Negotiation, Organizations & Markets

Decision Leadership: Empowering Others to Make Better Choices

By: Don A. Moore and Max H. Bazerman

2022 |
Book |
Faculty Research

When we think of leaders, we often imagine lone, inspirational figures lauded for their behaviors, attributes, and personal decisions, and leadership books often reinforce that view. However, this approach ignores a leader’s mission to empower others. Applying decades of behavioral science research, we offer a passionate corrective to this view, casting today’s organizations as decision factories in which effective leaders are decision architects, enabling those around them to make wise, ethical choices consistent with their own interests and the organization’s highest values. As a result, a leader’s impact grows because it ripples out instead of relying on one individual to play the part of heroic figure. Filled with real-life stories and examples of the structures, incentives, and systems that successful leaders have used, this playbook equips each of us to facilitate wise decisions.

Keywords: Empowerment Leadership; Leadership; Employees; Decision Making; Management Style

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The Conversational Circumplex: Identifying, Prioritizing, and Pursuing Informational and Relational Motives in Conversation

By: Michael Yeomans, Maurice E. Schweitzer and Alison Wood Brooks

Article |
Current Opinion in Psychology

The meaning of success in conversation depends on people’s goals. Often, individuals pursue multiple goals simultaneously, such as establishing shared understanding, making a favorable impression, and persuading a conversation partner. In this article, we introduce a novel theoretical framework, the Conversational Circumplex, to classify conversational motives along two key dimensions: 1) Informational: the extent to which a speaker’s motive focuses on giving and/or receiving accurate information and 2) Relational: the extent to which a speaker’s motive focuses on building the relationship. We use the conversational circumplex to underscore the multiplicity of conversational goals that people hold, and highlight the potential for individuals to have conflicting conversational goals (both intrapersonally and interpersonally) that make successful conversation a difficult challenge.

Keywords: Conversation; Goal Pursuit; Communication; Interpersonal Communication; Goals and Objectives; Framework

Consumers Value Effort over Ease When Caring for Close Others

By: Ximena Garcia-Rada, Mary Steffel, Elanor F. Williams and Michael I. Norton

April 2022 |
Article |
Journal of Consumer Research

Many products and services are designed to make caregiving easier, from premade meals for feeding families to robo-cribs that automatically rock babies to sleep. Yet, using these products may come with a cost: consumers may feel they have not exerted enough effort. Nine experiments show that consumers feel like better caregivers when they put more effort into caregiving tasks than when they use effort-reducing products to perform such tasks. The beneficial effect of effort on caregivers’ self-perceptions is driven by the symbolic meaning of caregiving (i.e., the task’s ability to show love) independent of the quality of care provided (i.e., the task’s ability to meet needs) and is most pronounced when expressing symbolic meaning is most important: when caregivers are providing emotional support rather than physical support, when they are caring for another person with whom they have a close relationship, and when there is a relationship norm that investing effort shows love. Finally, this work demonstrates that marketers can make effort-reducing products more appealing by acknowledging caregivers’ efforts rather than emphasizing how these products make caregiving less effortful. Together, these findings expand our current understanding of effort, caregiving, and consumer choice in close relationships.

Keywords: Effor; Caregiving; Close Relationships; Symbolic Meaning; Signaling; Relationships; Consumer Behavior; Perception

Predictable Financial Crises

By: Robin Greenwood, Samuel G. Hanson, Andrei Shleifer and Jakob Ahm Sørensen

April 2022 |
Article |
Journal of Finance

Using historical data on post-war financial crises around the world, we show that crises are substantially predictable. The combination of rapid credit and asset price growth over the prior three years, whether in the nonfinancial business or the household sector, is associated with about a 40% probability of entering a financial crisis within the next three years. This compares with a roughly 7% probability in normal times, when neither credit nor asset price growth has been elevated. Our evidence cuts against the view that financial crises are unpredictable “bolts from the sky” and points toward the Kindleberger-Minsky view that crises are the byproduct of predictable, boom-bust credit cycles. The predictability we document favors macro-financial policies that “lean against the wind” of credit market booms.

Keywords: Financial Crisis; Global Range; Forecasting and Prediction; Mathematical Methods

Inclusive Innovation at Mass General Brigham

By: Katherine Coffman and Olivia Hull

March 2022 |
Teaching Note |
Faculty Research

Teaching Note for HBS Case No. 921-006, “Inclusive Innovation at Mass General Brigham." This case invites students to explore the individual and structural factors that lead to an under-representation of women in male-dominated domains, and to think critically about managerial strategies for addressing gender gaps. The case asks students to consider the challenges of Mass General Brigham (MGB) CEO Anne Klibanski and Chief Innovation Officer Christopher Coburn. While the two leaders have shepherded a great deal of research commercialization at MGB, they recognize that participation among women has lagged. The key questions are why, and what can be done about it. While the case discussion outlined below starts by tackling these questions within the specific context of MGB, the discussion builds to generalizable takeaways and research-backed frameworks for addressing gender gaps across a range of settings.

Keywords: Inclusion; Gender Gap; Gender Inclusivity; Gender; Equality and Inequality; Management Analysis, Tools, and Techniques

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Social Interactivity in Live Video Experiences Reduces Loneliness

By: Benjamin T. Kaveladze, Robert R. Morris, Rosa Victoria Dimitrova-Gammeltoft, Amit Goldenberg, James J. Gross, Judd Antin, Melissa Sandgren and Melissa C. Thomas-Hunt

2022 |
Article |
Frontiers in Digital Health

Background: Loneliness, especially when chronic, can substantially reduce one's quality of life. However, positive social experiences might help to break cycles of loneliness by promoting more prosocial cognitions and behaviors. Internet-mediated live video communication platforms (e.g. Zoom and Twitch) may offer an engaging and accessible medium to deliver such social experiences to people at scale. Despite these platforms' widespread use, there is a lack of research into how their socially interactive elements affect users' feelings of loneliness and connection. Objective: We aimed to experimentally evaluate whether socially interactivity in live video experience improves loneliness-related outcomes. Materials and Methods: We recruited participants from an online survey recruitment platform and assigned half to participate in a socially interactive live video experience with 6–12 strangers and the other half to a non-interactive control experience that was designed to be identical in every way but not socially interactive. Participants completed several baseline self-report measures of psychosocial wellbeing, participated in the hour-long video experience (an entertaining astronomy lesson), and then completed some baseline measures again. Four weeks later, we followed up with participants to evaluate their change in trait loneliness since baseline. We Pre-registered our hypotheses and analysis plan and provide our data, analysis code, and study materials online. Results: Two hundred and forty-nine participants completed the initial study and met inclusion criteria, 199 of whom also completed the 4-week follow-up. Consistent with our predictions, we found that directly after the more socially interactive experience, participants' feelings of connectedness increased more (p Conclusions: Including socially interactive components in live video experiences can improve loneliness-related psychosocial outcomes for a short time. Future work should explore leveraging these benefits toward longer-term prosociality. Future work can also identify if the effects we observed generalize across different populations and kinds of online experiences.

Keywords: Lonelines; Social Connection; Internet-mediated Communication; Experiment; Emotions; Well-being; Interpersonal Communication; Internet