Change
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The document explores the evolution of Netflix, highlighting its journey from a DVD rental service in 1997 to a global streaming giant by 2017, with significant milestones including original content creation and a focus on a 'freedom and responsibility' culture. It discusses the challenges that arise as companies grow, such as complexity, bureaucracy, and the need for innovation over rule-following. Ultimately, it emphasizes the importance of fostering a creative environment and the balance between freedom and accountability within the organization.
Change
- 1. A stream of consciousness about CHANGE inspired by the famous NETFLIX’s Manifesto “FREEDOM and RESPONSABILITY CULTURE” By Alessio Cuccu
- 2. The BEGINNING of EVERYTHING (1997) 2 founders BUSINESS STARTED one year later ( 1998 ) 30 employees 925 titles for rent From http://www.fundinguniverse.com/company-histories/netflix-inc-history
- 3. From www.businessinsider.com Netflix's website in 1999 looked nothing like it does today - (2016) 1999 – more than 2600 DVDs to rent
- 4. From www.businessinsider.com Blockbuster's CEO once passed up a chance to buy Netflix for only $50 million (2015) DEAR Are you interested in buying me (NETFLIX) for 50milions? (2000)
- 5. From https://blogonmanagement.wordpress.com Disruptive innovation in the Video Rental Industry – Story of Netflix (2015) You already know the answer and the UNHAPPY ENDING
- 6. From GOOGLE IMAGES “store closing blockbuster” research STORE CLOSING THIS LOCATION ONLY
- 7. From www.businessinsider.com Netflix's website in 1999 looked nothing like it does today - (2016) DVD RENTALS delivered to you! (shipped by Post services) I CAN’t IMAGINE SOMETHING MORE “HARDWARE” (2004)
- 8. From www.businessinsider.com Netflix's website in 1999 looked nothing like it does today - (2016) I CAN’t IMAGINE SOMETHING MORE “SOFTWARE” UNLIMITED STREAMING EASIER THAN YOU THINK – FREE TRIAL (2008)
- 9. From https://blogonmanagement.wordpress.com Disruptive innovation in the Video Rental Industry – Story of Netflix (2015) First original series success “HOUSE of CARDS” (2013)
- 10. From www.businessinsider.com Netflix's website in 1999 looked nothing like it does today - (2016) WATCH ANYTIME, ANYWHERE “From 7.99 a month – start your free month” (2014)
- 11. If you’d had invested in Netflix 10 years ago (2007) you would have brought in 50X your initial investment (2017) From http://www.visualcapitalist.com A Decade Later: What $1K Invested in These Stocks is Worth Today (2017) In case you want, call it ROI
- 12. Netflix soared past the television network owner with a $32.9 billion market valuation Netflix also reached the 50 million mark in subscribers of its paid service and became available in 40 countries From www.businessinsider.com Blockbuster's CEO once passed up a chance to buy Netflix for only $50 million (2015) EPIC CHANGE in 20 years 3.500 employees REVENUE: 8.3 bilions (2015) Wikipedia
- 15. From: www.hbr.com ‘one of the most important documents ever to come out of Silicon Valley’ Sheryl Sandberg THE FREEDOM and RESPONSABILITY CULTURE MANIFESTO
- 17. when a company grows up 1. #complexity VS #chaos 2. #self-discipline VS #rules 3. #freedom VS #bureaucracy 4. #flexibility VS #efficiency 5. #talent VS #rules followers 6. #experimenting VS #no error 7. #innovation VS #status quo 8. #long term VS #short term
- 18. “many organizations have freedom and responsibility when they are small. Everyone knows each other, and everyone picks up the trash. As they grow, however, the business gets more complex, and sometimes the average talent and passion level goes down.” From https://jobs.netflix.com/culture
- 19. As companies grow, they often become highly centralized and inflexible. Symptoms include: - Senior management is involved in tons of small decisions - There are numerous cross-departmental buy-in meetings to socialize tactics - Pleasing other internal groups takes precedence over pleasing customers - The organization is highly coordinated and less prone to error, but slow and frustrating From https://jobs.netflix.com/culture
- 20. #no error BEATS #experimenting #bureaucracy BEATS #freedom
- 21. As rules and procedures proliferate, the value system evolves into rule following (i.e. that is how you get rewarded). If this standard management approach is done well, then the company becomes very efficient at its business model — the system is dummy-proofed, and creative thinkers are told to stop questioning the status quo. From https://jobs.netflix.com/culture #rules BEATS #self-discipline #rules followers BEATS #talents
- 22. #efficiency BEATS #flexibility #status quo BEATS #innovation
- 25. HIGH PERFORMANCE PEOPLE SELF-DISCIPLINE with NO RULES
- 27. THE RIGHT PEOPLE
- 28. LONG TERM SIMPLICITY THROUGH GOOD COMPLEXITY
- 30. “We model ourselves on being a TEAM, not a FAMILY. A family is about unconditional love, despite your siblings’ unusual behavior. A dream team is about pushing yourself to be the best teammate you can be, caring intensely about your teammates, and knowing that you may not be on the team forever.” The new 2017 update From https://jobs.netflix.com/culture FREEDOM and rapid recovery is better than trying to prevent ERROR. We are in a creative business, not a safety-critical business. Our big threat over time is lack of INNOVATION, so we should be relatively error tolerant. Rapid recovery is possible if people have great judgment. The seduction is that error prevention just sounds so good, even if it is often ineffective. We are always on guard if too much error prevention hinders inventive, creative work. On rare occasion, FREEDOM is abused. But those are the exceptions, and we avoid over-correcting. Just because a few people abuse freedom doesn’t mean that our employees are not worthy of great TRUST.
- 32. From https://www.digitaltrends.com/home-theater/netflix-vs-hulu-plus-vs-amazon-instant-video/ Price Audio & Video quality Content Supported Devices Interface & ease of use Original content Release date for new content “Netflix is still the king of the streaming world” REVIEWS about TOP STREAMING PERFORMERS
- 33. From https://www.polygon.com/2017/10/30/16575426/house-of-cards-ending “HOUSE of CARDS” a cut with the past NO FEAR to leave a great success
- 34. From Seth’s blog - http://sethgodin.typepad.com/ The boss goes first (November 2017) “The rules that matter the most are the ones about behaviour, transparency and accountability. People might hear what you say, but they always remember what you do”
- 35. MASTER the