Michael Mauboussin has spent 30+ years studying why some people consistently make better calls — in business, investing, and life. In this conversation, he explains how to separate luck from skill, how experts go wrong, and why we all need fewer opinions and better base rates. If you care about better outcomes, start here.
Now available on: Apple Podcasts | Spotify | Transcript
Here are a few highlights from our conversation:
- The concept of “base rates” and how they can help us make far better decisions and avoid the pain and consequences of making poor choices.
- How to know where you land on the luck/skill continuum and why it matters
- Michael’s advice on creating a systematic decision-making process in your organization to improve outcomes.
- The two most important elements of any decision-making process
- How to train your intuition to be one of your most powerful assets instead of a dangerous liability
- The three tests Michael uses in his company to determine the health and financial stability of his environment
- Why “algorithm aversion” is creating such headaches in many organizations and how to help your teams overcome it, so you can make more rapid progress
- The most significant books that he’s read since we last spoke, his reading habits, and the strategies he uses to get the most out of every book
- The importance of sleep in Michael’s life to make sure his body and mind are running at peak efficiency
- His greatest failures and what he learned from them
- How Michael and his wife raised their kids and the unique parenting style they adopted
- How Michael defines happiness and the decisions he makes to maximize the joy in his life
Any one of those insights alone is worth a listen, so I think you’re really going to enjoy this interview.
