The Secrets Behind Netflix’s Radical Feedback Culture

In my role as COO, I work extensively with company cultures. A culture is a constantly evolving entity, which makes it both fascinating and challenging to manage. This is especially true in creative industries like video games, where maintaining a transparent and open culture is critical for fostering innovation and collaboration. One of the biggest challenges I’ve noticed — both for myself and others — is creating a healthy and productive feedback culture that spreads across all levels of the organization.

I recently finished reading No Rules Rules by Reed Hastings and Erin Meyer, and I found it to be a compelling guide on this topic. Here’s what I’ve learned:

In the fast-paced world of tech and media, Netflix has become a beacon of innovation, not just for its groundbreaking content approach but also for its unique approach to company culture. At the core of this approach is something many companies struggle to get right: feedback.

So, what makes Netflix’s feedback culture so effective? Let’s break it down.

1. Radical Candor: Embrace Openness

At Netflix, feedback isn’t something reserved for yearly performance reviews or occasional check-ins — it’s part of daily life. Radical candor is the idea that employees should share direct and honest feedback with one another, even if it’s uncomfortable. Everyone, from entry-level staff to senior leadership, is encouraged to speak their mind.

But here’s the kicker: criticism is encouraged across all levels. Employees don’t shy away from giving feedback to their peers or even their bosses. It’s understood that feedback isn’t a personal attack but a tool for growth.

2. Feedback Is a Two-Way Street

Feedback isn’t just about managers assessing their teams; at Netflix, it’s a two-way street. Employees are expected to give feedback to their bosses as well. This reciprocity fosters a transparent, open environment where everyone feels empowered to contribute.

By encouraging upward feedback, Netflix creates an environment where even the highest-ranking leaders are constantly growing and adapting. This practice breaks down hierarchical barriers, ensuring that good ideas and constructive criticism can flow in any direction.

3. Real-Time and Frequent Feedback

In many companies, feedback is delivered annually, during a performance review. By then, it’s often too late to course-correct on projects or personal development. Netflix flips this on its head by making feedback a real-time, ongoing process.

Employees are encouraged to share feedback immediately, not weeks or months after the fact. By doing so, issues can be addressed quickly, and employees can adjust their approach in real-time, leading to faster learning and more effective collaboration.

4. Positive Intent: Feedback for Growth

One of the fundamental principles behind Netflix’s feedback culture is that all feedback should be delivered with positive intent. At Netflix, feedback isn’t about criticizing someone for the sake of it — it’s about helping them improve. The goal is to support and uplift, ensuring that feedback leads to constructive change.

This approach ensures that feedback doesn’t feel like an attack. Instead, it feels like an opportunity for growth and improvement, creating a culture where feedback is embraced rather than feared.

5. Courage to Speak Up

A crucial part of Netflix’s feedback culture is building the courage to speak up. Employees are encouraged to express their opinions openly and without fear of retaliation. At Netflix, voicing concerns, critiques, or even bold new ideas is celebrated.

This trust-based system empowers employees to share their thoughts freely, knowing that the feedback, no matter how critical, is valued as a means to drive the company forward.

6. Discomfort Drives Growth

Netflix acknowledges that giving and receiving feedback can be uncomfortable. But here’s the thing: discomfort is necessary for growth. It’s easy to fall into a pattern of polite silence, but real improvement comes when people step out of their comfort zones and confront issues head-on.

By embracing discomfort, Netflix employees become more resilient, open to change, and adaptable in a constantly shifting industry.

7. Feedback Circles: A Structured Approach

In No Rules Rules, Hastings and Meyer describe “feedback circles,” a Netflix practice where teams gather to provide structured feedback to one another. These sessions ensure that feedback becomes a norm, not just a one-off event.

This formalized approach to feedback helps institutionalize open communication and accountability, keeping the feedback culture alive and thriving within the organization.

8. Lead by Example

At Netflix, leadership is crucial in setting the tone for the feedback culture. Leaders don’t just preach the importance of feedback — they actively practice it. By giving and receiving feedback openly, leaders set an example for their teams, showing that even the most senior individuals are open to growth and learning.

This top-down commitment to feedback ensures that it becomes ingrained in the company’s DNA, from the executive suite to the newest intern.

Conclusion: Building a Culture of Radical Feedback

Netflix’s feedback culture is a key part of its success. It encourages openness, honesty, and continuous learning, fostering an environment where innovation can thrive. Radical candor, real-time feedback, and the courage to speak up are all essential ingredients that push Netflix to stay ahead in an ever-evolving industry.

Building a feedback culture like Netflix’s isn’t easy. It requires a commitment from everyone in the organization, from top leadership to entry-level employees. But for companies looking to foster innovation, growth, and collaboration, creating an environment where feedback flows freely might just be the key to unlocking their full potential.

Inspired by the principles outlined in Reed Hastings and Erin Meyer’s book, No Rules Rules.