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CRO Dun Goofed - When Perverse Incentives Strike
Podcast summary created with Snipd AI
Quick takeaways
- Perverse incentives in experimentation can undermine the integrity of a CRO program and hinder the ability to make informed decisions.
- Prematurely ending tests in experimentation can create a negative perception of a CRO program, eroding trust and potentially leading to poor decision-making.
Deep dives
Perverse Incentives in Experimentation
In this podcast episode, Tracy and Shave discuss the concept of perverse incentives in experimentation. They explain that perverse incentives are incentives that lead to unintended and undesirable results, contrary to the original intentions of the designers. The hosts provide the example of a bounty program where people were encouraged to collect rats and snakes, but this led to an increase in the population of these pests. They also highlight the issue of optimizing for wins, where the focus is solely on generating positive results without considering the learnings from experiments. Another topic discussed is the optimization for velocity, prioritizing the quantity of tests over quality and depth of insights. The hosts assert that such perverse incentives can undermine the integrity of a CRO program, erode trust, and hinder the ability to make informed decisions.
