Michael Mauboussin, Decision Making
No one ever wakes up in the morning and says “I’m going to make some terrible decisions today.” But the truth is, a lot of us make shockingly poor decisions at work.
I’m talking to financial whiz-bang thinker, Michael Mauboussin, author of Think Twice: Harnessing the Power of Counterintuition. What Michael has done so brilliantly in his book is point to some of the systemic errors in our mistakes and say that we can actually develop our ability to make better decisions.
Michael is also the chief investment strategist at Legg Mason Capital Management, and before that he was the managing director and chief US investment strategist at Credit Suisse.
In this interview, Michael and I discuss:
- What separates great investors and business people from the average ones (it has very little to do with mathematical ability)
- Why 80% of us think we’re better-than-average drivers (and how this overconfidence gets in the way of making better decisions)
- The inside vs. outside view of dealing with problems
- Why we have such a strong tendency to default to the experts, like the guy in the suit with the PowerPoint presentation or the doctor in a lab coat
- Checklists: the humble yet effective tool, and the 3 keys to having a checklist that works
Learn more about Michael’s work and find his books at www.michaelmauboussin.com.