Now, when I learned that advice I was working for virginia state govt, where I didn't have technically competent and aware management like I do now in Seattle tech companies, but there is still an important kernel in the message: We tend to judge our performance relative to the difficulty of the tasks in front of us. Often, our performance will be judged my management using different criteria. It's a good idea to be aware of how you look from the outside.
...which is why I'd not want to work in the Netflix system. It's not whether I'm a good performer, it's whether THEY THINK I'm a good performer. Ideally these are related, and outside of a Netflix-like environment I might have confidence that my manager would let me know in advance of action if there was a discrepancy. While I'm sure Netflix would claim the same, I doubt McCord was expecting the axe to fall...