Benchmarking Analysis on Sport Organizations

Benchmarking Analysis on Sport Organizations

Benchmarking Analysis on Sport Organizations KPMG Sport Advisory KPMG Advisory Ltd

Benchmarking Analysis on Sport Organizations
  • © [year] [legal member firm name], a [jurisdiction] [legal structure] and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (‘KPMG International’), a Swiss entity. All rights reserved. 1 Canada Introduction and scope of the study Main attributes of Canadian sport
  • Canada is the second largest country in the world in terms of area (9,984,670 km2). It has a developed economy, according to the International Monetary Fund; in 2012 Canada was the eight wealthiest country in terms of nominal GDP per capita.
  • The population is generally very interested in sports, but this shows mostly in high viewership of sporting broadcasts. There are many national television and radio stations devoted entirely to sports. However, there is much room for improvement in the participation rate of the general public in sports, which has shown a decreasing trend across all age groups, according to government sources.
  • The most popular sport of Canada is ice hockey. Lacrosse is also widely practiced during the summer season. A federal law in 1994 identified hockey and lacrosse as „national sports of Canada”.
  • Canadian sport has strong ties with the United States. The largest professional leagues, the National Hockey League (NHL), National Basketball Association (NBA), Major League Baseball (MLB) and Major League Soccer (MLS) are predominantly based in the US, only a few franchises (teams) are from Canada.
  • Canada has hosted the Olympics on three occasions so far, once the Summer (Montreal, 1976) and twice the Winter Games (Calgary, 1988 and Vancouver, 2010). However, the country failed to win a gold medal in the first two Olympics it organized. This disappointment boosted the efforts to ensure success in 2010 and was a catalyst for structural changes in the sport system. The scope of the study Our assessment of sports in Canada covers the following topics:
  • Governance structure and main institutions
  • The effect of major event hosting
  • Funding structure
  • Elite sport performance
  • Community sport Population of Canada 35,158,300 People active in sport1 11,950,000 Monthly sport participation rate2 34.0% Weekly sport participation rate3 25.8% National sport federations 61 Highlights of the Canadian sport scene Source: KPMG Analysis Note: (1) % taking part at least once a month (2) Canadian Fitness and Lifestyle Research Institute – Sport Monitor 2011-12 (3) Canadian Heritage – Sport Participation 2010 - Research Paper
Benchmarking Analysis on Sport Organizations
© [year] [legal member firm name], a [jurisdiction] [legal structure] and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (‘KPMG International’), a Swiss entity. All rights reserved. 2 Canada Governance structure and main institutions (1/7) The political governance structure of Canada is divided into three distinct levels:
  • Federal
  • Provincial/Territorial
  • Municipal Organizations at all levels have some role in Canadian sport, but that of the federal government is the most extensive and significant. Sport related tasks and responsibilities of the provincial/territorial and municipal governments are discussed in detail in the following section.

Source: KPMG Analysis Summary of the governance structure of Canadian sport at the federal level Federal government Department of Canadian Heritage Canadian Olympic Committee National sport federations Sport clubs Sport Canada Own the Podium IOC Canadian Sport Institutes Provincial/territorial government Municipal government Details on pages 4 and 5.

Benchmarking Analysis on Sport Organizations
  • © [year] [legal member firm name], a [jurisdiction] [legal structure] and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (‘KPMG International’), a Swiss entity. All rights reserved. 3 Canada Governance structure and main institutions (2/7) The structure of Canadian federalism
  • Canada is a federal parliamentary democracy consisting of ten provinces and three territories (Northwest Territories, Yukon and Nunavut). The federal government is at the top of the structure.
  • The main difference between territories and provinces is that the formers derive their powers from the federal government, whereas provinces receive authority directly from the Constitution Act, thus they have more power in their own areas. Municipalities (cities and towns) also have their own governing bodies.
  • Provinces have jurisdiction over many issues, including education, welfare. They receive transfers from the federal government and are allowed to levy their own taxes. The role of the federal government
  • A key turning point in the history of sport policy in Canada came in 1961, when the ‘Fitness and Amateur Sport Act’ was passed. Through this policy the federal government officially committed itself to encourage, promote and develop sport. This Act was the main guideline for Canadian sport until the first Canadian Sport Policy in 2002 and the Physical Activity and Sport Act in 2003.
  • The following decades saw a series of legislation and policies, bringing Canadian sport more and more under state influence through funding channels and control mechanisms. The two main parts of the federal policy were Sport Canada (developing highperformance, elite sports) and Recreation Canada (focusing on the public’s participation in all kinds of physical activities)
  • After many changes, the system reached its current form in the early 1990s. The Sport Canada organization became part of the newly founded Department of Canadian Heritage in 1993, which is responsible for various fields (e.g. culture, media, sports). The federal government supports the national sport federations and Olympic sports entirely through Sport Canada. The Department of Health (established in 1996) assumed the tasks of the now defunct Recreation Canada; their role is to encourage Canadians to lead a healthy life, which includes regular physical activity. However, sport is not a primary concern for them, just part of an active lifestyle., The Physical Activity and Sport Act (2003)
  • The federal government’s involvement in sport is defined by the Physical Activity and Sport Act (PASA).
  • The PASA identifies two main pillars covering the government’s objectives regarding sport. The first one is about „encouraging more people to take part in physical activity”, while the other „promotes excellence in high-performance sport”. Through this approach they target all Canadians (casual sport participants) and elite athletes as well.
  • It should be noted, that the realization of the two pillars of the PASA is not the sole responsibility of the federal government, as several organizations work in this field. The PASA is only the backdrop for the more detailed policies, for example the Canadian Sport Policy 2012-2022, which is a general guide for stakeholders in Canadian sport (more details on page 4) Participation Increase physical activity participation by integrating sport into the daily life of Canadians Excellence Promote and support highperformance sports and build capacity for it n the sport system Two pillars of the PASA
Benchmarking Analysis on Sport Organizations
  • © [year] [legal member firm name], a [jurisdiction] [legal structure] and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (‘KPMG International’), a Swiss entity. All rights reserved. 4 Canada Governance structure and main institutions (3/7) The role of governments of provinces/territories
  • Although sport is not defined in the Constitution Act as an issue in which provinces have a clear jurisdiction, the majority of them have been organizing their own sport life for many decades. Provinces and territories have their own governments, usually with a minister responsible for sport.
  • As the federal government became more and more active in sport policy, greater cooperation between the two levels was required. After long debates it was settled that the provinces and territories are responsible for community sport through launching regional initiatives for increased participation and financing infrastructure development for major events held in the province. Elite sports are generally supported and funded at the federal level.
  • Provinces mostly support provincial sport federations and also fund youth development at their level. However, in some cases competences overlap, for example Québec provides financial support for their „own” athletes. It should be noted that, while provinces have relative autonomy in implementing their own programs for community sports and sport participation, the federal government through the PASA and the Canadian Sport Policy still sets national goals in this field.
  • The extent of the provinces efforts is highly varied. For example, British Columbia has longer traditions and more experience in organizing voluntary sports than many others. Intergovernmental cooperation – Canadian Sport Policy
  • After two years of consultations, the first Canadian Sport Policy (CSP) was agreed upon in 2002. The policy was a result of the close collaboration of federal, territorial and provincial sport ministers, ultimately committing all levels of political power to the same goals in both community and elite sport. The CSP gives a coherent and unified framework for governmental involvement in sport at every level.

The revision of the first CSP was overseen by Sport Canada between 2010 and 2012 and the evaluation report further strengthened the belief in the usefulness of the policy. Based on the findings, the second CSP was worked out for the period between 2012 and 2022. The vision of CSP 2012 is to create „a dynamic and innovative culture that promotes and celebrates participation and excellence in sport.” Five overall goals of CSP 2012 1. Introduction to sport Canadians have the skills, knowledge and attitudes to participate in sport. 2. Recreational sport Canadians participate in sport for fun, social interaction , recreation etc.

3. Competitive sport Canadians have the opportunity to systematically improve and measure their performance against others in competition in a safe and ethical manner. 4. High performance sport Canadians are systematically achieving world-class results at the highest levels of international competition through fair and ethical means. 5. Sport for development Sport is used as a tool for social and economic development, and the promotion of positive values

Benchmarking Analysis on Sport Organizations
  • © [year] [legal member firm name], a [jurisdiction] [legal structure] and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (‘KPMG International’), a Swiss entity. All rights reserved. 5 Canada Governance structure and main institutions (4/7) The role of municipal governments
  • Situated below the provincial/territorial level, municipal governments are generally involved in local transportation, education, public utilities issues. Most of them have the authority to levy their own taxes to cover the costs of these functions and they also receive transfers from their respective provincial government.
  • Management of city parks and recreational centers is the responsibility of municipalities, thus they are heavily involved in the community sport life. Facilities for public use are usually developed and financed at the municipal level. This system operates effectively, almost every city has numerous ice hockey rinks for use by local, amateur teams.
  • According to a survey carried out by the International Ice Hockey Federation (IIHF) in 2013, Canada has around 2600 indoor and 5000 outdoor hockey rinks, accounting for almost half of all rinks in the world.
  • The successful performance of Canadian athletes in other sports has boosted the efforts to build more multi-sport facilities as well. Sport federations (national and provincial/territorial)
  • Sport federations are responsible for their own sports and mainly operate by the same principles as every country’s federations. However, the Canadian system identifies federations at both the national and the provincial level.
  • There around 60 national sport or disabled sport federations, while many more operate in the provinces and territories. National federations are the representative bodies of sport clubs and they concentrate on overarching, nationwide policies and programs. For example, Badminton Canada is responsible for the national team and the overall structure of badminton in Canada. Provincial federations (e.g. Badminton Ontario) promote the sport in their region and ensure there are enough facilities.
  • The governance structure of national federations is more formal and professional; provincial federations are often run by volunteer Boards of Directors.
Benchmarking Analysis on Sport Organizations
  • © [year] [legal member firm name], a [jurisdiction] [legal structure] and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (‘KPMG International’), a Swiss entity. All rights reserved. 6 Canada Governance structure and main institutions (5/7) Sport Canada
  • As mentioned earlier, Sport Canada, established in the 1960s is a branch at the Department of Canadian Heritage. They are the body that carries out the federal government's commitments and tasks regarding both elite and community sport. Sport Canada is active in policymaking and planning (CSP 2002 and 2012), business operations and management. This organization is the main channel through which the federal level invests in sport.
  • Sport Canada is also responsible for allocating and administering federal government funding through various sport programs. Their role is crucial in the system, since most sport organizations operation depend on this type of financial backing. The power of the Canadian sport policy sector concentrates in Sport Canada.
  • Although the officially Sport Canada is also competent in supporting the sport participation of the public, it mostly concentrates on elite (Olympic) sports. Some criticism aimed at the organization demanded more attention on the nationwide promotion of participation in sport.
  • Other Sport Canada initiatives include research activities about public sport policy (surveys, impact studies, statistics), and the Long-Term Athlete Development Program, which sets out a seven-stage career path for future elite athletes. Main programs of Sport Canada The organization supports the realization of the goals set out in the Canadian Sport Policy by providing substantial funding to various players of the Canadian sport scene. Three grants and contributions programs should be highlighted. It should be noted, that Sport Canada does not make technical decisions; it is up to the expertise of the federations how they invest the funds, but they are still held responsible for their effective and sensible use of the support. Information on the funding figures of these programs are on page 11.
  • Sport Support Program (SSP): this initiative has various target groups, the main beneficiaries are athletes, coaches and other sport participants at the national team level. Funding is distributed to sport federations, multisport service organizations, sport centers and other institutions that provide professional sport services for athletes.
  • The Sport Funding and Accountability Framework (SFAF) is used by Sport Canada to determine who can receive the funding. Recipients are required to implement accountability measures to ensure that their operation is aligned with the goals of Sport Canada.
  • Athlete Assistance Program (AAP): the primary target group of this program are Canadian high performance athletes, who are usually required to live and train in the country. Living and training allowances are awarded to help them combine their sport, academic and working careers.
  • Generally athletes from high performance sports funded through the SFAF are eligible for AAP backing, guaranteeing accountability.
  • Hosting Program (HP): sport federations are assisted in hosting and organizing the Canada Games and international sport events in Canada. The sporting, economic, social and cultural legacies of such events are managed together. Contributions through the HP are only awarded to federations operating by the SFAF. This is the only Sport Canada program that supports the building and developing of sporting infrastructure.
Benchmarking Analysis on Sport Organizations
  • © [year] [legal member firm name], a [jurisdiction] [legal structure] and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (‘KPMG International’), a Swiss entity. All rights reserved. 7 Canada Governance structure and main institutions (6/7) Canadian Olympic Committee (COC)
  • The national Olympic committee of Canada is independent from the governments at every level. Its main task is to represent Canadian athletes at the international sport level and look out for the interests of the country at the International Olympic Committee. The COC’s budget relies on private contributions.
  • Around 50 national federations of Olympic sports are members of the COC. The organization cooperates with them to prepare the Canadian teams and individual athletes for the Olympic, Youth Olympic and Pan American Games. They conduct site visits and hold preparation seminars for the athletes, among many other activities.
  • The COC is managed by a Board of Directors, which has 20 members: the Chief Executive Officer, 12 elected and 7 ex officio members (two IOC members, two athlete representatives, one coach representative, the chair of the Canadian Olympic Foundation, and the Immediate Past President).
  • Although the COC does not have direct influence on the allocation of government funds (Sport Canada), it is a highly respected organization with a long history. Their main role is to coordinate the efforts related to the Olympic movement, but during the last decade the COC also took up a role in financing Olympic sports through the ‘Own the Podium’ initiative. Own the Podium (OTP)
  • When in 2003 Canada was awarded the right to host the 2010 Olympics in Vancouver, every stakeholder in Canadian sport agreed that they must avoid the failure of the two previous Olympics hosted by the country, where they did not win a single gold medal.
  • The Canadian Olympic Committee (COC), the Canadian Paralympic Committee (CPC), Sport Canada and the organizing committee of the Vancouver Games established Own the Podium (OTP) in 2004, after extensive consultation with 13 winter sport federations. Later summer sports also became involved through the Road to Excellence program. The program for winter and summer sports were merged in 2009 , keeping the Own the Podium name.
  • OTP currently operates as a non-profit, multi-sport organization, which serves as an advisory board in the funding of Olympic and Paralympic sports. This organization helps selecting the federations that should receive funding by assessing their potential for Olympic success then making investment recommendations for the funding partners (see below). OTP is an important part of the ‘Excellence’ pillar of the PASA.
  • Contributions come from Sport Canada (Sport Support Program), COC private fundraising and sponsorships. Sport Canada transfers around USD 68 million each year to federations through OTP. In addition, the COC provides a wide range of professional services to federations of Olympic and Paralympic sports through the program.
  • OTP is credited with the success of Canadian athletes at the 2006 and 2010 Winter Games, where they finished third and first in the medal table, respectively. The main and widely communicated goal is to contend for the first position at every Winter Olympics and be among the top 12 nations at the Summer Games.

Detailed information about the funding of sport federations through OTP is on page 12.

Benchmarking Analysis on Sport Organizations
  • © [year] [legal member firm name], a [jurisdiction] [legal structure] and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (‘KPMG International’), a Swiss entity. All rights reserved. 8 Canada Governance structure and main institutions (7/7) Canadian Sport Institutes (CSI)
  • Also known as Canadian Sport Centres, the first CSI was established in Calgary in 1994. Later six others were founded in the regions of Montreal, Ontario, Manitoba, Saskatchewan, Atlantic Canada and Pacific Canada. The network of these institutes spans the whole country.
  • CSIs were created by the partnership of Sport Canada, the COC, the coaching association of Canada and the respective provincial governments. Their main responsibility is to support high performance (Olympic) sport excellence by providing sport science, research, training and medical services to elite athletes. Experts are employed in nutrition, physiology, conditioning and mental Preparation.
  • The network of CSIs operate mostly on funding from the federal government through Sport Canada and Own the Podium. Financial backing from provinces is also important.
  • The Institutes have successfully positioned themselves as the main providers for Olympic sport federations preparing for the Games,. The table below shows the contribution of the Canadian Sport Institute of Ontario (CSIO) to Olympic success since 2004. Winter Sport Institute (WinSport)
  • Branded as the „world’s leading winter sport institute”, WinSport is based in Calgary and tasked with managing the legacy of the 1988 Winter Olympics. This include the maintenance and operation of several facilities, chief among them the Canada Olympic Park, which is the primary base of the CSI of Calgary. They also fund two-thirds of the budget of Olympic Oval, a speedskating venue.
  • WinSport also has a stake in the operation of the National Sport School (More details on page 15)
  • WinSport venues do not only support the preparation of Canadian elite athletes for the Winter Olympics, but also helps the efforts to introduce winter sports to Canadians. Year Event % of athletes trained at CSIO % of medals won by CSIO athletes 2012 London Summer Olympics 42.5% ( 118 / 277 ) 50% (1 Gold, 4 Silver, 4 Bronze) 2010 Vancouver Winter Olympics 23.3% ( 48 / 206 ) 26.9% (4 Gold, 2 Silver, 1 Bronze) 2008 Beijing Summer Olympics 34.9% ( 116 / 332 ) 50% (1 Gold, 4 Silver, 4 Bronze) 2006 Turin Winter Olympics 15.3% ( 30 / 196 ) 33.3% (3 Gold, 4 Silver, 1 Bronze) 2004 Athens Summer Olympics 42.9% ( 113 / 263 ) 41.6% (1 Gold, 3 Silver, 1 Bronze) Source: Canadian Sport Institute Ontario Website
Benchmarking Analysis on Sport Organizations
  • © [year] [legal member firm name], a [jurisdiction] [legal structure] and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (‘KPMG International’), a Swiss entity. All rights reserved. 9 Canada The effect of major event hosting Vancouver 2010 – Winter Olympic Games
  • Winning the rights to host the Winter Olympics and Paralympics led to structural and policy changes in the Canadian elite sport sector. As mentioned earlier, the ‘Own the Podium’ programme was initiated in 2004 to advise Sport Canada and other contributors on how to finance Olympic sports.
  • Every player related to Canadian sport policy worked together to ensure the sporting success at Vancouver in 2010. This joint effort by governments at all levels was reflected in consultations and the alignment of policy goals.
  • Canada performed exceptionally at the Games, finishing at the top of the medal table. After the good results the public perception of sports changed among Canadians as they established a strong emotional connection with national teams, which was practically non-present before.

The Vancouver Olympics also left a strong legacy in infrastructure.

Six completely new venues were built for the Games: Cypress Mountain (ski sports), Richmond Olympic Oval (indoor arena, multi-sport), UBC Thunderbird Arena (ice hockey), Vancouver Olympic/Paralympic Centre, Whistler Olympic Park, and The Whistler Sliding Centre (bobsleigh, luge, skeleton). Other arenas and sport facilities were renovated. These venues provide adequate training opportunity for athletes and also help in bidding for future sporting events.

  • Toronto 2015 – Pan American Games
  • Pan American Games are held every four years, just before the year of the Summer Olympics. Canada has hosted it on two occasions so far (1967 and 1999, both in Winnipeg). The next one will be in July 2015 in Toronto.
  • The Games will have 41 participating nations in 36 different sports. In terms of the number of athletes and sports, the Pan American Games will be significantly bigger than the Vancouver Winter Olympics.
  • Although no large, new venues are being constructed in Toronto, the existing (sporting) infrastructure will be thoroughly renovated. Policymakers hope that it will provide a boost for the sporting life of the Toronto region.

The estimated cost of the Games (USD 1,55 million) is divided between the three administrative levels. Federal and provincial (Ontario) governments pay 35% each, while the municipality level covers the remaining 30%.

[year] [legal member firm name], a [jurisdiction] [legal structure] and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (‘KPMG International’), a Swiss entity. All rights reserved. 10 Canada Funding structure (1/3) The following chart shows the most important funding channels that define the Canadian sport system.

The federal government is the biggest contributor to elite sport, while community and leisure sport are mostly financed at provincial, territorial and municipal levels.

Federal government Sport Canada Provincial/territorial government Municipal government Own the Podium National sport federations Canadian Olympic Committee Provincial/territorial sport federations Sport clubs Sport facilities Canadian Sport Institutes Source: KPMG Analysis Elite sport funding Community sport funding

  • © [year] [legal member firm name], a [jurisdiction] [legal structure] and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (‘KPMG International’), a Swiss entity. All rights reserved. 11 Canada Funding structure (2/3) The funding system of Sport Canada
  • Sport Canada uses federal government funds to support national sport federations, elite athletes and the hosting of major sporting events through three distinctive programs.
  • The total amount of financing divided between the programs more than tripled between 2002 and 2008, which could be attributed to the increased efforts prior to the Vancouver Olympics. Since then the funding of the Hosting Program significantly decreased due to the lack of major international events organized in Canada.
  • However, the funds made available for sport federations (Sport Support Program) still shows an increasing trend, signaling the intent of Canada to be among the top sporting nations of the world. The Athlete Assistance Program also remains high on the agenda of the federal government.

The current trend in the ‘global sporting arms race’ is that more and more money goes to the support Olympic athletes. This also seems to be the priority of Sport Canada, while the financing of community sport is left almost entirely to the provinces and municipalities. Funding figures of Sport Canada programs (in Canadian dollars, million) Funding of Sport Canada programs visualized 50 100 150 200 250 300 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 Canadian Dollar, millions Hosting Program Athlete Assistance Program Sport Support Program Total Year Hosting Program Athlete Assistance Sport Support Total 2002-03 16,1 15,1 48,3 79,5 2003-04 29,7 15,2 56,7 101,6 2004-05 80,3 19,8 83,3 183,4 2005-06 51,6 24,8 93 169,4 2006-07 126,5 25,3 94 245,8 2007-08 118,7 25,3 103,1 247,1 2008-09 44,5 26,5 111,9 182,9 2009-10 58,5 26,1 113,7 198,3 2010-11 23,8 25,9 154,4 204,1 2011-12 23,1 26,8 148,8 198,7 Source: Public Accounts of Canada: Transfer Payments Source: Public Accounts of Canada: Transfer Payments

  • © [year] [legal member firm name], a [jurisdiction] [legal structure] and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (‘KPMG International’), a Swiss entity. All rights reserved. 12 Canada Funding structure (3/3) Funding of elite sports through Own the Podium
  • As discussed earlier, Sport Canada provides the majority of the funds that are distributed among Olympic and Paralympic sport federations through the Own the Podium initiative.
  • Funding through this programme is divided into four categories:  National Team: contributing to the training and competing costs of national teams.
  •  SSSM: funding to cover sport science and medical services through Canadian Sport Centres or other providers.  Coaching: financing of world class coaches.  Administration: support staff salaries and various administrative costs that are related to the programme.
  • OTP supports both winter and summer sports. As a general rule, those with a higher chance of Olympic success and better past results receive more funding. Top 10 winter sports by OTP funding for 2013-2014 (million Canadian dollars) Top 10 summer sports by OTP funding for 2013-2014 (million Canadian dollars) Sport Funding 1 Speed skating 3.537 2 Freestyle skiing 3.253 3 Alpine skiing 2.976 4 Ice hockey 2.801 5 Bobsleigh/skeleton 2.454 6 Snowboard 2.448 7 Cross county skiing 1.966 8 Curling 1.892 9 Ski Cross 1.468 10 Luge 1.088 Sport Funding 1 Rowing 4.285 2 Swimming 4.180 3 Athletics 3.625 4 Cycling 3.500 5 Canoeing 2.700 6 Diving 2.600 7 Soccer (women) 2.250 8 Rugby 7s (women) 1.700 9 Wheelchair basketball 1.400 10 Wrestling 1.300
  • © [year] [legal member firm name], a [jurisdiction] [legal structure] and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (‘KPMG International’), a Swiss entity. All rights reserved. 13 Canada Elite sport performance Canada’s Olympic history
  • As mentioned in the introduction, Canada has hosted three Olympics, once the Summer (Montreal, 1976) and twice the Winter Games (Calgary, 1988 and Vancouver, 2010). The first two events brought no success in terms of gold medals won, but in 2010 Canada managed to finish at the top of the medal table at the Winter Olympics.
  • The country has participated at every Olympics, except for the first modern Summer Games in 1896 and they boycotted the competition in 1980. From the 1930s until the 1990s Canadian athletes usually won only one or two gold on every occasion, complemented with a couple of other medals. Their best performance at the Summer Olympics (10 gold) came in 1984, when the majority of Communist countries did not compete.
  • In the last 15 years Canada has established itself as a top nation in winter sports; they always finished in the top 5 at the medal table since 1998. Their two best performances came at the last two Games. Although their main focus is on winter sports, they usually achieve good results in summer sports as well.

Canada’s main strength is perhaps that they have realistic medal chances in a wide range of sports. The last 10 Summer Olympics gold medals were delivered across 8 different sports. Sport Gold Silver Bronze Total 1 Athletics 13 14 26 53 2 Ice hockey 13 5 2 20 3 Rowing 9 16 15 40 4 Speed skating 8 12 15 35 5 Short-track speed skating 8 11 9 28 6 Swimming 7 14 22 43 7 Curling 5 3 2 10 8 Figure skating 4 10 11 22 9 Canoeing 4 10 10 24 10 Shooting 4 3 2 9 Medal count of the Summer Olympic Games Medal count of the Winter Olympic Games Most successful Olympic sports 11 12 2 4 6 8 10 12 14 16 18 Barcelona 1992 Atlanta 1996 Sydney 2000 Athens 2004Beijing 2008 London 2012 Gold Silver Bronze 3 6 7 7 14 10 6 5 3 10 7 10 Lillehammer 1994 Nagano 1998 Salt Lake City 2002 Turin 2006 Vancouver 2010 Sochi 2014 Gold Silver Bronze Source: Olympics.Org Source: Olympics.Org Source: Olympics.Org

  • © [year] [legal member firm name], a [jurisdiction] [legal structure] and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (‘KPMG International’), a Swiss entity. All rights reserved. 14 Canada Community sport (1/2) Participation statistics
  • Although Canada has achieved great results in elite sports in recent years, the weak participation statistics are still a great concern for policymakers. The evaluation of the first Canadian Sport Policy carried out by Sport Canada found that almost every elite sport goal was met, but only half of the participation goals were achieved.
  • According to Canadian Heritage, only 26% of the population aged over 15 years old took part in sporting activities on a weekly basis, which is a significant, 17% decline since 1992. Obesity among young people is also a problem.
  • Meanwhile, Sport Canada spent only 13% of its the Sport Support Program on community sport purposes. It is clear, that Sport Canada’s main goal is to support elite sports, but due to the decreasing trend in public sport participation the organization is urged to focus more on community sport.

Other stakeholders, including provincial and municipal governments and Health Canada focus on sport participation, but the almost all federal level fund is still aimed at the ‘Excellence’ pillar of the PASA. Top 10 most practiced sports in Canada (% of adult population, aged 15+ regularly pursuing a sport) Sport participation (at least once a week) by age groups 1992 2010 1 Ice hockey (6.4%) Golf (5.2%) 2 Skiing (6.3%) Ice hockey (4.4%) 3 Swimming (6.2%) Soccer (3.5%) 4 Golf (5.9%) Baseball (2.1%) 5 Baseball (5.6%) Volleyball (1.9%) 6 Volleyball (3.8%) Basketball (1.8%) 7 Basketball (2.9%) Skiing (1.6%) 8 Badminton (1.9%) Cycling (1.4%) 9 Soccer (1.8%) Swimming (1.4%) 10 Cycling (1.0%) Badminton (1.1%) Source: Canadian Heritage – Sport Participation 2010 – Research Paper 10 20 30 40 50 60 70 80 90 1992 1998 2005 2010 15-19 20-24 25-34 35-54 55- Source: Canadian Heritage – Sport Participation 2010 – Research Paper

  • © [year] [legal member firm name], a [jurisdiction] [legal structure] and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (‘KPMG International’), a Swiss entity. All rights reserved. 15 Canada Community sport (2/2) Involvement of young people
  • Although there is no program that directly targets the participation of young people in sports, there are some initiatives that indirectly serve this purpose.
  • As mentioned earlier, Canada has the most ice hockey rinks in the world; most of them are free for public use. The youth development in ice hockey thus is well equipped with adequate facilities.
  • Education in Canada is a provincial jurisdiction, meaning that primary and secondary schools receive funding from the provincial governments. Physical education programs and school sports are therefore not financed by an overarching, federal program.
  • It is up to the municipalities to provide sporting opportunities for young people. There is not much collaboration between provincial or national sport federations to organize programs. School Sport Canada (SSC)
  • As the biggest, structured sport organization in the country, the School Sport Canada reaches more than 750,000 students, 52,000 volunteer PE teachers and 3,200 schools.
  • SSC has numerous member provinces and territories, where it operates individual offices. The organization mainly serves as a representative lobby group for school sports, but also has an important role in organizing interscholastic sport events and competitions in Canada. Canada Games
  • The Canada Games is a multi-sport competition held biannually, which was launched in 1967. It has a Winter and Summer Games edition.
  • All participating athletes are amateurs. Over the years the Games has established itself as the most important developmental event for young athletes between the age of 15 and 17. Teams are selected on a provincial basis. The events generally take place at community sport facilities.
  • Many ot the Canadian superstars of today has gone through this system, for example Sydney Crosby (ice hockey) or Steve Nash (basketball)
  • The competition is overseen and managed by the Canada Games Council, which supports the hosting cities in technical, organizational planning, marketing and sponsorship issues.
  • © [year] [legal member firm name], a [jurisdiction] [legal structure] and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (‘KPMG International’), a Swiss entity. All rights reserved. 16 Canada Key takeaways Elite sport assessment system
  • The ‘Own the Podium’ initiative decides the amount of funding an Olympic sport federation receives. The assessment is based on performance potential and many variables are taken into account.
  • A mechanism called Sport Funding and Accountability Framework holds the federations accountable for the use of funds they receive from the program.
  • The financing of the federations is used to cover numerous costs ranging from training, management, medical and other expert services. Large number of sport facilities
  • Both the general public and elite athletes have sufficient means to exercise and train. Canada has the most indoor and outdoor ice hockey rinks in the world, the majority of them is for public use.
  • Hosting of major events, such as the Winter Olympics (Vancouver, 2010) and the Pan American Games (Toronto, 2015) helped the development and maintenance of elite sport training centers and facilities. Cooperation between different levels of government
  • In Canada the federal, regional and municipal authorities all have a say in the development of the sport sector.
  • Their jurisdictions and responsibilities are not always clear, but they have created some overarching systems and frameworks that help coordinating their efforts.
  • The most notable among these is the Canadian Sport Policy which sets the basic principles of intergovernmental cooperation. Youth competition opportunities
  • Although there is no detailed youth sport policy in the country, there are some notable initiatives.
  • For example, the Canada Games, a multi-sport event taking place every two years, pitches teams of young, amateur athletes against each other. The groups of athletes are chosen on a regional basis.
  • The competition gives valuable experience for the participants. Many of them later become professionals and represent Canada at the highest sporting levels. Population: 35 200 000 Sport participation rate: 34% Funding for elite sport: CAD 90 million (per year) Funding for leisure sport: CAD 150 million (per year)
  • © [year] [legal member firm name], a [jurisdiction] [legal structure] and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (‘KPMG International’), a Swiss entity. All rights reserved. 1 United Kingdom Introduction and scope of the study Introduction to sport in the UK
  • The United Kingdom has a developed economy in terms of both nominal and per capita GDP. London has hosted the Summer Olympic Games three times, more than any other city. The modern version of many sports have developed out of the UK, including football, cricket, rugby, tennis and snooker. Today these sports are still very popular in the country.
  • In addition to rich sporting past, the UK is one of the most significant players in the international sports scene. Every year the country is home to many major sporting events, for example the historic tennis tournament in Wimbledon. The Premier League is the top-tier football competition in England, which generates world-wide interest.
  • Following disappointing Olympic displays in the 1980s and the 1990s, the governance and funding system of sport in the UK went through significant changes. UK Sport was established and other organizations saw their roles becoming clearly defined.
  • At the same time, with the advent of the National Lottery, unprecedented amounts of funding were made available for sport.
  • The first real test of the new system came in 2002, when Manchester hosted the Commonwealth Games. The newly reorganized institutions proved that they could cooperate and ensure the success of a major sporting event. The winning bid in 2005 to host the 2012 Olympics also significantly helped the development of British sport life. The scope of the study Our assessment of sports in the UK covers the following topics:
  • The governance structure and main institutions
  • Major reforms in the UK sport system
  • The funding structure
  • Elite sport success
  • Public sport participation in the UK Population of the United Kingdom 62,641,000 People active in sport1 32,500,000 Sport participation rate2 52% National sport federations3 320 Sport clubs2 151,000 Sport club members2 12,380,000 Olympic sports receiving government funding 19 Highlights of the UK sport scene Source: KPMG Analysis; Sports Club Survey (2013) Note: (1) who takes part at least once a month Eurobarometer survey (2009) (2) Ranked 12th out of the 27 EU member countries (3) including every home nation (Scotland, Wales, Northern Ireland and England), Sport and Recreation Alliance Website

[year] [legal member firm name], a [jurisdiction] [legal structure] and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (‘KPMG International’), a Swiss entity. All rights reserved. 2 United Kingdom The governance structure and main institutions (1/5) The majority of the organizations active in British sport have a clear mandate; they either focus on community sport participation or elite sports. Naturally, the government through its connections is involved in both aspects.

The two institutions with the largest influence are Sport England (promoting and supporting public sport participation in England) and UK Sport (allocating funds to and reviewing the operation of sport federations).

UK Government Department of Culture, Media and Sport UK Sport Sport N. Ireland Sport Scotland Sport Wales Sport England British Olympic Association Welsh government Scottish government N. Irish government County sports Partnerships Sport and Recreation Alliance Sport federations Sport clubs IOC Sport clubs Source: KPMG Analysis Community sport Elite sport

  • © [year] [legal member firm name], a [jurisdiction] [legal structure] and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (‘KPMG International’), a Swiss entity. All rights reserved. 3 United Kingdom The governance structure and main institutions (2/5) Home Nation Sport Councils
  • These national organizations are tasked with promoting sport participation among the general public. Every home nation has its own council competent in their area. These are:  Sport England (English Sports Council)  Sport Northern Ireland (Northern Irish Sports Council)  Sport Scotland (Scottish Sports council)  Sport Wales (Welsh Sports Council)
  • They are affiliated with their corresponding governments, for example Sport Northern Ireland is under the Department of Culture, Arts and Leisure, which is part of the Northern Irish government.
  • The councils are responsible for working out the details of government policies and they are also responsible for allocating funds between community sports projects aimed at increasing participation. Funding ends up in the hands of local sports clubs who can put it to use to improve local facilities and access to sport.
  • Councils operate in close cooperation with sport federations (national governing bodies - NGBs). They also play an important role in talent development by identifying potential early on, and providing them with sufficient sporting opportunities. In this sense councils provide access for young people to become elite athletes. Because of this, they work in partnership with UK Sport (the organization for elite sports) to make sure their goals and investments are aligned.
  • A good example of council projects is the ‘Active Places' website by Sport England, which is designed to help the public find sports facilities anywhere in England. Searching can be through an interactive map to discover more information about public facilities. The two pillars of sport in the UK
  • The development and funding of elite sports is the sole responsibility of UK Sport, which is sponsored by the Department for Culture, Media and Sport, an institution controlled by the government of the UK.
  • The allocation of responsibilities is different in community sport. The UK consists of four „home nations”, England, Northern Ireland, Scotland and Wales, each with its own government (England’s is the common UK government). In this setting certain issues (including sports) are qualified as devolved matters for which home nation governments are responsible. Community sport tasks are the responsibility of sport councils in each home nation. The largest council is Sport England, both in terms of size, budget and influence over community sport policies in England. Department for Culture Media and Sport (DCMS)
  • The DCMS is responsible for a wide range of issues, including tourism, media and the national lottery. The Secretary of State for Culture, Media and Sport is responsible for the department.
  • The DCMS oversees and funds the two important sports organizations, namely UK Sport and Sport England, and also plays an important coordinating role between them, in order to make the overall operation of the sport system more effective.
  • The DCMS can set out policies for both the community and the elite sport sector, for example to increase the number of people playing sports, or making elite (Olympic) sports more successful. However, it should also be noted, that the DCMS is involved only indirectly in the realization of these goals though the bodies mentioned previously. The exact allocation of funding between projects or sport federations is not the role of the DCMS.
  • In addition to these general tasks, the department supports the bidding process for major sport events, protects UK’s sporting interest abroad.

The DCMS is also the lead government body regarding the legacy of the London 2012 Olympics. The Government Olympic Executive is a unit within the department which was focused on the preparation for the Games and since then they are responsible for the management of the legacy of the Olympics.

[year] [legal member firm name], a [jurisdiction] [legal structure] and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (‘KPMG International’), a Swiss entity. All rights reserved. 4 United Kingdom The governance structure and main institutions (3/5) Community sport in England Compared to other home nations, England has the most extensive community sport system, therefore this part of the case study concentrates on their example.

  • County Sports Partnerships (CSPs)
  • These networks comprise of local agencies active in the sport life of given region. Authorities, schools, sport federations, community sport networks and other agencies work together to develop sporting opportunities for the local population. For example, in England there are around 49 different CSPs,, covering almost the whole country.
  • Sport England contracts these partnerships to carry out the actions of the overall community sport plan at the regional level. For example, the goal to increase sport participation in England is achieved through the diligent work of these CSPs. School Sports Partnerships (SSPs)
  • Numerous schools have formed partnerships on a voluntary basis in order to work together in creating sporting opportunities of young people. These are usually led by a partnership development manager with sport coordinators at participating schools.
  • In 2010, the government decided to cut two-thirds of the budget available for SSPs through Sport England, which resulted in a drop in the number of active partnerships. There are now around 200 school sports partnerships in England instead of 400.
  • To make up for this setback, another, complementary, programme was launched in 2013 with the aim to distribute funds directly to schools. Currently GBP 150 million is set aside for school sports every year between 2015 and 2020. The funding comes from the Department of Education and the DCMS. A average primary school with 250 pupils receive a yearly lump sum of GBP 10,000.
  • The school headmasters are free to decide how they use the money to improve the quality of physical education in schools. For example, they can hire specialist coaches and sport teachers. National sport federations also offer coaching and skill development programmes. The schools are held accountable for how they spend the funding by Ofsted, an inspectorate body Example of CSP activity – The Copeland Physical Activity Project The North Country Leisure organization, which operates in the Borough of Copeland, successfully applied for a GBP 91,800 investment from Sport England in 2013. This amount, which comes from the National Lottery, was complemented with support from local partners.

The programme builds on a pilot project and provides fitness and exercise sessions in Cleator Moor (a small town in Copeland) for adults and children of all ages.

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