Another 20% layoff today. They just did a 20% layoff 2 months ago. Over 70% of workers gone. Is this the end of Flexport? https://www.reuters.com/business/us-logistics-startup-flexport-lay-off-20-its-workforce-information-2024-01-26/
Reuters can't get a few good devs and UX engineers. Can someone post another source?
Flexport and convoy were just glorified shipping brokers. In my opinion logistics never change because logistics is literally a traded commodity.
What do you mean by it being a traded commodity? Just that it's already an efficient market due to competition / pricing /etc.? Or literally that "ship 1 container from x to y" is an actual traded item on commodities markets?
Yes. Logistics for everything is traded. Could be in the form of speculating on pricing and locking in contracts vs going for spot pricing. Same goes for oil and energy. A lot of times you’re trading the cost to actual move those commodities
Where did the “70% gone” come from?
Any platform where you cannot scale the supply side operations as you scale the business is doomed for failure. You cannot create new container ships overnight nor can you suddenly increase the freight routes which require years of diplomantic planning between countries to allow docking legally. If they cam survive five more years without losing money, I'd say give the CEO the entrepreneur of the century title.
tf are you talking about, constrained supply is amazing for us. It drives up prices and therefore our margin. Bunch of people in this thread confidently wrong about why we're failing (it's bad management).
Flexport, what you smoking brother, you are in the freight business, not in the luxury diamond trading business. Who is paying you guys, aliens from Mars?? Your basic understanding of unit economics for non-luxury retail goods in wannabe market platforms is the number 0. Your theory of constrained supply works well until you realize that you have no control over the supply yourself and the clients are not willing to pay you more. Flexport is getting hit hard on both. It's not that you guys are controlling the supply, its the geopolitics and you cannot even control the uncertainty. Your CEO became a cry baby during the pandemic asking everybody to free the supply chain. Nobody shed a tear for him and laughed it out. Flexport and Wework are in the same shoes and one of them has gone down. They are physical infra businesses disguised as tech and hope they can change the infra their way. It is good that some of these businesses like Convoy, Flexport are failing as their entire business model is flawed and creates more strain on the normal supply than does good. I have respect for the CEO of Flexport though, he seems smarter than the average tech CEO but he is forcing tech onto something. Doesn't work that way.
Holy hell. I’ve gotta refer another 20% of flexport to TikTok / Bytedance? Ok fine. DM me for a referral
Bro 😭
Bros gonna FIRE with all that referral $$$
Doesn’t seem to be the plan, but just might crumble as the good folks are jumping ship and will continue to do so as more work gets heaped on us through layoff after layoff. Our workflows require way too much manpower, which isn’t sustainable when it comes to GP, but isn’t doable without workers.
Jeez, Flexport needs to figure out if its a tech company or a logistics company. And wtf are they using tech for if not automating some of the worst business processes I have ever seen. Healthcare looks efficient when compared to Logistics processes specifically international freight. Also there are established players in this industry who over the years have developed expertise & international diplomatic relationships across the world. This dude Ryan Reynold or Seacrust or whatever tf can’t even save face with Dave Clarke’s exit. It was the worst play of diplomacy. Shuddered confidence in Ryan & his company abilities to handle anything
Anyone know the severance?
If it’s like last time, 9 weeks
I was under the impression that not everyone got the 9 weeks too.
Flexport is an absolutely trash company
As my college professor told me, freight forwarders are the bottom feeders in the logistics world
Wow that site is garbage. Video keeps popping up automatically even after swiping it closed