Bias and Decision Making free essay sample

Both of these reflected the same numerical statement, however, decision maker may response differently with same problem. Why does this happen? Because of bias. Bias is a subjective ideas or thought. Sometimes it is injustice to receivers who got the outcome from the decision makers. There is a kind of division got from the internet: class, racism, culture, media,gender,linguistic, politice,religion,statistical number(sourced from http://en. wikipedia. rg/wiki/Bias Aug, 9 2008), which is based on external environment around. Under circumstance, decision maker is easy be influenced by those. Here are focused on another kind of division. The division in the textbook organised by 10 biases as follow: overconfidence bias, immediate gratification bias, selective perception bias, confirmation bias, framing bias, availability bias, representation bias, randomness bias, self-serving bias, hindsight bias,(sourced from Robbins, Bergman, Stagg Coulter, 2006, p224). These biases are divided by personal situational condition. When decision makers thought they get more and hold unrealistically positive view of themselves and performance in unfamiliar areas, which present the overconfidence bias, decision makers who wants get quick pay without further thinking and plan is easy to suffer immediate gratification bias, selective erception bias generally is a negative bias which dealing with personal sorrow biases perception, confirmation bias is always worry about this and that with contradicts past judgements, framing bias is the different attitude when decision maker selecting on how a problem is presented, availability bias is tend to meet the events that similar in the most recent and vivid in the memory, decision makers assess the likelihood of an event based on how closely it resembles other events or sets of events, that is representation bias, randomness bias is when decision maker try to create meaning out of random events, self-serving bias is decision maker who likely to award the success prior to other while blaming failure to others, hindsight bias is the tendency for decision makers falsely to believe that they would have accurately predicted the outcome of an event once that outcome is actually known, As follow, it shows a case how bias appears in the real life. We will write a custom essay sample on Bias and Decision Making or any similar topic specifically for you Do Not WasteYour Time HIRE WRITER Only 13.90 / page   newly hired engineer for a computer firm in the Silicon Valley metropolitan area has 5 years’ experience and excellent all-around qualifications, when asked to estimate the starting salary for this employee, a chemist who had very little knowledge about the profession or industry guessed an annual salary of $16,000. What is your estimate? Indeed, such engineer with 5 years’ experience and qualifications is not excessive to get a starting payment of $50,000.