From: Harvard Business Review
Leaders as Decision Architects
Harvard Business Review:
All employees, from CEOs to frontline workers, commit preventable mistakes: We underestimate how long it will take to finish a task, overlook or ignore information that reveals a flaw in our planning, or fail to take advantage of company benefits that are in our best interests. It’s extraordinarily difficult to rewire the human brain to undo the patterns that lead to such mistakes. But there is another approach: Alter the environment in which decisions are made so that people are more likely to make choices that lead to good outcomes.
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For decades, behavioral decision researchers and psychologists have suggested that human beings have two modes of processing information and making decisions. The first, System 1 thinking, is automatic, instinctive, and emotional. It relies on mental shortcuts that generate intuitive answers to problems as they arise. The second, System 2, is slow, logical, and deliberate. (Daniel Kahneman, winner of the Nobel prize in economics, popularized this terminology in his book Thinking, Fast and Slow.
Read the whole story: Harvard Business Review
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