If you are working on getting your bachelors in human resource management, and haven’t stumbled upon Netflix’s Slideshare presentation titled “Netflix Culture: Freedom & Responsibility”, it may be time to play catch-up. With over 9 million views, the presentation updated in 2011 has caused a wave of discussion in the human resources world that’s still relevant today.
The presentation challenged many traditional human resources practices such as formal vacation and introduced innovative ideas when it comes to talent management. “Adequate performance gets a generous severance package” and “sustained A-level performance, despite minimal effort, is rewarded with more responsibility and great pay.” The culture of excellence, maintains that “Netflix leaders hire, develop and cut smartly, so [they] have stars in every position.”
Earlier this year, Harvard Business Review Magazine caught up with Reed Hastings, CEO of Netflix, for a Q&A about the Slideshare presentation as it stands today. Though Hastings admits that the performance review policy is the hardest sell with employees, he maintains that none of the talent management innovations have failed them thus far. Hastings also explains the need for innovation in HR stems from its deep-rooted history in industrial firms, which is less relevant for creative firms today. “Industrial firms thrive on reducing variation (manufacturing errors); creative firms thrive on increasing variation (innovation).”
A Forbes article published in August, How A Culture Of Innovation Could Win Netflix Some Emmys, attributes Netflix’s corporate culture as one of the reasons that “helped land the company 30th on [Forbes] annual list of Word’s Most Innovative Companies with a 47.15 percent innovation premium, which measures how much investors have bid up a company’s stock price above the value of its existing business.”
At Limestone, the students pursuing Human Resource Management also receive a minor in Business Administration. The knowledge and skills they obtain in both human resources and business prepares them to serve as innovative leaders and trusted advisors when it comes to HR implications of the company’s overall strategy.