Re: Average Position
It's a pretty stright forward question you have asked, but I am sure the answer to this is not a one liner
Your ad position depends mainly on the ad rank which is assigned by Adwords. Ad Rank = Bid X Quality Score. The better the Quality score of your keyword is, the better would be ad rank and the least you will have to pay.
You should work in improving the ad rank of your keywords by optimizing with various strategies like improving the CTR, relevancy of your account. Once the CTR starts improving, Quality Score might get an uplift in future.
You might consider reading this excellent reference to improve on your metrics.
Best of Luck!