When I did it...
It was on a fixed base sim. In the type rating course we re-visited this sim and were told it was for procedural training only and should not be hand flown (because it's so crap). You guessed it, you will learn to hand fly a LOFT exercise (mine was LPL GLA) and the last session is a test.
eJ told us it was to transition from TP to jet. When we got to CTC (having quit our old TP jobs) we were told it was a test to see if we were suitable to be moved on to the full type rating course. You should have seen our faces!
You will learn very little about hand flying the 737, but it is a useful way to learn CTC's version of easy SOPs.
Good luck!