Flipkart’s Sachin Bansal Was Replaced For Underperforming
As per Business standard, in a rare admission by any top management team, one of the founders of Flipkart’s Sachin Bansal, has admitted in a town hall meeting that he was replaced due to his underperformance.
Flipkart is in the news for various reasons including takeover, and hiring and changes in management etc. This statement gains importance for few important reasons. First, there are very few companies where Top management accepts their failure with their employees let alone their outside world.
Secondly, it also acts a warning signal for the all the employees at Flipkart that no one is above the company, not even the founders! It also helps to win back the trust of the employees and assuring that they are not being unnecessarily targeted for any management decision. This news is also seen as a strategic move to motivate the employees.
Flipkart is under tremendous pressure to due to series of markdown of its valuation by various Mutual Fund experts. Also, because of its rival Amazon, that is growing at a steady pace and has pumped in a lot of money into the business.
Recently, Flipkart’s Fashion arm Myntra had made an acquisition by buying out its fashion rival Jabong for Rs 471 Crore. Over the last one year, Flipkart has seen several ups and downs in its business including the changes in the management team, new acquisition,and bringing back its form employees etc.
The revelation by Sachin Bansal also gains importance as it sets a positive atmosphere within the company and also encourages other companies to follow the suit.
Flipkart is now gearing up for its annual Mega Sale event which expected to happen during the festive season of Diwali. Hopefully, this revelation might help to bring in more business to the company.