Enhancing Graduate Employability Through Experiential Simulation Learning: A Strategy for Life Skill Development

A groundbreaking study by Florian Scheuring and Jamie Thompson (2025) published in Studies in Higher Education explores how experiential simulation learning—specifically, business simulations—can enhance the life skills crucial to graduate employability. This article delves into their findings, explains the importance of life skills, and outlines how higher education institutions can harness simulation-based learning to better prepare students for the job market.

Why Life Skills Matter in Graduate Employability

Graduate employability is no longer assessed by grades alone. It now encompasses a broader set of achievements: understanding, personal attributes, and soft skills that make graduates not only job-ready but workplace-effective.

According to Yorke (2006), employability is "a set of achievements – skills, understandings, and personal attributes – that make graduates more likely to gain employment and be successful in their chosen occupations." This holistic view necessitates that universities go beyond content delivery to embed life skills in their curriculum.

Studies (Succi & Canovi, 2020; Cheong et al., 2021) show a persistent disconnect between the life skills graduates think they possess and what employers actually seek. Bridging this gap is not only essential for student success but also affects institutional reputation and rankings, especially those based on employability metrics such as the UNIRANKS indicators and Webometrics Impact Rankings.

The Case for Simulation-Based Learning

Simulation-based learning refers to educational strategies that immerse students in realistic, often gamified, scenarios where they must apply both theoretical and soft skills to succeed. Business simulations are a powerful example, allowing students to manage virtual companies and make decisions in areas such as marketing, finance, HR, and product development.

The benefits of such simulations are well-documented:

• Student engagement and motivation (Bitrián et al., 2020)

• Teamwork and collaboration (Lohmann et al., 2019)

• Development of higher-order thinking skills (Huang et al., 2022)

• Attitudes towards sustainability and entrepreneurship (Gatti et al., 2019; Zulfiqar et al., 2019)

Scheuring and Thompson extended this body of research by focusing on life skills directly tied to employability.

Building a Life Skills Competency Framework

To identify which life skills are most relevant, the researchers interviewed 11 graduate recruiters. They validated and expanded upon an existing life skill scale (Cronin et al., 2021) to include 10 key competencies:

1. Teamwork

2. Goal setting

3. Time management

4. Emotional skills

5. Interpersonal communication

6. Social skills

7. Leadership

8. Problem-solving and decision-making

9. Adaptability

10. Resilience

These skills were measured before and after students participated in a business simulation, enabling a quantitative evaluation of experiential learning's effectiveness.

Research Design: A Two-Phase Approach

Phase One: Recruiter Validation

Recruiters confirmed that these 10 competencies significantly influence hiring decisions. Notably, adaptability and resilience emerged as crucial yet underrepresented in prior academic scales.

Phase Two: Student Assessment

Two UK universities implemented a business simulation module for first-year and fourth-year undergraduates. Surveys conducted before and after the trimester measured students’ self-assessed proficiency in both subject knowledge (marketing, HR, inventory, design) and life skills.

Key Finding:

First-year students showed statistically significant improvement across all 10 life skill areas and subject knowledge, whereas fourth-year students showed only limited gains.

Results: Who Benefits Most from Simulations?

For First-Year Students

• Dramatic increases in perceived competence, especially in Marketing (+0.85), Inventory Management (+0.84), and Product Design (+0.81).

• All life skills showed significant gains (p < 0.001).

For Fourth-Year Students

• Smaller improvements overall.

• Significant gains in Time Management, Emotional Skills, Marketing, and Inventory Management only.

Interpretation:

The simulation had greater impact on younger students likely due to their lack of prior exposure to real-world challenges or collaborative tasks. Fourth-year students, already seasoned by academic projects, exhibited less pronounced development.

Practical Implications for Universities

1. Integrate Simulations Early

Introducing simulation learning in Year 1 yields stronger employability outcomes. These activities provide foundational experiences in teamwork, decision-making, and leadership.

2. Design Curriculum Around Life Skills

Curricula should not only teach concepts but also create opportunities for students to practice communication, goal-setting, and resilience.

3. Use Simulations to Fill Knowledge Gaps

Students reported the largest post-simulation gains in areas they initially perceived as weak (e.g., inventory management), suggesting simulations are effective tools for skill recovery.

4. Measure Outcomes Using Validated Scales

Universities should use robust frameworks like the expanded life skill scale from this study to evaluate educational impact beyond grades.

5. Enhance Rankings Through Employability Indicators

Platforms like UNIRANKS now consider employability and life skills as key indicators. Implementing experiential learning strategies can improve your university's positioning.

Challenges and Considerations

• Sample Bias: First-year students showed higher participation in the post-simulation survey, while interest among fourth-years declined.

• Self-Assessment Limitation: Results are based on students’ perceptions. Future research should consider objective measurements (e.g., skill assessments or recruiter evaluations).

• Curriculum Integration Complexity: Simulations require coordination across departments and must be embedded meaningfully into assessment frameworks.

Final Thoughts: A Call to Action for Higher Education

This study provides compelling evidence that experiential simulation learning enhances not just academic knowledge but the life skills essential for employability. For universities aiming to support students holistically and improve their graduate outcomes, business simulations offer a practical, scalable, and research-backed solution.

As global rankings and employer expectations evolve, higher education institutions must do more than educate. They must prepare, equip, and empower. Life skill development is no longer optional—it’s a necessity.

For universities seeking to lead in employability and academic relevance, investing in simulation-based learning could be a strategic advantage.