Voting machine enables employees to recognize colleagues

Horizontal management structure, open-space offices and a “love machine” were the driving factors behind a San Francisco company being ranked as one of the world’s most-democratic workplaces, says its spokesperson.

Alex Yenni says Linden Lab – noted for designing Second Life, an online virtual world – has practiced organizational democracy from its inception in 1999.

Yenni says Linden Lab’s horizontal management structure – as opposed to the traditional chain-of-command, paternal structure – allows employees freedom to do the tasks which interest them most.

Organizational democracy, says Yenni, has helped make Linden Lab a success and has fostered a comfortable working environment for employees.

“There is a great deal of leeway on which projects people would like to work on,” Yenni says. “There is not a lot of delegation.”

Another practice which Yenni says has helped make Linden Lab one of the world’s most-democratic companies is the Love Machine. The Love Machine operates on a point system whereby employees access a Web application that tells others about colleagues who go above and beyond the call of duty.

“You have a whole organization with kind of a point system,” Yenni says. “At the end of the year, a couple of employees with the most points will be given a bonus.”

An open physical environment with no private offices is a key to establishing a democratic environment in the workplace, says Yenni.

“Everyone sits together, including the CEO,” he says. “Everyone sits out in the open.”

Yenni says Linden Lab’s employees have been receptive to the democratic principles instilled by CEO Philip Rosedale.

“From what I have heard, it is a success; people enjoy it,” Yenni says. “It’s all driven by Philip’s methodology.”

Linden Lab employees 110 people. The company is centred on Second Life, an online, 3-D, virtual-reality world which allows its users “commercial, creative and recreational pursuits.”

Second Life was developed in 2002. It has more than 4 million users. Its website is http://secondlife.com.