Several decades ago, inspired by other knowledge areas, simulation was introduced as a research method to Software Engineering. Motivated by potential benefits achieved in other areas, the software engineering community has used simulation-based studies for planning, controlling, and improving software development. However, unclear expectations from simulation-based studies, a lack of methodological support, as well as dispersed knowledge to support model building and calibration have hindered widespread adoption of simulation-based investigations. In this chapter, we delineate the role of simulation in software engineering research and compile processes and guidelines into a comprehensive life cycle. This chapter aims to guide software engineering researchers to conduct effective simulation-based studies in real-world settings.