One in a billion

Just as one never expects to win the lottery, 25-year law enforcement veteran Michael Wells never imagined working for the organizers of one.

“I often look back and think, ‘How did this happen?’,” the Oregon Lottery Director tells The CEO Magazine. “It certainly wasn’t my career aspiration, but I’ve really enjoyed it. It exercises parts of my brain, education and experience I hadn’t used in a long time.”

The operation of a lottery goes beyond offering people a chance at a fortune, such as Oregon Lottery’s US$1.326 billion Powerball jackpot that went off in April 2024. Wells says Oregon has benefited from the lottery as a pillar of community growth.

“Through our work, we support state beneficiaries with funding for programs such as education, job creation, state parks, natural habitats, veteran services and problem treatment,” he says. “In the financial year of 2023, the Oregon Lottery contributed US$902 million to state programs.

Add to that the challenges that come with staying competitive while remaining within the guardrails of policy makers, and you can start to understand why Wells is being pushed to his limits.

Delicate balancing act

But the Director feels right at home applying his considerable skill set to achieving the Lottery’s purpose, which has been in place since 1984. “That’s to operate a lottery with the highest standards of security and integrity to earn maximum profits for the people of Oregon commensurate with public good,” he says.

“We are aware that some people will develop issues with gambling, and my role is to ensure that we deliver on our mission, promote safer gambling and connect people with the free counseling and resources supported by Lottery funds.”

When Wells first arrived at Oregon Lottery, it was for a newly created position managing cybercrime. “I’d worked with the FBI on cyber intrusion cases, and then here I had to open the lottery’s eyes to cybercrime and what they should be doing to protect themselves,” he recalls.

Shortly thereafter, he was promoted to Director of Security. Then, in December 2022, Wells was made interim Director. Less than a year later, he took on the top job officially.

“We’re a self-funded agency, so being transparent with revenue is cruical. and ensuring we’re the best stewards of those funds that we can be so we can give back to the state as much as possible,” he says.

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“Working with the Oregon Lottery Department over the last two years has been truly rewarding. We've built a strong professional partnership, working shoulder to shoulder to keep the organization secure in the face of complex cyber threats. The deep trust and strong collaboration made it feel like we were one team working toward a common goal.” – Tom Sollel, VP Client Leadership, Sygnia

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Wells is a firm believer in transparency. “Something I’ve found throughout my career is that transparency tends to be the best option. We have a very clear understanding of why we do what we do, and we’re very transparent in how we do it,” he explains.

That applies internally as well. Wells says he’s upfront with his staff about purpose and intentions. “When there’s a lack of transparency, people will create a story of their own, and then you have to respond to that and change the opinions that have developed,” he says.

Earning public trust

With public trust at the heart of Oregon Lottery’s operations, Wells says he and his team are constantly working to bridge the gap between that and being a market-driven business.

“We have to provide a product and customer experience that’s engaging, desired, competitive and unique,” he says.

Oregon Lottery has tackled that challenge through video lottery terminals. Over 10,500 terminals are available around the state and contribute US$1.2 billion, or 70 percent of lottery revenue.

A partnership with DraftKings in the realm of sports betting is also paying dividends.

True to his original purpose, Wells has also strived to keep Oregon Lottery free from cybercrime through an alliance with cyber readiness expert Sygnia Consulting.

“We’re very focused on modernization, as our legacy custom-built technology solutions were holding us back for a long time. In the last five years we’ve made massive improvements that have allowed us to scale better and look at new options,” he says.

Understanding where the industry is going has allowed Wells and the Oregon Lottery team to keep the business relevant and clear in a time of technological change.

“The reason we work so hard to build trust with our consumers and stakeholders is to show there’s more to this than gambling,” he points out.

“It’s a way to do something fun. You may have a dream of winning big, but you can also know that if you don’t, you’ve supported important programs across the state and made Oregon a better place at the same time.”