As simulation becomes a standard tool in nursing education, appropriate application of technological innovations to the psychiatric mental health specialty must be considered. The use of simulated scenarios helps nurse educators overcome some of the learning limitations within today’s clinical environment such as healthcare agency policies restricting student nurse activities, decreased availability of contact hours in the clinical setting and increased patient acuity. Standardized patients, integrated high-fidelity mannequins and virtual clinical exercises offer opportunities for students to practise and be evaluated on their performance of core competencies. The use of simulation in mental health nursing education appears logical as, often, the psychiatric clinical experience bears additional challenges related to stigma, safety and liability. The literature suggests that simulation techniques enhance student learning of therapeutic communication, assessment and nursing intervention skills (Festa et al. 2000). The purpose of this paper is to review the use of simulation in education across the health professionals, to describe the development and implementation of innovative simulation techniques for an undergraduate psychiatric mental health nursing course, and to identify lessons learned and future directions for successful simulation experiences in psychiatric nursing