Pierce through the chatter. Analyze what matters. Make choices that count.
Bad decisions are never intentional. We fall victim decision-making pitfalls without knowing it, and even the most mindful of us can be left wondering, "How did we get here?" That's why Kabiri Consulting's unique Decision Science framework identifies where decisions unintentionally go wrong - so you can get it right.
If it's consumer decision-making you want to understand, market research and big data analytics can only go so far. People don't always do what they say or want what they do. To sway consumers ethically and powerfully, you need to know how their choice-making works.
Here are some psychological and social constraints that make decision-making tough to understand and tough to get right. Kabiri Consulting systematically incorporates academic learnings on each of these into every consulting project we do.
To learn more about the principles of Decision Science and how they can help your business, check out the blog.
HEURISTICS AND BIASES
Behavioral Science has revealed many ways in which mental short-cuts ("heuristics") and biases influence decision-making. Understanding how heuristics and biases work can help you avoid making your own sub-optimal business decisions. They can also help you ethically nudge consumers toward decisions that are beneficial to your business.
NORMS AND CULTURE
Research in anthropology and sociology tells us that decisions are constrained by their contexts. Which means consumer sub-cultures can sway decision-making. Tech culture, mom culture, foodie culture, yoga culture... the social norms that govern behavior in these groups can sway how people decide what to purchase. Even your own company's culture can sway your decisions.
MEANING AND IDENTITY
Humans are wired to look for meaning in the world, to make sense of our experiences. Sociology tells us that we create meanings through social interactions - about our environment as well as about who we are. Knowing how consumers perceive the world through symbols and their own identities can help you speak to them in an influential way. Mindfulness of your own meaning-making can help you make your own more confident choices.
GROUPS AND TIES
Herd behavior is real, as are bandwagons, and they can lead to sub-optimal decision-making. Who you know can shape your opportunities - and your options. Your connections can also make some options seem more appealing than they actually are. How your organization is structured matters a lot as well: the degree of hierarchy in your org, and the structure of your org, can influence business growth. Awareness of social structure is essential.