Nerd talk
Nerdy psychological topic of the day: What is the Paradox of Choice and how it is slowing down hiring?
First of, source citing: “The Paradox of Choice – Why More Is Less” was written by Barry Schwartz, a psychologist who used it to explain consumer buyer behavior. Both hiring and accepting a job are ultimately big ticket buying decisions, so the same dynamics apply here.
The short version: the more options we have, the less satisfied we feel without decisions.
Too many choices ➡ ️ more cognitive effort needed to decide ➡ ️ decision fatigue ➡ ️ increased regret of the decisions we made.
Think of it as paralysis by analysis meets (the anticipation of) buyer’s remorse.
Back in the day when the Ford Model T was the only option, no one thought “man, I should have gotten the other car.” But today, you’re virtually guaranteed to not make the best car buying decision with the sheer number of options out there.
Your ability to not let it get in your head comes down to all other factors: is it a lot of money for you, how many car buying decisions you made in the past, how does it impact your life if the one you bought ends up being trash, etc.
It’s the same in hiring.
If you’re hiring for a very niche skill set where there’s only 1 available candidate, sure, you’re bummed out if it doesn’t work. But you’re not kicking yourself on top of that for picking the wrong one. And you’re not worried about that when you extend the offer. It is what it is.
Where if you have hundred of choices: you’re virtually guaranteed to not pick the very best candidate. Maybe things work out. Maybe they don’t. But you have an added level of “what if” always hanging over your head leading up to and immediately after the hire.
Compound this 1 hiring decision across dozens of hires in your org. Or across thousands of hires across the business landscape, and you have a psychological explanation of a systemic hiring slowdown.
The fix? Everyone make a mental note to stop being a headcase. 😂
Full episode of The 10 Minute Talent Rant, Episode 94 “The Fear of Messing Up Hiring” here.
Partner at Hirewell. #3 Ranked Sarcastic Commenter on LinkedIn.
