Abstract

This paper examines how generative AI (GenAI) agents can be integrated into educational settings to simulate project management (PM) risks. Drawing on literature from risk management, simulation-based learning, and AI-enhanced pedagogy, the study examines how GenAI can create dynamic, realistic risk scenarios that promote experiential learning and enhance decision-making. A hybrid design-based and design science research framework is proposed to guide the iterative development and evaluation of a GenAI-powered simulation, with a focus on leadership styles, stakeholder negotiation, and ethical dilemmas. The simulation incorporates embedded assessment strategies, including individual reflection and class discussion questions, to foster critical thinking and leadership development. The paper also addresses key challenges, including ensuring realism, mitigating bias, and implementing ethical safeguards aligned with educational standards. GenAI simulations present significant potential to increase student engagement and skill development, but must be carefully planned to align with teaching goals and maintain ethical standards. Future research should investigate long-term learning transfer and cross-cultural relevance to support responsible and effective use of GenAI in PM education.

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