The Upside of Irrationality: The Unexpected Benefits of Defying Logic at Work and at Home [Tapa blanda]

In his latest book, Dan Ariely takes another look at some irrational behavior of humans. I am not sure that there is an upside to all the different irrational behaviors he explores. You could make the case that by becoming aware of our irrational behavior and understanding better where it comes from, we might be in a better position to make appropriate changes. My point is I am not sure the title is indicative of the subject matter.

I found the book fascinating. At times I thought that he might be going into too much detail or dragging the story out a bit too long. But as I finished reading the book, I found that the lessons were sticking with me. I suspect that his teaching and writing techniques are highly developed and his approach is one that will leave the greatest impact on the student or reader.

There are several important concepts that he explores in this book. One subject I truly enjoyed and learned from what our innate desire for revenge. To illustrate the point, he told about his unfortunate experience with the purchase of an Audi automobile. At one time or another most of us have felt taken advantage of by a large company with rigid rules and procedures. I strongly felt his sense of outrage toward Audi. And while the story is a great example, I also feel sure that he is getting some revenge by telling how horrible their customer service can be. I am certainly not their ideal prospect but based on the story, I would never consider buying an Audi. I do believe that social media has leveled the playing field and given the average consumer a way to lash back. But as he points out in the book, revenge is a hollow victory and when we get consumed in seeking it, we generally lose.

There are numerous other concepts involving irrational behavior that he explores. One is our tendency to make rash decisions under the influence of emotions and then to continue to make decisions which are consistent with the emotional based decisions long after the emotional feelings have faded. We can become victims of our own emotional decisions.

Dan tells plenty of very personal stories in this book. You get to know him very well ... at times you get to share in-depth some very personal painful experiences he has gone through. It makes him very real. He is extremely open and transparent in this book. You will probably find it difficult to read about some of the pain he experienced during the recovery from a terrible accident. But there are some very valuable lessons imbeded in the stories he tells.

I immediately found myself using some to the lessons in this book in my work helping others. One very important lesson involves what we get from work. He told the story of a book editor who completed the task of editing a book and was paid the agreed price. She was then told by the publisher that he had decided not to publish the book. On a rational level, it should have made no difference. But she was highly disappointed. The lesson is we want/need both the material compensation from work and the feeling of contribution we get from work. Without the feeling that what we do matters, we are left with an emotional letdown.

There is an interesting chapter on why online dating does not work and another chapter on how compensation is a poor motivator. Reading this book will give you a much better understanding of human behavior.

The book is very easy to read. It is written in a totally conversational style. Dan has the rare gift to take a complex subject and present it in easy to understand concepts. His approach to writing is somewhat different but I believe highly effective in terms of understanding and retention.

As Daniel Goleman pointed out in his books Social Intelligence and Emotional Intelligence, so much of our success is dependent on our social and emotional intelligence - not our IQ. This book will help you improve your social and emotional intelligence.

Dan Ariely's "The Upside of Irrationality" is subtitled "The Unexpected Benefits of Defying Logic at Work and at Home." A more apt title would have been "Predictably Irrational--the Sequel," since this book comes across more as a follow-up to Ariely's first book ("Predictably Irrational--The Hidden forces that Shape Our Decisions") than a presentation of completely new material. The author, who is a behavioral economist, recounts a series of experiments that he and his colleagues conducted to explore such questions as: What makes work meaningful and, conversely, what can make it dull and unsatisfying? Why do people procrastinate? How does a person's self-image influence whom he chooses to date? Why is revenge so sweet even though it "has no more quenching effect on emotions than salt water has on thirst"? In what ways do our emotions impel us to make self-destructive decisions?

In Chapter Eleven, "Lessons from Our Irrationalities," Ariely sums up his thesis succinctly: "Our cognitive biases often lead us astray, particularly when we have to make, big, difficult, [and] painful choices." The author brings his point home in a poignant manner when he discusses what happened after he incurred third degree burns in an accident. In order to reduce his pain and the number of surgeries he would have to undergo, his doctor recommended the amputation of his hand and forearm. Dan says, "I decided to hold on to my poor, limited, eviscerated limb and make the best of things." Now he wonders if he made a mistake: "I was not so rational, and I kept my arm--resulting in more operations, reduced flexibility, and frequent pain."

Although this book breaks little new ground in a popular field crowded with similar works, Ariely's personal account of his ordeal, including the excruciating physical and occupational therapy that he endured, make for compelling reading. When Dan admits that he agonized over his ability to find a woman to love as well as a satisfying job, we cannot help but empathize. "The Upside of Irrationality" offers a much-needed reminder that we can never totally eliminate our subconscious biases. At best, we can remain cognizant of our irrationality, and make use of our self-knowledge to optimize our chances for success and happiness.

Fans of Predictably Irrational will be pleased with the second installment into what appears to be an "Irrational" series.

I would quibble with the title and the subtitle of the book but what really matters is what is between the covers.

Without giving away a book full of hard earned research results, perhaps capturing a clip from the book will best describe why this book will do so well.

In a comparison of perceived clutch basketball players with bankers, you find out that there really is not much evidence for a category of "clutch" basketball players. Yes, these players get the ball more in the final five minutes of the game, and therefore score more points but they perform no better or worse than they do in the rest of the game. The notion of the "clutch player" is not completely negated, but evidence is brought forth that any apparent higher caliber play in the final five is simply a function of more opportunities.

The reason this research was done was to build on research conducted in India using a limited bank account but wanting to find out just how performance bonuses might motivate people.

Various individuals are offered a chance to be given certain amounts of money based upon how well they perform in 8 games. It turns out the more money possible to be scored, the more likely the individual was to fail at the games. There was a bump over people performing for little more than a few hours of their time taken up but a more significant bump for individuals who received moderate sized "bonuses."

The experiment was laid out to show that large bonuses...amounting to as much as 5 months worth of income if medium difficulty level tasks were completed...don't motivate but actual interfere with performance.

Ariely was obviously on top of the notion that this part of India was incredibly poor so having a chance at 5 months worth of income was truly dramatic.

As I read this I thought, "yes but could this be the difference between eating and not eating, or is this the difference between buying a TV or not having a TV."

With that mindset I found the results fascinating.

If you've ever watched the TV Show Survivor, you've seen similar behaviors by people who consistently lose. People who let the pressure get to them because the clock is ticking... can do nothing but fail, and do indeed fail. But in Survivor there is always a winner. Some adapt. Some do not. An area for further study perhaps.

I suspect Ariely's findings will generalize in most areas of business. It's hard to imagine that mega-bonuses do anything but reduce performance. Sharing a similar view with an audience of bankers he reports having found little support for his notion. No surprise to Ariely or the reader.

Perhaps most interesting are his final thoughts on this specific topic which is decision makers he's spoken to at companies seem clueless as to the effects of bonuses on performance and they seem uninterested in testing to find out what the results are.

Each section in the book is filled with nuggets. There are many aha's to the wise. There are many moments of "Oh I knew that already," because the human mind is geared to have excellent hindsight and great ability to change what we would have predicted before the fact... Trying disengage from that bias is not as easy as one might think!

The Upside of Irrationality delves into a host of fascinating areas.

The research goes into the dating arena. Ariely shows us why we overvalue the things we make ourselves. He explains many things not covered by others in the field including a very nice indepth look at why we seek justice.

Like it's predecessor this book entertains, informs and gives pause for thought in your (my) own life.

Kevin Hogan
Author of The Psychology of Persuasion: How to Persuade Others to Your Way of Thinking