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Analysis paralysis is the tendency to act only when you are ultra-confident about the chosen solution can result from two psychological mechanisms: the fear of making mistakes and the belief that, choosing a solution now, we miss the chance of finding a much better one.
The fear of making mistakes can have individual (psychological) or organizational causes. The classic individual cause is perfectionism, which leads to lack of productivity, tense climate, micromanagement, and burnout.
The organizational cause can come from a culture in which exists a fear of failure, a culture in which failure is analyzed not to see what we can learn from it, but to find and punish the guilty, a culture that punishes action, but not the mistakes made due to inaction, causing a total lack of initiative.
The second mechanism of analysis paralysis is the reluctance to choose a solution because maybe if we think about it one more day, we will find a much better one.
The perfect solution fallacy is called the Nirvana fallacy and it prevents us from seeing the effectiveness of the solutions we have at hand.
I teach Thinking and Deciding in Business for multiple schools in Romania and abroad. On top of that, I am an angel investor, a trainer and I run marathons, often dressed as Mickey Mouse.
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