Shining Force is a turn-based tactical RPG. Battles take place in square grids, and each unit occupies one square. Each unit can move up to a fixed amount of squares along the battlefield, determined by its Move statistic. Depending on its location relative to enemies and to allies, a unit can also perform one action: attack, cast a spell, use an item, or search the area. Some commands, such as equipping or dropping items, dont count as actions. The order of turns is determined by the units agility score and a random seed.

As is most common for the RPG genre, units become stronger by fighting enemies or by performing other actions in battle, such as healing allies. These actions give the units experience points (EXP.), which allow them to gain levels.

In Shining Force, each allied unit is represented by a character with his or her own background and personality, much like in the Fire Emblem series. Although there are no generic units, except on the enemy side, most characters contribute little or nothing to the plot upon joining the player army.

Each allied unit also has a class, which defines a set of abilities for that unit and determines the spells and equipment they have access to. A unit can be promoted to another class at any level between 10 or 20. Upon promotion the characters level resets to 1 and statistics are reduced by a fixed amount, although they begin higher if the character had been promoted at a higher level.