Busting Myths of On-Demand:Integration

Peter CoffeeDirector, Platform Researchsalesforce.com

Robert BallIntegrations LeadActivant Solutions

Randy BergerProcess Development ManagerSiemens Power Transmission and Distribution

More than a Browser

Myth: It’s hard to integrate with on-demand

systems

– The browser looks like a “glass wall”

– Access to other data and logic are important

Busted: On-demand integration is easier, faster,

and less risky

– Native connectors

– Enterprise middleware

– Web 2.0 “mash-ups”

Keys to Enterprise On-Demand

Business-oriented API

Synchronization as required

Scalable to high data volume

Open to data diversity

Mash-ups from AppExchange

Native Desktop

Connectors

Integration Partner

Ecosystem

Developer Toolkits

Native ERP Connectors

Agreement on Objectives

Integration of what?

– Data

– Logic

– User interface

Toward what end?

– Indefinite co-existence

– Legacy system consolidation

– Strategic move to on-demand development

Agreement on “Success”

Cost reduction

Performance achievement

Service-oriented architecture

Risk management

Governance improvements

Mash-ups from AppExchange

Native Desktop

Connectors

Integration Partner

Ecosystem

Developer Toolkits

Native ERP Connectors

1 2 3

Enterprise-ready ERP integration options

A comprehensive solution built on the Force.com Web Services API

Mash-ups from AppExchange

Native Desktop

Connectors

Integration Middleware Connectors

Developer Toolkits

Native ERP Connectors

Example 1: Native ERP ConnectorsSynchronization, Pre-Built Templates, and Packaged Transfomation

Activant – Increased Sales Productivity with Integration to Oracle 11iForce.com Connect for Oracle 11i and Fusion Middleware

ChallengeChallenge

Inconsistent view of customers across

multiple applications since salesforce.com

was implemented company-wide a year ago

resulted in reduced sales productivity

Sought to return sales productivity by

providing critical customer data to sales

teams through a single interface

Highly technical, resource intensive build of

integration versus vendor-provided

integration appliance

Inconsistent view of customers across

multiple applications since salesforce.com

was implemented company-wide a year ago

resulted in reduced sales productivity

Sought to return sales productivity by

providing critical customer data to sales

teams through a single interface

Highly technical, resource intensive build of

integration versus vendor-provided

integration appliance

SolutionSolution ResultsResults

Used Force.com ConnectOracle 11i, a native connector from salesforce.com, to synchronize customers across systems; including custom Oracle programs to enhance functionality

Customer master integration will serve as the springboard for process integration via Oracle Fusion BPEL manager

Next phases:

– Contacts

– Web Portal

– Install Base

– Items, Pricing

– Order Entry

Used Force.com ConnectOracle 11i, a native connector from salesforce.com, to synchronize customers across systems; including custom Oracle programs to enhance functionality

Customer master integration will serve as the springboard for process integration via Oracle Fusion BPEL manager

Next phases:

– Contacts

– Web Portal

– Install Base

– Items, Pricing

– Order Entry

Higher sales productivity

Sales can now access critical ERP data via

Salesforce

Reduced time per sales call

Synchronized Customer Master across front

and back office

Highly reliable, hybrid solution installed in

minimal time under budget.

Higher quality data, better communication

between Sales and Finance departments

Higher sales productivity

Sales can now access critical ERP data via

Salesforce

Reduced time per sales call

Synchronized Customer Master across front

and back office

Highly reliable, hybrid solution installed in

minimal time under budget.

Higher quality data, better communication

between Sales and Finance departments

Salesforce Oracle 11i

Activant – Who are we

Systems IntegratorLeading provider of POS/ERP solutions for medium sized businesses in four vertical markets: Hardware Stores, Auto Parts, Lumber/Building, Wholesale Distribution. Revenue = $500 million/year. Approximately 400 sales reps.

Complete Solutions ProviderIntegrate the hardware, OS, database, apps software, connectivity, content, and services to be the “IT Department” for our customers.

Steep Growth CurveSeveral acquisitions per year ($50 million - $200 million companies).

Most Sales to Existing CustomersOver 2/3 of sales revenue comes from existing customers. Approx. 2/3 of total revenue comes from recurring fees (license, content subscription & services).

Activant Solutions Inc. – Livermore, CAActivant Solutions Inc. – Livermore, CA

Activant – ERP Integration Challenge Faced

Business ChallengesBusiness Challenges

Change processes in Finance to maintain

needed data on Oracle

Persuade sales reps to allow Oracle to

overwrite “their” data

Transformation business logic

Synchronize the meaning of data items

Develop feedback channels (Sales – Finance)

Key New Accounts (KNA) process

Change processes in Finance to maintain

needed data on Oracle

Persuade sales reps to allow Oracle to

overwrite “their” data

Transformation business logic

Synchronize the meaning of data items

Develop feedback channels (Sales – Finance)

Key New Accounts (KNA) process

Technical ChallengesTechnical Challenges

Data denormalization issue

– “Safety Net” concurrent requests

– Packing multiple data items into a single descriptive flexfield

Oracle Business Event system (Workflow)

– Implementing changes

– Overloading

KNA Process

– Oracle descriptive flexfield Salesforce workflow

Implementation strategy

– Comparing Oracle & Salesforce data

– Phased go-live using data load utility

– Temporary Salesforce workflow

Data denormalization issue

– “Safety Net” concurrent requests

– Packing multiple data items into a single descriptive flexfield

Oracle Business Event system (Workflow)

– Implementing changes

– Overloading

KNA Process

– Oracle descriptive flexfield Salesforce workflow

Implementation strategy

– Comparing Oracle & Salesforce data

– Phased go-live using data load utility

– Temporary Salesforce workflow

Activant – Solution - Roadmap

1 Business AnalysisThis is critical! - Much of Activant’s was already done as a result of legacy integration, and initial salesforce data load. Activant had additional work resulting from legacy system data not being on Oracle yet.

Develop on Oracle FirstThe ERP effort is bigger, more risky and has more “red tape.” Salesforce development & Force.com Connect development is much smaller – more fun.

Have Sales Sign Off on the DataShow them the differences between what’s in Salesforce now and what Oracle will overwrite with. Work through the differences until Sales is satisfied before implementing.

Go Live in Phases (if Possible)By coupling data signoff with Go Live, the process is smoother. By implementing in phases it is more manageable.

2

3

4

Activant – Benefits

Increased Sales & Finance ProductivityHidden cost of sales having to “look up” information eliminated, especially when it required calling someone. Finance gets better feedback and can get the data correct quicker (less back & forth).

Team SpiritBefore, Sales complained about the data that Finance maintained and their responsiveness. Now it’s a partnership and Sales shares responsibility for data accuracy.

Better ReportingBy having the data synchronized, reporting on Oracle & Salesforce data together is easy.

More Accurate Data / CommunicationWith the feedback loop, The Oracle data is more accurate. Finance uses the integration to communicate needs about customers to Sales.

Easy to Monitor & MaintainOracle alerts & Salesforce workflow notifications provide electronic alerts, often before problems occur.

Example 2: Integration Partner Ecosystem Force.com Connect Category on the AppExchange

Data Integration

Integration Appliances

Middleware

Composites

SOA

Certified connectors to more than 30 integration middleware partners

Document Management

SIEMENS Business Overview

PowerTransmission andDistribution

LightingAutomation and Control

Information andCommunications

Power Transportation Medical

OSRAMAutomation andDrives

Industrial Solutions and Services

Communications 1

Siemens BusinessServices

Power Generation TransportationSystems

Siemens VDOAutomotive

Medical Solutions

Siemens Building Technologies

28.5%19.7%

19.3%

9.8%

17.3%

5.4%

1) Since Oct.1, 2006 represented by Siemens Networks GmbH Co. KGand Siemens Enterprise Communications GmbH & Co. KG

PowerTransmission andDistribution

TurboCare

$6B annual Global sales

18,000 employees

#2 global market share

Our ERP & CRM Environment

Salesforce.com

– 550 seats across three Operating Companies

– Used for joint sales force in North America

SAP

– System of Record for SPTD

– Order Mgmt – Financials - Purchasing

ERP Integration Challenge Faced

Business processes not yet fully harmonized

Business Warehouse not in place yet

High demand for reporting key business performance

Limited in-house developer support

WANTED:

Visibility of pipeline through shipment in one place

Integration without code development!

Possible Options

Custom Code– Quick but dirty

– Too programming intensive

– Difficult to modify as needs changed

Traditional Integration Tools– Too costly

– Long learning curve

– No native salesforce.com connectivity

Integration Appliance– New technology

– Configuration-based approach

– Built-in salesforce.com & SAP Connectivity

Solution - Roadmap

Product Master

Pricing Master

Invoicing/Billing Master

Order Master

Invoicing/Billing Master

Product Master

Cast Iron Integration Appliance

Customer MasterCustomer Master

Benefits & Lessons Learned

Integration strategy follows CRM platform strategy

– No Software, no development, rapid deployment, easy to change

Make simplicity a “must-have” while reviewing implementation options

– Choose Simple solutions, not build-it-yourself tools

– Cast Iron platform approach was the correct decision for us

Clearly define the business and technical requirements up front

– Key to rapid deployment is agreement up front

Start simple… and deliver quick results

– Support for first project success was critical

– Build on initial experience

Never underestimate the "Ahhh Factor"

– Success is contagious!

Thousands of Customers Integrate with salesforce.com Every Day Now Serving Over 1 Billion API Integration transactions per Month

Integration Best Practices

Partner with Business – Understand the Processes

Choose Approach Based on Cost vs. Benefits

Look for great partners – Buy vs. Build

Target Quick Wins

Plan for Growth

Thank you!