Thread by @compound100x

Culture is a fascinating topic to study and where better to start than $nflx. No rules rules is a great book, some thoughts upfront and I will share more in future threads.⬇️
1. Many have looked at netflix culture deck and some firms have tried emulating. But few have done so

2. Successfully because it is often easier to copy the form than substance. Take 360 feedback for example, many firms adopt it, but it is hardly as useful as the transparent feedback culture NFLX developed. You can take each of NFLX's policy and apply to your company, but not

3. understanding the nuance and issues of the application could lead to very unsatisfactory results. For example, companies adopting the no vacation policy without leader modelling behavior can find that it leads to "no vacation" and burnt out employees. without truly believing

4. and understanding the value of such a policy in terms of building freedom and responsibility culture, they will likely give up and say it doesn't work. Indeed some companies have given up on the no vacation policy. Furthermore, you almost can't pick and choose NFLX policies.

5. It is many dots linking up to create the whole culture, you need to adopt the whole system for it to work well together. For example, you first need high talent density where people are already high performing and responsible individuals, then only with candor and transparent

6. feedback will you be able to implement the no rules policies around vacation and expense because if anyone exploit those policies, their peers will provide feedback to inform of inappropriate behavior. And then within each vector, there are nuances in proper application, be

7. it having a leader share and teach the right way of giving/receiving honest feedback, or having a "does it benefit Netflix" rule of thumb when deciding what expense to be made. And then needing to develop a sense of ownership for people to even care enough to think from

8. the "does it benefit nflx" angle and a lot of the ownership is developed through trusting employees by always being transparent, for example: sharing financial info ahead of quarterlies to the firm rather than keeping it a secret, sharing restructuring info ahead of time etc

9. As with many things, understanding the true substances behind these NFLX policies is key to seeing its benefit. And above all, you need a leader who actually understands the value of affording freedom and responsibility to a highly talented workforce way outstrip the

10. cons. This is indeed a powerful moat, because a big corporate with its existent bureaucracy and employees working decades with one mindset can't shift to the NFLX mindset. The principles in this book, like Hastings said, is literally likely only helpful to earlier

11. stage evolving startups that are still nimble and small enough to implement a radical change to their corporate culture.

Some internal anecdotes ard of policies: valuing transparent feedback, starting frm the top aka Ted

12. Attraction of no vacation policy for high performers

13. No expense policy empowering junior to act in netflix best interest

End/ Open the books policy creating the you are part of this so we share everything with you mindset, encouraging commitment and feeling of ownership

Will share more thoughts on this topic over time