Katie Milkman is a professor at the Wharton School of the University of Pennsylvania. Her research finds that when groups work together on a project, a number of factors collude to form the planning fallacy. Overconfidence makes us feel better about ourselves and we're often rewarded for it. We put off doing things we know we should do in favor of what's instantly gratifying. Information overload is thought to decrease US productivity by $1 trillion a year.
Whether it’s a giant infrastructure plan or a humble kitchen renovation, it’ll inevitably take way too long and cost way too much. That’s because you suffer from “the planning fallacy.” (You also have an “optimism bias” and a bad case of overconfidence.) But don’t worry: we’ve got the solution.