Building a multidiscplinary team: lessons from financial regulation

We describe the evolution and development of the Financial Conduct Authority’s Behavioral Economics and Data Science Unit from its origins in 2011 through 2019. We outline three distinct phases in our work: An initial proof-of-concept phase prior to launching the unit; expanding the use of randomized controlled trials and beginning multidisciplinary work; and extending our methodological pallet to solve problems more effectively, by incorporating qualitative as well as quantitative techniques. In discussing these three phases, we highlight five lessons for others thinking about establishing Behavioral Science teams: (i) The pivotal role of vision in driving forward a behavioral team; (ii) the benefits of building a multidisciplinary team; (iii) the value in iteration, constructive self-criticism, and embracing failures; (iv) the need for practical understanding of how to pull institutional levers to get things done; and, (v) the payoff of aligning incentives with academics and embedding them into projects. Many of the problems and projects we reference are related to financial behavior and financial regulation, however, our experience and these lessons are relevant to other teams, organizations, and contexts.