Company Restructuring: Four Executives Are Leaving Twitter as The Company Plan Big Leadership Changes
It was confirmed that four of Twitter's executive is leaving the company as a part of a major long-planned company restructuring. The restructuring was carried out partly to reassure investors and the general public that the company has improved since Jack Dorsey took the CEO position in October 2015.
The four executives are head of media Katie Stanton, head of product Kevin Weil, head of engineering Alex Roetter, and head of Vine Jason Toff. The four executives are believed to be allies of former CEO Disk Costolo who stepped down last year. The position was later taken by Jack Dorsey.
The New York Times reported that the layoffs were just a prelude to a bigger plan. In the next few weeks, the social networking company is expected to undergo a major overhaul of its top ranks. Ever since Jack Dorsey returned as CEO for Twitter, the company has layoff as many as 336 employees, which is up to 8 percent of the workforce.
Besides the executives that were asked to step down, there are also some other executives departing under pressure who decided to leave on their own. According to Mashable, in place of the executives that was asked to step down, it's rumored that Twitter will add a high profile media personality to its board. The name is yet to be confirmed.
The change is seen as important to Twitter because the social media has reportedly failed to attract new users. That has led the company's stock to drop this year, reaching new lows with every period. The company's shares have plunged up to 55 percent in the last year, and the trading is now below its IPO price.
Jack Dorsey as the new appointed CEO then determines to solve the company's issues and change the condition for the better. Dorsey has yet to reveal the details of the plan regarding the change he wishes to apply in the company. But he did say last year that he seeks for the company to have a greater clarity of its purpose and its objectives.
According to Reuters, Dorsey has played an increasingly large role in product department, especially since the company shuffled through three product heads since 2014. Dorsey is also the CEO of a financial services technology company Square and is reported to have lost its billionaire status partly because the issues Twitter are suffering.
The current move to lay off four of its executives is considered the biggest leadership changes since Dorsey returned as chief executive. However, we should anticipate more changes and restructuring in the future because it's just a beginning to a bigger plan of restructuring to save the company and improve its conditions.