Management 3.0: Bonus money and peer to peer recognition

Q: How did compensation work? A: The first one was Coordinape, where you're [gifting tokens] to your peers and flowing percentage points to them every two weeks [based on the value you believe they added to the project]. Also every two weeks, we had a self-selection form, and this — opposite of Coordinape — is “This is how much I deserve.” You get ... See more

Coordinape offers a novel model for determining compensation in a way that can be more fair and reflective of actual contributions: since peers vote, there’s not as much emphasis on appeasing a single person, and power is more distributed throughout the organization.

There is also a possible 11th factor, which is when the reward needs to be paid. Big upfront commitments with the 'hope' of later rewards and recognition can be very weak mechanisms when work is plentiful and good contributors are scarce. Understanding if you can pay immediately, in tranches, or at completion might be a relevant and important facto... See more

-Spencer describes how they use coordinape to reward people who chose a more flexible track where contributors work on projects and submit proposals on how much they should receive in compensation.