I T E002 Coffee 091707a

Moderator: Peter CoffeeDirector, Platform Research

Automating Governance and Compliance with On-DemandGetting out of the business of excuses

Safe Harbor Statement

“Safe harbor” statement under the Private Securities Litigation Reform Act of 1995: This presentation may contain forward-looking statements including but not limited to statements concerning the potential market for our existing service offerings and future offerings. All of our forward looking statements involve risks, uncertainties and assumptions. If any such risks or uncertainties materialize or if any of the assumptions proves incorrect, our results could differ materially from the results expressed or implied by the forward-looking statements we make.

The risks and uncertainties referred to above include - but are not limited to - risks associated with possible fluctuations in our operating results and cash flows, rate of growth and anticipated revenue run rate, errors, interruptions or delays in our service or our Web hosting, our new business model, our history of operating losses, the possibility that we will not remain profitable, breach of our security measures, the emerging market in which we operate, our relatively limited operating history, our ability to hire, retain and motivate our employees and manage our growth, competition, our ability to continue to release and gain customer acceptance of new and improved versions of our service, customer and partner acceptance of the AppExchange, successful customer deployment and utilization of our services, unanticipated changes in our effective tax rate, fluctuations in the number of shares outstanding, the price of such shares, foreign currency exchange rates and interest rates.

Further information on these and other factors that could affect our financial results is included in the reports on Forms 10-K, 10-Q and 8-K and in other filings we make with the Securities and Exchange Commission from time to time. These documents are available on the SEC Filings section of the Investor Information section of our website at www.salesforce.com/investor. Salesforce.com, inc. assumes no obligation and does not intend to update these forward-looking statements, except as required by law.

Jessie Grenfell

Database/CRM Manager

[email protected]

All About CEO

• INDUSTRY: Non-Profit

• EMPLOYEES: 160

• GEOGRAPHY: New York City

• # USERS: 65

• PRODUCT(S) USED: Salesforce SFA & Call Center, 4 downloaded

AppExchange applications

The Center for Employment Opportunities (CEO) is dedicated to providing immediate, effective and comprehensive employment services to men and women returning home from prison and detention facilities to New York City. Our highly structured and tightly supervised programs help participants regain the skills and confidence needed for a successful transition to a stable, productive life.

Our Values

We exist to promote vocational justice.

We act responsibly.

We believe in the power of work to

change lives.

We do what we say we do with

integrity.

We strive to produce exceptional and

sustainable results.

Participant ProcessS M T W T F S

WEEK 1Job Readiness Training

First Meeting with Job Developer

WEEK 2+Paid Transitional Employment

Job Placement usually occurs within 2-3 months of arrival at CEO

S M T W T F S

Meet with Job Developer & Job Coach

Post-Placement staff track participant progress for 2 years after placement.

For every 100… We save NYC

Participants off welfare: $250,000

Child support cases collected: $200,000

Participants kept out of prison: $3,000,000

Key Challenges

Business Challenges

• Data integrity

• Tracking participants

• Timely responsiveness to our participant’s needs

• Developing potential employers (leads)

• Job matching

• Monitoring and meeting goals defined in our contract with the Parole Board and our funders

• Reporting on performance

Key Challenges (continued)

Technology Challenges

• Legacy architecture, extensive development time

• Need to integrate with existing system

• Complex reporting requirements

• Inadequate resources to build a new proprietary

system in-house.

The Solution – Business Challenges How did we address the business challenges?

• Validation rules and standardization of data entry

• Custom objects / record types to track participant data

• OneSource Account Intelligence to import new leads

• Salesforce Automation

• Dashboards to track performance:

The Solution – Technology Challenges

How did we address the technology challenges?

• On-demand features of Salesforce

• DBAmp/Pro transfers data between SF and our in-house system

• Jasper4Salesforce for advanced reporting

• Demand Tools for de-duplicating Leads and Accounts

The Solution – Jasper4Salesforce

Jasper4Salesforce

• True SQL queries

• Ability to automatically email reports on a schedule

• Pixel-perfect reports:

The Solution - Automation Prescription Tasks

When participants are assessed not job start ready, a Prescription Task is automatically created for their Job Coach.

Job Loss ReportEach day, the Job Loss Report is automatically emailed to multiple staff to alert them to job losses discovered that day.

Lead Call Back TasksCalls logged for potential employers (leads) with future job openings trigger Employer Call Back tasks.

Participants with no Post-Placement Staff ReportEach day, the Participants with No PP Staff Report is automatically emailed to head of the Post-Placement team to alert her to participants who have received a job but do not have Post-Placement staff assigned to them.

Field Visit AlertsWhen post-placement staff schedule field visits to employers, their manager is assigned a task due on the date of the visit.

Manual TasksCEO also utilizes a number of manually created tasks to manage workflow, such as “On-the-job Alert” Tasks to alert the Post-Placement team to issues.

Prescription Tasks The Job Developer (JD) assesses job-start-readiness (JSR)

The Job Coach (JC) addresses issues for those assessed not job-start-ready

Job Development

Continually Re-assess JSR

Job Placement

Job Retention

JSR

JC Assessment of Progress to JSR and

Barrier Status

Re-evaluate:Recommend JSR or More Time

Implement ActionPlan - Tip Sheets

JC Action Plan for Prescription and Plan

to Mediate other Barriers

JD Prescription

Not JSR

Task sent to JCTask to JDTask to JD

Subsequent MeetingsSubsequent

Meetings

1st Meeting with JC

Task to JC

= Tasks created automatically by Workflow Rules

Job Loss Report Goal: participants re-hired within 60 days of job loss

Timely notification of job loss enables us to meet this goal

The Job Loss Report is automatically emailed to staff each day by Jasper4Salesforce:

Lead Callback Task

Job Developers (JD), our “sales people”, log all calls with

potential employers (Leads) in Salesforce.

JD CallsLead

JD Logs Call with result

Call back result triggers task to JD

JD alerted ontask due date

Participants with No Post-Placement Staff Report Upon employment, staff are assigned to a member of the Post-Placement team

Participants were not always being assigned immediately

The Participants with No PP Staff Report is automatically emailed to the head of the PP department each day by Jasper4Salesforce:

Field Visit Alert Task

Post-placement (PP) staff schedule visits to employers in

Salesforce to check on the status of participants.

PP Creates Field Visit Event

Task is created for PP Manager

Task reminder on day of visit, PP Manager meets with staff before

System Integration – DBAmp/Pro Phased implementation required transfer of data between Salesforce

and our in-house system

Job scheduled using DBAmp/Pro transfer data between the systems

MS SQL Server

Participant Case Notes (nightly)Job Placements (3x a day)

Salesforce

New Participants (nightly)Historical Data (as needed)

DBAmp/Pro

Lessons Learned In-House Focus

Began with an external consultant, NPower, who gave CEO a good kick-start into Salesforce.

Management viewed SF as key for CEO to meet our objectives.

A full time focus is required to integrate CEO's entire business process into Salesforce.

An in-house position was created to complete the project.

Adoption Re-iterating the process was key to driving user adoption.

Planning for Analytics CEO is very numbers-driven

Initial focus was on usability of data entry

Some re-design was required to allow for data analysis

Jessie Grenfell

Database/CRM Manager

[email protected]

Thank You

“Make” Versus “Buy”

• Every enterprise IT portfolio is an accumulation of decisions

• In-house system benefits:

• flexibility

• availability

• performance

• control

• In-house system costs:

• specification

• acquisition

• deployment

• management

Governance is the New Reality

• “Boiler rooms in Berlin or Bucharest, a pump-and-dump scheme out of Parma or the Dordogne… …are U.S. concerns” (Paul Atkins, SEC Commissioner)

• Capitol Hill is considering multiple data-handling laws

• Notification of Risk to Personal Data Act• Personal Data Privacy and Security Act• Data Accountability and Trust Act• Social Security Number Protection Act• Prevention of Fraudulent Access to

Phone Records Act

• Technology trends oppose the goals of governance• Processing: enemy of encryption• Connectivity: attacker opportunities and tools• Storage: ever-growing risk of larger losses

Rules Without Rigor

• Absent adequate case law, vague language is a critical concern

• California SB-1386: must disclose exposure of unencrypted personal information

“personal information” = name plus clearly specified combinations of data

“encrypted” = ?; law says nothing re: algorithm, key strength, or controls

• Sarbanes-Oxley Act: must establish and maintain internal controls for reporting

Identification/documentation of intentional processes: difficult but feasible

Certification of no “unknown processes”: an open-ended challenge

• Who holds the bag? IT or CxO?

• Stock-option backdating: failure of governance, or weakness in IT systems?

• “Pretexting” and other abusive investigations: who knew what, when?

Developing Governance Tools

Building Shared Understanding

Engaging the Partner Ecosystem

Improving Governance and VelocityOn-Demand and Agile get you out ofthe business of excuses

Evan CampbellVP Professional Services

Your Job of Governance and Portfolio Management

Optimize allocation of limited assets to limitless

demand for technology spend

Ensure that spend delivers maximum value

Risk management of technology portfolio

Legal and regulatory compliance

Minimize failed projects and associated write-offs

Appropriate capitalization / depreciation

Measure costs and value accurately

THIS IS HARD!

So, Who Hates Software?

CFOs, CEOs, CIOs, line-of-business managers

Why?

Technology organization: black hole for money

What comes out? Radiation of gibberish and excuses

Perceived risk!

Unpredictable, unscientific, hard to measure and value

Often late, over budget, over-promise/under-deliver

To Lower Risk We Need to Change…

From “install & maintain” to on-demand On-Premise

• Customize

• Install

• Support

• Upgrade

Software as a Service

• Evolves with the business

• Provides ready-to-use platform

• Encourages best practices

• Fully supported eco-system

Realities Driving On-Demand

Customization of packaged software is costly

Features deployed—often rarely used—at great

additional cost• Re-implementing customizations

• Retesting and fixes

• Big training blocks

Delayed by prod-ops, support, development, QA

Casts bad business practices/processes in concrete

Implementation services often 2-3 license cost…

…you learn later

To Lower Risk We Need to Change…

From plan-driven to empirical project management Waterfall

• Assumes complete knowledge prior to estimating

• Attempts to limit and resist change

• Estimates entire project based on assumptions

• Attempts to make reality match estimates

Agile

• Change is inevitable and often good

• Requirements are emergent

• Estimates and predictions are always wrong

• Empirical results are the only valid metric

Realities Driving Agile

Uncertainty is inherent and inevitable in software development

processes and products.

– Ziv’s Uncertainty Principle

For a new software system the requirements will not be

completely known until after the users have used it.

– Humphrey’s Requirements Uncertainty

Principle

It is not possible to completely specify an interactive system.

– Wegner’s LemmaAmbiguous and changing requirements, combined with evolving tools and technologies, make your implementation strategies unpredictable.

Agile Accelerates ROI

project run rate

risk of failure (unmet expectations)

cumulative production (business) value → ROI

time

riskand

$$

Waterfall

time

Scrum

Agile’s Risk Management Paradigm

ROI delivery early and often

Less WIP means less waste less risk

Fail fast Less sunk investment between status checks

Minimum ambiguity in productivity and value delivery

Fearlessly reallocate resources and assets across the portfolio Partial delivery has value

Stop / start projects with minimum drama and cost

On-Demand’s Risk Management Paradigm

Less customization

No on-premise deployment

No server hardware

No prod ops impact

Less testing and QA

Flexibility to cancel with less sunk investment

Quick deployment

Approved, templatized governance processes and features

Templatized business processes

Grade-A support model at sign-up

On-Demand and Agile Work Together

The Go-Fast business framework

Fewer points of resistance and delay between

opportunity and value delivered

Agile delivers fast and flexibly

SaaS deploys fast and flexibly

Hyper-responsive

Marketplace changes/opportunities

Competitive threats

Legal and regulatory responses

Implement Go-Fast Governance

Finance and steering accelerate to the speed of

business and technology…

More frequent portfolio reviews

Shorter budgeting cycles

Greater flexibility to reallocate assets to higher yield

opportunities

…while improving auditing and portfolio management

Transparency creates challenges

Redefined roles

Agile Steering and Governance Templates

Redefine the PMO

PMO aligns to IT steering committee and CFO

Project managers out of PMO, aligned to delivery teams

PMO sponsors innovation and best practices, collective learning

Responsible for performance auditing across portfolio and

facilitating asset reallocation

Turn the steering committee “Up to 11”

Dynamic

Meet often

Embrace change and portfolio adjustments

Lay Tracks That Go to Good Places

• Email is uncontrollable: you don’t know when it will be read, who

might wind up reading it, or where it might get cached or archived

• Workflows and approvals

enable far more precise

control of who sees what,

when, and why

• Combine secure storage

with role-based access

© Bizibox Ltd

Outsource Your Application Risk

Give developers the benefit of

auditor-approved security

frameworks and APIs

Give in-house sysadmins robust

audit and reporting aids to assist

forensic investigation and

demonstrate due diligence

Get non-technical users off

the help desk phone queue

and back on task

Get auditors out of the CIO’s hair

Chief Compliance Officers: the new deciders

Post-Enron compliance mandates were not just a fire to walk through: they’re hot coals to walk from now on

Legislators, regulators and boards of directors sketch the map of governance, but CIOs have to navigate it

Governance entails data protection, process transparency, action accountability: on-demand promotes all three

Y2K drove app streamlining;compliance can driveplatform outsourcing Force.com Platform.

Not just better.

Different.

About Rally

Leading Agile Project Management and Development Lifecycle Toolset

Professional Services Division Offers Consulting, Training and Coaching

Agile Rollouts in IT and Product Development Enterprises

Workshops and Training:

• Agile, Lean, and Scrum

• Agile Program and Portfolio Management

• Agile Product Owner and Product Management

• Agile Technical Practices

• Teamwork and Collaboration

Custom Integrated Programs to Ensure Success and ROI

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