Avoiding pitfalls and blindspots
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https://www.surveymonkey.co.uk/r/N72QP67
To reduce blindspots, follow WRAP:
- Widen your options and your advisor pool
- Reality test your assumptions
- Attain distance before deciding; and
Potential blindspots include:
1. Knowable unknowns.
2. Confirmation bias: where you too easily interpret evidence as confirming your own view.
3. Over-confidence.
4. False analogy: where you wrongly think your decision is the same as one that you’ve dealt with in the past.
5. Extrapolation fallacy: where you assume that the future will play out just like the past.
6. Availability bias: where you prefer the easiest option to implement.
7. Tunnel vision: where you get so fixated on one factor or option that you miss other pertinent matters.
8. Loss aversion: where you prefer the option involving the least amount of risk, regardless of potential upside in the riskier options.
9. Sunk cost fallacy: where you consider irrelevant factors such as previously invested resources.
10. Vividness: where the most vivid option overly fixates you.
11. Timidness: where stakeholders don’t feel empowered to share their perspective.
12. Groupthink: where the stakeholders all fall in line and fail to challenge eachother; limiting diversity.
13. Anchoring: where everyone in a group gets fixated on a particular idea and fails to ever come off of it.
14. Information overload: where you collate so much information and knowledge that you don’t know how to process it.
15. Uncertainty paralysis: where you feel too uncertain to make the decision and keep collecting more data or performing more analysis to try and get comfortable.
Your task for today is to review what you’ve done so far and whether any of these blindspots might be present in your own process and if so, how you might mitigate them.