Confirmation bias is making its rounds as a popular topic across sales and management disciplines.  It is a common cognitive hurdle that affects us all.  Confirmation bias is the tendency to favor information that confirms one’s existing beliefs while disregarding evidence that contradicts those beliefs.  For managers and hopeful C-Level prospects, it can be ruinous.  In the context of consulting, this can lead to missed opportunities, ineffective communication, and lost assignments.

Sales Bias in Healthcare Consulting

Confirmation bias can be particularly challenging in areas like medical device sales and pharmaceuticals, where past performance, innovation, and navigating regulations can lead to strong opinions.  The smaller the company or division, the faster the scramble to confirm or support one’s decision.  For example, a client with a short “cash runway” is generally in a hurry to generate revenue and every decision draws intense scrutiny.  Company leadership, board members, and/or investors who expect progress toward value creation without fully understanding the challenges to converting sales heavily scrutinize every decision.  In my experience, the initial investment in building and/or growing a company is never enough and those charged with creating the revenue receive a common message, “…figure it out, that’s what you were hired to do!” 

The Flawed Approach: Anticipating Objections

As a consultant, anticipating objections to a strategy you have developed is a must.  The problem is addressing the objection too soon!  By starting with, “I know ‘x’ is a problem,” and leadership is on your back to go a different direction, but you are better off standing firm to achieve the primary objective…,” might be inadvertently triggering confirmation bias.  A client under any level of scrutiny might latch onto the familiar problem (“x”) and tune out the rest of the solution (“y”).  This is common when the solution will increase short-term expenditures. 

A More Effective Strategy: Building Consensus

Here’s a more effective approach to overcome confirmation bias in management and sales to ensure your client absorbs the full value of your insights:

• Focus on the Solution First:  Begin by clearly outlining the proposed solution (“y”) and its benefits.  This allows the client to engage with the new idea on its own merit.
• Seek Agreement on the Goal: Before diving into details, ensure you and your client are on the same page about the desired outcome. This shared understanding lays the groundwork for your proposed solution.
• Address Concerns Later: Once agreement is established, address the initial concern (“x”) you anticipated. This demonstrates your awareness of their priorities while presenting a solution that doesn’t diminish them.

Real-Life Example of the ‘Flawed Approach’

Imagine your division is launching a new product into hospital systems, which is a very tough sales environment.  Facing a long sales cycle is common, decisions are virtually always made by committee(s), and salespeople, because of budget constraints, did not come with the needed expertise to quickly and autonomously manage the process.  Leadership repeatedly directs mid-management to hire the right people, train them, and turn them loose.  Just do it, “it’ll work.” 

No, it won’t.  The problem is the mid-level manager wants to eventually graduate into the C-Suite, so her tendency is to anchor on the position held by leadership.  A better approach might be using skilled management capable of coaching and supporting representatives in-person throughout the sales process, but she’s been indoctrinated and is sipping the “Kool-Aid”. 

The coaching approach might make sense, given existing performance and experience gaps.  However, the time investment cannot take away from the mid-level manager’s many customer and regulatory facing responsibilities.  Why?  Because maintaining those responsibilities instills customer confidence in the organization.  An additional investment in contract personnel (e.g., experienced consultant coach/teacher/mentor) could be warranted. 

How did things turn out in this case?  Well, by deftly and skillfully addressing the objection on the front end, this experienced executive and skilled teacher (i.e., me), triggered confirmation bias out of the gate, and the client heard nothing I said afterward.

Better Approach

Prioritize the solution and building consensus.  This approach achieves several benefits:

• Reduced Confirmation Bias: The client is less likely to focus solely on the familiar problem and more likely to consider the new approach.
• Improved Communication: Focusing on shared goals and solutions fosters a more collaborative and open-minded discussion.
• Increased Client Buy-In: Clearly demonstrating how the solution addresses their needs and enhances the overall outcome leads to greater client confidence in your recommendations.

Remember:

• Be patient and allow the client to ask questions.
• Encourage open communication and be prepared to address concerns directly.
• Tailor your approach to each client’s communication style.

Employing these strategies, you can overcome confirmation bias in management and ensure your consulting practice thrives on effective communication and client buy-in.