How cognitive bias is ruining your business and how you can change it
The list of fatally bad decisions in business is long: too strong or weak trust in innovation, underestimation of competition, clinging to unprofitable acquisitions. Are the leaders behind corporate collapses really that inexperienced or downright bad? Certainly not!
Thanks to forty years of research in the field of cognitive science and behavioral economics, we know that we make a number of systematic errors - cognitive biases - when making "rational" decisions. In the book You're about to make a terrible mistake! the French psychologist and consultant Olivier Sibony will first show you, through amusing examples, that these distortions apply even to the best of the best. He will describe known mistakes and crashes by categorizing them into nine traps and classifying them into five basic groups. However, instead of individual mental procedures to defend against them, it offers a new way to secure oneself: teaches you to create a system of techniques and processes using collective intelligence, called. enterprise decision architecture. The book then provides forty specific methods to help you create this safer corporate environment.
"We trust Titanic completely. We believe the ship is unsinkable."
— Philip Franklin, vice president of the company that owns the ship.
YOU WILL LEARN MORE IN THIS BOOK
- That the decision-making setup is six times more important than the analysis in investment decisions.
- Why our minds love storytelling and what other traps business leaders most often fall into.
- How the "early dissection" method will help you and how the "six amigos" will direct you.
- What tools to use in the company to encourage open discussion and avoid decision paralysis.
- In what types of key decisions can we use intuition effectively.
