Understanding cognitive biases for good management

10 February 2025

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A better understanding of cognitive biases

Cognitive biases are shortcuts in our thinking that enable us to process information very quickly in order to provide an answer and/or make a decision quickly.

They are present in all individuals. On the other hand, they are generally unconscious, involuntary and automatic.

Initially, they have a survival function. But they can do us a disservice. In 1972, Tversky & Kahneman defined cognitive bias as a hasty, misleading and falsely logical thought pattern that alters the way we make judgments and/or decisions. There are over 250 cognitive biases.

Cognitive biases: not to be confused with other notions

They are not to be confused with cognitive dissonance or cognitive distortion.

Cognitive dissonance is an internal tension that arises when one's system of beliefs and thoughts clashes. This is the case, for example, in an ethical conflict.

Cognitive distortion, on the other hand, represents a thought pattern that alters the perception of reality (e.g. excessive generalization).

The role of cognitive bias

  • Speed up decision-making, act quickly and deal with emergencies.
  • Dealing with large amounts of information and sorting it on a daily basis.
  • Create meaning in the face of complexity, the unknown or lack of information about a situation.
  • Facilitate the memorization process, overcome memory limitations.

The three types of bias

The main individual cognitive biases

First, let's take a look at some individual cognitive biases. These bias our reasoning processes, impacting our personal effectiveness. Optimism bias: Thinking that situations with negative consequences can only happen to others, minimizing the impact of the risks we take.

The fixing bias :

When faced with a problem, we tend to focus on the first idea that comes to mind, to the detriment of other possibilities. To counteract this bias, it's a good idea to give your collaborators time to think, before starting to express themselves orally.

Confirmation bias:

Give importance to information that confirms our initial hypothesis, to the detriment of information that contradicts it.

Escalation bias to commitment:

Persisting with an idea without recognizing that it's a mistake, especially when the costs are substantial and can no longer be recouped. This bias is therefore particularly harmful to projects. It's also interesting because it's really self-inflicted. Indeed, it's all the more difficult to change one's mind when it's we who have made the initial decision. Conversely, it's easier to be objective when the idea comes from someone else.

Availability bias:

Use only the knowledge and skills available, believing you have sufficient mastery of the subject.

Memory bias:

  • Primacy bias: better recall of the first items presented
  • Recency bias: better recall of the last items presented.

These two biases can coexist, i.e. the elements of the environment are omitted.

  • Negativity bias: remembering better the elements presented as negative. As a manager, this can mean focusing on what went wrong, while overlooking the team's successes.
cognitive bias and management

Some inter-personal cognitive biases

Next, let's take a look at some inter-personal cognitive biases, which alter our perception and judgment of others. They have repercussions on our relationship with others, on how we interact with others.

Authority bias:

Overestimating the value of opinions expressed by a body considered superior or expert. As a manager, it may be a good idea to let employees express themselves first, before taking the floor yourself.

The illusion of transparency:

Overestimate other people's understanding of our emotions, internal states and thoughts. Indeed, what is not expressed cannot be guessed. This bias has a major impact on team relations, both between a manager and his or her team, and between managers. As a team leader, when you are grateful for the work of your teams, don't hesitate to let them know.

See also our article on recognition at work

The curse of knowledge:

This means assuming that the other person has the same level of knowledge as you. In particular, you can be careful not to use over-technical jargon that would hinder the other person's understanding. Try to be as clear and explicit as possible.

Social desirability bias :

In this way, we present ourselves as we think others will appreciate/validate us.

The main inter-group cognitive biases :

They skew our view of the world according to our social identity, leading to stereotypes and prejudice.

Essentialism bias:

Attributing essential, distinct and immutable characteristics to groups, social categorization. This can lead to an overestimation of the differences associated with these groups.

Pro-endogroup bias:

It's the tendency of members of a group to value people in the same group more highly. Conversely, with this bais, we can treat people from outside the group less well. This can lead to clans within teams.

See also our article on conflicts in the workplace

‍Leversto overcome these biases

It is possible to overcome cognitive biases by applying a few tips:

  • Recognize that we are all affected by cognitive biases.
  • Develop critical thinking skills. Question your own judgments and those of others: why do you think that?
  • Foster collective intelligence: compare points of view.
  • Structuring decision-making: using objective criteria.
  • Recognize the influence of our emotions on our reasoning. We can question what's going on inside us.
  • Cultivate cognitive humility: accept uncertainty and your own limitations.
  • Raising awareness and training in cognitive biases, to encourage reflection on oneself and others.

Cognitive biases enable us to be efficient in terms of response speed. However, they can also lead to errors in reasoning and judgment. However, these biases cannot be eliminated. Finally, to prevent cognitive biases, we first need to question ourselves, both on a personal and managerial level.

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