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Toward the Open Company

Arto Stimms writes "The author of the e text editor is using the principles of open source to transform his company into an Open Company. Not only is he releasing the source, the company itself becomes totally open: no concept of bosses or employees. Anyone can join in at any time, doing whatever task they find interesting, for whatever time they find appropriate. This is in service of the idea of 'the real freedom zero': the freedom to decide for yourself what you want to work on."

62 of 272 comments (clear)

  1. Just like a closed company... by Anonymous Coward · · Score: 5, Funny

    ...but without the paycheck.

    1. Re:Just like a closed company... by megamerican · · Score: 4, Interesting

      However, you can fire yourself and then go collect unemployment.

      --
      If you have something that you dont want anyone to know, maybe you shouldnt be doing it in the first place -Eric Schmidt
    2. Re:Just like a closed company... by commodore64_love · · Score: 2, Interesting

      No somebody already tried that (quit his own company after the economy went to ____), but the government turned him down. He complained because he had been paying unemployment tax for all those years, but was barred from getting it when he needed it.

      --
      "I disapprove of what you say, but I will defend to the death your right to say it." - historian Evelyn Beatrice Hall
    3. Re:Just like a closed company... by MeanMF · · Score: 2, Insightful

      Same in the US.. But if he's running his own company, it's impossible for him to get fired. So why should he have to pay unemployment insurance?

    4. Re:Just like a closed company... by Zero__Kelvin · · Score: 5, Interesting

      "At least in Canada, you don't get unemployment insurance if you quit, it's only for people who are laid off."

      "Same in the US."

      Generalizations are always a bad idea! (it's funny; think about it.)

      In Massachusetts you can quit and still collect under certain circumstances, though you may need to go for an appeal. I have done it. In my case my job responsibilities changed drastically . I explained to the appeals officer that they were trying the equivalent of demoting a lawyer to secretary and keeping the title (the new boss was afraid of technology and wanted to do all the testing manually, and I was in charge of SQA at the time). He understood that even with the same title and pay, I would still only have the experience of a secretary to show on my resume for my efforts. Case closed. I got approved via snail mail the next day !

      The best part was wiping the smile off the face of the HR moron who told me he loves to go to appeals and I don't have a chance of winning because he does it all of the time. No I take that back. The best part was explaining to one of the three lawyers that he brought with him to intimidate me that it wasn't as court of law, and he couldn't object. It's like the Visa (Mastercard?) commercial:

      Winning the case: 26 months of income if needed.
      Watching the way the lawyer was on the verge of tears of anger: priceless ! ;-)

      --
      Guns don't kill people; Physics kills people! - John Lithgow as Dick Solomon on Third Rock From The Sun
    5. Re:Just like a closed company... by GNU(slash)Nickname · · Score: 2, Interesting

      Same in the US.. But if he's running his own company, it's impossible for him to get fired. So why should he have to pay unemployment insurance?

      In Canada, he wouldn't have to pay, and the company wouldn't have to pay the employer's portion either.

    6. Re:Just like a closed company... by Lord+Bitman · · Score: 2, Interesting

      The point is he was basically fired and immediately offered a re-hire at a much lower and unrelated position (though with the same rate of pay). It was his boss, not him, trying to game the system by doing this through a "change in responsibilities" rather than actually firing the staff he didn't want and hiring the staff he did want.
      Sure, he would receive the /money/ from his employer, but everything else he took the job for (a snazzy resume, ability to use his skills, etc) was taken away.

      --
      -- 'The' Lord and Master Bitman On High, Master Of All
    7. Re:Just like a closed company... by v1z · · Score: 2, Informative

      Erm, from tfa:

      "3rd step: Compensating Participants

      All income in the company (minus operating expenses), will be passed through the trust metric and distributed to participants."

      So, no ... not "without the paycheck". Without the job security, the pension plan, the medical coverage -- true. But in theory if operating costs are low enough the average worker should be able to make more than in any other reward-model.

      Making the (not insignificant) assumption that the company is actually profitable.

  2. I don't think it will work... by Thelasko · · Score: 4, Interesting

    This is the kind of thinking that made the hippie commune into the corporate juggernaut it is today. By "corporate juggernaut" I mean, virtually extinct.

    The best "Open" corporate structure I've ever head of was a company that had a policy where no person could make more than seven times as much money as any other person in the company.

    --
    One of our competitors trademarked the term "hypothesis". From now on, we will call them "boneheaded ideas".
    1. Re:I don't think it will work... by Thelasko · · Score: 2, Interesting

      When Steve Jobs started Next Computers, there were only two salary levels. Of course, it didn't last very long.

      If the leaders of the company are corrupt, there are many ways to get around these types of corporate rules. The first method that comes to mind is by creating an Enron style shell corporation. It's very difficult to create such a transparent corporate environment and keep it that way. However, for every Next, there is a Berkshire Hathaway, where the CEO makes a mere $100k/year.

      --
      One of our competitors trademarked the term "hypothesis". From now on, we will call them "boneheaded ideas".
    2. Re:I don't think it will work... by mrlibertarian · · Score: 5, Insightful

      ...a policy where no person could make more than seven times as much money as any other person in the company.

      Imagine two goods, good A and good B, that are sold on the open market. Good A sells for a price that is eight times greater than good B. Person A was able to produce good A in one day, and person B was able to produce good B in one day. So, on the open market, person A makes eight times more money than person B in the same period of time. That means consumers have judged person A to be eight times more productive than person B, even if person B worked much harder!

      So, if person A and person B happen to be working for the same company, why shouldn't their boss pay person A eight times more than person B? Why should their boss come up with some arbitrary limit?

    3. Re:I don't think it will work... by Aladrin · · Score: 4, Insightful

      If that were the case, the company should seriously think about producing more of good A and less of good B.

      I get that it's a hypothetical, but it's not realistic. You're trying to force a choice when that choice doesn't really need to be made... There are other options.

      --
      "If you make people think they're thinking, they'll love you; But if you really make them think, they'll hate you." - DM
    4. Re:I don't think it will work... by JoeMerchant · · Score: 4, Interesting

      The best "Open" corporate structure I've ever head of was a company that had a policy where no person could make more than seven times as much money as any other person in the company.

      Ben & Jerry tried that, gave it up after a few years... nobody wants to buy $23/quart ice cream and they just couldn't get competent executive management to stick around at 7x the salary of cost competitive labor.

    5. Re:I don't think it will work... by Esc7 · · Score: 3, Interesting

      I know by your handle this is going to fall on deaf ears but:

      Your theoretical example is perfectly logical. Unfortunately I'm having a hard time transferring it to a real world example in my company, or other companies.

      Now if one person made oranges and the other made gold bars it would make perfect sense. But people don't "make" oranges. They pick them. Or they plant them. Or they tell people when to pick them or plant them. Or they supervise people who tell other people when to pick or plant or water them. A little more complicated now right?

      What people produce isn't really goods, it is "work" that is added to things to make them more valuable. Turning a lump of clay into a statue. Turning libraries and code into programs. Turning ore into metal. Turning disparate data into a useful statistical analysis for the rest of the company.

      Unless you're talking about yesteryear artisans and craftsmen, you're going to be hard pressed to find a person who completely produces a good with no help. In fact, some would say the whole point of modern industrialization is that we take complicated things and break them down so we can move any person around and still produce the same good.

      And when the production isn't an assembly line anymore and becomes this complex web of people who do jobs which effects are near impossible to quantify, well I would say hugely differing salaries are not as defensible. Plus having this "artificial" limit tells the employees that if there is a rising tide, it will raise all ships. People like fairness and equality and the feeling that someone gives a damn about you and if this policy accomplishes that, good for them.

    6. Re:I don't think it will work... by alen · · Score: 2, Funny

      very easy to set up, just outsource all the low paying stuff to contractors

    7. Re:I don't think it will work... by Thelasko · · Score: 4, Insightful

      Imagine two goods, good A and good B, that are sold on the open market...

      I've been through the economic allegories hundreds of times before. All of us on Slashdot have. I've read the Wikipedia summary of Atlas Shrugged (sorry, I'm not reading it, too high of an opportunity cost), and have been through several semesters of college economics, accounting, and finance.

      I look around today and say to myself, I could run GM, Lehman Brothers, and AIG, into the ground just as well as anybody. Why shouldn't I get paid the big bucks like those guys? The fact is, they aren't worth what they get paid. There is some sort of flaw in that logic. If Ayn Rand was right, engineers would make more money than CEOs.

      Seven times the minimum salary isn't an "arbitrary limit", the owner of the company I mentioned spent quite a bit of time figuring out that amount. At the time I met the owner of that company he was making $350k and the janitor was making $50k. If the janitor wasn't worth $50k, he would fire him, it's that simple. He told me that the janitor was very good at his job, and had been working for him for many years.

      Policies like that encourage people to be conscientious about their work. It also reduces employee turnover, and hostility between the work force and the management. In the end, the company is more efficient because of it.

      --
      One of our competitors trademarked the term "hypothesis". From now on, we will call them "boneheaded ideas".
    8. Re:I don't think it will work... by Austerity+Empowers · · Score: 4, Insightful

      Taking it farther, people would only wish to be producing good A, until the point where the market for good A drops in price down to where good B and good A have roughly the same margins.

      Treating people as commodities, you have the present situation in north america. Everyone is in a pile on to be "a leader" (by which I mean CEO), to get the top dollar. Very few people want to be the scientists, engineers, accountants, factory workers, janitors, nurses, etc. required to fund that CEO because the wages are low(er). People choose career paths that will lead them there, which often neglect the company fundamentals.

      Because of this problem, we have a shortage of the types of labor we want, but to avoid the unpleasant solution (amongst decision-makers) of paying higher wages based on need, we have are providing an escape valve via globalization strategies. We can back fill exportable jobs via cheaper foreign labor by taking advantage of arbitrage. This further exacerbates the problem locally, by reinforcing the trend to CEO-type positions (and janitorial/nursing, should that prospect look dim).

      In the long run, assuming no armed revolts, it will ultimately balance out. It's clear the time constant required for stability exceeds the lifetime of most of us here on slashdot. A better solution to achieve control sooner is to reduce the discrepancies in pay, and attempt to change our cultural values away from being "the" boss, to being a solid, reliable individual who is an expert in his chosen field.

      We all know that if you have a company of 80k people, and the ceo goes from getting 100M in a year to 0 in a year, it won't make a huge impact to each employee if spread equally ($1.25k/yr), but it may make a huge impact in driving the labor market the way we need it to.

      If CEOs are chosen based on the person with the best capability of leading organizations and making decisions, other factors removed, rather than the person who most wants to make a fortune... I think good things would happen to our labor market and our corporate governance.

      This isn't quite a hippie commune mentality, wages will vary based on need and difficulty in producing qualified individuals. But it will be more stable than the rabid elitist method we currently use.

      The question is how to produce this ideal when the people who have the money and/or authority who traditionally create and profit from a top-down model won't immediately benefit (or in fact would lose out). Since the investment for software projects is very low (particularly open source), it is interesting to see how ideas like these work and how they could be applied to other areas.

    9. Re:I don't think it will work... by JoeMerchant · · Score: 5, Informative

      Once a cornerstone of its socially responsible identity, the company removed its salary cap on the compensation of its highest paid employee in 1994. The company historically limited the salary of its highest paid employee to no more than five times the salary of the lowest paid worker (though the ratio was revised to seven-to-one in 1993). With the removal of the cap, the gap between the highest and lowest paid employee has risen to unprecedented levels. The ratio was an astounding 16-1 in 1998 and is even higher once the current value of unexercised stock options are factored in! Of course, even under the former stringent salary cap, the ratio was misleading for it did not take into account stock options for executives. http://leda.law.harvard.edu/leda/data/236/Patel,_Tupate_-_Paper.html

    10. Re:I don't think it will work... by ClosedSource · · Score: 2, Funny

      You mean Steve Jobs salary and everybody else's.

    11. Re:I don't think it will work... by ClosedSource · · Score: 3, Interesting

      The reason that CEOs get paid more than they are worth is that executive compensation is really a big circle-jerk.

      A CEO of one company is typically a board member of several others. Nobody in the game is motivated to keep salaries in check because they don't want to limit their own.

      In addition, placing a current club member on your board is often required if you want to become a public company.

    12. Re:I don't think it will work... by JoeMerchant · · Score: 2, Interesting

      I consider $250k reasonable for a CEO and $36k reasonable for a factory worker.

      Reasonable, yes. However, if you're CEO of a major international corporation handling bazillions of dollars worth of perishable product and turning better profits than most companies in your sector, you're going to be getting offers much higher than $250k per year, lots of offers.

      Personally, I'd be in favor of capping CEO pay at 7x of the lowest paid employee and allowing him to double that pay in the form of Call options of his choice against company shares. So, if he's making $25K per month, in any given month he can opt to "buy" $50K worth of call options at current market value in lieu of salary (he would have to hold the options to term and then receive their residual value on expiration.) Options are highly volatile, if he does good things for the company valuation he can make quite a bit of money, if he tanks it, he gets nothing. Or, he can just take his $25K per month cash. Make him announce what he's going to do (options vs salary wise) one month before the options are priced. Analysts would have a field day watching the CEO's choices.

    13. Re:I don't think it will work... by ClosedSource · · Score: 2, Insightful

      Are you suggesting that everyone capable of being a good CEO is employed as one already? We have all seen cases where the less qualified have been promoted due to slick self-promotion skills or company politics. Do you really think these factors are less prevalent when it comes to CEO appointments?

      The fact is that there isn't any evidence of a relationship between executive salaries and executive management skills.

    14. Re:I don't think it will work... by CodeBuster · · Score: 2, Insightful

      Why shouldn't I get paid the big bucks like those guys? The fact is, they aren't worth what they get paid. There is some sort of flaw in that logic.

      The world is frequently NOT a logical place because it is populated by many more stupid people making illogical decisions than smart people making intelligent and rational ones. This results in much of the available capital being concentrated, for various reasons having little to do with relative IQ, in the hands of people who are ambitious, corrupt, and ruthless but not necessarily smart. However, it is simplistic to say that because engineers are not the most wealthy members of society Ayn Rand was absolutely wrong.

    15. Re:I don't think it will work... by Thelasko · · Score: 2, Insightful

      you're going to be getting offers much higher than $250k per year, lots of offers.

      There is something to be said for intrinsic motivation. Ideally, Ben and Jerry would have found a qualified CEO that would have the same love of ice cream that they have. I think this would have been a much better option for them. Unfortunately, a person like that is much harder to find.

      --
      One of our competitors trademarked the term "hypothesis". From now on, we will call them "boneheaded ideas".
    16. Re:I don't think it will work... by Atanamis · · Score: 2, Informative

      Seven times the minimum salary isn't an "arbitrary limit", the owner of the company I mentioned spent quite a bit of time figuring out that amount. At the time I met the owner of that company he was making $350k and the janitor was making $50k. If the janitor wasn't worth $50k, he would fire him, it's that simple. He told me that the janitor was very good at his job, and had been working for him for many years.

      What happens when that janitor retires, and new janitorial staff is needed? Does the firm now need to find another janitor worth $50,000, reduce the pay of all their top staff (who are doing excellent work and increasing the profitability of the company), or do without a janitor (forcing people making $100,000 doing highly profitable engineering to take time from their work to clean the bathrooms)? I fully intend to be a business owner in the future, and absolutely plan to tie my employees compensation to their performance and to the company's success. However, an arbitrary tie between the amount I pay my key innovators I would have a hard time replacing and the amount I pay someone to come in and clean the lobby isn't logical.

      Pay should be based on the value of the contribution, the difficulty of replacement, and the demands of the person you want to do the job. If I'm not happy with what I'm being paid, I start looking for a new position. I feel no loyalty to my employer to work for them if they aren't willing to compensate me adequately, just as they feel no loyalty to me if I don't produce enough value for them. If I like my employer, I'll let them know I'd like a raise before quitting or give 2 weeks notice (as a courtesy). If I don't like them, I'll just notify them I won't be working for them starting tomorrow because they aren't paying me enough (I have no long term contract). If they like me, they will tell me areas they'd like me to improve or how they need me to redirect my work from a non-profitable section of the company to something more useful. If they don't care about me (and most companies don't), they'll just let me know they no longer think they need me not to show up the next day.

      Honestly, I really don't understand this attitude of "corporate loyalty" people seem to have. It's like you're a medieval peasant with loyalty to your local noble. The attitude of "noblese oblige" where the upper class acts as father and protector to their people is long dead, if indeed it ever even existed. Workers today have power like never before in history. If you reward good employers with your work and punish bad employers by leaving, the bad employers will go out of business. If you can't find a good employer, save your money and start your own business. If the big CEOs are really as useless as you think, surely you can do better?

      --
      Atanamis
    17. Re:I don't think it will work... by nsrbrake · · Score: 2, Interesting

      It looks to me that you're argument is based on the notion that the two goods A and B have no other cost associated with the production of said goods. Holding on to that, the only thing that separates the two goods must rely on scarcity? (supply and demand) to set the price. Even in that case, I am really curious as to how you can justify person A being paid more than person B...? Education? Experience? Being born in the right place? Cared for and raised by already wealthy individuals? Your claim and question that, person A's good is more valuable than person B's, have no bearing on their rate of pay. What is it that allows for one person to be entitled to more than another given the same effort put into it and ignoring the underlying costs which only affect the end price?

      I find this terribly interesting and encourage anyone who has thoughts and or an opinion on this matter to reply and help clarify what I'm missing. Obviously I'm missing something because mrlibertarian is describing how things currently work, which the vast majority of the world population seem to agree with.

      --

      Bah!
    18. Re:I don't think it will work... by Tubal-Cain · · Score: 3, Funny

      Ideally, Ben and Jerry would have found a qualified CEO that would have the same love of ice cream that they have.

      Yes. We need more qualified 4-year-olds.

    19. Re:I don't think it will work... by Capsaicin · · Score: 2, Interesting

      Imagine two goods, good A and good B, that are sold on the open market. Good A sells for a price that is eight times greater than good B. Person A was able to produce good A in one day, and person B was able to produce good B in one day. So, on the open market, person A makes eight times more money than person B in the same period of time. That means consumers have judged person A to be eight times more productive than person B, even if person B worked much harder!

      Nonesense! Consumers have made no judgment whatsoever about Person A or B's productivity. They have judged Product A to be 8 times as desirable.

      Neither does it follow that Person A "makes eight times more" than Person B. The raw materials, transport and storage costs are significantly higher for Product A, meaning Person A and B earn exactly the same for the same effort over the same amount of time. If they didn't Person B would stop making Product B and make Product A instead this lowering the supply of Product B relative to Product A. This would continue until the same effort over the same time would yield the same profit for producers of Product A and B. We call this the "market mechnanism."

      If it were the case the Product B really were so much less desireable the Product A that it was not possible for equilibrium between the commoditites to be reached then we would have to import Product B from China, India or Bangladesh. We call this "capitalist imperialism." ;)

      --
      Better to be despised for too anxious apprehensions, than ruined by too confident a security. --Edmund Burke
    20. Re:I don't think it will work... by mrlibertarian · · Score: 2, Interesting

      Holding on to that, the only thing that separates the two goods must rely on scarcity? (supply and demand) to set the price

      Price is always determined by supply and demand; cost is irrelevant. If I try to sell you a house, do you care about how much money I spent fixing it up? No, you only care about the end product.

      I am really curious as to how you can justify person A being paid more than person B...?

      Because the market is not a meritocracy. Consumers do not pay producers for working hard, for being highly educated, etc. Consumers pay producers because they value the end product. Often times, the market will look like a meritocracy, because hard work tends to result in more productivity. But it is consumers who decide winners and losers.

      My point is that if you want to run a business that is as profitable as possible, then you should try to pay employees according to how much productivity they add to the company. In other words, if the employee was actually a third-party vendor, how much would you pay them for their product?

      To the extent that you rely on silly rules (e.g. I won't pay Joe more than 7 times what I pay Bob) instead of relying on the market's method of valuation, you will be giving your employees the wrong incentives. That eventually leads to less than optimal productivity for your company as a whole, which hurts your bottom line. And a lower bottom line means that consumers are telling you, through their actions, that they do not value your end product as much. That's not a good thing, IMHO.

  3. sit on my ass by mikey177 · · Score: 2, Interesting

    so i can sit on my ass reading slashdot all day and say that i am contributing to research and development.

    1. Re:sit on my ass by Kell+Bengal · · Score: 4, Funny

      That's disconcertingly close to what I actually do.

      --
      Scientists point out problems, engineers fix them
      altslashdot.org: The future of slashdot.
    2. Re:sit on my ass by stevied · · Score: 2, Interesting

      Sure, but by the model they've outlined, you won't earn anything for it unless other contributors find it valuable.

      And they might. Back in the late 90s, I spent "far too much time" reading and browsing when I should have been coding, but the flip side was that I knew just enough about all sorts of emerging technologies to judge whether it was worth us investing them, and to recommend them to my colleagues. (The running joke became that I knew everything, but actually I knew just enough about a lot of things to know where to go for more information.)

  4. There's already a name for this... by Chris+Missiles · · Score: 3, Informative

    I think the new buzzword for this is "crowdsourcing".

    1. Re:There's already a name for this... by poot_rootbeer · · Score: 4, Insightful

      I think the new buzzword for this is "crowdsourcing".

      I was thinking more along the lines of "abandonware".

      No longer interested in being the sole contributor to your yet-another-editor software project? Send out a press release touting it as a new paradigm in "Open management"!

  5. Cool by Quiet_Desperation · · Score: 5, Funny

    They can invent "Open Bankruptcy" next. Call me when they reach "Open Assets Selloff" by the creditors.

    What? Too cynical? Is that even possible anymore?

  6. Re:Ok, I will join! by Quothz · · Score: 5, Informative

    Oh, you mean this company is not going to pay me and I should work for free?

    Read. The. Fucking. Article.

    No, really.

  7. Bzzzzzzz bzz bzzzzz bzzzz by Quiet_Desperation · · Score: 3, Funny

    Or cloudsourcing. No. Crowdcomputing? Wait... Clouds of crowds sourcing computers?

  8. Re:Seriously.. has no one read Atlas Shrugged by Atlantis-Rising · · Score: 2, Insightful

    Atlas Shrugged is not actually a history book. It's not even a good piece of fiction, and the economics and politics therein are laughable.

    --
    "It is possible to commit no errors and still lose. That is not a weakness. That is life." -Peak Performance
  9. Re:Seriously.. has no one read Atlas Shrugged by Anonymous Coward · · Score: 2, Insightful

    "Atlas Shrugged" is a *history* book? Perhaps you should read it again, this time more carefully.

  10. Have you heard of John Lewis? by Anonymous Coward · · Score: 2, Informative

    The best 'Open' corporate structure I've heard of is the John Lewis Partnership in the UK.

    ALL employees are 'partners', from the shelf stackers in Waitrose to the head honcho of the group. Yes the pay varies, but they all get the same bonus as a percentage of their salary.

    The percentage is announced at the same time across all stores. By all accounts it's a very good place to work.

    -Ben

  11. Re:Ok, I will join! by Red+Flayer · · Score: 3, Insightful
    You should upgrade to DaveV2.0 (I heard the feature set includes RTFA'ing).

    There is a trustrank plan for assigning compensation, which is a little farfetched, IMO. FTA:

    By basing the compensation on continuous rating by your peers, it becomes possible to start out by just participating a bit in your free time, and then gradually, as your ratings increase, spend more and more time on the project.

    The problem is that any kind of trustrank system can be gamed. This would likely degenerate into a core clique that games the system to reward themselves disproportionately -- even if the concept ever got off the ground.

    Never mind the people who make valuable contributions that are unpopular among code contributors (such as marketing, sales, accounting, etc).

    --
    "Trolls they were, but filled with the evil will of their master: a fell race..." -- J.R.R. Tolkien on Olog-hai
  12. Clogged pipes by Anonymous Coward · · Score: 2, Funny

    I bet the have no janitor...

  13. Re:Trust Metrics by YttriumOxide · · Score: 2, Insightful

    Want a glimpse of how this works out? Think about Karma on slashdot or karma on reddit. If you've participated attentively in either of those systems you already know how problematic this will be.

    Honestly, I've seen a lot of people complain about the Karma/moderation system on slashdot, but I've never seen a problem with it. I actually find it works quite well (for me at least). If I'm having a really bad day and write a flamebait sort of post, it'll generally be modded as such. The majority of my posts don't get modded at all, and when I write something that particularly interests people, it tends to get up-modded accordingly.

    It may just be that I've never been targetted by any of those types that downmod based purely on their personal feelings of me personally, but looking at the mods in general on posts, I do tend to agree with them, so clearly it's working in general at least.

    --
    My book about LSD and Self-Discovery
    Also on facebook as: DroppingAcidDaleBewan
  14. Re:Still sounds like a boss by flaming+error · · Score: 2, Insightful

    Yeah, it kind of sounds possible to use trust metrics to distribute the salary. But what kind of trust metrics?

    If he uses his example of advogato, then co-workers would upmod their peers. But I'm not sure that structure creates the right incentives for modders - if I upmod some stranger, he gets a bigger piece of the pie - every upmod I do makes my take smaller. Every downmod makes my piece bigger. And if friends upmod friends, maybe they'll be expecting some kind of reciprocity.

    This "opem source company" is a really interesting idea, but to the extent that trust metrics can be gamed, the concept can be broken.

  15. Re:Trust Metrics by Qzukk · · Score: 2, Insightful

    The most recurring complaint I've seen with the slashdot mod system is from people complaining that it enforces groupthink. In otherwords, it's perfect for a corporate environment.

    --
    If I have been able to see further than others, it is because I bought a pair of binoculars.
  16. "releasing the source" on a tight leash by mattdm · · Score: 2, Informative
    From the blog post:

    The source will be made a available, so that users can study and modify the application for their own needs. If they want to contribute their changes back, they can submit them for review. To discourage piracy, a tiny but essential core (also containing the licensing code), will be kept private (at least until users reach a certain rating).

    Earlier in the post it says "The central dilemma of Open Source is, and has always been, how to make a living doing it" -- but then it turns out that the actual plan is a non sequitur.

  17. Digging through the references. by Samschnooks · · Score: 3, Funny
    Digging through the references, I got here. Then I saw this

    Slashdot introduced its notion of karma, earned for activities perceived to promote group effectiveness, an approach that has been very influential in later virtual communities.

    So, to get paid more, you just say that Apple did it better and the Microsoft's version sucks and the best implementation is in Linux?

    And to get vacation do you post stuff to get "Funny" ratings like; "Imagine a Beowulf cluster of e-editors" or "In Soviet Russia the e-Editor you!" and then there's the "All your e-Editors are belong to us!"

    Yep, the Open Business, sounds like a great way for the Karma whore to make a living!

  18. Re:Seriously.. has no one read Atlas Shrugged by Hemogoblin · · Score: 3, Informative

    Getting really offtopic, but I thought I'd share this interesting Economist article regarding Atlas Shrugged.

    Atlas felt a sense of deja vu
    Feb 26th 2009
    The economic bust has caused a boom for at least one author

    BOOKS do not sell themselves: that is what films are for. "The Reader", the book that inspired the Oscar-winning film, has shot up the bestseller lists. Another recent publishing success, however, has had more help from Washington, DC, than Hollywood. That book is Ayn Rand's "Atlas Shrugged".

    http://www.economist.com/finance/displaystory.cfm?story_id=13185404

  19. Sounds Like an Open Co-op by Doc+Ruby · · Score: 4, Insightful

    The guy doing this determines the operating expenses, including (I'd assume) their own salary. If it's really as open as they claim, all the accounting will be public, too. So anyone who wants to do some work can see how much the company is spending on those operating expenses, and the (ongoing) income statements. If they accept it as reasonable, they can do the work, or they can just not do the work.

    This principle could work. It's like a cooperative company, "employee owned", but without employees owning shares in the corporation getting dividends of the profits (income - expenses), just a direct share. Eliminating the shareholding eliminates control, but it also makes coming and going as a "profitholder" much easier.

    Of course the real problem is the "trust metric". It's a popularity rating, set by members of the group on anyone else who joins the group. Joining requires only contributing code. There's going to be a fair amount of (paid) work by group members reviewing the code to decide trust, but that's a necessary part of software quality anyway.

    The real problem is for people who contribute code (or review, or other work) who aren't rewarded with trust metrics by others in the group, perhaps because of a bias by some against others because of the type of work. If some people contribute only code, and others contribute only review, that might lead to a "class war" where one group discounts the value of the other, regardless of the (only guessable) "real" value of each kind of work to the profits being divided up. If more people review than code, even if that's not necessary, and the reviwers all have a bias in rewarding each other's work more than they reward coders, an coders don't have a bigger bias against reviewers to compensate for their smaller numbers, then reviewers will get a higher rate of reward than coders. Which could prevent any coders from contributing. Or the sizes/biases could be reversed, and reviewers could get shorted enough that no one reviews.

    I think this project goes too far all at once. If this system were familiar across our large Internet development population through its exercise within closed groups, with more permanent membership, perhaps assigned traditionally by a boss who hires, it's less likely to be torn apart by people who don't understand they're working against their own best interests. Then, once it's understood to be workable by people who understand their best interests, and not just an easy target for losers looking to game a system they merely clumsily destroy, maybe the transition from co-op to open co-op would work.

    Does anyone know of any successful closed co-ops running like this one, but centrally hired, fired and assigned shares of the profits?

    --

    --
    make install -not war

  20. Re:Ok, I will join! by Bastard+of+Subhumani · · Score: 2, Funny

    Hey dude, there's no bosses around here. Giving orders is like uncool, man.

    --
    Only three things are certain; death, taxes, and apocryphal quotations - Ben Franklin.
  21. Re:Seriously.. has no one read Atlas Shrugged by overzero · · Score: 3, Funny

    I'll read your "history book" when you watch my "documentary."

  22. Unfair. by Aladrin · · Score: 3, Insightful

    The system is supposed to ensure fairness by having employees rate each other, but I know how this goes simply by watching people around me, in person and in real life.

    Every 'contest' I've ever seen has been about popularity, not efficiency. They guy who sucks up to everyone and buys them beers after work will have the highest pay, while the guy who does his shitty job in silent magnificence will have one of the lowest pays. In addition, everyone in a group will rate their own group members higher than they rate other group's members. This means the biggest group will have the highest average pay as well.

    Absolutely none of it will be based on efficiency or profitability.

    That is, assuming it's truly 'open' and not just claiming it and then having the owner overrule everything anyhow.

    --
    "If you make people think they're thinking, they'll love you; But if you really make them think, they'll hate you." - DM
  23. Re:Ok, I will join! by Improv · · Score: 2, Interesting

    Lowerer UIDs concurer ... oh, wait..

    --
    For every problem, there is at least one solution that is simple, neat, and wrong.
  24. Re:Ok, I will join! by TheSpoom · · Score: 4, Insightful

    This would likely degenerate into a core clique that games the system to reward themselves disproportionately -- even if the concept ever got off the ground.

    So basically, executives?

    --
    It's better to vote for what you want and not get it than to vote for what you don't want and get it.
    - E. Debs
  25. Wikipedia by Chelloveck · · Score: 2, Funny

    Oh boy, a text editor with all the quality and accuracy of a Wikipedia article. I can't wait for the first edit war between two high-ranking programmers.

    --
    Chelloveck
    I give up on debugging. From now on, SIGSEGV is a feature.
  26. Re:Social Darwinism by Thelasko · · Score: 2, Funny

    Social Darwinism is a propaganda tool used by conservatives to maintain the current power structure.

    I'm confused... I thought conservatives reject Darwinism in favor of Creationism.

    --
    One of our competitors trademarked the term "hypothesis". From now on, we will call them "boneheaded ideas".
  27. Ayn Rand by falconwolf · · Score: 2, Insightful

    I'd say you didn't read "Altas Shrugged" but you already did say it. In it the subject John Galt travels the world to talk business owners to convince them to abandon their business because of socialist governments nationalizing businesses.

    If Ayn Rand was right, engineers would make more money than CEOs.

    It's easier if they start their own business and or work for themselves. Even Bill Gates started as a programmer when he started Microsoft. He was the first person to hack a basic interpreter, the Altair BASIC, for a homebrew or microcomputer. He dropped out of college to do so.

    Falcon

  28. Re:Seriously.. has no one read Atlas Shrugged by hansamurai · · Score: 2, Informative

    Atlas Shrugged is not actually a history book.

    It definitely feels like current events though.

  29. Sounds like a 1960's commune to me by nurb432 · · Score: 2, Funny

    Let me know how that works out, especially when what you are smoking runs out.

    --
    ---- Booth was a patriot ----
  30. Re:dude, i wish you luck by stevied · · Score: 2, Insightful

    ideas on organization are always in competition. what is the yardstick we use to measure them? simple monetary success or monetary failure.

    But maybe that won't be the criterion that people involved actually use. IME, the more people really enjoy what they do, the happier they are just to be able to cover basic living costs. If the company were to tick over for a decade or so generating enough income for the people involved to live on without screwing anybody over or trashing the environment, I think that might meet quite few people's ideas of "success."

    I like to believe that I can see a distinct cultural change happening these days: people want to remain child-like for longer, and are increasingly resistant to anything that forces them to grow up. This has its downsides, of course, as anybody with conservative tendencies will have noticed (and I have a few myself): failure to take responsibility, solipsism / narcissism, selfishness. But the flip-side is that people don't want to live with the sort of constant low-grade background anxiety that the current socio-economic system generates, and want to be able to play, i.e. do creative stuff they like. We may be able to transcend that Darwinian struggle, and if the opportunity's there, it's worth making the attempt ..

  31. you have just as much chance by circletimessquare · · Score: 2, Insightful

    to exorcise simple greed from the human mind as you would exorcising the desire to have sex

    greed is greed is greed. monkeys, insects, hell even bacteria understand the notion: get it all for yourself

    its an instinctual drive deeper and more rooted in the human mind than any social system you could ever possibly devise. it is not taught. it is organic. children brought up in isolation from any social influence you deem harmful would spontaneously recreate it

    so you need to work with greed, because there's no getting rid of it

    or choose to reject my words. that's fine. i don't really expect you to listen to me. such is your passion. there are in fact people on this planet who do not want to have sex. asexuality is a real psychological phenomenon. likewise, i believe there are psychological classes of people, such as yourself, who are fanatically altruistic organically. no greed

    but the fanatical altruists, and the organically asexual: we are talking about classes of psychology that are firmly and permanently in the minority, and have no hope to influence the majority. not that that will stop you. nor should it

    i don't think you should stop with your attempts at creating your visions. why? because your uptopian scheme, like the millions that have come before it and the millions that will come after, they DO serve a valid purpose in society: it keeps people like you occupied in mediocrity and obscurity, and away from real businesses that works and real society that works, where you might do real damage

    xoxoxoxoxoxoxox

    --
    intellectual property law is philosophically incoherent. it is your moral duty to ignore it or sabotage it
  32. I'd /love/ to be open-everything... by Lord+Bitman · · Score: 2, Insightful

    but we have enough trouble with people doing direct rips of our site /without/ providing the source code.

    Yeah, I know that GPL uses copyright law too, but the problem is we're dealing all the time with people who don't respect copyright law. Exposing our code would just make it easier for people to rip us off.

    Most I can push for at work is "Let's not actively obfuscate anything we're sending over anyway".

    --
    -- 'The' Lord and Master Bitman On High, Master Of All