How ‘social salary’ will fuel sharing economy

How ‘social salary’ will fuel sharing economy.

We had our blog posted on the Virgin Entrepreneur website. Yes, that’s Richard Branson’s Virgin, so we’re very excited here at Mobbr : ) Here’s the original link, and the full text is below.

http://www.virgin.com/entrepreneur/how-social-salary-will-fuel-the-sharing-economy

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Getting work done better, faster and cheaper. That’s what every business wants and that’s what they could easily achieve if only they would redesign their processes to facilitate social collaboration…

Github, Quora and Wikipedia are examples of platforms that create immense value by crowdsourcing skills and labor through collaborative social processes. But then why is it that most businesses still don’t work like that? Why have most corporate intranets become digital wastelands? And what would it take to bring the enormous potential of crowdsourced labor into the corporate mainstream?
Since its inception in the nineties, the potential of the Internet to disrupt and improve business processes was met with high expectations. But as far as the organisation of labor goes, most companies did not redesign their processes but merely digitalized them. Companies stayed caught in the industrial, linear model of organisation that they still considered the best alternative. The disruption never really happened on the inside. But with the advent of the social Internet, merely digitized organisations are not creating the impact they want to see.
Now we are seeing the rise of an alternative organizational model: the platform. 6 out of the 10 top global brands have platform-based business models. Platforms help to leverage a community or an ecosystem of external stakeholders who create value and productivity. The disruption is happening from the outside, as entire industries are being turned upside down: for example the traditional banks are being eaten by a host of new platform-based alternatives, such as Zopa, Kickstarter and Currency Cloud. So, how is it that platforms are so successful compared to traditional players? Platforms have the characteristics that are more suitable to the way we want to work and play today.

They leverage fragmented resources.

On platforms the crowd largely creates the value. The platform itself merely functions as a lever on the (fragmented) resources that are brought onto the platform, whether it is houses on AirBnb, or knowledge and skills on Stack Overflow. These resources are varied, dynamic and customizable and more importantly can adapt and align to new parameters with astounding agility.

They follow a non-linear communication model.

Road transport has much more processing capacity than air transport, as it is not dependent on a central communication hub or control tower. Similarly, unlike industrial organizations, platforms facilitate interactions independent of hierarchy, time and place. You don’t need to be in the same room, at the same time on cue to participate in a brainstorm at one of the many brainstorming platforms online.

They self organise.

Platforms stimulate decentralized decision-making with the capability to filter and highlight the best ideas, resources and solutions through social and crowd interaction. Imagine the amount of innovation that has been produced in the App Store. Even if you would have hired the 1.000 best innovators in the world, it could never have been planned. It just happened.
In other words, a new paradigm of organisation is emerging and for traditional businesses there are only two options: adapt or perish. The role of labor is entirely changing. To survive, businesses need to start making their processes more ‘social’.
Needless to say that this reaches far beyond introducing Yammer. What is necessary is to gradually start crowdsourcing desired results. Why not crowdsource your software development with Gitlab? Why not crowdsource your customer service, like GiffGaff does? Why not open up your Salesforce.com processes to the (inner- or outer-)crowd and stimulate people to share their contacts instead of protecting them?
An important hurdle for businesses to adopt social collaboration is that this way of working requires a totally different reward system. After all, how do you motivate people to contribute in a way that is not only fun but also productive? As most of these collaboration platforms measure individual participation, it becomes possible to reward the crowd individually based on the actual value they contribute with traditional money or with crypto currencies, if you like.
Mobbr is the first and only payment system that is especially designed for this collaborative economy. It offers unique crowd payment functionality that allows for payments to multiple contributors on a platform with a single click.
In addition, the Mobbr platform allows businesses and professionals to match skills to tasks, and to find suitable collaboration websites and crowdsourcing platforms to facilitate those tasks. In other words, it aims to make it as easy as possible for companies to make the transition to this new, much more effective way of working and organizing.
The collaborative economy will radically change the way people work and earn money. The distinction between internal and external workers will increasingly blur. There will be no jobs, only tasks. Collaboration platforms will become the offices and factories of the future. People will have a totally diversified portfolio of income sources as they build reputation by bringing in their assets and workforce into social collaboration platforms. And they will be paid for it with ‘social salary’.

Posted 10th October by 
Published on our Hercolab Blog with permission from Mobbr.