Is the Integrated Resort a Good Gamble?

Abstract

Tourism is a key industry in Singapore. To boost this industry, she is developing two integrated resorts (IR), a term used to describe a mixed-use development containing a casino. Nearby destinations such as Malaysia, Macau and Perth have casinos and these have proven to be popular and lucrative. The IR industry is expected to invest five billion Singapore dollars and create about 35,000 jobs directly and indirectly. While gambling is not uncommon in Singapore, and even legalized for some forms of gambling, the development of these IR is a controversial issue among Singaporeans. Many religious groups and social workers have expressed disapproval to the casinos citing the negative social impact of casino gambling including other undesirable activities often associated with gambling, such as money laundering, loan sharks and organised crimes. This paper examines the system variables and dynamics of IR using the large-scale systems engineering framework. It examines the goals, stakeholders, boundaries, and complexities involved in developing an integrated resort. In particular, it analyses the risks involved in introducing casinos, what are the possible safeguards and how technology can be used to provide some of these safeguards. Such factors will help to build up a strategy for planning and executing a successful integrated resort.