Corporate Gaming, Virtual Worlds, and Virtual Business Simulations

[Raymond de Villers]

- Implications of online realities in the new economy -

Throughout 2008 the corporate world was exposed to the reality of virtual worlds which has seen a growing influence on how companies train and communicate. This trend was largely driven by the rising influence and profile of virtual online worlds, which allow users to create alternate realities such as that offered by Second Life, and in a similar vein the computer game SIMS. This is a trend that is expected to continue into 2009 as organisations begin to recognise the merits of incorporating gaming into their basket of training tools.

While discussions have revolved around the benefits these environments offer business, there have been as many articles rooted in the experiences of early adopters who critiqued the actual value they managed to extract from these tools. This largely because from a South African perspective, high data costs and bandwidth constraints led to early adopters experiencing issues unique to the local environment. But this limitation is less of an issue and today, nothing stands in the way of organisations joining the virtual revolution.

It is safe to say therefore that we can expect more, rather than less, uptake of the opportunities offered by these environments. There are several reasons for anticipating this; some of which are rooted in the economic experiences 2009, while others are driven by the desire for innovation and competitive advantage endemic within corporate culture.

As a social dynamic, computer gaming is a growing and influential reality. People under-35 years old grew up in a world influenced and informed by computer gaming rather than traditional board games. If we consider that society has always used games to teach children the skills they need to be successful adults, the role and influence of computer games is going to grow and increase within the corporate world – driven by the fact that an increasing segment of our employee demographic have had their values and worldview influenced by computer gaming. This growing social effect is one of the drivers behind the probable increase in virtual world activity, by the corporate world.

For those who have never played a computer game in their lives, virtual worlds look foreign, sinister, scary, and like a waste of valuable corporate resources. However, for those who grew up in a world where they played virtually, their expectation of being able to apply the consequent life lessons will be expressed in their expectations of the work environment. Computer gaming, and the associated virtual worlds, will as a result, be seen as an increasingly important infrastructural consideration.

The recent economic melt down has and will continue to see companies seeking out ways to save money and extract costs out of the business. Appealingly, virtual worlds and business simulations, built using computer gaming technology, offer significant cost savings.

Virtualising training programmes allows a company to achieve significant economies of scale related to the costs of delivery, but also the costs of supporting the training. As the environments are robust and largely self-contained, less trainee support is required when delivering material. Furthermore, this training can be delivered directly into the person’s working environment using existing internal infrastructure. This means that training can be effectively performed using a ‘Just in Time’ model – consequently no time is wasted on unnecessary training. Training wont need separate venues booked, and employees dragged away from their work environment for days on end. In the economic climate that will dominate much of 2009, these benefits will add significant value to companies that pursue the path of virtualisation.

Finally, the lessons of the early adopters that have been publicised in 2008 and 2009 will serve as ‘school fees’ for 2010. Companies that engage in the virtual and game-based business simulation areas through 2009, will have adjusted their expectations accordingly. Virtual environments will be used less for marketing and product placement, and more for global project teams and collaboration, along with a healthy dose of training activity.

While activity in generic environments like Second Life will grow marginally, the real growth will occur in companies investing in the development of their own environments and applications. These environments will mimic their real-life environments and processes so that they are able to use the virtual environment to leverage internal Intellectual and Human Capital in a way that delivers contextually relevant competitive advantage.

In this space, South Africa will still largely be a trend-follower rather than a trendsetter. But, with the rise of local companies like Wisdom Games building applications specifically for the local market, with its own unique constraints and dynamics, significant local innovation can be expected.

For further information on the gaming environment visit: www.wisdomgames.co.za or email me: [e-mail]

Wisdom Games isa unique company that develops, implements, and supports gaming-based business simulation environments within the corporate world. Wisdom Games operates from the premise that games have always been used by society to teach the values and skills needed to succeed in life, while being entertained. By cleverly adapting computer gaming to suit the new business environment, this South African company ensures old school lecture-based training is replaced or enhanced with immersive and entertaining education. Wisdom Games is able to offer organisations game-based simulations of business reality that are designed to be engaging, informative and instructive. There is as much focus on the game-play experience as there is on the knowledge being transferred.

[Richard Smith]

Note this course taking place in Cape Town in Oct: http://huddlemind.net/xn/detail/1975133:Event:21950?xg_source=activity