Lecture 9 Flashcards
(14 cards)
before seeking advice…
…formulate independent judgement
otherwise we’ll be biased
anchoring
mental contamination (Wilson & Brekke)
anchoring
anchoring - less separation b/w judgements when you hear someone’s opinion
averaging diff judgements
incr accuracy of solutions more than putting more weight on one perspective (Larrick & Soll)
WOA
how much weight you’re putting on someone else’s opinion
being in a position of high power and getting advice
power makes people more competitive and self-focused (Tost)
ex. they don’t adjust WOA when getting advice from expert
Thaler and Sunstein’s research
ppl need nudges when:
- decisions are difficult (bc complex/require self-control)
- decisions are rare
- decision makers don’t get prompt feedback
bright spots
positive outliers that arise from WITHIN firm, and then expanded upon
why bright spots > benchmarking?
- easier to ID steps that led to success
- can be captured as story (Ex. Marissa Mayer, Google) (Heath & Heath)
- ppl prefer in-house ideas (“we” created this, etc); benchmarking can threaten employee identity (Haslam)
stretch goals
constructing target so far from past accomplishments that employees can’t achieve w/ current means/abilities
Ex. Southwest and 15 min turnaround
stretch goals and creativity
goals that seem impossible more likely to trigger creative planning/solutions (Sitkin)
stretch goals > “do your best”
specific, challenging goals lead to better planning quality
r = .48, Smith, Locke and Barry
nudging
shaping choice architecture
Chaos of rewards
flawed and subjective. Transparency in process is key.
powerful people tend to see things abstractly
- favor statistics over concreteness
- (over)emphasis on metrics
- vague euphemisms
