Investing in Innovation: How Virtual Simulation Delivers Academic and Financial Returns

As the landscape of nursing education continues to evolve, programs are under pressure to meet complex demands—preparing students for real-world practice, navigating limited access to clinical sites, adapting to competency-based models, and managing tight budgets. One solution that addresses all of these challenges is virtual simulation. When strategically implemented, virtual simulation enhances student learning while offering measurable benefits to faculty, programs, and institutions (Penalo, 2023). In a previous Kaplan blog, we explored creative ways to incorporate virtual simulation into the classroom, clinical rotations, and simulation labs (Doherty, 2024). This follow-up offers a deeper look at how to implement virtual simulation strategically—and how to evaluate its financial impact through cost analysis and return on investment (ROI). For nursing deans and educators, this insight is essential for building a resilient and future-ready nursing program.

Why Strategy Matters

While virtual simulation can be adopted reactively to solve immediate problems—like a shortage of clinical placements or lab space—it’s far more effective when introduced as part of a strategic plan. A thoughtful approach involves identifying key goals, securing stakeholder support, aligning with accreditation requirements, and integrating the platform into the broader curriculum.

Start by identifying where virtual simulation can make the most impact. Many programs begin with high-enrollment clinical courses or rotations where consistent placement is a challenge, such as obstetrics, pediatrics, or mental health. Faculty champions can help pilot these integrations, gather feedback, and model effective use for colleagues (Roye et al., 2021).

A phased implementation plan typically starts with a pilot, then expands across the curriculum with ongoing evaluation. Incorporating virtual simulation into didactic courses, clinical rotations, and lab-based instruction allows students to apply knowledge in a structured, interactive environment that supports both independent learning and faculty-guided reflection.

Understanding the Financial Landscape

One of the most compelling aspects of virtual simulation is the potential for cost savings and long-term financial sustainability. While the platform requires an investment—typically through a licensing or subscription model—it often offsets expenses associated with traditional clinical or simulation experiences.

To evaluate the financial impact, consider the indirect and hidden costs of maintaining clinical placements. These may include faculty time spent on coordination and documentation, preceptor interactions, orientation logistics, and travel for faculty site visits (Haerling & Miller, 2024). While these may not be direct fees, they represent significant resource allocation each semester.

With virtual simulation, many of these administrative burdens are reduced or eliminated. The platform provides a structured, repeatable, and scalable learning environment that doesn't rely on external site availability or staffing. To analyze this, you can gather data on the time and resources currently dedicated to clinical coordination and compare them to the cost of a virtual platform. This forms the foundation of your cost-benefit analysis.

Adding It Up: Conducting a Cost Analysis

When you’re building the case for virtual simulation, your cost analysis should consider both tangible expenses and resource utilization. While exact numbers will vary between institutions, the categories you evaluate are generally consistent.

Start by outlining your current costs associated with traditional clinical experiences, including:

• Administrative and coordination time: Time spent assigning students, managing schedules, and handling paperwork.
• Faculty travel or remote site visits: Costs associated with sending instructors to distant clinical sites.
• Preceptor-related time and communication: Coordinating evaluations and supporting student learning remotely.
• Simulation lab maintenance: For in-house simulation, costs may include equipment upkeep, replacement parts, and staffing.

Next, estimate the costs of implementing virtual simulation:

• Platform licensing: Often priced per student or cohort.
• Faculty training: Initial onboarding sessions or professional development hours.
• IT support: Typically minimal, but it is worth noting if platform integration is required.

Once you have this side-by-side view, identify potential savings. For example, if virtual simulation replaces a portion of clinical hours, could you reduce coordination time or travel? If it supplements simulation lab use, could you defer equipment upgrades? Could you reallocate faculty time from logistics to teaching?

Even if you're using conservative estimates, this analysis will help you clearly demonstrate the financial logic behind adopting virtual simulation—not just as a learning tool, but as a smart operational decision.

Building Your Return on Investment (ROI) Picture

Return on investment (ROI) in virtual simulation goes far beyond basic cost savings. It includes the opportunity to increase enrollment capacity by easing the dependency on limited clinical site availability, allowing programs to grow without being constrained by placement shortages. It also supports improved student outcomes, including stronger clinical judgment skills and better NCLEX readiness, which can lead to fewer remediation needs and lower attrition rates. Additionally, virtual simulation can free up valuable faculty time by automating assessment and providing built-in feedback and analytics, reducing manual grading and evaluation tasks. Lastly, it can help programs avoid costly investments in physical infrastructure, such as high-fidelity manikins or expanded simulation labs, making it a financially sustainable option with long-term benefits.

To calculate ROI, start by identifying measurable benefits:

• How many additional students could your program admit if site restrictions were reduced?
• How much faculty time could be redirected from coordination to teaching or mentoring?
• How could improved outcomes support retention and graduation rates?
• What investments (e.g., lab space, equipment) could be avoided or deferred?

Pull together this data using existing program information—budget reports, faculty workload hours, enrollment data, and student outcomes. Use estimates or ranges to model various scenarios and show the potential return over time. Even without exact numbers, a well-reasoned estimate can demonstrate the value of investing in virtual simulation.

A Real-World Approach: Making the Case for Deans and Faculty

At one nursing school, the decision to implement virtual simulation stemmed from a combination of limited clinical placement options and rising costs associated with maintaining simulation labs. The leadership team worked with faculty to identify a few key courses where virtual simulation could be introduced first. They documented how much time faculty spent coordinating clinical experiences, estimated how many hours of instruction could shift to virtual delivery, and projected how the program might increase enrollment with fewer site constraints.

They also tracked improvements in student performance and engagement, linking virtual simulation use to more confident clinical decision-making and stronger performance in clinical judgment assessments. Over time, the institution recognized that the platform not only enhanced learning but also positioned them to grow enrollment without expanding physical infrastructure—an essential win in a competitive higher education landscape.

Final Thoughts

Virtual simulation is not just a teaching tool—it’s a strategic resource that can help programs modernize their curriculum, optimize resources, and prepare students for the complexities of nursing practice. When thoughtfully implemented, it supports both educational excellence and financial sustainability. Whether your goal is to expand access, strengthen outcomes, or do more with limited resources, virtual simulation offers a practical, future-forward solution that’s worth the investment.

References

• Doherty, C. (2024, December 4). "Level up your teaching with virtual patient scenarios." Kaplan Nursing Blog  https://www.kaptest.com/blogs/nursing-educators/post/virtual-patient-scenarios
• Haerling, K., & Miller, C. W. (2024). A cost-utility analysis comparing traditional clinical, manikin-based simulation, and screen-based virtual simulation activities. Journal of Nursing Education, 63(2). doi:10.3928/01484834-20231205-04
• Penalo, L. M. (2023). Effects of the virtual simulation prebriefing-debriefing educational strategy on nursing students’ self-efficacy and virtual simulation performance: A quasi-experimental study. Clinical Simulation in Nursing, 82. https://doi.org/10.1016/j.ecns.2023.101431
• Roye, J., Anderson, M., Diaz, D., & Rogers, M. (2021, November/December). Considerations for the effective integration of virtual simulation in the undergraduate nursing curriculum. Nursing Education Perspectives, 46(6), E173-E175