Talent Density: Solution to a Tough Labor Market or Just Another Buzz Phrase?

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In 2001, Netflix had its back up against the wall. The dot-com bubble had just burst and to stay afloat, Netflix needed to lay off a third of its 120 employees, letting go of the 40 lowest performers.

What seemed like a disaster turned out to be a gift. With only top performers showing up each day, the work environment improved drastically. The office buzzed with passion, energy, and ideas.

Reed Hastings, CEO of Netflix, wrote about this in his 2020 book, No Rules Rules: Netflix and the Culture of Reinvention, coauthored with INSEAD professor Erin Meyer. The

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