Think Clearly with Mental Models
The idea of using mental models is to think clearly before making an important decision. It ensures that you have considered various aspects, thought clearly and rationally before making the decision.
Key Takeaways
- The more mental models, the better chance of understanding and perceiving the world around us.
- Every human is unique, and their understanding varies. They see and think things based on their knowledge of understanding mental models (concepts).
- Engineer will have mental models from engineering field and will see world through engineering. An artist will have mental models from arts field and will see world through art.
- Mental models are tools. The more tools (mental models) in toolbox the better.
- To make better decisions, you need to have clear thinking. And to think clearly you need to learn numerous mental models.
- Select the most relevant mental model to solve a specific problem.
Mental Models
Mental models are thinking systems. They help in understanding how something works. Every human being understands things in a different way on the basis of perceptions, imagination and through comprehension of discourse.
Perceptions are influenced by prior experiences and interests. It is how you perceive things and then process it in the form of information in your mind. It is at this stage of information processing perceptions are defined.
Human brain process information in three stages:
1. Input
2. Storage
3. Output
Every single information processed in brain is encoded in a different way. And it is retrieved based on how a certain individual has stored information in brain with particular perceptions, imagination, and understanding.
Understanding thinking process of human beings
Every single human is unique individual with distinct set of beliefs. These beliefs act as a lens for them to see and observe things in their surroundings. It is similar to looking at world with colored glasses. It could be brown for some, blue for others, purple for rest.
This explains how a single individual has developed the understanding of things in their surrounding based on what they have learned in their lifetime.
“They have developed a belief system which they use to gain understanding in their surroundings, to relate, use and interact with external world.” This whole concept is result of individual mental model.
A graphical presentation to understand the concept:
Read the caption in picture and then read the image.
It can be better understood with following example:
‘A software engineer designed app with his understanding. He is knowledgeable and possesses sharp technical acumen. He thinks the app design is perfect and users will love it.
But it does not happen.
When the app is launched, and users try to use it they could not. They found app frustrating to use and ended up deleting it.
Now, what happened here?
Engineer is confused. The design was perfect, and users would have loved it but then how come the users did not like it and are not even using it?
It is because of different mental models of understanding the things. Engineer and common users were perceiving the same thing in a different way. Creator (the engineer) had different sets of mental models and user had different sets of mental models.
When creator designed app, creator used the mental models unique to himself without considering user mental models (the common understanding of user interface). Therefore, as a result, users did not use the app.’
How can this situation be best resolved?
After creating the app design (user interface), it should have been given to variety of users to find out their user experience. Do users find the app user friendly when they use it?
If majority says they think app is user-friendly, then it means the engineer and majority of users have common mental models of understanding things.
If majority of users find it difficult to use app, then it means that engineer have unique mental models of understanding the things in his surroundings. And these mental models are not common therefore the app should be redesigned taking input from users with most common mental models.
Mental Models Are Tools
Mental Models are set of tools that everyone uses to understand their surroundings.
They are unique to each individual understanding. It helps them process information to draw conclusions on things they see, feel, hear and listen.
Using right set of mental models helps people make intelligent decisions by thinking clearly, making few mistakes and gaining better results.
Think of mental models as tools in a toolbox. The more mental models in toolbox the better. Having more mental models in toolbox increases the probability to see the reality better and clearer with right set of mental models.
How it works
There are countless mental models to understand the world happenings. These mental models assist in understanding how things work in every field.
They are scientifically derived, tested concepts and implemented worldwide in their respective fields.
For example, let us consider four fields and few mental models associated with them.
These mental models help experts in solving real world problems. It is not an easy task. It requires making connections among different set of things.
Due to the uniqueness of each individual, they see problems in a different way, in different angle, from different perspective.
Then comes the next question:
If every individual see problem differently, then how come do groups of people agree on a single solution?
It is because they use basic mental models to understand a problem.
Let’s say there is a group of five people. They have been asked to grow a plant. But problem is whenever someone grows a plant it does not grow.
They decided to solve this problem and began to study about the plant and some general science-based concepts about plants. Now, when one member of the group talks the other understands because they have similar knowledge about plants.
Why? because they have same contextual knowledge about plants now.
It happened because they collaborated and shared the knowledge. And therefore, the problem of ‘why plants are not growing?’ got solved.
(Note: read 100+ mental models from “Super Thinking” by Gabriel Weinberg & Lauren McCann book)
Mental models help solve complex problems.
As world advances, problems become complex and in order to solve complex problems, complex solution approach is required.
What does this mean? read on:
Story of Mathematician
“There was a mathematician, expert in numbers. He came across a problem in business studies related to algebraic equation (science). He applied all relevant concepts known in mathematics to solve the equation but could not.
After some time, he began to learn concepts from other fields. He learned about their use cases, applicability and implementation.
While learning, mathematician came across the concept of ‘Porter’s Five Forces’ in business book and learned the concept. It helped widen his knowledge and understanding of real-world business.
One day mathematician picked up his old notebook of unsolved equations and saw the entry of unsolved algebraic equation, the one that remained unsolved earlier. And he could not find any answer for it.
When mathematician looked at the entry again now for possible solutions to solve and work it out. A solution finally came.
What happened? How did the mathematician was able to solve the problem?
How was the unsolvable problem got solved? It was because of learning new mental model.
The mental model added new knowledge and offered new perspective. Therefore, when mathematician looked at the problem with new knowledge and fresh perspective, he was able to solve it.”
This story tells us, that there is limitation of knowledge for an expert in one field. It has now become critical to solve the real-world problems effectively with combination of knowledge from different fields together.
Today, we have innovative cure of diseases because of biotech industry and cost-effective financial solutions of fintech industry.
Two different fields combine their knowledge and provide innovative real-world solutions. It was only possible when people had more mental models from different domains in their toolbox to solve on hand problems.
Types of Mental Models
There are countless mental models in various fields. The idea is to think clearly, solve problems and make better decisions. Ivaylo Durmonski proposed following 7 mental models to make better decisions:
a) First Principle Thinking
First principles thinking mental model helps in making better decisions.
How?
In first principles thinking, people are encouraged to find the building blocks, the basics.
The purpose is to emphasize on what is truly important and ignore the insignificant aspects.
For example:
You want to build a business.
First principles thinking encourages you to think what is absolutely necessary to build a business.
You think, do the research and identify five things that are absolutely necessary to build business.
You consider those five things and build your business on it.
First principles thinking ‘mental model’ helps you in:
1. Thinking clearly
2. Realizing what is absolutely important
3. What is it that you cannot compromise in your business
b) Backward Chaining
In ‘backward chaining’ mental model you define the end goals first and then work towards it to achieve it.
You think strategically about the tasks that needs to be done and actions that needs to be taken to achieve the goal.
But the most important aspect of this mental model is how do you approach it.
Let’s say you have decided to become an ‘Engineer’. It is good. But then comes the next stage. How to become an engineer, you look through the professional qualifications, academies, universities and places where you could gain some experience.
It is all good, but it is a later part. The missing part in between is asking yourself some really important questions:
1. Do you really want to become an engineer?
2. If, yes. Why do you want to become an engineer?
3. Are the reasons behind your answers materialistic or non-materialistic?
4. Will accomplishing the end goal, give you maximum happiness?
When you decide on your end goal, your next task should be to identify steps in your goal achievement and then asking yourself the questions if you really want to do this.
This thinking model helps build clarity in decision making when you want to achieve a certain goal:
- You identify the most suitable way to achieve goal.
- It gives you clarity in understanding.
- You find out that goal is worth pursuing.
c) Second-Order Thinking
Second order thinking principle is about thinking consequences first and then making a decision.
Let’s say you have a business decision to make. It is about closing the deal. A lucrative opportunity but equally risky. You may want to jump into the opportunity and grab it without thinking much about the consequences.
You finalized it. The deal was closed, and celebrations were made. Now came the time with actual work. You are facing losses now. Why? because the partnership is not producing the results as intended. Customers are not buying the product.
Now, you are thinking about the reasons, studying the business deal, rationalizing the choice, finding ways, weighing the outcomes for different corrective actions.
This is the right approach to do it after you face losses, but equally a pro-approach has you had done some thinking before taking on the deal.
You think of possible outcomes and their consequences before making the decisions.
d) The Hard Choice Model
We make several decisions in our daily life; these range from small meaningless decisions to decisions that make huge impact.
It gets easy when these decisions are categorized into following four categories:
1. No-brainer
No brainer are the decisions when you have to choose between two easy choices.
These types of decisions are no brainer, can be made quickly, have low impact and hold less value.
What should you decide?
In these decisions, you already know what you should choose. Therefore, they are called no-brainer.
2. Apples/Oranges Choice
Apples/Oranges are decisions when you have to make a decision between two choices that are hard to compare, have low impact and hold less value.
What should you decide?
The choices available here are different. You decide what do you want.
3. Big Choice
Big choice are the decisions that you make when you have to choose between two or more choices that are easy to compare, have high impact and hold huge value.
What should you decide?
You do what you think is right. It will not be easy. Because these types of decisions demand your commitment to hardwork and courage of your honesty.
4. Hard Choice
When you have to make a decision between two choices that are hard to compare, have high impact and hold high value.
What should you decide?
You do what is right and honest for you and for all. Make right choice here by carefully considering consequences before you take any action.
e) Inversion Principle
Inversion principle helps you prepare for decisions in advance.
You think of an end goal that you want to achieve.
And then you think of possible things that may cause hindrance in achieving the end goal.
Let’s say you want to read 10 books every month. This is your end goal.
Now you are thinking about things that might keep you from achieving the goal:
1. Busy weekdays at office.
2. Busy evenings.
3. You may get time, after work or you may not.
Solution: given the current scenario, you can think of blocking the morning time. Your morning routines are consistent. It may not help you with many goals, but you can still set one goal and achieve it with consistency.
f) Scientific Method
Scientific method is about thinking in a scientific way and using critical thinking methods.
In this decision model you think in terms of steps:
1. Ask question
2. Research topic
3. Make hypothesis
4. Experiment
5. Analyze/conclude
6. Communicate results
Let’s say you have a decision to make about adding new vertical to your business. Your business is about energy related products but now you want to expand your business and explore fintech options to offer financial products.
How do you do that?
You follow the steps:
• Ask specific question:
How feasible will it be to expand fintech vertical?
• Research topic:
Conduct research on launching a fintech vertical under your energy wing.
• Hypothesis:
Based on the research create a statement. Let’s say you have conducted the research and it has directed you towards following statement:
‘Having fintech vertical under energy wing will positively influence our energy business.’
• Experiment:
Test the hypothesis and launch a financial product prototype on your energy business website or app. The idea is to check the response of your customers and your strategic business partners.
If customer response is great and your strategic business partners are also coming to you with business ideas or future partnerships. The notion suggests that it will increase your business engagement with potential market stakeholders, which is a good omen.
• Analyze & conclude:
You have the results from experiments, you have concluded that it indeed has been a positive experience so far. Quantify the customer and partnership responses.
• Communicate results:
After concluding, share the results with relevant stakeholders that you think might be part of this new venture in future. It is always beneficial.
g) Decision Matrix
Decision matrix is about creating a matrix of two or more than two choices, to make effective decision.
In this method you assign each choice a weight of preference and then give them scores on the basis of factors.
For example:
You have to choose between two hand-bags and you are confused which one to purchase.
First, decide on the factors on the basis of which you are most likely to make purchase decision.
Then assign weights of importance to each factor. As in how much those factors matter to you. The more they matter, the higher the weightage, the less they matter, the less will be the weightage number.
5 being the highest number and 1 being the lowest.
This how decision matrix will be made.
Let’s say for you, the quality of bag matters the most and then the spaciousness. Therefore, you assign ‘5’ weightage to quality and ‘4’ weightage to spaciousness, for the handbag purchase decision that you would want to make.
Weights has been assigned. Now you will rate each bag on the basis of its quality and spaciousness.
You rate:
Bag-1 quality ‘4’
Bag-1 spaciousness ‘3’
Bag-2 quality ‘3’
Bag-2 spaciousness ‘4’
The next step is to multiply the weights with the scores.
Now you add up all the scores.
As per scores, you should buy bag 1. As it is the highest number you have gained after all the calculation.
Summary of mental models:
• First principles Thinking:
Find the basic and most crucial aspects.
• Backward chaining:
Think about the decision to be made, ‘Why do I really want to do this’?
• Second order thinking:
Think about consequences before taking any action.
• Hard choice:
Categorize your decision into levels.
• Inversion principle:
Think about the end goal and list all the possible hindrances that might keep you from achieving the goal.
• Scientific method:
Follow scientific steps for making decisions.
• Decision matrix:
Create a table for two or more choices, decide factors that may affect your choice, assign them weightage, rate the choices, multiply weightage with choices and add all the scores.
It is not necessary to use these mental models for making decisions. The idea of using these mental models is to think clearly before making a certain important decision. It ensures, that you have thought of various aspects and have thought clearly and rationally before making the decision.
How it makes difference in lives of People
Mental models help people in understanding life. It guides their behavior and perception. When people learn new mental models, their way of seeing the world changes and assists them in making wiser choices and act decisively.
Development of these mental models is crucial for people who wants to think rationally, effectively and clearly.
Conclusion
People understand world through thought processes that they have developed over time based on their experiences. They form beliefs and create ideas to solve real world problems. Some people are successful whilst others are not. The difference is availability of variety of mental models to think clearly and solve the problems present.
In order for it to be successful, experts are required to learn mental models from variety of fields to create a distinctive web of knowledge, which comes in handy when they are presented with a problem in their own field. It helps them to connect dots and create innovative solutions. They understand the basic rule, the more mental models in toolbox, the better.
There are countless mental models and each individual perceive every single mental model with different understanding. It helps them see world through different lens. It makes them wiser, and they make better choices.
Resources:
‘Mental Models’ on Interaction Design Foundation (2020).
‘Mental Models: The Best Way to Make Intelligent Decisions (~100 Models Explained)’ on Fs (2023).
‘7 Mental Models for Decision Making to Ditch Uncertainty’ by Ivaylo Durmonski on Durmonski (2022).
