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LOCKER ROOM CHAT

One-On-One with Tom Donahoe
February 25, 1998

Tom Donahoe joined the Pittsburgh Steelers in 1986 as an area scout before being promoted to the position of Director of Pro Personnel and Development in 1989, Director of Football Development in 1991 and Director of Football Operations in 1992, a position he has held since 1992. His responsibilities include evaluating college and pro personnel and overseeing all player acquisitions through trades, free agency and the draft. Tom has been instrumental in building and directing what has become one of the most successful franchises in professional sports, although it's unlikely that he'd accept much of the credit for the Steelers success...one of the things that struck me most during my interview with him was his modesty.

WR: The Steelers, for a lot of reasons, have become a model franchise in the 90's. They've won consistently, but they've done so since '94, the year the salary cap was implemented, in a cap responsible manner. The organization has avoided going down the cash-over-cap road that other teams have gone down chasing high priced free agents. They are an efficiently run, small market franchise that has managed to stay on top, and one of the things I would like to talk to you about, Tom, is the reasons for your success. Let's talk first about the fact that you are a small market franchise. Tell me how that impacts how you do business as compared to teams in larger markets. Or does the size of your market even impact your business? Maybe it doesn't matter because of the League's revenue sharing.

TD: Well, to a degree you still have a level playing field in football and that's what makes it different from baseball and some of the other sports. The television money, which constitutes a significant portion of DGR, is divided up equally among the 30 teams. But the problem in recent years is that some teams have developed, particularly with new stadiums, ways to increase additional revenue. The PSL's, deals with the stadiums with regard to concessions, parking, etc., those types of things. So what has happened in the League over the last ten years is that the difference in team revenues has grown. The spread used to be relatively close. The difference between the high revenue team and the low revenue team was maybe 8 to 10 million. Now it's up over 60 million in many cases.

WR: There are high revenue teams that generate $60 million more than low revenue teams? How can the gap be that wide?

TD: Well, because of stadium leases, concessions, revenues from those types of areas. For example, if a team owns its stadium, every time they have an event in the stadium it generates them revenue. If they have a concert or a truck pull or wrestling, they get the concession money, the parking, the rent, basically all of the revenue. As a result the playing field in the league, while it is still level to a degree, is definitely more slanted now than it was in the past.

WR: But is that, Tom, a big market/small market phenomena, or is it a new stadium/old stadium phenomena?

TD: It's a little bit of both. You know, the television money we feel always gives us a chance because everyone gets the same amount. And that fact that we have a cap means that everybody's dealing with basically that same cap. It does fluctuate a little bit because of things like incentives. You might get some charges next year for incentives that guys earned this year, and so whatever the cap is next year, it's not going to be that same amount for every team. But it is going to be in the same ballpark. If it is $50 million, if that's what is established as the cap, some teams might be at 48.5 because of deductions for incentives earned but not counted the prior year.

WR: But that's simply because they have chosen to borrow money from next year's cap to spend this year.

TD: That's right. You've given players unlikely to be earned incentives and they earn them. That money has to be charged somewhere, so it's a charge against your cap in the following year which reduces your cap. For example, if you had 2 million in incentives earned that were not likely to be earned, and the cap next year is 50 million, that 2 million is charged against next year's cap, so your net cap is 48 million. But you are in the same ballpark. We think that those two things, the television money and the salary cap, gives us a chance to be competitive. Or course, we have to operate a certain way. We can't go crazy with signing bonus money because we just don't have the extra revenue that some teams are able to generate.

WR: So you don't go over the cash over-cap-road because you simply can't.

TD: We don't have it. It's not a question of whether we want to do it. We don't have it. But we still feel that if we are fair with our players, and we're smart about the free agents we sign and we continue to have good drafts we can be successful. It's really a three prong approach. Obviously, the draft is a very important element.

WR: Several of the successful teams in the 90's are not in big markets. Pittsburgh, Green Bay, Kansas City and Minnesota for example, have won consistently. Do you think that will change as the revenue disparity increases? And if so, is there any solution? If the disparity gets broader, will every team need a new, economically viable stadium in order to compete? There is no way that teams would agree to share stadium revenues, right?

TD: Well, personally, I think that it is something the League should look at.

WR: Do you think that there are other people in the League that feel the same way?

TD: Well, that's just my philosophy. I believe competition is critical to our, the League's success. In baseball, the teams that spent the most money the last couple of years are the teams that were in the World Series. I think that takes away from the competitive aspect of the game. The teams that do the best job in personnel, and do the best job in coaching, and do the best job in developing the right chemistry, those are the teams that you'd like to see have a chance to win. Not just the teams that can spend the most money, like the Florida Marlins or the Atlanta Braves, or what ever team you want to pick that is at the top of the scale with regard to salaries.

WR: But in the respect, you're a victim of your own success. It's hard for you to make that argument because the Steelers are as successful a franchise as there is in professional sports. And they haven't spent their way into the playoffs.

TD: That's true. But as I said, we have some things in football that they don't have in baseball. The Pirates situation here is much more difficult than ours. When they sell their local broadcast rights, they might get 2 or 3 million for that deal. When Atlanta or the Mets sell their broadcast rights, they might get 40 or 50 million. MLB doesn't share the TV revenues like we do. They don't have a salary cap. They do have a luxury tax but it's much more difficult for the Pirates to stay afloat than it is for the Steelers to remain competitive.

WR: The city of Pittsburgh recently voted on a stadium referendum.

TD: It was really a lot of things. It was an economic growth package. Stadiums were a part of it, but it was destroyed at the polls. It was overwhelmingly defeated.

WR: Do you think that the public has any understanding that something like that might eventually cause the Steelers to move to a different market in order to get a new stadium?

TD: If they do, they never say it. They probably feel here that the Steelers, one way or another, will be here forever.

WR: Well, the Steelers are one of the few remaining family owned franchises that have been there since the beginning and are tied to the community. The franchise probably doesn't carry much debt and the public just assumes that the team will just stay in Pittsburgh and figure out how to win.

TD: That's what they expect us to do.

WR: Do you ever foresee a day when economics forces a team like the Steelers, Kansas City, or some other team to move out of their market simply because they needed a stadium that produces revenue?

TD: It could happen. We don't like to think that way and we never talk publicly like that. We've never threatened to move. We have just tried to make people understand that we want to compete and put a good product on the field. Just look at our division. Every team that we compete against is either in a new stadium or will be in a new one within the next year or two. We have to compete with that. At least give us an equal chance to compete.

WR: Again, because of your success, there is a risk that these types of concerns will be discounted. There are people in the League that marvel at how the Steelers have managed their cap and, at the same time, have been able to stay competitive. You've been very cap responsible and have never really missed a beat in terms of winning. Is that out of necessity? Is it just simply a profit maximizing strategy? Or is it simply a function of long range cap planning? What is your organizational philosophy in terms of the salary cap?

TD: Well, we had a big advantage initially because Mr. Rooney was involved in putting this deal together and he probably understood it as hard at it. We have a lot of people here who take pride in what they are doing, whether its negotiating contracts or selecting players. Our coaches have been very understanding. They recognize that we will lose some players. As an organization, we've never tried to complain about the players that have left. We've just tried to come up with an alternative plan. And our people have been patient so that we have had a chance to work through some of the losses. No one has panicked when we've lost quality players. So it's been a combination of a lot of things, but I think the biggest key is that we have great resource here with Mr. Rooney.

WR: You're being a little modest. You guys let go of Rod Woodson, Chad Brown, Willie Williams, Deon Figures, I could go on. I'll be honest with you. I wrote a piece for the WR before the season in which I said that the Steelers had taken so many hits in free agency that there was no way that they would compete for the division title. I believe I actually predicted that you would finish last in your division. I am embarrassed now. About all I can say is that I like my crow well done.

TD: Well, at least you've admitted it. Nobody else has. A lot of other people predicted the same thing, but no one has admitted publicly that they were wrong.

WR: You can certainly understand how somebody not close to the organization would look at the situation, the number of starters that you lost, not just from a talent standpoint, but from a cohesive or a continuity standpoint. But you never really missed a beat. You lost good players who you probably wouldn't have let go except for cap reasons. You couldn't pay Chad Brown what Seattle paid him. You couldn't meet Rod Woodson's demands. Your decisions were at least partially cap driven but you still put an excellent team on the field.

TD: We were in a tough position last year and we knew it. The cap was not going to go up very much and we had a lot of players whose contracts were up. We had to prioritize our needs before the off season started because we knew we couldn't keep everybody. We decided that our number one priority going into last season was Jerome Bettis. That was the number one priority. We felt we had to get him signed.

WR: Was that from an offensive philosophy standpoint? Did you make that decision because he was a such a critical component of the offense that you want to run?

TD: Right. That was exactly it. In our offense, we need a high quality running back, and Jerome is a perfect fit so that was our priority. Having said that, we knew it would take significant money to keep him and, in signing him, we realized that we were probably going to have to eliminate some other people. We just weren't going to have enough money to satisfy everyone. But that's the system and we have to live with it just like everyone else does. We tried to go out and sign some other players who we thought could come in and help us. We tried to look ahead to the draft and make sure we got a couple players there that could come in and help us. To the credit of our coaches, they put the whole thing together and made it work. It goes back to what I said before. It's a lot of people working together.

WR: I guess it's misleading to say that your decision to let all of these players go was a function of the cap. It was really a function of cash flow and the cash over cap/under the cap signing bonus issue. You could have competed for Chad Brown under the cap but you probably couldn't have given him a 7.5 million dollar signing bonus. Isn't that right?

TD: Right, we could never have done that. That would have been out of the question. We expected Chad to get a pretty good offer, but we never anticipated that it would be in that area. All we could do was thank him for his contributions here and wish him well. We couldn't compete with that signing bonus.

WR: One of the things that you did was to re-sign your most expensive position, quarterback, before you had a gun to your head. You have a good cap situation there because you didn't do the deal in or even approached the free agent market.

TD: That's right. And Kordell certainly proved last year that he has a bright future. He has a year under his belt and he's signed I believe for three more years. For us, that's a nice position to be in.

WR: Right. It not only gives you some security at this position for three more years, but it also gives you a chance to re-do his deal prior to the last year of his contract again.

TD: Well, we've tried to do that with players who we've identified as key players. We've tried to talk with them going into the last year of their deals to see if they would be receptive to an extension. In many cases, they have been. As a result, some of our better players have never gotten to free agency. Dermonti Dawson never got to free agency. We signed him twice before he was on the open market. Greg Lloyd never became a free agent. Joel Steed did this time, but not the last time. Carnell Lake never got to free agency. We try to identify the right people. But if they don't want to talk and they're determined to go out and test the market, there's not much you can do about it.

WR: Obviously, you have to pick and choose who you want to sign at key positions. There's a finite pie and you can only go to so many people. So you've got to be smart in terms of who you go to.

TD: Exactly. That's a great analogy. It's a finite pie and we talk about that all the time. The one thing about football that people sometime lose site of is the fact that it's a team game. And the problem in football as compared to basketball, baseball, and hockey, is that you need a lot of players. You can't take ten players and pay them $4 million and then fill in the rest of the team with guys at the minimum because your team will stink. And you have to be careful how you structure contracts and who you give the money to, so that you have enough players at each position. You have to have some depth and you need players who can help you out on special teams. It's really a constant juggling act that you go through.

WR: I'm not casting stones here, but some teams obviously have a different philosophy. Dallas for example, had a ton of money wrapped up in maybe four or five key players. If one of them goes down, they are clearly at a disadvantage because there's no provision for any kind of a cap rebate for injured players. I guess you could include the 49ers in this discussion. I assume that this type of philosophy makes it more difficult to retain quality back-ups at key positions and probably requires you to retain a lot of minimum wage players. I guess it's just a choice a team makes. It probably reflects their attitude toward risk.

TD: Well, we've been fortunate. We went two years in a row losing our best player in the first game of the season. We lost Rod Woodson the year we went to the Super Bowl and then we lost Greg Lloyd the following year in and got to the 2nd round of the playoffs. What that shows you is that it's a team game, and just because you lose a player or two or even three, four, or five to free agency, that doesn't mean that your team is devastated and the next season is going to be a disaster. You just have to fill in the blanks, put it together and get back after it.

WR: The Steelers have a reputation for developing young players. Is that a matter of coaching or is it a matter of the personnel people picking players that fit your system?

TD: It's a little bit of both. Our coaches are very much involved in our draft meetings. They sit in on our discussions about players. Because of that, our scouts know what kind of players our coaches' want and we can provide them with those types of players. Because our coaches are involved, they feel a greater responsibly when the pick is made. Our head coach is extremely patient with young players.

WR: How are decisions made? Are they made collectively?

TD: Yes

WR: Who is involved? Yourself? The head coach?

TD: Well, if you're talking about free agency, it's generally Bill Cowher, myself, and Charles Bailey. If you're talking about the draft, it's generally Bill, myself, and Tom Modrak. That's usually the way we work it.

WR: I assume you have disagreements, right?

TD: All the time. To us, that's the fun of being involved in personnel. You get different opinions but the bottom line here is we all have the same agenda and that is to pick the players who will help us be successful. We have different opinions but we discuss it and eventually come to a consensus.

WR: Well, I am going to lead into another point that kind of flows from this. There are several teams each year that have to win and the coach knows that if they don't, he will be fired. There are other teams that believe that they are a couple of players away from the playoffs and that want to jump at this player or that player to put them over the top. The Steelers, as an organization, have continuity. You've only had two head coaches, if I am correct, since 1969, which is phenomenal in the NFL. And nobody is worried about their job tomorrow. There appears to be long range planning, not only from a cap standpoint, but from a personnel standpoint. You pick the players who you want for your system and patiently develop them while they grow into that system, rather than lunging at this guy or that guy who doesn't fit into the team's long term plans because the head coach or the general manager doesn't know if he is going to be there next year or because they believe that that they are one player away. The Steelers are really unique in that respect, is that correct?

TD: Well, we are. And again, that's probably a credit to the stability of the ownership and the fact that our owner is in the football business. He's not a car dealer who does this part-time. His business is football and that's all it has ever been. He understands the game and has been around it all his life so he doesn't panic, if we had a bad game, or a season where we were devastated by injuries and didn't win as many games as we would like. He understands that those things happen. He understands that they are part of football. Sometimes you see people panic and they do things which probably ends up in the long run setting them back further than if they would have just stayed the course and said, "Hey, you know we didn't have a very good year but we will bounce back next year."

WR: Do you have a philosophy in the organization that you really don't want to participate in free agency, that you want to re-sign key guys on your own roster, and then draft players, but that you don't have a need to sign veterans from other teams?

TD: Not really. We have always tried to keep an open mind in free agency and look at our team and who's available, and then decide what to do in the free agent market.

WR: But you're not that active in free agency, are you?

TD: No, but we have been selective. We've signed some good free agents. We signed Kevin Greene. He was very significant. Will Woolford was very significant. We're not going to be the major player in free agency and jump out and establish the market every year when free agency starts. We would prefer to keep our own players because we know those players. We don't really know someone else's players. In free agency, you never know exactly what you're going to get. In many respects, you don't know what you're going to get in the draft. Those are much more of a crap shoot then if you have had a player who's been with you 3 or 4 years. You know that player. You know his work habits, how he practices, how he prepares, how he is on game day, and what type of person that he is. Your chances of failure are a lot less with your own people.

WR: You mentioned that Mr. Rooney understood the agreement better because he was involved with the negotiations. Was he at the bargaining table?

TD: Yes.

WR: So he actually negotiated the deal? He was on the management council?

TD: Yes, and as a result, he understands how the deal was put together. He'd be the first to tell you that some of the things that have happened with this deal were not anticipated when they put it together. Like the signing bonus money.

WR: Everybody thought it was a hard cap?

TD: Right. That's what it was intended to be. But people found ways to get around it. You know, in some respects, the signing bonus money has violated the spirit of the agreement, not that people are doing anything illegal, but that probably wasn't the intention when they put the deal together.

WR: And I guess from his standpoint, being a small market franchise, he would have had reservations had he anticipated this.

TD: I would imagine he would have.

WR: To this point, we've been discussing business issues. Let me ask you a few football questions. The Steelers have become identified with the 34 defense in the same way that the 49ers and Bill Walsh have been identified with the West Coast offense. There are Steeler disciples out there on other teams, like CIncinnati, Carolina, and Buffalo, using defensive principles developed in Pittsburgh just like there are Walsh disciples out there on the other teams. Is that true? Did this system evolve in Pittsburgh and is there a Steeler defense and if there is, how did it evolve?

TD: Well, it's interesting. When Bill Cowher came here six years ago and put his defensive staff together, Dom Capers became the coordinator and Dick Lebeau came from Cincinnati as a secondary coach. Dick had already done a lot of the things that we implemented in Pittsburgh in Cincinnati when they were doing well and went to the Super Bowl. He had been using a lot of the zone blitz scheme that we do, so the three of those guys really put their heads together and came up with a style of play that has sort of became our trademark. It's been kind of flattering because people have imitated it. It has worked well for us and now just about everyone in the League is doing some sort of zone blitzing.

WR: But have other teams run a 34 defense before the Steelers, right?

TD: The League has gone back and forth with that. If you go back far enough, there were more teams playing a 34 than a 43. So it's kind of a thing that goes in cycles.

WR: You play a 34, so let me ask you about that. From a personnel standpoint, what kind of players does it require compared to a 43 defense in terms of defensive lineman and linebackers. What athletic traits does it require?

TD: The personnel is a little bit different because you need to start with the nose tackle, and they are difficult to find. It's a hard position to play because you are generally getting double teamed and people are flying at you from all directions. You need a guy who can tie up one and sometimes two blockers so the linebackers can make plays.

WR: I take it there are not too many guys around that can play that position.

TD: No, its hard to play. It's hard to play it well.

WR: So you need to start there. You need to find a good nose tackle.

TD: And as far as defensive ends in this system, they are a little different than defensive ends in 43 defense. In a 34 defense, you need players who are bulkier, but who are still good enough athletes to run to the ball. In a 43, you can play with 260 lbs. or 270 lbs defensive ends. We have trouble doing that in this defense. But an advantage that we have right now from a personnel standpoint is that there seems to be more and more players coming out of college each year who are undersized defensive ends who we project as outside linebackers. Those players don't really fit well in the 43, but they fit well as outside linebackers in our defense. Jason Gildon is a good example. Jason was a defensive end at Oklahoma State, and we projected him to an outside linebacker.

WR: Because of his size?

TD: Right, his size and his pass rush ability. Our outside backers have to be able to play over the tight end so they have to be good at the point of attack, but they also have to be able to rush the passer and drop into coverage. We're looking for guys at that outside linebacker spot who are primarily pass rushers. And that's what a lot of these undersized defensive ends did in college. They rushed the passer and they're good at that. But most of the ones who we can fit in our defense weigh about 250-260 lbs. And they'd have trouble fitting in the 43 defense.

WR: But some of these guys probably never dropped into coverage in college.

TD: They haven't and sometimes that's an adjustment for them. You look at Jason Gildin's first couple of years. He struggled. Now he's pretty good at it. You have to buy a little time with some of those guys, but while you're buying time they can still help you on third down as a rusher. That's what we've done the last two years with Steven Conley. Steven has played primarily on third down. Now we think he's ready to be a three down player because he's gotten experience and he understands the position. He can drop in coverage and he understands where he is supposed to be. Initially, though, that's hard for those guys.

WR: Does it ever backfire? For example, the Jets don't have enough defensive linemen and they decided that they have four linebackers that they want to put on the field so they change their defense and, apparently, Hugh Douglas doesn't have a good year. He's great two years ago and this past year he struggles.

TD: Well, he's out of position. He's not a defensive end in a 34. This is our feeling.

WR: He'd be better off at linebacker?

TD: They could play him at nose tackle if they want, he is not our player. When we looked at Hugh Douglas, we evaluated him as an outside linebacker in our defense and thought he would be a great fit at that position.

WR: In the 34?

TD: Right, but if we had him here in a 34 and played him at defensive end, he would probably struggle. And its not anything negative towards Hugh. It's just that he is going to get pounded going up against 330 lb. tackles all the time.

WR: If the colleges are producing more and more undersized pass rushers, guys like Grant Wistrom or Leonard Little, guys like that, why aren't more teams running a 34 defense?

TD: I can't answer that question.

WR: But doesn't it make sense that the personnel would dictate the system?

TD: Well, I don't know because we play a 34, so I really only look at players who we think can fit in this defense. Maybe. Often people feel that it's easier to find big defensive tackles than it is to find athletic outside rushers. I don't. You would have to ask somebody who plays a 43 why they stick with it.

WR: Well, let me ask you one final question related to that. Do you think that when the Steelers originally went to a 34, the scheme was a function of the personnel that the Steelers had at that time? In other words, they sat down and said, "Look, here is what he have, we've got to run this scheme." Or did they say, "This is the best scheme, we'll find the personnel to play it."

TD: Well, Bill is really flexible on that. He has been asked that question in the past, and he just feels that a lot of the things we do can be adapted whether we are playing a 43 or a 34. But when he looked at our talent initially, he felt that the best defensive front for us talent- wise was the 34. Now, when we look at college players, we are trying to find players that fit somewhere in our defense. So we're consistent with it and we plan to stay with it because it's worked very well for us.

WR: Two final questions, Tom. These are historical questions that have no connection to anything we've talked about. First, why were the Steelers one of the two teams that moved from the NFC to the AFC when the two league merged?

TD: This is my recollection and I'm not sure it is totally accurate. They were having difficulty getting someone to move and someone went to Art Rooney and said, "Look, for the good of the game and the good of the League, would you consider doing it in Pittsburgh?" and Mr. Rooney agreed to do it.

WR: I'm sure that at the time that was a significant concession. One other thing. Everyone is changing their logos and colors and the Steelers have not. They won't ever change, will they?

TD: Probably not.

WR: They'll be no glitz in Pittsburgh?

TD: Our fans would be outraged. They love our uniform and we think it's one of the best uniforms in the League, so we don't have any plans to tinker with it. We tinkered with it last year because we went with Nike and they came in with unbelievable elaborate designs, pictures, a lot of things that they wanted to do. Mr. Rooney just looked at them. He just didn't feel it would sell.

WR: Was it a dramatically different design?

TD: Oh yeah!

WR: And the logo was different too?

TD: The logo wasn't really different, the design of the uniform was pretty far out there.

WR: As dramatic as Denver's?

TD: Not quite, but in that direction.

WR: Well, I'm glad you stayed.

TD: Yeah, we are too. We like it and it's us.

WR: There has to be some constants in the NFL.

TD: Well, there's not many. But maybe we're one of them.

The views, materials and opinions expressed in this section are those of the War Room and not those of CNN/SI


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