Casino Operators – What is the True Price of Risk Aversion?

The Law of Large Numbers implies that the more times you play a game, the more likely it is that your net gain, divided by the total amount you have bet, will be close to the game’s expected value. In other words, if a game can be repeated many times, good luck and bad luck tends to wash out. Can this be done with the decisions of technology in the gaming operations? Or running the business?What happens, though, if the game isn’t going to be repeated over and over? What if the game – purchasing technology, for instance – is played only once or just a few times? That’s when risk aversion comes into play.Being “risk averse” means that you are willing to pay money to avoid playing a risky game, even when the expected value of the game might be in your favor. Let’s consider the “risk” of investing in technology. Why do a few casino operators are willing to take the option that the other operators are not willing to take with technology? Why don’t some casinos purchase technology unless there are 20 other casinos that have done it, even though those that are leveraging technology are doing well in this current economic slump?As I visit with both commercial and Native American casino operators, I encounter many who are not willing to calculate the rate of return or use a return on investment (ROI) calculator to justify investing in technology. I can prove on paper how such an investment would result in efficiency gains, lower labor costs and better visibility into casino operations. But, many are uncomfortable with the risk of investing in technology simply because it is a change or because they would be the first on the block to do so.Stockholders, owners and tribal members want high rate of returns, but use 1970′s technology. Most operators employ generation that has grown up on the X-Box and knows technology inside out, but the C-level management may have an issue turning on a computer.Many C-level operators cannot answer the questions of how they are using business intelligence tools, what they are doing with their data warehouse, how they are leveraging payroll or business analytics. Would your CFO be able to give you a real-time cash value? Probably not. Many casinos may have educated employees that are stymied because the technology to answer these questions is either not available or not being used.Most successful businesses in corporate America have learned that when technology is used correctly, real business value is delivered. They have clear insight into business intelligence, have multiple systems integrated, and have full visibility of their data warehouse and business analytics. Most importantly, these companies can measure the ROI of their technology systems and how they contribute to the bottom line.I suggest that casino operators follow the lead of corporate America and adopt the technology advances that have already been proven to be critical in running a profitable operation.

Las Vegas Gambling Basics

The gambling scene, not only of North America but also of the entire world has one illuminated name that cannot be left out. Las Vegas – the city of paradise for gamblers. The casino resorts and the luxurious hotels in the city have left behind all holiday destinations. The city is full of opportunities, opportunities to thrill your senses in every possible way. Competition however has been on a high for the city from more than one city, which in deed has made the place go from being good to mighty good.
Owing to the competition it is facing from other cities it is today being forced to add value and substance and take the gambling scene to a step ahead. The result has been a boon to the casino goers in terms of amazing resorts cum casinos cum hotels. Be it the monumental el Coretz or the enchanting Bellagio, the place is filled with resorts and casinos and now places which are a mix of bests of both.Among other things one of the most remarkable is the return of poker. Fresh and improved versions of the game played in the snazziest of casinos by novices and pros alike has captured the fancy of many a players. A visit to any of the poker stations can never make you believe that the game was once played in smoke filled tacky roomsThe success of Las Vegan casinos depend on the enticing experience which always gets the rich and famous to the tables once again.
With the upcoming of High stakes lounges, moneyed players enjoy the comfort of private, luxury gaming rooms. Thus the rich and the famous have another reason for returning to the tables with wads of cash.However the Las vegans take good care of the economy class too, though along the years average prices in the city has been on an uphill ride, yet they managed to give provide plenty of playing room and a lot of fantastic sights too.The flashiest place on earth caters to the needs of peace lovers with the same hospitality as it serves the poker lovers. Vegas is filled with spas and golf courses to sooth the exhausted nerves of their guests with tranquility that is phenomenal considering what this place is better known for.Slots might be called as the games with the worst odds in favor yet they are sporty and offer gamblers a one-on-one game of chance in a non-threatening casino world.The most exclusive of retailers and chefs from around the world have been hand picked and planted in the city to provide you the shopping and the dining experience of your life time.The ambience takes you to the annals of the history, right in the lap of Venice of the yesteryears. Thus if you are looking for an experience to get the best the world had to offer, the place is got to be Las Vegas. All you need is time and loads of cash, even if you are low on it the place still won’t disappoint you.