“No Rules Rules” – Netflix Religion’s Only Rule. How to apply in life and investments?

 

14^th September 2020

“No Rules Rules” – Netflix Religion’s Only Rule. How to apply in life and investments?

Dear Fellow Travelers,

Namaste! Very few books are written with such clarity and empowering content. Business is moving from Owner managed model to factory model to a highly intellectual model. The book is for the last categories of business and not for the lower categories of businesses where the owner or manager is calling the shots. This book has important for all investors like never before. If you can’t read the book – read this post.

The word NO RULES is really attractive to the masses but it is not for the masses. Freedom is coming along with the responsibility in No Rules. Let us see how one can apply the same in whatever set up they have.

Select the BEST and Pay the Top Dollar. Sometimes, even more than they deserve: -

Stephen covey said this rule as First Thing First. Management Guru Peter Drucker said – Leadership is doing the right things.

Reed Hastings, CEO of Netflix knows that he is in the cut-throat competitive market and he has to succeed at all costs. The best thing he has is his team. He does not want to settle for lesser than the best. He has given an example of Professional Sports Team. In a given sport there are only minimum players allowed. So, it makes sense to select the best for each area of sports. If the players have not performed in the SEASON – he will be replaced with the next best available without MERCY. Because the GOAL is to WIN and not to just Play.

My experiences with the smartest of the clients are the same. They tell me what they want with clarity and end the talk with my bank details. No more talks and time waste. They have a focus to get what they want and not what they give for that.   

Masses have no CLEAR-CUT goals. They are investing because all others are also investing. When Goals are not SET, performance can’t be assessed. When performance is not assessed year over year – the FEES paid to the consultant looks as WASTEFUL expenditure. This is the reason they are not appointing the best of the consultant. Their criteria are costs control and not the benefits enhancements.

Masses have another attitude – they will prefer to buy 10 shirts of Rs.500 each then one shirt of Rs.5000. They will employ 3 persons with Rs.10000 per month salary than 1 person with Rs.25000 per month salary.

All these practices are the results of a LACK OF SERIOUS GOALS and BURNING DESIRE to succeed.

Values are what we Value: -

Have you heard the nice words from Preacher talking about living life with HONESTY / INTEGRITY / HARDWORK and EXCELLENCE?

The actual company values are seen when promotions and rewards are declared. The person who is buttering the boss may be the first to get the promotion rather than the person who openly tell that boss you are wrong.

Reed Hastings says he measures the values with 9 behaviours and skillsets.

Judgments / Communications / Impact / Curiosity / Innovations / Courage / Passion / Honesty and Selflessness.

This is the BASE of Reed Book. If you don’t have the above VALUES, you will die as an average person/investor or business person.

Buffett also gives importance to Judgement. He has many times said – I am not right because the market AGREES with me and I am not wrong because the market DISAGREES with me. I am right because my analyses say so. This sentence is full of HONESTY / COURAGE and PASSION.   

My experiences with masses tell me that they judge the consultant with only one parameter – has the prices moved up or down after his call?

If you are facing issues in your growth – you can reflect on the above 9 values and see if you are having them or not. If not, develop them.

Focus on HIGH PERFORMANCE only: -

Reed is very clear with performance measurement. He does not want Loyalty / Hard Work / Brilliant Jerk in his team. He wants high performing guys who are honest and ready to contribute to his fellow colleagues. He has created a work atmosphere where the people grow with FEEDBACK on their faces.  

When HONESTY is there – loyalty and hard work come automatically.

Average bosses get afraid to listen to the honest feedback from their staff and they remain average throughout. Their EGO gets HURT.

For Reed, Winning is the main thing and not EGO satisfaction. Because, if you Win – EGO will have a better reason to satisfy than just buttering.

Freedom and Responsibility: -

Reed wants employees to be SELF MOTIVATING / SELF IMPROVING / SELF AWARE / SELF DISCIPLINED / ACT LIKE a Leader / Doesn’t wait to be told what to do / Picks up the trash lying on the Floor.  

No Rules are for the above kind of people. Can you see the FREEDOM of NO RULES comes with the Responsibility for the above behaviours?

Masses have to be convinced to do/forced to do/threatened to do/ follow up to do.  They will argue about their ROLE in a house/office and investments. They forget the main goal of winning.

Masses gets astonished with the progress of the people like Mukesh Ambani / Steve Jobs. Steve was very bad with his employees when it came to performance. Because of his – no-nonsense attitude APPLE has become a trillion-dollar company. The same is the case with Mukesh Bhai. He gives the mandate and monitors the results. They don’t have time to follow up or to tell what to do every time. In fact, if they have to be told – they don’t want to appoint them in the first place.

Act in Netflix’s Best Interest: -

This is the RULE for NO RULES. Whatever is the best for the company does it. Nobody to see your expenses / your office time and your vacation time. Do whatever you want to do but keep the company’s interest first in all your doing.

This can be expected only and only from people who have values and responsibilities mentioned above.

 

My experiences with MASSES tell me that they believe that they have their BEST interest for them. But in practice, I have observed the following behaviours.  

Masses have to be convinced of their own interests.

1.   They know all are going to die someday still they have to be convinced to invest in insurance for their family.

2.   They know they are going to retire someday – they have to be convinced with retirement planning.

3.   They are going to fall sick someday – take medical insurance.

4.   They know some STARS in their horoscopes are not acting in their best interest. Do the remedy and they have to be convinced?  

5.   Their Vaastu is not supporting health and happiness in the family. They have to be convinced of the same.

6.   They know that they have limited money and they have earned them a hard way – still they will invest in MEDIA TIPS. They have to be convinced to appoint a consultant.

Just see the above examples. Somebody has always to follow up with the masses for their GROWTH and HAPPINESS. Have you seen that they always remain part of MASSES?

What NEXT?

This is one of the best books I have read in recent times. Be honest and know what is BEST for you. Decide your GOALS with Burning Desire to Grow, develop Responsible behaviours and Values as recommended by Reed.

If you follow REED, I am sure you will have ample reasons to satisfy your EGO with your performance and your money.

At Destiny Management - our word for NO RULES is - work with AWARENESS all the time. 

If you like our approach – you can join us and empower yourself for growth.

Have a great journey ahead.

Follow me on Twitter @hiteshmparikh Or on Whatsapp - +91-9869425399.

 

Live With Passion…Invest With Passion.

 

Hitesh Parikh.