Sheryl Sandberg of Facebook called the Netflix “freedom and responsibility” deck “the most important document ever to come out of the Valley.”
The document is 124 pages and it outlines the principles behind the unique corporate culture at Netflix. It has had reverberations far outside of Silicon Valley and way beyond Netflix itself. The principles have been debated and adopted by organizations throughout the world. It has been viewed over fifteen million times.
Patty McCord helped write the document. She worked at Netflix for 14 years as the company’s Chief Talent Officer. In her book, POWERFUL: Building a Culture of Freedom and Responsibility, Patty shares what she has learned about building a high-performance culture. I recently asked her to share more about her experience.
Challenge the Rules
You challenge many of the existing HR rules with new ways of thinking. What advice do you have for leaders that will help them embrace these changes?
It begins with questioning, literally, everything we do in HR: policies, procedures, guidelines, practices, permissions. What is the purpose of each of these activities? Do they achieve the desired result? If you started from scratch, would you embrace these methods?
“People can handle being told the truth, about both the business and their performance. The truth is not only what they need but also what they intensely want.” -Patty McCord
Recent studies show that only about 20 percent of workers understand their company’s mission and goals. Only 21 percent say they would “go the extra mile.” Less than 40 percent believes senior leaders communicate openly and honestly.
Today many feel that they are over-managed and under-led.
Jude Rake has over 35 years leading high-performance teams. He is the founder and CEO of JDR Growth Partners, a leadership consulting firm.
You personally observed Pat Summitt’s leadership and watched her in action at half-time. You saw her growing other leaders, not demanding followership. It was such a powerful example. Would you share that story?
Several years ago when I was COO at a large consumer products company, we needed a keynote speaker for our annual marketing and sales meeting. Given that our company was a big sponsor of NCAA women’s college basketball, we decided to invite Pat Summitt to be our keynote speaker.
Pat inspired everyone with her energy and her famous “Definite Dozen Leadership Traits for On and Off the Court Success.” After our meeting at dinner, I shared with Pat that I had coached youth basketball for many years. She graciously took interest and invited me to be a guest coach at a Lady Vols game. I was floored! I took her up on her offer and eventually travelled to Knoxville for an unforgettable weekend.
I knew that Pat was an outstanding coach, and I admired her for her accomplishments, but I had no idea just how good she was at cultivating leaders throughout the Tennessee women’s basketball program. From the moment I stepped onto that campus, everything was executed with excellence. I soon learned that I would be shadowing Pat. I discovered firsthand why so many recruits chose the Lady Vols program, and why so many former players and coaches use terms of endearment when recalling Pat Summitt’s influence on their lives.
“Confidence is what happens when you’ve done the hard work that entitles you to succeed.” –Pat Summitt
Game day was quite a production, from pre-game activities to post-game reception. Anyone who watched Pat from the sidelines might expect her to lead everything with an iron fist. It was quite the opposite. Pat was clearly orchestrating everything . . . but the entire weekend appeared to be executed by everyone but Pat. She had done most of her leading and coaching in practice. The assistant coaches and players stepped up to the plate time and again, as did her administrative support staff. They took turns leading, and they collaboratively leaned on each other’s strengths to elevate performance throughout game day activities.
During the game, we sat immediately behind Pat and the team. At halftime the Lady Vols were trailing. We went into the locker room with the team. Pat was not there. I watched as the players—by themselves—took turns facilitating a brainstorming session about what had worked well and what needed improvement. Then they presented their analysis to the assistant coaches for input and guidance. Clearly, these players and assistant coaches had been trained well. They knew what to do without being micro-managed. Finally, Pat joined the team, and the players and assistant coaches collectively presented their conclusions. Pat succinctly graded their performance and assessments, added her own personal evaluation, and they aligned on an action plan for the second half. Everyone had led at some point. They leaned on each other’s strengths and focused on the biggest opportunities for improvement. They debated vigorously and respectfully. Ownership was achieved. There was no lecture or screaming. Half-time ended with a quintessential Pat Summitt inspirational call to heightened intensity and hustle, and the team went out and kicked their opponents’ behinds!
For me, this was an impressive example of a leader growing leaders and difference-makers, not just demanding followership. Pat Summitt showed us that leaders can be demanding, passionate, and ultra-competitive, yet still focus a significant amount of their time, energy, and empathy on the development of leaders at all levels of their organization. It’s what fueled her unprecedented results at Tennessee, and it’s the most important thing leaders do.
“Servant leaders bring out the best in others.” –Jude Rake
Chances are that you’re driven. You have goals, and you’re actively working on them. When you get to work, you’re off and running.
I know this because most people reading this blog are here for success tips to become better leaders and more successful. If you were lazy and drifting without goals, you probably wouldn’t be visiting.
As you push through obstacles, you likely don’t think much about the word “restraint.” In fact, if you do, you may think that the only thing that matters is removing all restraints so you can get to your destination. Fast.
“Never let others define what success means for you.” -Alison Eyring
That’s why I was drawn to the work of Dr. Alison Eyring. Her book, Pacing for Growth: Why Intelligent Restraint Drives Long-Term Success, is about the balance between speed and restraint. I asked her to share some of these principles with us so we could learn from her research into what she calls “intelligent restraint.” Alison Eyring is the founder and CEO of Organisation Solutions, and she has advised some of the world’s most innovative companies on leadership and growth.
Solve Your Growth Challenge
How has competing in long-distance runs and triathlons impacted your approach to business?
Like all business leaders, I struggle to drive my business to perform today, as I also lead transformation for the future – all without damaging the business or my team. It’s so much easier to focus on just one of those things, but we have to do all three for long-term success. My experience training for endurance races led me to discover a growth philosophy I call “Intelligent Restraint” that helps solve this growth challenge.
Can you tell us more about “Intelligent Restraint”?
Intelligent Restraint is a growth mindset that helps you build the right capabilities for growth at the right pace. Sometimes it means going slower, and other times it means going faster.
When you are training for an endurance race, you have to push yourself to go as far and as fast as you can but then no further so that you don’t get hurt or burned out. In my book, I describe practical ways leaders can apply this growth mindset. For example, you can define and measure “maximum capacity” of the business and then create a plan to bridge the gap between current levels of performance and “maximum capacity.”
Another way leaders can put this way of thinking to work is by practicing what I call “Rules of Intelligent Restraint.” Like rules of restraint in endurance training, these rules help leaders drive growth in a way that conserves energy and can be sustained. My favorite rule is “routines beat strengths.”
Don’t spend your life doing only what you do well.
Never let others define what success means for you.
Be courageous and be humble; persevere and be willing to stop.
Never be intimidated by anyone who looks stronger and faster than you.
Train for the Right Race
How do leaders find the right balance between the sprint and the marathon?
You can’t sprint and run long distance unless you’ve trained properly. A midfielder in soccer, for example, will sprint the entire game AND also run several miles. They’ve trained for this. On the other hand, if you ask a world class sprinter to run a marathon tomorrow, they might possibly complete a half marathon but they’ll be in tremendous pain.
As leaders, we need to train our business and our people for the right race. We all want to succeed over the long-term as a business, but there is seldom a long-term unless we can deliver in the short-term and have enough energy to keep going. Leaders who can practice the rules of Intelligent Restraint and manage energy strategically can achieve this.
You never know where he’ll turn up around the globe as he speaks about empowering entrepreneurs. I interviewed him in Madrid, Spain where he shared with me 6 Entrepreneurial Lessons that all of us can use.
How do you find your One Word? What if you think of a few? How do you narrow it down?
That’s a loaded first question J The process starts by understanding that you—and everyone else—has a deep, core value that represents who you are, and the more you live your life in alignment with it, the more happiness, success, and impact you’ll have. Understand that Your One Word has always been a part of you and always will. It’s not a New Year’s resolution. It’s a lifelong resolution. People can often be prisoners of their current situation, which prevents real self-analysis. When thinking of your One Word, put it in the perspective of, “This is a forever commitment and who you always have been – knowingly or unknowingly.” To continue the process of finding your One Word, think about all the things, people, habits, and activities that have made you come alive in the past. Who was your favorite teacher? What is your favorite song? What did you love about your parents? Fill a page with happiness. Then next to each item, write down what specifically you loved about it. Mrs. Jenkins, your 9th grade science teacher, is your favorite teacher of all time for a reason. And it wasn’t just because of the material she taught in class. When you make the list of all the things that have made you happy and the reasons why, you’ll start to find a consistent theme among them. That consistent theme is your One Word. And once you find it, I’d challenge you to start designing your life around it so you can, with purpose, bring more of those happy moments in as opposed to randomly waiting for them to happen.
“If you think you’re too small to have an impact, try going to bed with a mosquito.” -Anita Roddick
Recent studies show that personality changes dramatically from when we are young to when we are old. Does your One Word change over the course of your lifetime?
Your personality can change with time. You might get more conscientious as you get older or more agreeable once you’re raising a family. Some of what you value might also change. Early in life, you might be more concerned with promotions and career advancement. Later on, it could shift to health and relationships. But your core value, your One Word, doesn’t change. Your One Word is the lens through which you see the world. The way you approach and execute may change over time, but the foundation remains the same. For instance, one of the examples in my book is Mark Drager, a 30-something-year-old father, husband, and entrepreneur. His One Word is #Extraordinary. He’s currently focused on being an #Extraordinary father, husband, and entrepreneur. What he values most is being #Extraordinary. He doesn’t want to be ordinary. He wants to be more than that, in whatever he does. If he grows tired of business and puts a higher priority on travel or restoring old cars, or any number of things, his core value of #Extraordinary comes with him. It’s forever. It’s who he is at the deepest level. That’s why it’s so important to figure out and potentially the most important exercise you can do in your life. If you’re going through the process of finding your One Word and you fast forward your life to age 90 and you see yourself not believing in the same thing anymore, then you haven’t found your One Word.
“Stay committed to your decisions, but stay flexible in your approach.” -Tony Robbins