Multi-Cultural Experiential Learning: A Computer Simulation in China Developments in Business Simulation and Experiential Learning, Volume 26, 1999 MULTI-CULTURAL EXPERIENTIAL LEARNING: A COMPUTER SIMULATION IN CHINA Robert W. Hornaday, The University of North Carolina at Charlotte. ABSTRACT This paper describes the use of a management simulation in a Chinese university in the Spring semesters of 1997 and 1998. Cultural and language differences presented special problems. Faculty mem- bers and university administrators responded positively to the use of the simulation. Student reaction was enthusiastic. Most them had never attempted anything like a classroom simulation. MMG AT NANKAI UNIVERSITY The author has used management simulations in busi- ness policy courses for 20 years including a 1991 session in Indonesia [Hornaday, 1993]. He arrived at Nankai University in February 1997 to teach the Spring semester on a Fulbright grant. A year later he returned to teach a five-week course in strategic management at the invitation of Nankai. The Multinational Management Game (MMG) [Keys & Wells, 1997] was selected for use in China. MMG simulates a manufacturing firm based in the U.S. with subsidiaries in Europe and Asia, but shares of stock can be sold and dividends paid only in the U.S. The firm manufactures two products: Product A, a high profit consumer item, and Product B, a subassembly sold to other end item manufacturers. The two - products can be freely shipped between all three countries, but capital (money) can only be transferred by means of inter-company loans. Each student team must enter 12 decisions each quarter for each division. MMG "industries" are limited to no more than eight firms in direct competition. At Nankai, after three practice decisions, student teams prepared a strategic plan for the first five decisions (five years in game time). Teams then competed in eight graded decision periods after which they each submitted a written report describing their accomplishments [Hornaday & Curran, 1996]. Simulation activities constituted 10% of the course grade in 1997. The 1998 MMG was an integral part of a strategic management course taught in English by the author. MMG counted 20% of the course grade. ADMINISTRATIVE DIFFICULTIES Scheduling Getting organized into MMG teams posed a major problem both years. Nankai students drop classes at will any time during the semester. Equipment Computers were not available, either to introduce the students to MMG or for them to enter their decisions. The computer laboratories were reserved for students in computer courses. Others had to pay each time they used one of the lab computers. Students had no computer access, so they submitted their decisions to the author for entry. Language Problems The author has no Chinese language skills. The 1997 students did not speak English well. Translation was necessary. The students had trouble understanding the MMG manual. Two special classes were scheduled to explain the simulation in great detail. Student Preparation Most students had difficulty interpreting the MMG results. Balance sheets appeared to be the big problem as did the difference between equity and debt financing. Some students had taken accounting courses as undergraduates, but others had no accounting at all. 338 Developments in Business Simulation and Experiential Learning, Volume 26, 1999 Teamwork Teamwork was a new idea to Nankai students. They were not used to working together in student teams. They were shocked that they were expected to work outside of class on their decisions, plans and reports. The only work they normally do outside of class is to cram for examinations. Perhaps more frustrating was the initial lackadaisical attitude towards decision deadlines. The 1997 students had no sense of urgency about getting their decisions in on time. Finally, after three practice decisions and two graded decisions, they settled into a routine and got the decisions in on time and all the MMG plans got turned in. DISCUSSION OF RESULTS The simulation was a new experience for the Nankai students. They had never seen anything like it. In par- ticular they liked the idea of "fast feedback," getting instantaneous results from their decisions. Graded MMG plans and reports were returned to the students the next class session after turn-in. Normally Chinese professors do not grade and return papers. Students visit professors’ offices to get their grades. Nevertheless, the Chinese students worked hard during the competition. Student interest perked up in both years after the second decision when the results of each decision were posted showing how the teams ranked. Five of the eight 1997 teams and four of the 1998 teams became very competitive. Written student evaluations showed that the simulation was wildly popular. Unfortunately, only one or two people on each team really got involved in MMG. The rest didn’t have a clue what was going on. This was partially the result of team size. Six and nine member teams were simply too large [Wolfe & Chacko, 1983]. But given the uncertainty of how many students were actually going to stay with the simulation, large teams were necessary. At the end of the course, one team each year ended up with only two members. The rest had five or six. RECOMMENDATIONS Several lessons emerge from this experience which may be of help to those who have the opportunity to teach in China. Be Self Sufficient Expect only minimum administrative support and be prepared to improvise. Bring everything you will need. Know Your Simulation Inevitably, things go wrong in any simulation. Students make incorrect entries. Local software and networks are not compatible with the simulation you are using. In China, contaminated software is a big problem. You are far from home. You will have to be able to fix these problems yourself. Don’t Give Up In the confusion of the 1997 start-up, several Nankai faculty members advised that the simulation be dropped. “Our students have no experience working in teams,” they said. Undaunted, the author pressed on, explaining that these were MBA students and they better be able to manage a small team of students if they expected to be able to manage real firms when they graduated. Keep Your Sense of Humor Old China Hands advise Americans in China to observe the Law of Three P’s: Politeness, Patience and Persistence. This is good advice for those administering a simulation - especially if you add a healthy ability to laugh at oneself and the sometimes absurd situations that occur. References available upon request. 339 Table of Contents Volume 26, 1999 ABSEL's Historical Research Interests Back From the Future: An ABSEL Merlin Exercise for the Year 2005 The Contributions of ABSEL During the 1980's ABSEL's Contributions to Experiential Exercises in the 90's ABSEL's Contributions to Experiential learning/Experiential Exercises: The Decade of the 1970's Business Simulations - Algorithms and Model Enhancements: A 25 year Review A Study of the ETS General Field Test as an AACSB Assessment Tool and the Impact of Experiential Exercises and Simulation on Learning A Framework for Assessing the Competencies Reflected in Simulation Performance Developing A Learning Culture: Assessing Changes in Student Performance and Perception Financial Simulation Using Distributed Computing Technology Analyzing Managers' Judgements and Decisions with an Educational Business Simulation Understanding Your Business through Home-Made Simulator Development An Examination of a Reanalysis of the Impact of a Market Leader on Simulation Competitors' Strategies Applying Shocks to TE Simulations: A Demonstration Increasing Efficiency of Management Skill Assessment A Testbank for Measuring Total Enterprise Simulation Learning Developing Leadership Skills - Video Live! LEADSIMM: Collaborative Leadership Development for the Knowledge Society A Team Approach to Producing Multi-Media Laptop and Video Formatted Presentation Tinkertoys Revisited: Exploring Trust Based Relationships Overall Dominance in Total Enterprise Simulation Performance Success or Bankruptcy: The Relationship between Personal and Goal Orientation and Simulation Performance Assessing the Effects of Feedback: Muti-method and Muti-directions in Multi-pedagogical Courses The Missing Ingredients in Experiential Learning Purpose and Learning Benefits of Business Simulations: A Design and Development Perspective Building Capabilities for Change through Laboratory Simulations Modeling Innovation as a Process of Design in Educational Business Simulation The Need to Measurer variance in Experiential Learning and a New Statistic to do so Assessing Effectiveness of an Experiential Oriented Course Over Time Developing Participant Satisfaction Models of Experiential Exercises in Business Education Perceptions of Learning in TE Simulations Students' View on the Use of Business Gaming in Hong Kong Management Gaming's Lost Opportunity: Meditations about the Russian Experience and Prospects for the Future Unanticipated Enhancements in the Business Strategy and Policy Game when Running in Windows 95 Using a Business Game to Demonstrate Broad Business Concepts A New Model for Business Courses (Getting the Student Connected) Seeing the Forest and the Trees: Integrating Knowledge Using Large Scale Simulations in Capstone Business Strategy Classes Is It Here To Stay? A Roundtable Discussion of the Inter-Group Interaction Interactive Tools Used in Applying Financial Concepts Strengthening Essential Skills through a Finance Exercise: Calculation of Beta A Model of Currency Exchange Rates Understanding Currency Exchange Rates: A three-part Exercise Student Experiences in the World Intercollegiate Business Game Competition Student Experiences in the International-Collegiate Business Policy Game Competition Using Boards of Directors in Simulation Environments: Comments From Board Members Sharing Best Practices: Teaching Smarter, Not Harder Star Power: A Simulation for Understanding Power and Empowerment The Marketing Game: A Marketing Principles Simulation Alexander Islands: GSSM Tiny Business Simulator on the WWW Putting Strategy into Strategic Business Games Industry Analysis, Porter's Five Forces Model and Strategic Group Maps in the Business Strategy Game Simulation The Use of Concept Mapping to Improve Student Performance and Understanding of Strategic Management Concepts: A Comparison of Techniques Transformational thinking in the Organizational Behavior Course: The Use of Metaphor as an Assessment Tool Creation of a Virtual Learning Community for the Global Virtual Enterprise Project Inter Institutional use of Educational Resources: Joint Use of Management Simulation Games Business Insights: Theory and Practice with the Aid of a Business Simulation Progress: An Experiential Exercise in Development Marketing The ABC's of teaching the Theory of Constraints to Undergraduate Business Students Demonstrating Principles of Organizational Purchasing Behavior through an Experiential Exercise The Virtual Manager: A Different Simulation for Managing Complexity When the Rules are changing and Chaos Breeds Innovation: Recapturing the Value of Constructive Thinking and Play in Simulation Training The Pitfalls, and Potential, of Actual Events as Problem Drivers Using Business Games to teach Environmental Awareness and Green Management: The International Experience with the ENSIM Game A Review of my ABSEL-Related Work Simulation of Government: A Workshop Using GEO Creating Internet-Based Games Using Perl and JavaScript Who's on First? Exploring the Concepts of Problem-Based Learning, Experiential Learning, and Lifelong Learning Students Learn Customer Service and Selling while Conducting Research So You Want to Run an NFL Football Team–An Honors Interdisciplinary Project Supervised Internship: The Employer's Perspective Using Computer Assisted Simulation to Teach International Business Strategy: A Case of the Multinational Management Game (MMG) Multi-Cultural Experiential Learning: A Computer Simulation in China An Appreciative Stance on Diversity as We Move into the 21st Century: A Timeline Exercise to Identify Key Experiences in Good Work Relationships between Black and White Peers A Day in the Life of an Interactive, Real Time, and Internet Delivered Course: A Demonstration Comparing Internet Search Engines: An Experiential Learning Exercise Total Enterprise Simulations and the Internet: Assessing Student Perceptions and Preferences Teaching Accounting Information Systems in a Practicum Format Providing Experiential Learning in Accounting through a Field Study Payroll Project A Spreadsheet Based Business Simulation Game Computer-Behavioral Simulations Training for Project Managers Simulation Scenarios - Rationale and Illustration