In business, training simulation is a virtual medium through which various types of skills can be acquired. [1] Training simulations can be used in a variety of genres; however they are most commonly [2] used in corporate situations to improve business awareness and management skills. They are also common in academic environments as an integrated part of a business or management course.
The word simulation implies an imitation of a real-life process, usually via a computer or other technological device, in order to provide a lifelike experience. This has proven to be a reliable and successful method of training in thousands of industries worldwide. [3] They can be used both to allow specialization in a certain area, and to educate individuals in the workings of the sectors as a whole, making training simulations versatile. Training simulations are not just games; [4] their aim is to educate and inform in an exciting and memorable way, rather than purely to entertain.
Companies across the world regularly use simulations as a tool to teach employees. [5] With the enormous range of simulation-based activities available, it is unsurprising that the specific aims of the sessions vary widely. Some simulations are focused on making decisions in a particular area of the business, such as personnel or product design, and these are called Functional Simulations. Others give a general overview of a company and give experience of making executive management decisions, and are called Total Enterprise Simulations. [6] In recent years, however, this classification has become somewhat impractical, as increasing numbers of training simulations are involving both elements, and combining both an overall view of the industry with some decisions relating to specific sectors.
Training Simulations normally form part of a program designed to educate employees or students about the skills needed to operate a business, as well as persuade them to "think outside the box" and see the bigger picture. [7] This can make for a better organized, more fluid system in which all employees understand their part in making the company successful.
Although the most common use for training simulations is in a corporate setting, [8] simulation games are increasingly being used to educate young people about the importance of business. From secondary school age all the way up to MBA students, anyone can benefit from the first-hand experience of running a company and making decisions that directly affect performance. [9] This will allow the participants to gain an overall understanding of the business world, and give some insight into the type of skills that are necessary to succeed. [10] It is also important to note that 'beating the game' should not be a primary aim for anyone taking part in a simulation; the focus should be directed towards everyone gaining some useful and relevant knowledge that they can take away and use in their daily lives. [11] If the simulation does have a competitive element, it is to motivate and inspire, rather than encourage any malpractice. [12] Some training activities are non-competitive to avoid this, however many noted experts in the field state that the rivalry between teams or individuals improves the learning experience and adds a sense of fun and drama into the simulation. [13] This is particularly important when working with young people such as students, as they often require an extra boost to keep them entertained, especially when a simulation is run over an extended period.
The concept of training employees to have a wider perspective on their position within the workplace has been around for hundreds of years, [14] but it is only relatively recently that the idea of creating a simulated environment for trainees to test their abilities and skills has been developed. The first commercially available training simulation was in 1956, and was called The Top Management Decision Game, and was created by the American Management Association. [15] Since then, the market has expanded hugely, with thousands of simulations available based upon hundreds of different industries. Initially simple with just a few choices to make, some simulations have become extremely complex with many different interlinking decisions. When training simulations were first used, they involved paper forms that were filled in by the participants and then compared by the organizer of the exercise. Nowadays, nearly all simulations are computer based, [16] and involve multi-stage algorithms that calculate performance based on the decisions entered. [17] Most simulations are based around a real industry, and hence they use real data to be as accurate as possible and to provide a realistic experience. However, some remain generic and do not model a particular industry, although these tend to be more useful for younger players or those with absolutely no business knowledge.
Most corporations and academic courses that contain a training simulation integrate it into an existing or completely new training programme. [18] This allows the participants to get the maximum value from the experience, as well as review the sessions in order to improve them for future use. The structure of a training session would normally be as follows:
This integrated training will allow everyone taking part in the simulation to get the maximum experience possible, as well as being entertaining, exciting and giving them a new perspective on the business world. Many companies that specialize in training simulations also offer to create a special integrated plan unique to the client, [19] to make the process as streamlined and efficient as possible.
Since training simulations are available based on such a wide range of different industries, and with thousands of different aims and objectives, it is difficult to outline a specific skill-set that will be improved by taking part in a training simulation. However, skills that good training simulations should build on include:
If every participant improves in these four key skill areas, the training programme will be a success, and any business should notice an improvement in efficiency and motivation, and students will be inspired and animated. [25]
A simulation is the imitation of the operation of a real-world process or system over time. Simulations require the use of models; the model represents the key characteristics or behaviors of the selected system or process, whereas the simulation represents the evolution of the model over time. Often, computers are used to execute the simulation.
Experiential learning (ExL) is the process of learning through experience, and is more narrowly defined as "learning through reflection on doing". Hands-on learning can be a form of experiential learning, but does not necessarily involve students reflecting on their product. Experiential learning is distinct from rote or didactic learning, in which the learner plays a comparatively passive role. It is related to, but not synonymous with, other forms of active learning such as action learning, adventure learning, free-choice learning, cooperative learning, service-learning, and situated learning.
Business education is a branch of education that involves teaching the skills and operations of the business industry. This field of education occurs at multiple levels, including secondary and higher education
Roleplay simulation is an experiential learning method in which either amateur or professional roleplayers improvise with learners as part of a simulated scenario. Roleplay is designed primarily to build first-person experience in a safe and supportive environment. Roleplay is widely acknowledged as a powerful technique across multiple avenues of training and education.
Competence is the set of demonstrable characteristics and skills that enable and improve the efficiency or performance of a job. Competency is a series of knowledge, abilities, skills, experiences and behaviors, which leads to effective performance in an individual's activities. Competency is measurable and can be developed through training. The term "competence" first appeared in an article authored by R.W. White in 1959 as a concept for performance motivation. In 1970, Craig C. Lundberg defined this concept as "Planning the Executive Development Program". The term gained traction in 1973 when David McClelland wrote a seminal paper entitled, "Testing for Competence Rather Than for Intelligence". The term, created by McClelland, was commissioned by the State Department to explain characteristics common to high-performing agents of embassy, as well as help them in recruitment and development. It has since been popularized by Richard Boyatzis, and many others including T.F. Gilbert (1978), who used the concept in performance improvement. Its uses vary widely, which has led to considerable misunderstanding.
Business simulation or corporate simulation is simulation used for business training, education or analysis. It can be scenario-based or numeric-based.
Business simulation games, also known as economic simulation games or tycoon games, are games that focus on the management of economic processes, usually in the form of a business. Pure business simulations have been described as construction and management simulations without a construction element, and can thus be called simulations. Indeed, micromanagement is often emphasized in these kinds of games. They are essentially numeric, but try to hold the player's attention by using creative graphics. The interest in these games lies in accurate simulation of real-world events using algorithms, as well as the close tying of players' actions to expected or plausible consequences and outcomes. An important facet of economic simulations is the emergence of artificial systems, gameplay and structures.
Management development is the process by which managers learn and improve their management skills.
An educational video game is a video game that provides learning or training value to the player. Edutainment describes an intentional merger of video games and educational software into a single product. In the narrower sense used here, the term describes educational software which is primarily about entertainment, but tends to educate as well and sells itself partly under the educational umbrella. Normally software of this kind is not structured towards school curricula and does not involve educational advisors.
A serious game or applied game is a game designed for a primary purpose other than pure entertainment. The "serious" adjective is generally prepended to refer to video games used by industries like defense, education, scientific exploration, health care, emergency management, city planning, engineering, politics and art. Serious games are a subgenre of serious storytelling, where storytelling is applied "outside the context of entertainment, where the narration progresses as a sequence of patterns impressive in quality ... and is part of a thoughtful progress". The idea shares aspects with simulation generally, including flight simulation and medical simulation, but explicitly emphasizes the added pedagogical value of fun and competition.
A simulation game is "a game that contains a mixture of skill, chance, and strategy to simulate an aspect of reality, such as a stock exchange". Similarly, Finnish author Virpi Ruohomäki states that "a simulation game combines the features of a game with those of a simulation. A game is a simulation game if its rules refer to an empirical model of reality". A properly built simulation game used to teach or learn economics would closely follow the assumptions and rules of the theoretical models within this discipline.
The browser-based IndustryMasters product is a range of business simulation games that allows students, business people and others to sharpen their entrepreneurial and strategic management skills by building their own company and competing in real-time against each other
Training and development involve improving the effectiveness of organizations and the individuals and teams within them. Training may be viewed as related to immediate changes in organizational effectiveness via organized instruction, while development is related to the progress of longer-term organizational and employee goals. While training and development technically have differing definitions, the two are oftentimes used interchangeably and/or together. Training and development have historically been topics within adult education and applied psychology but have within the last two decades become closely associated with human resources management, talent management, human resources development, instructional design, human factors, and knowledge management.
Project management simulation is simulation used for project management training and analysis. Project management simulation is often used as training simulation for project managers. In other cases it is used for what-if analysis and for supporting decision-making in real projects. Frequently the simulation is conducted using software tools.
Medical simulation, or more broadly, healthcare simulation, is a branch of simulation related to education and training in medical fields of various industries. Simulations can be held in the classroom, in situational environments, or in spaces built specifically for simulation practice. It can involve simulated human patients, educational documents with detailed simulated animations, casualty assessment in homeland security and military situations, emergency response, and support for virtual health functions with holographic simulation. In the past, its main purpose was to train medical professionals to reduce errors during surgery, prescription, crisis interventions, and general practice. Combined with methods in debriefing, it is now also used to train students in anatomy, physiology, and communication during their schooling.
An instructional simulation, also called an educational simulation, is a simulation of some type of reality but which also includes instructional elements that help a learner explore, navigate or obtain more information about that system or environment that cannot generally be acquired from mere experimentation. Instructional simulations are typically goal oriented and focus learners on specific facts, concepts, or applications of the system or environment. Today, most universities make lifelong learning possible by offering a virtual learning environment (VLE). Not only can users access learning at different times in their lives, but they can also immerse themselves in learning without physically moving to a learning facility, or interact face to face with an instructor in real time. Such VLEs vary widely in interactivity and scope. For example, there are virtual classes, virtual labs, virtual programs, virtual library, virtual training, etc. Researchers have classified VLE in 4 types:
Business game refers to simulation games that are used as an educational tool for teaching business. Business games may be carried out for various business training such as: general management, finance, organizational behavior, human resources, etc. Often, the term "business simulation" is used with the same meaning.
A surgery simulator is computer technology developed to simulate surgical procedures for the purpose of training medical professionals, without the need of a patient, cadaver or animal. The concept goes back to the 1980s with video games, but only in the 1990s with three-dimensional graphics and the 2000s with the use of motion sensors for realistic movements has the technology been able to simulate the real situation. The most common type of surgery taught through this method is laparoscopic surgery, although it has also been used to do a trial run before other kinds of procedures. Cataract surgery and other ophthalmic procedures are also widely taught using surgical simulators.
Friday Night at the ER is an experiential team-learning game. Played on game boards at tables with four players per board, each gameplay session is followed by a detailed debriefing in which participants relate the simulation experience to their own work and gain insights for performance improvement.
Marketing simulation games provide participants with an interactive method of testing out marketing decisions in an environment which is virtual or which has game characteristics. Common game topics belong to categories such as: marketing strategy, product positioning, pricing strategies, consumer behaviour. Marketing games usually focus on the marketing landscape of a certain business industry or a company. A marketing simulation game usually contains a number of scenarios and provides participants with results in response to their decisions.