The Algorithmic Manager: Who's Really in Charge in the Gig Economy?
Your Boss is an App: What is Algorithmic Management? Imagine your workplace is not an office but the city itself; your boss, not a person, but a sophisticated algorithm. In today’s gig economy, apps like Uber, DoorDash, and Instacart epitomize a system known as 'algorithmic management.' This tech-driven approach harnesses real-time data to assign tasks, monitor performance, and even set fluctuating pay scales based on numerous dynamic factors. The principle behind algorithmic management is simple yet powerful. By using vast amounts of data, companies can optimize for maximum efficiency. For instance, a DoorDash delivery driver receives orders based on proximity, customer feedback, time constraints, and other metrics—an algorithm determines the quickest route and the next best pick-up to ensure speedy delivery [1] . This system benefits from an almost omniscient overview allowing platforms like Uber and Instacart to dynamically manage human labor as if it were a highly effic...