Benefit Redistribution Algorithm
NOTE: The concept was proposed by Sensorica in 2011, using the expression value equation. Later, the expression value equation has been replaced with benefit redistribution algorithm.
More on the OVN wiki. Thus, if we consider its origin and initial use, the expression value equation is not obsolete.
= " the benefit redistribution algorithm is a distributed solution to time management, which can be applied in large scale p2p, co-creation processes".
The base idea was explained this blog post using the expression value equation, which was later replaced by Sensoricans with 'benefit redistribution algorithm.
Description
"The benefit redistribution algorithm is seen as a third module of a contribution accounting system understood as:
- a contributions log
- evaluation of contributions
- benefit redistribution algorithm
Note that the expression value accounting system, or VAS, was initially by Sensorica, and was later replaced with contribution accounting system or CAS.
The benefit redistribution algorithm "dictates" how benefits (ex. revenue, access to governance, etc.) are distributed to all participants (active affiliates) in a collaborative process. When applied to revenue, it as designed to compute a % of total revenue for every participant/contributor, taking into consideration all different forms of contributions (in time, in money, etc.), affected by various modulators (frequency of contributions, duration of collaboration, quality of deliverables, priority of tasks, etc.), while considering cultural aspects of constituent communities formed by participants. It describes how different types of contributions are amalgamated into a single deliverable (output of the collaborative process). The value equation's output was a sweat equity piechart. It was considered a dimension reduction operator, taking all the complexity of contributions and customs of participants to project them onto the [0,1] real number domain.
A "past looking benefit redistribution algorithm", applied to ventures that consume resources to create products, to later exchange them for money/revenue) the % of total revenue for every contributor is calculated based on past contributions. A "forward looking benefit redistribution algorithm", applied best to ventures that produce social value and accept donations/grants to operate, the % of total revenue for every contributor is calculated based on a projection of contributions, evaluated against a plan.
In an OVN like Sensorica, the benefit redistribution algorithm is not universal. Every venture / project can have one.
More Information
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