The Human Element

Loran Nordgren and David Schonthal

The Human Element
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About this Author

Loran Nordgren, a faculty member at Kellogg School of Management, focuses on understanding the psychological mechanisms influencing human behavior. David Schonthal, also from Kellogg, specializes in teaching courses on innovation, entrepreneurship, and healthcare, with a strong emphasis on design thinking and new venture creation.

First Edition: 2021

Category: Business & Money

Sub-Category: Marketing & Sales

12:46 Min

Conclusion

7 Key Points


Conclusion

Overcoming resistance to new ideas requires addressing inertia, effort, emotional reactions, and reactance through familiarization, simplification, empathy, and self-persuasion techniques. This holistic approach promotes acceptance and facilitates meaningful change.

Abstract

In"The Human Element", Loran Nordgren and David Schonthal explore why innovations often fail despite their benefits, highlighting four key barriers: inertia, effort, emotional friction, and reactance. People resist change due to comfort with the familiar, the effort required to adapt, emotional attachments, and the pushback against feeling controlled. Innovators can overcome resistance by making new ideas feel familiar, minimizing effort, addressing emotional needs, and encouraging self-persuasion. Nordgren and Schonthal emphasize empathy and understanding human psychology to reduce friction and promote innovation. Both authors teach at Kellogg School of Management, specializing in behavior-driven strategies for innovation and entrepreneurship.

Key Points

  • Make new ideas familiar through repetition, gradual steps, and familiar faces.
  • Reduce effort by providing clear instructions and streamlining processes.
  • Understand emotions and offer trials to ease stress in product adoption.
  •  Counter resistance with self-persuasion and meaningful involvement.
  • Encourage openness to new opportunities to avoid stagnation.
  • Address emotional reactions and minimize efforts to promote change.
  • Encourage acceptance through self-persuasion and inclusive decision-making.

Summary

Why People Resist New Ideas and How to Overcome It

When innovators try to promote their products and ideas, they often focus on the benefits. Yet, they often fail because people resist new things for four main reasons: inertia (sticking with what they know), the effort required to change, emotional reactions, and reactance (pushing back when they feel pressured). These reasons align with the four parts of innovation: how much change it brings, the costs involved, the audience's response, and how the innovator introduces the idea.

The benefits and risks of not adopting a change act as fuel, driving innovation forward. This fuel works by highlighting reasons to change. But fuel has limits, especially due to our sensitivity to costs and negativity bias “ our tendency to focus more on negative aspects than positive ones. Even minor negatives can make people reject a choice. Fuel can backfire if people feel pressured to adopt an innovation. Despite friction's power to block progress, innovators often focus on fuel because it's more visible. However, when friction blocks change, adding more fuel won™t help and can even make things worse. Friction sources are subtle and require empathy to understand and address.

The Impact of Inertia on Investment and Social Capital

People often stick to what they know and avoid the unfamiliar because they naturally seek safety. This tendency, known as inertia, can lead to stagnation and limit innovative thinking.

Inertia can also hinder investment and the growth of social connections. For instance, Japanese investors allocate 80% of their funds to Japanese companies, missing out on the 91% of global market opportunities outside Japan. Similarly, in social settings, individuals tend to associate with people similar to themselves, missing chances to expand their networks.

Make the Unknown Familiar

To overcome resistance to change, focus on making new ideas seem more familiar. Here are some effective strategies:

  • Use repetition: The more people see something, the more they'll accept and like it.
  • Take baby steps: Introduce new things gradually in small doses.
  • Use a familiar messenger: People are more likely to listen to someone they know or relate to.
  • Refer to a prototype: Present the new idea as a variation of something familiar, like how Tesla made its electric car look like a regular car.
  • Employ an analogy: Explain new ideas by comparing them to something familiar, like calling a lawn-mowing robot œa Roomba for your yard.

Don™t ask people to buy into a new idea until they™ve had time to get used to it.

Another effective method is to make the new idea seem less drastic by changing its context. You can do this by introducing a more extreme alternative, making your idea seem less radical in comparison. For instance, restaurants often put an extremely expensive wines on the menu, so the other wines seem reasonably priced by comparison. This tactic increases the chances that customers will order an expensive bottle, as it's not the priciest option available. Additionally, consider using the decoy effect: offer a clearly undesirable option and emphasize it. This can help people see why your preferred option is a better choice.

The Law of Least Effort

When faced with different options, people follow the œlaw of least effort, meaning they pick the path that offers the most rewards for the least effort. If a change, like online shopping, makes things easier, people will quickly accept it. Effort is often considered before other factors, and too much effort can easily outweigh any benefits.

This desire to avoid effort is so strong that it can even distort perceptions. In an experiment, participants had to move a joystick left or right to match the direction in which dots were moving on a screen. When researchers made it harder to move the joystick to the right, participants started seeing the dots as moving left, even when they were actually moving right.

Small differences in effort levels can make a big difference. For example, just moving a bowl of candy 20 inches farther away led people to eat half as much. Leaders often overlook the importance of effort when trying to create change, a phenomenon known as effort neglect. People generally underestimate how much effort affects their willingness to accept or resist change.

Reduce Ambiguity and Exertion

To overcome the challenge of effort, make change or innovation easier to embrace. The effort has two main dimensions: ambiguity and exertion. Ambiguity means not knowing exactly what to do to implement a change or reach a goal, such as when, where, or how to act. To reduce ambiguity, provide a clear roadmap: tell people exactly what they need to do. Using an if-then trigger can help people remember to act. For example, during World War II, the government doubled its war bond sales by adding a simple line to posters: œBuy them when the Solicitor at your workplace asks you to sign up.

Exertion means using energy to do something. The way to counteract exertion is through streamlining: removing obstacles to make actions easier. To identify where exertion might be an issue, ask questions about the customer journey or change process and think about the answers. Create a timeline showing the steps to achieve a goal, then eliminate negative elements or friction points. For example, a sofa manufacturer found that many customers abandoned their shopping carts before purchase because they didn™t know how to get rid of their old sofa. The company then offered a service to haul away old sofas and donate them to charity. This change led to a significant increase in sales.

Additionally, it makes it easier for people to say yes than to say no. If yes is the default option, saying no requires effort, using exertion to your advantage. Observe how people behave when they resist your changes or offers; this can reveal what they truly want.

The Impact of Emotional Friction on Product Adoption

When cake mixes were first introduced in 1929, they failed. It took decades for them to become popular. The reason? Women saw cake-making as a special skill and a way to show love. Making it too easy felt like it cheapened the effort. In the 1950s, General Mills changed the recipe so bakers had to add eggs. This small effort made using cake mixes more acceptable. This example shows how emotional friction can stop people from accepting new products, innovations, or changes. Emotional friction refers to the feelings a new idea stirs up, causing resistance.

Product innovator Bob Moesta and later thought leader Clayton Christensen highlighted that people œhire products or services to meet a need”often an emotional one. Emotional friction happens in both business-to-business (B2B) and business-to-consumer (B2C) settings. It can also occur within organizations, such as when leaders hire less qualified candidates or sideline talented people to protect their power, even if it harms the business.

Techniques for Better Understanding

Ever heard of "inattentional blindness"? It's when you miss stuff because you're not actively looking for it. It happens to a lot of us, but to uncover hidden issues, we've got to beat this tendency. Here are three ways to do just that:

1. Ask "Why" Like a Pro: Ever played the "five whys" game? Toyota made it famous in the '70s. It's simple: keep asking "why" about a problem until you hit the root cause. This helps us get to the bottom of things.

2. Think Like an Ethnographer: Ethnographers are like super detectives of human behavior. They study how people act in different settings. We can do the same thing. By watching and learning from people in their natural habitat, we can uncover some surprising insights.

3. Let People Join the Party: When it comes to new ideas or products, don't leave folks out. Involve them! When people have a say in how things are made, they're more likely to be on board. It's like cooking dinner together”it tastes better when everyone pitches in.

When dealing with emotions, try giving free trials so people can test things out without jumping into a commitment. Letting them change their minds, like canceling a purchase, can ease any emotional stress. Also, offering services like Apple's Genius Bars or Best Buy's Geek Squad shows you're there to help when needed. But steer clear of fake sympathy acts “ they just mess things up. Stick to real understanding and meeting people's emotional needs.

The Fourth Friction

Reactance is like a roadblock to change. It's when people feel pressured or controlled, and they push back. Imagine someone telling you what to do, and you immediately want to do the opposite. That's reactance in action.

Three things set it off: messing with someone's beliefs, forcing them to change, or leaving them out of decisions but expecting them to follow along anyway. It's why some folks stick to their beliefs even when faced with facts. Think about cults “ people reject evidence that goes against what they believe because it feels like an attack on their freedom.

Persuading Others with Questions

When you want someone to agree with you, instead of just telling them what to think, ask them questions. This technique, called self-persuasion, lets people figure things out on their own. It's like guiding them on a journey of discovery. In politics, a method called deep canvassing does this. Instead of pushing a certain idea on voters, canvassers ask them questions to help them think in a certain direction. This approach can create empathy and has even been shown to reduce transphobia.

To sway public opinion towards legalizing marijuana, advocates took a smart approach. They started by asking if medical marijuana should be legal. Since that was an easy "yes" for most people, it created common ground. Then, they moved on to the tougher question of whether recreational weed should be decriminalized. By that point, people were more open-minded because they'd already agreed on medical use. This method helped them avoid resistance and gradually change their attitudes toward marijuana.

Follow these for self-persuasion

  • Self-persuasion isn't about asking for feedback. It's about guiding people toward realizing something on their own.
  • Encourage people to publicly commit. This makes them feel responsible and dedicated.
  • Ensure people's involvement is meaningful. When they're part of something important, they're more open to change.

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