Problems in Decision Making and Solutions
Inspired by Berkshire Hathaway Vice Chairman Charlie Munger’s “list of mistakes”, these highly interactive specialised lectures have universal applications. Developed from techniques learned from Professor George Siedel of the University of Michigan, these lectures examine the psychological tools and traps that affect people when making rational decisions. No-one is ever fully immune to irrational heuristics, but by the end of this course you'll be able to recognise and counter these habits. Stop being your own worst enemy and become your own best ally.
Tools and Techniques to Improve Decision Making
"[V]ery smart people do very dumb things, and we wanted to know why and who, so we could avoid them." - Charlie Munger
Looking at descriptive decision-making, students will learn about the behavioural influences behind our choices and discover when heuristics can lead us astray.
Students will develop mental tools for the following situations:
- Why 100% isn’t always the limit: how to avoid reactive devaluation and maximise outputs
- The cost of everything and the value of nothing: how to estimate more accurately
- How “Yes” is the enemy: why disagreement is your most valuable tool
- Why words matter: how choosing the right phrase is the difference between life and death
- Statistics and Risk: what you don’t know will hurt you
- Perception Gaps: why British people know nothing about Britain
- Escalation: the real value of $20
- Contrast and Brightness: How black is black?
In these lectures, students will discover the “rules of thumb” that blind us to proper decision-making. They will discover how to overcome their own biology and make logical decisions based on sufficient information. This checklist will instantly improve their ability to lead, estimate, and understand the perceptions (and mistakes) of others.
Students will learn how to:
- Increase outputs and improve results through better awareness
- Seek out relevant information properly
- Override their “gut” instinct
- Take advantage of greater awareness
- Develop more accurate estimates and foster realistic expectations