Abstract
The aim of this chapter is to provide insights into the future development of HRM in the post pandemic tourism contexts, focusing on the concept of algorithmic management. The chapter explores how algorithms are used in performance monitoring and rewards in the case of Airbnb and the implications of this for its hosts. This is used as a basis to reflect on the trend towards quantifying human performance and the issues that management raised by algorithms and platform work. The research uses qualitative discourse analysis as its methodological approach. Textual, photographic, and video material from Airbnb homepages and documents are examined. The authors analyse the Airbnb algorithmic management from the perspective of the classical HRM functions and identify the defining features of Airbnb algorithmic management. This discussion considers the future directions of algorithmic management whereby we postulate that algorithmic management will become further embedded in the operations of traditional hospitality and services industries, beyond the current digital platform work.
Top2. Literature Review
Current theoretical debate revolves around the distinctions of algorithmic management versus traditional human resource management (HRM). Traditional research in human relations management typically defines HRM as a “strategic, integrated and coherent approach to the employment, development and well-being of the people working in organisations” (Armstrong and Taylor 2014). Algorithmic management on the other hand is the umbrella term used for the technological techniques and tools that are used to remotely manage the workforce (de Stefano 2017), and the use of computer-programmed procedures for the coordination of labour input in an organisation (Baiocco et al. 2022).
Key Terms in this Chapter
Human Management: A type of human resource management (HRM) which is completely reliant on human decision making in the traditional functions of HRM: recruitment, socialisation, training and development or performance evaluation and reward of workers.
Algorithmic Management: A type of human resource management (HRM) which incorporates algorithms as automated decision making within at least one of the traditional functions of HRM: recruitment, socialisation, training and development or performance evaluation and reward of workers.
Customer Reviews: Surveillance of performance quality of the work characteristics that cannot be automatically measured but depend on customer feedback, either quantitative or qualitative.
Platform Work: Remote work which is enabled via online platforms and can be performed either completely online or offline but is directed and supervised via an online platform.
Airbnb: Online travel agency starting its business model by targeting non-professionals to become hosts in exchange for renumeration, thus at least in the first years self-identifying as one of the “sharing economy” platforms yet following the online travel agency business model (e.g. Booking.com or Expedia.com) rather than true sharing economy platforms such as Couchsurfing where hosts share for free.
Automated Pay-for-Performance: Rewards of the worker based on the automated surveillance and/or customer reviews, usually in the form of positioning within the platform search-engine algorithm and thus receiving more work and not necessarily better pay for the work.
Automated Monitoring of Performance: Surveillance of performance quality of the work characteristics that can be measured real-time and via technological means (e.g. response time).