> The balance of crafter to manager numbers is a tricky one to strike. Too few and you risk misalignment on the most important things, too many and you add heavy layers of process, approvals, meetings and… side quests. Our numbers were unhealthy, just like it is in much of the tech industry. One of the insidious consequences of this is that it leads to the company increasingly celebrating activities rather than craft…
Shopify will be smaller by about 20% and Flexport will buy Shopify Logistics
261–270 of 531 posts
Re: Shopify will be smaller by about 20% and Flexport will buy Shopify Logistics
#262Earlier quoted context omitted.
> I can pay hundreds of people to mow my lawn using scissors, and they will be employed as landscapers. Or I can pay one guy with a lawnmower. Right, but that's not the actual dichotomy. First, if Shopify can deliver its software with less people, then with the same number of people they could deliver more. Second, realistically the dichotomy, in the short to medium term, is will these people be employed in a skilled…
You are assuming that there is an infinite number of people that can be added to Shopify’s payroll that will increase the product’s usefulness and increase revenue enough to justify their hiring. The company leadership doesn’t believe that. There is a line where adding more people will not justify enough revenue increase, and that’s up to the company leaders to decide. It’s worse for the people laid off, but ultimate…
Starting rather recently and suddenly, don’t you think? The company leadership did apparently believe that each and every time they made a hire. And I bet a lot of the people laid off today were hired fairly recently.
Re: Shopify will be smaller by about 20% and Flexport will buy Shopify Logistics
#263This is not surprising Shopify has had an identity crisis and lack of focus for years now. To name a few: - Alienating marketplace partners by trying to absorb their functionality - Trying to break into the logistics space - Failing to develop and make headway into the Enterprise space. Shopify needs a reality check and new leadership if they want to continue being relevant
Re: Shopify will be smaller by about 20% and Flexport will buy Shopify Logistics
#264Earlier quoted context omitted.
You are falling into the meta-trap of misunderstanding the Luddites. The Luddites weren't idiots, nor they were against progress. They revolted because the way the new technology was applied was destroying their specialization, and in many cases, destroying their lives . The promise of "reallocating skilled workers to new areas" is bullshit at the individual level. What's being reallocated is the new generation, the…
For hundreds of thousands of years, pre-historic man became very skilled at cutting rocks in order to make stone age tools. Generations upon generations of early humans learned, worked on, and passed down to their children the way to perfectly smash rocks against each other in order to cut them into pointy shapes. In this way they made arrow heads, knives, axes, and so on. It's hard to believe, but this primitive tec…
Relevant Mitchell & Webb Look sketch: https://youtu.be/nyu4u3VZYaQ
Also that's all well and good, but people won't necessarily take their skills being obsoleted lightly, just shrug their shoulders and disappear into the sunset. It could get to the point (especially if predictions about A.I. replacing a large swatch of jobs turns out to be true) that the people will get violent if unemployment gets too high. Just look at riots in Greece (when youth unemployment was 50%)[1] or France[2] for just a couple of examples.
Granted, that's not going to happen with this particular layoff, especially with the unemployment rate at a low 3.5%, but if it gets back into the double digits, it starts becoming more likely.
This is probably the real reason we gave out stimulus and PPP loans at the beginning of the Covid pandemic - to stop people from being so jobless, broke, that they take it out on the government. Not out of empathy.
[1]: https://www.cnbc.com/2014/11/26/protests-in-greece-expected-...
[2]: https://www.nytimes.com/2018/12/11/business/france-economy-m...
Re: Shopify will be smaller by about 20% and Flexport will buy Shopify Logistics
#265How good was Shopify Logistics? Is a competitor viable?
Re: Shopify will be smaller by about 20% and Flexport will buy Shopify Logistics
#266What a way to lead, and what an absolutely grotesque euphemism (not to mention a barbaricly tortuous use of English). Why do companies write like this? It's just awful.
I'm only half-joking when I suggest that if they'd taken this text and asked GPT-4 to rewrite it in a compassionate tone they'd have got a better result. (I say this having used GPT-4 quite regularly in recent weeks, although not for these kinds of purposes. It's quite impressive, along many axes, and I'm confident would have made a decent fist of this piece.)
EDIT: All right, I have to give some credit here. I've now had chance to read the full release and, whilst I don't love the RPG-esque references, I understand that this is fundamentally a piece of internal comms sent to a group of people who are probably used to discussing things in those terms (Lord, preserve us - not my bag). That aside, I thought a lot of the rest of the release was decent and the severance terms seem good, so I have to give props for that. I've left my first impression unedited because, if nothing else, it's an honest reaction to some quite poorly composed introductory remarks and on that basis certainly not entirely unfair.
Re: Shopify will be smaller by about 20% and Flexport will buy Shopify Logistics
#267Is this the same CEO who decided to double the engineering team in a single year? https://techcouver.com/2021/01/06/shopify-to-double-engineer... Aren’t CEOs paid ludicrously well to make long term decisions, rather than just flail around?
The notion that this CEO and hundreds of others made bad decisions by over-hiring is sensible, but the fact that so many made the same mistake at the same time makes me second-order think this. As cruel as it sounds, what if over-hiring was a good long term decision? What would that imply? It would mean that _not_ hiring aggressively in a high-inflation period is harmful to business. To me, that is far more interesti…
Re: Shopify will be smaller by about 20% and Flexport will buy Shopify Logistics
#268Earlier quoted context omitted.
I think you've nailed it on the head. I think they've now offloaded a key piece of e-commerce which they now have less control over their own destiny. Flexport is going to have to make margins as well which is going to get pushed onto the consumer at the end of the day which drives up prices, decreases demand. Tricky future incoming.
If you know a portion of your business is going to get more expensive, it can be very nice to disassociate yourself from it - now people will be saying "Flexport screwing me, what other options do I have" instead of "Shopify is screwing me". A similar thing happened when eBay and PayPal stopped being connected at the hip.
Re: Shopify will be smaller by about 20% and Flexport will buy Shopify Logistics
#269Is this the same CEO who decided to double the engineering team in a single year? https://techcouver.com/2021/01/06/shopify-to-double-engineer... Aren’t CEOs paid ludicrously well to make long term decisions, rather than just flail around?
From a business perspective, this is great for Shopify. The labor market for software engineers has seriously softened as a result of all the layoffs. Go look at job openings and their posted salaries. When Shopify beings hiring again, they are going to be able to hire talent at a fraction of the price. Also, this is largely a coordinated effort from activist investors specifically targeting large tech salaries. E.g.…
Re: Shopify will be smaller by about 20% and Flexport will buy Shopify Logistics
#270"We are changing the shape of Shopify significantly today to pay unshared attention to our mission." What a way to lead, and what an absolutely grotesque euphemism (not to mention a barbaricly tortuous use of English). Why do companies write like this? It's just awful. I'm only half-joking when I suggest that if they'd taken this text and asked GPT-4 to rewrite it in a compassionate tone they'd have got a better resu…