Value Accounting System
"We need to make the distinction between co-creation of value and value exchange. These are two important processes but very distinct ones. Sensoricans [members of Sensorica ] are working hard to solve the value accounting problem, which is meant to support large scale co-creation of value. The value accounting is a way to capture individual contributions that blend into a unique product, to evaluate these contributions, and to compute equity in the end product, i.e. a % for every contributor.
NOTE the value accounting system is NOT a system that objectifies value and it is not a bean counting system! It is a social contract, a method for calculating equity to which all contributors adhere, to reassure every contributor about how the future revenue will be redistributed. That's it! It preserves the subjective nature of value, it can take, in theory, into consideration all types of value, tangible and intangible.
Once the product is made, it can be exchanged, and this is where we need currencies, or systems of value exchange.
Value accounting (for co-creation of value) and value exchange are two different things. These two systems must interact with each other, but we need to see them as separate. One is designed to manage the amalgamation of value from different agents into one product, the other one is designed to facilitate value exchange between different agents, with no value added in the process."
(from email November 2012)