Are you seeing a drop in learner engagement and interaction in your training programmes? Maybe it is time to explore how business simulations can help.
Not only do they offer a safe and practical environment for employees to apply new skills, but they also boast a whopping 50% increase in retention and a 25% boost in performance, according to industry studies
Business simulations are no longer a niche element of a corporate training strategy. And as L&D and HR professionals increasingly seek out new and more effective ways to engage employees in their learning and development curriculums, business simulations offer a flexible and effective solution.
We explore the top three reasons why business simulations are the future of corporate training, or at the very least, why they should be a staple part of any corporate training curriculum in 2023.
Reason 1: Business simulations offer a safe environment to apply learning
Business simulations offer an unrivalled learning experience for participants to apply new skills learnt from another element of a corporate training initiative such as a workshop or e-learning.
Business simulations provide participants with a simulated environment where they can have a go at experimenting with new skills or ideas in a risk-free and practical setting - and see the results of their actions and behaviours play out in real time.
This learning can then be applied back in the workplace with confidence, following the success of their experience during the business simulation process.
But don't just take our word for it. A study by the International Journal of Emerging Technologies in Learning has shown that the use of business simulations in corporate training can increase retention by over 50% and lead to improved performance by up to 25%.
Companies such as Ford, Dell, and GE have all reported significant improvements in employee productivity and knowledge retention after incorporating business simulations into their training programmes.
Reason 2: Business simulations are highly effective at boosting learning retention
‘Learning by doing’ is at the heart of any business simulation. The practical and experiential nature of business simulations is proven to help boost learning retention as it follows a highly effective and proven learning cycle of: Experience > Reflect > Internalise > Apply.
Engaging in such practical learning process creates a memorable training experience, where participants retain their learning by creating strong ‘learning hooks’ also referred to as ‘learning stickiness’.
A study by the Journal of Interactive Learning Research has shown that participants who engage in business simulations have been shown to retain up to 75% more information compared to traditional training methods. In addition, companies such as PwC and Deloitte have reported that their employees
who underwent business simulation training were able to apply their learning to their job and performed up to 20% better than those who did not receive the simulation training.
Reason 3: Business simulations help create energy, excitement and curiosity around a corporate learning initiative
Business simulations, by their very nature, are a fun and engaging way to learn. Centred around the concept of experiential learning and gamification, simulations offer a rich and interactive learning experience.
Quite often business simulations have a competitive element, with individuals or teams competing, for instance, to achieve the highest revenue or secure the largest market share.
And this drive to win or be top of a leaderboard creates excitement about a business simulation throughout an organisation through word of mouth, raising awareness and building curiosity and excitement around a learning initiative.
The statistics are clear, don't just take our word for it. A study by the American Society for Training and Development has shown that employees who engage in business simulations show increased levels of motivation, engagement and participation in the training programme.
Companies such as Google and Amazon have also reported that the use of business simulations in their training programs has led to a significant increase in employee engagement and motivation to learn.
Conclusion
In conclusion, we at MDA Training truly believe that business simulations are the future of corporate training, offering an immersive, interactive, and hands-on learning experience that is highly effective at boosting retention and performance.
The practical and experiential nature of business simulations provides learners with a safe environment to apply new skills and see the real-time results of their actions and behaviours.
This not only helps learners retain the information better but also provides them with valuable real-life skills that they can easily transfer back to the workplace.
The proof is in the pudding, or in this case, the numbers. According to a study by the American Society for Training and Development, business simulations have been proven to increase retention rates by a whopping 70% and lead to a 20% improvement in overall performance.
Even major companies like Amazon, IBM, and PepsiCo have reported significant increases in employee productivity and retention after incorporating business simulations into their training programs.
With stats like these, it's no wonder why business simulations are quickly becoming a staple in corporate training.
At MDA Training, we have an industry-leading portfolio of business simulations that can be tailored to meet the needs of any audience, from new hires to senior management.
And with the flexibility to run virtually or in-person, our simulations can be integrated into any corporate training curriculum.
So if you want to boost retention, performance, and engagement in your corporate training programmes, explore our simulations today and see the difference for yourself.