Coupa Software Cutting Jobs as Part of ‘Company Reset Strategy’

Coupa Software is cutting an undisclosed number of jobs as part of a “company reset strategy.”

The job reductions at the business spend management company were announced Tuesday (May 30) in a message to employees from interim CEO and Chairman of the Board Charles Goodman.

“As everyone understands, Coupa faces a macro environment that’s shifted from ‘growth at all costs’ to one that demands a balance between mature growth and profitability,” Goodman said in the message. “With that in mind, we’ve aligned on a company reset strategy to operate more efficiently while still delivering meaningful value and ensuring customer success.”

Coupa Software’s strategy includes reducing duplication of effort, examining the company’s real estate footprint and reducing its workforce, Goodman said.

The reductions are based not on performance but on position overlap and duplication and the company’s near-term business needs, Goodman said.

“Through this action, we will move forward with a leaner, flatter structure, with fewer layers and leaders closer to the business,” Goodman said in the message.

This announcement comes about six months after the acquisition of Coupa Software by software investment firm Thoma Bravo for $8 billion.

The deal made Coupa a privately held company and came amid what PYMNTS has called an era of greenfield opportunities for business spend management companies.

“Coupa has created and led the large and growing business spend management category,” Thoma Bravo Managing Partner Holden Spaht said in a Dec. 12 press release announcing the acquisition. “We’ve followed the company’s success for many years and have been impressed by its consistent track record of delivering high levels of value for its global customer base.”

As PYMNTS reported at the time, the terms of the deal — which mark a 77% premium above Coupa’s closing price on Nov. 22, before media reports of a potential buyout triggered its ascent — reflect the underlying demand that exists for business spend management.

The completion of the acquisition was announced Feb. 28.

In his Tuesday message to employees, Goodman said Coupa’s job cuts are not due to the new partnership with Thoma Bravo.

“We aren’t doing this because of new ownership; we’re doing this to put Coupa on a stronger footing for long-term success,” Goodman said.