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Plausibility Bias

You can't become a true A-player at work if your judgment isn't significantly sharper than that of your peers.

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And do you know what fucks up people’s judgment more than anything?

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Plausibility. Coherent stories and precise data.

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Narratives that “just make sense” and reports loaded with specifics.

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But coherence isn’t truth. And precision isn’t accuracy.

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Most importantly: plausibility isn’t probability. (Write this down now.)

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Most people you’ll encounter, both in business and in life, struggle with analyzing what I call the 3Ps of Critical Thinking:

  1. Possibility
  2. Plausibility
  3. Probability

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Possibility

The bare minimum. Is the story or hypothesis you’re considering theoretically possible? Ninety-nine times out of a hundred, it’s a “sure, why not.”

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Plausibility

This is where our “does this make sense?” radar kicks in. It's often influenced by factors like:

  • Does the story logically cohere?
  • Is the source of the information reliable?
  • Is the narrative simple enough to understand?
  • Does the story have enough details to help us imagine it?

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A story can be anything from a rumor shared at a bar, to a market analysis for a product launch, or even a criminal case.

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And this is where most people stop. If it’s plausible, it’s likely true.

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But it’s not.

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Probability

This is what separates the thinkers from the guessers.

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Probability doesn’t care if something makes sense theoretically (that’s plausibility); it’s concerned with how likely something is to be true in reality.

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Consider:

  • The detailed, assumption-based sales forecast: what are the uncertainties surrounding these assumptions?
  • The narrative about an employee’s sudden performance dip: what don’t you know about their personal circumstances?
  • A product concept that looks perfect on paper: what is the likelihood that every critical component will work flawlessly?
  • A plausible explanation for a mishap: how probable is it that events unfolded exactly as suggested?

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Many scenarios that "make sense" under the plausibility lens fall apart when viewed through the lens of probability.

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To cut through plausibility and leverage probability, consistently ask yourself these three questions:

  1. What are all the assumptions in the story?
  2. How likely is each of them to be true?
  3. What if one of them is wrong?

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Remember, as an A-player, your goal is to not just accept stories that are plausible like everyone else does.

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It’s to separate what’s true from what sounds good.