Listen to This Article Instead..
Uber’s longtime CEO announced yesterday that he will be taking an indefinite leave of absence from the company.
This came after Kalanick received a letter from 5 of Uber’s major investors, including the capital firm, Benchmark. The letter pressured Kalanick to step aside and make way for new leadership. After long discussions with a few board members, Kalanick agreed to meet the investor’s demands, and stepped down. However, he will remain on Uber’s board of directors.
Day to day operations of the company will fall to a team of more than 10 executives, while leadership searches for a new CEO, and continues the search for a COO.
There are many questions to be answered regarding the future of Uber. The once border-line-monopoly continues to lose market share every day to competitors like Lyft. Aggressive moves must be made and fast, if the company is to remain competitive. Silicon Valley is ruthlessly competitive, and will not make an exception for the likes of Uber.
Perhaps these aggressive moves will manifest as an automated 3PL (third party logistics) venture? I certainly hope so, as this would be a MAJOR disruption, giving me plenty of juicy content.
Check Yourself Before You Wreck Yourself… Lawsuits are Bad for Your Health
The call for Kalanick’s resignation is most likely due to Uber’s reputation being wrecked by a series of “scandals” brought to light within the last few years, and his inability to restore said reputation.
This is a short-list of some of the headlines generated by Uber’s nefarious in-house operations.
My Take.. In Hindsight, That’s Not the Culture We Were Looking for
Kalanick may be a great entrepreneur, but he was a terrible CEO. Uber’s culture is a dirty swamp of unprofessionalism and apparently, misogynistic behavior. They evaded law enforcement (if you can call sidestepping local government’s unfair game of picking favorites evasion) with super smart algorithms, and they have poked google in the peepers by soliciting their top talent, who brought trade secrets with them.
All of these dealings are Kalanick’s fault. He was fully aware of what was going on, claiming otherwise is foolish in my mind. As the CEO, he should’ve had the foresight and integrity to course-correct. That’s what the CEO is supposed to do; cultivate the appropriate culture, provide oversight, and communicate vision.
In one facet, my heart breaks for Kalanick. Uber was his baby. He poured his blood, sweat, and tears into the company, almost single handedly revolutionizing the ride-hailing industry. The man is a magnate in every sense of the word. It’s nice of the investors to allow him to stay on in some capacity as a board member. I’m sure severing all ties would be excruciating for Kalanick.
But in another facet, he probably had this coming.
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