Hastings made sensitive information, such as financial data, available to all employees. Such levels of transparency can be uncomfortable, but Dalio emphasizes the importance of putting the team’s best interest before your pride.) Empower Employees by Giving Enough Information Bridgewater also makes use of an in-house app that allows team members to rate each other in real-time. Additionally, each employee has a personality profile, which allows co-workers to see everyone’s strengths and weaknesses at a glance.

(Shortform note: Hedge fund Bridgewater has a similar principle of extreme transparency, which Ray Dalio describes in Principles: The firm records all meetings and interviews and makes these recordings available to the entire team. In this section, we’ll discuss how this transparency also increased Netflix’s flexibility and efficiency. This meant giving employees enough relevant information that they could make big decisions on their own-a practice that was only possible with the culture of radical transparency and candor that Hastings had established.

The third unconventional business practice that Hastings established at Netflix was to eliminate controls. Pay attention to comments and people’s facial expressions, and prod further when you notice that they’re trying to avoid conflict.) Practice #3: Eliminate Controls In Death by Meeting, Patrick Lencioni writes that having disagreements keeps participants engaged, so you should actively look for signs of disagreement. While you want to manage this tension, some argue that having a little drama during a meeting is a good thing. (Shortform note: Such open discussion can create a good deal of tension between those giving feedback and those receiving.

Although this process can be uncomfortable and potentially embarrassing, the feedback could save receptive employees from being fired in the future. A manager and her team gather for several hours and go around the room as each employee takes a turn receiving feedback.

Hastings saw that the discussions following written feedback were effective, so he implemented live 360 reviews. And third, motivate them to change by setting goals for their improvement.) Process 2: Live 360-Degree Reviews Second, make sure they commit to making the necessary changes. Then, work with them to address the feedback in three steps: First, make them aware of what they need to do to implement the feedback. (Shortform note: Make the most of 360s and the vital feedback they provide by following up with individuals to make sure that they understand the feedback.

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