Biases in Project Management and How to Overcome Them with the Two Systems of Thinking
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| − | + | The main differences between System 1 and System 2 can be seen on figure 1. | |
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| + | [[File:Systems.PNG|300px|thumb|center|Figure 1: Main differences between System 1 and System 2 <ref name="Systems"> Philip Jordanov. (2018). | ||
| + | System 1 and 2: Thinking fast? Slow down. Neurofied.https://neurofied.com/thinking-fast-slow-down-system-1-and-2/ </ref>.]] | ||
When people think of themselves, they identify with system 2 as it decides what to think about and what to do. However we rely a lot more on System 1 in the daily live as it saves us time and effort <ref name="Thinking Fast and Slow"> Daniel Kahneman. (2011). Thinking, Fast and Slow. Penguin Books. </ref>. In fact, 98% of our thinking is done by System 1, leaving only 2% of our thinking to System 2 <ref name="SUE"> Astrid Groenewegen. (n.d.). | When people think of themselves, they identify with system 2 as it decides what to think about and what to do. However we rely a lot more on System 1 in the daily live as it saves us time and effort <ref name="Thinking Fast and Slow"> Daniel Kahneman. (2011). Thinking, Fast and Slow. Penguin Books. </ref>. In fact, 98% of our thinking is done by System 1, leaving only 2% of our thinking to System 2 <ref name="SUE"> Astrid Groenewegen. (n.d.). | ||
Revision as of 21:33, 8 May 2023
Written by Bjarki Rúnar Sverrisson
Abstract
The Israeli-American 2002 Nobel Prize winner, Daniel Kahneman introduced the two systems of thinking in his book, „Thinking Fast and Slow“. He argues that every single decision a human being makes is made by one of two systems in the brain. He calls them System 1 and System 2. The systems have their own abilities, limitations, and functions. System 1 thinking is automatic, intuitive, and quick while System 2 thinking is intentional, analytical, and slow,
In project management, the decision-making process can be influenced by many things e.g. the cognitive biases of the people involved in the project. System 1 thinking can for example result in biases like the availability bias, where people prefer to overestimate the likelihood of occurrences that are easily recalled, and the confirmation bias, where people seek for information that confirms their already ideas. System 2 thinking can help people overcome these biases by analyzing data more thoroughly and making decisions based on a comprehensive understanding of the project's goals, risks, and opportunities.
Project managers should actively seek out varied perspectives and data sources, and participate in purposeful thought to reduce the biases brought on to them by System 1 thinking. They should also create decision-making processes that encourage critical thinking and exploration of alternative options. By being aware of the two systems of thought and the biases they imply, project managers can make better judgments and acheive projects more successfully. By adopting a deliberate thinking approach and implementing decision-making processes that encourage critical thinking, project managers can mitigate the biases associated with System 1 thinking and create a more effective project management process.
This article will focus on how the two systems of thinking and biases relate to decision-making in project management, and how project managers can overcome biases with System 2 thinking.
The Two Systems of Thinking
Daniel Kahneman, an Israeli-American psychologist, economist and 2002 Nobel Prize winner introduced the two systems of thinking in his book „Thinking Fast and Slow“. These two systems are referred to as System 1 and System 2. They are two different modes of thinking and Kahneman argues that every single decision a human being makes is made by either of them.
System 1 thinking is automatic, intuitive, and operates with little to no effort. It is often associated with patterns and emotions. It is responsible for unconscious decisions and can lead to errors and biases because it operates with shortcuts and heuristics rather than a careful analysis. However, it is essential for survival as it can process a lot of information quickly and without effort, making it useful for making the fast and effortless decisions in live. For example, if we see a snake, the System 1 thinking immediately makes us react. Operations of System 1 thinking is often beyond control as it operates without conscious awareness. It is therefore hard to detect when its thinking is causing biases. Therefore, it is very important to be aware of the biases associated with System 1 thinking. Example of activities that are operated by System 1 thinking are:
- Detect that an object is further away than another object.
- Detect hostility in a voice.
- Answer the result of 2 + 2.
System 2 thinking is intentional, analytical, and slow. Its operations are often associated with choice and concentration. Its thinking is more accurate, reliable, and less prone to biases than System 1 thinking but is not used all the time as it requires a lot more effort and time than System 1 thinking. According to Kahneman, most people tend to be lazy thinkers and seek to System 1 thinking whenever it is possible. Example of activities that are operated by System 2 thinking are:
- Compare the price of two products.
- Focus on the voice of some specific person in a crowded and loud room.
- Answer the result of 155 x 139.
The main differences between System 1 and System 2 can be seen on figure 1.
When people think of themselves, they identify with system 2 as it decides what to think about and what to do. However we rely a lot more on System 1 in the daily live as it saves us time and effort [2]. In fact, 98% of our thinking is done by System 1, leaving only 2% of our thinking to System 2 [3]. When accuracy and reliability are crucial it is essential to use System 2 thinking to overcome the biases of System 1. It is therefore important for project managers to understand the two systems of thinking as it helps them being aware of biases that can be present if the reliance on System 1 is too much. By being aware of that, they can reduce biases which results in better decision making [2].
Biases in Project Management
- Biases that can effect System 1 thinking in Project Management. For example, Confirmation bias and Availability bias
- How System 1 thinking and biases can impact project management decisions and outcomes
Bias
Overcoming biases with System 2 thinking
- How System 2 thinking can help project managers overcome biases and make better decisions
- Benefits of System 2 thinking in Project Management
Applications of the Two Systems of Thinking in Project Management
- How project managers can apply the two systems of thinking to their decision making process
- Methods to using System 2 thinking to overcome the biases associated with System 1 thinking
- Examples of how the two systems of thinking have been applied in project management in various industries
Limitations of the Two Systems of Thinking
[1] Kahneman, Daniel. "Thinking, Fast and Slow". Penguin Books, 2011.
[2] https://fs.blog/daniel-kahneman-the-two-systems/.
[3] https://suebehaviouraldesign.com/kahneman-fast-slow-thinking/
[4] https://gbd.dk/en/project-management-fast-and-slow/
Technological Solutions
- Technological solutions that can support System 2 thinking in Project Management
- Pros and cons of using technology to support decision making in Project Management
- Examples of how technology has been used regarding this topic
Best Practices for Overcoming Biases in Project Management
- Summary of strategies we can use to overcome biases in Project Management e.g. involving diverse perspectives, critical thinking, and technology
References
- ↑ Philip Jordanov. (2018). System 1 and 2: Thinking fast? Slow down. Neurofied.https://neurofied.com/thinking-fast-slow-down-system-1-and-2/
- ↑ 2.0 2.1 Daniel Kahneman. (2011). Thinking, Fast and Slow. Penguin Books.
- ↑ Astrid Groenewegen. (n.d.). Kahneman Fast And Slow Thinking Explained. SUE Behavioural Design. https://suebehaviouraldesign.com/kahneman-fast-slow-thinking/
