Learn more about psychology with this collection
How to make rational decisions
The role of biases in decision-making
The impact of social norms on decision-making
Cognitive biases
...are common thinking errors that harm our rational decision-making.
We don't always see things as they are. We don't simply glean information through the senses and act on it; instead, our minds give that info their own spin, which can sometimes be deceptive.
754
3.36K reads
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Confirmation Bias
Is the tendency to focus on new information that confirms pre-existing beliefs and trivialize anything that might challenge those beliefs.
How to control it: Seek out information that goes against your pre-existing beliefs.
696
1.69K reads
How to control the optimism bias
- Be skeptical of your own rosy expectations for your work.
- Assume projects will be more difficult and more expensive than you initially think they will.
- Don't trust your good ideas to manifest through positive thinking - be ready to fight for them.
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1.85K reads
Negativity Bias
Is the tendency to change our thought processes and behaviors more because of negative things than we do because of neutral or positive things.
How to control it: Track your wins: record objectives attained, new ideas realized, and positive effects your work has had on the liv...
734
1.85K reads
Cognitive Miser Theory
We tend to put the least amount of effort possible into problem-solving.
We are apt to minimize cognitive effort and save our strength for when it's most needed. If we're not consciously engaged with the details, we're likely to take any shortcut that presents itself.
How...
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1.52K reads
Sunk Cost Fallacy
It describes our tendency to commit to something just because we've already invested resources in it—even if it would be better to give up on it.
How to control it: Always reevaluate your processes in light of new evidence.
732
1.63K reads
Anchoring Effect
Is the tendency to privilege the first information we encounter, even when subsequent information turns out to be more relevant or realistic.
How to control it: Because the anchoring effect can give you blinders for specific metrics, be sure that you're always reviewing data f...
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Optimism Bias
Is our tendency to overestimate the odds of our own success compared to other people's.
Overly optimistic predictions can be dangerous, leading us to waste time and resources pursuing unrealistic goals. In the real world of business, things don't always work out for the best, and it...
710
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The IKEA Effect
Is why we get attached to things when we had a hand in creating them.
It echoes the sunk cost fallacy: We're not prioritizing the object/project as much as we are the resources we've put into it.
The IKEA effect is easy to put to good use at work. You can do it for your...
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1.36K reads
Goal Gradient Effect
It explains why we work harder to achieve our goals when they're most closely in sight: At work, you might notice that you and your coworkers sprint toward a project's finish line once you can see the light at the end of the tunnel.
How to control it: Visualize your work in wa...
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Related Collection
MORE LIKE THIS
Cognitive biases
They are mental shortcuts we use, which generally help us make quick decisions, but don’t always work out for the best.
Our brains were never wired to be truly rational because there is way too much information in the world for us to process. We evolved instead to make decisio...
Cognitive distortions
When you think about your life, it is quite possible that you mind is playing tricks on you that can distort your view.
Cognitive distortions—where your mind puts a ‘spin’ on the events you see and attaches a not-so-objective interpretation to what you experience—happen all the tim...
Mechanisms needed for individuals and groups
Both individuals and groups need mechanisms to review how their decisions are made.
- Many businesses are averse to appointing someone to keep statistics on the decisions made and evaluate the biases, errors, the wrong forecasts, and the misjudged factors to make the p...
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