K zywdzinski, Ma in; Schneiß, Daniel; Spe ling, And ea
A icle — Published Ve sion
Be ween con ol and pa icipa ion: The poli ics o
algo i hmic managemen
New Technology, Wo k and Employmen
P o ided in Coope a ion wi h:
WZB Be lin Social Science Cen e
Sugges ed Ci a ion: K zywdzinski, Ma in; Schneiß, Daniel; Spe ling, And ea (2025) : Be ween
con ol and pa icipa ion: The poli ics o algo i hmic managemen , New Technology, Wo k and
Employmen , ISSN 1468-005X, Wiley, Hoboken, NJ, Vol. 40, Iss. 1, pp. 60-80,
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Accep ed: 21 Ma ch 2024
DOI: 10.1111/n we.12293
SPECIAL ISSUE PAPER
Be ween con ol and pa icipa ion: The
poli ics o algo i hmic managemen
Ma in K zywdzinski
1
|Daniel Schneiß
2
|And ea Spe ling
3
1
WZB Be lin Social Science Cen e ,
Weizenbaum Ins i u e o he Ne wo ked
Socie y, Helmu Schmid Uni e si y,
Hambu g, Ge many
2
Weizenbaum Ins i u e o he
Ne wo ked Socie y, Ch is ian‐Alb ech s‐
Uni e si ä , Kiel, Ge many
3
WZB Be lin Social Science Cen e ,
Be lin, Ge many
Co espondence
Ma in K zywdzinski, WZB Be lin Social
Science Cen e , Weizenbaum Ins i u e
o he Ne wo ked Socie y, Helmu
Schmid Uni e si y, Hambu g, Ge many.
Email: [email p o ec ed]
Funding in o ma ion
Volkswagen Founda ion;
Bundesminis e ium ü Bildung und
Fo schung
Abs ac
Unde s anding he ole o human managemen is
c ucial o he deba e o e algo i hmic managemen —
o da e limi ed o s udies on he pla o m economy.
This quali a i e case s udy in logis ics econs uc s he
ac o cons ella ions (manage s, enginee s, da a scien-
is s and wo ke s) and nego ia ion p ocesses in
di e en phases o algo i hmic managemen . I o e s
wo majo con ibu ions o he li e a u e: (1) a p ocess
model dis inguishing h ee phases: goal o ma ion,
da a p oduc ion and da a analysis, which is used o
analyse (2) he poli ics o algo i hmic managemen in
con en ional wo kplaces, which di e signi ican ly
om pla o m companies. The a icle goes beyond
su eillance o elucida e he ole o he egula o y
amewo k, a ious ac o s' knowledge con ibu ions o
he algo i hmic managemen sys em, and he powe
ela ions esul ing he e om. While he manage ial
goals in he examined case we e no o ien ed owa ds a
su eillance egime, he ou come was ne e heless a
cen alisa ion o knowledge and disempowe men o
wo ke s.
KEYWORDS
algo i hmic managemen , enginee s, indus ial ela ions, labou
con ol, labou p ocess, logis ics, manu ac u ing
New Technol Wo k Employ. 2025;40:60–80.60
|
wileyonlinelib a y.com/jou nal/n we
This is an open access a icle unde he e ms o he C ea i e Commons A ibu ion License, which pe mi s use, dis ibu ion and
ep oduc ion in any medium, p o ided he o iginal wo k is p ope ly ci ed.
© 2024 The Au ho s. New Technology, Wo k and Employmen published by B ian Towe s (BRITOW) and John Wiley & Sons L d.
INTRODUCTION
Algo i hmic managemen is a co e opic in cu en deba es abou he digi al ans o ma ion o
wo k. Resea che s emphasise ha algo i hmic sys ems a e inc easingly used o asks such as
di ec ion, pe o mance e alua ion and wo ke discipline (Galiè e, 2020; Kellogg e al., 2020; Lee
e al., 2015). The discussion has made signi ican con ibu ions o he analysis o con empo a y
ans o ma ion o wo k, bu i has wo impo an sho comings. Fi s , he analyses ha e
examined p ima ily gig‐wo k pla o ms (Cini, 2023; Huang, 2023). While some s udies ha e
ex ended he no ion o algo i hmic managemen beyond he pla o m economy o con en ional
en e p ises (Ja ahi e al., 2021; Lippe e al., 2023; Wood, 2021), esea che s a e only jus
beginning o e lec on he pa icula i ies o hese con ex s. Second, he ocus o da e has mainly
been on how new echnical in as uc u es unc ion, while he ole o human managemen and
he p ocess o nego ia ing algo i hmic managemen has been unde heo ised. Fo he mos
pa , managemen is assumed o be using hese echnologies p ima ily o moni o ing and
disciplining wo ke s (De S e ano & Taes, 2023; Ma eescu & Nguyen, 2019). As Meije ink and
Bonda ouk (2023) and Noponen e al. (2023) igh ly c i icised, i s implemen a ion has been
concep ualised mainly in a con ol‐ esis ance pa adigm, wi h managemen and wo ke s being
he only wo ac o s aken in o conside a ion (Kellogg e al., 2020).
In ou con ibu ion, we ackle hese wo sho comings and a gue ha we ha e o open he
black box o algo i hmic managemen o de elop a mo e sophis ica ed no ion o i han
con ol‐ esis . Ou i s and majo con ibu ion has been o de elop a p ocess pe spec i e on
algo i hmic managemen by ollowing he di e en phases o in oduc ion and deploymen .
Building on olde (Zubo , 1988) and mo e ecen (Alaimo & Kallinikos, 2021,2022) wo k, we
dis inguish h ee phases: goal o ma ion, da a p oduc ion and da a usage. The analysis o hese
phases allows us o look a he in ense exchanges and nego ia ions be ween a ange o ac o s in
i ms, a p ocess we call he poli ics o algo i hmic managemen . We analyse he ole o
manage s, p ocess enginee s, da a scien is s as well as wo ke s and hei ep esen a i es and go
beyond he dualis ic ocus on managemen and wo ke s alone. Thus, ou indings speak o
na ow limi s o he au oma ion o managemen decisions in con en ional companies is‐à‐ is
pla o ms, which ha e ewe ba gaining pa ies.
Ou second con ibu ion is o examine he deploymen o an algo i hmic sys em in a
con en ional wo kplace, which di e s signi ican ly om pla o m wo k. The sys em used in
his wo kplace (a logis ics company) eco ds wo ke s' mo emen s and is deployed o
op imising wo k p ocesses. A i s glance, i esembles a panop icon, which c ea es
in o ma ion asymme ies and ampli ies manage ial con ol o he labou p ocess (Rosenbla
& S a k, 2016). Howe e , we show ha his sys em elies on mobilising he knowledge o
a ious ac o s o be e ec i e, especially wo ke s hemsel es. Building on labou p ocess and
powe esou ces heo ies (Schmalz e al., 2018), we a gue ha ac o s can use hei knowledge as
a powe esou ce in he nego ia ions abou he algo i hmic managemen sys em. We use he
e m nego ia ions o desc ibe he p ocess in which o ganisa ional ac o s adap hei wo k
p ac ices and in e dependen wo k oles o he in oduc ion o new echnologies (Bailey &
Ba ley, 2020; Ba ley, 2020). Nego ia ions can include explici ba gaining abou asks and oles,
bu also implici s a egies o en o cing o unde mining new ole con en s (o ganisa ional
misbeha iou as pe Ack oyd and Thompson (2022)). We d aw on he discussion o manage ial
s a egies (Child, 1985; Thompson & McHugh, 2009; Vidal, 2022) in labou p ocess heo y o
show how speci ic egula o y con ex s (Doellgas & Wagne , 2022; Thompson & Laase , 2021)
in luence nego ia ions and lead managemen ollow a p ocess‐o wo k o ce‐o ien ed s a egy.
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Ou cen al ques ions a e as ollows:
RQ1. Wha knowledge do di e en ac o s ha e o con ibu e o he implemen a ion o
algo i hmic managemen sys em?
RQ2. Wha powe ela ions be ween he ac o s esul om hei di e en knowledge?
RQ3. Wha impac does he in oduc ion o he algo i hmic managemen sys em ha e on
wo king condi ions?
Ou case s udy is embedded in a pa icula egula o y con ex , namely Ge many. Ge man law
o e s a ou able condi ions o he a icula ion o wo ke oice (K zywdzinski, P ei e , e al., 2022).
One migh expec Ge man wo ke s o ha e mo e in luence on managemen han in he case o a
pla o m company ope a ing in New Yo k o Nai obi, o example, gi en he legal and o ganisa ional
amewo k. The aim o ou di e en ia ed app oach and choice o case is o in es iga e his aspec o
algo i hmic managemen . The e o e, ou case s udy ocuses on po en ial o wo ke pa icipa ion
and he impac on wo ke oice ha algo i hmic managemen can ha e.
A e discussing he s a e o esea ch and de eloping ou analy ical app oach in ‘S a e o he
esea ch and analy ical app oach’sec ion, we in oduce he case s udy and i s me hods in ‘Da a
and me hods’sec ion. In ‘Algo i hmic managemen in p ac ice’sec ion p esen s he empi ical
analysis. The a icle ends wi h a discussion and conclusions.
STATE OF THE RESEARCH AND ANALYTICAL APPROACH
Algo i hmic managemen in con en ional wo kplaces
The concep o algo i hmic managemen has been de eloped in he wake o he pla o m
economy (Duggan e al., 2020; Ja ahi e al., 2021; Lee e al., 2015; Wood e al., 2019), whe e
wo k asks a e pe o med online o wi h he help o apps, lea ing pe manen digi al aces.
Maa escu and Nguyen ha e ou lined se e al cha ac e is ics o algo i hmic managemen on
pla o ms ha consis in ‘p oli ic da a collec ion and su eillance o wo ke s h ough
echnology; eal‐ ime esponsi eness o da a ha in o ms managemen decisions; au oma ed o
semi‐au oma ed decision‐making; ans e o pe o mance e alua ions o a ing sys ems o
o he me ics; and he use o “nudges”and penal ies o indi ec ly incen i ize wo ke
beha iou s’(2019, p. 3). Kellogg e al. (2020, p. 371) ha e a gued ha algo i hmic managemen
encompasses h ee key dimensions: di ec ion, pe o mance e alua ion and disciplining.
In pas yea s, a g owing body o li e a u e s a ed discussing he g adual implemen a ion o
algo i hmic managemen ools in mo e con en ional se ings such as wa ehouses, ma ke ing,
manu ac u ing o consul ancies (B ynjol sson & McElhe an, 2016; E ans & Ki chin, 2018;Gal
e al., 2020;Leich ‐Deobald e al., 2019;Pigno ,2021; Wood, 2021). Schaupp (2022b) has a gued ha
algo i hmic managemen is sp eading in con en ional companies, as i can build on long‐es ablished
Taylo is p ac ices and exis ing en e p ise esou ce planning (ERP) sys ems. While we ag ee on he
longs anding adi ions o Taylo is pe o mance managemen in con en ional companies, we wan
o emphasise conside able di e ences be ween hose wo kplaces and pla o m wo k. The esul is
speci ic condi ions ha a ise o he implemen a ion o algo i hmic managemen .
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Fi s , digi al aces a e p oduced in he wo k p ocess o con en ional companies only o a limi ed
ex en , which means ha a da a‐based in as uc u e mus i s be es ablished which equi es new
compe ences in ela ion o algo i hmic sys ems (Ba o & Da enpo , 2019). Alaimo and Kallinikos
(2021,2022), in pa icula , ha e ecen ly poin ed ou he g owing impo ance o managemen o and
by da a o o ganisa ions. In pa icula , Alaimo and Kallinikos conside ed he da a p oduc ion phase
o be c ucial, as his is he phase in which co e concep s a e de ined and measu ed. Exis ing ERP
sys ems p o ide only agg ega e ou pu indica o s based on o de s and ma e ial lows. Unlike apps,
ERPs canno be easily used o mic omoni o ing and analysis o indi idual wo k p ocesses.
P oduc i i y managemen in he blue‐colla ield has elied mainly on adi ional concep s like
me hods‐ ime measu emen (MTM), which wo k wi h p ede e mined imes o design p ocesses and
calcula e s a ing le els. In he s ongly in luen ial lean p oduc ion concep , p ocess op imisa ion has
beenseenasashop‐ loo ac i i y in ol ing wo ke s and using hands‐on ools like s opwa ches
(Adle & Bo ys, 1996; Macdu ie, 1995). The co e ield o mo e echnically enabled pe o mance
managemen has been no blue‐colla wo k, bu a he call cen e wo k, in which cons an
employee moni o ing c ea es a igh ly meshed con ol egime (Bain & Taylo , 2000;Bain
e al., 2002).
The second di e ence be ween con en ional and pla o m wo kplaces is ha a emp s o
implemen algo i hmic managemen un up agains p e‐exis ing o ms o o ganisa ion, wo kplace
ba gaining and egula ion. In con en ional companies, managemen o en has o nego ia e wi h
employee ep esen a i es o implemen new echnology. In addi ion, labou egula ion—a leas in
Eu opean coun ies—o en limi s manage ial p e oga i e ega ding he use o echnology o
moni o ing, e alua ion and sanc ioning o wo k pe o mance. Acco dingly, s udies on call cen e
wo k ha e ound ha digi al moni o ing o wo k p ocesses is accompanied by a ‘ ange o no ma i e,
bu eauc a ic and o he manage ial p ac ices’(Bain e al., 2002, p. 184; see also Vallas e al., 2022). An
o e iew s udy by Lippe e al. (2023, p., 5289) showed ha adi ional wo kplaces gene ally
in oduce only some elemen s o algo i hmic managemen , bu no he mos widely c i icised ones
such as es ic ing wo ke beha iou , sanc ions and dismissal.
The implemen a ion p ocess o an algo i hmic sys em i sel , howe e , can ans o m powe
ela ions be ween he a ec ed ac o s (Ja ahi e al., 2021). To add ess his mo e sys ema ically,
we p opose o dis inguish be ween he ollowing phases in he analysis o algo i hmic
managemen sys ems in adi ional wo kplaces:
‐The p ocess o goal o ma ion in which nego ia ions e ol e a ound de ining sha ed
objec i es in he implemen a ion o he echnology.
‐The da a p oduc ion p ocess in which he measu emen ins umen s a e ins alled and he
measu emen akes place, cons i u ing he da a objec s.
‐The use, analysis and in e p e a ion o he as amoun o da a p oduced, which successi ely
lead o op imisa ion ecommenda ions.
Poli ics o algo i hmic managemen
Zubo (1988) had al eady elabo a ed ha he u n o da a‐based algo i hmic con ol aises
he dilemma o knowledge and au ho i y o managemen : managemen migh need o he
ac o s o make sense o da a. Zubo (1988) desc ibed wo scena ios o dealing wi h his
dilemma (c . Bu ollo e al., 2019). On he one hand, managemen can y o in ol e
employees in de eloping knowledge om algo i hmic sys ems. On he o he hand,
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managemen can use digi al ools o cen alise knowledge. In any case, he implemen a ion
o algo i hmic managemen changes he impo ance o di e en o ms o knowledge and
in luences he powe ela ions in he company.
We e e o he exchange and nego ia ion be ween ac o s con olling di e en ypes o
knowledge as he poli ics o algo i hmic managemen . We de ine nego ia ion as he p ocess o
aligning wo k p ac ices and oles wi h he newly implemen ed echnologies (Ba ley, 2020). This
alignmen hews o exis ing powe ela ions in he company (Bailey & Ba ley, 2020). I is
gene ally accomplished h ough explici ba gaining. Howe e , implici adap a ion also akes
place in which some ac o s (e.g. managemen ) y o en o ce new ules, while o he ac o s (e.g.
wo ke s) can use hei knowledge o unde mine hese ules. Knowledge is a cen al powe
esou ce in hese nego ia ion p ocesses (Schmalz e al., 2018). The algo i hmic managemen
sys ems inc ease p ocess anspa ency o managemen and can ein o ce he in o ma ion
asymme ies be ween managemen and ac o s on he shop loo (Rosenbla & S a k, 2016).
Howe e , algo i hmic managemen depends on knowledge con ibu ions om di e en ac o s,
as we will show in ou analysis, and he eby c ea es spaces o esis ance and agency
(Wood, 2020).
The se o ele an ac o s does no me ely include managemen and wo ke s. Recen
heo e ical con ibu ions by Meije ink and Bonda ouk (2023) and Noponen e al. (2023) expand
he lis o ele an ac o s o include de elope s, and we sugges o conside se e al u he
ac o s:
Fi s , ex e nal da a p oduce s and da a analy ics se ice p o ide s a e key: o ganisa ions
inc easingly use da a gene a ed by ou side ac o s, and hus he manage ial con ol o e da a
p oduc ion migh be dissol ing. Alaimo & Kallinikos (2022, p. 32) ha e called his an epochal
shi in he sense o ‘decen ing o o ganisa ions’.
Second, wo ke s' ep esen a i es and wo ks councils: when in oducing algo i hmic ools,
managemen has o nego ia e wi h hese ac o s. The analysis has o conside he ules and
p ocesses in hese nego ia ions and ha hey di e s ongly be ween coun ies (Doellgas &
Wagne , 2022; K zywdzinski, Ge s , e al., 2022).
Thi d, managemen is no a single ac o . The e a e a ious le els o managemen in a gi en
company. Cen al managemen does no necessa ily sha e he pe cep ions o shop loo
managemen . This poin was also made by Ja ahi e al. (2021), who emphasised ha
algo i hmic managemen pa icula ly challenges he powe o middle managemen .
Fou h, new employee g oups, especially da a scien is s, a e becoming inc easingly
impo an (A noon, 2021; Do schel, 2021): his may be accompanied by a u he
disempowe men o middle managemen in pa icula , bu op managemen is also aced
wi h he ques ion o whe he i s ill has su icien knowledge o be able o con ol he new
echnologies.
Finally, indus ial and p ocess enginee s: he ole o hese ac o s in companies is also being
called in o ques ion (To s endahl, 2022). These enginee s we e he classic bea e s o he
Taylo is scien i ic managemen e olu ion and mas e ed he design and op imisa ion o
p ocesses in companies (Me kle, 1980). Fo he in e nal o ganisa ion o companies, he
ela ionship be ween classic enginee ing oles and he da a scien is s will be o cen al
impo ance.
To ou knowledge, he ela ions be ween hese di e en ac o s ha e no ecei ed any
a en ion in empi ical esea ch on algo i hmic managemen so a . We will y o ill his
esea ch gap in ou analysis.
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Manage ial goals and he ou comes o algo i hmic managemen
I is s iking ha , in he now ex ensi e li e a u e on algo i hmic managemen , he goals and
in e es s o managemen i sel a e a ely analysed. Some con ibu ions ha e iden i ied he
cen al in e es o managemen (in a adi ion eaching back o B a e man (1974)and
Edwa ds (1979)) wi h he con ol o wo ke s and he au oma ion o his con ol (De S e ano
&Taes,2023; Kellogg e al., 2020;Veene al.,2020). As a consequence, wo k in ensi ica ion
is emphasised (G een e al., 2022). We do no in end o cas doub on he ac ha con ol o
wo ke s plays an impo an ole and ha ce ain aspec s o managemen a e au oma ed by
pla o ms (Wood e al., 2019), e en i he e a e limi s o au oma ion (G iesbach e al., 2019;
K zywdzinski & Ge be , 2021;Schaupp,2022b). In ou analysis, howe e , we will ques ion
whe he managemen s a egies mus always be gea ed owa ds con ol and wo k
in ensi ica ion.
We ag ee wi h Meije ink and Bonda ouk (2023) and Noponen e al. (2023) ha a mo e
di e en ia ed unde s anding o he ole o human managemen is needed in he deba e o e
algo i hmic managemen . In he labou p ocess heo y con ex , Thompson and McHugh (2009)
emphasised ha manage s o en ha e o o mula e hei goals unde condi ions o limi ed
in o ma ion and ime p essu e, which is why hey in es a lo o ime in exchange wi h o he
ac o s in he o ganisa ion. Vidal (2022) a gued ha managemen makes i s decisions unde
con adic o y in luences. On he one hand, i mus ensu e a su icien labou e o , and i
he e o e has an in e es in con olling wo ke s. On he o he hand, managemen mus also
ensu e ha capi al is alo ised. A compe i i e p oduc mus be p oduced, which in u n migh
equi e ha wo ke s, enginee s and o he g oups in he company pa icipa e in ensu ing
quali y, sol ing p oblems and op imising p ocesses. While managemen o en se les wi h ‘lean
enough’solu ions, which ocus p ima ily on s anda disa ion and con ol, pa icula ly high
p oduc i i y can be achie ed wi h high in ol emen s a egies ha dispense wi h moni o ing
and su eillance—such a s a egy con adic s he sole ocus on wo k in ensi ica ion.
Vidal's concep i s well wi h ecen con ibu ions om managemen esea ch. Meije ink and
Bonda ouk (2023) as well as Noponen e al. (2023) ha e a gued ha algo i hmic managemen can
es ain wo ke s bu also enable hem. Which app oach p e ails depends on ecu si e loops o
nego ia ions be ween wo ke s and manage s as well as hei adap a ion o sys em implemen a-
ion. Menz e al. (2019) p oposed dis inguishing p ocess‐o ien ed and wo k o ce‐o ien ed goals o
using algo i hmic con ol. In he la e case, he managemen ocus is on he inc eased p ocess
anspa ency o unlock unused po ions o wo king ime (i.e. wo k in ensi ica ion) o o iden i y
oppo uni ies o eplacing labou wi h echnology. P ocess‐o ien ed goals, by con as , ocus on
he use o da a‐based p ocess anspa ency o he elimina ion o sys ema ic p oblems: ypical
issues a e machine b eakdowns and p ocess bo lenecks. The dis inc ion be ween wo k o ce‐
o ien ed and p ocess‐o ien ed s a egies is, o cou se, a simpli ica ion (see A ewell, 1987); o ou
pu poses, howe e , i o e s a good s a ing poin .
The choice o s a egies has been shown o be s ongly in luenced by he egula o y con ex
(Doellgas & Wagne , 2022; K zywdzinski, P ei e , e al., 2022; Thompson & Laase , 2021).
Ge man law makes he in oduc ion o echnical sys ems ha can be used o moni o
pe o mance subjec o app o al by he company wo ks council. In addi ion, he wo ks council
has he igh o e iew new echnologies wi h ega d o he esul ing physical and men al s ess
as well as isks o employee da a p o ec ion (K zywdzinski, Ge s , e al., 2022; K zywdzinski,
P ei e , e al., 2022). Regula ion in Ge many s eng hens labou oice, which means g ea e
oppo uni ies o he de elopmen o mo e p ocess‐o ien ed app oaches.
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The dis inc ion be ween wo k o ce‐and p ocess‐o ien ed s a egies con adic s he
a gumen ha algo i hmic managemen necessa ily leads o wo k in ensi ica ion and s ess
(Baiocco e al., 2022; De S e ano & Taes, 2023; G een e al., 2022). Howe e , he wo k‐
in ensi ica ion a gumen is no he only way o de elop a c i ical pe spec i e on algo i hmic
managemen . In ou analysis o ac o cons ella ions and knowledge con ibu ions, we will ocus
on how algo i hmic managemen a ec s he wo k oles and wo k con en s o ac o s. Following
he a gumen o inc eased in o ma ion asymme ies (Rosenbla & S a k, 2016), we will show
ha a po en ial dange o he sys em lies in he cen alisa ion o knowledge ha ende s
wo ke s' op imisa ion and p oblem‐sol ing ac i i ies supe luous and hus educes wo k
con en Bu ollo, Jü gens, e al., 2019.
DATA AND METHODS
Ou analysis was based on an in‐dep h case s udy (P iya, 2021) o an algo i hmic managemen
sys em used o p ocess op imisa ion on he shop loo . Ou case s udy app oach allowed o a
econs uc ion o he knowledge p ac ices, nego ia ions and powe ela ions and he
conside a ion o he con ex ual condi ions (Yin, 2014).
The choice o ou case s udy was based on ou own p io esea ch p ojec s. These examined a
la ge sample o algo i hmic managemen sys ems (K zywdzinski, P ei e , e al., 2022)and
assessed u he s udies (Menz e al., 2019;Wood,2021) e ealing ha algo i hmic managemen
echnologies a e s ill in a ela i ely ea ly s age. Ou majo goal was o ind a company on he
b ink o implemen ing a highly de eloped algo i hmic sys em wi hin a con en ional wo kplace
se ing, which migh hen lead o a undamen al eshaping o he wo k o ganisa ion and
p ocesses in he company. Indeed, we ound wo companies ac ing as supplie /consul an and
clien implemen ing an algo i hmic managemen ool. Taken oge he , ou case (a he ime o
he analysis in 2022) ep esen ed a highly ad anced echnology o da a ica ion o he shop loo in
e ms o pene a ion o wo k p ocesses and accu acy o da a collec ion.
The i s company, which we call Analy icsTech, is a so wa e de elope and desc ibes i sel
as a leading p o ide o au oma ed analysis o manual p ocesses. The company has a ound 50
employees. I s app oach di e s om adi ional concep s such as MTM (Ka ge & Bayha, 1987)
o e en he app oaches o p ocess moni o ing de eloped in he Taylo isa ion o whi e‐colla
wo k in call cen es (Bain e al., 2002). MTM analyses a e based on p ede e mined imes o
basic mo emen s (such as g asp, mo e, elease) used by enginee s o de ine he s anda d wo k
ope a ions and o calcula e he s anda d du a ion o comple ing asks. Un il ecen ly,
indus ial enginee s did no ha e da a and sys ems wi h which de ailed wo k p ocess da a could
be accu a ely collec ed and analysed on a egula basis.
Compa ed o hese adi ional p ac ices, Analy icsTech's so wa e gene a es da a a
unp eceden ed dep h and speed. The app oach is based on using wea ables as well as
immobile senso s o ake a comp ehensi e measu emen o manual wo k p ocesses. Based on
he immense amoun o da a, he a i icial in elligence (AI)‐based algo i hm au oma ically
de ec s ypes o mo ion (walking, bending, li ing, hamme ing, assembling, o e head wo k,
e c.), which we call basic da a objec s. In a second s ep, he so wa e calcula es di e en kinds
o indica o s o he dis ibu ion o asks, leng h o di e en p ocesses, usage o ools,
bo lenecks, wai ing imes and many mo e. We call hese indica o s composed da a objec s.
The so wa e is specialised o manual ac i i ies in he a eas o goods logis ics (s o age,
picking), in indus ial p oduc ion o in con ol and inspec ion p ocesses. I is designed as a
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pla o m o enable companies o pe o m p ocess analysis on hei own. Howe e ,
Analy icsTech also o e s o pe o m he measu emen s and analysis o he cus ome s, ac ing
as a kind o consul ing company.
We call he second company in ou case s udy Logis icsCo p. I is a logis ics company wi h
headqua e s in Ge many and ope a es h oughou Eu ope wi h mo e han 10,000 employees.
The company has ecen ly deployed Analy icsTech's so wa e a i s si es. The collabo a ion
be ween Analy icsTech and Logis icsCo p ep esen s a case o decen ing da a p oduc ion, in
Alaimo and Kallinikos' (2022) e ms. Ini ially, Logis icsCo p was comple ely dependen on
Analy icsTech o ope a ing he so wa e. In ou case s udy, howe e , we analysed how
Logis icsCo p wo ked o in e nalise he equi ed knowledge and ecen alise con ol o e
i s da a.
As Table 1shows, ou da a collec ion included (a) semis uc u ed in e iews, (b) ield no es
om obse a ion o he implemen a ion o he algo i hmic managemen sys em, (c) ield no es
om he pa icipa ion in wo wo kshops wi h company ac o s and (d) documen analysis o
wo kshop and in o ma ion ma e ials including p ocess maps and p o ocols c ea ed in he
cou se o he implemen a ion p ocess.
We conduc ed 16 in e iews in o al o one o wo hou s in leng h wi h Analy icsTech
managemen as well as he managemen , p ocess enginee s and da a scien is s o
TABLE 1 Da a.
Da a collec ion
s a egy Collec ed da a Pa icipan s
(1) Semis uc u ed
in e iews
16 quali a i e in e iews Managemen o Analy icsTech,
cen al and local managemen o
Logis icsCo p, p ocess enginee s,
da a scien is s, managemen o
o he companies wo king wi h
Analy icsTech
(2) Field obse a ion Two‐day ield obse a ion o he
sys em's implemen a ion on he shop
loo
Local managemen , p ocess
enginee s, da a scien is s, shop‐
loo wo ke s
−Pa icipa ion in o mal and
in o mal mee ings
−Obse a ion o he wo k o design,
se up and execu ion o he
measu emen s
−Obse a ion o he wo k in he
cou se o he measu emen
(3) Pa icipa i e,
echnog aphic
wo kshops
Pa icipa ion in wo wo kshops
conduc ed by Analy icsTech ocusing
on he in‐dep h p esen a ion o he
so wa e s uc u e, unc ions and use
Managemen , p ocess enginee s and
da a scien is s o Analy icsTech
(4) Documen analysis Wo kshop ma e ials, in o ma ion
documen s o wo ks councils and
shop‐ loo wo ke s, p ocess maps
and p o ocols, analysis ou pu s
Sou ce: Au ho s.
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67
Wi h ou app oach, we build on Ja ahi e al.'s (2021) unde s anding o algo i hmic
managemen as a ‘socio echnical p ocess’and sugges a new pa h o u he de elop he
p ocess pe spec i e. The equen ly ci ed concep ualisa ion by Kellogg e al. (2020) as well as,
o ins ance, he ecen app oaches by Meije ink and Bonda ouk (2023) and Noponen e al.
(2023) ha e ocused hus a on a classi ica ion o he unc ions o algo i hmic managemen .
Meanwhile, we ollow he concep ual wo k done by Alaimo and Kallinikos (2021,2022) o
dis inguish di e en phases o algo i hmic managemen . Such an app oach allows o a
di e en ia ed analysis o he ole and powe ela ions be ween ac o s.
Ou p ocess‐o ien ed app oach dis inguishes h ee phases: goal o ma ion, da a p oduc ion
and da a analysis (see ollowing able). The cen al ac o s and he co e knowledge con ibu ions
change in each phase. Cen al managemen guides he goal o ma ion phase, bu i is highly
dependen on he echnological knowledge o Analy icsTech and on he domain knowledge o
local managemen . I also needs an ag eemen wi h local managemen and he employee
ep esen a i es (wo ks council) as bo h ac o s mus ake o e algo i hmic b oke age unc ions.
In he second phase o da a p oduc ion, he co e ac o s a e p ocess enginee s and da a
scien is s ( om Analy icsTech), bu hey mus also in ol e local managemen and gain
accep ance om he wo ke s. The domain knowledge o wo ke s and enginee s cons i u es an
impo an powe esou ce in his phase.
In he hi d and inal da a usage phase, he p ocess enginee s ake he lead and wo k on he
op imisa ion concep s wi h he da a scien is s and local managemen . We can conside his phase
o poli ics o managemen o be he cen alisa ion phase: his phase c ea es p ocess anspa ency o
managemen and in o ma ion asymme ies be ween managemen and wo ke s.
Ou p ocess pe spec i e on algo i hmic managemen sheds new ligh on he discussion
abou he po en ial o au oma e manage ial p ac ices such as decision‐making, o e sigh o ask
alloca ion (Ja ahi e al., 2021; Newlands, 2021; Noponen e al., 2023). Ou s udy shows ha
he e a e huge di e ences be ween pla o m companies and con en ional i ms and ha hese
mus be aken in o conside a ion. Pas s udies on manage ial‐p ac ice au oma ion ha e ocused
on pla o ms (Newlands, 2021). Unlike pla o m labou , howe e , he e is no digi al acking o
wo k p ocesses and no au oma ed da a p oduc ion in mos con en ional companies. I de ailed
da a abou he wo k p ocess is needed, i mus be p oduced in a labo ious p ocedu e wi h clea
limi s o au oma ion. When we look a he phase o da a usage, he abili y o au oma e is ela ed
o complexi y. Simple analyses can be au oma ed, bu iden i ying p oblems o de eloping
op imisa ion concep s and o he mo e complex analyses equi e in e p e a ion by domain
expe s. O e all, ou indings speak o na ow limi s o he au oma ion o managemen
decisions in con en ional companies.
Shi ing powe ela ions
Recons uc ing he knowledge ha di e en ac o s need o con ibu e o implemen ing
algo i hmic managemen allows us o answe ou RQ2 by analysing he changes in powe
ela ions. The i s impo an ela ion is be ween he managemen o Logis icsCo p and he
ex e nal se ice p o ide Analy icsTech. Following Alaimo and Kallinikos (2022), we show ha
collabo a ion wi h an ex e nal se ice p o ide was necessa y o Logis icsCo p o implemen
algo i hmic managemen a all. We can expec simila de elopmen s in many con en ional
companies. Unlike Alaimo and Kallinikos, howe e , we do no see a necessa y end owa d
loss o powe o e da a o ex e nal pla o ms and hus a ‘decen ing’o o ganisa ions. While he
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ini ial phase o ou case co esponded o a decen ing p ocess, Logis icsCo p s i ed o de elop
he compe ence i needed i sel . A e some ime, i licensed he so wa e om Analy icsTech,
bu i no longe needed o con ac ou he analysis; he company's own p ocess enginee s used
hei acqui ed knowledge o ga he and analyse new da a. This shows ha , depending on he
manage ial s a egy, decen ing and ecen ing scena ios a e equally possible.
Ou indings emain ambi alen ega ding he powe ela ions be ween cen al and local
managemen . Ja ahi e al. (2021) ha e emphasised ha he ole o lowe le el manage ial anks in
pa icula migh be weakened due o he implemen a ion o algo i hmic managemen . Ou s udy
shows, howe e , ha cen al managemen needs he suppo o local managemen in implemen ing
algo i hmic managemen and ensu ing wo ke accep ance. Local managemen is needed o wha
Kellogg e al. (2020, p. 389) call ‘algo i hmic b oke age’, which means communica ing ‘ he logic and
alue o he algo i hmic sys ems o a ious g oups’. Cen al managemen mus he e o e ake ca e o
implemen a sys em ha is use ul om he pe spec i e o local managemen . Once he sys em is in
place, algo i hmic managemen inc eases he anspa ency o he p ocesses in he plan s and
s eng hens he cen alisa ion o knowledge in he hands o he headqua e s.
Ou s udy emphasises he impo ance o p ocess enginee s and da a scien is s in da a
p oduc ion and da a usage—a opic ha has been neglec ed in esea ch on algo i hmic
managemen . Ou s udy o e s in e es ing insigh s he e ha shed new ligh on discussions
abou he powe ela ions be ween enginee s and da a scien is s, abou he demise o enginee s
(To s endahl, 2022) and he ise o da a scien is s in o ganisa ions (Do schel, 2021). In ou case,
he p ocess enginee s ook he lead in da a p oduc ion, and da a analysis and he da a scien is s
ope a ed mo e in he ole o a se ice p o ide . The domain knowledge o he p ocess enginee s
ep esen ed a c ucial powe esou ce, while he da a scien is s mainly con ibu ed hei
me hodological knowledge. Ce ainly, he p ocess enginee s had o de elop digi al li e acy wi h
ega d o he new sys ems, bu his was no an insu moun able hu dle. We expec ha his
ela ionship be ween he wo o ganisa ional oles does no jus apply o ou case, bu his
hypo hesis has o be e i ied in u he s udies.
Ou empi ical indings a e ambi alen wi h ega d o he posi ion o wo ke s and he powe
ela ions be ween wo ke s, enginee s and managemen . On he one hand, ou case was embedded in
he Ge man egula o y amewo k, which o e s he wo ks council, as he ep esen a i e o he
wo ke s, a ‐ eaching possibili ies o p e en he use o algo i hmic managemen o indi idual
moni o ing and inc easing he p essu e o pe o m. Acco dingly, he nego ia ions be ween
managemen and wo ks council led, in ou case, o a p ocess‐o ien ed s a egy ha explici ly
e ained om a ionalising employmen and inc easing pe o mance a ge s. We conside he
c ea ion o ins i u ional a angemen s simila o Ge man co‐de e mina ion o be a necessa y
p e equisi e o p omo ing wo ke ‐ iendly app oaches o algo i hmic managemen .
We ha e also shown ha wo ke s ha e hei own powe esou ces, especially in he da a
p oduc ion phase in which managemen in es ed hea ily o gain wo ke s' accep ance.
Howe e , ou case also shows ha once he da a was collec ed, managemen no longe elied
on wo ke s' in ol emen a all. We did no ind p ac ices such as quali y ci cles o eam
imp o emen wo kshops ha a e o he wise a co e elemen o lean p oduc ion concep s (Adle
& Bo ys, 1996; Macdu ie, 1995; Vidal, 2022). We see e idence he e o he possibili y ha AI‐
based da a analysis, combined wi h he domain knowledge o he p ocess enginee s and local
managemen , may make he de elopmen o op imisa ion concep s achie able wi hou he
wo ke s' in ol emen . While managemen mus make comp omises o assu e wo ke
coope a ion in he da a p oduc ion phase, he in o ma ion asymme ies c ea ed by he
algo i hmic managemen sys em o e all educe he need o wo ke in ol emen p ac ices.
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The impac on wo king condi ions
Ou RQ3 ocused on he impac on wo king condi ions. A i s glance, ou indings seem o
con adic a numbe o s udies on algo i hmic managemen in he adi ion o labou p ocess
heo y. In hese s udies—concisely in Kellogg e al. (2020), bu simila ly in Duggan e al. (2020)
and Schaupp (2022a)— he p ima y ou comes o algo i hmic managemen we e assumed o be
wo k in ensi ica ion and s ess. This is ma ched by a gumen s made by G een e al. (2022), who
cha ac e ised he cu en digi alisa ion p ocesses as an ‘e o ‐biased echnological change’.
Labou agency is seen p ima ily in esis ance o hese managemen concep s.
In con as , we show, i s , ha labou agency can also consis in nego ia ing he
implemen a ion condi ions o algo i hmic managemen . This ype o agency equi es
ins i u ional pa icipa ion igh s and da a p o ec ion ules. Second, we ollow Vidal's (2022)
econside a ion o labou p ocess heo y in a guing o a di e en ia ed unde s anding o
managemen goals and p ac ices. We dis inguish wo k o ce‐o ien ed s a egies as well as
p ocess‐o ien ed s a egies in he use o algo i hmic managemen . This app oach is compa ible
wi h ecen con ibu ions om managemen esea ch (Meije ink & Bonda ouk, 2023; Noponen
e al., 2023). Thi d, we do iden i y po en ial o wo ke s' agency and esis ance, especially in he
da a p oduc ion phase.
Ou majo con ibu ion lies in e ocusing he c i ical analysis o algo i hmic managemen . We
a gue ha he dange s o algo i hmic managemen lu k no jus in inc easing su eillance and wo k
in ensi y bu a he in i s impac on companies' employee in ol emen policies. Ou s udy sugges s
ha algo i hmic managemen leads o cen alisa ion o knowledge and he de elopmen o an
expe oc acy in companies ha could lead o a weakening o high‐in ol emen app oaches (see also
Bu ollo e al., 2019). The new digi al ools migh p o ide such in‐dep h p ocess anspa ency ha
quali y ci cles and imp o emen wo kshops wi h wo ke s become less ele an —wi h he u he
dange s o disillusionmen , nonaccep ance, esis ance and backlash on he wo ke s' side. In ou
in e iews wi h Analy icsTech manage s, we could no iden i y a single company which would use
Analy icsTech's echnology o empowe wo ke s. While exis ing s udies sugges ha he p opo ion o
companies implemen ing high‐in ol emen p ac ices has been slowly inc easing since he 2010s
(Gallie & Zhou, 2013,2020), he di usion o algo i hmic managemen could change his end. We
see he es ing o his hypo hesis as an impo an ask o u u e esea ch.
LIMITATIONS
The limi a ions o ou app oach lie in he me hodological cha ac e is ics o an in‐dep h case s udy.
Despi e ha ing de eloped a unique analy ical amewo k and pains akingly econs uc ed he
in e ac ions and powe ela ions in ou case which led o es able hypo heses, we canno d aw
conclusions abou how common he cons ella ion we desc ibe is ac ually ep esen ed in he o e all
popula ion o companies. This will be an impo an ques ion o u u e esea ch.
CONCLUSION
The s a ing poin o ou a gumen a ion was he obse a ion ha he discussion on
algo i hmic managemen is domina ed by a na ow pe spec i e based on he con ol‐ esis ance
pa adigm and o e es ima ing he po en ial o digi al echnologies o he au oma ion o con ol.
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Ou mo i a ion and aim was o open he black box o managemen p ocesses, as ecommended
in ecen con ibu ions o labou p ocess heo y (Vidal, 2022).
Based on Alaimo and Kallinikos (2022), we ha e p oposed an analy ical amewo k ha
di e en ia es he phases o goal o ma ion, da a p oduc ion and da a usage. We see his p ocess
pe spec i e on algo i hmic managemen as a new and impo an ool o analyse in e ac ions
and ba gaining be ween ac o s.
Ou i s co e inding is ha he ac o s' domain knowledge ep esen s an impo an powe
esou ce—no simply op managemen and employees' know‐how, bu also ha o p ocess
enginee s and local managemen . Wi h ega d o managemen , o second co e inding is how
he egula o y con ex in Ge many led o he de elopmen o a p ocess‐o ien ed s a egy. This
s a egy dispensed wi h indi idual moni o ing and ocused on he elabo a ion o op imisa ion
ideas ha ela e o p ocess design, he use o machines and also e gonomic issues. This di e s
om s udies om he US and UK con ex s which ha e o en shown he dominance o
wo k o ce‐ ela ed s a egies ha ocus on a ionalisa ion and pe o mance p essu e. We
conclude ha a egula o y amewo k along he lines o Ge man co‐de e mina ion is an
impo an p e equisi e o p omo e wo ke ‐ iendly implemen a ion o algo i hmic manage-
men . A he same ime, howe e , ou hi d co e inding is ha e en in his con ex he e is he
dange ha p ac ices o algo i hmic managemen could weaken he p e ious ole o high‐
in ol emen p ac ices o he elabo a ion o op imisa ion p oposals and lead o deg ading
o wo k.
Ou majo con ibu ion o he esea ch li e a u e is he p ocess model o algo i hmic
managemen and he empi ical analysis o he poli ics o algo i hmic managemen in
con en ional wo kplaces, which di e signi ican ly om pla o m companies. We a gue ha
esea ch has o elucida e he ole o he egula o y amewo ks, a ious ac o s' knowledge
con ibu ions o he algo i hmic managemen sys em, and he powe ela ions esul ing
he e om.
Ou esea ch also has p ac ical implica ions. Fo managemen ac o s, i shows i s ly he
impo ance o c oss‐ unc ional collabo a ion be ween p ocess enginee s, da a scien is s and
wo ke s, and secondly he possibili ies o a coope a i e design o algo i hmic managemen
sys ems wi h employee ep esen a i es. Fo employee ep esen a i es, on he o he hand, i
illus a es he impo ance o pushing o o ms o wo ke in ol emen in he use o algo i hmic
managemen sys ems, in addi ion o issues o da a p o ec ion and pe o mance moni o ing.
ACKNOWLEDGEMENTS
This s udy was suppo ed by he Volkswagen Founda ion and he Fede al Minis y o
Educa ion and Resea ch. Open Access unding enabled and o ganized by P ojek DEAL.
ORCID
Ma in K zywdzinski h p://o cid.o g/0000-0002-3927-6616
Daniel Schneiß h p://o cid.o g/0000-0003-3775-3324
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