System Dynamics based simulation and gaming: a case of transparent competing companies

Abstract

SITMECOM 1.0 PC is a multifunctional simulator that represents three companies competing in real time in the same market. Each firm can be simulated on a different computer, which is linked to the others in one of the following ways: via a direct cable connection, via a local area network, or via the Internet. We have also allowed for the possibility of having one computer play the role of the competitors, making it possible to use our simulator on a single computer without the need to be connected to any others. In the design process, we endeavor to fulfill three basic objectives: To promote the system dynamics approach, since we consider it the most appropriate to use in order to analyze and study complex systems, such as companies. To fulfill this goal, one of the main features of this simulator is Transparency, that is, the possibility of relating the system´s structure to its behavior [2]. To provide attractive self-learning instruments which facilitate self-learning in Business Management with a systems approach. To provide an user-friendly interface which does not require previous knowledge of computer science. In order to achieve this, we exploit the potentiality of new technologies in information and communications systems. In our opinion, SITMECOM 1.0 PC offers clear advantages over traditional business games and bring an improvement to teaching and learning methods in Business Administration and Management. It has already been used in a course on Business simulation with a system dynamics approach at the University of Sevilla during two academic years (1997-1998 and 1998-1999) and, in our opinion, the obtained results were very satisfactory. However, in a next future we want to undertake a controlled experiment which would allow us to test our hypothesis about the advantages offered by our simulator.