Dr Barbara Fasolo

This course is compulsory on the MSc in Management Science (Decision Sciences). This course is available on the MSc in Management, MSc in Management (CEMS MIM), MSc in Management Science (Operational Research) and MSc in Risk and Finance. This course is available as an outside option to students on other programmes where regulations permit.

It is complementary to any behavioural course offered at LSE, and is available as an outside option to students on other programmes where regulations permit.

Strategic decision making is a fundamental skill for managers and policy makers. But important decisions, even at a strategic level, can sometimes be hard to solve analytically and can only be made intuitively, because of insufficient time to perform analyses, to gather data; for inadequate computational ability, or too much information. In this course students will master the key theories and experimental findings of behavioural science, and become aware of systematic decision biases and traps that can operate on individuals and groups when they decide. Students will learn how to recognize these biases, overcome them and become better intuitive decision makers.

20 hours of lectures and 9 hours of seminars in the MT. 3 hours of lectures in the ST.

J. Baron, Thinking and Deciding (3rd Ed.); R. Hastie & R. M. Dawes, Rational Choice in an Uncertain World; W. Edwards & D. von Winterfeldt, Decision Analysis and Behavioral Research; R.T. Clemen and T. Reilly, Making Hard Decisions with Decision Tools Suite: S. French, Decision Theory: an introduction to the mathematics of rationality. Kahneman, D. (2011). Thinking, Fast and Slow. London: Allen Lane. New York: Farrar, Straus and Giroux.

Exam (100%, duration: 2 hours) in the main exam period.