Uber: an example of flexibility and innovation to follow

Top inspiration for me that I wanted to share:

Uber, the famous mobility platform, has just announced its results for the second quarter of 2023, and they are impressive. For the first time in its history, Uber achieved an operating profit of $326 million, with a record revenue of $9.23 billion. How did Uber manage this feat, after years of losses and challenges? The answer lies in one word: flexibility. Uber has been able to adapt to market changes, customer needs and technology opportunities. Here are the main points of action that Uber’s CEO, Dara Khosrowshahi, took to transform his company:

? Diversification of activities: Uber is no longer limited to transporting people, but also offers services such as food delivery with Uber Eats, grocery delivery with Cornershop, freight transport with Uber Freight and even flying taxis with Uber Elevate. These activities have allowed Uber to increase its number of monthly active users, which went from 93 million in 2019 to 154 million in 2023, and to generate additional revenues, which represented 32% of the total revenue in the second quarter of 2023.

? Cost optimization: Uber reduced its marketing expenses by 37% compared to last year, focusing on retaining and satisfying existing customers. Uber also sold its unprofitable businesses, such as Uber ATG (autonomous driving) and Jump (electric bikes and scooters), to strategic partners such as Aurora and Lime. Finally, Uber leveraged its investments in companies such as Didi Chuxing (China), Yandex Taxi (Russia) and Zomato (India), which earned it $1.4 billion in the second quarter of 2023.

? Innovation: Uber has not stopped innovating to offer more ecological, safer and more accessible mobility solutions. Uber launched Uber Green, a service that allows users to choose electric or hybrid vehicles. Uber also developed Uber Assist, a service that offers personalized assistance to elderly or disabled people. Finally, Uber introduced Uber Pool, a service that allows users to share their ride with other passengers going in the same direction, reducing the cost and carbon footprint.

What we learn from Uber is that the success of a company does not only depend on its vision, but also on its ability to question itself, experiment and reinvent itself. Flexibility is an essential quality to cope with uncertainty, complexity and competition. Flexibility is also a source of learning, creativity and growth. But being flexible is not easy, especially when you are at the head of a company like Uber.

As the CEO of CLD group, this announcement from Uber clearly inspired me. I find that the points of attention and actions they have implemented are examples to follow for any company that wants to stand out in a competitive and uncertain environment. I will keep these lessons in mind and share them with my collaborators and partners. I think that flexibility is a key skill for any leader who wants to create impact and meaning.

Note: As nothing ever comes alone this announcement comes at the same time as my reading of the book: Think Again: the power of knowing what you don’t know that I recommend

#uber #flexibility #innovation #leadership #thinkagain #cldgroup