Monday, March 20, 2006

The Cost of March Madness

I think many of us saw the stats recently attributed to Challenger, Gray & Christmas on the cost of the lost productivity due to NCAA men's basketball tournament. Was a pretty impressive number, and makes one wonder how much more we "lose" when it comes to super bowl pools, fantasy football, baseball, NASCAR, and we hear there is even fantasy golf! It's a wonder anything gets done at all.

Anyway, in case you missed it, here is how Challenger et al got to their numbers:

- 58,548,000 = the number of Americans who are estimated to be fans of college basketball (41 percent of a workforce of 142.8 million).

- 13.5 minutes = the average amount of time U.S. workers are expected to spend on NCAA-related websites over the 16 business day tournament season.

- $4.05 = the average amount earned every 13.5 minutes by American workers

- $237,119,400 = the cost to employers nationwide in lost, unproductive wages for each 13.5 minutes of time wasted on the Internet.

- $3,793,910,400 or more = the total amount March Madness could cost employers over 16 business days of tournament.

Just for the fun of it, ExecuNet decided to take John C's formula, add a bit of data of our own, specifically compensation data of our membership based on our survey figures, along with occupational data from our friends at the Dept. of Labor. We came up with a number that says executives are responsible for $315,000,000 all by themselves.

If you have nothing else to do at half time, here's how we totaled it up:

- 943,000 = the number of executives who are estimated to be fans of college basketball (41 percent of the 2.3 million executive jobs in U.S., according to DoL).

- $20.88 = the average amount executives earn every 13.5 minutes (ExecuNet found that top executives, on average, earn $92.79 per hour).

- $19,689,847 = the cost to employers nationwide in lost, unproductive wages for each 13.5 minutes of time an executive wastes on the Internet.

- $315,037,440 or more = the total amount executive fans of March Madness could cost employers over 16 business days of tournament.

Not being a "numbers" guy, I didn't want to ask our team to go back and recalculate everything based on the fact that I stopped watching once two of my final four got knocked out by Sunday!

2 comments:

reinkefj said...

I would like to see an estimate of time lost to: (1) Leadership boners (i.e., boss overrides the good reasons of the troops to select a real corker idea); (2) Status reports that only go one way (e.g., when I was a baby team lead, my district maager akin to God would send everyone of the 400+ people in his org his weekly status report and we could see our contributions added in); and (3) Leadership's inability to make a decision, not lose paperwork, and respond in a timely fashion. IMHO, it make the NCAA "losses" look like chump change!

Dave Opton said...

I can't argue that one. About all I can say is something I recall my mother saying every once in the while: "Time wounds all heels."