Applying North-American approaches in sports league governance: the case of the Continental Hockey League

The introduction of the article provides a brief overview of how professional hockey competitions in Russia evolved from the Soviet model to the one now employed by the Continental Hockey League (CHL). Since the CHL used the North-American model as the corner stone of its governance system, it was vital to highlight the main management attributes of US- and Canada-based professional sports leagues. A particular focus is drawn to labor regulation procedures as well as human resource management. The result uncertainty that consequently benefits the competitive balance of the North-American sports leagues is the key component that drives their commercial success. The authors also analyzed the competitive structure of North-American sports leagues that use the "closed" tournament system (with the same participating teams). This approach was also employed by the CHL, however, due to financial difficulties some teams were forced to withdraw from the league. Unlike the common European model, where a division system is used with team promotions and relegations, the North-American model uses a farm system. Each team has one or several farm-clubs to whom they may delegate players that are not yet up to team standards or need additional playing time to regain their form. The CHL also has a farm league - the Higher Hockey League. The player contract system is thoroughly analyzed. The North-American draft system has also been attempted by the CHL, but to this date the effectiveness of this mechanism in Russia remains highly debatable. Subsequently, the implementation of mechanisms such as rookie contracts and salary caps is also discussed in the paper. The article considers the primary role of player unions in North American sports and the current status of the CHL player union. The CHL has yet to have experienced the full power of its player union, however the NHL has already been subject to lockouts and other displays of player discontent that have pressured the league to introduce new collective bargaining agreements. These practices have had a significant effect on the competitive balance of the NHL, though the positive impact from player union intervention is proven to be short-lived. In summary, the authors draw a conclusion that North-American sports management practices should be further incorporated in the Russian sports governance system. The CHL still has issues with adapting the NHL model, mainly due to the commercial diversity of consumer markets in which the teams play as well as the lack of salary constraints (i.e. the rule that allows the CHL Board of Directors to exclude any player from the salary cap due to his possible "tremendous" contribution). The experience of the CHL can be surely regarded as a positive trend for Russian professional sports leagues, which will only facilitate future success.

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