1. What Is Anchoring?

Anchoring means staying under an influence of a particular reference point or “anchor,” which is one reason talent intelligence solutions for recruiters exist in the first place. Once the value of the anchor is set. Furthermore, the perception of an individual may change from what they would have otherwise been without the anchor.

For example, you might be more likely to purchase a car if it is placed alongside a more expensive model of a car. In this example, the expensive car serves as an anchor. In a way, placing an anchor might persuade you to buy a car over its market value this way, and a solid talent assessment framework for organizations is built to catch exactly that kind of distortion.

When can this bias happen in the job application process?

At salary negotiations. Many job applicants search for information about the standard salary range on websites such as Glassdoor. And, this information tends to be highly imprecise. 

Positions sharing the same position title can relate to a variety of responsibilities in various companies. It means that while going to the job interview, you might have inadequate expectations. Additionally, expect a higher salary than what the hiring manager is prepared to offer.

According to Harvard Law School’s Program on Negotiation, first offers strongly anchor the rest of a negotiation — research finds they can explain 50% to 85% of the variation in final outcomes — so candidates who research market rates before an interview reduce their vulnerability to a low initial offer.

Career-management / job interview tips.

Glassdoor is only the first zoom into the salary range you might potentially expect. The final offer will also depend on the specific responsibilities of the position that you are applying for. And, on how much this work is worth in the eyes of the management of the company.

Valuing work at positions within the company is hard, especially when the position is not in sales (in that case. Furthermore, it would be easy to estimate how much value you bring to the company).

If you have any experience that might give the hiring manager the picture of how much your work is worth, bring it to the table! For instance, let’s say you previously managed a pivotal project for the company.

The project ended up launching a product that brought the employer revenue of $20 million. Or, you brought a new client on board, and your employer cut the deal for $4 million with the client. It will highly leverage your perceived worth to the hiring manager.

In general, however, it is important to remember that Glassdoor information can be misleading. Try to avoid anchoring! It will save you from lots of disappointment in the job application process.

2. Framing.

The definition of framing is “using a too-narrow approach and description of the situation or issue.” 

The classic demonstration of this comes from Tversky and Kahneman, writing in Science: the exact same choice, framed in terms of gains versus losses, flips people’s preferences — even though the underlying numbers never change.

When can this bias happen in the job application process?

At the job interviews, when the applicants explain their expertise to the recruiter using jargon and specialistic terms.

Career-management / job interview tips:

You need to assume that the hiring manager doesn’t have a specialistic background, which is part of why talent intelligence for HR decision-making matters on the other side of the table too. When explaining your expertise, it is good to look from the perspective of your employer.

You should concentrate on the types of problems you can solve, and the potential applications of your solutions rather than the nitty-gritty details of the methodology that you use.

It is also good to give examples of the problems that you solved before using, for instance, the popular STAR method. “STAR” stands for Situation, Task, Approach, Results.

It is a technique aiming at explaining your competencies to the recruiter in an  understandable way by giving examples of situations that you solved using your skills, expertise, what are your work style and out-of-the-box thinking.

3. Fundamental Attribution Error. (FAE)

This bias means a tendency to overestimate other people’s personalities in their decision-making process and underestimate the external factors that influence them, a blind spot that how psychometric assessment supports career counseling can help correct.

A PLOS ONE study of real hiring and admissions decisions found that even experienced professionals fall for this: they rate candidates who achieved results in favorable circumstances more highly than equally skilled peers who had it harder, without properly discounting for the easier conditions.

When can this bias happen in the job application process?

At the job interview, when you are given a lower salary proposal than you would expect. Or, after the interview, when you are rejected from the position on behalf of someone else.

In many cases, job candidates get the feeling that they got rejected as the best candidates only because the hiring manager was mean and incompetent. Or, scared of their experience and competitive expertise.

Career-management / job interview tips:

In most cases, hiring managers need to meet the expectations of their superiors. They get a so-called approved salary range for the position, and they need to find a candidate who will be truly motivated to work for the salary they are offered and will have the attributes of a good employee.

Therefore, if they see you reluctantly accept the number they give you with signs of disappointment on your face. Furthermore, they might simply conclude that taking this job is only a short-term solution for you.

The hiring manager also needs to make sure that you will work well with other team members and that you will present your strong work ethic. There are multiple ways of determining whether you fit “the DNA of the company.”

But at the end of the day, the recruiter also needs to use their common sense and intuition. Some hiring managers use their gut more often than others and rate likability in candidates high in their books. Others pay almost no attention.

However, if you get rejected, don’t take it personally. The hiring manager is not there to judge you as a person and hire you based on their private taste for people. They only consider the fit between you and other team members.

Remember that recruitment is a probabilistic game. You might always get eliminated for reasons independent of the hiring manager. 

Therefore, the best career management advice here is: to diversify. Give yourself multiple chances to succeed, not just one. Apply for multiple positions and through multiple channels. Don’t rely on any single interview to land you the job. 

4. What Is Status Quo Bias?

Status quo means a preference for the current state of affairs, and reluctance to make any change from this baseline, a pattern that a mature talent intelligence platform for HR teams is designed to interrupt.

A seminal paper in the Journal of Risk and Uncertainty documented this bias using real-world data too, including employees’ health-plan and retirement choices, finding people disproportionately stick with their current option even when switching would clearly serve them better.

When can this bias happen in the job application process?

In salary negotiations. Many job applicants are just reluctant to negotiate salaries when they get a merely acceptable proposal – especially if the proposed salary is higher than their previous remuneration. There is a chance to lose something in the process, so why to even risk it?

Career-management / job interview tips:

When it comes to talking to the hiring manager, you are already considered a serious contender for the job. Especially if the hiring manager makes an offer after you have already met with the team.

Furthermore, it means that they see you as a member of their tribe. It is the right time to negotiate!

As mentioned before, it is often the case that the hiring manager needs to stick to a particular salary range—for instance. This is because it’s a corporation and there are fixed salary levels within the company.

It is good to at least try to leverage your base salary. Furthermore, arguing that your expertise will bring extra value to the company.

If this is not possible, remember that it doesn’t matter how much cash you get per month. It matters how much stays in your wallet after you pay all your bills.

Therefore, instead of your salary, you also negotiate other benefits that can reduce your fixed monthly costs. It might be a company car, a reimbursement of the commuting costs.

Furthermore, covering health insurance costs for your family members, covering kindergarten costs, covering relocation costs, etc. Sometimes, it is enough to smile and ask.

Remember that if, say, $100 or more stays in your wallet every month, then over the next 30 years. Furthermore, this difference will accumulate to over $30,000 (and much more if you invest this amount every month. If you can gain 4-5% interest per year, this amount will grow to $100,000 and more).

5. Temporal Discounting.

Temporal discounting refers to the difference in the relative valuation placed on rewards (usually money or goods) at different points in time, and noticing it is one small way how talent assessment improves career outcomes for candidates. A review on PubMed Central confirms this preference for immediate over delayed reward shows up reliably in real behavior, not just lab experiments — people with steeper discount rates consistently make more present-biased choices. For instance, if you have a chance of getting $100 now or $150 a year from now. Furthermore, you might enjoy getting the first option more—even if effectively, it means receiving less cash.

When can this bias happen in the job application process?

In salary negotiations. For instance, you might get an entry-level offer with a possible professional development and promotion and a significant rise in 12 months, yet still, feel that the offer is below your qualifications and feel compelled to reject it.

The hiring manager might also experience temporal discounting while negotiating a salary. For instance, even if they are unwilling to, or cannot lift the base salary for the position.

Furthermore, they might be still willing to give you a yearly bonus at the end of the year. If the expenditure is not instant, it doesn’t hurt as much!

Career-management / job interview tips:

Ask yourself what you want for your career path in long term. If you take this job with a plan to stay around for 12-18 months and then switch. Furthermore, then perhaps taking a temporary hit in salary is not the best idea.

However, if you are planning to develop in this place. Furthermore, accepting a temporally delayed reward might be the best strategic decision in the long run. Remember that time flies!

Similarly, if it is hard to negotiate a higher salary, you might use temporal discounting to persuade the hiring manager to offer you an end-of-the-year bonus. The hiring manager will likely agree because it is a one-time commitment—and, it is time-delayed!

Conclusions: How Can Cognitive Science Help You In Career Management and Job Interview Preparation?

Job interview preparation is crucial in the recruitment process. Furthermore, not only on the factual level but also on the mental level functional career management strategies are what will bring you far in the long run!

The job interview tips listed above will help you avoid common mistakes in job interviews and help you better negotiate your remuneration.

We recommend you also our another articles on related topics:

1. “Perfect Resume and Why It Is NOT Perfect For You: Marissa Mayer’s Resume and Personal Story“

2. “7 Magic Spells: How To Enchant the Recruiter at the Job Interview“

3. “How To Write a Compelling Motivational Letter?“

4. “Before a Job Interview: How To Conduct an Informational Interview” 

5. “Don’t Get Trapped! Red Flags in the Recruitment Process” 

6. “Don’t Blow Job Interviews! Red Flags In Recruiters’ Eyes”