Ola has been in the news in recent months for a number of reasons. Its electric scooter has received a number of complaints from battery related issues to niggles with the build quality, software related problems and more recently one of its units going up in flames. The other reason the company has been in the news is its turnover of high-level executives with media reports putting the number at over 30 since 2020. Now in a report by CNBC TV18, former executives of the company have come forward to reveal the company’s inner workings.
As per the report, one executive cited that the reason for the complaints against Ola’s scooter had been due to insufficient time to test. While not being named they said that Ola’s CEO Bhavish Aggarwal had been asked to delay the launch though it had not happened. Ola Electric had announced that it was setting up a manufacturing plant in February 2021 with the company already bringing its first scooter to market by December of the same year – about 5 months after it was revealed.
Ola Electric's scooter has received several complaints over build quality, software issues and battery related issues
The report also cited a former employee with Ola Cabs highlighting that the company also set unrealistic targets - such as expecting results within months where established companies would take years. One former employee reportedly cited the Aggarwal wanted Ola Cabs, now a mature business, to grow by as much as four time in six months. Some reportedly also said that the company’s CEO lacked the patience to let a business nurture referring to the quick entry and exit of the company’s Ola Cars and Ola Dash verticals. Both brands were launched in 2021 with the company announcing the end to both businesses just recently with reports suggesting that a number of employees were laid off. The report also cited that former employees felt the work environment to be hostile with former employees citing people willing to pull down others to please the CEO and stressful situations at meetings as well as spot firings.
In response to a query on the exit of senior figures and layoff, an Ola spokesperson told CNBC, “Ola is an ambitious company. We want to lead the industries that we are focused on. Today, Ola is one of the most profitable ride-hailing companies in the world with a very strong balance sheet. Our core continues to be the broader mobility industry, be it ride-hailing, auto retail, financial services or electric vehicles. Today our riding-hailing business is delivering its highest ever GMV month on month. As we continue to grow, we will look at leaner and consolidated teams and capabilities and scale in a manner that keeps our strong profitability intact.”
The company is currently looking to expand into the electric four-wheeler space.
While complaints against its electric scooters still seem to persist on social media, Ola Electric is now pushing towards the four-wheeler EV market. At a recent event at the company’s factory, it previewed atleast three different electric car concepts details for which are expected to be revealed on August 15.
Source: CNBC TV18
