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Wednesday, January 25, 2012

The REAL CRTC leadership criteria

The following is an excerpt from the head hunters description for their search for the new head of Canada's regulatory group - the CRTC.

"As Chief Executive Officer of the CRTC, the Chairperson establishes the corporate vision and values, defines the strategic priorities and plans and sets up the organization structure and operational systems and processes to guide the work of members and staff. This includes assigning members to panels and providing strong functional direction and expertise to members to enhance their conduct of delegated panel responsibilities and other areas of activity and to ensure executive direction of professional staff. He or she directs the development of policies, recommends their approval to the CRTC members and oversees their implementation."


I think we need a more ground level look at exactly what this position is going to demand in the coming years.

First off - REAL POWER


The new head of the CRTC is going to have the toughest challenges 'ever' in a rapidly changing media world. He/She will have to have enough power to work directly with the heads of the many 'billion dollar corporations' who have multi holdings in cities big and small across our country that impact on each other on a daily basis.

These giant media companies have radio stations, television stations, cable tv operations, satellite distributors; cell phone companies; internet companies; specialty channels; music companies; program distribution companies, and on and on and on.

In recent CRTC hearings it was quite obvious that some of the leaders of these companies feel they are indeed 'above the agenda' and to quote one very very rich gentleman who spoke at a hearing last fall "this is a total waste of my time."

The recent 'throttling' of internet speed is yet another concern that is an example of 'we're over and above' the rules and regulation in Canada.

The new leader will have to have the 'balls' to separate each and every one of these regulated business into a 'sole issue' where his/her decision is focussed directly on the one company that is dealing with the CRTC rather than the impact it could have on one or more other holdings down the line that the broadcaster holds in Canada.

Next: TECHNOLOGY SAVY


More than ever before technology is moving faster than the speed of the decision process and radio and television, specifically, is being affected by new devices, new ways of viewing/listening, and new 'options' for the consumer.

He/She will have to be fully up to speed 'personally' on all the technological developments that are happening around the world that will affect viewing and listening habits due to advances in technology. This alone requires a very hands on understanding of the cause/effect of new 'appliances' being developed as the border is now virtually gone between Canada and the United States with cyberspace delivery so much a part of our daily lives.

NEXT: COMPASSION


It's far too late to close the barn door as the horses are long gone from the pasture with our licencing process. Consolodation is here to stay and the 'chain store' style of running radio and television stations is now a coast to coast reality.

However, it must surely be realized that the game 'can' be changed by allowing new competitors on to the landscape with a 'real' opportunity to provide new and innovative programming in both radio and tv.

Over the past decade it has been nearly impossible, other than in the smaller markets, for this type of programming to evolve due to the decision making process of granting new licences.

In market after market, in the major cities in Canada, these new competitors have been licenced in 'stand alone' situations only to find that it is nearly impossible to compete on an even playing field with the billion dollar companies.

In markets where the new radio stations have been granted a licence the stations often only last about a year or two before they are a) either flipping formats 100% and giving up a 'niche' format or b) appearing before the CRTC again asking for 'another' licence with the criteria being that they need a second (or third) licence 'simply to survive.'


In television the United States has just seen the biggest quarter 'ever' of cancellations for cable/satellite service as viewers are moving to a 'mobile' platform - and when you're in the US you can now access virtually every major networks entire year of programming on demand (with few commercials or promos) via PC, laptop or tablet viewing.

Mobile is becoming a huge growth area and the new smart phones and tablets have triple the power they had a few years back with screen sizes (or apps to transfer to a big screen) that are very easy to watch.

The growth of Apple's iPad alone should be frightening to any terrestrial broadcaster - and as we've seen in the recent past when the impact is financial the only way to react is to 'cut service' (ie programming and people) to survive.


Finally, to me, the loss of the CANADIAN ASSOCIATION OF BROADCASTERS (CAB) a few years back was a sad statement meaning there is little meaningful dialogue between the broadcasters and the regulators.

The 'smaller market' guys are the ones hit the hardest - and they're the ones that need the greatest assistance to crash through the barriers to success that they have to deal with in Canada.

There hasn't been a 'major' review of CAN CON levels in years and we never did come up with a 'new and emerging music' policy so that new talent isn't being forced off the air by 40 year old badly over played Can Con. (With the deepest apologies to Trooper!)

Indeed we need 'more communication in the communications business.'

It's going to be a tough gig. This person will have to be 'extremely' in touch with where the radio and television industries are going as viewing and listening habits are being affected by the biggest paradign shift in a lifetime.

He/She will also need a Canadian Government that also understands these changes AND the CRTC must be given a set of rules and regulations that are strong; clearly understood; monitored; and practical so that the Canadian airwaves don't just simply slide away from the next generation of consumers at all levels.

To quote from today's POSTMEDIA article:

Whoever inherits the job, a successful tenure may hinge on whether the appointee can convince Ottawa to rewrite the rule book.

The Broadcast and Telecom acts — two pieces of legislation written decades ago — continue to dictate the commission's decision-making. The anachronistic framework has come to undermine the CRTC's powers, the departing chairman has warned repeatedly.

"Our present tools are very inadequate," von Finckenstein said late last year.

Since taking over in 2007, the former Federal Court judge has advocated merging legislation to reflect a consolidating marketplace that has seen the biggest broadcast entities bought up and integrated with larger telecommunications operators, such as Rogers Communications Inc. and BCE Inc.

Updated rules must also contemplate new web-based services such as Apple TV and Netflix Inc., which skirt Canadian regulation altogether."



I concur!

*****UPDATE ADDITION:******


Ian Morrison, of the advocacy group Friends of Canadian Broadcasting, said it will be a challenging year for the CRTC, with a lot riding on the one the Conservatives pick to head the commission.

Ideally, that person would know the industry but also have the independence to withstand the deep-pocketed muscle of the broadcasting conglomerates.
“They have so much resources to manipulate the commission, they outgun the commission, they can afford very expensive lawyers,” Morrison said.



But the longtime watcher of Canada’s broadcast industry has his doubts whether the Conservatives will pick a strong leader for the CRTC.

“There’s a real danger that a bad appointment or a reduction in the authority of the CRTC could cause a thing that has served Canadians well for decades to unravel,” he said.

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