{"id":66844,"date":"2016-07-26T02:00:00","date_gmt":"2016-07-26T02:00:00","guid":{"rendered":"https:\/\/www.talogy.com\/?p=66844"},"modified":"2025-09-12T11:09:54","modified_gmt":"2025-09-12T11:09:54","slug":"7-aspects-of-netflixs-company-culture-that-youll-want-to-copy","status":"publish","type":"post","link":"https:\/\/talogy.com\/en\/blog\/7-aspects-of-netflixs-company-culture-that-youll-want-to-copy\/","title":{"rendered":"7 aspects of Netflix\u2019s company culture that you’ll want to copy"},"content":{"rendered":"\n

We always hear the phrase, \u2018culture makes the place.\u2019 Culture sets the tone for the entire workplace and can be a big driver as to whether individuals want to come to work there and stay working there. We hear about cool cultures of Silicon Valley companies all the time\u2026free lunches, ping pong tables, nap rooms, and lots of other perks. <\/p>\n\n\n\n

But does a cool culture equate to the success of a company? Not necessarily. When shaping their culture, Netflix not only sought to build a strong company\u00a0culture<\/a>, but they defined the culture in a way that would motivate high performance at the same time. Netflix\u2019s approach to culture and talent is unique because 1. it has worked and 2. it is based on common sense. So, how does Netflix determine their culture? Let\u2019s take a look at the seven aspects that make up Netflix’s culture.<\/p>\n\n\n\n

1. Values are truly valued<\/h2>\n\n\n\n

\nAt Netflix, they don\u2019t just have value statements that are esoteric and only look good on paper. Instead, Netflix values are skills and behaviors that they seek in people when making hiring and promotion decisions. For example, they seek people who have good judgment, communicate effectively, and are innovative. Netflix core values are tied to specific behaviors so they know what to look for. They are not ideals, but rather expectations.\n\n<\/p>\n\n\n\n

2. Only accept high performance<\/h2>\n\n\n\n

\nNetflix encourages managers to use something called the \u2018Keeper Test.\u2019 The Keeper Test asks managers, \u201cIf someone on my team told me he was leaving for a similar job at a peer company, would I fight hard to keep him here?\u201d If the answer is no, then they should be given a nice severance package. In their research, they found that the best employees are two times more effective than average in procedural work, and 10 times more effective than average in creative work. Therefore, they understand the importance of high performers<\/a> and don\u2019t tolerate anything less.\n\n<\/p>\n\n\n\n

3. Give employees freedom and make them responsible<\/h2>\n\n\n\n

Netflix found that if they merely asked employees to rely on logic and common sense instead of strict rules, then the majority of the time they get better results at a lower cost. Rules are helpful for the few percent that cause problems, but they try to avoid this by hiring great employees<\/a> and eliminating the bad apples once identified in the company. <\/p>\n\n\n\n

An example of how they implemented this is by eliminating a formal vacation policy. Instead, they allow salaried employees to take off time whenever. Another example is when they eliminated a formal expense and travel policy and instead told employees to act in Netflix\u2019s best interests. They found that most employees were more frugal and as a result, the company saved more money.<\/p>\n\n\n\n

4. Create context, don\u2019t control<\/h2>\n\n\n\n

\nManagers are encouraged to set a strategy, define metrics, clearly define roles, and be transparent around decision-making rather than making unilateral decisions and focusing more on planning and less on results. Great outcomes result when you set the context rather than when you elicit control.\n\n<\/p>\n\n\n\n

5. Align strategies and goals<\/h2>\n\n\n\n

\nNetflix\u2019s general mentality is to have very clear strategies and goals across the company and within teams. Along with this, they give greater trust to teams and departments so there are less cross-department meetings and micromanagement. The ultimate goal is to be big, fast, and flexible.\n\n<\/p>\n\n\n\n

6. Pay top of the market<\/h2>\n\n\n\n

For a top-performing employee, the mentality is to 1. pay them more than another company would, 2. pay them as much as a replacement would cost, and 3. pay them as much as they would pay to prevent them from going to a competitor. Netflix believes that it\u2019s more motivating to employees to have the highest salary possible than to have average salary paired with bonuses. <\/p>\n\n\n\n

They also want employees to stay because they are passionate about the job \u2013 not because they are waiting for incentives to be fully vested or because of deferred compensation. Therefore, they don\u2019t engage in these practices. <\/p>\n\n\n\n

7. Encourage informal development<\/h2>\n\n\n\n

When it comes to performance evaluations, Netflix encourages ongoing conversations and implemented informal 360-degree reviews. One of Netflix’s core values is honesty and therefore all 360 review feedback<\/a> is non-anonymous and discussed openly. Netflix does not have any formal development programs (e.g., mentoring, rotational assignments), but they support self-development efforts. <\/p>\n\n\n\n

While Netflix culture is not for everyone, it does have a lot of positives. If you want to be a successful company, it\u2019s very important that you not only build a strong company culture, but you incorporate your approach to talent and high performance within that culture.<\/p>\n\n\n\n

\"\"<\/figure>
\n

Hiring for cultural fit<\/h2>\n\n\n\n

What you need to know to get started<\/h3>\n\n\n\n

Organizations are increasingly turning to the concept of \u201cculture fit\u201d for successful recruiting and hiring. Ensuring that new hires have values and beliefs that align with those of the existing organizational culture can be even more important than skills, qualifications, and experience when it comes to successful hiring decisions.<\/p>\n\n\n\n

\n
Download now<\/a><\/div>\n<\/div>\n<\/div><\/div>\n","protected":false},"excerpt":{"rendered":"

We always hear the phrase, \u2018culture makes the place.\u2019 Culture sets the tone for the entire workplace and can be a big driver as to whether individuals want to come to work there and stay working there. We hear about cool cultures of Silicon Valley companies all the time\u2026free lunches, ping pong tables, nap rooms, […]<\/p>\n","protected":false},"author":9,"featured_media":104474,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"custom_post_author_id":"103362","footnotes":""},"categories":[207],"tags":[1393,1394,1395],"tax_topic":[427,431,434],"tax_industry":[157,189,156,188,593,155,154,594,595,153,187,152,186,151,184,150,149,183,148,596],"class_list":["post-66844","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-blog-en-gb","tag-organizational-change","tag-talent-retention","tag-values-and-culture-fit","tax_topic-organisational-change-en-gb","tax_topic-talent-retention-en-gb","tax_topic-values-and-culture-fit","tax_industry-automotive","tax_industry-automotive-en-gb","tax_industry-energy-and-utility","tax_industry-energy-and-utility-en-gb","tax_industry-federal-government-en-gb","tax_industry-federal-government","tax_industry-finance-and-insurance","tax_industry-finance-insurance","tax_industry-healthcare-en-gb","tax_industry-healthcare","tax_industry-manufacturing-en-gb","tax_industry-manufacturing","tax_industry-professional-services-en-gb","tax_industry-professional-services","tax_industry-public-sector-en-gb","tax_industry-public-sector","tax_industry-retail","tax_industry-retail-en-gb","tax_industry-state-and-local-government","tax_industry-state-local-government-en-gb"],"yoast_head":"\nNetflix company culture: 7 elements of inspiration | Talogy<\/title>\n<meta name=\"description\" content=\"What makes Netflix company culture so appealing to professionals? 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