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Stephen Rigby: President and CEO, Ontario Lottery and Gaming Corporation
October 6, 2015
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 Since joining OLG as the new President and CEO in January, 2015, Stephen Rigby has been working to lead the implementation of OLG's renewal and to strengthen Ontario's lottery and gaming industry. For the preceding three and a half years, Rigby was the National Security Advisor to the Prime Minister of Canada, where he was responsible for providing strategic policy and operational advice on matters of national security, foreign and defence policy issues.
As a 30-year career civil servant, Rigby has extensive experience leading and working in organizations undergoing substantial transformation. The positions he held at the Canada Revenue Agency and the Canada Border Service Agency gave him significant experience in broad-based service delivery, long-term corporate direction and large-scale change management. Canadian Gaming Business recently asked Rigby about the challenges of his new role with OLG and its place in the Canadian gaming industry.
Although you have been in your new role at OLG for a few months now, what were your initial impressions of the Canadian gaming industry and what areas do you anticipate will be the most challenging for you personally?
When you think of the gaming business, you think of entertainment. You reflect on it as you see it through movies or TV. In reality, the complexity of this business is quite profound—the mathematics of gaming, the intricacies of lotteries—this is something I never fully understood and it’s been a truly eye-opening experience for me.
However, the challenge for me does not lie solely in the complexity of the gaming industry. The challenge is in running a large organization such as OLG that is going through a complex change agenda. I had a 35-year career in the federal public service and some of my best experiences in Ottawa were running and transforming large organizations. In that context, OLG’s modernization was an extremely attractive opportunity for me that I couldn’t turn down.
In what ways has your past experience in the public service prepared you for your role at OLG?
Having had the great privilege of serving as National Security Adviser to the Prime Minister of Canada, the lion’s share of my three decades in the federal public service was in operational and leadership roles at the Canada Revenue Agency and Canada Border Service Agency. These organizations were undergoing substantial transformation and that gave me experience in broad-based service delivery, long-term corporate direction and large-scale change management. This is exactly what OLG is going through now. Modernization is an opportunity for OLG to be a pathfinder and a great example of public/private sector partnership. I fundamentally believe in this and I know we can do it successfully. |
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What’s your vision for the future of OLG and gaming in Ontario?
OLG has been very clear over the last couple of years as to why we are undertaking the massive modernization of lottery and gaming in Ontario. OLG’s current business model is not sustainable over the long term. Modernization of lottery and gaming is based on improving the customer experience in an efficient operating manner. To achieve this, we are focusing on three priorities:
Becoming more customer-focused. Being where customers are, offering products and services in their respective areas or in the ways they want them. OLG’s current terminal technology limits where lottery tickets can be sold and is not suited to adapt to current shopping patterns. That is why OLG is recommending the expansion of lottery retail options to include multi-lane sales in supermarkets and big box stores, the Internet and mobile devices, while continuing to support the existing retailer network. Also, OLG has joined other provinces by now offering the sale of lottery tickets on-line through our new internet gaming site, PlayOLG.
Selecting qualified service providers for the specific day-to-day operations of lottery and gaming. This is aimed at reducing public investment required for lottery and gaming infrastructure. For example, our lottery terminal network needs to be updated and the service provider would be tasked to with this upgrade. On the gaming side, OLG has proposed the four new gaming facilities across Ontario and the service providers will be building these sites.
Renew OLG’s role in the management of lottery and gaming in the province. OLG will become a leaner, more focused organization, responsible for the conduct and management of lottery and gaming and pursuing a gold standard for our Responsible Gambling (RG) program.
The goal of all of this is to increase our contribution to the province by continuing to help create jobs and trigger private investment across Ontario.
On a personal note, without reservation, this is the most complex transformation I have seen in my 35-year career. Ultimately, what I bring to this is a sense of pragmatism and realism. My job is to come in, provide some different perspectives, a clear sense of unified and consistent leadership and make sure we are linking up properly with government and everyone else who is involved in this process.
What product and service offerings does OLG currently bring to the industry?
OLG’s core products and services revolve around our biggest sources of revenue, a variety of exciting and engaging lottery games, along with an excellent customer experience at our slots and casinos.
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In the last fiscal year, our lottery business offered customers 19 terminal-based lottery and sports games, including LOTTO MAX, a newly refreshed LOTTO 6/49 game, and several regional interactive Watch-n-Win games such as POKER LOTTO and WHEEL OF FORTUNE. We also offer almost 80 INSTANT lottery games. For the second year in row, we achieved over $1 billion in sales.
On the gaming side, OLG owns and operates five casinos, operates 14 slot facilities at Ontario horse racetracks and conducts and manages four resort casinos – Caesars Windsor, Casino Rama, Casino Niagara and Niagara Fallsview Casino Resort. These sites are operated under contract by private operating companies. OLG also owns and maintains authority over the slot machine facility located within the Great Blue Heron Charity Casino. In January 2015, OLG launched its Internet gaming site, PlayOLG.ca. It is a safe and regulated alternative to grey market websites for legal-aged adults in Ontario.
In addition to our core lottery and gaming products, OLG is also involved in in a multi-year revitalization initiative with the province’s Charitable Gaming industry. Together with the Ontario Charitable Gaming Association and the Commercial Gaming Association of Ontario, OLG has been developing a unique customer entertainment experience and introducing new products and technologies to current bingo facilities.
Along with the introduction of PlayOLG, what have been some of OLG’s most recent developments and how will they lead your organization to further success?
OLG is undertaking two major initiatives that will have a positive impact on our future in the gaming industry: A new Gaming Management System and integrating horse racing into the provincial gaming strategy.
In regards to the first initiative, the gaming industry knows that the “central nervous system” for any land-based gaming is the Gaming Management System (GMS). OLG currently uses a legacy GMS called CasinoLink. It manages more than 12,300 slot machines at OLG’s slots and casino facilities across Ontario and has been in use since 1998. At the time OLG adopted CasinoLink, it was the only centralized, multi-site GMS available. However, CasinoLink has not kept pace with the needs of the gaming industry, making it difficult for OLG to both serve its customer base and grow its gaming business.
Once OLG announced its modernization plan in 2012, it was also time to bring GMS into the modern age. As OLG looks to private sector service providers to manage day-to-day operations at our gaming sites, the various service providers will be able to maintain their own GMS at their gaming sites and can launch their own loyalty rewards programs. However, both are required to be compatible with OLG’s future central GMS. Integrating all service provider Gaming Management Systems with OLG’s future central GMS is critical for OLG’s “conduct and manage” role and enhanced Responsible Gambling (RG) platform, both of which are key components of a modernized OLG.
The second initiative involves integrating horse racing into the provincial gaming strategy. OLG and the horse racing industry are working together to create a strategic, long-term plan for a future of profitable growth for the industry that will:
- Build the customer base by broadening public interest in horse racing
- Create and grow new revenue for both OLG and the industry
- Establish effective relationships between the government, the industry and its regulators.
The industry has a lot to contribute to the province’s gaming strategy—available facilities, existing customers and the name recognition of internationally-known horse races like the annual Queen’s Plate at Woodbine Racetrack.
OLG is providing provincial support to assist in the growth and sustainability of horse racing in Ontario by:
- Helping the industry build the capacity and structure needed for self-governance
- Increasing the public profile of horse racing, including the development of horse-themed products
- Sharing its expertise and helping to direct the industry to adopt a Responsible Gambling program
There is a strong future for horse racing in Ontario and supporting integration is the first step to building a long-term, stable industry for future generations.
What’s your philosophy for delivering the best gaming experience for the customer, your organization, government stakeholders and the gaming community?
OLG is in a very competitive entertainment environment. Ensuring the customer has a great experience, whether they are playing one of our lottery games, spending time in one of our casinos, or interacting online with PlayOLG, is ultimately the key to our success.
We have to listen to customers, anticipate their needs, and provide exciting and innovative games. As mentioned, our new GMS initiative will be an important factor in helping with the continuous improvements to customer service especially in land-based gaming.
We also believe and have invested a lot of resources in extensive customer service training for our employees and the thousands of independent lottery retailers. They understand the focus has to be on the customer.
Also our on-going commitment to responsible gambling is for OLG an important extension of good customer service. We provide our customers the resources and the tools to play our games in a safe and healthy way.
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