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Alan Reiter

Online 'Love Machine' Proposed for Employee Retention

Written by Alan Reiter
11/23/2009 58 comments
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Ever since humans started working for each other, bosses have tried numerous ways to motivate workers. Philip Rosedale, founder and chairman of Linden Lab's virtual reality Website Second Life, is developing a new venture, LoveMachine, to help measure and reward employee performance.

The company isn't saying much publicly, but Rosedale blogs: "Yes, we are working on making a version of the Linden Lab LoveMachine (and some other tools too), that hopefully we can sell to some companies and help them out. No, that is not all we are doing."

LoveMachine began as a project for Linden Lab's internal uses. Cory Ondrejka, former chief technology officer at Linden Lab, writes in his blog that the company was exploring ways to enable employees to provide feedback to each other, such as praising someone for doing a great job. The first LoveMachine software was launched in 2005. Linden Lab offered small payments to employees who received the highest kudos -- the greatest amount of "love." It helped employees and managers see how well others within the company were faring and, of course, helped motivate employees to perform well.

LoveMachine is a "reputation" system. If an employee is highly praised, he enjoys a better reputation. This is a great example of life imitating art. The art is Down and Out in the Magic Kingdom by novelist and technology pundit Cory Doctorow. The book describes how, in a future at Disney World, quality of life is based on one's reputation, which is measured by whuffie virtual currency. The more people post good comments about your work and personal life, the more whuffie you accumulate, and the easier it is to get better jobs, housing, meals, relationships, etc.

Obviously, an employee's reputation has always been an important consideration in business. But when Down and Out in the Magic Kingdom was published in 2003, techies considered ways to transform fictional whuffie into real-world implementations, with the Internet as key.

In 2004, technology writer and podcaster Steve Gillmor coined the term "enterprise whuffie" about employees acquiring "the reputation of importance" for becoming experts in their fields. The more these experts share their knowledge, the more their reputation -- their whuffie -- increases.

Gillmor uses an example of SocialText, which offers enterprise collaboration tools for blogging, wikis, spreadsheets, and social networking. These products disseminate employees' opinions throughout a company, which could enhance -- or destroy -- reputations.

While SocialText is geared toward enterprises, similar public tools, such as Twitter, spread reputation throughout the Internet. In China, a new trend is Websites for "human flesh search." (I love that designation!) These sites combine information about people from traditional search engines, such as Google, with personal opinions posted by individuals who vociferously praise or pillory the people searched.

Think you've got a great reputation? Check out The Whuffie Bank, announced in September. The bank's software evaluates your reputation and adds whuffie to your account.

To determine how much whuffie to deposit, the software's algorithm examines such criteria as how many of your Tweets are retweeted, how many people like your Facebook posts, whether your postings are original ideas, and whether the people who mention you have high or low whuffie.

Alas, you can't spend your whuffie on much because the organization is still evaluating how to transform it into tangible reimbursements.

The Whuffie Bank has a worthy vision where "only those who do good and well unto others are the richest." I'm not optimistic about this nonprofit organization's chances for success.

I'm slightly more optimistic about LoveMachine providing enterprise software to gauge employees' reputations, but it's a challenge. How is praise from employees quantified and qualified? How do you keep employees from unfairly praising or criticizing other employees? Should there be consequences (firing?) for employees with the lowest reputation?

If LoveMachine can answer such questions and develop a useful business tool, it deserves a lot of whuffie.

— Alan Reiter (AR), President, Wireless Internet & Mobile Computing

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Asad
Researcher
Monday December 28, 2009 12:40:48 AM
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I would agree with you that it is an intersting experiments for companies and it is also true that companies need to keep the human "mind" in consideration in making the unbaised decision about an employee.

I was thinking about teh scope of "Love machine" in the  companies that heavily depends on "Coustomer Services" to florish, they would be really taken back if this feedback is coming from the coustomers suffering from poor coustomer service regime..as almost all of the represetatives and all such coustomer services are equally unpleasant without any distinction..

For more reserch and technology based companies, i agree that companies would like to cash the intelligence of an employee than its "cool personality"

Alan Reiter
Thinkernetter
Thursday December 24, 2009 3:10:25 AM
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Hi Mr. Roques,

Good luck with the new employee measurement system.  Perhaps you should tell your company about the Love Machine!

Mr. Roques
Researcher
Wednesday December 23, 2009 4:13:13 PM
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Just today the company I work for introduced a new system to measure employee's work. As they where explaining, it seemed to me that they tried to put the system but it becomes a hurdle to us, it doesn't make life easier.

I'm guessing that an effective one, comes natural to an employee.

Alan Reiter
Thinkernetter
Monday December 21, 2009 3:41:42 PM
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Hi Asad,

Sorry for not replying sooner.  I guess I missed your comment.

Certainly there are exceptions within corporations for different types of employees.  Although most corporations hire and keep employees who fit into the corporate culture (both good and bad cultures), some employees perform too poorly to keep or too well to fire, regardless of their personalities.

An employee who is brilliant, either creating products or generating lots of income for the company, will generally be kept even if many other employees hate him (or her).

Humans are prone to all sorts of negative comments about other humans, and these sorts of "love machine" systems might not work in most companies.  But they're interesting experiments, in any case.

Alan Reiter
Thinkernetter
Monday December 21, 2009 3:36:19 PM
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Hi Mr. Roques,

I agree that unless these sorts of employee evaluation/motivation systems are well thought out, they will fail.  Even if they are well thought out, they still might fail in many companies, depending on the corporate culture of honesty, etc.

Mr. Roques
Researcher
Monday December 21, 2009 8:36:06 AM
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I remember a few years ago we had a system to evaluate employees. We hated it! it asked questions such as: "in a scale from 1-10, how did you perform in group tasks?", very ambiguous questions that no one really has an answer for, so everyone just put 10.

Metric systems are important but unless they are really thought out, they won't help.

Alan Reiter
Thinkernetter
Wednesday December 9, 2009 2:47:46 AM
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Hi Mr. Roques,

I think the Love Machine concept depends on the type of employees in the company and its culture.  Some companies lend themselves to this sort of reputation system -- as Linden Labs seems to have -- while others do not.

Of course any system could be designed to capture information about the people and/or machine being used for the comments.

no ratings

True, true... but maybe a work environment will avoid those types of replies. In the end, nothing is completely anonymous.

Asad
Researcher
Monday November 30, 2009 4:26:33 PM
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You are right that there is no question for crediting smiles over job...but is it really possible for companies to get away with the "prejudice" for a talented empolyee for not being able to professionaly please someone...as teh professionalism if marked by the clients would lead to a dangerous path of imposing thier undue demands over true professionalism...but of it is just colleagues then it also brings in the question of professional jealousy....

Alan Reiter
Thinkernetter
Monday November 30, 2009 4:24:00 PM
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Hi JDAmbrosio,

I understand how you (and others) would feel that way!

However, I'm not against looking for different -- better ways -- to help motivate and evaluate employees.

Being somewhat misanthropic and egotistical, I think the "wisdom of crowds" is too often the wisdoms of village idiots.  But I also see its value, such as using Twitter where I pick the "crowd" I want to follow for intelligent comments and useful links to Web articles.

Supervisors sometimes do a good job evaluating/motivating employees, but sometimes don't.

I see nothing wrong with testing a system that uses employee feedback.  If it's useful, fine.  If it's not, end it.

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