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Salesforce Platform: Show Me the Money The Case for Cloud App Platforms Rosie Pongracz, Salesforce.com, Director - Platform Product Marketing Sandipan (Sandi) Panigrahi, Salesforce.com, Manager - Value Consulting

Salesforce Platform: Show Me the Money - the Case for Cloud App Platforms

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No IT project should go without hard TCO/ROI numbers. Join us to learn how companies that have adopted cloud app platforms are seeing an immediate return on their investments. We'll explain how the changing economics of app development allow you to deliver value back to the business in weeks and months. We'll explain the new KPIs companies are using to deliver project success in the mobile and social world.

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Page 1: Salesforce Platform: Show Me the Money - the Case for Cloud App Platforms

Salesforce Platform: Show Me the Money The Case for Cloud App Platforms

Rosie Pongracz, Salesforce.com, Director - Platform Product Marketing Sandipan (Sandi) Panigrahi, Salesforce.com, Manager - Value Consulting

Page 2: Salesforce Platform: Show Me the Money - the Case for Cloud App Platforms

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 intellectual property and other litigation, risks associated with 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-Q for the most recent fiscal quarter ended July 31, 2012. This 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: Salesforce Platform: Show Me the Money - the Case for Cloud App Platforms

Biz Analysts

Governance & Change

Management

Infrastructure Management

Innovation

Infrastructure

Business Analysts

Governance & Change

Management

Infra Mgmt

Business Focus

Technology Focus

Michael Walsh, CIO

“With salesforce.com we spend 80% of our time on business results.”

Cloud Platforms: Innovation Focus Not Infrastructure

“Eight out of ten dollars spent on IT by companies is to ‘keep the lights on’ ”

*The New IT Investments Powering Productivity and Growth, Gartner Symposium/ITxpo

Page 4: Salesforce Platform: Show Me the Money - the Case for Cloud App Platforms

5x Faster and 40% Lower TCO

Force.com is 4.9x Faster

Force.com is 4x Faster at a 54% Lower TCO

Traditional Business Case

Independent Third-Party Salesforce.com Customer Relationship Survey Results June 2012

Page 5: Salesforce Platform: Show Me the Money - the Case for Cloud App Platforms

Robin Brinker Sr. Director of Enterprise Technology Solutions [email protected]

Page 6: Salesforce Platform: Show Me the Money - the Case for Cloud App Platforms

All about Vital Vital Images, Inc offers advanced visualization medical imaging software to enable the visualization and analysis of 2D, 3D and 4D images of anatomy and physiological function using CT (computed tomography) and MR (magnetic resonance) scan data.

 Established in 1988, acquired by longtime business partner Toshiba in 2011

 Customers include: hospitals, clinics, imaging centers, etc.

 Users include: radiologists, cardiologists, oncologists, surgeons, etc.

 5,000 Customers in more than 100 countries

 J.D. Power Certified for Service Excellence

 MN High Tech Tekne award 2 years

 SFDC Customer Since – January 2009

 260 employees with 200+ SFDC licenses

Page 7: Salesforce Platform: Show Me the Money - the Case for Cloud App Platforms

Robin Brinker

SR. DIRECTOR OF ENTERPRISE TECHNOLOGY SOLUTIONS

Over 6 years at Vital 2 ½ years using SFDC

CRM consultant for 10+ years before joining Vital. Manages internal IT functions including the Enterprise Applications team which implements and maintains SFDC and all other enterprise applications.

Page 8: Salesforce Platform: Show Me the Money - the Case for Cloud App Platforms

Why Salesforce.com

  Rapid implementation for sales and service

  Low cost configuration and support

  Expand functionality iteratively ALTERNATIVE

  SAP CRM INTEGRATIONS

  Website (Customer Portal)   LMS

Page 9: Salesforce Platform: Show Me the Money - the Case for Cloud App Platforms

Salesforce.com at Vital

Chat

Fixed Asset Management

Change Management

IT Project Management

Contract Management

Coming Soon

Page 10: Salesforce Platform: Show Me the Money - the Case for Cloud App Platforms

The ROI - $250K in Savings after first year THE CHALLENGE

  No visibility   Costly manual process   Surplus Hardware

  Lack of Reporting Metrics   Lost Inventory Costs OPTIONS EVALUATED

  SAP (already owned)   Existing Solution (free)   AppExchange and other 3rd party Apps FORCE.COM SOLUTION

  3 months with part time internal team

  $250K+ savings in reduced HW purchases after 1 year

Fixed Asset Management

Page 11: Salesforce Platform: Show Me the Money - the Case for Cloud App Platforms

Solution

Page 12: Salesforce Platform: Show Me the Money - the Case for Cloud App Platforms

Our Advice to Measuring the Benefits of Salesforce

  Create Business Case just as you would for a new purchase

  Define SMART goals from project and demonstrate value   3 month

  6 month

  Look beyond IT benefits and quantify business outcomes   Include Resource Savings and Productivity Improvements

  Seek higher utilization of existing platform to lower your total cost of ownership per application

Page 13: Salesforce Platform: Show Me the Money - the Case for Cloud App Platforms

Elias Dayeh Director, Business Operations [email protected]

Page 14: Salesforce Platform: Show Me the Money - the Case for Cloud App Platforms

All about Axcient

Axcient is the leading provider of cloud-based data and application protection and uptime solutions for the Small and Mid-Sized Business (SMB) market and ensures data, application, and system uptime, all the time, with its market-leading data backup, business continuity, and disaster recovery solution

  SFDC Customer Since 2009

  80 SFDC Unlimited Users, 1800 Partner Portal Users

  #129 Inc 500 2012

  Hardware & Software SaaS Company

Page 15: Salesforce Platform: Show Me the Money - the Case for Cloud App Platforms

About Me

Elias Dayeh Director Business Operations

Years with Axcient - 7 Months Years using SFDC - 7 Years

 Own strategy, architecture, development, integration and operations of Axcient’s enterprise applications  Former Director, Business Operations, Motorola Mobility (A Google Company)

 575 SFDC Unlimited Users  3rd Party SW Bill of Materials built on SFDC  “Face” of Motorola Mobility for SFDC

Page 16: Salesforce Platform: Show Me the Money - the Case for Cloud App Platforms

Why Salesforce.com

Why did Axcient Pick Salesforce.com?   Scalability

  Flexibility   Enterprise Solution

  Integration Speed

  APIs

  AppExchange Ecosystem

Page 17: Salesforce Platform: Show Me the Money - the Case for Cloud App Platforms

Salesforce.com at Axcient via AppExchange

Page 18: Salesforce Platform: Show Me the Money - the Case for Cloud App Platforms

Salesforce.com at Axcient via Custom Integrations

Page 19: Salesforce Platform: Show Me the Money - the Case for Cloud App Platforms

Benefits observed

•  Productivity

•  Visibility

•  Collaboration

•  Centralized Vision

•  Implementation Speed

•  Ease of Use

IF ITS NOT IN SFDC IT DOESN’T EXIST

Page 20: Salesforce Platform: Show Me the Money - the Case for Cloud App Platforms

Key Learning

  Understand the SFDC Framework and Platform

  Understand your Current Infrastructure

  Understand your Baseline

  Create Metrics   Clicks

  Hours

  Measure Metrics Constantly   Be Anal about it

Clicks Clicks

Hours Hour

Page 21: Salesforce Platform: Show Me the Money - the Case for Cloud App Platforms

Cédric Gueuning E-Business Project Manager @GCedG

Chris Timmerman

E-Business Project Manager & Business Analyst @_ChrisTimmerman

Page 22: Salesforce Platform: Show Me the Money - the Case for Cloud App Platforms

All about Electrabel GDF SUEZ Part of the group GDF SUEZ

Former state owned monopoly in the energy market in Belgium (production, distribution , sales and trading), and actor in other European countries

After liberalization : production and sales in Belgium, Netherlands and Germany

Page 23: Salesforce Platform: Show Me the Money - the Case for Cloud App Platforms

About Us

Cédric Gueuning Chris Timmerman e-BUSINESS PROJECT MANAGER

7 years with GDF/SUEZ 2,5 Years using SFDC

E-Business department, mostly intranet projects

Administrator and SFDC Developer

E-BUSINESS PROECT MANAGER & BUSINESS ANALYST

5 Years with GDF/SUEZ 7 Years using SFDC

SFDC Consultant & Administrator

Page 24: Salesforce Platform: Show Me the Money - the Case for Cloud App Platforms

Why Salesforce.com

  Low cost applications

  Rapid implementation

  Workflows and real-time reporting ALTERNATIVES

  MS Sharepoint / .Net

  Excel, emails, … INTEGRATIONS

  SAP HR (Manual)

Page 25: Salesforce Platform: Show Me the Money - the Case for Cloud App Platforms

GDF/SUEZ

M&S

HR

Salesforce.com at Electrabel GDF SUEZ

Internal Job Applications Lease Car Management Plan Cafeteria Job Promotions Parking Space Allocation Expats Management

Customer Appointments B2B Customer Training eBusiness Change Requests

Purchasing Process IT Security Reports Sports and Event Registrations

LOGISTICS

Real Estate

Page 26: Salesforce Platform: Show Me the Money - the Case for Cloud App Platforms

ROI – Sharepoint vs Force.com

Our best ROI story so far …

ROI 7 x faster than a sharepoint project on KIR

COST Sharepoint .NET Force.com

Development 160k 260k 40k

Ongoing Running (including infrastructure) 280k 240k 40k

Page 27: Salesforce Platform: Show Me the Money - the Case for Cloud App Platforms

Adding business value at low cost Example: Employee 360°

  Standardised and integrated processes   Reduced number of errors

  Centralised data and reporting

  Automated triggering

  No single point of failure

  Reduced fraud

  Global view

  Improved use of resources

Future app

Fleet and Parking

attribution

Building and Parking access

Benefits

Hardware Software

Job promotions

Expat mobility

Employee 360°

Page 28: Salesforce Platform: Show Me the Money - the Case for Cloud App Platforms

Our Advice to Measuring the Benefits of Salesforce

  Low resources needs   time

  money

  People

  infrastructure

  Speed of implementation – Faster Time to Market

  No infrastructure – Lower TCO

  Great foundation – Lower Future Costs

Page 29: Salesforce Platform: Show Me the Money - the Case for Cloud App Platforms

Wrap

Page 30: Salesforce Platform: Show Me the Money - the Case for Cloud App Platforms

In Summary

Key Business Priorities

Revenue Generation

Business Cost Savings

IT Cost Savings

Ramp Time

Cross Sell Rate

Marketing Leads

Hiring Costs

Productivity

Admin Overhead

Customization

Maintenance

Servers

Page 31: Salesforce Platform: Show Me the Money - the Case for Cloud App Platforms

Building a Business Case Beyond Cost

Source: Market Tools “Salesforce.com Customer Relationship Survey Results” May 2012

Agility Build Social Front Ends

Innovation Create Engaging Customer Apps

Optimization Automate Your

Business

Increase Productivity

Unlock Legacy Data

Create new Channels

29% Increase in Innovation

+33% Increased employee

productivity

+56% Improvement in finding

information

+30% Improvement in response rate

Page 32: Salesforce Platform: Show Me the Money - the Case for Cloud App Platforms

Where can we find more?

-  Join the “Measure Business Value” chatter group -  http://bit.ly/Pk4vxL

-  Find a list of all metrics that the Platform has improved -  Look for the Annual Salesforce.com Voice of the Customer Survey

-  Use the online Business Case Calculator for the Platform

http://www.salesforce.com/platform/tco/

-  Ask your Salesforce.com Sales Rep for help and advice

-  Visit the Measure Booth in the Customer Success Campground

Page 33: Salesforce Platform: Show Me the Money - the Case for Cloud App Platforms

Robin Brinker Senior Director of

Enterprise Technology Solutions

Elias Dayeh Director Business

Operations

Cedric Guennig Chris Timmerman E-Business Project

Manager E-Business Project

Manager and Business Analyst