Presentation given by Kevin Corti (when CEO, now Founder of SoshiGames) about serious games used in business education and training. Please note the videos do no work in slide share. If you would any information on specific games please contact info@pixelearning.com

1. Corporate Learning Games Serious game development in adult learning & development – going from potentially big to really big. Kevin Corti CEO, PIXELearning Saturday 3rd October 2009

2. Who am I to talk? CEO, co-founder, PIXELearning Background includes Mech Eng, Disaster Management & eLearning Co-founded PIXELearning in 2002, custom development studio (transitioning to content/product company) Primary area - corporate L&D Secondary areas – business education / marketing Developed some tech (LearningBeans) Based at Coventry University Serious Games Institute SGI / AWM / DTG / Serious About Games / IDM etc

3. “Serious” Games? What the @%$#? “The use of games or gaming dynamics not simply to entertain the player, but rather to inspire a particular action, effect some type of attitudinal/behavioral change, or instill a particular lesson in the service of an organizational goal”. “It’s Time To Take Games Seriously” Forrester report (TJ Keitt and Paul Jackson), August 19, 2008

4. Business education Supply & demand Inventory management Pricing strategy Risk v reward Profit & loss Seasonal factors on demand

5. Management Understanding data Analytical thinking Strategic planning Tactics Performance improvement Team-building

6. Entrepreneurship New product development Financing a business Developing markets Hiring key staff Financial management Achieving sustainability

7. Civic planning Zoning Emergency planning Managing utilities Crime prevention Fiscal management Environmental management

8. You Play World of Warcraft? You're Hired! http://www.wired.com/wired/archive/14.04/learn.html Leadership Recruitment Coaching / mentoring Division of labour Working as (remote) teams Effective communication Dispute resolution

9. Serious Games Taxonomy (Sawyer & Smith) http://www.dmill.com/presentations/serious-games-taxonomy-2008.pdf

10. Reasons why companies are getting excited.... To make adult learning & development….. Cheaper Faster Better

11. What is driving interest? Class-based (F2F) training is expensive Logistically challenging to deliver F2F F2F delivers variable (unpredictable) quality/results eLearning very cheap but ‘shallow learning’ How truly engage? >> drive participation? How deliver effective learning opportunities to large, geographically dispersed, audiences x-demographics? How cut costs AND improve results (inc sales, reduced errors, be compliant etc)

12. Games allow people to practice Learning games allow people to experience a scenario or situation in a safe, realistic manner. Putting theory into practice. Builds on theory and post-reflection (blend) PRACTICE “Game the skill” Theory Reflection

13. Games are complex Learning games focus on higher-order thinking skills. “Do it right whilst under pressure” - lots of different information, competing demands. Focus on strategy and decision-making, for example, not just memorizing facts! Higher-order thinking skills Complex Cognitive activity Information dissemination

14. Virtual experience is cheaper Learning games allow users to acquire ‘virtual experience’. “Screw up in-game…not on the job”. They can then apply this to the real world – transferable learning! “VIRTUAL EXPERIENCE” Virtual experience Real world application

15. Adults like to solve problems Learning by doing! Adults like problem-based learning, challenges and clear relevance to work or personal needs. Learning games are based on their job role and/or work environment. ADULT LEARNING Problem-based Learning (goals, tasks)

16. Games are engaging Learning games positively encourage user participation. Moving from “fill the vessel” with facts to…. …empower the user to make decisions and experience meaningful consequences. Learner-centric experiences! ENGAGEMENT Passive reception Active engagement

17. Competition & collaboration Multiplayer allows learners to collaborate and compete. Makes experience very life-like, challenging and engaging. Peer support + learn from others. MULTIPLAYER Added realism Collaboration Peer review Group support

18. Sounds a bit dull Erm, so…no aliens then? NO FUN - By order of the corporation

19. Our Worlds of Makrini – a.k.a. The Diversity & Inclusion Game PIXELearning & Global Lead LLC

20. Reasons to get excited New (less volatile) markets Much lower cost of entry Reuse existing technology & IP Different business models Annual recurring revenue streams Strong margin potential Strong growth potential

21. What is the opportunity? CAUTION Handle with care! Global ‘education’ market = US$2 trillion US training market = US$130bn (employs 500,000 people) UK training market = US$30bn Indian training market = US$1.6bn (25% annual growth) Global eLearning market = US$50bn Serious Games market = US$1bn to US$9bn Eliane Alhadeff (Future Making Serious Games blog)http://elianealhadeff.blogspot.com/2008/04/reconciling-serious-games-market-size.html

22. Business models Work for hire – custom development Content product provider (direct or indirect) Subscription-based models (PAYG, site license etc) Technology provider, direct or indirect (e.g. authoring tools, game engines) ‘Pure’ consultancy (pre-sales, concept development, project management) Free content, charged-for services (training, support, consultancy etc)

23. Who is doing what? People from the games industry – E.g. Virtual Heros, Blitz & Noah Falstein People from the web/multimedia industry – E.g. DESQ People from the learning & development industry Virtual worlds – Forterra, 2nd Life etc Traditional modelling/simulation – G2G3, BTS (Visual Purple) Marketing agencies

24. What are they doing? Induction Change management Sales training Project management Customer service Channel support Leadership development Dealing with difficult people Appraisals B2C promotions Diversity & inclusion Audit intern training IT systems familiarization Understanding marketing Understanding finance Pitching to investors International trade Entrepreneurship Energy wise IT Call centre training IT security for SMEs Business studies Citizenship Financial compliance Protecting IP Corporate Social Responsibility

25. Where are they doing it? SGI (Cov) #2 UK #1 N. America #3 W. Europe GfLI (NYC) SGDI (CA) #4 SE Asia

26. Who are they doing it for? Hilton Best Buy Coca Cola Orange Vodaphone British Telecom Belgacom Comcast Nokia Volvo 3M Shell BP BNP Paribas Fifth Third Bank VISA L’Oreal HP Cisco IBM Raytheon NorthrupGrunman KPMG PWC

27. What are the business/project goals? One word (or short) answers only - what is the most important benefit/feature/'thing' your clients want right now from a serious game project or product?

28. Flexibility, low cost, & improved training ..the answer is clear: employee engagement. Real measurable business benefits!!!!! Demonstrable business benefits at a keen cost.... Clear understanding of and support through process Already exists (off the shelf product)? Proof that the investment is justified Basically learning-by-doing with highly engaging experiences. Definable Return On Investment - Predictable delivery and acceptable cost of custom solutions. Must clearly target a business need In one word: Outcomes. Accelerated and lasting change in attitudes Easily modifiable and interoperable -learning environments.

29. What kind of technical approaches? Game industry technology & game craft (HL2, CryEngine, Neverwinter Nights etc) Specialised technologies with instructional purposes (e.g. Caspian, DISTIL) Casual/web games (e.g. Wild Tangent, Virtools & Flash) Virtual World tech (e.g. 2nd Life & |Forterra Olive) Standard Windows custom creation (C#, Java etc) eLearning tech (browser-based; AJAX, Flash) Multimedia (e.g. Director) Games consoles (mods through to 100% custom) Mobile phones / PDAs / iPhones A NICHE For everyone

30. VISA – Financial Soccer Financial Soccer is a fast-paced, multiple-choice question game, testing players’ knowledge of financial management skills as they advance down field, and try to score goals. Educators are encouraged to review and download the curriculum for students, before actual game play.

31. CISCO – Binary Game “Come play the game enjoyed by hundreds of thousands of people all over the world. This game is posted on dozens of game sites and played in more than 125 countries”. “The game is not only fun, but it is considered by many to be the best way to learn how to use the binary number system.” http://forums.cisco.com/CertCom/game/binary_game.swf

32. CISCO Mind Share “Learn all about networking whilst you play!”

33. BNP Paribas A space/sci-fi themed sim to teach basic banking services awareness & promote the bank’s brand for recruitment purposes. Built by KTM Advance (FR) - http://starbankthegame.bnpparibas.com

35. US audience (approx 1,000/yr)

36. 1:3 the simulation:instructor blend

37. Desire to ‘do’ rather than ‘learn about’

38. Assessed to Kirkpatrick L4 / Phillips ROIThe KPMG simulation enables learners to: Practice both technical & soft (client-facing) skills Experience accurately recreated audit processes Understand real world cause & effect

40. F2F costs impossible

41. Very sensitive subject (diversity)

42. Staff apathy / reluctanceMakrini (the diversity game) is: Easily accessed (web-based ) Engaging & rewarding (people will use it) Very practical (recognisable tasks)

44. Major process streamline/change

45. Global workforce to communicate with

46. Staff resistance/inertiaPET (the Process Education Tool): Easily accessed (through LMS) Accurately mapped internal processes Demonstrated business cause & effect

48. Traditionally F2F in EMEA and AsiaPac

49. Through training partners

50. HP MEAI limited by time & resources

52. Daesign (FR) Simple, branching tree scenarios – cartoon style, pre-canned animations depicting business situations for role playing

53. Foreterra (US) Virtual World technology (from There.com) used to allow real time, multiplayer role play in 3D environments

54. Gamelearn - Merchants 2D/Cartoon style, easy to use game set in historical setting (Venice, 15th century) to train users in sales/negotiation skills

55. IBM – Innov8/Innov8 2.0 3D and browser-based 2D – raise awareness of and provide skills training around Operations Management / Business Process Management.

56. Playgen (UK) Browser-based 2D/3D mix (Flash) – Anti-money laundering training game

57. RajSim (Holland) Project management training – fictional scenario about construction/management of world’s largest shark aquarium in China)

58. TPLD (Scotland) Infiniteams – team building / dynamics using 2D isometric style (browser based / Java) The Winning Game – arcade style game, based around proven research into sports science

59. Visual Purple/BTS (US) ‘Winning in Wireless’ – 3D, role play + business sim – business skills

60. Xposim Oil exploration sim – mix of pre-canned 3D animations, 2D sim interfaces – huge detail in underlying models

61. Leadership development Multiplayer (teams of 4), Flash-based using Adobe Flash Media Server. Challenges with firewall, LMS etc.

62. Leadership development Leadership development game. Focuses on problem-solving, communication and coaching.

63. Leadership development Multiplayer (teams of 4), Flash-based using Adobe Flash Media Server. Challenges with firewall, LMS etc.

65. Lack of available case studies, examples and proven results

66. Predominance of ‘work for hire’ model

67. Confusing number of orgs, tech, products, etc – no clear offering

69. DDA/Section 508

70. Commoditisation of eLearning

71. Training works with ‘content’ creation

72. Linear instructional approaches

73. “Specify then build” approach to enterprise software

76. $10k - $100k site licenses

77. annual licenses* What is ‘a game’?

79. OTS products would be much more attractive (but clients want customisation)

81. Usually to fit in client budget quarters (3 or 6 months)1 month 2 months 3 months 4 months 5 months * Based on analysis of PXL projects 2007-09 6 months 7+ months Page 16

83. Publications The E-Learning Guild 360 Research report, March 2008, “Immersive Learning Simulations”. http://www.elearningguild.com/

84. +44 (0) 24 7623 6971 PIXELearning Ltd The Serious Games Institute, Coventry Innovation Village, Cheetah Road, Coventry CV1 2TL Kevin Corti, CEOkevin.corti@pixelearning.com LinkedIn: www.linkedin.com/in/kevincortiCompany web: www.pixelearning.comTwitter: @pixelearning