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Morning Report: Uber’s President Quits Amid Gordian Knot Of Controversy At Company

Morning Report: Jeff Jones,聽Uber’s president and number two to聽CEO Travis Kalanick, quits after 6 months on the job. But he is not the first executive to leave.

On Sunday afternoon,聽 broke the news that Uber’s president of Ride Sharing, Jeff Jones, resigned his post after less than one year on the job.

Jones joined the transportation company from Target, where he served as the retailer’s chief marketing officer since April 2012. Jones, a veteran of the corporate marketing business, was previously a partner and president at McKinsey and the executive vice president of marketing for Gap Inc. He joined Uber in September 2016. His job, as聽ReCode journalists Kara Swisher and Johana Bhuiyan characterized it, “was to remake the company鈥檚 tainted image.”

Evidently, that didn’t work out so well.

Suffice it to say that the last couple of months have not been kind to Uber, and the company is beginning to show signs of weakness amid the challenging environment. Uber聽appears to have some serious issues with retaining executive talent these days, stemming from deep issues with the company’s culture. As Jones told聽Recode:

鈥淚t is now clear, however, that the beliefs and approach to leadership that have guided my career are inconsistent with what I saw and experienced at Uber, and I can no longer continue as president of the ride sharing business.”

Let’s take a look at some of those inconsistencies and how they’ve prompted other executives to leave, both by force and by choice.

Sexual Harassment Claims Force Out Two Senior Executives

In the wake of the , more scrutiny has been applied to Uber’s senior management team. Uber’s聽SVP of engineering, Amit Singhal, was asked to resign on February 27th after it was revealed that he left his previous employer, Google, amid a dispute over sexual harassment allegations.

Although Singhal vehemently denied the claims, the optics weren’t great for the company. As聽Recode‘s Kara Swisher put it in :聽“Having Singhal at the head of an organization under siege over sexual harassment issues when he was not candid with Uber over his departure from Google was considered untenable.”

Less than a week later,聽Recode also that Uber’s VP of product and growth, Ed Baker, resigned amid suggestions聽that he had a sexual encounter with an employee at an internal Uber event several years ago. There was no evidence of harassment, and the encounter was “apparently consensual,” but, again, optics matter here.

Other Executives Leave On Their Own Accord

Alleged sexual harassers aren’t the only executives to聽leave the company. Just this morning,聽The New York Times 聽that another executive besides Jones will be departing as well.

Brian McClendon, Uber’s VP of maps and business platform, will be leaving the company at the end of the month. His exit was planned and amicable, and he will continue to advise the company from his home state of Kansas, where the Times reports that he will be exploring politics.

Raffi Krikorian, a director in Uber’s problematic聽self-driving car efforts, which has gotten off to a , last week after announcing his departure on February 23rd. This was announced one day before聽. The Waymo lawsuit聽alleges that Otto, , stole self-driving car plans from Waymo. According to an of the original report, several senior roboticists also left Uber’s Advanced Technologies Center in the time leading up to聽Krikorian’s departure.

Additionally, Gary Marcus, who 聽the company as the director of Uber A.I. Labs as the result of Uber’s acquisition, departed earlier in March.

Culture Is Not Uber’s Only Challenge

The fact that a bunch of executives are leaving Uber is likely a symptom of a larger issue聽at the company.聽For the sake of brevity, I left out a number of equally problematic stories which broke in the past couple months. Here’s just a sampling:

  • Uber’s , which helped the company evade regulatory authorities.
  • More details of the alleged IP heist from Waymo by Uber’s new head of self-driving car projects Anthony Levandowski, who assumed that role after Kikorian left. (Daniel Compton, a New Zealand-based software engineer with no connection to Uber, wrote of the alleged timeline.)
  • That of CEO Travis Kalanick arguing with an Uber driver.

To help ameliorate some of the issues with corporate culture, Kalanick has asked for “leadership help” in the form of a COO. With Jeff Jones聽now gone, it’s likely that the executive search process is about to get a lot longer. How badly does anyone want to join the company now?

Today in the :

Uber鈥檚 president quits after six months

  • Uber鈥檚 president, Jeff Jones, is quitting after six months on the job, citing issues with the company鈥檚 approach to management. The move follows CEO Travis Kalanick鈥檚 announcement that he plans to hire a chief operating officer to provide leadership help. Jones鈥� departure follows several rocky weeks for the ride-hailing giant, which is grappling with charges of sexual harassment, a lawsuit from Google, and a campaign to delete its app, among other issues.

MuleSoft shares surged in debut

  • The year鈥檚 first big enterprise software IPO delivered a first-day pop. Shares of closed up about 40 percent in their first day of trading on Friday, giving the San Francisco-based company a market cap north of $3 billion. The stock was down slightly in Monday morning trading.

Netmarble files to raise $2.35B in IPO

  • , one of the largest mobile and PC gaming firms, has filed to raise as much as $2.35 billion through an IPO in its native Korea, TechCrunch . A listing in that price range would give the company a valuation that鈥檚 just shy of $12 billion.

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