We often overlook the basis of our daily decision making process on the effect of known, unknown and unconscious biases. Here’s a glimpse of what could be affecting us everyday:
Confirmation Bias: The inclination to favor information that aligns with pre-existing beliefs.
Example: Accepting news sources that confirm political views while dismissing opposing perspectives.
Availability Bias: Relying on easily accessible information, neglecting a comprehensive evaluation.
Example: Forming opinions about a city based on a single negative experience rather than considering a range of experiences.
Anchoring Bias: Depending heavily on the first piece of information encountered (the “anchor”) in decision-making.
Example: Negotiating prices based on an initial, possibly arbitrary, offer rather than objectively assessing value.
Hindsight Bias: Belief that an event was predictable after it has occurred.
Example: Claiming to have foreseen a stock market crash only after it has happened.
Stereotyping Bias: Applying generalized beliefs or assumptions about a group to an individual.
Example: Assuming someone is not tech-savvy because of their age or gender.
Overconfidence Bias: Excessive confidence in one’s abilities, often leading to overestimation.
Example: Traders overestimating their ability to predict market trends, resulting in financial losses.
Recency Bias: Giving more weight to recent events in decision-making.
Example: Valuing the latest performance of a sports team more than its overall season performance.
Authority Bias: Attributing greater accuracy or truthfulness to the opinions of authority figures.
Example: Accepting health advice solely because a celebrity endorses a particular wellness product.
Groupthink Bias: Seeking harmony or conformity within a group, leading to unquestioned acceptance of group decisions.
Example: A team agreeing to a flawed strategy to avoid conflict and maintain group cohesion.
The first step to minimize bias effect is to be aware and to recognise, let’s start today.
Cheers 🥂 MFR