Dave Clark, the previous Amazon govt who was ousted as CEO of Flexport only a yr into the job, fired again at its founder and board, calling current reporting on the logistics firm “deeply regarding.”
Clark made the feedback Monday in a prolonged publish on social media web site X following a report from CNBC that supplied new details about his final days at Flexport, a freight forwarding and customs brokerage startup valued at $8 billion. Clark, who was handpicked by founder Ryan Petersen to take the highest job, stated he found in depth issues when he joined Flexport in September 2022, together with a “income forecasting mannequin that was persistently offering overly optimistic outputs.”
Flexport couldn’t be reached for remark. TechCrunch will replace this text if Flexport responds.
The publish on X (previously referred to as Twitter) reads:
Working with integrity and treating colleagues with respect is crucial to the success of any firm, which, as a shareholder, makes immediately’s CNBC story and different current reporting about Flexport deeply regarding. Regardless of my quick tenure, I care concerning the firm and its workers and need it to succeed.
After I joined Flexport as co-CEO in September 2022, I discovered an organization missing course of and monetary self-discipline, together with quite a few customer-facing points that resulted in important misplaced prospects and a income forecasting mannequin that was persistently offering overly optimistic outputs. The corporate had missed price, margin, and income forecasts for a number of quarters previous to my arrival. My go-forward plan for Flexport, which was vetted by Ryan and introduced to the Board, was targeted on delivering development and transferring to align prices with income, not a income quantity primarily based on hope — however one grounded in actuality.
Though the issues at Flexport had been far more in depth than I assumed they’d be once I agreed to affix, I’ve by no means shied away from a problem. Throughout my time at Flexport, working alongside a gifted group, we efficiently transitioned to a brand new tech and product organizational mannequin, built-in a big acquisition and quickly launched an end-to-end provide chain expertise product all whereas concurrently enhancing Flexport’s operations and inner processes.
Flexport is dealing with severe inner and trade challenges that require severe management, and I sincerely hope they discover a profitable path. However for me, it’s time to go construct one thing new elsewhere…after which after that who is aware of.
Clark’s sudden departure was only the start of upheaval throughout the firm.
The feedback are the most recent in an inner drama between Clark, Petersen and the board that was unfolding behind the scenes this summer season, just some months after the corporate acquired Shopify’s logistics unit. The difficulty got here to a head in September when Clark was compelled out.
The interior govt drama didn’t finish with Clark’s departure.
Two days after Clark abrupt stepped down as CEO, Petersen stated Flexport would rescind dozens of employment gives and look to lease out the corporate’s workplace area because it appears to get prices underneath management and “get its home so as,” in line with a publish on the social media web site X. In a separate publish, Petersen famous that Flexport has “grade A” workplace area to sublease in San Francisco, Los Angeles, New York Metropolis and different areas around the globe.
Petersen’s principal complaints round Clark’s management — a minimum of on public feedback he has made — have centered round prices, particularly hiring and increasing too shortly. Nevertheless, Clark’s hiring and large “entrepreneurial” imaginative and prescient for Flexport was hardly a secret. Clark was co-CEO alongside Petersen his first six months on the job. Petersen then stepped into an govt chairman function.