Business
Wargaming
Business wargaming is a strategic planning tool that allows companies to simulate real-world business challenges and opportunities. It's a kind of "what-if" scenario analysis where teams role-play competitors, customers, and other key stakeholders in a controlled, competitive environment. This technique helps businesses test strategies, anticipate potential market changes, and understand the impact of their decisions before implementing them in the real world.
Think of it as a rehearsal for your business. It's not just about competition but also about collaboration, problem-solving, and decision-making. Business wargaming enables companies to explore different outcomes based on varying strategies and actions, enhancing their ability to adapt and respond to market changes.
Adopted from the military, this approach supports firms in better understanding what the future competitor landscape and the future of their industry could be like.
Guide to Business Wargaming
Together with Daniel F. Oriesek, we have created a comprehensive introduction to business wargaming, its application, design and execution and provided a number of case studies.
The Power of Wargaming and Strategic Simulations in Business
My academic research in this area has been predominantly on combining business wargaming to other fields.
In my article "Ex ante strategy evaluation: the case for business wargaming", I discuss the critical role of business wargaming in the strategic planning and decision-making process of organizations. The article outlines how business wargaming, as a dynamic strategic simulation, serves as an effective method for ex ante (before the event) strategy evaluation. This approach offers a practical alternative to traditional scenario planning and computer-based simulations, providing a more interactive and immersive experience for managers.
I emphasize that business wargaming actively involves participants in a role-playing simulation of dynamic business situations, allowing them to anticipate market dynamics, experiment with strategies, and understand the competitive landscape in a risk-free environment. This method not only enables managers to think like their competitors but also fosters a deeper understanding of the complexities involved in strategic decision-making. The article highlights the benefits of business wargaming in fostering organizational learning, encouraging creative thinking about the future, and providing a platform for testing strategies in a secure setting. However, I also address the resource-intensive nature of business wargaming and the need for careful planning and execution to ensure its effectiveness.
Ex ante strategy evaluation: The case for business wargaming
April 2011 / Business Strategy Series
This article introduces business wargaming as a dynamic tool for ex ante strategy evaluation, responding to criticism of scenarios and computer-based simulations. Originating from military wargaming, this strategic simulation offers a participative experience, allowing managers to assess how their strategies compete and endure in the business environment.
In the article "Business Wargaming: Simulating and Understanding the Future Dynamics of an Industry", published in January 2013, I explore the concept and application of business wargaming as a strategic tool. This method involves simulating the dynamics of an industry through role-playing and strategic planning, allowing companies to anticipate and understand future market changes.
As the author, I emphasize how business wargaming facilitates a comprehensive understanding of competitive environments and strategic challenges. This approach is particularly beneficial for organizations looking to gain insights into potential future industry dynamics and develop robust strategies in response. The article underscores the value of business wargaming in enhancing strategic foresight and decision-making, making it a vital tool for companies navigating complex and rapidly evolving markets.
Business Wargaming: Simulating and Understanding the Future Dynamics of an Industry
January 2013 - read and download paper here:
Business Wargaming in Education: Shaping Future Strategists
In the article "Business Wargaming for Teaching Strategy Making" published in Futures in July 2013, I discuss the application of business wargaming as a dynamic strategic simulation tool in management education. The article emphasizes how business wargaming prepares management students to make strategic decisions in complex and dynamic environments characterized by high uncertainty about the future.
The article reflects on the practical use of business wargaming in the classroom, highlighting its effectiveness in familiarizing students with strategic thinking and decision-making in a dynamic business context. It argues for the incorporation of business wargaming in management education as a method to bridge the gap between theoretical knowledge and practical strategic skills. This approach not only enhances students' understanding of complex business scenarios but also equips them with the tools to navigate and strategize effectively in uncertain future landscapes.
Business Wargaming for Teaching Strategy Making
July 2013 / Futures 51
In navigating today's complex business landscape, innovative teaching approaches are imperative for management students. This paper explores the efficacy of business wargaming, a dynamic strategic simulation, in addressing contemporary challenges in management education. Delving into the practical implementation of business wargaming in classrooms, it outlines how these simulations equip management students to make strategic decisions in intricate and uncertain environments.