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How Norway nudges its citizens to drive electric

By All, Citizen Behaviour

The surprising story behind
Norways spectacular rise in EV’s

Did you know that in Norway more than 60% of all newly bought cars are electric? Here’s the surprising story of how they used smart Behavioural Design Thinking to fight climate change and achieve their aggressive CO2-zero ambitions. They came up with a couple of interventions that provide people with daily reminders of how awesome it is to drive electric.

Principle 1: Trigger selfish motives

The Norwegian Government doesn’t want to turn you into an eco-fanatic. Neither don’t try to convince you to make the transition because of the environment. They just make it much more attractive for you to drive electric. The brilliant part of their strategy is that they didn’t stop at your typical tax cuts – although they are enormous. They turned the benefit in something far more system 1: Electric cars get a free passage at the Toll Gates, get free parking in a lot of municipalities and get permission to drive on the bus lane. In other words: they get to experience the benefits every day.

This brings me to the second principle.

Principle 2: feedback

A driver of an electric car gets constant positive feedback on their behaviours. Every time they use the bus lane to skip traffic jam, or every time they pass a toll gate for free, they get a chance to look at all those combustine engine suckers. They get visual reminders on a daily basis of how stupid one must be to drive the old school way.

The opposite is also true: Every time you get stuck in a traffic jam, and you see a Tesla or an electric Kia legally using the bus lane to cut you off, you get a painful reminder that your not part of the priviledged class of the country.

Principle 3: Take away barriers

The big challenge is still to tackle “range anxiety”. More than often, people in Norway buy an electric car for their second car, with which they commute to work. For the long distances, they still don’t feel secure enough that they could travel comfortably without having to freak out about finding a re-charge station on time. Norway is investing rapidly in charging infrastructure. Ability is not a detail.

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What can we learn: Re-think incentives

First and foremost, we can’t compare apples with pears. Norway can issue this enormous tax cut because the country can afford it. The state – ironically – lives of the export of oil. Furthermore: they have – unlike most other countries – a heavy taxation in place on imported cars. A tax cut on the imported electric car quickly makes a significant financial difference.

But what we can learn is that there are far more clever strategies to get people to switch to electric driving. Instead of using the traditional taxation-stick, we could come up with benefits that have a much higher psychological value:

  1. Legalize autonomous-driving asap: Last week I saw a guy driving his Tesla while reading his newspaper. I realized I just saw the future. And it looked frikking cool.
  2. Give visual priviliges in traffic: To be allowed to cut traffic Jams by using the emergency lane, especially in a country like the Netherlands, will give you a guaranteed daily dopamine rush to the brain.
  3. Replace most parking spots in big cities like Amsterdam with parking spots that are exclusive for electric vehicles. Having to park your diesel on the outskirts of town, while having to take public transport to the city centre, meanwhile having to watch Electric Vehicle owners parking their car next to the canals for free: priceless.

The green revolution is coming.

We’re only using the wrong incentives to make it attractive.

Update: This post is the first in a series of a posts on how to use Behavioural Design thinking to tink about the climate crisis.

Want to learn more?

If you want to master the science of influence yourself, you could consider enrolling in our two-day course Behavioural Design at our SUE | Behavioural Design Academy. You can download the Academy brochure.

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Or could be you just would like to get to know us a little better. We happily introduce ourselves here.

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09/01/2020

How to make New Years Resolutions that stick?

By All, Personal Behaviour

Every year we humans engage in this collective ritual called New Years Resolutions. We somehow seem to believe in the illusion that the symbolic crossing of December 31st to January 1st unlocks a new door to untapped willpower and ability to change our behaviours and habits.

The beauty of a ritual is that it gives hope. The problem with rituals is that they don’t work. Bad habits are just too strong to change. Willpower dips fairly quickly. Temptation to give in to instant gratification is everywhere. Our lives play out in a choice architecture in which the most convenient option is to keep doing what we’re doing.

And yet, this time of the year is the perfect time to make some changes. So why not do it properly? New Years’ Resolutions are all about changing behaviours and building new habits. So let’s apply some behavioural design thinking to the problem.

Step 1: Always start with the Job-to-be-done behind your desired behaviour

A core concept of Behavioural Design is outside-in thinking. When we think about changing behaviour, we pay much more attention to the deeper goals and dreams behind the behaviour. To use the famous meme by Clayton Christensen: “We hire certain behaviours to achieve our jobs-to-be-done”. We go to the gym, because we want to lose weight, which is a functional job-to-be-done. We might want to lose weight to boost our confidence, which is an emotional job-to-be-done. And both goals might be instrumental to even a deeper social Job-to-be-done: To be seen as attractive by others.

When you apply Job-to-be-done thinking to New Years’ Resolutions, it’s pretty evident that the real job-to-be-done behind those vows and pledges is to increase your overall happiness. So before you choose a behaviour you would like to change, you should first have a clear understanding of the behavioural drivers behind happiness. Astrid did a keynote on this topic on Behavioural Design Fest 2018 (in Dutch). In this talk she referred to the work of Prof. Todd Kashban on happiness. His argument is that the number one driver to live a happy life is the pursuit of curiosity. Curious people perform behaviours that lead to happy outcomes: They experience achievements, they learn and master new things, they get to meet new people, they experience flow, etc. Happiness is not something you can find, it’s something you stumble upon.

So the big question for your new year’s resolution should be: What can I do to pursue my curiosity?

To answer this question, you’ll have to ask yourself a couple of related questions:

  • Which obstacles should I take away?
  • What prevents me from pursuing my curiosity?
  • What are bad habits and beliefs that keep me getting stuck in the same patterns?

The easiest way to find answers to this question is to use a second key principle of behavioural design thinking: look at past behaviour for cues.

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Step 2: Past behaviour never lies: look at past behaviour for cues. 

A powerful behavioural design principle is that past behaviour never lies. If I’d ask you how many times you want to go to the gym, you’d probably say three times per week. If I would ask you how often you go to the gym, you might still answer: “at least once a week”. However, if I’d ask you if you could walk me through the last two times you went to the gym, you will give me all the reasons and excuses why you didn’t make it to the gym in the last couple of weeks. And those are interesting, because they can give us all kinds of clues of the bad habits and other behavioural patterns that stood in the way of performing your desired behaviour.

Past behaviour never lies. So instead of making New Years Resolutions, it’s way more interesting to look at what happened last year. What made you happy? What sucked the energy out of you? What gave you a proud feeling of achievement? What gave you a sense of purpose and meaning? Which friends made you feel great? Which habits prevented you from doing the things you love? Which activities got you entirely in the zone?

Tim Ferris suggests to take some time to look at your calendar and spot the bright spots and dark spots. But go deeper than that. Most meaningful interactions or bad habits can’t be traced down to specific events. They’re part of your daily patterns.

Every quarter, my co-founder (and wife) Astrid and I start our two-day Quarterly Meeting with taking a whole morning to answer four questions. The answers to these four questions form the basis for the interventions we plan for the next quarter at SUE. Our principle is: Happiness first, the rest will follow. The questions we ask ourselves are:

  • Did you experience flow in the previous months? Can you give examples?
  • Did you experience personal success? Can you give examples?
  • Did you learn something new? What did you learn that excited you?
  • Were you able to contribute to the success of others?

By asking these questions, we immediately get an insight into the most critical drivers of our happiness. Sometimes we suck on one of these dimensions, and sometimes we feel we suck at all of them. There’s nothing wrong with that, as long as we come up with behavioural interventions to tackle them. The principle is exactly the same for making New Years Resolutions.

Step 3: Prototype your New Years Resolutions

A third fundamental Behavioral Design Principle is prototyping: Whatever you think the solution is: prototype it first. Find a minimal version to test your desired behaviour and figure out if it works and under which conditions it works. Two things bothered me last year: Bad weather was depressing me, and I get miserable if I don’t have time to think, read and write. So we prototyped the idea of study weeks abroad. Our first prototype was fun, but it didn’t work. We spend a week in January in Morocco with our two year old daughter. Let’s say she had different ideas about family fun. A second prototype was that Astrid and I would do a monthly reading and writing retreat of four days, in turns. That worked incredibly well. We both got in deep work mode every time, and while the other was away, it was great fun to spend a couple of days as a single parent taking care of the little one. Our next prototype next year will be to spend two months in Thailand working as digital nomads.

I also prototyped things like:

  • Wim Hoff Ice Men Method: Loved it. Doing the breathing exercise and cold showers 3x week
  • Fishing: I asked a couple of people to teach my son and me to fish for pike and zander. I posted a #deartoask on facebook, and more than ten people offered to help me to learn the techniques. T
  • Set an epic goal: Climbing the Mont Ventoux by racebike is a dream, but I couldn’t get myself to turn this goal into manageable actions. This year I’ll make a new attempt.

It doesn’t matter if things don’t work. The fun thing is that you’re following your curiosity to see if it could work for you. That’s already incredibly powerful in itself.

Note: In 2019 we developed a program to turn desires into experiments, and coined it Fuck It, Let’s Do It. Look at Astrid’s keynote at Behavioural Design Fest to learn more about it (in Dutch, working on subtitles, sorry). We did several workshops with entrepreneurs and it actually transformed some people’s life. If you’re interest in doing a half-day workshop for your team, contact Susan for more details.

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Step 4: Tiny Habits 

A last Behavioural Design puzzle piece is “tiny habits”: If you want to change habits: make them tiny. I can’t recommend enough the new book “Tiny Habits” by our intellectual hero BJ Fogg at Stanford. I am currently doing a 21 day plank challenge. It only requires me to try to do a plank once a day. After two weeks I already improved from 1.15 minutes to 2.50 minutes. The idea behind tiny habits is that when you turn your goals into tiny achievable actions that don’t require much willpower to perform, you will gradually expand your effort.

I put up a sheet with 21 boxes and put it up to our front door (BJ Fogg would call it a trigger), so I would always get a reminder that I must not forget to do my daily plank.

trigger for the 21 day challenge

Summary 

What I tried to argue is that you can take your New Years Resolutions to the next level with Behavioural Design Thinking. If you’re committed to changing your behaviour and habits this year, ask yourself four questions:

  1. What are my deeper goals, desires and Jobs-to-be-done behind the behaviour I want to change?
  2. How does this contribute to improving my happiness levels?
  3. What behaviours and habits stood in the way of the pursuit of curiosity last year?
  4. Which experiments do I want to set up to figure out what works for me?
  5. How can I make the desired behaviour tiny?

Happy New Year!

sue behavioural design
sue behavioural design
01/01/2020
elderly Couple

The Behavioural Design of Love and Desire

By All, Personal Behaviour

A long-term relationship is a classic behavioural design challenge. How do you keep being in love? And how do you keep the desire burning? What are the specific behaviours that add up to the more abstract goals of love and desire or passion? Let’s approach the problem with a behavioural design lens.

The tension between love and desire

What is the secret of desire in a long term relationship? Esther Perel did a brilliant Ted talk on that subject back in 2013. She opens her talk with the following riddles:

“So, why does good sex so often fade, even for couples who continue to love each other as much as ever? And why does good intimacy not guarantee good sex, contrary to popular belief? Or, the next question would be, can we want what we already have? That’s the million-dollar question, right? And why is the forbidden so erotic? What is it about transgression that makes desire so potent? And why does sex make babies, and babies spell erotic disaster in couples?”

In her talk, she argues that our desire for love and our desire for adventure are in deep conflict. On the one hand, we want to feel safe, secure, nurtured, and respected by the other, and the thought of being rejected is profoundly terrifying. On the other hand, our desire to be loved is killing for passion and lust. Because lust needs play. Passion thrives on transgression, which can be translated literally as the act of crossing a line. Lust thrives on fantasy and on being able to act out on that fantasy.

The big drama with developing a loving relationship is that it’s killing for desire. And desire fuels lust. There’s no line to cross, no curiosity to explore, no space for excitement and fantasy. Romeo and Julia would end up as an average bored couple if it weren’t for the barrier in between them that worked like an aphrodisiac for their desire.

The feminist philosopher Camille Paglia wrote in her first bestseller “Sexual Personae” a brilliant line on this tension between love and desire.

Love is the endless cycle of pursuit, triumph and ennui (boredom).

What I love about this quote is that Paglia proposes a simple solution to the paradox of love and desire: turn it into an endless cycle.

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A long term relationship, is a behavioural design.

When you’re in a longterm relationship, your identity is the compound effect of all the tiny interactions you had with each other. Over an extended period, the daily little rejections, insults, not being nice to each other, eventually shapes your identity. You have learned to stop expecting more, and to avoid conflict. You try to tell yourself stories that this is how it’s supposed to be, and that you should be happy with what you have. There really is no limit to the capability of people to convince themselves that they should be happy and grateful, even if they don’t feel anything anymore.

It’s not that difficult to think of a long term relationship as a behavioural design. Behaviour that gets rewarded or suppressed over a long period eventually becomes a habit. And your habits define who you are.

You are what you repeatedly do. But what you repeatedly do is triggered by the context you are locked in.

When you think about it, you can think of every deviant behaviour as a perfectly understandable reaction to the environment: Is a depressed partner a sick person, or does he suffer from the feeling that he’s useless and that he’s not wanted or relevant to others anymore? Is a cynic partner born as a cynic, or has she learned that there’s no point in protesting?

How to maintain love AND desire? Let’s explore the behavioural design rules that can keep you in love for the rest of your life and the rules that will prevent your desire from fading out or switching object.

The behavioural design of love

There’s a big philosophical discussion about the difference between feeling in love and love. I love my kids, but I don’t experience the emotion of being in love. However, I do experience that emotion with my partner. So when I’m talking about the behavioural design of love, I am talking about that emotion of still feeling in love with someone.

The simple answer, IMHO is that there’s no such thing as Romantic Love with a capital L. That love only exists in movies, or when there’s a barrier that stands in between the lovers. It’s precisely that barrier that is essential for the emerging of passion. Everyone who was once in a relationship with a married person knows what I’m talking about. To paraphrase Camille Paglia: Romantic love fades into ennui once the pursuit leads to triumph.

Long term love is the compound interest you reap from daily behaviours. My wife Astrid and I agreed at the start of our relationship that we will never be unkind to each other, that we’re always going to do our best for each other and that we’re never going to take each other for granted. This might sound big and abstract, but we bring these commitments to life in small daily behaviours, from complimenting for dinner, touching each other when we cross, bringing a cup of tea without having to ask for it, bringing little treats from the shop, putting on some candles when the other is about to come home,…

These things sound trivial, but what they do is they provide little daily signals that remind the both of us of how special the other still is. And the compound effect of those daily affirmations pile up, even after 10 years.

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The behavioural design of passion, desire and lust

Esther Perel talks about the simple behavioural design rules that fuel desire: Allow the creation of some distance. Find ways to maintain a bit of mystery around each other. Keep surprising each other. Find ways to be able to look up to each other. Try to be a fanboy and fangirl as long as you live. And try to maintain a level of independence. Nothing is more killing for desire than neediness. To quote Perel:

“I have yet to see somebody who is so turned on by somebody who needs them. Wanting them is one thing. Needing them is a shot down and women have known that forever, because anything that will bring up parenthood will usually decrease the erotic charge”.

The best couples have found ways to cultivate desire. But when desire is gone, lust will fade away,… or look for new objects of desire.

Love and desire are wicked design problems.

The design of a fulfilling long term relationship is as much a wicked design problem as the challenge to get people to recycle, eat healthily, get fitter, take climate action, etc. Just like with every wicked design problem, the real challenge is to design specific behaviours that eventually turn into habits. Habits change attitudes and attitudes transform identities. Love and desire are nothing more than the compound interest a series of tiny practices.

Learn more about the mental model of Compound Interest on the Farnam Street Blog: Why Small Habits make a Big Difference.

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How do you do. Our name is SUE.

Do you want to learn more?

Suppose you want to learn more about how influence works. In that case, you might want to consider joining our Behavioural Design Academy, our officially accredited educational institution that already trained 2500+ people from 45+ countries in applied Behavioural Design. Or book an in-company training or one-day workshop for your team. In our top-notch training, we teach the Behavioural Design Method© and the Influence Framework©. Two powerful tools to make behavioural change happen in practice.

You can also hire SUE to help you to bring an innovative perspective on your product, service, policy or marketing. In a Behavioural Design Sprint, we help you shape choice and desired behaviours using a mix of behavioural psychology and creativity.

You can download the Behavioural Design Fundamentals Course brochure, contact us here or subscribe to our Behavioural Design Digest. This is our weekly newsletter in which we deconstruct how influence works in work, life and society.

Or maybe, you’re just curious about SUE | Behavioural Design. Here’s where you can read our backstory.

05/11/2019
Jeff Bezos' famous rules for high output Team Behaviour

How Jeff Bezos designs Team Behaviour

By All, Employee behaviour

The number one question for every organization in the knowledge economy is to figure out how to get the highest level of creative, intellectual and productive power from their teams. This is a classic wicked Behavioural Design challenge: How do you design the ultimate high-output team? And how can you trigger team behaviour that leads to high output? Amazon CEO Jeff Bezos has got some fascinating answers to this problem.

Jeff Bezos' famous rules for high output Team Behaviour

Amazon CEO Jeff Bezos is famous for his unorthodox management ideas to get the most out of a group of talented people. At Amazon they cultivate certain behavioural design principles that are designed to challenge group-think and promote excellence. The Atlantic published a fascinating long read about Bezos in which a couple of these ideas are covered.

The two-pizza team

The most famous rule is the “two-pizza teams”-rule: Every team should be able to be fed with no more than two pizza’s. The idea is that the small teams instil a sense of ownership over projects. The downside of this design is that “employees placed on such small teams can also experience a greater fear of failure because there’s no larger group in which to hide or to more widely distribute blame” (Quote from The Atlantic).

The 6-page memo

Another rule I learned about is the 6-page memo. Quoting the Atlantic again:

Amazon has a raft of procedures to guide its disparate teams. Bezos insists that plans be pitched in six-page memos, written in full sentences, a form he describes as “narrative.” This practice emerged from a sense that PowerPoint had become a tool for disguising fuzzy thinking. Writing, Bezos surmised, demands a more linear type of reasoning. As John Rossman, an alumnus of the company who wrote a book called Think Like Amazon, described it, “If you can’t write it out, then you’re not ready to defend it.

The six-pagers are consumed at the beginning of meetings in what Bezos has called a “study hall” atmosphere. This ensures that the audience isn’t faking its way through the meeting either. Only after the silent digestion of the memo—which can be an anxiety-inducing stretch for its authors—can the group ask questions about the document”.

What a fascinating intervention to design high performance team behaviour! By simply asking people to pitch their plans in a 6-page narrative, they are forced to think very clearly about the problem and the solution. And by setting up this “study hall”-ritual at the beginning of the meeting, you know that your text will be read thoroughly and that you will be shredded if you didn’t think things through.

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Culture is not about values, but about behaviour

How often have you been in a session in which you are asked to think about core values that define the culture of the organisation? I think this exercise is total crap. The whole idea that a team can cough up core values based on a brainstorm is insane. Values, beliefs and cultures are shaped by how the team interacts.

How a team interacts is by large determined by how the little rules, rituals of habits they installed to shape their interactions.

If a team is committed to a daily check-in, a proper check-out of every meeting and a weekly retrospective in which they share a round of constructive feedback, they will think of themselves as totally committed to growing and learning. They will think of honesty and feedback as something they simply do as a team.

Organisational design is about designing decision-making

There was another passage in the longread about Jeff Bezos that I thought was fascinating:

“What is Amazon, aside from a listing on Nasdaq? This is a flummoxing question. The company is named for the world’s most voluminous river, but it also has tributaries shooting out in all directions. Retailer hardly captures the company now that it’s also a movie studio, an artificial-intelligence developer, a device manufacturer, and a web-services provider. But to describe it as a conglomerate isn’t quite right either, given that so many of its businesses are tightly integrated or eventually will be. When I posed the question to Amazonians, I got the sense that they considered the company to be a paradigm—a distinctive approach to making decisions, a set of values, the Jeff Bezos view of the world extended through some 600,000 employees. This description, of course, means that the company’s expansion has no natural boundary; no sector of the economy inherently lies beyond its core competencies”.

Amazon is a paradigm, a distinctive approach to making decisions. That’s what makes the company so dangerous. The reason why they win in nearly every market is that they figured ways to analyse customer preferences and needs, build technology to cater to those needs and most of all: they know how to quickly turn this into success because they have a set of rules that allows them to make winning decisions much faster than their competitors.

More blogs about Organisational Design:

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How do you do. Our name is SUE.

Do you want to learn more?

Suppose you want to learn more about how influence works. In that case, you might want to consider joining our Behavioural Design Academy, our officially accredited educational institution that already trained 2500+ people from 45+ countries in applied Behavioural Design. Or book an in-company training or one-day workshop for your team. In our top-notch training, we teach the Behavioural Design Method© and the Influence Framework©. Two powerful tools to make behavioural change happen in practice.

You can also hire SUE to help you to bring an innovative perspective on your product, service, policy or marketing. In a Behavioural Design Sprint, we help you shape choice and desired behaviours using a mix of behavioural psychology and creativity.

You can download the Behavioural Design Fundamentals Course brochure, contact us here or subscribe to our Behavioural Design Digest. This is our weekly newsletter in which we deconstruct how influence works in work, life and society.

Or maybe, you’re just curious about SUE | Behavioural Design. Here’s where you can read our backstory.

sue behavioural design
04/11/2019
Image depicting the idea of an extreme user

The importance of extreme users in research

By All, Customer Behaviour

The importance of
extreme users in research

Image depicting the idea of an extreme user

One of the biggest illusions of Market Research is that you need to interview “average consumers”. That’s absurd. What you’re looking for in qualitative research is interesting insights to fall in love with the problem. If you want to spot interesting opportunities for innovation, you will find those opportunities much faster when you interview extreme users. Extreme users are perfectly capable of telling you what they figured out, how they overcome barriers, what problems they needed to solve and how you can help them. Moreover: Roger’s  Law of Diffusion of Innovation – you know: innovators, early adopters, etc… – tells us that every new product or service aways needs to attract a first group of early adopters in the fringes, before it can spread to the masses. Without traction, hype or social proof from the mavericks, most people won’t move.

Scratching your own itch.

The history of innovation is packed with stories of extreme users who  launched a killer innovation by scratching their own itch. Did you know that the sandwich is named after the Earl of Sandwich. The man happened to be such an addict gambler, that he instructed his staff to serve his lunch in a way that he didn’t had to leave the game table. The rest is history.

A similar story unfolded in Antwerp. Back in 1951, a guy named Theo Maertens entered his favourite snackbar one night in a drunk state, asking for a sandwich with minced beef and topped with everything they had available. That happened to be pili-pili powder, tabasco, cayenne-pepper, pickles, salt, ketchup worchester sauce and chopped onions. The new sandwich was an instant hit. People liked it so much, one of his friends shouted: I want a sandwich, just like the one Martino had. Martino was Theo Maertens’ nickname. The snackbar owner decided that the new sandwich was going to be named after its first customer: Martino. Today there is no snackbar in Belgium where you won’t find a Martino. It’s one of the best sold sandwiches in the country.

broodje Martino

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Extreme users know their pain better than average users

Another great story is the success of the HITT-training (High Intensity Interval Training). Allegedly HITT was designed by an ultra-runner, whose marriage was about to burst, because his wife couldn’t cope anymore with the endless hours he was away from home training. So the guy went on a search for new ways to spend less time training, but with similar effects. He discovered that High Intensity Intervals training was as good – if not better – as long duration runs, but they only took a fraction of the training time.

Another example in the same category is Curves. One of the fastest growing and highly profitable fitness concepts in the world. They figured out how to connect with a large group of women, who felt very unfordable training in the gym. Lot’s of women feel being looked at, and lot’s of women feel shame about their bodies. Curves solved that problem: It’s a women only concept, no fancy fitness gear and women train in a circle, so everyone gets to see everyone, which quickly helps them to overcome shame and stress.

You’re not looking for validity, you’re looking for interestingness

If you want to come up with new value propositions: always talk to extreme users. For the simple reason that their pain is a magnified version of the average consumer pain. “Scratching your own itch”, is an innovation mantra that lot’s of innovators can relate to.

In the end, every successful innovation is nothing more than a better way to take  away pain in people’s life, a better way to solve their problems, or a better way to help people to achieve their goals and fulfill their dreams.  The big problem with market research is that it’s so obsessed with averages and validity, that it forgets that its real goal is to spot interesting human insights and opportunities for interventions. Extreme users will provide you with those.

More blogs on innovation and research:

How to design an innovation habit

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Learn how to make the science of influence work for you

Join our Behavioural Design Academy and master the skills to shape minds and influence behaviour. We trained people over 30+ countries and have a 9,2 satisfaction rate. Check out our free brochure. Don’t miss out on making your growth a success.

sue behavioural design
04/11/2019

How to design an innovation habit?

By All, Employee behaviour

This blog post touches upon the organisational habits that boost innovation and growth. Why are some companies more innovative than others? I want to argue that they have habits in place that produce more ideas and habits to get those ideas shipped. As Steve Jobs once famously said (paraphrasing William Gibson) : “Real artists ship”. In this blogpost I want to explore this innovation habit, based on our 8 year experience with collaborating with teams.

 

The habits that kill innovation.

Dozens of books have been written about this subject, but from our own experiences on running behavioural design sprints, these were the most common habits that kill innovation:

 

No research culture / a crisis of curiosity.
The bigger a company gets, the more out of touch it becomes with how real users think, feel and behave. Managers rely on abstract data, like market shares, sales volumes, etc. The more detached they become from the real customer, the less probable they will spot exciting opportunities.

 

No ideation culture / a crisis of imagination.
Once an organisation outgrew its startup phase and entered its scale-up phase, the whole mindset of the organisation is focused on growing the business. Most businesses organise their process around building the existing product offering. Moreover, to achieve this growth mindset, a specialisation of roles is required. Everyone is expected to perform in their specific domain, from the product manager to marketing manager, digital manager, UX-er, and communication manager. This results in a decreased capability of the organisation to think out-of-the-box and to think outside-in. Nearly always, the exciting opportunity for innovation transcends the boundaries of the specific discipline.

 

No prototyping culture / a crisis of experimentation.
The more an organisation specialises, the more we expect those specialists to know what they are doing. This expert fallacy is a well-known organisational problem: Because we are expected to be experts, we are more inclined to act like experts. The more we think we know, the less alienated we become from discovering the truth. Not knowing is perceived as a weakness in these companies, while every successful startup knows that aggressive experimentation is one secret ingredient to growth.

 

Conflicting incentives / a crisis of management.
In most organisations, the problem with innovation is that everyone, including management, is hired to execute the strategy. Not only are they hired, but they’re also reviewed based on the execution of the strategy. When your promotion depends on hitting the targets, everything related to new ideas will be perceived as a distraction.

 

The net effect of these habits is total inertia.
Even in the context of declining market share, missing targets and aggressive competition, all the forces in the organisation seem to pull people towards repeating the same strategies repeatedly. The habit of keeping doing what we always do is just too strong.

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The habits that boost innovation.

Innovation is not a goal as such. Innovation is always a function of growth. Some organisations are far better than others to spot opportunities, come up with ideas, test them and succeed in actually shipping them. Whether they improve the product, marketing, process or campaign, the value of new ideas is that they succeed in contributing to growth.That’s why we need to study the innovative power of an organisation as a habit problem.

Innovative companies have habits in place that trigger more curiosity, ideation, and experimentation. Continuous improvement is their default mode.

We have facilitated sprints with many teams. Most of them don’t call themselves “innovation teams”. They’re product teams, or growth teams, or customer experience teams. The biggest challenge they all face is to improve their output to generate growth for the business. There are four team habits we came across that strongly correlated with the creative and innovative power of a team:

 

A deep love-relationship with customer problems.
Innovative teams are in love with the problem of the customer. They relentlessly talk to customers or observe them in the real world and try to spot opportunities for helping customer to overcome pains, break bad habits, take away barriers and achieve goals. They are always asking themselves the question: How might we help our customers to be more successful

 

A fast process for generating ideas.
Innovative teams have proper ideation sessions. They follow the core principles for group creativity (like brainwriting and dotmocracy) and treat every idea as an interesting hypothesis. In a well designed creative process, the individuals come up with as many ideas as possible and the group decides upon which ideas are worth experimenting.

 

A process and tools in place to prototype and ship.
Great teams have a maker-mentality. They always try to figure out ways to prototype their ideas and test them in the real world. This allows them to increase their learning curve and their success rate rapidly. An essential condition for allowing this to happen is to have an infrastructure that allows experimentation.

 

A cultural shift that promotes, rewards and celebrates braveness.
This is by far the most important habit. Very often, the problem is cultural. If the organisation is number-driven, then you’ll always end up with all kinds of triggers that incline people to believe that following the rules and reaching targets is what the organisation expects of them. However, if you want to create a culture of experimentation, then you’ll have to embrace failure, promote and rewards braveness. People need to experience that experimentation is being expected of them.

Incremental versus radical innovation

In the literature on innovation, quite often the distinction is made between radical and incremental innovation. Incremental innovation is the optimisation of the existing products and services, whereas disruptive innovation is the more radical ideas to transform the business.

To be honest: I think this distinction is a bit artificial. If you think about the innovation habits we described above, then they are about being radically customer-centred, about having a maker-mentality, and a culture of experimentation. Out of this habit, both incremental, as well as radical ideas can emerge. The only thing an organisation needs to have in place is a fund to invest in the rapid prototyping and testing of some of the more radical ideas.

What this means for innovation leadership.

When approaching the problem of innovation in organisations from this perspective, I think

The role of an innovation leader in a company should be to help to build the innovation habit.

I don’t believe an innovation department – as the place where innovation is happening -is the solution. An innovation leader / or innovation tribe should be a group of people that facilitate and train teams to install the innovation habit. If new radical ideas come out of this process, they should be able to invest money in them to be able to hire a team to design, build, prototype and test the idea in the real world. If this experiment turned out to be successful, then it’s their job to convince the board to invest in the concept with ambition.

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How do you do. Our name is SUE.

Do you want to learn more?

Suppose you want to learn more about how influence works. In that case, you might want to consider joining our Behavioural Design Academy, our officially accredited educational institution that already trained 2500+ people from 45+ countries in applied Behavioural Design. Or book an in-company training or one-day workshop for your team. In our top-notch training, we teach the Behavioural Design Method© and the Influence Framework©. Two powerful tools to make behavioural change happen in practice.

You can also hire SUE to help you to bring an innovative perspective on your product, service, policy or marketing. In a Behavioural Design Sprint, we help you shape choice and desired behaviours using a mix of behavioural psychology and creativity.

You can download the Behavioural Design Fundamentals Course brochure, contact us here or subscribe to our Behavioural Design Digest. This is our weekly newsletter in which we deconstruct how influence works in work, life and society.

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sue behavioural design
25/08/2019
Pitcture depicting the Kock Brothers

The behavioural design of the economy. On incentives and rewards

By All, Citizen Behaviour

To get the rich and powerful to change their behaviour,
is the most wicked design problem of our time

Pitcture depicting the Kock Brothers

I have been thinking a lot lately about society’s inability to tackle the biggest challenges of our time. I don’t know about you but climate crisis, income inequality and radicalisation is scaring the hell out of me. We can’t seem to change the behaviour of those who are running the show. This is the most wicked problem of our time. I want to argue that the solution to change the course of history can be found in applying some Behavioural Design Thinking to this wicked problem.

The economy is a behavioural design

The best way to think about behavioural design is to think of it as the design of choices. The way you design a choice will largely determine the behaviour that follows from that choice. This simple and powerful first principle of Behavioral Designworks on all levels of human decision making, from small consumer decisions to big societal decisions. Let me illustrate this with a couple of examples:

  • If you want to sell an item, it matters a great deal if you give two or three options. You can change the value perception of a cake + coffee of € 5,- in comparison to a € 2,5 coffee instantly if you would introduce a decoy option of a € 4 cake in the middle. The introduction of the € 4 cake makes the € 5 coffee + cake suddenly look like a bargain.
  • You can change the value perpection of something if you don’t call it “cheap” but “great value for money”.
  • If you want to get a sales team to run like hamsters in a treadmill, introduce sales targets and continuously give them feedback on how they’re performing in comparison to their colleagues. With these simple interventions, you will have designed a choice system that triggers hyper-competitive game behaviour.

These applications of the lens of behavioural economics to human decision making is nothing new. What fascinates me is the idea that could also look at the economy through this lens. The economy is a behavioural design system that rewards particular behaviour with power and profits and punishes other behaviours with taxes and fines. If you want to transform the economy, you have to tweak the behavioural design in such a way that it rewards and incentives different behaviours.

(BTW: In this post we explore the concept of Behavioural Design in dept)

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It’s all about the incentives.

The problem with the current behavioural design of the economy is that it consistently rewards destructive behaviours, both with money, power and social status.

Society glorifies being rich and being powerful. To the extent that it rewards sociopaths like Donald Trump, Mark Zuckerberg, Jeff Bezos, Peter Thiel and Charles and David Koch (see picture above. BTW: David died this week) with power, prestige, admiration, etc.… The summit of social status in western capitalist society is “being rich”.

Society also rewards them with unlimited power to do whatever they want. Think about how Bezos played out communities against each other to fight for hosting the next HQ of Amazon. Amazon was offered 2.2 billions in tax cuts by the city of New York.

The third reward is financial. If you’re rich, you have access to all the tools to get even richer. The (capitalist) behavioural design of the economy offers unlimited financial rewards to people with capital. Every valuable thing in the marketplace is being sucked dry by the owners of capital. There’s so much cheap capital in the hands of investors that they can buy everything to help them to grow their wealth even further: They buy up houses in cities, they buy kindergartens, elderly homes, entertainment franchises, etc. They own more than 90% of all fortune 500 companies through the stock market, and instead of using profits to reinvest them in the companies, they use it to pay themselves high dividends.

This process is called the financialisation of the economy and explains why everything of value is rapidly becoming more expensive.

 

The solution: Change the incentives


If you want to understand the economy, understand incentives. If we’re going to change the economy, we’ll have to change the incentives. It’s as simple as that. If we want to fight inequality and climate catastrophe, we will need to change the social, financial and power rewards.

Governments and economist only tend to focus on tax incentives today, but I think we could have a far more significant impact if we work on the psychological rewards of social status and power.

We will need to challenge the social status of those who are destructing the planet and extracting wealth out of the economy. We will need to reward those with bold and brave ideas about the future with power.

A great example of this behavioural design change is the work that the Sunrise Movement in the US is currently doing. They are the movement that came up with the New Green Deal. They did a fantastic job of reframing the climate crisis story. Instead of talking about “saving the planet” and scaring the hell out of people, they turned climate action into a narrative about investing in wealth creation, job creation and the investment in thriving communities where kids have access to good education, clean water clean air and health care. That’s a story for which they’re getting bi-partisan support.

As a consequence, this broad support incentives politicians to embrace the New Green Deal, because it increases their chances of being elected. Meanwhile, they do a great job in glorifying business and community leaders who step up and take action and vilify those who are bringing the world on the verge of climate catastrophe.

Even the very rich are suckers for social status and recognition


In the end, no matter how rich we are, we all crave for recognition and social status. If we as a society succeed in taking those away from the current “heroes” of financial fame and instead reward the new heroes that bring society further through investing in a sustainable economy and a sustainable planet, we might succeed much faster in turning things around.  Saving the world is all about redesigning the incentives.

It’s as simple as that.

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25/08/2019
Nassim Taleb's great thinking on hedging against group-think

The psychological price of being rational is being unlikeable

By All, Customer Behaviour

Rational decision makers have to dare to
fight common sense and social norms.

Nassim Taleb's great thinking on hedging against group-think

This blogpost is about how being rational in organizations is actually pretty difficult. It comes at a high social cost. Because rational people need to defy groupthink, defy authority-based decision making and defy social pressure. That’s one of the reasons why innovation is so difficult to pursue.

When do you pull the Goalie?

Imagine you’re a coach of a hockey team. Your team is one goal behind and we’re approaching the end of the game. You know you need to take a gamble and change the goalie for a field player. Butthe question is when. When do you pull the goalie?

If you approach it rationally, the answer would be 5-10 minutes before the end of the game. That’s how you maximize the chance of making a difference. But no coach would dear to do this. Because if it goes wrong, everyone will blame the coach for the mad and unexpected move.

The example was told by Malcolm Gladwell in an episode of his podcast Revisionist History. It reminded me of another story, told by Nassim Taleb in the Black Swan. Before Taleb (see picture) turned philosopher, he used to work as a trader on Wall Street. His strategy was to bet against improbable events. He would take the money of his clients and he would put it all in insurance that would pay out in the case something unexpected happened, like a crisis. He knew the money would eventually pay out big time, he just never knew when the improbable “black swan” event would happen. But he just waited and did absolutely nothing.

It drove his managers and his clients mad. They expected him to work actively to make money for them. The idea that he would sit on his ass to wait for a crisis event to happen – which would pay out enormously – was just unbearable to them. It was a perfectly rational strategy, but Taleb had to develop a very thick skin in order to be able to stick to it.

Behavioural Design is the missing layer

Join our Behavioural Design Academy and learn how to positively influence minds and shape behaviour

To be rational is to be unlikeable

The problem with acting rational is that it very often clashes with social norms. You will get much less problems for failing by following a strategy everyone else would follow, then you would if you followed an unexpected path, even though it makes sense from a rational point of view.

My partner Astrid decided to stop working at the office a couple of months ago. She realized that being at the office prevented her from doing the things she should be doing to create value for SUE. The constant distractions were killing for her productivity and her mood. So she started working at home. It took her three months to stop feeling guilty about it.

Warren Buffett and Charlie Munger, the smartest investors in the world, spend most of their time in the office on reading. They figured that investing most of their valuable time in understanding more about the world, would eventually pay off in smarter decisions. Berkshire Hattaway made 242 Billion Dollars of profit in 2017.  Unlike most investors, they buy companies with the intention to hold on to them forever. They are in the business for the long run.

Corporate culture doesn’t like the crazy ones

The problem with acting hyper-rational is that you need to be able to deal with social pressure. Very often, people will not like you for breaking the social norm. And when your choice leads to failure, they will find it very easy to blame you for your stubbornness. I think that’s one of the reasons why it’s so difficult for corporations to innovate. Innovation needs stubborn people who don’t mind the social pressure to conform to corporate norms. “Think Different”, probably the best commercial ever made, actually pays tribute to those people with the following legendary quote:

“Here’s to the crazy ones. The misfits. The rebels. The troublemakers. The round pegs in the square holes. The ones who see things differently. They’re not fond of rules. And they have no respect for the status quo. You can quote them, disagree with them, glorify or vilify them. About the only thing you can’t do is ignore them. Because they change things. They push the human race forward. And while some may see them as the crazy ones, we see genius. Because the people who are crazy enough to think they can change the world, are the ones who do.”

sue behavioural design

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sue behavioural design
19/08/2019
We Want You - Uncle Sam

The Behavioural Design of Applying for a Job

By All, Personal Behaviour

How do you apply for a job? From a Behavioural Design point of view, this is a fascinating question. When you are applying for a job, there are several challenges you need to overcome. It’s a multi-level game in which you need to figure out how to reach level 3 or 4 with one single run. This blog post will tell you which levels are important and how to reach them.

 

A context of fierce competition for attention

First of all you have to be aware that most companies like ours get about 2-5 applications per day. In addition, those applications have to compete with about 50 other e-mails we have to try to process per day. That means you only get about 10-20 seconds to trigger my curiosity to invest more time in learning more about you. Don’t get me wrong, this has nothing to do with being an asshole. It has everything to do with having to figure out how to process the flood of information  – in my inbox alone – that is competing for my attention every single day. Add to this the daily requests by vendors who approach us by phone or e-mail to “have a coffee” and you must realize that time is incredibly scarce and valuable.

Applying for a job is a classic choice problem: With a very limited amount of information and a limited amount of time, we need to make a judgement of whether we want to invest more time in getting to know you.

How to trigger curiosity?

The best way to help us to make a decision is to offer us system 1 shortcuts. One of the core principles of the Behavioural Design Method, that we train at the Behavioural Design Academy is “Help people to make a decision without having to think”. What this means is that the more we have to use our rational brain to figure something out, the more we end up with not making a decision at all. Here are a couple of tips to create shortcuts when you’re applying for a job:

  1. Get introduced by someone we know and trust. If you can get someone to vouch for you, you make it a lot easier for us to get curious
  2. Never pull a stunt to grab our attention. Applying for a job is a delicate seduction process. You wouldn’t set up a surprise act on your first Tinder date, won’t you?
  3. Be intriguing: what are surprising things you’ve done in the past, both in your personal, as well as your private life, that proofs to us that you’re an interesting person? Past behaviour never lies.
  4. Signaling: There’s a lot of value that you communicate in the effort you put into reaching us. We once got a hand written love letter in which the candidate wrote why and when she fell in love with SUE. We hired her on the spot. She still works at SUE.
  5. Study the people to whom you are writing your application. It’s not that hard to find the founders on Twitter, Linkedin and Google. Try to find out what they write about and try to contribute something to the things they are passionate about.

Summary: Think Outside-In

An application is like professional flirting. It might take a little more effort to go from Awareness to Interest to Desire and Action. Sometimes it even takes a couple of years. But just like with every every challenge to influence someones behaviour, you have to think outside-in: Try to figure out what the Job-to-be-Done is of the person you try to persuade, then take away their anxieties, then present yourself als the best solution to their pains and make them understand how hiring you would offer them gains that are incredibly valuable.

 

One more thing: At SUE we prefer to recruit within our network of Behavioural Design Academy alumni,or people who participated in one of our Behavioural Design Sprints.  The simple reason is that are already familiar with the Behavioral Design Method©.

 

I hope this blog post inspired you to rethink the way you design your application process approach. Good luck!
Tom

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How do you do. Our name is SUE.

Do you want to learn more?

Suppose you want to learn more about how influence works. In that case, you might want to consider joining our Behavioural Design Academy, our officially accredited educational institution that already trained 2500+ people from 45+ countries in applied Behavioural Design. Or book an in-company training or one-day workshop for your team. In our top-notch training, we teach the Behavioural Design Method© and the Influence Framework©. Two powerful tools to make behavioural change happen in practice.

You can also hire SUE to help you to bring an innovative perspective on your product, service, policy or marketing. In a Behavioural Design Sprint, we help you shape choice and desired behaviours using a mix of behavioural psychology and creativity.

You can download the Behavioural Design Fundamentals Course brochure, contact us here or subscribe to our Behavioural Design Digest. This is our weekly newsletter in which we deconstruct how influence works in work, life and society.

Or maybe, you’re just curious about SUE | Behavioural Design. Here’s where you can read our backstory.

sue behavioural design
10/07/2019
signaling

Signaling: How to add psychological value

By All, Customer Behaviour

What is the cheapest way to feel insanely rich? To me, it is having a high-tea in a five-star hotel. For about 50 to 60 euros you can get a taste of the service level that generally only the rich and famous have access to. Another way is to book an Economy Plus seat on an aeroplane. For just a tiny bit extra, you not only have a bit more comfort. You also are freed from the hassle to get on and off the plane. Your food gets served first. And in case of Easyjet, you get to experience the ritual of getting to board early. While the other mortals have to feel inferior behind a rope. Priceless.

How to feel rich the cheap way

But I am also feeling filthy rich for the last few years if the owner of restaurant ‘Oggi’ in the Binnenbantammerstraat Amsterdam – who by the way is Turkish, but does a brilliant Italian impersonation – comes up to me all the way from the kitchen to welcome me back. It’s a little gesture, but it makes a lasting impression on my Belgian relatives. It signals that I am an appreciated customer and not just an anonymous character in the big city. The Uber driver who simply asked me if I would enjoy listening to some music, and gave me a few mints, transformed the value perception of expensive public transport into a private chauffeur experience that was a mighty good deal.

By the way, there’s a great power in mints when you look at it from a human psychology point of view. Check out this post to see how mints can make a big difference in the amount of tips given. It explains the Cialdini persuasion principle of reciprocity.

 

Signaling: the power of adding psychological value

In behavioural economics, these examples are called signaling. Our system 1 – aka our automatic brain – is continuously picking up signals that seem trivial, but have an enormous impact on how we experience the value of things. The cheery Coolblue delivery boy on his bike looks like a little detail at first sight, but it undoubtedly one of the most active signals that show how committed Coolblue is to do ‘Everything for a smile’.

The other way around: How often did you hear you say to yourself you would never return to a store as one member of staff – maybe even without knowing it him or herself – has treated you with too little respect? A store can try its hardest to make sure everything is in perfect order, but if the behaviour of the people instore signal the opposite. It’s the end of the story.

Signaling power at organisations

I even experience the same when visiting clients. Both at De Volksbank and at ASR Insurances you are welcomed by hosts that genuinely make you feel very welcome. It causes you to feel good about the entire organisation right away. The organisation signals that you, as their visitor, are of importance to them. The hostesses at the main offices of Eneco are also sublime at this. As opposed to Group4, where you come in, you are asked to come up to security agents positioned behind a stronghold. No, the hostesses at Eneco accompany you to an espresso bar and give you a reception that even the CEO would appreciate.

No expensive design or elaborate change management program can match the power of psychological design choices.

 

Want to know more?

If you want to master the science of influence yourself, you could consider enrolling in our two-day course Behavioural Design at our SUE | Behavioural Design Academy. You can download the Academy brochure.

Or maybe you currently have a challenge in which you want to influence choice or change behaviour. Please, take a look at our Behavioural Design Sprint. It might be the answer you’re looking for.

Or could be you just would like to get to know us a little better. We happily introduce ourselves here.

11/06/2019
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