New Delhi: In a major revelation, Flipkart co-founder Sachin Bansal, said that he had to step down as the company’s CEO and take up the chairman’s position after missing performance targets.
According to reports Bansal made this disclosure at a town hall meeting with Flipkart employees on 19 August.
“Look at the top level around you. Everyone has changed. In fact, even I am gone. Some of our targets have been missed and everyone, including the top management, has paid the price,” Bansal said, according to the two people.
Bansal’s reply came on questions from employees as to why they had to face the axe for unsound management decisions, weeks after reports of Flipkart laying off underperformers did the rounds. Flipkart is said to be downsizing its workforce by 3% (around 700 employees) to cut costs and take on rivals Amazon and Snapdeal.
A report also cited a Flipkart spokesperson as saying that, while the performance management philosophy was part of the town hall discussion, most time was spent on discussing the improvement that Flipkart had made in its business performance.
Sachin Bansal was replaced as the CEO in January when co-founder Binny Bansal took over.