouser instead of my old 36" - bastards!


Reality set in after I took on another new job. The weight kept increasing and I had a meeting with one of our insurance companies in Leicester. When I got there the lift was broken and I had to haul my fat, lardy arse up three flights of stairs. When I got to my floor I literally had to stop and compose myself while my lungs screamed for more air and my head was starting to weigh up where the nearest person was should I collapse. It was time to do something!


There was a problem though. I love food. Not the posh, rich food. I'm talking proper junk food - kebabs, burgers, pizzas etc. By the way you should always know you have a problem when the takeaway delivery man recognises your voice on the phone, knows you by name and prioritises your order as 'you're a good customer'!


So I loved food and knew that I'd tried cutting down in the past and it hadn't worked, so exercise would have to be my salvation. But again there was another problem. I'd had exercise fads before and they were just that; fads which lasted about a month (if I was lucky). Hmmmm problems, problems!


I had to break this down like I would break down a business problem. Inputs, outputs and production problems to convert the inputs into better outputs. While I was doing this I was re-introduced to Tony Robbins and I used his ideas as my starting blocks. So some of the following ideas are mine while other belong to him. As a side note if there is something out of balance in your life (relationships, work, money, body) I strongly recommend you check Tony out - he's a bit of a hero of mine.


First off I shocked myself into doing something, as if the near fatal stair incident wasn't enough! This is imperative as you need to know the size of the problem and you need to shock yourself into action. Mirror - check, alone - check, naked - check, from there I made an honest assessment of myself. Then I worsened that assessment to really shock myself and by the end of it I recognised that I was a big, fat, unattractive slob. Man I was ugly and if I did't stop then, well Jerry Springer would soon be round with a helicopter and a winch. 
CHANGE NUMBER ONE COMPLETE - I recognised that I had a problem and I shocked my fat ass into doing something - I also stopped justifying things with pathetic excuses


Now I'd always used time as an excuse. Busy in work, family commitments, the car needs fixing and the telly needs watching - I deserve some me time for gods sake. Yet it was 'me time' I had been neglecting. I had allowed myself to become this size because I hadn't given myself time to do something about it. One of Tony's mantras is that you have to give yourself an hour everyday. It doesn't have to be for exercise but you need an hour for yourself. I would have that hour and I would use it for exercise. Now I'd also heard that after 6 months of exercising it becomes addictive. So I vowed that for 6 months I would exercise every day for one hour. Interestingly some of my best ideas for work came about in those hours.
CHANGE NUMBER TWO COMPLETE - I knew I deserved the time and gave it back to myself


Now it's important to note that I'd made plans like this in the past, as you do. I then waited for life to get back in the way and provide some excuses, which it did. Not this time though. That very same day I went straight to JJB and I bought a weights bench and loose weights. When I got home I immediately set them up. I'd dabbled with weight training before so I knew the score. I then went online and ordered my first batch of supplements from Maximuscle to aide my training. After which I called my Uncle who I used to play squash with and arranged a weekly game, I joined the squash leagues and I arranged to play football. Within three hours I'd taken actions which would set me up on my way for my 6 months.
CHANGE NUMBER THREE COMPLETE - I took action and I didn't procrastinate, I'd invested in 'project me' and thus committed myself to it. I started exercising that day.


The last step was the hardest for me. I knew I had to cut down the amount of junk food I ate. But with my renewed vigour and love of life I could do this. What was important for me though was not cutting everything out. I always tell people that if I want a burger or a kebab I'll have one. Listen this isn't rocket science people and forget the fads or anything else. I only ever considered the calories and the fat content and you can treat them both the same. Simplify - take a plastic bag that can hold 10 apples now put in 10 apples (what you eat) and then take out the 10 apples you burn normally in a day. Now put in 12 apples for 5 days and take out what you normally burn in a day. The bag stretches a bit like your belly would doesn't it? So I knew that if I put 12, 13 or 14 apples in my bag then I had to burn the other apples off. On a normal day I would shrink my bag of 'considerable appleage' by burning off more apples. This was the way I looked at it. So I ate what I wanted, but with the proviso that every day I'd burn off more than I ate... EVERY DAY! So it was a mixture for me. I started eating better but I still treated myself when I wanted to.
CHANGE NUMBER FOUR COMPLETE: I simplified, I didn't look at fads and I changed my apple inputs and outputs


Other things helped me along the way as well. I'd always had the desire when I was younger to get bigger (muscle wise) and this was an opportunity. I also thought about how people saw me and how I wanted them to see me. Listen I'm no oil painting but at the time I was round and I didn't want to be seen as round. My first stone came off in a week, my first two stone within a month. Then people started to notice and that drives you on. While I did my weights I listened to Tony Robbins' CD's, they are perfect for training to. Listening to someone so positive giving you guidance is amazing, well it was for me. Others may just prefer to listen to dance music!


Initially I also took the diet thing a bit more seriously and I set out some simple rules for myself. I took a box of cereal to work and I had cereal 2 - 4 times a day with a meal in the evening. I no longer had lunch and dinner as two big meals. If I had a business lunch then I would have a sandwich or cereal for dinner. But these again were simple rules I created from my simply 'apples' theory. I never looked at fad diets and have never felt the need to.


After the first couple of stone though your body tends to adjust and the weight loss starts to slow down. There is also something inside you going 'you've done it... well done, now go get a kebab'. For me I had set out a 6 month plan, I wanted to be addicted. I stuck to my guns and can honestly say that after 6 months I was! Although not in the sense you may think. I would say a normal addiction is the desire for the rush of the experience, whatever that may be. Exercise addiction is different in my opinion. You don't really crave the rush of exercise you just sit there feeling guilty, and if you've shocked yourself right, worrying that the 'bellys gonna get you'! This is usually enough to get me back in the gym. These first 6 months were the most important of my longer term life.


There are pitfalls though and you often need to just re-adjust:


Reaching the plateau


Whether your dealing with weight loss through diet, exercise or both you generally reach a point where your body adjusts itself. At these times I have always found that I had to shock my system again.I've usually done this by changing my diet for a couple of weeks or usually by changing my workout routines.Interestingly sometimes the shock is actually a rest. I usually take an entire week off every three months to give my body chance to recuperate.


Real life sometimes gets in the way


Last year in November my Nan passed away. She was an important part of my life. Needless to say my alcohol and junk food intake increased and my training decreased. I found it quite hard to get back into a routine. Then it was Xmas and New Year (more alcohol with no exercise). Then I think general apathy set back in. Losing the routine and dealing with the bereavement meant my addiction guilt wasn't really working. It actually took someone commenting on a picture that I'd 'porked a bit' to get me back into action. Don't get me wrong I'd creeped to about 18.5 stone and nowhere near where I started. So I took the picture and I put it on an A4 piece of paper. On it I wrote "No junk food, train every day. Stop being a fat bastard". I posted them all over the house and got my ass back in gear. I shocked myself back into it again, I put Tony on the iPod and trained even harder. Interestingly I was immediately addicted again.


The time is sometimes hard to find


I make it sound so easy don't I when I say 'find an hour every day'? It isn't always easy and you have to work hard at it. Again I found some cheats for myself. Sometimes I worked late or I had other commitments so I really didn't have the time to train in the evening. I employed a substitution method. Every time I lost an evening, the next morning I got up at 5am to get the day before's session in. I am lucky to be able to work flexible hours so I'd utilise lunch breaks as well where required. I said find an hour I didn't specify when you had to find it.


When it comes to training I utilise a blend of strength and cardio work. Weight training, as well as getting me bigger, has delivered other benefits. The pure mechanics of what you put your body through means that it continues using energy and burning calories (in the recovery stage) after the actual exercise has taken place. I play squash, which is one of the highest calorie burning sports and I play football. I prefer competitive exercise as it keeps the mind active. Football remains the only sport though where I truly switch off. When my Nan was battling with cancer it was the only hour and half a week where I forgot. It all comes crashing back as I'm walking off the pitch though, but for that time I felt free and still do. We also have a running machine in the house so I aim for 2/3 cardio days and 3/4 strength days with a rest day each week.
Me last year before Nan passed away

If you can afford it and have the space I recommend having your own exercise equipment at home, in its own room. Remove the barriers of having to go to the gym and have that constant reminder.

I have eventually got to a stage where I have a settled routine now. Next year, to get where I want to though, I have a decision to make. It will require a lifestyle change in diet and exercise. I'm not sure if I want to go that far. Maybe I'll be posting again at the end of next year though with phase 2!



So now I'm 5 stone lighter and in 38" jeans (I can squeeze into 36" but I'd be kidding myself to say they're comfy). I want to lose another stone and a half but it's hard while trying to get bigger as well. The picture was taken before my Nan passed away and I'm pretty much back to this but bigger. The thing I like about this picture, apart from my hidden face (still shy) is that it is not after a workout. I always look bigger after a workout.


So in summary its not hard but it does take commitment. After 6 months though if you do this through exercise you will be addicted to it (in a funny way), if not before 6 months. You'll probably slip just like I did but it's important to pick yourself up and start again. It should be very rare that you slip back to the start, as you should have caught it before then. I won't buy bigger clothes for myself as this is a sign, much like being told that I'm 'porking a bit'.


Hopefully if you've read this you've found some interesting tips. Doing what I do won't suit everyone but the building blocks are the same.


1. Recognise the problem and stop making excuses
2. Shock yourself and tell yourself how fat you are, go OTT to get the message through
3. Give yourself the time - you'll be amazed what you accomplish and what ideas you come up with
4. Don't procrastinate - do it now, if it's night - order the stuff on line! You must commit.
5. Simplify your diet and work out what's right for you - stay away from fads!
6. When you slip make sure you realise it (don't buy the next size up) and start again
7. Continually shock your system by using varying workouts or diet


Most importantly set yourself objectives and not rules to live by. I'm going to train 7 times a week is achievable while your being flexible with yourself. I'm going to train at 8am every morning no matter what happens isn't always going to work.


Set your targets and then stick to them. I hope I haven't patronised in this blog entry as that was not my intention.


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Tony Robbins can be followed on Twitter @tonyrobbins the guy has 1.6 million followers and is amazing!



Monday 7 December 2009

Dear Liverpool FC Owners - Show Your Commitment... NOW!

In my last LFC post about the business end of things. I suggested that one of our owners' possible failings had been a lack of financial commitment. This was mainly in relation to the way they had funded the purchase of Liverpool Football Club. Which was initially debt free, with debts then loaded on post purchase. Within the same posting I concluded that this was part of a longer term plan which could provide success to the club.


Now I am all for the trek to the end of the long term rainbow being a golden sky at the end of the storm but anyone in their right mind can see that there is a short term, urgent need to increase our attacking options. From a footballing perspective, as I said yesterday, the addition of Aquilani should bring back the defence/attack balance to the team. Had Alonso not left, and despite how well his current 'stand in' has performed, Lucas would not have had a look in so far this season. Alonso and Mascherano would be playing in the centre - the defensive bulldog coupled with the creative visionary. Alonso's replacement has been delayed, but is on the way - hopefully this week. Unfortunately for us the problems of this delay have been compounded by the concurrent loss of Gerrard and Torres (to name only a couple on the physio's table), which were unforeseen.


It is a very similar story to last season and we simply do not have the squad to deal with losing, in effect, three key players (Torres, Gerrard and Alonso/Aquilani); especially when you consider the quality they bring. We urgently need another attacking / creative option, another visionary who can see what other 'good' players can't. To my mind we need someone who can play either in Torres' role or just behind him. Some say there would be a reluctance for someone to come and warm the bench, but it's a long season. Also as a stand in for Gerrard or Torres how many games would they have started this season so far? We can't take the chance of failure for CL football on either David N'Gog (who has played well for his years) or no more injuries for the rest of the season to key players.


If I can see it and others can see it then Rafa can certainly see it. He knows how to fix the problem but he can't because it comes down to money, plain and simple. That suggested lack of commitment is to be tested this January. I very much doubt that Gillette and Hicks will ever win over the hardcore protesters. But they can and must appease us neutrals. Rafa must be given funds in January to bolster our attacking options. 


I know all about the credit crunch and I can see the long term plan; I know the limitations of operating a business post credit crunch. But right now there is a desperate short term requirment and you must find the funds to allow our manager to keep us competitive for the rest of the season. To rise from the ashes of the first half of the season as the team in the second half that no one wants to play.


I have seen the fans, well the majority of them, rally behind the club. They are there together with the senior management team of LFC. I've even seen Arsene Wenger (a possible closet reds fan?) getting behind our manager. So from a neutral who believes he has taken a pragmatic view to date it's time to show your commitment and to find the funds whether that's from an investor or your own money. In simple terms, it's time to put up or sell up!

Sunday 6 December 2009

Response to Rafa Critics

I just posted the following to a site some of you may not visit any more and thought some of you may like to agree or disagree with my logic?


Our squad has looked terribly thin at times this season. However, we have also had one of the worst run of injuries for a long time. In fairness to Rafa he can only work with what he has. He could have gone the Houllier way of doing things by buying what were predominantly average players at the £5 to £14m range. You then end up with a more equalised squad so injuries aren't felt as badly.


However, this didn't work for Houllier (or Roy Evans for that matter), we were always the 'nearly men'. With a limited budget Rafa has tried to bring in players who can make a difference over a season and any of them over say £12m (Torres, Masch, Johnson) have had that affect. We came very close last season but the loss of Alonso together with injuries and the delayed full debut of Aquilani have all had a detrimental affect so far this season. But the ingredients and long term strategy is right in my opinion.


I think Aquilani is a key figure and will re-balance the attack/defence. It isn't working with Masch and Lucas, from an offensive perspective, but they are the best fit pairing at the moment in my opinion, especially given our defensive lapses!


Realistically we don't have the budgets of the top 2 (or some other teams), or the youth development set up of Arsenal. Rafa has recently taken over matters with youth development and some patience is required in this regard. He is having to stage bringing in the star players who can make a difference. Look at what the hacks at the papers say. A few seasons ago we were a one man team (Gerrard), then we were a two man team (Gerrard, Torres) - hopefully towards the end of this season or next we'll be a three man team (Gerrard, Torres and Aquilani). But circumstances dictate this slow progress, not Rafa. Unless of course you want a team filled with average players again?


People continue to take a short term view at a time when a longer one is required. Time for additional quality players to be 'staged in' and the youth development to be overhauled is needed. There is a reason why Rafa was signed for 5 years.


In relation to Aquilani I think Rafa is being ultra cautious with him. In fairness I dread to think what stories will be written if he is crocked in his first full debut. None of us know the full state of his fitness and we need to bide our time for someone who could be an imperative player in the future.


The man eats, sleeps and drinks football. I'm sure he is fully aware of what needs to be done, starting with another striker to 'fill in' when required, once resource is available.

Saturday 5 December 2009

What H&G Have Done Wrong

First, a suggestion if you haven't read blame game part one, I suggest you do so first.


So in the words of Leo Gehts *shrugs shoulders hands up* "ok, ok, ok, ok, ok!".


I have stated time and time again that I am H&G neutral. Despite this I continue to be accused of being pro H&G and 'sticking up for them'. This is not true! However, on reading my posts (and being honest with myself) I can see why this opinion may have been formed by some. 


I was also told that I don't offer a balanced opinion, just my own. Again, hands up, I used the wrong terminology. I try to offer a balanced argument. For example some people say that a calculator is no good as a dictionary, while I like to say its no good for looking up words but really good for working out sums.


By the same token this post should not be seen as me changing my opinion of our owners, it remains neutral. But I've sat down with one target in mind - to look at what H&G have done wrong and what has gone wrong since their takeover. After all there is a reason why I'm not pro H&G isn't there? So I'll try and explain in more detail why I'm not pro H&G.  I will though try and continue to balance my arguments, as that's my way and I believe the most effective way of reaching agreement.


Let's get the boring regurgitated stuff out of the way first. They decided to make a mockery of the entire club with their very public spat and approach to Klinsmann. This was quite a culture shock for most Liverpool fans as Moores and Parry, while not being the greatest commercially in my opinion, had conducted themselves 'behind closed doors'. Despite the current public face of H&G appearing to be one of unity no one really knows if they are at peace with each other or how long that peace may last. Internal politics are prevalent within most organisations across the world, some are minor skirmishes while others turn out to be full blown hostile takeovers. The full blown ones very rarely lead to long term peace or stability while all parties remain (and I speak from first hand experience - but that's another story).


Now one of the problems is the media (as usual) who very quickly targeted into the H&G skirmish and have possibly, as they do with other things, blown it out of proportion. So we don't really know exactly how major their fall out was or how genuine their current public unity is. Although the interview of Tom Hicks would indicate it was pretty major! This should be of genuine concern to all stakeholders as I doubt longer term stability can be guaranteed if there are still problems in their working relationship.


The Klinsmann situation baffles me to some degree. However, none of us really know how much political noise Rafa was making at the time. We do know that he had very clear ideas about how to take the club forward (from a footballing perspective) which included overhauling the entire footballing structure from grass roots scouting up to the first team. A process which is now under way. Again, these kind of politics are seen all the time in businesses and it would appear that Rafa is happy with how things have turned out. I believe he is still committed to the cause and I've not heard him complaining about a lack of transfer funds. He knows he still has a lot of 'fan power' and as such I believe if he wasn't happy we would know about it. It's not like he has ever been shy is it?


The owners though have to hold up their hands and admit to these mistakes. As I said earlier these kind of things happen in organisations all over the world. They are very rarely played out in the media though and there is really no need for it to happen, if managed correctly.


So what else have they done wrong? Well there is no getting away from the fact that we are in more debt than we have ever been. I have always looked at this from a business perspective and as such have accepted the leveraged assets as a way of getting things done. Especially given the comparison against the other top 4 clubs (as I posted here 'LFC - Sinking in a sea of debt?'). 


I guess though that (at its peak) debts of up to c. £350m are scary to most people. We are talking huge amounts of money owed to banking institutions. I have never accepted the fact that they lied about 'never putting debts onto the club' as I posted in the blame game part one. However, the possibility that they have been disingenuous exists. I find it hard to believe that they never planned to borrow to move the club forward. Indeed they have a track record of borrowing against a company's assets to drive growth. I guess the real question is, had they been up front from the start would there be peace, or would the disgruntlement have just started sooner?


I truly believe there was every intention to build a new stadium as it was integral to driving revenues. The timing of the credit crunch and how it affected our banks fits too neatly for us to dismiss the credit crunch as the real reason why our stadium is on hold. They were foolish though to offer any time scale on starting the stadium when they did (especially one so short). They surely already had in mind that the initial plans would not be acceptable to their longer term plans. So why not just come out, there and then, and say so.


The real problem of their own making, as happened on the pitch last season, was our expectations were raised to an all time high. We went from being a club living within its means to all of a sudden not being owned by one wealthy man but two. While one of them was wealthy by 'normal' standards the other, well he was a billionaire and had appeared in Forbes' top 100 rich list. This was it wasn't it? Superstar players, a new stadium and success, back to the good old days. Then the players started coming in and our expectations go even higher and this is it.... here we go... players, loans, stadium, credit crunch... screech... crash!


At the time of the takeover I'm pretty sure not many fans had done any research on our new owners. They've done plenty now and the way they make their millions becomes clear. They leverage a businesses assets to drive growth quickly. This had become increasingly common business practice across the world during the borrowing frenzy seen over the last decade. The Glazer deal was probably the first high profile sporting takeover utilising this method of borrowing within the UK. However, their borrowing was to simply buy the club without the need to immediately drive revenue increases.


Interestingly while the protesters in Manchester have been quiet recently there do appear to be rumblings again. The discontent 'up the road' may soon return to the fore and the chants of too much debt, interest payments, no star player purchases and those damn Americans will return. For two so vehemently rival clubs the similarities between us and them is astonishing!


In business you start up and you achieve growth. That growth drives revenues which in turn increases profits. You can then take those profits out of the business or reinvest to provide more growth, revenues and thus profits. Business owners who reinvest quite often have an exit strategy, for on completion of driving the value within the business. Once they have increased the value of the business and the brand they can then 'cash in'.


The recent 'lending frenzy' allowed an easier way to get to the 'cashing in' stage. Instead of using profits to drive growth you in essence borrow future profits allowing for accelerated growth which in turn drives revenue increases quicker. There is a certain amount of logic in doing this. You don't tie up personal cash, which instead you use as tacit security for the banks. That is to say the banks feel secure in lending money to H&G because they know of their wealth. By not requiring the use of your own funds you can spread your risks and grow several businesses at once. 


But there is a downfall to operating this way, which we have seen. There appears to be a lack of commitment to the business from the owners. In simple terms they appear to have nothing to lose. If Liverpool Football Club fails it won't affect their bank balances. This creates the suspicion we are seeing from some fans. Especially when you consider where our expectations were. Fans want to see that debt, if we have to have it, mean something by way of new players and stadia.


There is nothing wrong with a football club having debts to drive growth. Indeed when our debts are less than half of our direct competitors (comparing apples with apples) it could be said we are in a healthy position financially speaking. A few people have come on and said they don't care about comparing us this way, despite there being a quite logical reason for doing so. 


There is a very simplified argument doing the rounds about our debts, but the debts are a realistic component of growth for any business. The problem is the commitment, or lack of it, and not the debts. If H&G had match funded our debts from their personal wealth, instead of using it as 'tacit security' I doubt there would be a problem. They would have shown their commitment and we would have a stadium underway or half the debts. But in my opinion it is the lack of commitment and not the debts which is the underlying problem.


The other problem with the whole situation, as I have said in the past, is the real lack of communication from the club. Now in fairness to H&G, we can't tell them to wind their necks in one moment (when they're plastered all over the papers) and then tell us everything that's going on the next. However, throughout this whole situation there appears to be a lack of information about the future direction of the club. What is the strategy? 


I know that Spirit of Shankly have met with the senior management of the club but not all of us are members. I found some useful information from the meeting minutes, so why not publish them on the LFC website? This by the way isn't a dig at SOS, who I have stated on several occasions I have respect for, but they don't necessarily represent the views of the entire LFC fan base. The club should be communicating with all of us through the medium which is already in place.


So in summary they have:


Played political games within the organisation
Been unrealistic about some of their plans
Inappropriately treated some staff (Rafa - Klinsmann fiasco)
Possibly been disingenuous - in that they will have presumably known their plans at the outset
Shown a lack of commitment by using debt instead of personal finance
Haven't communicated effectively


My opinion - (it's not right or wrong, it's an opinion)


These are all symptoms of the problem rather than actually being the problem. The problem is Liverpool FC has become a fully fledged business. A business which uses modern business practices and takes risks in order to increase the return on investment. Think back to the origins of football clubs. They were generally community driven and the football clubs were an integral part of their local community. How times have changed! The 6 problems I have noted above are all part of business. Within businesses most or all of them, depending on the business, are encountered on a regular basis.


There has been a change in modern time football in that football clubs turnover and make serious amounts of money. This pushes football clubs into the business arena and with each push there is a pull effect from the football club's community origins. While I would imagine Spirit of Shankly has members from all around the world, I suspect the core of its membership is from the local areas. These are the people who are most affected by this pull effect and they are quite rightly upset, confused and in need of answers; which are not forthcoming.


Hicks and Gillette are fully fledged hard nosed businessmen. They have made hundreds of millions by being this way. They no doubt have a very clear plan and exit strategy. Due to years of control under a management team, which didn't take advantage of the vast commercial possibilities, they saw the clear opportunity Liverpool FC represented. The most successful team in British football and all of this unrealised commercial potential. Unrealised potential means hundreds of millions of pounds in this case. Do they have an emotive tie to the club? I doubt it. They are businessmen who saw an opportunity and are taking it. The good thing out of all this is that the true value can only be realised by achieving on and off the pitch success. So H&G must invest in both.


For all of those fans though who have an emotive tie to the club, who do care about the club from more than a financial perspective, it's hard to see it being pulled away from its community roots. It's even harder to see the risks being taken to get to the exit strategy of H&G, for great financial reward, without the financial commitment. I say 'without the financial commitment', none of us actually know whether personal guarantees have been given on the loans for Kop Holdings.


So why am I neutral? 


Well as a business (and I admit I do tend to look at things from this perspective) they are running it very, very well. The business is not, as far as we can see, in any danger of collapse and is not reliant on H&G for the long term (which is an important point to me). Yes it has debts but there is supposedly only actually £105m against the club itself. Which for the progress we have made is actually a good deal for LFC. This level of debt would be attractive to a new buyer should Kop Holdings collapse. Also consider what £105m is in relation to the assets it's secured against, especially the playing squad.


The debts when H&G came in were c.£45m so what does £60m buy? New players of a quality which are a step up from Moores/Parry signings, investment in the academy and youth set up, increased wages for star players, remaining 50% share in LFC.tv and the 'soft costs' for the new stadium. I won't go through the Kop Holdings debts again here (refer to blame game part one). We have also significantly improved commercially and the push towards the exit strategy is well and truly under way.


We can't force a change of ownership and if we could I don't know who else we would want to come in. Another businessman would be, well... another businessman. A sugar daddy would take risks and leave us dependant on him in the long term, a la Abramovich. 


I'm not convinced fan ownership is the way to go as it would put too much pressure on results (we've already seen the knee jerkers at work this season). Yet at the same time this is the clearest way to push the club back to its community roots. However, I believe that business expertise and backing is required to make us truly competitive in the global environment.


Do I have a suggestion? 


Well kind of. For the best benefit of the club as a whole I would like to see a mixture of community and business working together. I'd like to see some of the club owned by businesses and some by fans. I don't particularly think the club is served very well by being owned privately by one or two individuals as any businessman is going to be trying to make their millions at 'exit time'. Millions which could be ploughed into the club. 


There will be even greater resentment of H&G when they do leave with their bags of cash, but this is private enterprise and that's what makes the world turn money wise. It's just impinging on more emotive enterprises these days. Let's be honest you don't care who owns Tesco or even your local grocery store or how many billions any of them make. But you have an emotive tie to your football club and we can't just go to Asda if we don't like it can we!


The best answer to me is through an already existing method. Float the business on the stock exchange and have this joint collaboration between fans and business. The owners can still keep a good, but not controlling, majority and the rest of the business can be owned through faceless organisations and the fans. But I doubt it will happen. The owners quite clearly have a plan and I doubt much will get in the way of that plan, and they do own the club after all.


Final thought


One final thought and yes for this bit, for humanity, I will stick up for them. H&G are human, they are not evil dictators and they do not deserve some of the things which are apparently happening to them (hate mail, abuse etc.). 


They are businessmen and what they are doing is what business people do day in and day out. They make millions and billions of pounds for themselves. They have a certain skill set to do this that not everyone has. At the same time they employ people, they give to charity, they pay taxes, they fund local community projects and they fund the local community through rates etc. 


This is today's society and the way in which it works. We have every right to be worried or angry but for every hate letter or email and for every hurled insult you weaken your position. Some people think this is the only way to get through to them. It is the wrongest and most in-appropriate way to get through to them. 


If I was them and had no emotive tie to the club I know what I'd be thinking from a business perspective. I'd be thinking 'screw you, I'm going to stay here in America and I'm going to squeeze every last penny out of this club and I don't care what state I leave it in. You want to see greedy capitalist behaviour well here it comes.' 


If you want them out of Anfield you should tread carefully and you should think and re-think your plans until you are certain you are heading along the right path. Strategically and politically every step must be fully considered and all implications weighed up. We all have limits and as businessmen you are more likely to push H&G past theirs, rather than get them to tuck their tails between their legs and disappear. Until they've made a return on their investment of course.