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Peter Doolan SVP Salesforce.com Connect with your customers in a whole new way Washington DC Enterprise Architecture @peterdoolan

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Overview of Salesforce Enterprise Architect strategy and vision. Also, insight into our Salesforce Platform Spark engagement offering.

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Page 1: Enterprise Architecture Salesforce

Peter Doolan

SVP Salesforce.com

Connect with your customers in a whole new way

Washington DC Enterprise Architecture

@peterdoolan

Page 2: Enterprise Architecture Salesforce

Safe Harbor

Safe harbor statement under the Private Securities Litigation Reform Act of 1995: This presentation may contain forward-looking statements that involve risks, uncertainties, and assumptions. If any such uncertainties materialize or if any of the assumptions proves incorrect, the results of salesforce.com, inc. could differ materially from the results expressed or implied by the forward-looking statements we make. All statements other than statements of historical fact could be deemed forward-looking, including any projections of product or service availability, subscriber growth, earnings, revenues, or other financial items and any statements regarding strategies or plans of management for future operations, statements of belief, any statements concerning new, planned, or upgraded services or technology developments and customer contracts or use of our services. The risks and uncertainties referred to above include – but are not limited to – risks associated with developing and delivering new functionality for our service, new products and services, our new business model, our past operating losses, possible fluctuations in our operating results and rate of growth, interruptions or delays in our Web hosting, breach of our security measures, the outcome of any litigation, risks associated with completed and any possible mergers and acquisitions, the immature market in which we operate, our relatively limited operating history, our ability to expand, retain, and motivate our employees and manage our growth, new releases of our service and successful customer deployment, our limited history reselling non-salesforce.com products, and utilization and selling to larger enterprise customers. Further information on potential factors that could affect the financial results of salesforce.com, inc. is included in our annual report on Form 10-K for the most recent fiscal year and in our quarterly report on Form 10-Q for the most recent fiscal quarter. These documents and others containing important disclosures are available on the SEC Filings section of the Investor Information section of our Web site. Any unreleased services or features referenced in this or other presentations, press releases or public statements are not currently available and may not be delivered on time or at all. Customers who purchase our services should make the purchase decisions based upon features that are currently available. Salesforce.com, inc. assumes no obligation and does not intend to update these forward-looking statements.

Page 3: Enterprise Architecture Salesforce

A Journey Through History

Gaius Plinius Secundus

Page 4: Enterprise Architecture Salesforce

A Journey Through History

Tiberius Julius Caesar

Page 5: Enterprise Architecture Salesforce

A Journey Through History

Aluminium

Page 6: Enterprise Architecture Salesforce

A Journey Through History

Napoleon III

Elected President in France's first ever popular vote in 1848

Page 7: Enterprise Architecture Salesforce

1864

Page 8: Enterprise Architecture Salesforce

The Aluminium “Twins”

In 1886, two young 23-year old inventors simultaneously and

independently filed their patents for the production of aluminium: the French

Paul Héroult and the American Charles Martin Hall

Page 9: Enterprise Architecture Salesforce

Aluminium & Innovation

• 1890 Switzerland Zéphir, first aluminium craft • 1893 UK Eros Sculpture at Piccadilly Circus in London • 1895 USA Defender, first boat made from aluminium, wins the

America’s Cup • 1898 Italy Aluminium dome of San Gioacchino church in Roma • 1899 France 100 km/h record by La Jamais Contente, an

electric car with an aluminium body

Page 10: Enterprise Architecture Salesforce

Aluminum Cap of the Washington Monument

November 1884, Tiffany's displayed the polished aluminum pyramid for the benefit

of "thousands of New Yorkers who delighted in being able to later say `I

stepped over the top of the Washington Monument

Page 11: Enterprise Architecture Salesforce

Technology is a resource-liberating mechanism. It can

make the once scarce the now abundant.

Page 12: Enterprise Architecture Salesforce

Connect with your customers in a whole new way

Page 13: Enterprise Architecture Salesforce

From Here…

Page 14: Enterprise Architecture Salesforce

… To Here In A Single Generation

Page 15: Enterprise Architecture Salesforce

The Drumbeat Of Innovation Is Constant

“Someday, you’ll have to tell your kids about phones that had wires…and TVs that didn’t”

- Scott McNealy

Page 16: Enterprise Architecture Salesforce

#1 in Cloud Computing and CRM

#1 World’s #1CRM

Cloud Computing

2011

2012

2013

Market LeaderEnterprise,

MidMarket, SMB & Sales Force Automation

Innovation

Page 17: Enterprise Architecture Salesforce

Platform Spark for Application ModernizationEnterprise Architecture For The Cloud Era

Page 18: Enterprise Architecture Salesforce

Leverage Salesforce1 Cloud Platform

Initiative Goal Alignment Initiative Description Proposed Benefits

Leverage cloud platform to contribute to $1.6B cost takeout

Business AgilityTCO reductionNew Technology

Partner with SFDC to accelerate implementation plan

Completed analysis for non- mission critical applications

Factory model execution approach

Significant reduction in TCO

Reduced enhancement costs

Higher Speed to market

Shortlisted ~ 300 applications

Application inventory

Platform Suitability

Filter

High level business case extrapolation using set of applications

Implementation by leveraging customer enterprise solutions units CoE and factory model execution

High level approach

Page 19: Enterprise Architecture Salesforce

Salesforce1 Platform Candidate Filter Criteria

Operational IntegrationApplication development User experience

Business advantage

Audit and compliance related requirements

Applications requiring immediate deployment without setup lead-time

Applications at risk for on-time, on-budget project delivery

SLA/ business continuity

High Traffic, scalability

Integration cost and timeframe

Applications that require Data persistence, Business logic and/or UI -level integration

Multiple application integration requirements

API-enabled, REST, SOAP, Batch Feeds / Flat Files, ESB

Evolving business requirements

Mobile, HTML5, Touch

Apps that benefit from the ability to centrally write, deploy, and manage apps across multiple types of devices

Complex data models required by business

Popular, modern languages

Requires self service, knowledge repositories and/or integrated document management

Integral collaboration requirements

Process /Workflow-oriented

Use of customer data for personalized experience

Innovative, Engaging Experience

Used by external communities (Clients, counterparties, etc.)

Application behavior controlled by business or end-user

Applications or processes that bridge multiple business units (ie, Front to back office)

Short time-to-market, scalability, and reliability

Disqualified Applications OLAP Hierarchical drill down (classic “cubes”), Ultra-low latency requirements, uptime requirement beyond our SLA

Page 20: Enterprise Architecture Salesforce

Platform Rationalization Initiatives

Current State Impact Optimization Goals 3rd Party Leverage

Applications commanding significant cost investment

Legacy hardware andsoftware impacts application development

On premise IT strategy for all applications rather than moving to cloud as appropriate

High cost investment

Costly maintenance

Complex development requires time

Diverse platforms and limited agility

Constrained innovation

Deliver more applications with less resources

Lower investment costs

Make application changes faster

Create reusability with prebuilt components

Leverage Managed Services Practice for application conversion and support

Leverage cloud technology (Force.com)

Increased IT and Ops synergy with the business

3rd party Approach and Roadmap

Use platform engagement to set baseline application cost

Validate platform candidates that are viable across LOB’s

Engage with Salesforce.com team to calculate cost of target applications

Analyze additional application benefits

Create financial analysis

Target Tier 2 and Tier 3 Applications

Page 21: Enterprise Architecture Salesforce

Baseline Costs Derived from Engagement(for Existing platform = Change + Enhancements)(per app per year)

$108K

$27K

Existing Force.com

$84KExisting

Force.com

Force.com cost estimations are based on a 3rd party model developed by Seer Galorath which allows end-users to estimate the development costs, schedule,

effort, risk and reliability of their software projects using Force.com

75% less

Maintenance

Infrastructure/Licensing $36K

$5KApp maintenance

Existing Platform vs. Force.com TCO

Engagement Application and Infrastructure Maintenance(per app per year)

$6.8M

$17.2M

$26.7M

$35.0M

$43.4M

$6.4M$10.1M

$13.0M$14.1M

$17.1M

Yr 1 Yr 2 Yr 3 Yr 4 Yr 5

Existing

Force.com

App deployment schedule: 30 in yr 1, 60 in yr 2 & 70 in yr 3, 4 & 5 resp.

Costs include one-time application development cost per year for # of apps deployed, and annual application and hardware maintenance of past and current apps.

Current 5 yr TCO ~ $129M

Force.com 5 yr TCO ~ $ 61.2M

Page 22: Enterprise Architecture Salesforce

Factory Components

Development & Integration Factory

Test Factory

Program Management and GovernanceResource Management and Deployment

‘Delta’Analysis

Business Integration

Incremental Development

Unit TestingIntegration

TestingRegression

Test

Business Analysis Group

Support and Maintenance Group

L1 Support L2 Support L3 SupportLarge

Enhancements

Program Management

Functional Design

Technical Factory

Test Factory

Application Maintenance

Business Requirements TDD

UNIT TestCase & Data

Integration Test Cases

TDD

Batch/Real time

DeltaFDDs

DeltaTDDs

TDD Extraction

Format Neutral Staging Area-Transformation

BW-ODS

CLI /Apex DataLoadr

SFDC

FDDs

Legacy Systems

MS

3rd Party

SFDC/Force.com

Shared

Data Migration Factory Rollout & Deployment Factory

Page 23: Enterprise Architecture Salesforce

Factory Staffing Model

Factory Training

FactoryEnvironment

Maturing through multiple Project Experience

Factory ToolsKnowledge Repository

Project InitiationProject ExecutionProject Closing

Best PracticesReusable assetTools, Checklists

Design ReviewTechnical guidance

Best PracticesReusable assetTools, Checklists

Team Induction

Experience Pool

Trained Pool

Transition

Release A Release B

Factory Resource Pool

Tech. Architect

Tech. Lead

Developer Junior Tester

QA Lead

Senior Tester

Data Migration Architect

Data Migration Analyst

Team Member

Development Testing Data Services

Release to Release movement of consultants to share and enrich experience

CareerProgression across the factories

Accelerated handover from development to support team

Page 24: Enterprise Architecture Salesforce
Page 25: Enterprise Architecture Salesforce

Acknowledgements

Abundance – The Future is Better Than You Think, written by Dr. Peter H. Diamandis, X PRIZE

Foundation Chairman/CEO, and Steven Kotler, Science Journalist.

Page 26: Enterprise Architecture Salesforce

Acknowledgements

Peter Coffee is an American computer specialist. He is best known for his longtime role as a commentator for Ziff Davis, where he was most recently Technology Editor for eWEEK until his departure for

salesforce.com in January 2007. He has twenty years' experience in evaluating information technologies and practices as a developer,

consultant, educator, and internationally published author and industry analyst.