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Games are an effective teaching and classroom training tool, since they allow students to practise real‐life events. In the area of project management, most games focus on the planning phase of a project. The current paper aims to describe a new game, called PEG – Project Execution Game. The uniqueness of this game is its focus on real world problems during the project's execution.

The Project Execution Game provides the “players” with a set of realistic, but unexpected events that occur during a project, in order to enhance their problem‐coping capabilities and decision‐making skills as well as hone their general reactions. The game is designed for either one or several teams competing among themselves. The game's validity was tested on 185 undergraduate students in their advanced project management course. Statistical results about the simulation's contributions are presented in relation to several aspects of project management.

The conclusion from the study is that a game is an effective tool for teaching the unstructured area of project execution, and gives the student a taste of real‐life experience.

The Project Execution Game can be implemented with students in project management training sessions. With this game, the students gain more practical relevant experience, as compared to alternative teaching techniques. Furthermore, the game can be used in organizational training to improve project managers' techniques and experience in reacting to unexpected events. Finally, it can also be used with project managers practising before the actual execution of a big project.

This paper suggests effective and interesting ways of teaching project management in order to better train project managers. By simulating realistic competitive conditions, the concepts learned and solutions generated in the classroom can be transferred to the outside business environment.