Reed Hastings

There were, but it was a tiny part of the economy.

The metaphors that we all picked up around process, think of way classrooms are basically organized like factories.

Lots of things are organized like factories because it was the prevailing metaphor.

Then the economy shifted a lot and higher value things were creative work and inventive and intellectual.

And for those things that are inventive, error's an inherent part of the process.

So think of it as in manufacturing, you want to drive out variation.

And in innovation, you want to increase variation.

And so process really is the language and model

of driving out variation and getting to consistency.

And if you're in a safety critical business like an airline, it's a good thing.

And if you're an inventive, creative business where your main threats are that someone else is going to invent something nearby you, then you want to minimize that and maximize the innovation.

Well, once you have, let's take expense policies.

Okay, so, you know, most companies have policies.

You can spend $250 in certain cities and, you know, more in Tokyo and, you know, less in Omaha.

And they're trying to save money, right?

And they're like trying to be careful with expenses.

And then you've got to have a whole bureaucracy to administer that, to make sure people comply with that, to educate them and whatever, right?

And we got rid of all of that, and we just had to travel as you would on your own nickel.

And I'm sure there's occasionally some expense that gets done that shouldn't be, but compared to the cost of enforcement, it's tiny.

So again, that's more of our freedom and responsibility approach.