Harward Business Review – Communicating Effectively

Change the way you persuade
1. How you deliver the information , not the content of the information.
2. Five decision making categories

1. Charismatic
2. Thinkers
3. Skeptics
5. Controllers
Harnessing the Science of Persuasion
1. The principle of Liking
2. The principle of Scarcity
3. Principle of Reciprocity
4. The principle of Social Proof
5. Principle of Consistency
Power of Talk :- Who gets heard and Why ?

The CEO of a major corporation told me that he often has to make decisions in five minutes about matters on which others may have worked five months. He said he uses this rule: If the person making the proposal seems confident, the CEO approves it. If not, he says no.

The Necessary Art of Persuasion

Four ways not to persuade

1. They attempt to make their case with an up-front, hard sell.

1. “It’s far better to present your position with the finesse and reserve of a lion tamer, who engages his “partner” by showing him the legs of a chair. In other words, effective persuaders don’t begin the process by giving their colleagues a clear target in which to set their jaws.”

2. They resist compromise.
3. They think the secret of persuasion lies in presenting great arguments.
4. They assume persuasion is a one-shot effort :- Persuasion is a process, not an event.

Effective persuaders seem to share a common trait: they are open-minded, never dogmatic.

Effective persuasion involves four distinct and essential steps.

1. First, effective persuaders establish credibility.
2. Second, they frame their goals in a way that identifies common ground with those they intend to persuade.
3. Third, they reinforce their positions using vivid language and compelling evidence.
4. And fourth, they connect emotionally with their audience. As one of the most effective executives in our research commented

Telling Tales

There was no building up of the characters. Who was this health worker in Zambia? And what was her world like? What did it feel like to be in the exotic environment of Zambia, facing the problems she faced?

unintelligible to an outsider, is both informative and interesting to its intended audience.

How to Pitch a Brilliant Idea

the four negative stereotypes that are guaranteed to kill a pitch.

The pushover
The robot
The used-car salesman
The charity case is needy

The three types of successful pitchers have their own techniques for doing this

The Showrunner

Pitcher: Remember Errol Flynn’s Robin Hood?
Catcher: Oh, yeah. One of my all-time favorites as a kid.
Pitcher: Yes, it was classic. Then, of course, came Costner’s version.
Catcher: That was much darker. And it didn’t evoke as much passion as the original.
Pitcher: But the special effects were great.
Catcher: Yes, they were.
Pitcher: That’s the twist I want to include in this new series.
Catcher: Special effects?
Pitcher: We’re talking a science fiction version of Robin Hood. Robin has a sorcerer in his band of merry men who can conjure up all kinds of scary and wonderful spells.
Catcher: I love it!

The pitcher sets up his opportunity by leading the catcher through a series of shared memories and viewpoints.

The Artist

The Neophyte

Neophytes are the opposite of showrunners. Instead of displaying their expertise, they plead ignorance. Neophytes score points for daring to do the impossible, something catchers see as refreshing

Taking the Stress Out of Stressful Conversations

Fight Tactics, Not People
The best way to neutralize a tactic is to name it.

Nudge Theory

  1. Libertarian Paternalism
  2. Choice Architects
  3. Home Economicus
  4. people have a strong tendency to go along with the status quo or default option.
  5. First, never underestimate the power of inertia. Second, that power can be harnessed.
  6. The effects of well-chosen default options provide just one illustration of the gentle power of nudges.
  7. The iPod and the iPhone are good examples because not only are they elegantly styled, but it is also easy for the user to get the devices to do what they want.
  8. Knowing something about the cognitive system has allowed others to discover systematic biases in the
    way we think.
  9. three heuristics, or rules of thumb—anchoring, availability, and representativeness
  10. Defaults: Padding the Path of Least Resistance

How to Pitch ?

no situation has real meaninguntil you frame it.
Framesare mental structures that shape the way we see the world and put
relationships in context.

And the most
powerful  thing  about  frames?  There  can  be  only  one  dominant  frame
during any interaction between two people.
So that was  his  game;  he  was  playing  with  the analyst  frame,  which
relies on facts, figures, and logic.
I  had  a  better  frame  prepared,  the moral authority frame,  and  it’s  an
analyst disruptor.
No matter what happens, no matter how much
social pressure and discomfort you suffer, you must stay composed and
stick  to  your  frame.  This  is  called plowing  ——  Always  moving  forward.  Never

stopping. Never any self-doubt.

When you are reacting to
the other person, that person owns the frame. When the other person is
reacting to what you do and say, you own the frame.
Problem  solving,  numerical
calculations,  statistics,  and  any  sort  of  geometry  are  called cold
cognitions.  Nothing  will  freeze  your  pitch  faster  than  allowing  your
audience to grind numbers or study details during the pitch
“The revenue is $80 million, expenses are $62 million, the net is $18
million. These and other facts you can verify later, but right now, what
we  need  to  focus  on  is  this:  Are  we  a  good  fit?  Should  we  be  doing
business together? This is what I came here to work on.”
What this tells the audience is that (1) I’m trying to decide if you are
right for me; (2) if I decide to work with you, the numbers will back up
what  I’m  telling  you,  so  let’s  not  worry  about  that  now;  and  (3)  I  care
about who I work with.

If youare trying to win your target’s respect, attention, and money,
he becomes the prize.
When your targetis trying to win your attention and respect, you are
the prize. (This, of course, is what you want.)
1.  We chase that which moves away from us.
2.  We want what we cannot have.
3.  We only place value on things that are difficult to obtain.
The  problem  with  this  approach  is  that  if  it  is  true  that  people  only
value  things  that  are  hard  to  get,  you  are  not  hard  to  get.  There’s  no
challenge. Behaving this way means that you are failing to prize.
Money cannot do anything without you. The money needs you.
You  don’t  earn status  by  being  polite,  by  obeying  the  established  power  rituals  of business,  or  by  engaging  in  friendly  small  talk  before  a  meeting  starts. What  these  behaviors  might  earn  you  is  a  reputation  for  being  “nice.” They do nothing for your social position—except reduce it.
Can we switch out of the beta position and take the alpha ?
His next move was to strengthen his position by co-opting one of my guests into his frame, making it impossible for me to attack him without simultaneously attacking her.
1.  Introduce yourself and the big idea: 5 minutes.
2.  Explain the budget and secret sauce: 10 minutes.
3.  Offer the deal: 2 minutes.
4.  Stack frames for a hot cognition: 3 minutes.
How to Pitch ?
1.  Explain  the  most  important  changes  in  our  business.  Forecast
trends.  Identify  important  developments—both  in  your  market
2.  Talk about the impact of these developments on costs and custom
3.  Explain how these trends have briefly opened a market window.
Why Forces ???
A huge part of the brain is devoted to
detecting movement.
you  realize  that  you  cannot  just  show
audience  members  two  possible  states  and  hope  that  the  difference
captures their attention.You need to show them the movement from one
to the other.
We are not wired to see or hear a static pitch: “Thatwas the old way,
but this is  the  new  way.” That  can  trigger  change  blindness,  where  the
target won’t get your  deal  at  all
It would be like the copier
salesperson  saying,  “Hey,  how  would  you  like  the  Model  T100?  We’ve
had 50 of them in the warehouse forever.”
“For [target customers]
Who are dissatstifed with [the current offerings in the market].
My idea/product is a [new idea or product category]
That provides [key problem/solution features].
Unlike [the competing product].
My idea/product is [describe key features].”
Realization 1:It doesn’t matter how much information you give, a
lot or a little, but instead how good your theory of mind is. In other
words, it’s important how well you can tune your information to the
other person’s mind.
Realization  2:All  the  important  stuff  must  fit  into  the  audience’s
limits of attention, which for most people is about 20 minutes.
To hold your target’s attention, there must be tension—a form of lowlevel  conflict—guiding  the  interaction.
A pitch narrative can be thought of as a series of tension loops. Push then pull. Create tension. Then resolve it.
Focus  on  demonstrating your skill at budgeting, which is a difficult and highly regarded executive talent.
Hot Cognition
  1. Hot cognition 1:the intrigue frame.
  2. Hot cognition 2:the prize frame.
  3. Hot cognition 3:the time frame.
  4. Hot cognition 4:the moral authority frame.
Oren, once we get through this deal, and we know you can close deals,
I’m going to introduce you to our senior trader, John Kincaid,” the seller
told  me.  “He’s  a  wildman,  just  like  you.  It’s  going  to  be  a  total  love
connection,  and  he’ll  get  you  into  the  big  deals  that  don’t  come  to  my

This was hot cognition 1—intrigue. I wanted to meet the senior trader
and get introduced to these bigger deals.
The bank trader continued: “You know the market is on fire right now,
and I have the French, English, and South Africans begging me for this
package, but if you work hard and don’t play any funny retrade games,
you  can  earn  your  way  in.
”  It  was  true,  the  market  was  hot,  and  those
were all players.
This  was hot cognition 2—prizing. Although I was the buyer, he was
asking me to prove myself. I wanted to impress him so that I could earn
my way into the deal.
He continued: “I’d love to give you until next week, but this market is
not letting me, and you have to make up your mind by Friday.” He said,
“I’m totally okay with a ‘No’; there’s no pressure. But Friday is D-day.

This  was hot  cognition  3—time  frame.  He  gave  me  just  enough  time
that  I  felt  I  had  free  will.  This  wasn’t  time  pressure,  just  a  reasonable
time constraint. In the end, the decision was mine to make.
He continued: “And I don’t need to tell you, we’ve done $150 billion in
trades  this  year  without  a  single  SEC  [Securities  and  Exchange
Commission]  sanction;  right  now  we’re  very  particular  about  our
reputation and counterparties. We do things right over here, so no games,
no missing wire numbers, just clean paper. We give you a fair price, and
that’s the deal. Can you play by the rules?”

This  was hot  cognition  4—moral  authority I  assured  him  that  even
though my company was small, just a $250 million blip on the outskirts
of San Diego, I knew the rules and could do things right.
—  Choclate vs Spanich  — Hot Cognition and Cold Cognition

Crucial Conversation

If we take control of our stories, they won’t control us.
* Winning. This particular dialogue killer sits at the top of many of our lists
* Punishing. Sometimes, as our anger increases, we move from wanting to win the point to wanting to harm the other person.
* Sometimes we choose personal safety over dialogue.
* First, clarify what you really want.
* Second, clarify what you really don’t want

* You know what? We need to talk about this. I’m glad you asked the question. Thank you for taking that risk. I appreciate the trust it shows in me.