Net Flix No Rules Rules

How to build to High

performance on Culture of
freedom Plus Responsibility
 Talent Density: A fast innovative workplace is
based on Talent Density few but highly talented
High Talent people of diverse backgrounds and perspectives
who exceptionally creative accomplish significant
Density amounts of important works and Collaborate
effectively
( Attract
Manage E.g.: When you fire the people who aren’t doing
their best, you’ll notice that the atmosphere will
Retain) become positive and inspirational for the
remaining workers that’s because the entire office
will feel like its filled with the people who are
madly in love with their work.
 If you have team of four and one person is a slacker the
other will be less enthusiastic about the work and they’ll
probably stop trying.
Talent
Density
If you have team of three talented employees, they will
do wonders

If you have a group with a few merely adequate

performers that performance is likely to spread brining
down the performance of the entire organization
 Openly voicing Opinions and Feedbacks instead of
whispering behind one another's back reduces
Openly employee and management backstabbing and Politics
and allow them to work faster. The more people hear
voicing what they could do better the better everyone gets at
their jobs and better they perform as company.
Opinions and
Feedbacks
Most People intuitively understand that a simple
feedback loop can help them get better at their jobs
 • Unlimited Vacation helps attract and
retain top talent and reduces bureaucracy
and administrative costs of keeping track

Unlimited of who is out and when. Most important

the freedom signals to employees that
they are trusted to do the right thing

Vacation which in turn encourages them to behave

responsibly in the absence of a policy the
amount of vacations people take largely
reflects what they see their boss and
colleagues taking
 Netflix's mantra Don’t seek to please the Boss means that
Don’t seek employees don’t need the boss’s approval to move
forward but they should let the boss know what's going

to please the on.

Boss If your employees are excellent and you give them

freedom to implement the bright idea’s they believe in
innovations will Happen. Employee usually afraid to
disagree with their boss at Netflix however it is considered
Disloyal to the company if you disagree with an idea and
do not express that disagreement by withholding your
opinion . You are implicitly choosing to not help the
company
 In order to
Cultivate High
Talent density If a person on your team were to
quit tomorrow, would you try to change
Managers should their mind or would you accept their
resignation. If it’s the Latter, you should
Frequently apply fire them now and look for someone
you would fight to keep
the Keeper Test
 • There is one Netflix guideline if practiced

Be either religiously would force everyone to be either

radically candid or Radically quiet .Only say about
someone what you will say to their face. Netflix’s
Radically Management team realized that in a, company
with thousand of employees it was impossible to
Candid or have everyone sit down with their managers for a
formal performance review. So, they created an

Radically online system where employees can give feedback

to anyone else at the company and recipient can
reply. The 360-feedback process is designed to give
quite you the feedback from your peers and your boss.
• Your Boss Gives feed back on strengths and weakness
• Your Peers Gives feed back you can improve

Live 360 Feedback sessions work when you have high talent density and a no
brilliant jerks' policy. If you employee are immature have bad attitudes and
lacks the self confidence to show the public vulnerability, They have no place
on your team. You want to be very careful no to shame anyone so if someone
steps out of line during a live 360 the leader needs to step in and correct the
comment in real time
.
Leadership with
Control
• Leadership with Control is when the boss
approves and direct the initiatives, action and
Decisions of the team on the other hand
leading with context is when the bosses
provide all the information so that team
members make great decisions and
accomplish their work without someone
controlling their action.
• When considering whether to lead with
context or control the key question to ask is
whether your goal is error prevention or
innovation. If your focus is on eliminating
mistakes, then control is best. But if your goal
is innovation , control is counterproductive
Error Prevention and Replicability

Creativity Speed and agility

In Industrial era the goal was to minimize variation but in creative companies
today maximizing variation is more essential.

Off course you can't just remove the rules and processes tell your team there are
no rules and expect it to succeed without the right conditions' chaos will ensue

You must actively seek and build team that is innovative fast and flexible.
Seven Aspect of Netflix Culture

Values are High Freedom and Context Not

what we Value Performance Responsibility Control

Highly
aligned , Pay top of Promotions &
Loosely Market Development
coupled
 Continues Success= Continuous growth in
Revenue , Profit and Reputation

Culture is Culture the supports Rapid innovation and

excellent execution

How a firm Culture that supports effective teamwork of High

Operates performance people

Culture avoids the rigidity, mediocrity and

complacency that infect most organization as
they grow