The Impact of Cognitive Biases on Organizational Change Management and How to Work with Them

Pink News Editor | September 15, 2021

Across the world every day, every person and every leader in every business is making decisions and forming views of situations based on their personal thoughts, filters, beliefs and perceptions. I know, I know – you probably want to believe that you’re not like that – you want to be viewed as someone who forms your decisions and thoughts based on rational facts, but chances are that is most likely not the case. Being aware of your biases and those of your employees is especially important when it comes to many aspects of leading others through the process of organizational change management.

Take a moment to do some thinking about your thinking.

In this blog post, we’re looking at a concept known as cognitive biases, which is taken from Pink’s certification course, Organizational Change Management Essentials. The term is well known in the fields of communication, decision-making and leadership, and organizational change management. There has been a lot written about this subject.

Cognitive biases are flaws in the way we think and process information that can lead us to reach the wrong or inaccurate conclusions. By slowing down our decision-making process, being more aware about how our biases work, collaborating with and gaining input from others, and using tools like objective and impartial checklists and resources, we can significantly reduce the chances that cognitive biases will lead us to make the wrong decisions and lead us astray.

According to author Connie Stemmie in her Develop Good Habits’ article, there are at least 15 common cognitive biases that can cloud rational thinking. She goes on to say that “People tend to use cognitive biases when time is a factor in making a decision, or they have a limited capacity for processing information. And, without considering objective input, one’s behavior, judgment, or choices may end up being illogical or unsound.”

During major change initiatives especially, it is recognized that being an unbiased leader is important, yet such leadership can be challenging because of how our brains work. And what about your employees – how well do you know them? Are you aware of their cognitive biases and especially any that can play negatively into major change initiatives?

As if communication wasn’t a large enough challenge at the best of times, four of the 15 biases identified by Stemmie can be particularly problematic when an organization is undergoing an organizational change initiative – confirmation, status quo, and availability, as well as the bandwagon effect. The good news, Stemmie says, is that there are techniques that can help your organization communicate more effectively…

Four Common Cognitive Biases in Communication Leaders Should Know about

Confirmation bias:

  • People tend to pay attention to things that confirm what they already know (or believe) to be true. They ignore or reject information that goes against their beliefs – which may cause them to argue against the change initiative.
  • Solution: Communication techniques to overcome the confirmation bias include communicating the ‘why’ something should change (with evidence), engaging people’s hearts and minds, and constantly reminding everyone about the compelling vision for your organizational change.

Status Quo Bias:

  • People often resist change because they like what they are familiar with. This includes resisting change where only a small transition on their part could have a big impact, because they may be uncertain or fearful of what they believe they will lose.
  • Solution: Communication techniques to overcome the status quo bias include explaining what is and is not changing, communicating the compelling vision, and providing the next steps.

Availability Bias:

  • The availability bias occurs when people overestimate the importance of the information they already have or is available to them. They frequently form their beliefs from stories, anecdotes, pieces of information, or even old information rather than considering all the facts.
  • Solution: Communication techniques to overcome the availability bias include communicating how and when specific issues are being addressed; for example, if there were issues in an early pilot of new technology, as well as sharing the success stories.

Bandwagon Effect (also known as groupthink or herd mentality):

  • The bandwagon effect occurs when people want to conform with the group or their peers rather than exploring the options and developing their own opinions. They may feel pressured to simply go along with their peers.
  • Solution: “To avoid the bandwagon effect, you can use debiasing techniques that help you think and act in a rational manner, such as creating distance from the bandwagon cues, creating optimal conditions for judgment and decision-making, slowing down your reasoning process, elicit external feedback, etc.”[1]

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[1] “The Bandwagon Effect: Why People Tend to Follow the Crowd.” Effectiviology.
https://effectiviology.com/bandwagon/#How_to_avoid_the_bandwagon_effect

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