@PeterCoffeePeter CoffeeVP & Head of Platform Research

salesforce.com inc.

Clouds of RevolutionReinventing the (Social) Enterprise

@PeterCoffee

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Safe Harbor

In Other Words:Everything That

You See Hereis Real

@PeterCoffee

• Silicon Photonics– performance/watt has been flat over time (Google Labs, ’05)– Ge lasers 100 times faster than intra-chip wires (MIT)– reduced power losses, easier to cool– ‘seed & melt’ detector fab: cheaper than vapor deposition (IBM)

• Memristors (HP, IBM, Hynix)– roughly twice the density of flash – more than 1,000 times faster– millions of rewrite cycles

• Metamaterials (Purdue)– new semiconductors ‘steer’ light with electric fields– aluminum and gallium doping agents reduce optical losses

Revolution 1: Breakout Speed & Efficiency

@PeterCoffee

• Formally verified operating system (National ICT Australia)• Application ‘whitelisting’• Facebook “Custom” button

– What do they have in common?– Finally, a trend toward granting specific permissions rather than

trying to anticipate and block attacks and errors

Revolution 2: Precise Control of Trust

@PeterCoffee

Informatica

• Big Data– “Time is lost, confusion results and money is spent.”

(1917 complaint about the telephone)– ‘volume, velocity, variety’ (Gartner)– beyond scientific computing

• Bigger Tools– Hadoop (Facebook / Cloudera)– Informatica

• ImprovingAlgorithms &Visualizations

Revolution 3: Massive Analytics & Insight

@PeterCoffee

• Bandwidth pooling– BitMate (Pakistan) effectively doubles connection speed– downloaded by users in 173 countries

• Tagged-packet networking (USC / GM)– instead of sending packets to an address,

label with data attributes• ‘This is what I’m about’

• ‘This is where I’m useful’

• ‘This is when I’m outdated’

• Task-inferring search (Siri)• Data security and robustness (RSA)• Pervasive Social Networking

Revolutions 4-?: Connecting Everything

@PeterCoffee@PeterCoffee

Social Revolution:Social Networking Surpasses EmailSo what?

Source: Comscore, June 2011

Social Users

Email Users

2007 2008 2009 2010 2011

1.1 billionsocial users

@PeterCoffee

Social Networks: More Than Just ‘Sum of the People’(Arcs Represent Number • Distance of Facebook ‘Friend’ Links)

Pop quiz: where is Beijing?

@PeterCoffee

‘Digital’=Evolution; ‘Connected’=Revolution

Replacing doctors’ clipboards with smartphones?– Does not make current health care model sustainable

– Connectivity lets patients stay in sensor-enriched homes

• Radically reduce office visits and hospital admissions

Replacing students’ textbooks with iPads?– Does not make current higher education model sustainable

– Connectivity turns the campus inside out

• Most of students’ time spent in ‘intern’ environment

• Instructors can tailor presentation sequence to work demands

• Return to campus for seminars, research colloquia…and graduation

@PeterCoffee

Networks are More Than Webs

Webs are woven; networks emerge– A web is just a collection of connections

– The arcs of a network have direction,

magnitude, quality, and value

‘Friend’ is bilateral; ‘Follow’ is not– Counting followers ego rewards, but what do they do for you?

• Followers may be just as entertained by your failure

– A critic whose input is acknowledged becomes an advisor

• When input results, advisors feel invested advocates and zealots

Products have buyers; brands have fans

@PeterCoffee

Engineers get to write spec sheets…

Assembly workers get to build and ship…

Lawyers get to write the terms of service…

Call centers get to compile call statistics…

…but only the customers get to say what kind of

experience they had – and they say it to the world

Is every employee in the company equipped to

make that experience excellent?

Fans Arise from ‘+1’ Customer Experience

@PeterCoffee

Collaboration is Key

A social workplace is ‘relative’– Not statically defined by org chart

– Reshaped by knowledge

– Accelerated by events

All Force.com applications are

socially enabled by Chatter– Older apps simply acquired

the new behavior

– Social behaviors are pervasive,

not isolated in social silo

@PeterCoffee

Experience Is Not Partitioned

@PeterCoffee

‘Product’ = Vehicle of Ongoing Experience

Dealers/Distributors

Chatter for 320,000 Employees

Toyota Friend Website1-800-4-My-

Toyota

Toyota Friend on Youtube

Toyota Friend on Twitter

Toyota Friend on mixi

Manufacturing/Finance

Toyota Friend on Facebook

Toyota Friend Mobile

Toyota VehiclesSocial Customer

Profile

Social Customer Profile

@PeterCoffee

Experience Creation Profit Preservation

“One automaker’s chief financial officer told Sun COO Jonathan Schwartz that his company could give a car away for free, if it could charge a customer $220 per month for a subscription.”

www.zdnet.com/news/sun-puts-java-into-gear-for-cars/136886

“CE device margins are razor thin, and the promise of maintaining an always-on connection to the customer after the point of sale is mighty enticing… Simply put, connected devices make connected customers.”

Richard Schwartz, President and CEO, Macheen

“The retail cloud has reached critical mass: everything from DVD players to TVs, from car entertainment to alarm clocks, comes with some sort of cloud service to support that device.”

David Linthicum, 18 January 2012

@PeterCoffee

Where are customers & influencers having conversations?

What facilities exist for tapping that stream?

What are the cultural norms of that community?

When should you be present?

How should you participate?

Who will represent you?

How will that process scale?

What will you learn?

How will you change?

Experience = Interaction Adaptation

@PeterCoffee

Refining Experience: More Than Listening

@PeterCoffee

• Collaborative process creation & maintenance

• Best practice sharing

• Integration with feeds and other social channels

• Social process management

Steve Wood. Great – I can help with the case escalation by linking in the Apple Escalation Process.

New process created: iPad Tier 1 Support Process (Goals: Run time, 5 min)

Andrew Leigh. I need to create a new customer service process for the iPad, can you guys help?

Varadarajan Rajaram. Yes, I know this product well – there are a bunch of solutions I can build into this process.

Experience Delivery: a Model, not an App

@PeterCoffee

Facebook, Twitter, and Chatter notifications

Users receive alarms and alerts

Enables rapid response

Reduces system downtime

Network congestion

in Asia.

Network congestion

in Asia.

Enterasys Devices Are Social

@PeterCoffee

The Value of Velocity New Devices New Use Environments New Moments of Opportunity & Decision

...fastest ramping mobile device

ever.“

”

CIO Tablet Intentions

2010

2011

Morgan Stanley, “Tablet Demand and Disruption”, February 14, 2011.

Purchased for EmployeesEmployee-ownedNot Allowed

@PeterCoffee

Average time to build a custom app with software is 8 months.

By late 2009, Qualcomm/Android cycle time had dropped to 4.5 months.

Your App

You

Install & Configure

Stack

Write Code

Deploy & Load Test

Monitor & Tune

Patch and Regression

Test

The Value of Velocity

Legacy Stack-Based Process – Wherever It Is

IDC White Paper sponsored by Salesforce.com: “Force.com Cloud Platform Drives Huge Time to Market and Cost Savings”, Doc # 219965, September, 2009

Computerworld, “Is 'Quadroid' the new 'Wintel'?,” 2 December 2010

@PeterCoffee

The Value of VelocityOne developer with no prior Force.com training built a patient admission app in just 4 days

Deployed to Medical Directors and Program Directors in hospitals on iPhones and iPads

• Eliminated paper forms;

• Workflow reduced response time by more than 60%;

• Cut process time from 18 hours to less than 60 minutes

“We’re blown away…a mobile healthcare app on Force.com with one person in just 4 days… The same app built in [previous models] would have taken over 3 months”

@PeterCoffee

Social Velocity Leads to The Cloud

• Old Cloud: Centralization + Automation Cost Reduction– Distant resources: considered to be a tolerable nuisance– Security: assumed to be a challenge, and compliance a barrier– ‘Cloudwashing’ of legacy products: tempting and easy

• New Cloud: Connection + Simplification Acceleration– Data and process in cloud are closer to everything else you need– Security is part of the service; audit trails are easy to provide– You can’t ‘connectwash’ a server, no matter how much

virtualization you apply or how many ‘private clouds’ you proclaim– In false clouds, you pay for resources…

…in true clouds, you pay for opportunities

@PeterCoffee

Trust Attainment Enables Cloud Adoption• Robust infrastructure security• Rigorous operational security• Granular customer controls

– Role-based privilege sets– Convenient access control & audit

• “Sum of all fears” scrutiny– Multi-tenancy shrinks attack surface; slashes opportunities for error– The most demanding customer sets the bar– FISMA: FIPS 199 LOW and MODERATE

– PCI DSS Compliance Level 1– Comprehensive and continuing audit and certification

@PeterCoffee

Best Practices Matter More than Data Location

"There are five common factors that lead to the compromise of database information":

• ignorance

• poor password management

• rampant account sharing

• unfettered access to data

• excessive portability of data

DarkReading.com, October 2009

@PeterCoffee

Despite resource sharing, multitenancy will often improve security. Most current enterprise security models are perimeter-based, making you vulnerable to inside attacks. Multitenant services secure all assets at all times, since those within the main perimeter are all different clients…

Multitenancy is here to stay. Our research and analysis indicates that multitenancy is not a less secure model — quite the opposite!

All Assets Secured, All the Time

@PeterCoffee

“Do it yourself” vs. “Who you gonna call?”

Potential benefits from transitioning to a public cloud computing environment:

• Staff Specialization• Platform Strength• Resource Availability• Backup and Recovery• Mobile Endpoints• Data Concentration

@PeterCoffee

Economic Development

Defense & Public Safety

Health & Human Services

General Government Transportation

Science & Environment

Public Clouds of Public Trust:No More ‘Forbidden Zones’

@PeterCoffee

• ‘The cloud’ does use technology• Virtualization

• Dynamic provisioning

• 4G wireless

• SOA

These enable; they don’t guarantee

• ‘Cloud’ is a business commitment– Negligible up-front capital– Alignment of cost with value– Maximal stakeholder engagement

The Cloud Experience: It’s About Results

@PeterCoffee

@PeterCoffee

Velocity is a Vector

‘Social’ has both magnitude and direction– If you’re going the wrong way, it doesn’t help to go faster

– The Social Revolution offers ~ unlimited ways to go wrong

Trust takes a long time to win; ~ zero time to lose– Unhappy customers used to call you and wait for action

– Today, they can give the world hourly updates while they wait

– Never a headline, “X Corp.’s customer data uncracked today”

It’s not enough to evolve– Where must you be in three years?

– What should you have been doing today?

@PeterCoffee

Thank You@petercoffee

cloudblog.salesforce.compcoffee@salesforce.com