The Halo Effect - Why some people make wrong career or business decisions

You might have heard the saying 'don't make a promise when you're excited and don't make a decision when you're upset'. This is because emotions are not reliable, especially when it comes to decision making. Infact, you could be so vulnerable to your emotions that they could cause you to make biased decisions without you realising. Psychologists call this concept the Halo effect. This is a theory which highlights that your perception or decision making process about a person is likely to be biased if you establish some commonality or find some likeable traits in that person. This model is seen as the secret behind the successes of many romantic dates, the closing of a prospective client or even affect the amount of opportunities for progression within an organisation.
Employment interviews are a good example of how this theory applies within a professional context. Imagine if an interviewer realises that they went to the same school or university with a jobseeker they were interviewing. Or that they grew up in the same neighbourhood and have several mutual friends. Although this mutual information doesn't validate the suitability of the person for the job in anyway, it is very likely that the judgement of the interviewer could be skewed by this new information about the jobseeker. This is why many employers have a strict policy of having more than one person in the interview process. Some even have a structured rating system for interviews in order to avoid the hiring decision being biased.
The halo effect doesn't just affect interviewers; it could also influence job-seekers especially when they have several options to choose from. For example, if you apply for a job based on personal recommendation, your judgement about the suitability of the job might be limited. In other words, you might miss any negative signs about the opportunity or employer during the interview process, if you were already given a good impression by the referrer.








