Real-Time Quote
Quote | News | Chart | Details
AOL News & Analysis
When Making Judgement Calls, Should You Listen to Your Gut?
10 Apr 2012 EDT - CNBC.com
Page 1 of 6 | Next Page
Show Entire Article

GUEST AUTHOR BLOG: Your Brain on Decision-Making: Why Your Organization is Smarter than You by Brook Manville and Thomas H. Davenport co-authors of "Judgment Calls: Twelve Big Stories of Big Decisions and the Teams that Got Them Right."

Made another bad call?

Welcome to the club.

But don’t beat yourself up.

New cognitive research explains why we all so often make bad decisions: there are many mental traps we all fall into, and we’re even beginning to probe the brain itself to understand why the traps occur.

There’s plenty to be worried about: “ego bias” (over reliance on one’s own experience), “hindsight bias” (believing that past events will predict the future), “anchoring” (over-reliance on familiar but irrelevant information), or a “zero-risk bias” (over-emphasizing total risk avoidance and missing the opportunity for proportional risk reduction).

Take a cognitive scientist to dinner and you can have a long evening discussing more.

Page 1 of 6 | Next Page
Show Entire Article
AOL News & Analysis
 Cramer & 'Shark Tank' pro: 7 'Say Word' stocks - 15 Apr 2014 EDT - CNBC.COM
 Steve Case peers into the future of the Internet - 01 Apr 2014 EDT - CNBC.COM
 Your first trade for Monday - 28 Mar 2014 EDT - CNBC.COM
 Your first trade for Thursday - 26 Mar 2014 EDT - CNBC.COM
Real-Time Quote
omniture pixel