Netflix HRM Case Study: Global Talent, Ethics & High Performance

This case study examines Netflix's human resource management (HRM) practices, focusing on how their HR philosophy shapes employee attraction, retention, and firing policies both in the United States and globally. It analyzes how Netflix maintains its talent hire and reward practices across different employment law landscapes and critically evaluates the company's approach to maintaining a high-performance workplace based on a sustainable and ethical HRM system. The report also offers recommendations for developing effective HRM policies to manage global talent, emphasizing the importance of recruitment, employee relationships, team development, and employee engagement. The analysis highlights Netflix's reward system, including monetary incentives, parental leaves, and premium pay, and stresses the significance of maintaining a positive workplace culture through training, skill development, ethical practices, and a supportive internal environment. The study concludes by underscoring the importance of ethical and sustainable practices for long-term organizational success.

Human resource
management

Table of Contents
INTRODUCTION ..........................................................................................................................3
MAIN BODY...................................................................................................................................4
HR philosophy of Netflix............................................................................................................4
Netflix maintain its talent hire and reward practices globally....................................................6
Netflix maintain a high performance at workplace based on a sustainable and ethical HR
system..........................................................................................................................................8
Two recommendations for Netflix on developing the effective HRM policies and Practices to
manage their global talent...........................................................................................................9
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
The human resource management is an effective branch of managing people in order to
increase their overall productivity. In the business entity, it is the crucial role played by HR by
managing different employees along with maintaining employee relationship. Human resource
management is the major body which controls, all functions and operations related to
management of employees (Shah, 2019). The Netflix is a multinational OTT platform which
provides online web series and Mo-vies. Company was founded in the year 1997 and the
headquarters of Netflix are situated in California, United States. The company provide
streaming services for computer systems, Television and Tablet computers. In this report, human
resource management related practices are mentioned in context of Netflix. The HRM strategies
are also covered in this project in order to understand HR policies and plans. Human resource
management performs ethical and sustainable HRM practices in order to lead the organisation.

MAIN BODY
HR philosophy of Netflix
The HR philosophy is considered as a main aspect which develops a total management
psychology for employee development. This refers to develop appropriate leadership approach
and management conditions of corporate culture and values. Netflix offers flexibility in
controlling all employees with utmost discipline in functions to lead the marketing. The human
resource management of Netflix develop positive philosophy helps in retaining large number of
employees throughout the year. Also the company develops a strong customer base in the
international business environment by practising ethical philosophy.
Netflix HR philosophy
Main focus of Netflix is on selecting and recruitment of right employees for the company
to gain target achievement (Roundy, 2021). Netflix also develops organisational policy related to
development of appropriate philosophy in order to manage all employees with positivity. Also
the major role of Netflix is to develop precise working environment based on the modern
approach to achieve organisational goals and objectives. The company also choose modern
technique rather than focusing on traditional techniques in order to perform accurate and quick
operations.

Netflix HR philosophy helps to attract, retain and fire policies of the employees
Netflix's human resource practices are worth appealing which aids in attracting and
persuading potential candidates to apply for its jobs. This fact is proved by their ever increasing
employee turnover rate. This is incredibly exhilarating that Netflix value their employee's
integrity and excellent workings which enhances their performance. In order to gain trust of
their employees, managers of Netflix build a honest and direct relationship with its human
resources. Various HR practices of Netflix in context to recruit, retain and fire its employees are
discussed below:
Flexible working hours- Netflix provides flexible working hours to its employees which helped
them to balance their work- life schedule. It aids organisations in increasing their
productivity as distressful mind can better performs its tasks. Even company sets the policy
of unlimited holidays (Marrucci, 2021). Employees can decide for themselves and take as
much holidays they want nevertheless it hinders performance of business operations.
Sense of ownership- Netflix believes in delegating authority, and not just work among its
employees. Company engages their employees in planning activities. These practices give
employees a sense of ownership so that they feel contented and put more efforts in
increasing company's productivity. Netflix tries to develop employee's behaviour in such a
way that if any sort of problem arises, personnel took first mover advantage in solving that.
Stock options & excellent salary- Netflix offers stock options and exceptionally good salary to
its personnel. It acts as a motivation tool for employees as holding a stake in company made
them more responsible for performance of its operations. This practice not only boost
employee's morale but also helps company in arrangement of funds for business operations.
Netflix uses employee stock option practice to compensate their highly efficient and
motivated workforce.
Unique work culture- Netflix provides unique work culture to its employees. Company strives
to hire best candidate as much as possible and have values like integrity, respect and
excellence towards its employees (Macke, 2019). They encourage employees to take
business decisions independently as well as share information in open, broad and deliberate
manner. They believe in high alignment and loosely couplement of its personnel.
Efficient employment practices- Netflix believes on the fact that trust is the building block of
successful business relationships. Employees and managers have an open and routine

conversation instead of annual formal reviews. This practice makes feedback less stressful
and more a part of normal workings. Netflix's HR philosophy speaks about not controlling
their employees rather than providing space for being creative and innovative in order to
provide best results towards company's effective performance.
Retention strategy- Retention strategy followed by Netflix are far more different from other
companies in same industry (Gigauri, 2020). They typically believes in hiring those candidates
who they assume to give his best efforts in enhancing company's productivity. It focuses on
retaining productive employees rather than wasting its resources on unproductive and inefficient
workforce.
Netflix maintain its talent hire and reward practices globally
The company should regularly grace and praise employees in order to maintain effective
standard related to operations. Also the organisation should provide monetary and non-monetary
benefits to employees in order to increase their performance. It is major responsibility of
company to adopt following strategy to develop talent management:
 Effective recruitment and selection practices- The company like Netflix performs
stability in different functions and operations to develop systematic organisational policy.
These practices helps a company to hire talented employees in the organisation in order
to develop effective strength. Also Netflix has set an appropriate technique and procedure
for hiring goal oriented employees in the organisation to develop a recruitment policy.
 Employment relationship- It is the major duty and ethical responsibility of human
resource management to develop healthy relationship between employees. The harmony
between different employees is achieved by HR practices which are performed by the
management (Chaudhary, 2020). Also the HR management of Netflix develop and apply
human relationship theory in company to develop talent management.
 Team development- The talent in Netflix is grace up by effective team development
along with reward system. Also the company should deploy professional leadership style
in order to manage talent. The democratic leadership style is one of the major styles
which helps the leader to develop effective decision making. This includes participation
of all employees in decision making in order to avoid risk associated with the operations.
 Employee engagement- Netflix promotes employee engagement through effective
business practices in order to develop their empowerment. Also the company is mainly

responsible for management of different employees and promote the talent management
accordingly.
Reward system at Netflix-
 Reward system- Netflix formulate individual employee goals and develops an effective
monetary reward on successful completion of goals and objectives. Company is supposed
to formulate and achieve individual goals and achieve them by providing attractive and
high salaries.
 Parental leaves- The company provides parental leaves to employees and also offers a
good amount of maternity leaves in the company. This helps a company to develop
effective approach in seeking motivation in employees and also to achieve sustainable
goals.
 Incentives- Netflix offers incentives to different employees on doing extra work and
promote them by providing good rewards (Brewster, 2017). This helps in increasing
motivation in employees in a fixed period of time and also supports a company in
management of performance of large number of workers.
 Premium pay- Premium pay is providing a good level of payment to employees
including different types of employees. Providing pay includes ESPP also which stands
for employment stock purchase plan. The companies should also check business
objectives and goals which helps in supporting a business entity to grow at marketplace.
 Holiday and accommodation services- The company has set holiday paid leaves and
flexible accommodation services. Company should set number of holidays for each and
every employee in abroad countries to perform performance development.

Netflix maintain a high performance at workplace based on a sustainable and ethical HR system
The maintenance of workplace is always essential and necessary for every company. In
the recent times, the importance of workplace development is increasing day by day. In the
business entity like Netflix, it is major role of human resource management to focus on
development of effective HR management system to develop high-performance culture. Regular
supervision and control is needed by the company to develop effective internal working
environment. In the recent times, due to stiff competition between the companies, it is major role
of HR management to select all employees as representatives of the company. Also it is key role
of top level management and strategic management to maintain and develop effective focus on
developing high performance culture in order to grow at the marketplace. Maintaining and
developing high performance culture of the employees is always first priority of every major
company to develop at the marketplace (Barrena‐Martinez, 2019). In order to increase,
effectiveness and efficiency of the business, it is key function of human resource management to
develop ethics and integrity The ethical and sustainable practices which are developed by human
resource management of Netflix helps in management of large number of employees. In the
corporate world, it is major responsibility of all levels of management to maintain precise culture
for overall development of the company. The main factors which helps in maintaining effective
HR culture in order to grow with rapid phase at the marketplace are mentioned below:
 Training and development- The training and development which is provided to
employees also helps in increasing their performance in a highly maintained culture. Also
the training and development increases employee morale and motivation. Training is
provided in Netflix by highly skilled professionals to promote employee development.
 Skill development- Development of desired skills in the employees helps in maintaining
precise approach which is suitable for employee growth. The skills like time
management, problem-solving and decision making are developed at Netflix in order to
achieve set targets and goals at the marketplace.
 Focus on cultural development- The cultural development of employees is essential in
order to modify thinking of employees towards the company. In order to maintain
effective high performance working it is compulsory for the company to focus on cultural
employee development.

 Ethics and integrity- The practices like ethics and integrity is developed by human
resource management of Netflix in order to promote sustainability in functions. In order
to maintain transparency in the functions of the company, it is essential to promote
practices related to ethics and integrity.
 Internal environment- To gain maximum productivity of employees, it is necessary to
develop precise internal environment of the company (Armstrong, 2020). HR
management of Netflix focuses on developing a healthy internal environment for long
term success of the business. Policy and plans developed by HR management provides
necessary instructions to employees in order to achieve different organisational goals.
The condition related to company's development is dependent half on internal
environment so the main focus of company should be on same. Also it is major duty of
business top level management to support development of effective internal environment.
Two recommendations for Netflix on developing the effective HRM policies and Practices to
manage their global talent
The human resource management is considered as the major body of an organisation to
control and focus on global talent management in order to lead the marketplace. Also the
management of company should mainly focus on different HRM policies and practices for
organisational growth in a set period of time (Adla, 2019). It is also key role of management of a
company to support HR management in framing appropriate policies and plans. The company
should majorly develop an effective policy which is suitable for long term growth of business
entity. Also in the functioning of a business, it is key role of a company to maintain global
standards. Business organisation like Netflix should follow the following recommendations in
order to succeed at the marketplace:
 Giving more employment security to employees- The employment security is the most
crucial aspect which helps a business to provide more safe employment practices. Netflix
should also follow all the legal rules and regulations in order to develop at the
marketplace. The employment legislation like equality and employment related to
employment for growth and expansion of the business. Job security should be provided
with provident fund and developing good agreement for the future. In the corporate world
job security is an important approach which is suitable for business growth in a specific
period of time. Also in the business environment, management of the workplace is the

most important task of HR which develops ethics in employees. The job security is an
important aspect of business which helps in increasing employee satisfaction. Also with
the application of job security, a company can manage performance of large number of
employees (Aboramadan, 2021). Work place development is the major employment
related funtion of board of directors in order to get best from each and every employee.
The company like Netflix should develop appropriate planning framework which is
helpful in developing ethics and integrity in employees.
 360 Degree performance management feedback- In order to develop the performance
of employees it is important to take feedback from them. Also the business entities in
corporate world regularly takes feedback from employees in order to develop welfare of
the company. In order to make desired changes in the business plan, the feedback
approach helps a buisness to survive at the marketplace. In the era of stiff competition
between companies, it is compulsory for the business to select 360 degree approach in
order to manage their performance in a systematic manner. Also the 36 degree approach
helps a business to gain growth at the marketplace in a short span of time. In the
development of a company, 360 degree approach is very much beneficial as it takes into
consideration feedback from all employees. Companies should also focus on analysing
marketing strategy in order to develop effective performance of the employees. Netflix
also focus on developing organisational plans and policies which are suitable for
development of business.

CONCLUSION
The above stated report concludes that human resource management is an important body
of organisation which makes a company competent at the marketplace. This project concludes
that it is important for the company to hire skilled and professional employees for organisational
growth. This project also concludes that human resource strategies are crucial for the
organisation in order to gain competitive advantage at the marketplace. This project also
concludes the important role played by HR management to develop effective workplace
conditions for increasing efficiency of employees. This report also concludes the functions which
are performed by human resource management in order to develop effective management.

REFERENCES
Books and Journals
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practice.
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Shah, M., 2019. Green human resource management: Development of a valid measurement
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