Business Simulation – providing a bridge between academic studies and the “Real World”

Business Simulation – providing a bridge between academic studies and the “Real World” Mike Ashwell Teesside University Business School

Introduction • Background • Selection and Implementation • Outcomes • Where next?

CBI Future Fit report 2009 “Branding employability skills separately from the Careers Service makes sure students understand it is about acquiring and demonstrating transferable skills, not just about getting a job.”

Higher Education : Students at the Heartof the System – White Paper, June 2011 “The relationship between universities and colleges, students and employers is crucial to ensuring that students experience the higher education they want while studying, and leave their course equipped to embark on a rewarding career.”

Changing employment patterns • Employers are increasingly seeking well-rounded graduates with a broad understanding of business principles • Self-employment for graduates is reaching 15% of the employment market (Open University 2011)

Academic Context • Value of games playing and simulations in education well documented – in particular by Dr. Nicola Whitton in a range of publications (2009-12) • Many other contributors to this area of learning – for example • The more students use multiple systems of representing knowledge, the better they are able to think about and recall what they have learned (Marzano, Pickering, & Pollock, 2001). • Gaming teaches competition strategies, cooperation and teamwork, and conflict resolution (Neubecker, 2003). • Games are dynamic, intrinsically motivating, and involve high levels of involvement. They provide immediate feedback to participants, and mistakes do not result in actually losing assets (Hood, 1997).

Teesside University Business School Context • Review of undergraduate programmes 2008/09 • Further develop focus on “Real World” – Business School key objective • New Business Decision Making module 2009/10 • Introduce Business Simulation Activity as the focus of this new module

Objectives • Designed to provide a bridge between academic studies and the “Real World” in line with Business School objectives • Creates a lively focus and conclusion to the Business Decision Making module, encouraging ongoing participation and retention • Key benefits • Provides the “glue” that ties together the Finance, Marketing, HR and Organisation content of the 1st Year – shows the relationship between different areas of business • Promotes and enhances skills in team working – an essential requirement for graduate employability

Software Selection • Wide range of available software reviewed • Key criteria • Cost/availability/delivery platform • Range of levels • Broad educational focus • Support/training • SimVenture was selected

Set up and Operation • Module commenced introductory topics– covering decision-making, operations, etc., prior to introduction of the simulation • Students operate in groups, using a detailed handbook, as the “board of directors” of a computer manufacturing company for a series of monthly decisions • Decisions on pricing, marketing, HR, financing, production etc. can only be made after full review of available data and a “board meeting” where decisions are formally recorded – avoids the “Game Console” approach

Set up and Operation • Assessment • Basic system skills • Individual report on group activity • Issues • group working • assessment methods

Student Feedback “It was good to get away from all the books and do something different, and not getting assessed on the success of the business took the pressure off and allowed us to take a few risks”. “felt it was a very effective way of practising working as a team. As we got into the game it was clear to see everyone was eager to do well which meant everyone put across their opinions’ “.... because we were the ones who had to make the entirety of the decisions the business made. As young people our previous experiences of employment in real life are much different, usually with us being told what to do”. “ ........It didn’t feel like work. I genuinely wanted to have a crack at it and see how well I could do”.

Where Next? • Complete an academic paper - using evidence and experience • Continue to exploit the software and develop delivery techniques for other learner groups • Potential students – school visits etc • Use on Employability module • Postgraduate students • Graduate business start up teams – identifying what they don’t know!

Questions/Comments?

Business Simulation – providing a bridge between academic studies and the “Real World”