Delighting the Customer:
The New Business Normal
Peter Coffee
VP for Strategic Research
salesforce.com inc.
It’s So Past Time to Talk About “The Cloud”
The verb, “to cloud,” does not
have a single positive meaning
The cloud is always a symbol
of things that people don’t
want to do themselves, or
even necessarily have at all: of
annoying enablers that add no
real value of their own
Suppose we’d called it…
“connected computing”?
“Twenty years hence, the typical company
will be a knowledge-based organization.”
Peter Drucker, in The New Realities
…in 1989
What happened to the future?
Knowledge is the Currency of Connection
Complex legacy portfolios: difficult integrations
Focus on historical data
High cost, high risk
Long payback
Imagine…
Focus on Connection, not “Computing”
IT Has Not Been a Medium of Knowledge
Knowledge + Connection: Close the Loop
Customers: records become communities
Employees: appraisals transform to collaborations
Partners: supply chain grows into value network
Financials: transactions evolve to scenarios
The combat pilot’s “OODA Loop”:
Observe, Orient,
Decide, Act
Old Customers:
– Prospects get content from Marketing
– Buyers negotiate terms with Sales
– Customers raise issues with Support
Connected Customers:
– Prospects seek insights from customers
– Buyers collaborate on competitor research
– Customers tell the world when they’re not happy
Companies need new organizations & processes
– Every employee/contractor/partner is a spokesperson/avatar
– Power to address issues must be pushed to edge of organization
– Collaborative response must be available on demand
Connected Customers Rewrite the Rules
TECH 5/06/2013 @ 8:39PM | 5,338 views
10 Ways Cloud Computing Is Revolutionizing Manufacturing
Designing in services is now becoming commonplace, making cloud
integration expertise critical for manufacturers.
From simplistic services integration on iPhones to the full implementation
of voice-activated controls including emergency assistance in the latest
luxury cars, adding in services integrated to the cloud is redefining
the competitive landscape of industries today.
Revising a product or launching a new product generation with
embedded services can mitigate price wars, which is why
many manufacturers are pursing this strategy today.
Products are Also Connected
‘Cloud’ is Where the Puck Used to Be
“Big Data” gives the cloud something to do
– Elastic capacity for high peak/average ratios
– Connectivity to real-world, real-time…reality
Mobile Data Sources: Where the Puck is Going
Android and iOS combined market share approaching 2/3
Windows at ~1/5…and shrinking
Not Merely ‘Mobile Device’ – but Multi-Device
But a Desktop Is Not an OODA Environment
What you’re doing
Who else is doing it
What’s valued by the team
What’s already been done
What’s new to share
What’s new to show
What’s now to decide
What should happen next?
We Call This “the Feed”
Reality of Connection: Meritage Homes
Meritage constructs single-family homes across the U.S., with
70,000+ homes constructed to date. Meritage configuration
app on Force.com has unified front- and back-office systems
Reduced number of documents to create a sales contract
from 3,400 to fewer than 500
Meritage no longer requires a dedicated headcount for
tracking, managing and creating sales documents
Legal now has control over any document that requires a
customer signature
98 percent of customer-specific fields in a sales contract are
now dynamically populated vs. manually edited
Mash-ups from
Web and
AppExchange
Native
Desktop
Connectors
Integration Tools
AppExchange Apps
ERP
Any System
Finance
Systems of Record
Systems of
Engagement
A Connected Feed is not a Rip/Replace
Reality of Integration: Siemens
Product Master
Pricing Master
Invoicing/Billing Master
Order Master
Invoicing/Billing Master
Product Master
Cast Iron Integration Appliance
Customer Master Customer Master
Value from Feeds of “Big Data”
Demands Disciplines of Discovery, not Query
“By combing through 7.2
million of our electronic
medical records, we have
created a disease network to
help illustrate relationships
between various conditions
and how common those
connections are. Take a look
by condition or condition
category and gender to
uncover interesting
associations.”
visualization.geblogs.com/visualization/network/
What is an “application” anyway?
Old “applications”:
– Data captured as by-product of business activity
– Function driven by familiar business tasks
– User experience an afterthought
– Built by programmers; judged on cost & efficiency
New “apps”:
– Data captured through algorithms of discovery
– Function driven by customer delight
– User experience a top priority
– Apps built by front-line business units; judged on ROI
Connect with Customers in a Whole New Way
Connect customers,
partners, products and
collaborative teams
Build distinctive
apps that engage
customers and
empower employees
Take customers on
a journey of value
Communities Heroku1 ExactTarget Fuel
Connecting Machines
– ‘OnStar’ network daily handles 150k human requests…
…and 130k machine-originated requests
– Some are critical, e.g. air-bag deployments
– Others may be infotainment, e.g. mileage ‘leader board’
Connecting Processes
– General Electric wind-farm management: 123 turbines
– Field-wide speed optimization, anti-icing behaviors
– 3% output increase US$1.2M/year added revenue
Connecting People
– Asics delivers RFID-triggered messages to marathoners
‘Cloud’ Connects Machines/Processes/People
Connecting for Health
– Shoppers Drug Mart schedules flu vaccinations across 1,200
locations and over 2,000 pharmacists: public community
deployed in just 7 weeks
Connecting for Logistics
– Purolator Courier: booking ~20k packages/day with multi-lingual,
multi-channel, & massively integrated SAP & telephone
capability
Connecting for…Connections
– Rogers National Reservation System secured high-demand
inventory for new product launches (e.g. iPhone 4 & 5) to
minimize customer churn: multi-million$ revenue impact from a
6-week deployment
Canada’s Premier Brands are Connecting
Connecting for Health
– Shoppers Drug Mart schedules flu vaccinations across 1,200
locations and over 2,000 pharmacists: public community
deployed in just 7 weeks
Connecting for Logistics
– Purolator Courier: booking ~20k packages/day with multi-lingual,
multi-channel, & massively integrated SAP & telephone
capability
Connecting for…Connections
– Rogers National Reservation System secured high-demand
inventory for new product launches (e.g. iPhone 4 & 5) to
minimize customer churn: multi-million$ revenue impact from a
6-week deployment
Canada’s Premier Brands are Connecting
Part of the Portrait of Modern Canada:
• More than 6,000 Canada customers
• Banking
• Insurance
• Telco
• Industry
• More than 1,000 Canada employees
(500 people on Bay Street)
• More than 1,000 Canada attendees at Dreamforce
Dreamforce ’13 Demonstrated the Reality
Visionary speakers
1,200+ breakout sessions
350+ partner sponsors
480,000 Webcast viewers
Over 143,000 registrations – World’s Largest Software Conference
Visionary speakers
1,200+ breakout sessions
350+ partner sponsors
Gala featuring Green Day at AT&T Park
Salesforce1: Application, Platform, Post-PC Business App Ecosystem
Not a Technology Roadmap…
…but a “Start Your Engines”
The Community We Used to Call “Cloud”…
…is Embarked on a Drive Toward Connection
Visionary speakers
1,200+ breakout sessions
350+ partner sponsors
Gala featuring Green Day at AT&T Park
Global Coverage Snapshot
• “A year from now Salesforce1’s greatest contribution to Salesforce
customers could be making their applications easier to use,
especially on mobile devices.” – Forbes
• “Viewed simplistically, Salesforce1 is delivering a more powerful
mobile app and a bunch of new APIs, but that would undersell the
platform's importance in a connected world.” – InformationWeek
• “The concept [Salesforce1] is valid and in tune with a business
world quickly abandoning its desktop PCs for tablets and ever
more powerful smartphones.” – eWEEK
• “Salesforce.com says it now has 1.4 million registered developers,
almost double the number it had a year ago, a growth spurt one
analyst called “stunning.” – PCWorld
Enterprise Cloud, Next-Gen CRM: Just the Beginning
#1 World’s #1
CRM
Cloud
Computing
2011
2012
2013
Market Leader
Enterprise,
MidMarket, SMB &
Sales Force
Automation
Innovation
Proven Leader for Modern App Development
Recognized & Used Customer Success Capacity and Assurance
#1 PaaS for Developers #1 PaaS for Business Experts
#1 PaaS for ISVs
Leading Cloud Platform
3 Million+ apps
1 Million+ installs on AppExchange
1 Billion transactions/day
50% of transactions via API
Trust.salesforce.com
Salesforce1 is The Customer Platform
Salesforce1 Platform APIs
Salesforce1 App
Salesforce1 Platform Services
Force.com Heroku1 ExactTarget
Fuel
Sales Cloud Service Cloud ExactTarget
Marketing Cloud AppExchange
“The Cloud”? You’ll Get What You Ask For
If you treat the cloud as merely a way to
modernize your IT, that’s all you’ll get.
No matter how creatively and competently that
modernization is done, it will not be enough.
Broadening perspective requires enlarging
community of stakeholders and lengthening the
list of criteria for success.
WELCOME TO THE
INTERNET OF CUSTOMERS
Peter Coffee
VP for Strategic Research
salesforce.com inc. [email protected]
@petercoffee
in/petercoffee
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