This Week in Startups

No Rules Rules Co-Author Erin Meyer: Netflix’s “keeper test”, comparative turnover, navigating global business cultures – Part 2 | E1168

Jan 30, 2021
Erin Meyer, co-author of 'No Rules Rules' and expert on global business cultures, shares insights from Netflix's unique management style. She explores the 'keeper test,' a tool fostering performance accountability. Erin contrasts Netflix's competitive culture with traditional workplaces, highlighting the importance of candid feedback across different countries. She also discusses the challenges of salary transparency and cultural adaptation, showcasing how practices vary from the U.S. to Japan. Prepare for a deep dive into the dynamics of successful global business cultures!
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ADVICE

The Keeper Test

  • Use the "Keeper Test" to assess your team's value.
  • Ask yourself if you would fight to keep each member if they wanted to leave.
ANECDOTE

Netflix's Expense Policy

  • Netflix's initial expense policy, "act in Netflix's best interest", was too vague.
  • Employees interpreted it lavishly, leading to excessive spending and revisions.
ADVICE

Applying the Keeper Test

  • Imagine each team member resigning and gauge your reaction.
  • If you'd be relieved, consider if they've received enough feedback and if it's time for a replacement.
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