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What Business Can Learn from Open Source

dtolton writes "Paul Graham has written a fantastic article on what businesses can learn from Open Source. He covers why Amateurs can outperform Professionals, why the home is a better work environment than the office, and how bottom up ideas are better than top down. Finally he ties these lessons into the business relationship." Derived from a talk at Oscon 2005. From the article: "...the biggest thing business has to learn from open source is not about Linux or Firefox, but about the forces that produced them. Ultimately these will affect a lot more than what software you use. We may be able to get a fix on these underlying forces by triangulating from open source and blogging. As you've probably noticed, they have a lot in common."

33 of 245 comments (clear)

  1. Home ! Office by Gothmolly · · Score: 5, Insightful

    The problem with the "I can be more productive at home" argument is that it blurs still further the distinction between work and personal life. IT people are already subject to odd-hours, psuedo or real on-call schedules, VPN access "just to check your email", etc.
    People need to stop this trend - its not healthy. When I walk out the door of my job, I'm done. They pay me for 40 hours a week, and they get it. No more. If I work an extra 4 hours a week at home, I just gave myself a 10% pay cut.

    --
    I want to delete my account but Slashdot doesn't allow it.
    1. Re:Home ! Office by Freexe · · Score: 5, Insightful

      If you work an extra 4 hours a week, but safe $100 and 5-10 hours a week on travel. Plus get to see your family during the day, cook yourself a decent meal at lunch time and be in a more relaxed atmosphere, do you still class that as a pay cut?

      --
      "In a time of universal deceit - telling the truth is a revolutionary act." - George Orwell
    2. Re:Home ! Office by cazzazullu · · Score: 4, Interesting

      Well, as this may be true for you, I just like my job. I can wake up in the morning before my wakeup alarm starts, and jump out of bed, thinking "wow I wish I already was at my desk, so I can continue what I was doing yesterday". Yes I have flexible hours and can start whenever I want. Yes I work too much each and every day. No I don't get paid more because of this. But most important: No I don't mind doing this, I even like it. But I must be an exception...

      --
      int main(void) {while(1) fork(); return 0;}
    3. Re:Home ! Office by turlingdrome · · Score: 4, Insightful

      Quality of life has to be taken into consideration as part of compensation. If your quality of life improves significantly as a result of not having to commute into an office and play office politics, this can be worth a good sum of money to many people.

    4. Re:Home ! Office by samjam · · Score: 4, Insightful

      You raise a good point.

      Some bosses want "work", some bosses want "results".

      My boss wants "results" and gets them. They are ingenious results and he wouldn't get these from someone whose qualification was merely being willing to work 60 hours a week for the same pay.

      I get my results Feynman style by thinking, walking around and trying things out, by reading slashdot and freshmeat and seeing whats going on.

      I work for a small company, I think it makes a difference.

      Sam

    5. Re:Home ! Office by SatanicPuppy · · Score: 3, Interesting

      It's crap anyway. When I work at home, I'm not as productive as when I'm at the office. If I need to put in more than forty hours, I go back to the office on saturday.

      Anything else, and I end up time sharing between working and fragging...One day I'd get teamspeak confused with my hands-free phone and call my boss a spawn camping n00b lamer, and that would be it.

      I'll tell ya though, I hated being freelance. There was no "at work" and no "off work" there was just work, and everytime I sat in front of the computer it would reproach me.

      --
      ad logicam Claiming a proposition is false because it was presented as the conclusion of a fallacious argument.
    6. Re:Home ! Office by jimbolauski · · Score: 3, Funny

      All I can think of is how Homer worked at home and how well that went, unfortunatly there are people like that in the world. Besides that who wants to get yelled at by their boss and wife in the same hour.

      --
      Knowledge = Power
      P= W/t
      t=Money
      Money = Work/Knowledge so the less you know the more you make
    7. Re:Home ! Office by tclark · · Score: 3, Interesting

      I used to go to the office on Saturday too. It was my most productive time, since there were no interupptions from coworkers.

      Now I work from home, and every day is like that.

    8. Re:Home ! Office by An+Onerous+Coward · · Score: 3, Insightful

      You seriously didn't have time to read the article, did you? The part about working from home was just one part of a much larger solution, and without bringing the rest of it along, working at home just takes you from a bad face-to-face relationship to a bad long-distance relationship.

      The problem is, you have a job where you're doing things you wouldn't do unless you were paid for it. Because of this, employers try to make you efficient by setting up your workplace so as to make it unconducive for anything enjoyable. People hold meetings so that they can look busy. Productivity plummets.

      Yes, it's unhealthy when work starts creeping into non-work time. But that's because most people consider their jobs to be soul-sucking drudgery. If you really enjoy what you do, you don't have to draw a sharp, 40 hour line in the sand, or consider a few extra hours to be time deducted from your real life.

      Anyways, the point is that the article isn't just suggesting "working from home", but is suggesting a wide variety of options for reworking the currently wasteful and sterile employer/employee relationship into something both more productive and fulfilling for both.

      --

      You want the truthiness? You can't handle the truthiness!

    9. Re:Home ! Office by Malyven · · Score: 3, Insightful

      If your wife has never yelled at you over the phone in the office you obviously haven't been married that long. All this would do is reverse it, and I don't know about you but I would much rather look at my wife while she is yelling at me and my boss is yelling in the phone than vice versa.

  2. Open Source == Bored technical professionals by bessel · · Score: 5, Interesting

    One thing that businesses can learn from open source is that properly motivated employees can produce great things. Here we have a group of technical professionals working for free to produce great software. Employers on the other hand, have a difficult time motivating people who they pay. Motivation == productivity.

  3. Darwinian... by Vo0k · · Score: 3, Funny

    Yes, the best blogs spreat, the worse ones get forgotten. But the worst ones can cost you a breakfast.

    --
    Anagram("United States of America") == "Dine out, taste a Mac, fries"
  4. Motivation is the key by Escribano · · Score: 3, Interesting

    There'sa lot of people in the open source community who work with motivation and fun. That's the key in my opinion.

    If the great industries care about his employees, they should be a lot more productive

    --
    Codexcast, the first Spanish podcast in the world made in High-Resolution parchment. (I think so :p)
  5. Put more accurately... by Dasher42 · · Score: 5, Insightful

    why Amateurs can outperform Professionals

    I think the article and the facts on the ground would justify rephrasing this as "why professional programmers get better results on their free time, without pointyhairs, committees, and marketing droids in their way".

    1. Re:Put more accurately... by Shotgun · · Score: 3, Insightful

      Amateurs 'can' always outperform Professionals.

      The Amateur only has to make a product.
      The Professional also has to make a living.

      --
      Aah, change is good. -- Rafiki
      Yeah, but it ain't easy. -- Simba
  6. Re:Big assumption by SolarCanine · · Score: 3, Insightful

    Actually, one of the most liberal-minded companies I've ever done work for had under 100 employees. But they understood that allowing me some flexibility paid off in the long run. And, to be quite honest, I ended up putting in more than 40 hours a week because of it. Overall, I'd say they came out way ahead compared to trying to turn me into one of the masses who feel like watching clocks and rushing the parking lot are the norm.

  7. Re:Blogging similar to open source? by aussie_a · · Score: 3, Funny

    WTF!? BLOG!? I hate that word. It's just stupid.

    And yet it's the most common word in your entire post.

    Will this get a Funny? Or is the mod-system still broken?

  8. Startups "won't hurt as much?" by DogDude · · Score: 5, Interesting

    This guy is really insulting. He says that failing your own business "won't hurt as much." as having a real job? To say that investing every dime you own in a business, and spending every day for several years (most businesses fold in the 1-3 year range), only to see it fail "won't hurt as much" as working as a job that may not be 100% rewarding is pure bullshit.
    Actually, I'd say it's this cavalier attitude about business that causes many startups to fail.

    It sounds like he's suggesting that developers work at home, develop open source, and pay their rent with what? fairy dust? good will?

    Another thing that keeps people away from starting startups is the risk. Someone with kids and a mortgage should think twice before doing it. But most young hackers have neither.

    And as the example of open source and blogging suggests, you'll enjoy it more, even if you fail. You'll be working on your own thing, instead of going to some office and doing what you're told. There may be more pain in your own company, but it won't hurt as much.

    --
    I don't respond to AC's.
    1. Re:Startups "won't hurt as much?" by pjkundert · · Score: 4, Insightful
      I think you perhaps misunderstand Mr. Graham. Yes, failing at your own business won't hurt as much as being a failure, working at a job.

      As someone who invested 6 years, and about $250,000 worth of lost earning potential into a business, I can honestly say that I agree with him, 100%.

      I wouldn't trade my experience running that business for that $250,000, if you tried to give me the cash. Now that I am back at a programming "Job", I treat it completely differently than I did before I had a business. I find that I worry much less, too -- once you've come close to living in a gutter, there's not much that is "threatening" about a boss!

      He does say that someone with Kids and a Mortgage should think twice. So, all in all, Mr. Graham's article was very even-handed in its comparison of Jobs vs. Start-ups.

      --
      -- -pjk Perry Kundert perry@kundert.ca http://kundert.2y.net
  9. Don't count the pros out. by DingerX · · Score: 4, Insightful

    Yeah, but the best open source products have people involved who are paid for their time in working on it.

    Amateurs are great, and amateur drive is an amazing thing -- it's enabled me to produce software of a quality and sophistication that a "professional operation" couldn't match for anywhere near the price.

    But the "great advantage" of amateurs -- they work better at projects they love, without bosses -- is also their great shortcoming. As a rule, amateurs don't do the crap work. Most amateurs, being their own bosses, won't do, or do inadequately the pain-in-the-ass parts of the job. Check grammar on a weblog? Make the GUI useful and intuitive to an average user? Hang around and get the damn thing finished? Ensure that your startup has a legally sound foundation?

    In short, discipline is something amateurs as a group lack, and that's something some of those fancy degrees teach : to achieve something, you can't just do the stuff you like.

    As far as meetings go, well sure, meetings are to be abhorred by any sensible person. That's also why in Universities (where you get your fancy degrees) we teach people to break up in arbitrary small groups and work on a project. The smart ones figure out pretty quick that small group work sucks and determine to avoid such situations, or make them as functional as possible.

    And well, yeah, it sucks being a wage slave, but most jobs are just that: jobs, and for lazy-ass amateurs like me to live our lives, we need an infrastructure of people who work for a living.

    1. Re:Don't count the pros out. by RichDice · · Score: 3, Interesting

      As far as meetings go, well sure, meetings are to be abhorred by any sensible person. That's also why in Universities (where you get your fancy degrees) we teach people to break up in arbitrary small groups and work on a project. The smart ones figure out pretty quick that small group work sucks and determine to avoid such situations, or make them as functional as possible.

      Any kind of work can suck. Therefore, group project work can suck. But it can also rock. While there are some random elements nudging such work on the sucks/rocks continuum, I think the majority of it is systematic. That is, it sucks or rocks in direct proportion to your own actions within such groups.

      Notice that I didn't say "in direct proportion to the actions of all the people within such groups." You -- each and every individual -- has the capability to turn pretty much any group into a functioning group.

      The fact of the matter is that most people are poor at interacting in group work -- that is, maximizing their own potential within the group, and maximizing the potential of the group.

      Everyone pines to end up on the team in which, by luck, everyone gets along well and works hard and competently and things just end up going great. (I think this usually happens in the context of self-selected groups with high barriers to entry; I'll give an example of this that I've seen recently later.) These teams happen, but rarely. You're a sucker to wait for such things to happen. Make the team work.

      To try to put this all in context, I'll provide a few examples here that I've experienced in the realms of university, working life and Open Source projects, and also tag on a few academic references at the bottom.

      My undergraduate degree was astronomy. (Undergraduate astronomy is basically an amalgam of compsci, physics and applied maths.) Group work was mandatory in that program simply because the problem sets (with about 2 due a week) were far too big and difficult for any of us to regularly be able to individually complete. So we did a lot of group meetings to work out the problems. Sometimes they were "sharing" meetings, where we'd each get a question or two on our own and bring them all together in the end, hopefully with enough time left over for each to present a mini-lecture on the thought processes that led to the solution (without which you'd be pretty much toast when the same kind of question appeared on an exam), but occasionally a problem would be too difficult for any of us to solve individually and we'd have to group-work a single problem together. (Or maybe get it from the notes of someone a year or two ahead of us. :-) ) This worked out pretty well, but this is probably an example of people who are naturally hard working and intelligent self-selecting themselves into the group. (You don't take undergrad astrononmy by accident, after all.)

      Fast forward 7 years... and now I'm in a top-tier MBA program. The differences between the programs are enormous. There are 330 people in my year, not 8. People come from a wide variety of backgrounds and there is a wide variety of skills, both kinds of skill and amounts of skill. Group work is built into the program at a dozen different levels rather than just being something that happens "by accident." We don't have 4 years to get to know each other and learn how to work with each other (and build up levels of trust and game-theoretic dynamics): some groups are meant to last for several months, others for several hours. And guess what -- they all worked out great. Sure, there was an occasional slacker (be it for reasons of disposition, or because they had a death in the family so they had to run off for personal reasons, thus leaving the rest of us to pick up their slack), but it didn't happen all that often and it was never anything that the rest of us couldn't reasonably absorb. With pretty much every group project my teams managed to find a way to make things work ou

  10. open source != home hackers by rapiddescent · · Score: 4, Interesting
    I don't know why people (such as in TFA) presume that all open source coders are amateur home coders. Take a look through at a kernel changelog and you'll see many email addresses of individuals at IBM, HP, SGI, SuSE, Redhat, Intel, Nokia to name just organisations I recognise in the first 15% of the 2.6.11 kernel changelog. Commercial organisations recognise that by contributing to OSS projects they are enhancing their reputation, selling orthoganal products and retaining key staff for the benefit of the organisation.

    I think the important part of OSS is that teams are built on individuals' technical ability rather than race, creed, colour or indeed paymaster.

    rd

  11. code permanence is the key by RealityProphet · · Score: 4, Insightful

    It is not that open source software can outperform professionally-written software. It is most often the case that a piece of nice commercial software is written and the open source community tries to replicate it for free. The reason that they can come up with so many quality, open source alternatives is because they have no timeline. Nobody bats an eye that it took the open source community 5 years to come up with a competitor to IE6. Nobody cares about that (it's free, after all, quit complaining!).

    Rather, it is the case that code that is well written, only needs to be written once. Take the gecko rendering engine, for instance. How many open source browsers use it? And once a quality piece of core software is written, it doesn't need to be written again! So, it may take the open source community years to come up with a solution, but once it's there, it isn't going anywhere.

    You can see this happening with kde and gnome, too. They aren't quite as user-friendly or as stable as their commercial counterparts, but once they get there, unless the desktop paradigm changes, then the OSS community will have their free desktop alternative.

  12. Why amateurs outperform professionals by Linus+Torvaalds · · Score: 5, Insightful

    The first reason is that many, many businesses are focused on building what the customers ask for. Clue number one: customers know fuck all about building software. If they were remotely clued in, they wouldn't need to ask somebody else to build it, would they?

    So customers ask for stupid things. That's what makes them customers. The problem arises when the business doesn't care that it's stupid, but builds it for them anyway. Now you have a suboptimal solution that cost lots of money.

    Compare this with the amateurs. They are building it for themselves, so they are qualified on both the problem domain and the software construction. They aren't going to build something stupid because they are going to be the ones using it.

    Then there's the morale. The professionals are fully aware that what they are building is stupid. It's demoralising. They offer sensible solutions instead, but get knocked back with "it's not what the customer asked for". They begin to understand that their job isn't to build good software, it's to spend their time programming, and if the result is somewhat functional when they reach the deadline, that's just a bonus. It's not surprising that they don't really give a shit whether the code is up to scratch or not, because the whole exercise is pointless beyond collecting a paycheck.

    Again, compare with the amateurs. They get satisfaction not only from using the software they wrote (being both users and developers simultaneously), but they get the satisfaction from finding that others appreciate it too. They know they've solved a problem well, and they take pride in their work. People who take pride in their work generally put in more effort.

    If there's anything that businesses can learn from this, it's that they need to be able to say no to customers. To put off deadlines. To say "You know what? This is solving the wrong problem!" and go back to the drawing board with the customers to figure out a better approach. It's only when the professional programmers see that they are actually doing something productive that they'll feel motivated enough to take pride in their work, and feel like they are in an environment where they can contribute actual solutions instead of banging their head against a brick wall.

  13. Naive article by binaryDigit · · Score: 4, Interesting

    His opinion, while interesting, is incredibly naive. It's great that there was recently a posting about the spread between "good" programmers and "average" programmers. Much of what the author talks about represents an incredibly small portion of the overall developer community. While there may be some people that would flourish being given freedom to work from home on a project that they found interesting, the fact is, those types of projects are fairly uncommon (the real challenge is to take the "mundane" project and make it interesting) as is the person who would actually benefit from this. Let's face it, the majority of developers would not see a similar leap in productivity. They might enjoy their lives more, but it certainly would not relate to higher productivity.

    The author mentions that M$ can't motivate its IE programming staff to come out with a "better" browser than FireFox. Well, discounting things like dealing with the codebase you have inherited, lets face it, M$ operates by putting their A Team resources where they perceive they are needed the most. Right now, they kick butt in the browser wars (even against "better" competition), so there isn't a perceived need to "have to come out with something significantly better". OTOH, the FireFox team does nothing but produce a browser (kinda), so of course they HAVE to be better. Would a new browser that was only "just as good", or even "not quite as good" been acceptable for the FF team, obviously not. So to assume that the quality of software coming from both sides has more to do with amateur developers vs non motivated professional developers is simply not looking at the bigger picture.

  14. How Business benefits from Open Source. by mikegi · · Score: 3, Informative
    At Debconf 5 there was a good talk by Bdale Garbee about how Hewlett Packard benefits from Open Source.

    Slides and Video.

  15. Re:Sounds like the attitude of someone... by Anonymous Coward · · Score: 3, Interesting

    Some people live to work.
    Others work to live.

    I learned some time ago that one group has a hard time understanding the motivations of the other.

  16. Distinction between work and personal life by Skinny+Rav · · Score: 5, Interesting

    Distinction between work and personal life is a very fresh concept, connected with capitalism and work for hire. As someone already mentioned it does not exist if you run a restaurant. It doesn't exist if you are a farmer. Hell, it probably doesn't exist if you run any kind of private small-scale businness.

    It didn't exist in pre-capitalism era: families worked together, dined together. Even if you were hired, quite often your brother/sister worked at the same place. Women were taking their babies to work or were gathering together to spin wool or linen, to sew and so on.

    So it seems that this distinction was artificial and caused by a fact that if some people have to be in the same physical location to work and they have to commute - it is more efficient to separate their work time and leisure time. But with introduction of modern communication methods more and more jobs take different trend: work at home, feel comfortable, manage your time yourself, your employer is only interested in results, not means. And this means switch from time based work to task based work - which in fact is a return to natural state.

    Wouldn't you like to spend your day at home, with your family, just retreating to your home office if you need to focus a bit more on work, have a lunch at home with your wife and kids than to commute everyday, order a pizza for lunch, and then spend an hour and a half driving back home? Do you like explaining to your boss that you have to take a day-off because of some reconstruction in your house or something?

    With a laptop I can do my work while laying on my sofa and listening to my favourite music on my home stereo - and that is when I am really productive.

    Cheers

    Raf

  17. Re:Scary by UtucXul · · Score: 5, Insightful
    So far, there are only two companies that will even claim to have made a profit from open source. They are IBM, who may have reason to fudge the numbers, and Red Hat, who claims to have scraped some skin from its teeth. All the others are either losing money or folding.
    Is that really a fair thing to say? Apple has used a ton of open source programs for OSX (even though the final product also contains lots of non-free stuff). And they have made money.

    Google uses Linux which is free to make money. Tivo use Linux (although I don't know if they actually make money. Linksys sells (and I assume does pretty well) products like the WRT54g which run Linux.

    I don't want to go crazy with examples, but the point is that lots of companies make money off of free software and some of them probably even give things back, they just don't always make money the way you expect a software company would.
  18. Paul Graham: Great Hacker, Crappy Economist by Phemur · · Score: 3, Insightful
    While Paul Graham may have incredible hacking skills, his writings about business leave much to be desired.

    In his latest essay, he tries to explain why a Professional will never be as productive as an Amateur because Professionals don't do what they like. Excuse me? So you're saying amateur athletes players are better than people in the NBA/NHL/MLB/NFL because they'll play for free? That's absolutely ridiculous. Professional athletes are more motivated than anyone else. What about people who actually applied for jobs doing work they loved, like me. Not only do I have a job I love, I get paid to do it.

    I'm certain there are people who hate their jobs, and who are very unproductive. But has Paul ever considered the fact that maybe they were unmotivated to begin with, and that the reason they took that job was because they were too unmotivated to get anything else?

    A previous posted stated that motivation is what drives productivity. I couldn't agree more. Money has absolutely nothing to do with productivity, it's all about motivation.

    Phemur

  19. Re:Why you're full of crap by Linus+Torvaalds · · Score: 3, Insightful

    Customers often times have no clue as to what they need (and therefore the requirements that the design and implementation flow from are flawed/wrong) and this can caues issues. However, this has less of an effect on whether or not the code is "up to scratch".

    Perhaps you misunderstand me. I'm not saying that bad requirements directly cause bad code. I'm saying that programmers who know they are building the wrong thing are going to find it difficult to care enough to create high-quality code.

  20. Murphy's Law and professional coders by suitepotato · · Score: 3, Interesting

    If there's anything business tends to learn, for a combination of reasons which do include constant onslaught from those who are reflexively anti-business (attack and your enemy defends, it is easier to influence friends than defeat enemies), it is to do things as cheaply as possible.

    Coders have as much right as anyone else to be paid for their work. Oh, but here comes Free Open Source Software. Legions of geeks willing to write all sorts of code you find useful and you can use it in your business. They want you to. Who needs to pay coders' relatively large salaries now? Now you have a cudgel in the fight against giving the coders the pay they want and feel they deserve. Why pay $60K/year to someone writing in-house apps when you can pay some geek who couldn't maintain a job at Dairy Queen but who has really good Linux skills half that?

    THAT is what business learns from FOSS. And all OSS is FOSS in the minds of the majority of the OSS using and writing world. It certainly is in business. A way just needs to be found to insure that is is FOSS.

    The socialistic and chintzy anti-corporate "free, free, free" brigades and the corporate "closed source if we can help it, open source if we pay nothing" people need to call a truce and establish a way that coding can be open to future learning from it without denying fair IP to anyone or making it hard to earn money from your labors or for those who are not in OSS. Corporations will always make money. If it is not handled right, then they will be the only ones making money and those doing the programming will make little to none. All because of blind fanaticism, inability to see the forest for the trees, and unwillingness to do what is needed in the way of compromise and different approaches to the conflict.

    Not for nothing my day job isn't programming or supporting same anymore.

    --
    If my grammar and spelling are off, I am [distracted/tired/careless] (take your pick)
  21. "the home is a better work environment" by xxxJonBoyxxx · · Score: 3, Insightful
    "the home is a better work environment than the office"

    The author must not have a wife or kids.