Flipkart is one of the largest firms in India’s fast-growing e-commerce market, which is valued at $10 billion.
In last 4 months, Flipkart has seen the worst employee turnover till date.Seven top & middle executives have quit the organisation.
The following are the executives who have quit:
- Rajesh Choudhary, vice-president, finance;
- Aswin Chandrasekaran, head of Flipkart’s books business;
- Ashok Banerjee, vice-president, engineering;
- Rohit Jalan, senior software automation engineer;
- Prasanna V, engineering manager of information technology (IT) infrastructure;
- Gaurav Lochan, engineering manager of digital;
- Marcus Terry, director, seller operations
From Feb 2013 , Flipkart was looking for Chief Financial Officer since Karandeep Singh(ex-cfo) resigned unexpectedly although he had mentioned that he resigned due to personal reason. The team should have got a hint by that time before this major attrition taking place.
About Karandeep: B.Com from Delhi University and a member of the Institute of Chartered Accountants of India. 2 decades of career, worked with Dell, Moser Baer, Ariba and Yum Brands. Before joining Flipkart, he was working with Sapient Corporation as vice-president (finance) position.
The question arises that when the same person could sustain in other major organisation, then why not at Flipkart. The Chief employees from Finance, Operations, Engineering & IT team proved to be in an extreme disengaged state of mind which resulted in separation. This exodus took place in a wrong time since Flipkart was gearing up for competition from global major Amazon.
Sachin Bansal is the chief executive and Binny Bansal is the chief operating officer. They generally give 10 – 20 % hike to employees from the larger organisation such as Google, V M Ware etc. In fact Ashok Banerjee, vice-president, engineering who has also quit was hired from Twitter in San Francisco.
This shows that the company is facing from serious leadership issue. Some internal sources say that the main issue which lead to this turnover was the lack of experience that the Bansal Brothers posses. The top executive who were hired at a leadership level has much more experience than them & felt difficulty in working along with the organisation chiefs.