| Business simulation is now commonly used in | | | | procedure of decision making. |
| businesses whenever they hold trainings or make | | | | A number of companies are not quite convinced |
| an analysis about their processes and | | | | that this procedure is useful. This is because they |
| performance. Here, there are two bases namely | | | | do not know the advantages and the benefits |
| numeric and scenario. In the former, this is | | | | that they will gain when they perform business |
| generally done in the form of business simulation | | | | simulation through the KPIs. First is the fact that |
| games wherein the trainee will be given a situation | | | | they will be able to manage the changes. Since |
| that is similar to the environment he is in. He will | | | | they are operating a company, they will be facing |
| need to make the right decisions in order to pass | | | | a lot of challenges and risks that will put them to |
| the game. On the other hand, numeric based | | | | test. Some may prove to be difficult and almost |
| simulations will mimic the entire company or just a | | | | impossible to get out of especially when one is |
| specific organization unit or process. The learner | | | | not thoroughly prepared. But when you are able |
| will have to input numbers or pull dialers and | | | | to handle change you can also deal with the to-be |
| levers. The result of the simulation will be shown | | | | processes in your business. Another is that one |
| through graphs and reports. Usually this approach | | | | can save from the implementation costs. If you |
| is utilized in order to develop and train intelligence | | | | will be utilizing expensive systems, you must be |
| and knowledge for business. There are learning | | | | guaranteed that they will work for you. |
| objectives here such as strategic thinking, market | | | | Otherwise, you will just waste your money |
| and financial analyses, teamwork, leadership and | | | | instead of investing it to other resources. When |
| operations. Now, the question is: how do you | | | | you simulate business with KPI, you are able to |
| simulate business with KPI? | | | | validate the design for your plans and thus, you |
| There are three processes involved when you | | | | can implement strategies that are cost effective |
| want to simulate business with KPI or key | | | | and successful in the end. |
| performance indicators. The first one is to | | | | One thing that you have to remember though is |
| construct your business model, which you will use | | | | that you will need to have key performance |
| to describe the processes of your company or | | | | indicators first. You will be the one to define them |
| the system for the simulation. Next is to perform | | | | so make sure that you choose relevant ones that |
| the actual simulation process. Generally, you will | | | | you can apply for the simulation and evaluation |
| need to make use of a good application that will | | | | processes. After simulating, you can now optimize |
| allow you to implement the model. Lastly, you will | | | | your business performance so that you will be |
| need to examine and optimize the results. This is | | | | able to generate more sales and become |
| where you will draw the conclusions based upon | | | | profitable and productive. |
| the output. You will be assisted here in the entire | | | | |