Book Review — No Rules Rules

Netflix is one of the many unique stories of new age disruption, it came to its present form by disrupting its then giant in market “BlockBuster”

This book is authored by founder of Netflix Reed Hastings and his colleague Erin Meyer. It is very easy to read and follow. I really like the direct language where author do not spent words on making the message diplomatic.

Also I am really impressed with the honestly of authors in accepting their own mistakes. Many time the successful people are come around as a product of their success however more I read and more I understanding that they are the product of their failures.

The book is based on 3 management practices, revised again and again as book progress, which makes it easy to follow the Netflix transformation and digest it for readers.

Those 3 practices are,

Talent density

how to increase talent density, how to make sure it remain such and how to increase it with time. I really liked their analogy of treating company work culture not as a family but a as a team competing in professional sports. Like family in sports team players support each other and unlike family players does not cover up each others mistakes. Every who is in team deserves to be in team. Which is I think always the case with corporate world where within a company there was always a competition and cooperation like a sports team. However, many business leaders shy away of stating it so bluntly.

I really liked their “keepers test” where management asses everyone by one rule — “will we flight to retain this person if he or she decides to leave the company”? If yes, then that person should be paid as best as possible and if not, then that person should be let go with generous severance package.

Radical Condor

We have heard many time that feedback is the gift. However, how many time you have received or given a feedback which really helped a person without putting them in defensive mode? We always wrap the feedback in a nice wrapper with focus on positive things however many time this wrapper messes up the message.

If all are expected to receive and give feedback without filter it becomes a culture which improves with the day.

Redefine control

We all agree that policies are fundamental part of modern society. However we all complain about the bureaucracy we see around be that in government, school or in your own organization.

Many years ago somebody told me that the higher up you are in the chain sooner you get access to information, and lower you are in position longer it takes. So what’s makes executive and managers superior is access to information and power of decision making.

In book both authors makes a case that decision should be taken at the lowest level as possible.

One more reason which makes this book fun to read if that the Reed Hasting shares lot of his experience from previous company while running and introspecting that while forming no rules :) at Netflix.