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I just read a fascinating Wall Street Journal article regarding the Netflix culture: “At Netflix, Radical Transparency and Blunt Firings Unsettle the Ranks.”* Clearly, Reed Hastings is doing an incredible job as CEO of Netflix and I commend him on successful execution of a complex growth strategy. However, I predict that the physics of business will come into line as the growth curve flattens.
As the growth curve flattens, Netflix will begin to transform from an entrepreneurial hero culture to an operating company culture. To be sure, it will transform to a high performing operating company, but the staffing mix will change at all levels. Staff of a high performing operating company culture will be less inclined to embrace radial transparency, blunt firings and many of the other hallmarks of Netflix current hero culture.
I encourage you to read the Netflix article and then download my whitepaper Transforming a Hero Culture.
* If you click on the link to the Netflix article and you are requested by the Wall Street Journal to login or if you receive the message “The document you requested either no longer exists or is not currently available”, then navigate to wsj.com and search for “Netflix”, click on the symbol NFLX and then scroll down to the article date 10/25/18.
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