Idea to Value

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Planning fallacy: Why we are so bad at predicting how long something will take

Idea to Value

The Sydney Opera house is one of the most iconic buildings in the world. I had the pleasure of living there for a while, and it always took my breath away. But did you know that it is one of the best examples of a project going over time and budget? Construction was originally planned to only cost $7 million and be finished in 1963. It ended up taking more than 10 years longer, and costing over $102 million , around 1,357% over budget.

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What impact does time pressure have on creativity?

Idea to Value

Diamonds are formed under pressure There are numerous examples of companies who allowed staff to take time to work on their own innovations and creative ideas. Companies such as AT&T’s Bell Labs (leading to the transistor and the laser), 3M allowing people to have 15% of their time to work on projects of personal interest (leading to Post-It notes ) and Google.

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Information Bias: Paralysis by Analysis

Idea to Value

Sometimes, having more information will not make your decisions any better. Yet many people panic before making any decision, and want to keep gathering more data and information before they feel “ready” to make the correct choices. This is often referred to as analysis paralysis. And one of the cognitive biases which may underpin it is called the Information Bias.

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Endowment Effect: Why people value what they currently have

Idea to Value

Have you ever wanted to buy something, but the person selling wanted more than you thought it was worth? That person might have been suffering from the Endowment Effect. The Endowment Effect is a cognitive bias where people who own a good to value it more than people who do not. It was popularised by the work of Daniel Kahneman, Jack Knetch and Richard Thaler, especially their 1990 research.

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Bias Blind Spot: Why you are more biased than you think

Idea to Value

You hear me talk about cognitive biases a lot. They affect everything from what sort of information be believe , what we like , who we hang out with and what we look for. However, as intelligent readers of this blog, surely you are more aware of your biases and less biased than other people… Right? Well, unfortunately there is a bias we also suffer from, called the Bias Blind Spot, also known as the “Bias Bias” This bias shows that while we are often quick to recognise the bias

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Baader-Meinhoff Phenomenon: Why we see things everywhere once we see them once

Idea to Value

Have you ever wondered why sometimes after seeing or experiencing something for the first time, you end up seeing it happening everywhere? Or when you get interested in something, you end up noticing that everyone seems to be talking about it? This may be down to the Baader-Meinhoff phenomenon , or Frequency Illusion , a cognitive bias we all suffer from.

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Authority Bias: Why we submit to the ideas and orders of others

Idea to Value

Would you ever hurt someone intentionally? What about if someone you respected told you to do it? In some cases, people will believe almost anything someone tells them, if the person telling them appears to have the authority to do so. One of the most dangerous biases in the world might be the Authority Bias. This is the tendency to attribute greater accuracy to the opinion of an authority figure ( unrelated to its content ) and be more influenced by that opinion.