1. By: Bill Caswell 1

2. Intro Success Cooperation Predicting Problems Change Deciding 1. Introduction  Who is  Making companies better places to work - worldwide  By applying “Respect” – worldwide 2

3. Intro Success Cooperation Predicting Problems Change Deciding 1. Agenda Part 1 1. Introduction2. Brain One 3. Reliable Brain One - 4. Unreliable Brain One Part 2 5. Brain Two6. Brain One and Two working together 7. What it all means8. Wrap-up – Q & A 3

4. Intro Success Cooperation Predicting Problems Change Deciding 2. Brain One The biggest computer in the world! A movie of your life with:  Pictures  Sound  Smells  Emotions 4

5. Intro Success Cooperation Predicting Problems Change Deciding 2. Brain One Thoughts arise out of Brain One without our knowing it: 1. How did you know where to come for this meeting? 2. How did you recognize the person across the table? 3. What is 2+2? 4. Remembering that little church you saw 20 years ago Reference: System 1 and system 2 of Nobel Prize winner Dr. Daniel Kahneman 5

6. Intro Success Cooperation Predicting Problems Change Deciding 2. Brain One Expert knowledge – building contractor: 1. 20 years to accumulate expertise in your field 2. One look tells you that the cement is dry 3. One look tells you that beam is not solid 4. One look tells you that this building has value (or no value) Reference: Malcolm Gladwell “Blink” 6

7. Intro Success Cooperation Predicting Problems Change Deciding 2. Brain One - Intuition Forming an answer in a fraction of a second 1. About things we know 2. Do we know what we don’t know? 3. We draw on that immense brain of ours 4. We don’t have to sift through a bunch of files – it just pops out when we need it. 7

8. Intro Success Cooperation Predicting Problems Change Deciding 3. How Reliable is Brain One? While it forms an answer in a fraction of a second,  It is reliable about things we know – very reliable It takes care of 99.9% of our needs  But it is not reliable about things we don’t know For example – interviewing a work candidate: Result: 50% of all hirings are a mistake What is going on???? 8

9. Intro Success Cooperation Predicting Problems Change Deciding 4. How Unreliable is Brain One? When called upon to act, Brain One is very willing.  It forms an answer in a fraction of a second from the flimsiest of information. A person who behaves in one way similar to someone we know, we assume is the same.  It tries to connect the dots And when it has done that, it convinces us that it has the right answer: “I have a pretty good intuition about these things.” “I can’t explain it, just trust me on this” 9

10. Intro Success Cooperation Predicting Problems Change Deciding 4. How Unreliable is Brain One? “I have a pretty good intuition about these things.” “I can’t explain it, just trust me on this”  IT INTENIONALLY CONVINCES US WE ARE RIGHT EVEN WHEN WE DO NOT KNOW IF WE ARE RIGHT WE ARE BLIND TO OUR ERRORS What is going on???? 10

11. Intro Success Cooperation Predicting Problems Change Deciding 4. Survival is the Key  The mouse and the snake  The caveman and the sabre-toothed tiger  The plank falling from the building  Amygdala of Brain One works 100 times faster than logic – of Brain Two 11

12. Intro Success Cooperation Predicting Problems Change Deciding 5. Brain Two  The clunky logic processor  Brain Two is lazy  Brain Two prefers that Brain One does all the work Reference: System 1 and system 2 of Nobel Prize winner Dr. Daniel Kahneman 12

13. Intro Success Cooperation Predicting Problems Change Deciding 6. Brain Two working with Brain One  Brain One fields the issue  Brain Two looks at it sleepily but prefers that Brain One does the work  Example: Steve is a very shy and withdrawn…… 13

14. Intro Success Cooperation Predicting Problems Change Deciding 6. Brain Two working with Brain One Example: Steve is a very shy and withdrawn, invariably helpful but with very little interest in people or the world. A meek and tidy soul, he has a need for order and structure and a passion for detail. Is Steve more likely to be a librarian or a farmer? 14

15. Intro Success Cooperation Predicting Problems Change Deciding 6. Brain Two working with Brain One Is Steve more likely to be a librarian or a farmer?  Brain One quickly associates the characteristics of Steve as similar to many librarians.  Brain Two is not called on, so it leaves well enough alone.  However, some people will pause and reflect – i.e. call upon Brain Two  Brain Two will say that farmers outnumber librarians 100 to 1, so on any probability scale, Steve is more likely to be a farmer. AND BRAIN TWO WILL BE RIGHT. 15

16. Intro Success Cooperation Predicting Problems Change Deciding 6. Brain Two working with Brain One Here’s another one. So, instead of allowing Brain One to connect the dots (incorrectly), try to invoke your Brain Two How many animals of each kind did Moses take into the Ark? 16

17. Intro Success Cooperation Predicting Problems Change Deciding 6. Brain Two working with Brain One And another one. Or is Brain Two preferring to remain lazy? A bat and a ball cost $1.10 The bat costs one dollar more than the ball. How much does the ball cost? 17

18. Intro Success Cooperation Predicting Problems Change Deciding 6. Brain Two working against Brain One If we have a great concern, Brain One invokes Brain Two. In that case it is Brain Two that can let us down. We begin with a great idea (from Brain One) and are about to institute it but we have some ‘nagging’ concern. So we invoke Brain Two to think it through. But many times, this slows the process down or even halts a good idea or action from ever happening. 18

19. Intro Success Cooperation Predicting Problems Change Deciding 6. Brain Two working against Brain One Why we have lost is because Brain One drew on not just an idea but thousands if not millions bits of data residing in your brain. Brain Two, however, was trying to sort it all out – but that is not possible for our Brain One’s processing is far too complex. The challenge is to know if Brain One is working from knowledge or merely connecting dots. Example: athletes lose ability to play because they are ‘over-thinking’. “Just play your game”, says the Coach. 19

20. Intro Success Cooperation Predicting Problems Change Deciding 7. What this means It means we will have a world where passion leads more than logic. Look at your newspaper every day. We will have poor decision making unless we introduce a forced logical into the process, which CCCC does:  A referee at every gathering  Rules and roles for meetings  Means to defuse emotions 20

21. Intro Success Cooperation Predicting Problems Change Deciding 7. What this means Our minds are susceptible to systematic error – AND WE DON’T KNOW IT. WE WON’T EVEN BELIEVE IT…. despite all the evidence around us every day:  Dumb decisions in your company  Dumb decisions in your school  Dumb decisions regarding professional athletes  Politics  Crime  War 21

22. Intro Success Cooperation Predicting Problems Change Deciding 8. Wrap up What you can do about it:  Be willing to accept that you react emotionally  Be aware that you might make wrong decisions, even when you feel you are right  Take steps to introduce objectivity – i.e. involve another person 22

23. Intro Success Cooperation Predicting Problems Change Deciding 8. Available Examples Hiring (see HR brochure) Romance ( see Monarch Last Chance brochure) Caswell Corporate Coaching Company (CCCC) www.caswellccc.com (613) 232-1243 23

24. Intro Success Cooperation Predicting Problems Change Deciding 8.Q & A What questions do you have? 24 Making companies better places to work - worldwide.

25. Intro Success Cooperation Predicting Problems Change Deciding Thank You © W. E. Caswell 2004 – 2013 Caswell Corporate Coaching Company (CCCC) www.caswellccc.com (613)232-1243 International: 001 (613) 232-1243 25