Hide table of contents

I'm interested in bringing forecasting techniques to my company, like Danny Hernandez described in HBR. If anyone has experience doing this, how did it play out and what were the key obstacles?

New Answer
New Comment


1 Answers sorted by

Our venture capital fund (alt protein) recently did training into forecasting and decision making (based on approach from Superforecasting, How to Decide, The Scout mindset).

As a result, we're currently revamping our evaluation process to attempt to reduce bias and explicitly think in terms of scenarios, probabilities and expected value return multiples, rather than our old approach of guesstimating the likely outcome and scoring around that single scenario (we're also participating in some forecasting exercises to help us understand possible paths for the technology in more detail)

So far the key obstacles are to figure out how to adopt these new techniques without spending vastly more time in analysis, leaving us less time on generating dealflow and also making founders wait longer for feedback and go/no go decisions.

Another practical challenge is the actual nuts and bolts of how to take various expert inputs and then actually come up with the predictions (Superforecasting doesn't really go into the details).

Hi Simon, 

May I ask who provided the forecasting training? My team is also interested in training to reduce bias and think more probabilistically. We've all read Superforecasting and Scout Mindset, etc. Ready to make it practical!

1
Simon Newstead
Sure, we self studied from an agenda that the two of us put together: - those 3 books - some clearer thinking modules (great resource) - practicing forecasting on metaculus - reading some other articles and interviews Here's a doc with all the details (also contains book notes if it's of info)
Comments3
Sorted by Click to highlight new comments since:

You might be interested in this talk from Dan Schwarz (current Metaculus CTO, former Google employee) on "Prediction Markets at Google, and Lessons in Corporate Forecasting": 

 

It gives a reasonably thorough history of prediction markets at Google, and some insight into the use of forecasting at Google in his time there. Probably my main takeaway from watching was the belief in the importance of forecasting questions resolving quickly (the section at 32:17) in producing high quality forecasters (who can learn from the fast feedback). It sounds very plausible to me but I'm not aware of anything in the forecasting literature that conclusively shows it to be the case.

Related, so I allow myself to interject here: I want to push predictions market in my company. Is there a private solution for Prediction Markets?

I searched but didn't find any.

Thanks!

Curated and popular this week
 ·  · 23m read
 · 
Or on the types of prioritization, their strengths, pitfalls, and how EA should balance them   The cause prioritization landscape in EA is changing. Prominent groups have shut down, others have been founded, and everyone is trying to figure out how to prepare for AI. This is the first in a series of posts examining the state of cause prioritization and proposing strategies for moving forward.   Executive Summary * Performing prioritization work has been one of the main tasks, and arguably achievements, of EA. * We highlight three types of prioritization: Cause Prioritization, Within-Cause (Intervention) Prioritization, and Cross-Cause (Intervention) Prioritization. * We ask how much of EA prioritization work falls in each of these categories: * Our estimates suggest that, for the organizations we investigated, the current split is 89% within-cause work, 2% cross-cause, and 9% cause prioritization. * We then explore strengths and potential pitfalls of each level: * Cause prioritization offers a big-picture view for identifying pressing problems but can fail to capture the practical nuances that often determine real-world success. * Within-cause prioritization focuses on a narrower set of interventions with deeper more specialised analysis but risks missing higher-impact alternatives elsewhere. * Cross-cause prioritization broadens the scope to find synergies and the potential for greater impact, yet demands complex assumptions and compromises on measurement. * See the Summary Table below to view the considerations. * We encourage reflection and future work on what the best ways of prioritizing are and how EA should allocate resources between the three types. * With this in mind, we outline eight cruxes that sketch what factors could favor some types over others. * We also suggest some potential next steps aimed at refining our approach to prioritization by exploring variance, value of information, tractability, and the
 ·  · 5m read
 · 
[Cross-posted from my Substack here] If you spend time with people trying to change the world, you’ll come to an interesting conundrum: Various advocacy groups reference previous successful social movements as to why their chosen strategy is the most important one. Yet, these groups often follow wildly different strategies from each other to achieve social change. So, which one of them is right? The answer is all of them and none of them. This is because many people use research and historical movements to justify their pre-existing beliefs about how social change happens. Simply, you can find a case study to fit most plausible theories of how social change happens. For example, the groups might say: * Repeated nonviolent disruption is the key to social change, citing the Freedom Riders from the civil rights Movement or Act Up! from the gay rights movement. * Technological progress is what drives improvements in the human condition if you consider the development of the contraceptive pill funded by Katharine McCormick. * Organising and base-building is how change happens, as inspired by Ella Baker, the NAACP or Cesar Chavez from the United Workers Movement. * Insider advocacy is the real secret of social movements – look no further than how influential the Leadership Conference on Civil Rights was in passing the Civil Rights Acts of 1960 & 1964. * Democratic participation is the backbone of social change – just look at how Ireland lifted a ban on abortion via a Citizen’s Assembly. * And so on… To paint this picture, we can see this in action below: Source: Just Stop Oil which focuses on…civil resistance and disruption Source: The Civic Power Fund which focuses on… local organising What do we take away from all this? In my mind, a few key things: 1. Many different approaches have worked in changing the world so we should be humble and not assume we are doing The Most Important Thing 2. The case studies we focus on are likely confirmation bias, where
 ·  · 1m read
 · 
I wanted to share a small but important challenge I've encountered as a student engaging with Effective Altruism from a lower-income country (Nigeria), and invite thoughts or suggestions from the community. Recently, I tried to make a one-time donation to one of the EA-aligned charities listed on the Giving What We Can platform. However, I discovered that I could not donate an amount less than $5. While this might seem like a minor limit for many, for someone like me — a student without a steady income or job, $5 is a significant amount. To provide some context: According to Numbeo, the average monthly income of a Nigerian worker is around $130–$150, and students often rely on even less — sometimes just $20–$50 per month for all expenses. For many students here, having $5 "lying around" isn't common at all; it could represent a week's worth of meals or transportation. I personally want to make small, one-time donations whenever I can, rather than commit to a recurring pledge like the 10% Giving What We Can pledge, which isn't feasible for me right now. I also want to encourage members of my local EA group, who are in similar financial situations, to practice giving through small but meaningful donations. In light of this, I would like to: * Recommend that Giving What We Can (and similar platforms) consider allowing smaller minimum donation amounts to make giving more accessible to students and people in lower-income countries. * Suggest that more organizations be added to the platform, to give donors a wider range of causes they can support with their small contributions. Uncertainties: * Are there alternative platforms or methods that allow very small one-time donations to EA-aligned charities? * Is there a reason behind the $5 minimum that I'm unaware of, and could it be adjusted to be more inclusive? I strongly believe that cultivating a habit of giving, even with small amounts, helps build a long-term culture of altruism — and it would