How cognitive bias is impacting our workplaces without us knowing (2024)

Spend any amount of time studying psychology, and you’ll quickly realize one thing: The human brain is a mess. While it feels like we have a fairly comprehensive view of the world around us, the truth isn’t quite so simple. Today, we’re getting into the topic of cognitive bias at work, how to spot it, and how to limit its impact.

It’s all too easy to assume you’re being objective at any given moment. But we humans are actually quite irrational creatures. And, when we end up biased, it makes us prone to mistakes or faulty assumptions. Left unchecked, these biases at work can pose a real problem for workplace wellbeing.

What are cognitive biases?

Our brains cope with the massive amounts of info they receive by taking mental shortcuts, called “heuristics.” Some heuristics speed up thought processes, jumping to conclusions based on past experience. Others affect how we interpret sensory information. But these shortcuts can cause our brain to make mistakes.

So, cognitive biases are the misinterpretations and faulty assumptions that stem from the shortcuts our brain takes when processing information. Or using past experiences to predict new situations. The impact of cognitive bias at work can range from inconvenience to outright disruption.

Cognitive biases can be so disruptive that they can play a role in common mental health problems. Understanding cognitive biases and how they affect us is key to having a happy, healthy, successful workplace.

5 work based cognitive bias examples, and the problems they cause at work

One thing that makes bias at work difficult to confront is that it isn’t just one thing. There are various ways the human brain can succumb to bias, make assumptions or misinterpret information. Here are five examples of cognitive biases that impact us at work to watch out for:

Confirmation bias

This is when you have such a deeply ingrained belief that you selectively focus on information that supports it. When confronted with contradictory information, someone struggling with confirmation bias will either disregard it entirely, or somehow twist their interpretation to support their beliefs.

One way confirmation bias affects the workplace is by limiting people’s buy-in to new ideas when old ways of doing things are so heavily ingrained. A historical example is when Dr. Ignaz Phillip Semmelweis found that cleanliness significantly cut infant mortality in the 1800s. Many physicians who delivered children had also been handling corpses, resulting in numerous deaths due to necrotic infection. Despite the evidence, many doctors opposed these policies, seemingly offended at the implication that they had dirty hands.

A more business based example would be those who insist on annual performance reviews, despite timely feedback being more effective.

The halo effect

This form of cognitive bias at work is basically when we associate positive traits with other positive traits, and negative traits with negative ones. A popular example is that we’re more likely to believe that someone is a good person if we find them attractive.

At work, this might take the form of assuming that the people you get on with are more reliable than the colleagues you barely know. Case in point, despite being 13% more productive, remote workers are 50% less likely to be promoted than their in person peers whose presence gives them more opportunities for building social relationships with their managers.

The false consensus effect

This is when you think more people agree with you than actually do. This kind of cognitive bias at work is one that managers need to watch out for in particular, because of their capacity for making decisions. Whether you listen to employees without taking anything on board, or forgo seeking their opinions entirely, ignoring your staff because you assume you know best is a rookie managerial mistake.

Actor/observer cognitive bias at work

Put simply, we look differently at things depending on whether we’re the actor or an observer. If you snap at someone, you might know it’s because you’re having a bad day. But, if a clerk in a shop is rude to you, you’re much more likely to assume that’s just their personality. In other words, we’re usually more understanding of our own actions than those of others.

This even extends to how we judge our colleagues versus ourselves. If you take a sick day from work, you know that you needed it. But, when a colleague does so, you might assume that they’re simply skiving out of laziness. That’s why it’s essential to check your assumptions before judging your colleagues.

The Dunning-Kruger effect

This is when someone assumes they have a deep knowledge of a topic based on a very superficial understanding. Your company has knowledge specialists for a reason. And assuming you don’t need their help is a quick way to make a mess of things. For example, a CEO or HR director choosing new tech solutions without consulting IT. By not taking advantage of their knowledge, you’re likely to create more work. You’ll choose a solution that isn’t effective or compatible with existing equipment. Remember, a ten minute Google search is no substitute for actual expertise.

Tackling cognitive bias at work

Our biases are a part of us, and you shouldn’t make the mistake of thinking you can eliminate them entirely. But you can take steps to mitigate it. Let’s look at how to test for cognitive bias, and what to do with that information.

Clear things up with communication

If you suspect bias in your organization (whether it’s from you or someone else), your first step should be to communicate. This is one reason why it’s so important for managers to regularly check in with employees. These regular points of contact make it easier to chase up or clarify issues. Managers can respond to individual check-in responses whenever they wish, while employees can make impromptu check-ins if they deem it necessary.

Implement awareness training

Teaching employees to be aware of their own biases is an excellent place to start. In fact, training exercises that use feedback and education to challenge biases can reduce their impact by almost a third.

Encourage employees to challenge their assumptions to mitigate cognitive bias at work

If you use any kind of regular feedback, these are great opportunities to encourage self-reflection. Managers should challenge employee assumptions with questions, but also lead by example by openly challenging their own biases.

Use 360° feedback to promote impartiality

One of the biggest impacts of cognitive bias is in how employee performance gets evaluated. A manager might be biased towards their favorite staff members. Use 360° feedback to gather a more complete view of employee performance.

How cognitive bias is impacting our workplaces without us knowing (2024)

FAQs

How cognitive bias is impacting our workplaces without us knowing? ›

In the workplace, cognitive biases impact how we make decisions, interact and collaborate with others, and recognize and reward people. Unless we're aware of cognitive biases, we'll keep lying to ourselves and falling into common traps that perpetuate false judgments and misconceptions.

How does cognitive bias affect us? ›

And over the course of your life, like every person on the planet, you have developed a few subtle cognitive biases. Those biases influence what information you pay attention to, what you remember about past decisions, and which sources you decide to trust as you research your options.

What are the 8 cognitive biases you may encounter in your professional life? ›

Here are eight types of biases to consider that may impact your work and personal life:
  • Confirmation bias. ...
  • The Dunning-Kruger effect. ...
  • Availability bias. ...
  • Hindsight bias. ...
  • Observer bias. ...
  • Selection bias. ...
  • Cultural bias. ...
  • Decline bias.
Dec 1, 2022

How does unconscious bias affect the workplace everything you need to know? ›

It Affects Employee Experience

When unconscious bias is not addressed, it affects the morale and the overall experience of the workers. These workers may end up feeling alienated, and also be less likely to make their ideas heard.

What is an example of cognitive bias in business? ›

A cognitive bias is a type of error in thinking that occurs when people allow their judgments to be influenced by their own personal preferences, beliefs, or feelings. For example, someone might judge a new product to be better than it is because they want it to be successful.

How do cognitive biases impact the workplace? ›

The impact of cognitive bias at work can range from inconvenience to outright disruption. Cognitive biases can be so disruptive that they can play a role in common mental health problems. Understanding cognitive biases and how they affect us is key to having a happy, healthy, successful workplace.

What are 5 cognitive biases that influence our decision-making? ›

5 Biases That Impact Decision-Making
  • Similarity Bias. Similarity bias means that we often prefer things that are like us over things that are different than us. ...
  • Expedience Bias. ...
  • Experience Bias. ...
  • Distance Bias. ...
  • Safety Bias.
Feb 25, 2021

What five examples represent how biases might be shown in the workplace? ›

10 Examples of Unconscious Biases in the Workplace
  • 1 - Ageism. ...
  • 2 - Conformity Bias. ...
  • 3 - Weight Bias. ...
  • 4 - Affinity Bias. ...
  • 5 - Confirmation Bias. ...
  • 6 - Beauty Bias. ...
  • 7 - Gender Bias. ...
  • 8 - Attribution Bias.

How to avoid cognitive bias in the workplace? ›

How to overcome cognitive biases?
  1. Build awareness. ...
  2. Challenge your beliefs. ...
  3. Seek multiple perspectives. ...
  4. Reflect on past events. ...
  5. Employ decision-making frameworks.
Jun 30, 2024

What are real life examples of impact bias? ›

Examples of impact bias

Failure has much less impact than everyone expects. For example, gaining or loosing a romantic partner, getting or not getting a promotion, passing or not passing a college test and so on, have much less impact, intensity and much less duration, than people expects them to have.

Why is bias bad in the workplace? ›

Bias in the workplace can lead to discrimination against individuals or groups based on their race, gender, age, religion, or other factors. This can manifest in hiring decisions, promotions, and opportunities for career advancement, resulting in unequal treatment and a lack of diversity in the workplace.

How does bias affect team work? ›

It tends to make team members think they already know the outcome of a particular problem since they faced a similar situation before. This isn't always true and could lead to bad decisions and judgments. The confirmation bias occurs when people tend to make decisions and judgment based on their pre-existing beliefs.

How can implicit bias affect the workplace? ›

Implicit bias in hiring restricts entrance to top talent. Also, even when you carefully vet your hiring and recruitment processes for implicit biases, it is crucial to review them frequently. It ensures that your diverse hiring strategy grows and your hiring team is up-to-date on best industry practices.

What is the most common cognitive bias? ›

13 Types of Common Cognitive Biases That Might Be Impairing Your Judgment
  • The Confirmation Bias.
  • The Hindsight Bias.
  • The Anchoring Bias.
  • The Misinformation Effect.
  • The Actor-Observer Bias.
  • The False Consensus Effect.
  • The Halo Effect.
  • The Self-Serving Bias.
Feb 22, 2024

How can cognitive bias be overcome in business? ›

Some ways to overcome this include delegating to other individuals so as to remove your cognitive bias, consulting other trusted people within your organization that have different backgrounds before making decisions, and forcing yourself to approach decisions in a different manner than you have typically done in the ...

How can cognitive bias be harmful? ›

Cognitive bias in all its forms prevents the exchange of accurate information, as we tend to avoid information we do not like or agree with. While we believe that we receive information objectively, our brains unconsciously filter data, distorting our perception of reality.

What are a persons cognitive biases most likely to affect? ›

Cognitive biases most likely affect how a person's brain filters information, leading to favoritism toward compatible information and disregard for contrary evidence. These biases influence decision-making in various professional fields and can be managed through increased awareness and critical thinking.

How might cognitive biases hinder your learning? ›

By being aware of our biases, we can improve our communication and collaboration with others. Learning: Cognitive bias can also impact the way we learn and process information, often making us reinforce existing beliefs and ignore or dismiss new information.

What is the impact and influence of bias? ›

Bias can influence actions that are discriminatory. It can surface and perpetuate into collective conversations when defending harmful actions. It's important to not only understand bias as a concept, but to do self-reflection work that uncovers personal biases and learn to develop counter-behaviors.

How does cognitive psychology affect us? ›

Cognitive psychology helps us to understand ourselves and others, learn more effectively, change unwanted behaviors, and help in managing some mood disorders. This research has opened up new schools and ways of treating mental illness.

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