Zappos sees more staff departures, but is Holacracy to blame?

More departures at Zappos leads commentators to question if Holacracy is the culprit. Recalll that Tony Hsieh offered employees a big payout if they decided to quit during the transition to Holacracy. But that’s not the only transition going on there. Zappos has been involved in a major web transition, moving onto parent Amazon’s back-end technology platform:

David Gelles, The Zappos Exodus Continues After a Radical Management Experiment

The latest departures came from a group of employees who were helping Zappos migrate to Super Cloud, a back-end infrastructure run by Amazon. The arduous, years-long effort to move Zappos to Amazon’s servers has effectively frozen the company’s website, and employees working on the project were offered more time before taking the buyout.

Mr. [Arun] Rajan [Zappo’s Chief Operating Officer] said that the migration to Super Cloud, which he had hoped to complete last year, was still ongoing. Meanwhile, 38 percent of those working on the Super Cloud transition took the buyout offer.

My bet is that a lot of these departures are folks that have burned out on the apparently difficult transition to Super Cloud, and the bail-out money simply makes leaving more attractive.

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