Flipkart is shuffling its top deck again. In an email on Monday, current CEO and co-founder Binny Bansal said that Kalyan Krishnamurthy, who used to be the head of category design organisation, will now become the CEO of Flipkart.
“We have set ambitious growth and profitability targets, and to achieve these, we believe that demand, supply and engineering capabilities across the business need to be integrated. To drive this integration, we are creating the role of Flipkart CEO,” Bansal wrote in an email seen by FactorDaily.
Krishnamurthy will now be responsible for “overall customer experience, development and management of Flipkart talent & organisation and the end-to-end Flipkart P&L”
Krishnamurthy will now be responsible for “overall customer experience, development and management of Flipkart talent & organisation and the end-to-end Flipkart P&L,” said the email. Flipkart insiders have been saying this was coming.
According to company insiders, Kalyan Krishnamurthy, who was a managing director at Tiger Global, Flipkart’s largest investor, was brought in to stabilise operations after a series of top level exits at the company. The success of Big Billion Day, which was mostly orchestrated by Krishnamurthy (who mostly prefers to stay in the backdrop) was what tipped the scales in his favour at the board as the new CEO.
Nitin Seth, who is currently the head of people at Flipkart, will now become the chief operating officer.
Binny Bansal will focus on leading new, high growth businesses, capital allocation and IPO readiness
Binny Bansal will focus on leading new, high growth businesses, capital allocation and IPO readiness. Note that this is the first time the company has given any concrete hints on an impending public offering. “…we will look to repeat this success in FinTech, B2B, Private Brands, and logistics,” the e-mail said.
Flipkart will also set up a new group strategy function and move the M&A function headed by Nishant Verman, a former venture capitalist, into the group, reporting to Binny Bansal. “My charter will also include overseeing capital allocation across group companies, CEO selection and CEO compensation. We are in the process of hiring a group CFO and general counsel and both of them will also report to me,” the email said.
Saikiran Krishnamurthy, the head of supply chain, will now become part of the group CEO’s office and will help Binny with the new role. Sachin Bansal will continue to be the executive chairman.
With Binny and Krishnamurthy at the top, Flipkart has kept its lead in the market, but the company is far from profitability. As we wrote last earlier, Flipkart’s revenues have grown, but the losses continue to grow alongside.
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