Why do business simulations work?

The answer lies in a simple and very old technique, called Cone of Learning by Edgar Dale. Sure, there are a lot of debates how the real cone of learning looks like and how many adaptations and modernizations there are. However, almost all learning and education specialists agree – practice doing or practicing in a simulated environment is one of the most efficient ways to transfer theoretical knowledge.

All in one, these are the main takeaways, of why simulations work:

• Engaged learners – high levels of interactions make learning fun, increase retention, and build skills.
• Application of learning – by immediately applying new concepts, participants learn by doing.
• No risks involved – simulation recreates real-world experiences so that learners can practice in a risk-free environment.
• Empower learners – by taking control of a business enterprise, participants see and understand how a business works from top to bottom.
• Opening horizons – as simulations focus on recreating a process or a system, thus allowing learners to explore the connections between elements of the system, as a result – see a bigger picture.
• Communication and teamwork – the truth is, some people need more time and training to develop these skills. Facing a challenge as a group is the best training.
• Roles and cross-functional awareness – trying out different shoes for a day or two opens the eyes of many colleagues.
• Self-assessment and awareness – experiencing challenges helps develop professional self-awareness. Weaknesses can become strengths if one seeks to do so.  
• Revelations – replaying or experiencing the same situation again, might help participants see things they have missed previously or find something completely new.

And the main final point is that business simulations allow participants to experience unknown situations, and get them ready for unpredictable situations. As a result, this develops not only more durable and stable performance in the face of crisis but also helps develop a friendlier approach towards change in an organization.

So don’t forget to check out our business simulations!