Dive Brief:

• Online footwear retailer Zappos took a major risk by moving to the radical self-management system called Holacracy. Now, according to the New York Times, the Amazon-owned company's employee exodus continues.
• The Times reports that Arun Rajan, chief operating officer, said in a blog post that 18% of the company, about 260 employees, had flown the Zappos coop since March.
• The departures began soon after CEO Tony Hsieh told the world that Zappos would adpot Holacracy - a collaboration-based stategy that eliminates hierarchy (and managers).

Dive Insight:

Apparently not much has changed at Zappos since the Times last wrote about how both experts and Zappos employees themselves perceived the Holocracy concept: most saw it as a strange idea, but were willing to give it a go.

However, the Times reports, the latest evacuees primarily had been helping Zappos move to "Super Cloud," a "back-end infrastructure run by Amazon." And Rajan said in his post that the Super Cloud migration had blown its 2015 deadline and 38% percent of those working on the Super Cloud transition decided the buyout offer seemed a better bet and left, according to the Times.

“While we have lost a number of folks, it is important to note that we have a significant group of highly talented individuals who will be staying to help move Zappos forward,” Rajan wrote. Zappos declined to comment for the Times article.