Business Skills

 Decision Making & Problem

solving
 Negotiation
• Planning
• Evaluating Performance
• Business strategy

Leadership Skills
• Motivating talent
 Developing &
communicating vision
• Goal setting
 Persuasion
 Persistence
 How today’s competencies are taught

Reading/Lecture Self Assessment Role Plays

Bazerman et al Influence Style Conservation Crisis

Exercise
 Cognitive Factors Leading to Poor Decisions

Sharing Using Relevant Noticing

Information Information Information

Bounded Awareness

Poor decisions
Not SHARING Information limits awareness
which leads to poor decisions

Not Sharing information

Bounded Awareness

Poor Decisions
 Consider Negotiation Exercise
• The best outcome could be that both
parties got all the fruit that was available
and saved $$ on the bid
Students Reflect on “information sharing”
in Negotiation Exercise

• Describe what information you didn’t share

AND explain how that led to a negative
outcome
• OR
• Describe what information you shared AND
explain how that led to a positive outcome
Not sharing Bounded Poor Decision
information Awareness

What members do in groups

•Discuss common information because it

is agreed upon & rewarded with support
•Do not discuss unique information they
have
•Do not seek out unique information that
others may have
Not sharing Bounded Poor Decision
information Awareness

Information Information about

about all excellent
candidates candidates given to
given to all some members,
members information about
not so excellent
candidate is given
to all members
Quality of Good Poor
candidate
chosen
Students plan on “information sharing”
in Group Decision Making Exercise

• How will you ensure that information is

shared in the group decision making exercise?
– common information
– unique information
• What steps have you already taken to ensure
that information is shared in the group
decision making exercise
 Not using RELEVANT information limits
awareness which affects the quality of decisions

Not using relevant information

Bounded Awareness

Poor Decision Quality

 Students Reflect on ‘using relevant
information’ in Negotiation Exercise
• What relevant information did you not
use/share in the negotiation discussion AND
explain how that led to a negative outcome
• OR
• What relevant information did you use in the
negotiation discussion AND explain how that
led to a positive outcome
Not using relevant Bounded
information Awareness

Think of all the Control

things that will Group
make you happy

How much of A little A lot

your happiness
depends on
team’s win?
Not using relevant Bounded
information Awareness

What percent What percent

of group’s of group’s
performance performance
was due to was due to
your ideas? each member’s
ideas?

Self serving bias More Less

 Students plan on “using relevant
information” in Group Decision
Making Exercise
• How will you ensure that RELEVANT
information is used in the group decision
making exercise?
• What steps have you already taken to ensure
that RELEVANT information is used in the
group decision making exercise?
Not NOTICING information limits awareness
which affects the quality of decisions

Not Noticing information

Bounded Awareness

Poor Decision Quality

 What affects whether you notice information?

Focus on Gradual Expectations

certain changes in about
types of environment existing
information information

Amt of Information Noticed

Expectations Limits
about Information
information Noticed

Dangerous Dangerous
objects will Objects will
appear appear 1%
50% of time of time
Error Rate 7% 30%
Focus on certain Limits Information
types of information Noticed

Those who were told to watch

superimposed videos of teams playing at
different times AND who were asked to
count the number of passes between
members wearing the same jerseys did not
notice woman walking with open
umbrella on court
 Gradual Limits Information
changes in Noticed
environment

Gradually Suddenly
increased increased
estimates to estimates to
exaggerated exaggerated
number number
Likelihood of Less More
judging
estimates as
inflated
 Students plan on how you will notice
the information that is out of your
awareness during the Group Decision
Making Exercise

Give concrete examples of how you will

notice information by changing your focus,
changing your expectations, monitoring
degree of changes in environment
 Summary of Cognitive Factors that Can
Inhibit your Decision Quality

• Need to locate information that is out of your

awareness to improve decision quality
• Locate out of awareness information by
– Perceiving it
• changing focus, changing expectations, environment
type
– Using relevant bits
– Sharing it with each other
 Motivational biases to our judgments

Bias in
Attachment judgments
 How evidence supports the link

Attachment

Plaintiffs (in an accident)

predicted that they would
receive larger awards from
the judge than did
Bias in defendants
Judgment
 How evidence supports the link

Attachment Given a pay rate of $25 for

7 hrs, those who worked 10
hrs thought they should be
paid $35 for 10 hrs of work
(equal hourly pay) whereas
those who worked 7 hrs
Bias in thought the 10 hr workers
Judgment should be paid $30 (equal
total pay)
 How evidence supports the link

Attachment
Sellers’ auditors were more
biased than buyers’
auditors despite an
incentive for accuracy

Bias in
Judgment
 What’s next..

 Theoretical Understanding via lecture on

Bazerman et al Readings
• Cognitive & motivational factors
• Practical Application of knowledge gained by
doing the Conservation Crisis Case Exercise in
a group
• 20 min time limit
• Complete “influence style” questionnaire
individually after group decision exercise
 Students reflect on COGNTIVE effects in
Group Decision Making Exercise
• How did your group fail/succeed in locating
information out of awareness in terms of
– Noticing it
• focus, expectations, environmental changes
– Using relevant bits
– Sharing it
 Students reflect on MOTIVATIONAL effects
in Group Decision Making Exercise

• How did attachment play a role in biasing

group members’ judgments?
OR
• How might you prevent the effects of
attachment on judgments in your group
decision making exercise
 For next week ….

• Save your responses to the influence style

responses for reflection and comparison with
next week’s role play where you have to
exercise influence again…