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Mental Models

Avoid a Narrow Frame

A narrow decision frame asks whether to pursue one option and overlooks alternatives. Generate other courses of action, compare their costs, and consider what each choice would prevent you from doing.

THE IDEA

2: Avoid a Narrow Frame

Asking only whether to do something can hide other useful choices. The research summarized here found that 65% of teenagers’ decisions considered no alternative or just one. Paul Nutt’s study of 168 strategic decisions reported a higher failure rate for single-option decisions than for decisions involving multiple alternatives.

The 65% finding concerns decisions, rather than the proportion of teenagers who always think this way. Clothing was the category in which the teenagers most often considered several options. Career counselor Heidi Price makes a similar distinction: a student asking whether to break up can broaden the question to what kind of relationship they want.

The Quaker Oats acquisition of Snapple illustrates the business stakes. The account describes a narrow acquisition frame and a subsequent $1.4 billion loss. In a smaller workplace example, manager Margaret Sanders considers firing Anna but could also examine coaching, reassignment, or changes to the team.

Stacy Dale and Alan Krueger’s college study compared later earnings among students with similar admission options. It challenges the assumption that the more prestigious school must produce higher earnings; students still need to compare the schools available to them. A purchase study offers another way to widen the frame: reminding people that they could keep the $14.99 for other purchases made the alternatives to spending more salient.

To generate alternatives, imagine that the option you favor has disappeared. Ask what you would do next. Then compare those possibilities, including the opportunity cost of each: what else could you do with the same time, money, or effort?

"My advice to students: Don't believe that the only school worth attending is one that would not admit you. Your own motivation, ambition and talents will determine your success more than the college name on your diploma." – Alan Krueger

When to use it

  • Choosing between job offers: Instead of asking 'Should I take job A or not?', list all possible jobs and consider a third option like negotiating for a different role or staying in your current position.

  • Buying a car: Avoid fixating on one model. Evaluate at least three different cars within your budget, considering features, reliability, and resale value.

  • Deciding on a college: Do not limit to 'Should I go to University X?' Research several schools that match your criteria and compare them on academics, cost, and culture.

  • Managing a team: When an employee is underperforming, avoid the binary 'fire or keep' frame. Explore alternatives: reassign tasks, provide coaching, adjust role responsibilities, or set a performance improvement plan.

FROM THEORY TO EVERYDAY LIFE

In practice

01

Teen Breakup Decisions

A study by Baruch Fischhoff found that 65% of the teenagers’ decisions considered no alternative or just one, often framed as 'Should I break up or not?' This single-option frame limits exploration of other possibilities like talking things through or taking a break.

02

Quaker Oats Acquires Snapple

In 1994, Quaker Oats CEO William Smithburg decided to acquire Snapple for $1.7 billion. The decision was framed as 'whether or not to acquire Snapple,' without considering other soft drink brands or strategies. The acquisition failed, and Snapple was sold three years later for $300 million, a loss of $1.4 billion.

03

Heidi Price's Career Advice

Career counselor Heidi Price helps students broaden their decision frames. For example, instead of asking 'Should I break up with my boyfriend?', she encourages asking 'What kind of relationship do I want?' which opens up more alternatives.

04

College Choice and Earnings

Dale and Krueger compared later earnings among students with similar college-admission options. The reported findings challenge the assumption that a more prestigious school necessarily produces higher earnings. The decision still calls for comparing fit, cost, and the opportunities available at each school.

05

Opportunity Cost and Spending

A study by Shane Frederick and colleagues showed that people often neglect opportunity cost. When deciding whether to make a $14.99 purchase, reminding them to consider what else they could buy with that money (e.g., hamburgers) reduced spending. The quote 'There's no such thing as a free lunch' illustrates this.

06

Should Sanders Fire Anna?

Manager Margaret Sanders considered firing an underperforming employee, Anna. The decision was framed as 'Should I fire Anna or not?' By broadening the frame, she could have considered alternatives like reassigning tasks, providing training, or restructuring the team.

✳

A MOMENT TO REFLECT

Put it to work.

  1. Think of a recent major decision you made. Did you consider only one option (a 'whether or not' frame) or multiple alternatives? How might the outcome have changed if you had explored more options?

  2. When faced with a tough decision, what techniques could you use to force yourself to generate at least three distinct alternatives before making a choice?

  3. Consider a purchase you are planning. Are you ignoring opportunity cost? List two other ways you could spend that money that might bring you more satisfaction.

Connected ideas

Another lens can bring the same problem into focus.

Often confused with

References

  1. The Real World: What Good Is It? — Baruch Fischhoff (1996)
  2. Expanding the Search for Alternatives During Strategic Decision-Making — Paul C. Nutt (2004)
  3. Why Smart Executives Fail — Sydney Finkelstein (2003)
  4. The Identification of Solution Ideas During Organizational Decision Making — Paul C. Nutt (1993)
  5. Surprising but True: Half the Decisions in Organizations Fail — Paul C. Nutt (1999)
  6. Estimating the Payoff of Attending a More Selective College: An Application of Selection on Observables and Unobservables — Stacy Berg Dale and Alan B. Krueger (2002)
  7. Opportunity Cost Neglect — Shane Frederick et al. (2009)

CONTINUE THE CONVERSATION

Source texts

  • Decisive How to Make Better Choices in Life and Work (Chip Heath)
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