Overcoming Cognitive Biases in Business


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Based on the article by Daina Mazutis, Anna Eckardt

Cognitive biases affect our decision-making every day. How have the four types of biases shaped the corporate response to a modern issue like climate change?

California Management Review
Volume 59, Issue 3 (Spring 2017)

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Video Production: Katherine Lee
Music: “Candlepower” by Chris Zabriskie
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CJ

2 Comments

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  1. A few thoughts here:
    1:19 – of course, organizations see this as an economic issue. Why would they invest millions or billions of dollars, negatively impacting their own shareholder return, not knowing if their efforts will make any difference? As a shareholder, I would thank them for their common sense, not their cognitive bias.
    1:35 – if you do some recent historic research, you will learn than most recently it was still called global warming. But then, the data changed, and they realized that it was not only warming but cooling. Well, you can't call it global warming AND global cooling, so "climate change" was coined. But don't worry, the data is sure to change again in a few years, and we can start calling it global warming again….
    1:50 – how the framing of an issue may affect our judgment..? Since when is labeling something correctly a bad thing? To do otherwise is to push an agenda, and you are not suggesting that, are you?
    2:15 – isn't a "pessimism bias" still a bias? I thought we are trying to overcome bias, not simply adopt new ones..
    I'll stop there. While your theory section was good here, you chose to use an issue that is far from clearly settled (not a bias but a fact), making this look more like an attempt to influence concern over climate change, not to educate on the "business case" for cognitive bias. But it was fun to watch ; )