3.

The importance of psychological safety: Amy Edmondson

- One of the most important factors in delivering safe and effective care is psychological safety
- Psychological safety is not about being nice but instead it is about candour
-When you are in a psychologically safe workplace, there will be conflict, people seek to understand each other’s
point of view and come out with a better solution
- Psychological safety is not a goal, it is a mean to the goal and that goal is commitment to high-quality care
- For high quality of care, not only psychological care, you also need urgency and commitment to excellence
- E.g. If you had psychological safety but no commitment to excellence, then you are inside the “comfort zone” only

4. What is "bounded ethicality”? by Dolly Chugh, Associate Professor at NYU

- “Bounded ethicality” came from the concept “bounded rationality”
-“ Bounded rationality” refers to that the human brain has limited resources, limited processing speed and limited
storage -> you will never be able to process unlimited volume of information at infinite speed-> you have ordinary
and systematic bounds constraints on how fully rational we are going to be
- “Bounded ethicality” refers that what the world want to believe in is one of unicorns where there’s loveliness and
perfection and elegance and there are good people who are good all the time
- However, there are no unicorns and there is no unbounded ethicality, none of us ,no matter how good we are, can
be perfectly ethical all the time
- We all think we are more ethical than our behavior

5. Influence | The Psychology of Persuasion by Robert Cialdini ► Book Summary

- Six weapons of influence that can dramatically improve your relationships, business and career goals

6. Reciprocation
- People don’t like feeling they owe someone something
- If you want something from someone, offer them something small for free

5. Commitment and Consistency

- Human tends to do something once we agree to it verbally or in writing

4. Social Proof
- When people are unsure about the course of action, they tend to look to those around them to guide them

3. Liking
- People prefer to say yes to those they know and like
- People automatically attribute traits such as honesty, talent and intelligence to attract people
- We gravitate to people who share similar views, interest, and values as ourselves

2. Authority
- The more authority you are perceived as having, the more likely others are to comply with you

1. Scarcity
- The thought of losing something motivates us more than the thought of gaining something of similar value
- E.g. special discount with limited period

To sum up, any time you want something from someone else, always consider what weapons of influence you can
use

MGMT 2130 (L3)

- review of concept
1.) fized pizza pie (max ) shareholder theory

2.) Growing pizza pie ( ngnt role: how to make it bigger ) shakeholder

3.) Greed is mechanism of ‘efficiency’

4.) Agent conflict of interests ( agent has diff interest, if u have the agent : they have their own interest – soup of
today)/// Olympic IOC choosing Olympics

5.) Negative externalities

6.) why they show self restraint : mom shuts down the party

1. ’Big Brother' Eyes Encourage Honesty, Study Shows

- reconciling the two views : emphasizing long term

Problem : measurement(when are u successful by : many excuses ( we lose profit this quarter, but we are hope for
true long term profit -> can’t hold them accountable) , efficiency , accountability , time frame { appeal to
shareholder theory : easy to measure and accountability }

What company do in real life : BR -> clearly saying they grown pizza pie model

-> why CEO sign : 1.) genuinely believe this is good 2.) personally look good 3.) company’s best interet 4.) self
regulating 5.) status signaling ( incur a time cost to show they are high status 6.) compensating ( did a lot of bad
things, sign to make it up => they are just prevent mum shut down the party

*Go green -> while all covered with plastics => cheap talk { signaling something while not willing to pay a real cost
at it

Corporate responsibility action type

A) Philabthropic : give somewhat extra

B) Integrative : ie starbucks coffee bean , avoid labour abuse in production ( have exist supply chain -> go into
find whether it achieve the standards )
C) Innovative : long term profit motive ( which growning the pizza pie)

=> big company do all 3 activies for CSR : trick : make the philanthropy type : seems helping others instead of
profiting themselves

- HKU Philanthropy type : shoclorship [ can look at investment // maybe fall into bad thing: bribe]/ green space /
blood donations / u donate an dollar ust will also donate one dollar [ we don’t get any benefit , except PR benefit ,
we are just doing something good ]

- HKUST integrated type : canteen -> paper package instead of plastic // lecture: pdf version instead of print out{
they can also benefit , but claim they benefit for u// take existing things and change some things else : ie hotel : not
washing your towel cuz we want the env to be good } // take ethic class

- HKUST innovative one : new program BSC sustainable in green finance ( create new track for students ) //
research program for phd relates to CSR *** in the long term , makes the company more money too !!!!think how
do we grow the pizza]//
HKEx : HK company need to report their CSR act.

I) where is ethics comes from ?why we behave this and reason and logic //emotion and feelings
something deeper

- cucumber game ( what happen when other money got paid for higher grape) : injustice in equal work, equal
pay

Optional reading : Robert Trivers (study lieing and deception of animals )

-reason : we lie to ourselves cuz it makes it easier to lie to u

- self deception , 1st experiment : how we makes ourselves believe we look better : see the best looking first (for
photos) , we see our uglier photos slower [ have favourable view of ourselves ]

- make ppl feel more powerful -> write a self focused E

-> the survey : if we are accurate as a group of ourselves : should be 50%(average) => egocentric trendency :
president of our own fan club

** fundamental of how we evolve : we are biased towards favourable impressions of ourselves : in company ->
compounds : u are ok, but I am much better than u

////////

C1 ‘Big brother’ Eyes

->  aid strategies for tackling anti-social behaviour.

= how cues of being watched affect people's tendency for social co-operation in a real-life setting { The eye pictures
varied in the sex and head orientation but were all chosen so that the eyes were looking directly at the observer.}

-> brain naturally reacts to images of faces and eyes.

-> people behave differently when they believe they are being watched => transparency !! revealing what a company
is doing changes that behaviours : strategy : make it transparent , make them know ppl is watching them and
eventually will change their behaviour !!

* Transparency affect behaviour

* Transparency affects trust

=> making something visible and measure -> people will maximize it , even outcome is not what u want

=> what we make visible !!! : in SU , a nail factory -> quota target : how many nails -> outcome: hundreds of
thousands of tiny useless nails // change target : measure nail weight -> outcome : huge useless nails

Ie in US care about diversity -> how measure : # black people -> not addressing underlying things , address things
just visibly measured
* how to use transparency as strategy :what u choose to make visible compared to others { clean kitchen window //
opening cam during zoom lesson // show their muscle , bulk up in competition //

{ ie look at our pollution level , we are low // in gym, wear sleeves off to show your calve muscle }

* when there is eyes on the photos( placed

C2 What Is Groupthink?=  people strive for consensus within a group. 

⁃ sign: Illusions of unanimity/Unquestioned

beliefs/Rationalizing/Stereotyping/Self-censorship/Mindguards/Illusions of invulnerability/Direct pressure

⁃ cause : Group identity/ leader influences/low knowledge/ stress

⁃ contributing factor :

⁃ >When there is a high degree of cohesiveness.

⁃ >When there are situational factors that contribute to deferring to the group (such as external
threats, moral problems, difficult decisions).

⁃ .>When there are structural issues (such as group isolation and a lack of impartial leadership).3

*Groupthink involves the decision-making process.// Conformity can sometimes cause groupthink, but it isn't
always the motivating factor.

///

- they don’t want to object and standout -> -ve: do what leader said // no much innovative ideas

- ie Invade Cuba and decision process behind that : it is a bad idea but no one against the idea of the president

3. psychological safety = belief that workplace is safe for speaking up ( mistakes) , sense of
confidence that your voice is valuable NOT being nice / reduce conflict/ all your ideas will be applaud/ Goal // =
candour // = means of goal “ excellent

⁃ need urgency and commitment to excellent + psychological safety => goal

⁃ Both no = apathy zone

⁃ have safety , no urgency = comfort zone

⁃ have urgency , NO softy = interpersonal anxiety zone !!

⁃ both yes = high performance zone

/////

- psychological safety

-> what : a means to a goal = permission to condour, would u be comfortable to contribute/ to disagree , is the firm
creating these env ? ( human very concern of impression of others )

-> when want more : want diff ideas , conflicting ideas

-> when not helpful : time pressure // compliance : ie finance analysist -> no young/junior people would speak up

-> how to do (leader job) : 1.) ask other opinions first

C4. Bounded ethicality = no unicorn, no unbounded ethicality , no matter how good u are are perfectly
ethical all the time { systemic ordinary , all of us possess-> psychological process restrict how ethical we are
compared to what we want } -> we quickly make decision that is not really ethical one cuz we are satisfying instead
of maximising

-> Bounded rationality = human brain has limited resources -> ordinary and systematically bounds on how fully
rational we are gonna be { we satisfies instead of maximizing : maximizing = spend all of my time to get the best
outcome , spend 5 years to find the best room for my client // satisfies = good enough }

5. 6 principles of Influence ( persuasion )

1.) reciprocation ( offer free gift -> bigger response// did something for u then u did something for me )

2.) commitment + consistency ( trip-ware product : irresistible , low paid offer)

3.) social proof ( look ppl around them to guid them // many reviews )

4.) liking ( ‘yes’ to those they like ; similar values of ourselves)

5.) authority ( more other comply with u // dressing : white coat= Dr.)

6.) scarcity ( losing something motivate us more than gaining something : discount for a limited time only// tell other
I have tight schedule )

* book ‘influence’ summary : when we are persuading someone else/ being influenced -> there are predictable 6
tatics to manipulate them ( on individual level/ company level )

O1) why do we deceive ourselves

⁃ we putting true info ( unconscious) + False ( conscious) and u think we would store false
( unconscious) + truth ( conscious) , not necessary true that truth is stored

⁃ 2 ways of fooling : 1.) eye movement , hard to concentrate the mind

 ⁃ 2.) key word of lie -> voice goes up 3.) pulsing more in certain place

⁃ 4.) prevent saying’I ..’ take passive voice

• find yourself (true photo) -> see better u first -> normal -> uglier

• write E ( makes u feel more powerful ) -> more self focused ( feel high power, less well to
recognise the info., harder time to listen other)

O2) creating psychological safety

⁃ knowledge / idea -> add value -> need to hear from ppl ( yet, lots of ppl feels like its not safe to
speak up )

⁃ * requires leaders who are willing to ask for forgiveness , apologise for not making safe in the past

O3) Milgram’s obedience experiment

⁃ whether German is more obedience to authority

Milgram : psy. In Yale : why people do unacceptable things to others in WWII , could it happen again ?
- start A LITTLE bit of stock then a little more -> the actor will get wrong purpousely and the researcher said get it
more

⁃ 4 prod : please continue -> the experiment require u to continue -> essential to continue -> no
other choice then to continue ( 65% continue to 350volt)

=> ** unethical behaviour is not the ppl are bad , it is the SYSTEM that set up

people would often step into wrongdoing as soon as they knew they wouldn't have to carry the burden of
responsibility and/or consequence.

=> agency theory = 2 state of behaviour :1 ) autonomous : direct their own action and take responsibility 2.) agentic
state : allow others to direct their action and pass all responsibilities to them

=> 2 things must needed:

a.) person giving order perceived as qualifies ( legitimate source of authority )

b.) believe authority would accept responsibilities of what will happen