Keeping Culture Alive: Lessons from Reed Hastings

or many founders, creating a great company culture feels like capturing lightning in a bottle. But as businesses grow, the challenge shifts from building that culture to ensuring it thrives. Netflix co-founder Reed Hastings has an unconventional take: don’t preserve your culture—improve it.

Reed Hastings, co-founder, Netflix

Photo: Kyle Grillot/Bloomberg

Culture: A Living, Breathing Entity

When asked how to maintain a strong culture, Hastings emphasizes that preservation is the wrong mindset. “To preserve something is to pickle it,” he says. Instead of aiming for stagnation, focus on evolving the culture to make it better than it was yesterday.

Netflix is a prime example. Its famous “Culture Deck” outlined core values like freedom and responsibility, but those principles weren’t set in stone. Over time, the company iterated and improved on them, ensuring the culture remained relevant and empowering.

The Constant Pursuit of Better

Hastings believes that great culture isn’t static—it’s dynamic. Employees should be encouraged to ask, “How can we make this even better?” This mindset fosters innovation and keeps the workplace fresh.

A notable example of this evolution is Netflix’s approach to unlimited vacation. While initially revolutionary, the policy grew more meaningful when coupled with a culture of trust and accountability. It wasn’t just about time off—it was about empowering employees to make decisions that balanced personal well-being with professional responsibilities.

Struggling to Improve: The Key to Vitality

Hastings emphasizes the importance of struggle in keeping culture alive. Growth isn’t easy, and neither is improving a company’s values. But this ongoing effort is what keeps a culture vibrant and meaningful.

Consider Patagonia, a company known for its environmental activism and employee-first policies. Founder Yvon Chouinard didn’t just define the company’s culture once and walk away. Instead, Patagonia continually pushes boundaries—whether it’s offering on-site childcare or pledging 1% of sales to the planet.

Founders’ Takeaway: Strive, Don’t Settle

For entrepreneurs, Hastings’ advice is a call to action: don’t just protect your culture; challenge it. Whether you’re a startup of five or a scale-up of 500, the goal should always be to grow, adapt, and inspire.

By embracing this approach, founders can ensure that their culture not only survives but thrives—becoming a cornerstone of their success story.

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Source: Reed Hastings: Building an Iconic Company