Building Behavioral Science in an organization

Curated on Posted on by Stefaan Verhulst
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Report by Action Design Network in conjunction with UPenn Master of Behavioral and Decision Sciences: “Behavioral science can be applied to a variety of practice areas within an organization via a range of design and measurement tactics. It can influence strategy and design throughout an organization, including product design, marketing and communications, employee and customer engagement, and strategic decision making. Applied behavioral science includes both designing for the moment (the domain of nudges and cognitive biases) as well as creating the broader context for shaping the thoughts, emotions, and behavioral patterns of employees and customers. 

This book draws on the collective wisdom of applied behavioral scientists with deep experience within their respective practice areas to provide practical guidance on building a behavioral science function that has a meaningful impact on your organization….(More)”.

The Future of Nudging Will Be Personal

Curated on Posted on by Stefaan Verhulst

Essay by Stuart Mills: “Nudging, now more than a decade old as an intervention tool, has become something of a poster child for the behavioral sciences. We know that people don’t always act in their own best interest—sometimes spectacularly so—and nudges have emerged as a noncoercive way to live better in a world shaped by our behavioral foibles.

But with nudging’s maturity, we’ve also begun to understand some of the ways that it falls short. Take, for instance, research by Linda Thunström and her colleagues. They found that “successful” nudges can actually harm subgroups of a population. In their research, spendthrifts (those who spend freely) spent less when nudged, bringing them closer to optimal spending. But when given the same nudge, tightwads also spent less, taking them further from the optimal.

While a nudge might appear effective because a population benefited on average, at the individual level the story could be different. Should nudging penalize people that differ from the average just because, on the whole, a policy would benefit the population? Though individual versus population trade-offs are part and parcel to policymaking, as our ability to personalize advances, through technology and data, these trade-offs seem less and less appealing….(More)”.

Legislative Performance Futures

Curated on Posted on by Stefaan Verhulst

Article by Ben Podgursky on “Incentivize Good Laws by Monetizing the Verdict of History”….There are net-positive legislative policies which legislators won’t enact, because they only help people in the medium to far future.  For example:

  • Climate change policy
  • Infrastructure investments and mass-transit projects
  • Debt control and social security reform
  • Child tax credits

The (infrequent) times reforms on these issues are legislated — which happens rarely compared to their future value — they are passed not because of the value provided to future generations, but because of the immediate benefit to voters today:

  • Infrastructure investment goes to “shovel ready” projects, with an emphasis on short-term job creation, even when the prime benefit is to future GDP.  For example, Dams constructed in the 1930s (the Hoover Dam, the TVA) provide immense value today, but the projects only happened in order to create tens of thousands of jobs.
  • Climate change legislation is usually weakly directed.  Instead of policies which incur significant long-term benefits but short-term costs (ie, carbon taxes), “green legislation” aims to create green jobs and incentivize rooftop solar (reducing power bills today).
  • (small) child tax credits are passed to help parents today, even though the vastly larger benefit is incurred by children who exist because the marginal extra cash helped their parents afford an extra child.

On the other hand, reforms which provide nobenefit to today’s voter do not happen; this is why the upcoming Social Security Trust Fund shortfall will likely not be fixed until benefits are reduced and voters are directly impacted.

The issue is that while the future reaps the benefits or failures of today’s laws, people of the future cannot vote in today’s elections.  In fact, in almost no circumstances does the future have any ability to meaningfully reward or punish past lawmakers; there are debates today about whether to remove statues and rename buildings dedicated to those on the wrong side of history, actions which even proponents acknowledge as entirely symbolic….(More)”.

Do conversations end when people want them to?

Curated on Posted on by Stefaan Verhulst

Paper by Adam M. Mastroianni et al: “Do conversations end when people want them to? Surprisingly, behavioral science provides no answer to this fundamental question about the most ubiquitous of all human social activities. In two studies of 932 conversations, we asked conversants to report when they had wanted a conversation to end and to estimate when their partner (who was an intimate in Study 1 and a stranger in Study 2) had wanted it to end. Results showed that conversations almost never ended when both conversants wanted them to and rarely ended when even one conversant wanted them to and that the average discrepancy between desired and actual durations was roughly half the duration of the conversation. Conversants had little idea when their partners wanted to end and underestimated how discrepant their partners’ desires were from their own. These studies suggest that ending conversations is a classic “coordination problem” that humans are unable to solve because doing so requires information that they normally keep from each other. As a result, most conversations appear to end when no one wants them to….(More)”.

Theories of Choice: The Social Science and the Law of Decision Making

Curated on Posted on by Stefaan Verhulst

Book by Stefan Grundmann and Philipp Hacker: “Choice is a key concept of our time. It is a foundational mechanism for every legal order in societies that are, politically, constituted as democracies and, economically, built on the market mechanism. Thus, choice can be understood as an atomic structure that grounds core societal processes. In recent years, however, the debate over the right way to theorise choice—for example, as a rational or a behavioural type of decision making—has intensified. This collection therefore provides an in-depth discussion of the promises and perils of specific types of theories of choice. It shows how the selection of a specific theory of choice can make a difference for concrete legal questions, in particularly in the regulation of the digital economy or in choosing between market, firm, or network.

In its first part, the volume provides an accessible overview of the current debates about rational versus behavioural approaches to theories of choice. The remainder of the book structures the vast landscape of theories of choice along three main types: individual, collective, and organisational decision making. As theories of choice proliferate and become ever more sophisticated, however, the process of choosing an adequate theory of choice becomes increasingly intricate, too. This volume addresses this selection problem for the various legal arenas in which individual, organisational, and collective decisions matter. By drawing on economic, technological, political, and legal points of view, the volume shows which theories of choice are at the disposal of the legally relevant decision maker, and how they can be implemented for the solution of concrete legal problems….(More)“

The Behaviourally Informed Organization

Curated on Posted on by Stefaan Verhulst

Book by Dilip Soman and Catherine Yeung: “…This edited volume represents the first output from this international partnership. The book is designed to reflect our conceptual thinking, outline some early results from the partnership and an agenda for research and practice, and provide roadmaps to help both practitioners and academics converge in the common quest of developing behaviorally informed organizations. The book is divided into four parts.

In Part 1, “The Behaviorally Informed Organization,” four chapters lay out an agenda for what such an organization should be and could be. In chapter 1, Soman talks about the science of using behavioral science by developing a brief history of the field of behavioral science, outlining organizational realities, and generating a research agenda to help develop BIOrgs. In chapter 2, Feng and colleagues further develop an understanding of organizational realities and outline what resources and capabilities organizations need to develop in order to be truly behaviorally informed. In particular, they develop the notion of the cost of experimentation and make the point that driving down the cost of experimentation is key in developing behaviorally informed organizations. In chapter 3, Vinski asks and answers the question, “Why should organizations even want to be behaviorally informed?”; and in chapter 4, O’Malley and Peters add to that question by further addressing why organizations might actively resist the need to be behaviorally informed.
Organizational settings provide existing tools and also additional complexities, and in Part 2, “Overarching Insights and Tools,” four chapters address some of these organizational realities. Chapter 5 talks about “sludge” – small aspects of an organizationally created context that create impedance for end-users. If sludge is not cleared, the effectiveness of behavioral interventions will be constrained, and hence this chapter makes a case for identifying and eliminating sludge. In chapter 6, Duncan and colleagues provide a
guide to writing guidelines, an important tool for most policymakers and businesses as they attempt to provide helpful information to their citizens and customers. Given that organizations have multiple interactions for multiple products and services with their endusers, a binary classification into econs and humans is not feasible or helpful. Therefore, in chapter 7, Ireland talks about the boundedly rational complex consumer continuum, a nuanced framework for segmenting recipients of behavioral interventions. Given that endusers are inundated with information and other types of stimulus from organizations, it is unclear that they will attend to it all. In chapter 8, Hilchey and Taylor write about the psychology of attention and its implications for helping end-users make better decisions….(More)”.

Revenge of the Experts: Will COVID-19 Renew or Diminish Public Trust in Science?

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Paper by Barry Eichengreen, Cevat Aksoy and Orkun Saka: “It is sometimes said that an effect of the COVID-19 pandemic will be heightened appreciation of the importance of scientific research and expertise. We test this hypothesis by examining how exposure to previous epidemics affected trust in science and scientists. Building on the “impressionable years hypothesis” that attitudes are durably formed during the ages 18 to 25, we focus on individuals exposed to epidemics in their country of residence at this particular stage of the life course. Combining data from a 2018 Wellcome Trust survey of more than 75,000 individuals in 138 countries with data on global epidemics since 1970, we show that such exposure has no impact on views of science as an endeavor but that it significantly reduces trust in scientists and in the benefits of their work. We also illustrate that the decline in trust is driven by the individuals with little previous training in science subjects. Finally, our evidence suggests that epidemic-induced distrust translates into lower compliance with health-related policies in the form of negative views towards vaccines and lower rates of child vaccination….(More)”.

Nudging at scale: Experimental evidence from FAFSA completion campaigns

Curated on Posted on by Stefaan Verhulst

Paper by Kelli A. Bird et al: “Do successful local nudge interventions maintain efficacy when scaled state or nationwide? We investigate, through two randomized controlled trials, the impact of a national and state-level campaign encouraging students to apply for financial aid for college. The campaigns collectively reached over 800,000 students, with multiple treatment arms patterned after prior local interventions in order to explore potential mechanisms. We find no impacts on aid receipt or college enrollment overall or for any subgroups. We find no evidence that different approaches to message framing, delivery, or timing, or access to one-on-one advising affected campaign efficacy. We discuss why nudge strategies that work locally may be hard to scale effectively….(More)”.

How Elvis Got Americans to Accept the Polio Vaccine

Curated on Posted on by Stefaan Verhulst

Hal Hershfield and Ilana Brody at Scientific American: “Campaigns to change behavior thrive on three factors: social influence, social norms and vivid examples…In late 1956, Elvis Presley was on the precipice of global stardom. “Heartbreak Hotel” had reached number one on the charts earlier that year and Love Me Tender, his debut film,would be released in November. In the midst of this trajectory, he was booked as a guest on the most popular TV show at the time, The Ed Sullivan Show. But he wasn’t only there to perform his hits. Before the show started, and in front of the press and Ed Sullivan himself, Presley flashed his swoon-worthy smile, rolled up his sleeves and let a New York state official stick a needle loaded up with the polio vaccine in his arm.

At that point, the polio virus had been ravaging the American landscape for years, and approximately 60,000 children were infected annually. By 1955, hope famously arrived in the form of Jonas Salk’s vaccine. But despite the literally crippling effects of the virus and the promising results of the vaccination, many Americans simply weren’t getting vaccinated. In fact, when Presley appeared on the Sullivan show, immunization levels among American teens were at an abysmal 0.6 percent.

You might think that threats to children’s health and life expectancy would be enough to motivate people to get vaccinated. Yet, convincing people to get a vaccine is a challenging endeavor. Intuitively, it seems like it would be wise to have doctors and other health officials communicate the need to receive the vaccine. Or, failing that, we might just need to give people more information about the effectiveness of the vaccine itself…(More)”.

Applying behavioural science to the annual electoral canvass in England: Evidence from a large-scale randomised controlled trial

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Paper by Martin Sweeney, Peter John, Michael Sanders, Hazel Wright and Lucy Makinson: “Local authorities in Great Britain are required to ensure that their electoral registers are as accurate and complete as possible. To this end, Household Enquiry Forms (HEFs) are mailed to all properties annually to collect updated details from residents, and any eligible unregistered residents will subsequently be invited to register to vote. Unfortunately, HEF nonresponse is pervasive and costly. Using insights from behavioural science, we modified letters and envelopes posted to households as part of the annual canvass, and evaluated their effects using a randomised controlled trial across two local authorities in England (N=226,528 properties). We find that modified materials – particularly redesigned envelopes – significantly increase initial response rates and savings. However, we find no effects on voter registration. While certain behavioural interventions can improve the efficiency of the annual canvass, other approaches or interventions may be needed to increase voter registration rates and update voter information….(More)”.