21st Century Business: Culture Code.

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When Netflix CEO Reed Hastings published 126 slides on slideshare in 2009, who knew it would go viral (with more than 5 million views and counting…); would have Sheryl Sandberg stating, “It may well be one of the most important documents ever to come out of the Valley”; and would inspire a growing number of followers eager to explicitly define their company culture code (Spotify, Linkedin, Google and more). The Netflix Culture Deck was originally conceived as a recruiting tool to attract potential candidates interested in leadership and culture, and benefits over profit—which is becoming more and more important as we highlighted previously in this post about the Game Changers 500 Index— but more than that, it has sparked a high level conversation among top leaders and execs around how to define and create great company culture.

“People find the Netflix approach to talent and culture compelling for a few reasons. The most obvious one is that Netflix has been really successful: During 2013 alone its stock more than tripled, it won three Emmy awards, and its U.S. subscriber base grew to nearly 29 million. All that aside, the approach is compelling because it derives from common sense. Over the years we learned that if we asked people to rely on logic and common sense instead of on formal policies, most of the time we would get better results, and at lower cost. If you’re careful to hire people who will put the company’s interests first, who understand and support the desire for a high-performance workplace, 97% of your employees will do the right thing.” —Patty McCord, Founder of Patty McCord Consulting; Former CTO (Chief Talent Officer) at Netflix: 1998-2012 

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