Navigating Behavioral Science Applications


The concept of nudging and more specifically the behavioral science phrase of “no neutral design” has strong historical ties to social and public sector issues. The motivation for the phrase goes something like this. We have to provide people with information and choices, such as part of governing a country and during driver’s license application processes, social security claiming processes, and hundreds (possibly even thousands) of other processes. During those processes, we present information and choices as part of designs, and there is some nudging which may influence people’s perceptions and choices in predictable ways. For example, when presenting a set of choice options in list format, a cognitive bias known as the primacy effect may be observed where people tend to be influenced more by the first option in the list. But some option has to be first in the list. So in this case we cannot totally avoid the risk of primacy effect biases. And more generally, we cannot avoid many other types of biases and influences studied in behavioral science. All forms of structure and designs affect behavior. Hence, there is no neutral design, and we need to be deliberate about the behavioral architecture surrounding the way things are designed.

These considerations also play a role in the private sector. And I see a lot of cases where companies may not be conscious about how behavioral science influences come into play simply because they weren’t thinking about them. And that’s the problem. It is a corollary to no neutral design. Because we design things in the private sector, we influence behavior. We can either be diligent to consider behavioral science considerations or not. In other words, we need to avoid accidental behavioral architecture in our designs. We need to navigate toward deliberate behavioral architecture.

Now we can’t predict how everything will turn out for a design through understanding behavioral science. However, we can get a lot smarter about things and about how to manage companies that can better implement and navigate behavioral science. That’s why I’m writing the book, Inside Nudging: Navigating Behavioral Science Applications. The book is not intended to explore detailed behavioral science principals as covered in other great books like Thinking, Fast and Slow (Kahneman 2013) or The Last Mile (Soman 2015). My real focus is to shed light on how behavioral science concepts are implemented in companies and how to get an organization further along the maturity curve in terms of implementation. These management considerations sometimes require a more detailed appreciation of behavioral science. For example, it is hard to really explore management considerations of behavioral science and ethics without delving into areas like System 1 versus System 2 thinking, nudge controllability, moral psychology, and the like. To implement behavioral science more effectively, companies need grit – the ability and fortitude to succeed. Behavioral GRIT™ is a key framework that I refer to in Inside Nudging, and it represents orchestrating companies relative to Goals, Research, Innovation, and Testing.

Inside Nudging: The Excerpts is available in paperback form for talks, workshops, and academic inquiries. The excerpt version of the book includes:

  • Chapter 1: Behavioral Science Centered Design in the New Black – This chapter both sets the foundation for deliberate behavioral architecture and the lenses that we need to examine company efforts through.
  • Chapter 2: Organizations Can Package Behavioral Science for Good – This chapter describes a case of using behavioral finance in the retirement plan design space.
  • Chapter 8: Nudges Refined, Ethics Examined, Acceptability Explored – This chapter introduces Nudge Psyche, a checklist of things to think about so that you can be deliberate about how you approach nudge design and ethics.
  • Appendix A: Ideas to Introduce Behavioral Science Initiatives – This appendix explores predominant organization models (such as an innovation center) and a number of implementation elements that may play a role during execution (such as an advisory board and a behavioral science officer position).

Thanks for reading. I welcome your companionship on this journey and your feedback. Visit www.InsideNudging.com for more info.

New Resolutions and Fresh Starts

As we approach the year-end, I wanted to share some thoughts from my book, The Consulting Apprenticeship: 40 Jump-Ideas for You and Your Business. It is a technique that I’ve seen a number of operating companies and management consulting firms use effectively. I’ve usually called it the Spring Cleaning technique, to connote a sense of renewal that often comes with the pastime of cleaning and refreshing a home early- to mid-year. That said, the technique can really be applied at any time of year.

The Spring Cleaning technique consists of an executive- or management-level meeting to talk about the business in breadth, capture issues (no-holds barred), rank issues, strategize, and divide and conquer. The basic value of a Spring Cleaning management team meeting is as follows:

  • The meeting forces people to think proactively. While management may have regular weekly management meetings, it becomes easy to become caught up in the day-to-day grind and push off things that people don’t have time for but know are important.
  • The manager that oversees the functional line roles has an opportunity to reset expectations and goals. The psychology of starting fresh can re-energize the organization.
  • Involvement of a consultant can provide a third-party perspective, and in some cases, extra project bandwidth to overcome organizational inertia. The consultant may be expected to work with all of the parties above to prepare information in advance, facilitate meeting discussions, organize issues and action items, and develop a project structure for making and tracking progress. The consultant can essentially act as right-hand person to the sponsoring manager.

In the Spring Cleaning meetings that I have worked on, typical meetings may last a couple of days. The first day of meetings may involve level-setting and brainstorming on strategies. Between these days, the consultant may work to organize the notes, data, or perform analyses. The next day of meetings may be spent working through the high points, prioritizing, and identifying more detailed next steps.

While situations vary, the consultant may be retained as a both a project manager for the larger effort and as specialist to work with a specific functional group to implement change. In these change management situations, the organization may be trying to get over humps or change course while running the business. The value of the project management aspect should not be underestimated.

Two other options that I’ve seen are to include specialized workshops that can either:

  • precede the Spring Cleaning meeting (as a standalone workshop)
  • be more tightly integrated into the Spring Cleaning meeting.

As an example of the first option, I am co-hosting Behavioral Economics Workshops in conjunction with one of my colleagues and partners, Namika Sagara at Sagara Consulting. For those unfamiliar with the term behavioral economics, it is a field that has really grown and examines the psychology of how people form judgments and make decisions. Companies may apply behavioral economics to solve problems in innovative ways. More information on Behavioral Economics Workshops can be found at www.BehavioralEconomics.Info.

It’s rarely a good idea to treat business as usual. Stay on your toes, and take a moment to brainstorm and think about the possibilities of a workshop, renewal session, or Spring Cleaning meeting. Please feel free to reach out to either Namika or me if you want to set up a short call to brainstorm.

Namika Sagara, namika at sagaraconsulting.com

Steve Shu, steve at steveshuconsulting.com