A. Warm-Up (5 min)
B. Case Study: The Stubborn Project
C. Extract: Skill & AIM Action
D. Reinforcement Activity: Bias Auction
Lesson 2: Bias Recognition (Identify)
A. Warm-Up (5 min)
Activity: “The $100 Test”
Pose: “You lose 100 cash. Would you spend another 100 to try finding it?”
Reveal: This tests the sunk cost fallacy.
B. Case Study: The Stubborn Project
Scenario: A tech team invested $500K in a feature users rarely adopt. The lead insists: “We’ve put in too much to quit.”
Task: “What biases are at play? How would you redirect the team?”
C. Extract: Skill & AIM Action
Skill: Bias recognition = Spotting sunk cost fallacy/status quo bias.
AIM Action:
Assess: Compare adoption rates vs. costs.
Identify: Name biases (use a bias checklist).
Make: Decide to sunset the feature, reallocating resources.
Tools: Pre-mortems, red-team reviews.
D. Reinforcement Activity
Bias Auction: Teams “bid” on hidden biases in a decision memo (e.g., “We chose Vendor A because they’re industry leaders” → anchoring bias).
The sunk cost fallacy is a bias where people keep investing in a failing effort just because they've already spent time, money, or energy, leading to poor decisions in life and business.
A Red Team review is an independent, critical evaluation of a proposal to spot weaknesses and improve clarity, compliance, and persuasiveness before submission.