A training simulation is a virtual medium through which various types of skills can be acquired. Training simulations can be used in a wide variety of genres; however they are most commonly used in corporate situations to improve business

Business

A business is an organization engaged in the trade of goods, services, or both to consumers. Businesses are predominant in capitalist economies, where most of them are privately owned and administered to earn profit to increase the wealth of their owners. Businesses may also be not-for-profit...

 awareness and management

Management

Management in all business and organizational activities is the act of getting people together to accomplish desired goals and objectives using available resources efficiently and effectively...

 skills. They are also common in academic environments as an integrated part of a business or management course.

The word simulation

Simulation

Simulation is the imitation of some real thing available, state of affairs, or process. The act of simulating something generally entails representing certain key characteristics or behaviours of a selected physical or abstract system....

 implies an imitation of a real-life process, usually via a computer or other technological device, in order to provide a lifelike experience

Lifelike experience

Lifelike is an adjective that relates to anything that simulates real life, in accordance with its laws. Its goal is to immerse individuals into what is called a lifelike experience. It gets as close as possible to real life behavior, appearance, senses, etc. therefore enabling its subject to...

. This has proven to be a very reliable and successful method of training in thousands of industries worldwide. 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 incredibly versatile. It is important to emphasize that training simulations are not just games; their aim is to educate and inform in an exciting and memorable way, rather than purely to entertain.

Purpose

Companies across the world regularly use simulations as a tool to teach employees. With the enormous range of simulation-based activities available across the world, it is unsurprising that the specific aims of the sessions vary very 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. 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 programme 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. This can make for a better organized, more fluid system in which all employees understand their part in making the company successful.

For students

Although the most common use for training simulations is in a corporate setting, 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. 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. 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. If the simulation does have a competitive element, it is to motivate and inspire, rather than encourage any malpractice. 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. 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.

Development

The concept of training employees to have a wider perspective on their position within the workplace has been around for hundreds of years, 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

American Management Association

The American Management Association , based in New York City, is a corporate training and consulting group that provides a variety of educational and management development services to businesses, government agencies and individuals. The non-profit membership organization offers business courses in...

. Since then, the market has expanded hugely, with thousands of simulations available based upon hundreds of different industries. Initially very 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

Computer

A computer is a programmable machine designed to sequentially and automatically carry out a sequence of arithmetic or logical operations. The particular sequence of operations can be changed readily, allowing the computer to solve more than one kind of problem...

 based, and involve multi-stage algorithms that calculate performance based the decisions entered. Most simulations are based around a real industry

Industry

Industry refers to the production of an economic good or service within an economy.-Industrial sectors:There are four key industrial economic sectors: the primary sector, largely raw material extraction industries such as mining and farming; the secondary sector, involving refining, construction,...

, 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.

Integrated training simulations

Most corporations and academic courses that contain a training simulation integrate it into an existing or completely new training programme. 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:

• Introduction - the organizer of the programme (plus sometimes a specialist in the training simulation) will meet the participants and give them a brief explanation of the purposes behind the training and what they should hope to achieve.

• Lectures - sometimes the trainees will also receive one or more lectures around the topics that the simulation will be based on, in order to give them an idea of the type of skills they will need. This is especially important within academia, when the students will often be examined on this section after the event.

• The simulation - the simulation will then be played, allowing newly-acquired knowledge to be tested and skills practiced. A positive atmosphere is vital here to maintain enthusiasm.

• Evaluation - once the simulation has been completed, it is very important to summarize what has been learnt and the effectiveness of the training. Presenting results to others may provide a means of internal assessment, as well as showcasing the players’ achievements.

This integrated training

Training

The term training refers to the acquisition of knowledge, skills, and competencies as a result of the teaching of vocational or practical skills and knowledge that relate to specific useful competencies. It forms the core of apprenticeships and provides the backbone of content at institutes of...

 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, to make the process as streamlined and efficient as possible.

Benefits

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 every good training simulation should build on include:

• Business awareness - before participating in the training programme, many players will have little idea of how to run a business or what it involves. Simulations allow them to temporarily have control over a virtual company, to see whether their decisions lead them to success or failure!

• Time management and organization - most simulations contain timed sessions, which will test the candidates’ skill in submitting decisions within the allotted time slot. This is an excellent skill for any employee or graduate.

• Team coordination - the majority of training simulations involve working in groups or teams of people; improving the abilities to communicate effectively, delegate tasks and diplomatically resolve any situations.

• Problem solving - simulations will often present tricky circumstances that must be thought through logically to be solved. Successful resolution of these shows good management skills.

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.

See also

• Business game
  Business game
  Business game refers to simulation games that are used at an educational tool for teaching business. Business games may be carried out for various business training such as: general management, finance, organizational behaviour, human resources, etc...
  
  
• Business simulation
• Business simulation game
• Simulations and games in economics education
  Simulations and games in economics education
  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, Ruohomaki states that "a simulation game combines the features of a game with those of a simulation...
  
  
• Microsoft Flight Simulator
  Microsoft Flight Simulator
  Microsoft Flight Simulator is a series of flight simulator programs for the Microsoft Windows operating system, although it was marketed as a video game. It is one of the longest-running, best-known and most comprehensive home flight simulator series...
  
  
• Experiential learning
  Experiential learning
  Experiential learning is the process of making meaning from direct experience. Simply put, Experiential Learning is learning from experience. The experience can be staged or left open. Aristotle once said, "For the things we have to learn before we can do them, we learn by doing them." David A...
  
  
• Web-based simulation
• Project Management Simulation