Reed Hastings is the CEO of Netflix, and Erin Meyer is an author, professor and business consultant. Prior to No Rules Rules she wrote another book, The Culture Map, which informed this book on Netflix's corporate culture.
And what is Netflix's corporate culture? According to No Rules Rules it involves, as the quote above suggests, a lot of non-hierarchical decision making. People working at Netflix are given a lot of freedom (and responsibility) to make decisions, but this freedom exists in a highly competitive work environment, wherein underperforming employees work under the constant threat of losing their jobs. Netflix, according to the book, encourages its employees to gamble big, but their gambling must also be consistent, their decision-making process communicable to coworkers, and they must be open to criticism (feedback) when their bets don't pan out.
It's a corporate model very much in line with the age we live in, and moreover one that seems very practical to me. But is it how Netflix actually operates? I honestly have no idea. This book is a good introduction to their way of thinking, but it's understandably light on the details.
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