The Implication of EPOS Systems

The Implication of EPOS Systems William Hill is a major bookmaker worldwide, with over seventy years experience in offering betting services.   It is currently one of the leading gaming companies in the UK, where it operates over 1600 betting shops, serves over 800,000 betting slips each day via phone (standard and mobile), and recently began Britains first interactive digital television channel devoted entirely to gambling (Lee 2004).   It is the countrys most successful Internet gambling company in a country where over four million people bet in online gaming rooms every month (Thomas 2004).   William Hill was the first major gaming organisation to offer online betting, opening its website in 1996 (Lee 2004). The William Hill culture pairs low-cost, low-risk emphasis in businessdecision making with a willingness to be innovative, particularly inregards to use of technology (Hargrave 2004)).   This makes it all themore surprising that the organisation has waited so long to implementelectronic point of sale   (EPOS) machines in its betting shops.   Whilethese are expected to make the company more profitable, efficient, andcompetitive, the implications of these machine span across theorganisation.   Of specific interest is the effect of the system on thepeople involved, traditionally an important part of William Hillssuccess.   This study seeks to consider the possible benefits and losses to William Hill from the implementation of the EPOS system. Three specific areas of consideration are the effect of the machines oncorporate and local shop culture, whether the EPOS system will increase efficiency, and whether the system will contribute to increased competitiveness. The objectives of this study are to critically examine the introductionof an electronic point of sale system as implemented at William Hill.  Specifically, this study aims to examine the strategic considerationsof the EPOS and how its effectiveness can be optimised.   The studybegins with a review of literature and research available about WilliamHill, the firms operations, and EPOS systems in general.   ThisLiterature Review serves as a foundation for understanding analysis ofthe rest of this work.Following the Literature Review, of first consideration will be theeffect of EPOS on the corporate and local culture of William Hill.  Will EPOS enhance or detract from positive aspects of current culture?  Will the increase in customer information and the ease of its analysisdraw new customer groups into traditional betting shops?   If so, whatwill be the effect of this on the shops and their regulars?  Ã‚   How willstaff react to the changes caused by the EPOS system?   W ill EPOS changehow customers and staff interact?   How does the introduction of EPOScompare to the effect of technological advances on workers in general? The second objective is consideration of the efficiency of the EPOSsystem.   It will be compared to the traditional manual betting systemit replaced, with analysis of improvements in or negative effects ontime and cost.   Has William Hill become more efficient, and moreimportantly more effective, with the introduction of EPOS?   It is abetter organisation as the result of automation?   Finally, the study seeks to project the effects of EPOS on WilliamHills competitiveness.   Will the system encourage customers to switchto William Hill?   Can the organisations market share be expected toincrease?   What are the overall results on a holistic, corporate levelof automation, and how can the firm best implement such technologywithout undermining its established strengths?   What is the moststrategic way the system can be implemented, and how can it mostgreatly benefit the organisation as a whole?This study seeks to address these questions through the study ofinformation and data provided by William Hill and in literatureavailable about the firm, similar gambling companies, and electronicpoint of sale systems in general. It is anticipated that the EPOS system will be found to increaseefficiency and competitiveness for William Hill, albeit at some changeto and possible loss of culture.   This is anticipated to be an overallpositive innovation, however, increasing profit across several gamingplatforms, allowing for improved marketing activities, and increasingmarket share for the company.   The system is anticipated to provide afaster, more accurate, and more secure way of processing bets, inaddition to generating data relevant for market analysis. Many articles about William Hill, including the companys ownpublications, describe the organisation as an innovator (William Hill2005).   This is certainly the case, and low-cost, low-risk strategyhasnt kept the firm from pursuing technological advances and marketexpansion in many areas, the most recent being the installation of anEPOS system in its betting shops.   The company currently provides fourvehicles for gambling:   traditional betting shops, phones-basedbetting, including via mobile phones, Internet gaming, and interactivedigital television.   Plans to expand into casino gambling have beentemporarily shelved, as the Gambling Bill under consideration by thegovernment now appears less likely to benefit gaming organisations whoexpand into casinos (WH Annual Report 2005).   All of these may beeffected and possibly benefit from the introduction of EPOS machines.  Ã‚  EPOS can support all four major betting vehicles, and enhance how theycan work toget her to increase the number of customers, repeatcustomers, and customers spend.Traditional betting shops, also called retail shops, remain thebackbone of William Hills operations.   The retail division contributed166m of the pounds 232m, or almost seventy-two percent, of the totalprofits brought in by the organisation in 2004 (WH Annual Report2004).   The shops also provide a credibility and recognisable brandseen as contributing to the success of other gaming vehicles (Thomas2004).   The retail shops are the location of the EPOS machines, and arelikely to be most effected operationally and culturally by theirimplementation.   Demographically, the customers of William Hillsbetting shops tend to be older than customers using other bettingvehicles (Hargrave 2004).   It has been observed that shop customers arealso predominantly male. Internet gamblers are demographically younger, and many have neverentered a retail betting shop (Hargrave 2004).   They often participatein a variety of onlin e games in addition to traditional odds betting.  They are likely to hop from site to site, and show little loyalty toany one gaming organisation (Thomas 2004).   Online gambling firms musttherefore work harder to differentiate their site from the many othersavailable.   As over time a natural consolidation of the market islikely to occur, those organisations that can reinforce their marketpositioning are more likely to succeed (Thomas 2004).   William Hill hasthis positioning as a sector leader with multiple gambling vehicles.  This positioning will be enhanced by the EPOS system, a way to linktraditional shops with their credibility and market presence, to thefirms online offerings.   The convenience of EPOS and the organisations electronic vouchersystem could encourage online gamblers to consolidate their gamingactivity with William Hill.   The EPOS support William Hillsintegration of their online business and local shops, with onlinecustomers now able to deposit mo ney into or draw from accounts at anyWilliam Hill shop.   The voucher system allows customers to depositmoney or withdraw winning from any William Hill shop.   This wasoriginally handled over the counter; however, the new EPOS system nowallows the entire system to be handled by machine (Anon 2003).This has the potential to increase both shop-based and onlinebusiness.   For example, a thirty-something career woman might behesitant to frequent one of William Hills betting shops, perceivingthem to be historically male-dominated, older, and perhaps evenworking-class.   However, she is on her way to do some shopping, anddecides to quickly draw off her recent online winnings.   She stops in abetting shop, and has a positive experience.   It is clean, well run,with professional, courteous staff.   She can draw on her winningseasily using the EPOS terminal.   Because the woman has a favourableexperience with the product and people in her transaction, she issignificantly more likely to use the EPOS terminal again, and to stopin the betting shop.   William Hill has possibly converted an onlinecustomer to an online and shop customer.   Similarly, some shop regulars may eschew credit cards.   Online gamingis therefore unavailable to them.   EPOS in combination with WilliamHills combined online and shop accounts allow these customers todeposit cash at their local betting shop, and use those funds foronline bets.   This has the potential to further increase the firmsonline customer base.   Internet customers may be further intrigued bygaming options offered online that go beyond their options via shops orthe phone.   Using the Internet to place traditional bets, for example,increases the chance these customers will try arcade or casino gamesavailable online, thereby increasing the types of product purchased(Anon 2003).   This expands the purchase mix for William Hill, andincreases the likelihood of larger total purchases per customer.A concer n for management should be the potential of one gaming vehiclesuch as the Internet to draw customers away from the firms othervehicles, in effect cannibalising its own operations one for theother.   William Hills most recent Annual Report acknowledges thisissue (2004).   The company has analysed profit and other financialdata, and is confident that no cannibalising is taking place.   Allthree gaming vehicles in operation for the year have shown modest toimpressive growth, with no indication of one taking customers at thedetriment to the others (WH Annual Report 2004).Phone betting, including mobile betting via WAP technology, is seen bymany as the gaming vehicle of the future (Hargrave 2004).   The EPOSsystem could contribute to the expansion of phone betting by making iteasier to draw on winnings and deposit funds for future bets.   The OffTrack Betting organisation in New York City, USA, found lines andcustomer wait time reduced by up to forty percent at some outlets wit hthe implementation of various betting and point of sale machines (OTB2003).   The system can similarly support William Hills newest venture,interactive television.   There are questions whether the firms brandis strong enough to support a television channel, although thepotentials for increased revenue are significant (Hargrave 2004).   Theorganisation does not intend to broadcast many sporting or otherbet-producing events, given the prohibitive cost of doing so.   Rather,the television channel will offer number generated betting options, aswell as gambling games similar to those offered by the firm on itswebsite (Hargrave 2004).   This allows the non-computer literate toparticipate in betting outside of traditional shops.   Their anonymityand access to gambling increase, both of which have been linked toincreased consumer spend (Anon 2003).   Non-computer literate gamblersare no longer bound by the restricted hours of the betting shop, andcan play a variety of gambli ng games through their televisions(Hargrave 2004).   The EPOS s ystem supports this gaming vehicle in thatthese customers must have some way to deposit money for their gamblingactivities and withdraw any winnings they may have.   The EPOS systemallows them to do this conveniently and with the same discretionafforded to them by interactive television or the Internet gamblingvehicles.One potentially negative effect of the EPOS system is reduction ofcustomer loyalty.   Loyalty occurs when a consumer experiences goodproduct at a reasonable price and convenience, with acceptableservice.   If these expectations are met, the customer is likely torepeat the shopping experience.   Over time, the customer forms a habitof this shopping experience, which then develops into an attitude ofloyalty (Duffy 1998).   One component of loyalty development is staff,and in particular customers interaction with staff.   The peoplerepresenting an organisation and the service they provide can m ake orbreak a customers purchasing experience (Garavan 1997).   The EPOSsystem will replace some functions currently performed by people, whichmay have a negative impact on both customers and remaining staff.Repeat customers make up a significant portion of retail bets in thegaming sector, and many have established some form of relationship withretail staff.   These relationships contribute to the loyalty or habitsof customers, causing them to frequent one gaming retailer, and therebyincreasing the customer spend at that shop (Anon 2003).   This customersegment may feel overlooked with the replacement of some stafffunctions by machines.   For example, a man regularly frequents hislocal William Hill betting shop, gambling regularly as a hobby, but notto the gambling addiction level of play.   His visits to William Hillmay be for him the same as another persons frequenting a neighbourhoodpub; in this case he has the opportunity to interact with others whoshare his interest. The common denominator in such social interactionwill often be the shopkeeper or retail staff (Gamble and Gamble 2005).  If this social interaction is lost, the customer may switch to asimilar s hop operated by another organisation where such interactionis supported.   Fortunately for William Hill, the other major bookmakerswith whom it competes have already implemented EPOS systems, makingthis customer loss less likely to occur (Hargrave 2004).The EPOS removes the feeling of being disloyal to shop staff by bettingonline instead of at their establishment, which could also potentiallycontribute to lost customers.   Customers who shop at one establishmentfor a long period of time may feel guilty or embarrassed when changingto another store.   They may try to avoid contact with staff from theirprevious shopping preference if they have been trying out other storesfor a period of time (Gamble and Gamble 2005).   With the reduction ininteraction between William Hill staff and cu stomers caused by the EPOSsystem, the customers may no longer have social need to continue to betexclusively or predominantly with William Hill.Another possible loss is to the William Hill culture, particularly thatof local shops.   Steve Smethurst quotes David Russell, William Hillsgroup HR director, as acknowledging, â€Å"Once we have that in place [theEPOS system], the requirements on shop managers to settle bets will begone:   that challenges the very core of what people have been doing foryears† (2004, 36).   For one thing, the introduction of the machinesreduces the number of staff required at each shop.   The company has nostated plans for layoffs, but also has not addressed the impact EPOSwill have on staff (WH Annual Report 2004).   This may be in part to thetraditionally high turnover in some segments of the gaming business,although more prevalent in the telephonist position that in retail shopstaff (Smethurst 2004).Management of gaming organisations need to examine the importance ofpeople in their product differentiation.   Consideration is called forin examining the fact that all the major betting shops now utiliseelectronic point of sale technology, and much of this is produced bythe same company, Alphameric Red Onion (William Hill PLC 2004).   If onecan access the same machines at any shop, and each has similar bettingoptions, what would cause the customer to frequent one shop overanother?   While some online gaming organisations seek to an image ofglamour and escape to paradise after a long day at work, this type ofpositioning is more effective for the casino venturing into onlinegaming than the traditional betting shop down the street (Thomas2004).   Re-branding a company as old and established as William Hillwould be difficult, expensive, and unlikely to be effective.   Nor is it possible for any one gaming establishment to differential itsproduct on price in the long-term.   The EPOS system will produce costsavin gs compared to the former manual bet-taking and managementinformation systems (WH Annual Report 2004).   This cost savings occursfrom reduction in staff needed to operate a betting shop, more rapidprocessing of bets, and standardisation of bet settlement by removingthe local human component.   The EPOS system also replaces manual inputinto management information systems, allowing increased communicationbetween shops and the corporate offices, and increasing the companysability to respond to betting fluctuations (William Hill PLC 2004).  The firm did incur additional capital investment expense during 2004due to the purchase of the EPOS system, but the Annual Report indicatesthis is a negligible amount and will be easily amortised. Cost benefits, resulting in increased profits and more competitiveprice structures, in combination with lack of product differentiationin the gaming sector, can be expected to result in increased marketshare for William Hill.   This increase should occur across all four ofits gaming platforms, although primarily in Internet, mobile andtelevision sales, as lack of differentiation causes sector-wideconsolidation and the elimination or absorption of smaller firms byindustry leaders (Thomas 2004).   Some market advantage certainly goes to the organisations with the most(and most convenient) locations.   William Hill CEO David Hardingstresses the importance of place in the firms differentiation efforts,contending branding and convenience are the most important factors ingaming choice.   â€Å"People always underestimate the guiding principle ofbetting, and thats to make it convenient,† he states, â€Å"branding willalways remain dominant, and as long as you make it easy to gamble,people will do so† (Hargrave 2004, P20).   Along this line of thinking,over time the sector power of larger organisations with theirestablished shop sites will cause market consolidation, squeezing outsmaller firms (Thomas 2004).   This then further enhances theconvenience of the shops of large-sector players.   Organisations thatcan integrate their various services, as described above in theinteraction between internet gamblers, William Hill  rquote s voucher system, and EPOS machines in the local retail shops, also have an advantage in the convenience department.   However, loss of personal touch is something William Hill should beseriously considering.   Atomisation historically causes loss of jobs,and â€Å"William Hill employs more than 10,000 people:   8,500 in shops,1,000 in call centres, and 1,000 in support† (Smethurst 2004, 36).  People, particularly retail staff, play a major role in product andorganisation differentiation within a service-based firm such asWilliam Hill.   This is particularly relevant as the company pridesitself for its rigorous hiring practices and top-notch staff.   WilliamHill undertook a complicated pre-hiring screening process to help thecompany ensure i t was bringing in workers with the best possible jobfit (Smethurst 2004).   For example, the human resources department atWilliam Hill â€Å"identified the motivational factors that make someonegood at a job,† then formulated a profile of the ideal front-line staffperson (Smethurst 2004, 36).   This profile was used to c reate anautomated telephone screening process that was used with all initialapplicants to the retail shops.   The company then sends potentialrecruits through interviews and role-play exercises before making a joboffer (Smethurst 2004).   All these evaluate the attitude as well as theskills of potential employees.   Smethurst quotes Russell as saying,â€Å"you can add skills to people, but if they had the wrong attitude inthe first place then its not going to work† (2004, 36).   HopefullyWilliam Hill management has considered the possible impact on staff andtheir attitudes in their implementation of EPOS machines.Human Resources Consultant Richard Samson of the EraNova Instituterecently presented his theory of out-peopling (Frauenheim 2001).   Justas jobs can be off-shored from one country to another, so jobs can beout-peopled, going from work performed by people to work performed bymachines.   While this can offer short-term advantage, Samson arguesthat similar potential losses are likely in the long-term.   â€Å"Most ofthe work tasks done now by people will be done by smart technologywithin twenty to thirty years† (Frauenheim 2001).   Job loss causesanger and resentment amongst those put out of an organisation, andoften-sympathetic bad attitudes with workers who remain.   This shouldbe of particular relevance for a firm so concerned about workerattitude that they developed a complex and expensive screening processto ensure proper attitude amongst new hires.   Remaining employees alsobecome even more key to the generation and maintenance of customerloyalty, as   the fewer employees with whom an individual customerinteracts, the more important the quality of interaction with theemployee becomes (Garavan 1997).Reduction in employees in proportion to machines can also influence thepublics perceptions of the organisation.   William Hill is a companythat promotes service as part of its corporate image.   This serviceinfers a level of caring amongst those at the company for theircustomer (Company Website 2005).   If the customer begins to viewWilliam Hill shops as simply a place lined with electronic kiosks, muchlike the gambling version of the local Laundromat, this image of caringservice is no longer projected.   This can contribute to customerloyalty and repeat purchase over the long-term.   Management must find away to maintain its positive corporate image, therefore, while goingforward with its atomisation and cost-saving plans.Loss of jobs also creates macroeconomic impacts for both the sector andthe country.   This has historically been evidenced across manyse ctors.   In agriculture, for instance, small farms that once requiredan entire family to run have been swallowed up and consolidated withlarge commercial ventures that employ many machines and few people(Gottheil 1999).   Economic impacts of rapid changes in job availabilityand employment can destabilise an entire economy.   If unemploymentsoars and discretionary income plummets, William Hill and other gamingorganisations will likely see a sharp drop in profits, as they are adiscretionary spend for most consumers (Gottheil 1999).  Ã‚  Ã‚   More machines also lead to the increased likelihood of gamblingabuse.   The University of Sydney, Australia, undertook a significantstudy of the effect of gambling machines, ATM machines, and EPOSsystems on gambling abuse and addiction (Blaszczynski, Sharpe andWalker 2001).   They found customers were more likely to abuse gamblingor display addictive behaviour when gaming places were primarilymachine-serviced.   The more people invol ved in gaming transactions, theless likely addictive behaviour was evidenced, unless such behaviourwas encouraged by the staff involved (Blaszczynski, Sharpe and Walker2001).   They additionally found limiting the combination of machines,such as removing ATM machines from shops where EPOS and similar wereavailable reduced addictive behaviours.Also, while gambling addicts are often profitable in the short-term togaming establishments, too many people suffering from this malady hastraditionally led to public outcry, tightening of gaming regulation,and increased taxes on winnings (Blaszczynski, Sharpe and Walker2001).   It is in the best interests of all involved, therefore, forgaming organisations to strive to increase customers gambling spendingwithout crossing the line into gambling addiction.   The University ofSydney study showed that slowing the timing on machines, for example,reduced the likelihood of display of addictive behaviour Blaszczynski,Sharpe and Walker 2001.   Research and findings such as this should bestrongly evaluated by William Hill management to ensure the optimum useof gaming machines in its shops.Still, not withstanding possible detractions to the organisation, theEPOS system offers many potential benefits to the William Hill firm.  Electronic point of sale technology will enable the bookmaker to take,settle and pay bets electronically, record information from suchtransactions in a central software system, display and distributetargeted betting opportunities and manage estate-wide risk (WilliamHill PLC 2004).   Of these benefits, the two most intriguing from acorporate standpoint are the ability to gather data and profilecustomers, and the resulting use of such data in creating targeted andevent-specific marketing.The EPOS system also allows for extensive capture of customerinformation.   Data generated from customer input can include the numberand frequency of bets, the type of events bet upon, the average amountof each bet , and much more.   This allows the firms management tocreate customer profiles, representing current and target consumergroups.   (Woodruff and Gardial 1996).   For example, a middle-agedcustomer bets on dog races every other Friday.   He typically bets onthe favourites, in the total spend range of pounds forty to sixty, witha typical mix of eight to twelve bets of three to five pounds each.  Since he frequents William Hill, the company can assume some level ofretail brand or local shop loyalty.   The firm would like to see thecustomer bet more often, and in greater amount.   Because they havecollected this data on the customer through the EPOS system, they cansend him direct, targeted advertisements for dog races, and bettingwithin his favoured range.  Ã‚   If they can entice him to place a betoutside his pattern, they have potentially increased his regular spendin addition to this one betting event (Smethurst 2004).   Data gathered from the EPOS system can also b e used to create customerprofiles, which can then be targeted for marketing and event-specificadvertising.   William Hill noticed from similar data gathered on itswebsite that many were registering but not betting.   They hired aprivate firm to assist them in converting this web traffic into betting(Lee 2004).   The firm divided website registrants into four randomgroups.   One group was sent nothing, one was sent a service-led followup email, one was sent an offer-let follow up email, and one received areminder email that they had yet to place a bet.   The company was ableto demonstrate that service- and offer-led email follow up increasedthe number of registrants who became bettors by more than five percent(Lee 2004).   If an experiment such as this can have such positiveresults with random groups, imagine the impact of targeted emails andadvertising on William Hills customer base.Another benefit to the company is that electronic point-of-saletechnology will increase t he efficiency of William Hills bettingoperations.   Prior to the EPOS system, all bets were placed andrecorded manually in betting shops.   In an oversimplified explanationof the manual process, a customer would place a bet by giving a writtenticket to a retail shop staff member, who would give them a receipt inreturn.   The customers bet would be recorded in the shop, and if theywere entitled to winnings, these would be settled by the shop manageror designated staff person.   The organisation had various managementinformation systems into which data from individual shops was recorded,and this was forwarded to the central offices on a regular basis(Caldecote 2004).   Issues for management with the manual system included both the accuracyand detail of reporting.   For example, under scrutiny regarding theannual amount of unclaimed returns at William Hill, David Hood claimedthe company was unable to quantify annual unclaimed returns because thepre-EPOS reporting system did not record or allow for such (Caldecote2004).   This type of information is vital to managements analysis ofthe overall health of the organisation, in addition to profit and losscalculations.   The detail of information provided by the EPOS systemwill easily rectify these reporting difficulties.   The electronicsystem will also save time, allowing data from each shop to be capturedalmost instantly (William Hill PLC 2004).   This enables the company tocalculate statistics and perform analysis on events as they occur, forexample.   In a time-sensitive business such as gambling, this can be ofgreat advantage.Another benefit is that the EPOS system potentially allows William Hillto expand business hours at reduced cost.   As it reduces the need forstaff, betting shops can remain open longer for the same staff costs.  Longer hours give customers more opportunity to bet, increasing thelikelihood of more customers betting because of the enhancement inconvenience, and increas ing the amount customers are likely to bet, asthey are in the betting shop for a longer period of time.   Morecustomers and more spend mean more profit, and potentially more marketshare, all of which are naturally favourable to management (Woodruffand Gardial 1996).     Ã‚  Ã‚   Increased efficiency typically leads to increased competitiveness,provided the firm is being efficient about the right activities.  William Hill was a bit behind its competitors, being the last major UKbookmaker to implement an EPOS system.   It faces one primary competitorin the broader sector, Ladbrokes, and a slew of smaller competitors,primarily in the online market (Thomas 2004).   While many of thesesmaller competitors are striving for differentiation along a variety oflines, William Hill holds to its position that its company branding andstatus will carry it through against such firms.   It has the advantageover Ladbrokes of being in the online gambling arena longer, and hasstepped ahead of them in its entry into television.   Ladbrokes has alarger number of traditional shops, however, which must be factored ingiven William Hills emphasis on the importance of convenience andplace in its loyalty strategies (Thomas 2004, Hargrave 2004).   Ladbrokes also has employed EPOS for a longer time, and has thereforeincreased the integration of the machines and the data they generateinto its overall business and marketing strategies (Hargrave 2004).  The two have similar brand recognition, and are viewed as primecompetitors.   Given Ladbrokes already uses an EPOS system, it is morelikely that increased market share for William Hill will come from theelimination or absorption of smaller competitors, rather thansignificant customer win from Ladbrokes.  Ã‚   Findings of the analysis of available literature concerning WilliamHill, EPOS systems, and potential benefits and losses are generallyfavourable for the EPOS system.   The potential drawbacks of the EPOSsystem include lessened customer loyalty and damage to the corporateimage of a service-oriented firm.   Staff attitude and feeling of valuealso have the potential to suffer from automation.   The system fits inbroad corporate culture of a firm innovative in its use of technology,but may have a negative impact on employees and could potentiallychange local shop culture.   This is particularly important if jobs willbe lost or phased out due to the introduction of the EPOS machines,although the company has not indicated this will be the case.   Theorganisation must finally be cognisant during both implementation andcontinued operation of the potential for gambling abuse and addictionusing EPOS and other automated gambling devices, and make an effort toprovide   a safe, contro lled betting environment.The anticipated benefits of the system, however, outweigh potentialdrawbacks.   First, the EPOS system will increase efficiency in how betsare taken, settled, and paid, both increasing security in bettingtransactions and making each transaction faster and less expensive.  This provides the firm with the potential to forward such savings tothe consumer, increasing the companys ability to meet or beatcompetitors on price issues.   Whether or not any cost savings are passed along to the consumer, thesystem also makes William Hill more competitive in a number of otherways.   In combination with the voucher system already in place, theEPOS system greatly increases the convenience afforded to the customerin placing and settling bets, and withdrawing winnings.   This increasedconvenience is anticipated to result in new customers, particularlythose drawn from other

Droughts: The End of the American West Essay -- Climate Change and Dro

Droughts are one of the most expensive natural hazards and have the potential to last for months or even years (U.S. Drought Portal). Along with famine and flooding, droughts are considered one of the top three threats to the population (Oblack). A drought is defined as an unusually long period of time with persistent lack of precipitation that causes serious problems. Several factors that affect the severity of a drought are the degree of moisture deficiency, length, size, and location of where the drought occurs (Droughts). A drought can be categorized four ways. A Meteorological drought occurs when there are significantly lower levels of precipitation than normal. This type of drought is dependent on the region because what would be considered normal precipitation in one area could be different in another region. Agricultural droughts refer to when the amount of moisture is less than what the crop in that area requires. Hydrological droughts are when the water supply in the surface and subsurface of the ground is below normal. Socioeconomic are when the lack of water begins to affect people (Droughts). Droughts are caused when there is less rainfall then normal on a region. When the air sinks (subsidence) there is compressional warming or high pressure, which limits the formation of clouds. As a result, there is lower humidity and less precipitation (Predicting Droughts). Additionally, if there are higher temperatures or shifts in the wind pattern this could cause the evaporation of moisture in the ground to increase (Plumer). Droughts can be aggravated by people’s overuse through heavy pumping and farming of marginal lands that puts a strain on the water supply. Additionally people affect droughts by damming rivers. ... ...id W. Hyndman. Natural Hazards and Disasters. 3rd ed. Australia: Brooks/Cole, 2011. Print. Oblack, Rachelle. â€Å"What Causes Droughts?† About.com. N.p., n.d. Web. 10 Apr. 2013. . Plumer, Brad. â€Å"What We Know about Climate Change and Drought.† Wonkblog. Washington Post, 24 July 2012. Web. 10 Apr. 2013. . â€Å"Predicting Droughts.† National Drought Mitigation Center. N.p., n.d. Web. 10 Apr. 2013. . â€Å"Predicting Droughts with Greater Certainty.† Science Daily. N.p., 3 June 2009. Web. 10 Apr. 2013. . U.S. Drought Portal. NIDIS, n.d. Web. 10 Apr. 2013. .

Economic Development in Urban Areas Essay

Many villagers and small town dwellers want a living in big cities. With some expectations, they make a movement from villages to big cities. This migration from rural areas to big cities is called urbanization. There are two kinds of factors why rural people seek for urban life. The first one is urban pull factor. They dream for higher wages, better housing and utilities, better school and hospital, more jobs opportunity, and more experience that they can get it all from a living in big cities as they think. The second one is urban push factor. We know that most of rural areas people are farmers. There’s not much else to do anymore in the village but wait for harvest time and without higher level of education, availability of media, or facilities that they need, they might be stimulated to move to urban areas. But after they reached what they called their dreamland, most of them must face more problems than what they had when they lived in villages. They will face some problems because of their insufficient abilities, experience, education, and skills those are needed for a good living in big cities. For instance, they can’t provide housing or maybe they can’t find any job. And then they just stranded with the option of staying in cities or coming back home. As the result of urbanization, cities have more problems to overcome such as pollution, overpopulation, drug abuse, congestion, crime, poverty, traffic jam, slum areas, and many more. There must be something to solve these problems. Government and citizens should be involved because taking care of city problems can’t be done entirely by government. The community can be even more successful because it deals directly with problem areas. As the solution to solve those problems government can provide housing, create a new regulation transmigration program, provide skills training program, or start to develop in rural areas. Beside that, citizens can help to succeed government’s programs with giving charity, offering some good job to jobless people, becoming foster parents who subsidize the education fee for underprivileged children, or offering a low cost housing for homeless people. Last of all, urbanization not only impacts a better future than living in a village, but also worse. Villagers must consider about their ability to deal with a living in problem-ridden city before they intend to move to big cities. Economic change has helped lead America into urban crisis for the following reasons. First of all, because urban problems are no longer confined to the inner city, but are regional in nature. The federal government has, also, largely drawn from the urban policy arena, thereby having cities and sates to develop their own solutions to local problems. Furthermore, the economy of cities is no longer organized around a central business district, but is dispersed throughout a metropolitan region. Next, the national economy has experienced a fundamental reorganization and many cities have experienced the direct effects of deindustrialization and disinvestments. Additionally, the fiscal crisis within the public sector is unprecedented and has seriously negative effects for the provision of services at all levels of government. Finally, the nature of work itself has changed within cities as more women enter the labor market; the changing nature of work has affected the urban family in many ways, many of which have direct ramifications for social welfare and family policies. There is a great amount of inequality of income in some cities. Most of those who fall bellow the poverty line is African Americans and Hispanics. This is because they are placed in low paying jobs. As more and more people immigrate into the country, there are less and less jobs to go around. This creates a larger poverty gap. People just coming here to America are placed in very low-income jobs. This is all they can get if they don’t speak any English. For example, here at Rider the cleaning people are all Spanish. They don’t speak any English, and their job is to be the cleaning crew. These are the only types of jobs that these people can get most of the time, and this makes our percentage of people who are in poverty go up. Another problem that is contributing to the urban crisis is the rise of single-parent families and ‘present-orientated’ values. The problem here is that the divorce rate in America is getting higher and higher, and also the amount of children being had out of marriage is greatly increasing also. This creates one parent raising a child. The problem here is that there is no proper care for children in this situation. The parent has too much responsibility. They are to provide for the family, as well as adequately care for their children. When the single parent has to go to work, to get money to pay for a place to live, food, and clothing, there leaves no time to watch and take care of the children, meaning children are left to take care of themselves after school is over and this result in a lot of problems for the communities. These children cause trouble. They are the ones who commit most crimes in an urban environment. This is why in an urban city there is a lot more crime. There are a lot of children left unsupervised for most of the day and night. Another problem is the ethnic tensions that there are in America. There are many things that are wrong with this. The first problem is that because of racism, people are secluded. They are pushed to all live together, because people don’t want to live next to them. This is how a ghetto is started, and slums. All the people of low incomes live in the same neighborhood together. They also contain the high crime rates because these are the people who are also of single parent families and their children are left unsupervised. Another problem with racism is that people are given lower paying jobs because of their race, and also, they aren’t able to have to same amount of experience as other people. They don’t go to as good of schools, and they then might not be able to go to college, so they are stuck. They can only get a low paying job. This creates families to be stuck in poverty for generations, they can never get out, unless with government assistance of some sort. Then this makes the inner cities all full of low-income families, and creates a poverty stricken area that cannot be fixed in any way. If there were more integration within neighborhoods, then we wouldn’t have these areas. Another reason why urban America is in crisis is because of the underground urban economy. This also causes a lot of crime in urban cities. The people in these cities who are poor, and are trying to find a way out, usually try by doing something illegal. A big example of this is drug sale. People start selling drugs to get money. This creates a lot of problems. The selling of illegal materials results in murders, and robberies, to either get the drugs, pay for the drugs, or avoid getting caught selling them. Another example of this is people stealing things, like car parts, and selling it on the black market. All of these illegal acts always result in something that makes the cities look worse and worse to live in. I know that when I go into Little Rock I am really afraid, because I know that there is a really high amount of crime there, and I am always thinking that someone is going to try to shoot me for my car, rob a store that I am in, or something else. Stereotypes of cities are easily created, and this doesn’t help the situation. Also, the advancement in technology has lead many people to be left without jobs. This technology had created more unskilled labor, and putted skilled labor to a minimum. People, who had been specialists at doing certain skilled work, are constantly being replaced by machines that can do the same work faster and cheaper. This creates a huge economy gap. It makes the rich get richer and the poor get poorer, by giving all the money from the profit of sales to the company owners, rather than to employees. So, the people who were already well off, have even more money, and those people who were middle class citizens are now jobless, and can not afford to take care of their families. The problem here is obvious, the more jobs that are lost because people are replaced by machines, the greater the amount of people who become in poverty. The numbers keep increasing. The UNFPA report we are launching today is of great importance and very timely: â€Å"unleashing the potential of urban growth†, as the report’s subtitle indicates, represents the greatest challenge of this century. The diagnosis made in the report is beyond dispute: urbanization is inevitable, but it can also be positive. Furthermore, the report focuses on poverty since it is poor people who will make up a large part of future growth. The report also focuses on the situation of women and young people. Projections suggest that in 2030, 60% of the population will be less than 18 years old. This is a very explosive situation if prevailing development models continue to exclude young people. My own research in various African capitals indicates a clear deterioration in the situation of young people, particularly with respect to access to paid employment. Younger people are taking more time than previous generations to find work and more often find themselves in precarious jobs in the informal sector. A society that does not provide challenging opportunities to its youth is a failed society. The situation is already catastrophic in the cities of the poor regions of the world and it is obvious that young people will not accept being excluded or marginalized. They will resort to alternative means, including violence, to challenge a world that leaves them so little space. I would suggest that this is urbanization’s greatest challenge is giving young people access to decent jobs that match their aspirations. In short, we must recognize the great merit of this report, which identifies the real problems and makes an extremely valid diagnosis.

Craftsman House Photos, Inspired by Arts and Crafts