Konga, Nigeria’s largest online mall has done a rightsize exercise in the company to achieve ‘optimal productivity’. In a press release by the company Shola Adekoya, Konga’s CEO said:
“The restructuring which also entails workforce reduction is a prudent and necessary step for the long term success of the company. The reorganizing will also impact the business model as we continue to do retail but only focus on the products that customers really like with high throughput in the warehouse and that will leave other products to strategic merchants that will take over some of the products in a marketplace fashion. By this, Konga will optimize its warehouse and from September will allow merchants to begin to store items in the KONGA warehouse which guarantees quality and ensures quicker shipping times for customers.”
“This restructuring which is focused on reconfiguration and reallocating resources to focus on areas that offer the highest growth opportunities and alignment with Konga’s strategic objectives is absolutely necessary for Konga in becoming the engine of commerce and trade in Africa”
It is suggested that Konga has been right-sizing its workforce every six months for the past two years after a routine performance review.
As Nigeria’s economic recession becomes a reality, eCommerce players such as Konga, Jumia and category players are finding the retail scene battered the more by the devaluation of the Naira (NGN).
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