A New Appreciation for the Innovative Leadership of Netflix

    
 

It’s so easy to get caught up in the jargon.  If I had any spare time I would create an app for my  netflix-innovative-leadership-140iPhone called Business Jargon Bingo and every time I heard the words business disruption, digital disruption, digital transformation, Rockstar, “taking shots on goal”, “moving the needle”, and game-changer I would add to my digital bingo card (DBC).

While too many companies and the leaders who run them get by with hyperbole and hollow buzz words, one company continues to crush it. (Sorry, I couldn’t resist.)

With the launch of new content and new deals for content, Netflix continues to amaze and continues to grow in size and power.  This week, I finished writing a case study on Netflix for one of my Business Acumen programs and my participants will read it before they have the chance to run their own simulated business and apply various framework of strategy.

As we all know, Netflix did something almost every company ever in existence never does: develop new products / services that will cannibalize their existing business model and put themselves “out of business”.  But by focusing on disrupting their business model through investments in steaming technologies Netflix and eventually their own content, they killed their own DVD business model and the business model of all their competitors including the once “Darling of Wall Street”, Blockbuster Video.

Netflix beat Blockbuster at their own game and put them to death quickly and severely.  But they didn’t stop innovating and have vowed never to stop innovating.  The Netflix leadership believes they have a unique opportunity to continue to innovate and create a culture that supports continuous improvement and a drive of disruption.

Soon after their epic victory over Blockbuster, they created a plan based on 9 leadership practices that they feel is their primary differentiator and enables them to drive to continued disruptive success.  These leadership practices include:

Judgement

You make wise decisions (people, technical, business, and creative) despite ambiguity. You identify root causes and get beyond treating symptoms. You think strategically, and can articulate what you are, and are not, trying to do. You smartly separate what must be done well now, and what can be improved later.

Communication

You listen well, instead of reacting fast, so you can better understand. You are concise and articulate in speech and writing. You treat people with respect independent of their status or disagreement with you. You maintain calm poise in stressful situations.

Impact

You accomplish amazing amounts of important work. You demonstrate consistently strong performance, so colleagues can rely upon you. You focus on great results rather than on process. You exhibit bias-to-action, and avoid analysis-paralysis.

Curiosity

You learn rapidly and eagerly. You seek to understand our strategy, market, customers, and Suppliers. You are broadly knowledgeable about business, technology and Entertainment. You contribute effectively

Innovation

You re-conceptualize issues to discover practical solutions to hard problems. You challenge prevailing assumptions when warranted, and suggest better approaches. You create new ideas that prove useful. You keep us nimble by minimizing complexity and finding time to simplify.

Courage

You say what you think even if it is controversial. You make tough decisions without agonizing. You take smart risks. You question actions inconsistent with our values.

Passion

You inspire others with your thirst for excellence. You care intensely about Netflix‘s success. You celebrate wins. You are tenacious.

Honesty

You are known for candor and directness. You are non-political when you disagree with others. You only say things about fellow employees you will say to their face. You are quick to admit mistakes.

Selflessness

You seek what is best for Netflix, rather than best for yourself or your group. You are ego-less when searching for the best ideas. You make time to help colleagues. You share information openly and proactively.

After writing the case study, I had a startling realization about this list of leadership best practices; it’s as far away from the fancy jargon and buzzwords of today’s digital disruption as you can get!  These best practices are all classics and have nothing to do with new technologies, streaming video platforms, or anything about the digital disruption.  In other words, this is good, old fashioned, smart leadership that transcends time. How refreshing…

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Robert Brodo

About The Author

Robert Brodo is co-founder of Advantexe. He has more than 20 years of training and business simulation experience.