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Question of the Day - 22 July 2008

Q:
When you really pay attention to the table games, it’s amazing how many variations there are in dealing procedures —- from the rules employed to how the cards or dice are handled. It seems to me that after all this time, there must be one best way to do things and it must be known. So why are there so many variations?
A:

The first determinant of procedure is what’s required by the law in a given jurisdiction. For example, you’ll find much less variation in Atlantic City, where laws relative to procedure are more rigid, than you will in Nevada. But when there’s a choice, it all comes down to what each casino believes will make it the most money and that's often something of a balancing act.

The obvious example is blackjack, where rules and number of decks dealt have an effect on the odds. Casinos decide how liberal a game they want to deal, then set their rules accordingly.

Other considerations include the level of game protection a casino desires and the expense of equipment, including the cost of cards. A good example of the balancing act shows up here, in determining how long a deck is left in play. Leaving the cards in play longer reduces the expense of new decks, but increases the security risk, as worn or doctored cards can be exploited by expert players.

Much less obvious, but equally important, are decisions about dealing procedures themselves, where considerations of "time and motion" come into play. The term time and motion relates to the value of speed from the casino’s perspective. The amount of money a casino wins at its games is a function of several things —- the odds of the game, the skill of the player (except in instances where there is no skill or knowledge component), the size of the average wager, and the speed at which wagers are made. This last variable is where time-and-motion considerations come into play. Many sophisticated mathematical studies have been conducted to derive conclusions in this area, but disagreements remain about what works best, which leads to variations in dealing procedures.

One famous proponent of subordinating almost all other considerations in favor of speed was Bill Zender, author of the excellent book Advantage Play for the Casino Executive, when he was the casino manager at the old Aladdin. Bill went so far as to instruct his floor personnel not to worry about (most) card counters, so as not to slow the pace of his games. The rest of the casino world never quite bought into this style (though some labeled it operational genius).

By the way, you may recognize in this discussion ideas that apply in reverse to players. Longtime LVA readers will certainly recall advice over the years to reduce your exposure when you play games in which the house has the edge (most or all of the time for most players). Doing things like playing at full tables, playing in hand-held blackjack games (where more shuffling reduces hands played), and dialing down speed buttons on video poker machines are all time-and-motion related.

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