Public Interest

How did Netflix reinvent HR?

Netflix is a well-known media streaming platform that has revolutionized the entertainment industry. However, what many people may not know is that the company has also reinvented the way human resources (HR) works. Netflix has transformed HR into a strategic tool that helps to drive business growth and achieve organizational goals. In this article, we will explore how Netflix reinvented HR and the impact it has had on the organization.

  • Traditional HR vs. Netflix HR

Traditional HR is often seen as a cost center that focuses on compliance, administration, and employee relations. This approach is reactive and operates within a hierarchical structure where employees must adhere to strict rules and procedures. Netflix, on the other hand, has adopted a proactive approach to HR, where it is viewed as a strategic function that helps the company achieve its goals. Netflix HR operates within a flat and dynamic organizational structure where employees are empowered to make decisions and take ownership of their work.

One of the key differences between traditional HR and Netflix HR is the way performance is managed. Traditional HR uses a performance review system that evaluates an employee's performance over a period of time and provides feedback. Netflix, however, has done away with the traditional performance review system and instead focuses on continuous feedback. Managers and employees are encouraged to have regular conversations about performance, goals, and development opportunities. This approach allows for more meaningful feedback and ensures that employees are constantly improving.

Another key difference is the way Netflix HR handles compensation. Traditional HR often relies on rigid salary structures and pay grades. Netflix, however, has a flexible approach to compensation, where salaries are determined based on market value and the employee's contribution to the company. 

  • Netflix's Culture Deck

One of the most notable aspects of Netflix's HR strategy is its culture deck. The culture deck is a 127-page document that outlines the company's values, behaviors, and expectations. The culture deck emphasizes the importance of freedom and responsibility, where employees are given the freedom to make decisions and take risks, but are also held accountable for their actions. This approach fosters a culture of trust and autonomy, where employees feel empowered to do their best work.

The culture deck also outlines the company's approach to talent management. Netflix has a philosophy of hiring the best people and giving them the tools and resources they need to succeed. This approach ensures that the company is constantly improving and innovating.

  • Impact on Business Growth

Netflix's reinvention of HR has had a significant impact on the company's growth. By viewing HR as a strategic function, the company has been able to attract and retain top talent, which has led to increased innovation and growth. Employees are constantly striving to improve themselves and the company.

Netflix's flexible approach to compensation has also played a role in the company's growth. By rewarding high-performing employees, the company has been able to retain top talent and ensure that they are motivated to do their best work. 


Netflix's reinvention of HR has demonstrated the power of viewing HR as a strategic tool that can drive business growth. By adopting a proactive approach to HR, the company has been able to create a culture of trust, autonomy, and continuous improvement.