Modelling and simulation (M&S) is an interdisciplinary field, relevant for a wide array of areas from both an applied and research perspective. Within defence agencies M&S is used for concept analysis, development and evaluation of technical system, method development, as well as for education and training. M&S is also applied extensively by the Swedish Defence Research Agency (FOI). The purpose of this report is threefold: to increase the understanding of how M&S research can support the Swedish Armed Forces (SwAF), to identify current international and national trends with the domain of M&S research, and finally identify possible routes forward for the M&S research conducted by FOI. The report includes (1) the result of the review of current research trends within M&S, (2) the result of a needs analysis based on interviews with respondents from SwAF, Swedish Defence Materiel Administration (FMV) and FOI, and finally (3) the report presents three directions for future M&S research directions that could meet some of identified needs. The three suggestions aim at assessment and decision support, education and training, and M&S knowledgebase. The first and second suggestion focus on research closer to specific challenges identified in the needs analysis, while the third suggestion focus on how to maintain and develop a general M&S competence within FOI.