It can be refreshing when a boss walks in their employees’ shoes.
In a excellent demonstration of empathy and leadership, Deepinder Goyal, the co-founder and CEO of Zomato, alongside his wife Grecia Munoz, took on the role of food delivery agents in Gurugram.
This inspiring act perhaps not only shows the importance of understanding the intricacies of one’s business but also showcases the genuine commitment of Zomato’s leadership to connect with their employees on a deeper level.
Goyal and Munoz offered a refreshing perspective on the challenges faced by those at the frontlines of the food delivery industry by stepping into the shoes of delivery agents even so momentarily.
The couple donned Zomato’s notable red uniforms and took to the streets, delivering orders and engaging with customers. This hands-on approach is a commendable reminder that true leadership involves understanding the experiences and hurdles faced by team members.
But as with any situation, there are differing perspectives. While many applauded Goyal’s initiative with positive comments, others criticized it as merely a marketing gimmick.
Regardless of where readers stand on this issue, one undeniable truth is that leading by example is essential, and if this is what it takes to demonstrate that commitment, then why not embrace it?
“Went out to deliver orders a couple of days ago, teaming up with@greciamunozp,” he wrote tagging his wife, who changed her name to Gia Goyal on Instagram.
Notably, the company announced the grant of nearly 12 million stock options under its employee stock option plans (ESOPs). According to an official filing on October 2, 2024, the food delivery giant revealed that a total of 11,997,768 stock options have been allocated to eligible employees under its ESOP 2014 and ESOP 2021 schemes.
The stock options, valued at Rs 330.17 crore, are based on Zomato’s current share price of Rs 275.2. The initiative aims to empower employees by providing long-term wealth-creation opportunities, fostering a sense of ownership, and boosting overall morale. The company’s Nomination and Remuneration Committee has approved the grants, which allow employees to exercise their stock options within 10 years from the vesting date or 12 years from Zomato’s listing in 2021.
Out of the total options granted, nearly all—11,997,652—belong to the ESOP 2021 plan, while the older ESOP 2014 plan, also known as the Foodie Bay Employee Stock Option Plan, accounts for a mere 116 options. Each option can be converted into one fully paid-up equity share with a face value of Re 1.
But this move did not come without resistance.
Investor Reactions
When Zomato announced its ESOP 2024 plan, 32.5% of institutional investors voted against it, while non-institutional public investors showed their support. Some proxy advisory firms, such as IIAS, recommended that shareholders oppose the expanded ESOP plan, citing concerns about potential dilution for founders of private equity-funded companies.
Despite this pushback, Zomato’s ESOPs aim to align employee interests with the company’s growth and foster a culture of innovation and long-term thinking. The CEO has emphasized that ESOPs are crucial for keeping the team motivated and engaged in the company’s success.
The Power of Social Engagement with Diverse Reactions to Goyal’s Initiative
Social media has been abuzz with reactions to Goyal’s hands-on approach to food delivery. While some users celebrated his initiative as a marketing strategy, others expressed concerns about the environmental impact of the delivery process, particularly regarding Zomato’s sustainability claims.
Comments ranged from praises, such as “Huge respect for your work and the entrepreneur you are!” to critiques, with one user urging Goyal to address the challenges faced by delivery personnel.
These diverse opinions, some positive and some negative still empahasize the need for leaders to listen to feedback and take constructive criticism as an opportunity for growth. As Goyal himself may have experienced while interacting with customers, understanding the perspective of all is crucial for encouraging a positive work environment and improving business practices.
Snapshot
Deepinder Goyal’s decision to step into the role of a delivery agent exemplifies the spirit of leadership that prioritizes empathy and understanding. Perhaps, it may be a marketing gimmick perhaps not, still his actions, coupled with Zomato’s substantial investment in its employees through stock options, pave the way for a culture of collaboration and growth.
As Zomato continues to with its journey and respond to the challenges of the food delivery industry, this initiative shows that true progress lies in the connections we build with our teams.
Hence, celebrating the positive strides and a future where leadership is defined by engagement, empathy, and shared success, together, can cultivate a community that values the contributions of every individual, ensuring that Zomato remains not just a service, but one that understands the contributions of its employees at every level.
