{"id":6061,"date":"2026-08-26T16:10:45","date_gmt":"2026-08-26T16:10:45","guid":{"rendered":"https:\/\/crosscountrymovingteams.com\/?p=6061"},"modified":"2026-08-26T16:10:45","modified_gmt":"2026-08-26T16:10:45","slug":"its-very-objective-billionaire-marc-lores-wonder-uses-an-ai-algorithm-to-determine-who-gets-promoted","status":"publish","type":"post","link":"https:\/\/crosscountrymovingteams.com\/?p=6061","title":{"rendered":"\u2018It\u2019s very objective\u2019: Billionaire Marc Lore\u2019s Wonder uses an AI algorithm to determine who gets promoted"},"content":{"rendered":"<div>\n<p>The billionaire entrepreneur told <em>Fortune<\/em>\u2019s Allie Garfinkle in a recent <em>Term Sheet <\/em>podcast episode the food-tech company uses an AI-powered performance management system that determines whether employees should advance through the organization based partly on scores submitted by their colleagues.<\/p>\n<p>Read more <a href=\"https:\/\/crosscountrymovingteams.com\/?p=6059\">Meta\u2019s $17 billion child-safety settlement is the biggest tech payout ever\u2014or 3x what it paid to acquihire a 28-year-old AI superstar<\/a><\/p>\n<p>At least a dozen coworkers rate an employee on their performance, behaviors, and leadership qualities every six months, Lore explained, and these ratings, combined with written feedback, are fed into AI that generates a performance report. The company also adds another metric it calls \u201cvalue above replacement,\u201d or VAR, which measures how difficult it would be to replace an employee with someone at the same organizational level.<\/p>\n<div>\n<div>\n<div><\/div>\n<\/div>\n<\/div>\n<p>\u201cBetween your VAR score and your performance management score, AI basically calculates whether or not you should be promoted,\u201d Lore said. \u201cSo it\u2019s very objective.\u201d<\/p>\n<p>The system also calculates how long employees should remain in a position before advancing. Human management can override the model\u2019s recommendation with a convincing argument that the algorithm missed something, Lore explained, but those cases are increasingly rare and disagreements with the model can also turn into data used to change it.<\/p>\n<p>\u201cThere\u2019s a handful of exceptions every period where we disagree with the AI model,\u201d Lore said, but \u201cthe model is getting smarter, and there\u2019s less exceptions every time.\u201d<\/p>\n<div>\n<div><\/div>\n<\/div>\n<p>Lore argues putting more of the decision into a standardized system can make promotions fairer by reducing the role of personal bias and even potential discrimination against women and minority employees.<\/p>\n<p>\u201cThis kind of corrects for that,\u201d he said.<\/p>\n<div>\n<div>\n<div><\/div>\n<\/div>\n<\/div>\n<p>The AI system fits with Lore\u2019s longstanding habit of approaching complicated business decisions with numbers. In a <em>Fortune<\/em> profile last year, his uncle Joe Lore, recalled that even as a teenager he would try to arbitrage horse-racing rather than simply cheer on one favorite, betting on multiple in smaller amounts to win. Decades later, that instinct remained central to how he approached his companies.<\/p>\n<p>Read more <a href=\"https:\/\/crosscountrymovingteams.com\/?p=6057\">The $40 trillion national debt and the bond market\u2019s revolt: top Wall Street strategists explain how we got into this mess<\/a><\/p>\n<div>\n<div><\/div>\n<\/div>\n<div>\n<div><\/div>\n<\/div>\n<p>\u201cIt will always revert to a percent or percentage, and putting the odds in your favor,\u201d Joe Lore told <em>Fortune<\/em> about how Lore operates. \u201cIt doesn\u2019t matter if he\u2019s selling screws, widgets, hamburgers.\u201d<\/p>\n<div>\n<div><\/div>\n<\/div>\n<p>At Wonder, even the organizational chart has a formal ranking system. Lore told <em>Fortune<\/em> positions are represented by colors modeled after taekwondo belts, progressing from white and yellow through brown and black. Looking at the color-coded organizational chart lets him quickly assess where Wonder is putting senior talent and how many lower-level employees report to higher-level workers.\u00a0<\/p>\n<p>Wonder also has a transparent compensation system so employees can see what others at the company make.\u00a0<\/p>\n<div>\n<div><\/div>\n<\/div>\n<p>Lore\u2019s use of AI in helping decide promotions is landing right as Wonder is becoming considerably larger\u2014and increasingly leaning on automation.<\/p>\n<div>\n<div>\n<div><\/div>\n<\/div>\n<\/div>\n<div>\n<div><\/div>\n<\/div>\n<p>Wonder raised more than $650 million at a $9 billion valuation this summer, bringing its total funding since its 2018 founding to roughly $3 billion. Lore told <em>Fortune<\/em> exclusively the company, which operates 135 food halls across 10 East Coast states, will be \u201cready and prepared to go public early next year.\u201d<\/p>\n<p>Lore is also pushing automation into Wonder\u2019s kitchens. He said at Fortune Brainstorm Tech in June an automated bowl-making system can produce as many as 500 bowls an hour, compared with up to 45 for a human worker.<\/p>\n<p>Read more <a href=\"https:\/\/crosscountrymovingteams.com\/?p=6055\">The U.S. declared an \u2018onslaught\u2019 on Iran. China\u2019s banks got a pass<\/a><\/p>\n<div>\n<div><\/div>\n<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Lore has spent his career turning messy business problems into math. At Wonder, he\u2019s now applying that instinct to employees\u2019 careers.<\/p>\n","protected":false},"author":1,"featured_media":6060,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[435],"tags":[],"class_list":["post-6061","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-human-resources"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.7 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>\u2018It\u2019s very objective\u2019: Billionaire Marc Lore\u2019s Wonder uses an AI algorithm to determine who gets promoted - Cross Country Moving Team<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/crosscountrymovingteams.com\/?p=6061\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"\u2018It\u2019s very objective\u2019: Billionaire Marc Lore\u2019s Wonder uses an AI algorithm to determine who gets promoted - Cross Country Moving Team\" \/>\n<meta property=\"og:description\" content=\"Lore has spent his career turning messy business problems into math. 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