Flipkart’s Binny Bansal episode highlights need for clearer communication

The sudden resignation of Flipkart’s co-founder and group CEO Binny Bansal on the heels of allegations of “personal misconduct” suggests two things. One, firms are increasingly moving towards evolving a code of conduct in the workplace and are inclined to take it seriously. Two, once an allegation of misconduct is levelled, there is a more serious effort in ensuring that the remedial process upholds in the spirit of the code. These two factors were at play in Flipkart as the company’s statement said that an independent investigation did not find evidence against Bansal. However, the statement added that Bansal’s response fell short of the “transparency” expected of him.

Read: Binny Bansal quits Flipkart after ‘personal misconduct’ probe

The current development has played out in the backdrop of Walmart’s acquisition of majority stake in Flipkart and a concurrent debate on the need to safeguard Indian entrepreneurship. It may provide grist for the mill, but Flipkart’s communication on the issue holds lessons. Firms are stakeholders in society and have a role to play in nurturing diversity in the workplace. Consequently, their communication on issues such as personal conduct needs to be unambiguous. Flipkart’s communication on the Bansal issue leaves room for multiple interpretations. Consequently, it can deflect attention from the larger issue of workplace conduct. Improving the work environment is necessary if more women are to become a part of the workforce.

Binny Bansal. (TNN file photo)