I may have mentioned this here before, but it might be of interest in this thread ...

When my son was a Cub Scout I introduced the boys to the idea of a compass by doing a sort of pin-the-tail-on-the-donkey game.

First, I show the boys how a compass can be turned, but the needle stays pointing in the same direction. Then I show them how I can point the compass in a direction, rotate the bezel to box the needle, rotate, and then rotate my body to rebox the needle such that I'm facing that same original direction.

Then, we start the game. I put a target (the donkey) on a wall or tree (I used a post-it note), then we stand a short distance away, and I have the boy point the compass at the target and then rotate the bezel to box the needle. I have them spin slowly around so they can see that as they return to the original direction (pointing at the target) the needle goes back into the box.

Then - and here's the fun part - I put a sheet over their head & body (so they can't see the target), I spin them around a few times, I remind them NOT to rotate the bezel of the compass, and then I tell them to use the compass to find the target. At first I might prompt them to rotate their body until the needle is back in the box, but soon enough they don't need the reminding. Since they are walking blind, we have a few adults staying around them as they walk to keep them safe, then off they go to find the target.

One time I used a white sheet and used a story that a thick fog rolled in and they needed to find their home.

It works amazingly well and the kids (and adults) have fun with it.

As a second step, we went outside, dropped some bright markers on the ground about 50' apart (one more than the number of learners), and then we set up a simple three-sided course where they head off to the left a bit while counting paces, then turn right, and then their finish is not where they started, but one marker over. Its pretty easy to set up and simple enough for the boys to figure out. You can mix it up a bit by having them head slighty right instead or by having them finish two or more markers from the first one.