The Keeper Standards Test has stirred discussions within the business and talent management communities, sparking interest due to its unique approach to retaining high performers and building resilient teams.
Pioneered by Netflix as a tool for evaluating employee performance, the Keeper Test has become a widely debated approach to modern organizational culture.
Designed to ensure that only top talent remains within the organization, the test challenges managers to evaluate if each member of their team is someone they would “fight to keep.” This article will explore the intricacies, advantages, drawbacks, and alternatives to the Keeper Standards Test, examining its impact on employee morale, diversity, inclusivity, and talent retention.
What is the Keeper Test?
The Keeper Test is a performance evaluation tool that pushes managers to make tough decisions about their team members. A manager is encouraged to ask themselves a critical question: If a particular employee were to leave tomorrow, would you fight to keep them? If the answer is “no,” it suggests that the employee may not align with the company’s high-performance culture.
This approach ensures that only high performers stay within the organization, while those who may not be a fit are respectfully guided out. The Keeper Test is designed to promote a high talent density, which can drive organizational growth and innovation by focusing on top talent.
However, this method is not without controversy. Many see it as a bold and unorthodox approach to managing employees, as it often places pressure on staff to constantly meet high standards. Used effectively, the Keeper Test can push employees to excel, but it can also present challenges, which we’ll discuss in this article.
Who Invented the Keeper Test?
The Keeper Test was created by Netflix co-founder Reed Hastings and Patty McCord, Netflix’s former Chief Talent Officer. Inspired by the vision of building a high-performing culture, Hastings and McCord devised this test as a part of Netflix’s unique corporate policy, often coined as the Netflix Culture Deck.
This test was introduced during the company’s early years and quickly became an integral part of their talent management strategy. This test wasn’t just about maintaining productivity; it was a part of the company’s drive toward organizational efficiency and fostering employee satisfaction.
McCord and Hastings understood that by retaining only the most dedicated and talented individuals, Netflix could drive its unique and ambitious goals forward. This philosophy underpinned Netflix’s production of globally recognized series like House of Cards and Stranger Things.
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The Advantages of the Netflix Keeper Test
Retains Top Performers
The Keeper Test enables companies to retain only their top performers. By keeping high-performing individuals, an organization increases its talent density, fostering an environment that encourages collaborative efficiency and team cohesion.
This ensures that the company remains on the cutting edge of innovation and can accomplish its goals with a team committed to excellence.
Improves Employee Performance
For employees, the Keeper Test can be a motivating factor, pushing them to improve their performance continuously. With clear expectations and accountability, employees have a benchmark to strive for.
This approach can also inspire reciprocal feedback between managers and employees, cultivating an environment where consistent growth and self-improvement are prioritized.
Benefits the Bottom Line
By maintaining a workforce of high performers, companies may find a positive impact on their bottom line. Efficient teams of motivated and skilled individuals contribute to organizational growth and cost-efficiency, as there’s less time spent managing underperforming employees.
Additionally, a culture of excellence attracts clients, partners, and investors interested in the company’s ethos and vision.
Helps Decision-Making in Crises
In high-stakes or crisis situations, such as market disruptions or rapid technological changes, having a team of top performers provides companies with the confidence to navigate complex challenges.
The Keeper Test assures managers that they have capable individuals to rely on, helping in swift decision-making and reinforcing workforce dynamics essential during critical moments.
The Disadvantages of the Netflix Keeper Test
Creates a Culture of Fear
A primary critique of the Keeper Test is its tendency to create a culture of fear among employees. Constantly under scrutiny, employees may fear that even minor errors could lead to dismissal. This fear can stifle creativity, causing employees to avoid taking risks or innovating.
Undermines the Psychological Safety of Employees
Psychological safety, or the assurance that one can speak and act freely without the fear of negative consequences, is vital in workplaces. The Keeper Test can undermine this by placing undue pressure on employees to always “prove” their worth. When employees feel unsafe, employee morale may diminish, harming team cohesion and productivity.
Diminishes Job Satisfaction
For employees, the uncertainty surrounding job security can have significant effects on job satisfaction. When employees feel they are constantly being judged, their sense of loyalty and commitment to the organization may wane. This can lead to high stress levels, increased burnout, and a diminished sense of work-life balance.
Treats Employees as Disposable
Critics argue that the Keeper Test treats employees as disposable assets rather than valued team members. This approach can damage an organization’s employee satisfaction and brand reputation. By creating a “replaceable” mentality, companies may lose talented employees who feel they are not valued.
Leads to a “Revolving Door” Hiring and Firing Approach
A potential drawback of the Keeper Test is its tendency to lead to a revolving door culture, where employees are frequently hired and fired based on rigid standards. This constant change disrupts team dynamics and causes organizational instability, making it difficult for teams to work cohesively and create long-term projects.
Subject to Unconscious Bias
The Keeper Test can also be vulnerable to unconscious bias. Since the evaluation relies on subjective judgments, managers’ biases may come into play, influencing decisions on who stays or leaves. This bias could lead to unfair practices, affecting the company’s image and culture.
Harms an Organization’s Diversity and Inclusivity
Diversity and inclusivity are critical for a thriving workplace. However, the Keeper Test may indirectly harm these values, as its subjective nature can disadvantage individuals who may not fit a narrow definition of high performance. This can result in a homogenous work culture, which limits cultural change and stifles innovation.
Ignores Wider Organizational Issues
The Keeper Test’s focus on individual performance can divert attention from broader organizational issues, such as team dynamics or work environment challenges. Instead of addressing systemic issues, the test might place undue blame on individuals, overlooking structural improvements that could enhance overall performance.
The Alternative: 5 Best Practices for Building a Healthy Talent Management Approach
- Foster Psychological Safety – Create a work environment where employees feel valued and safe to express themselves without fear.
- Encourage Reciprocal Feedback – Foster open communication between employees and managers, enabling everyone to grow and improve together.
- Promote Diversity and Inclusivity – Ensure hiring practices and management strategies support a diverse and inclusive workforce.
- Focus on Team Cohesion – Develop strategies to enhance team cooperation and trust, creating a more unified workforce.
- Invest in Employee Growth – Prioritize employee development and offer resources to enhance their skills and career growth.
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Quick Facts
- Introduced by: Reed Hastings and Patty McCord
- Company: Netflix
- Goal: To retain top talent and ensure high-performance culture
- Criticism: Creates job insecurity, fosters a culture of fear
- Alternative: Talent management strategies focused on inclusivity, psychological safety, and team cohesion
Final Thoughts
The Keeper Standards Test is a distinctive tool that has impacted Netflix’s success but is not without its challenges. While it supports high performance and rapid decision-making, it also presents risks, particularly regarding employee morale and psychological safety.
An ideal talent management approach may integrate the Keeper Test with practices promoting diversity and inclusivity, encouraging a balanced and positive work environment.
FAQs
What is the Keeper Test?
The Keeper Test is a performance evaluation method used to determine whether an employee should stay in the organization based on their perceived value to the team.
Who created the Keeper Test?
The Keeper Test was created by Reed Hastings and Patty McCord at Netflix as part of their high-performance culture strategy.
What are the pros of the Keeper Test?
The Keeper Test retains top performers, improves employee performance, and enhances organizational efficiency.
What are the cons of the Keeper Test?
It can create a culture of fear, reduce job satisfaction, and undermine psychological safety.
Is the Keeper Test suitable for all companies?
Not necessarily. While effective for some, it may not align with every organization’s goals and values, particularly those prioritizing diversity and inclusivity.