The document discusses social models and trusted clouds. It summarizes that social models and trusted clouds can enable organizations to become knowledge-based by leveraging social tools and cloud platforms. However, barriers like legacy IT systems have made data integration difficult. The document advocates for the use of social models and clouds to break down these barriers and transform organizations. It emphasizes that trust and security are essential for cloud adoption.

1. Social Models
and Trusted Clouds
The Road Map to 'Social' Security
Peter Coffee
VP / Head of Platform Research
salesforce.com inc.

2. 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
In Other Words:
other than statements of historical fact could be deemed forward-looking, including any projections of
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, our new business model, our past operating losses, possible
Everything That You See Here
fluctuations in our operating results and rate of growth, interruptions or delays in our Web hosting, breach of
our security measures, 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
is Real
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 and on our Form 10-Q for the most recent fiscal quarter: these documents and others 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 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.

3. Clouds in Public Service: No “Forbidden Zones”
General Economic Health & Defense &
Transportation
Government Development Human Services Public Safety
Science &
Environment
Political Campaigns & Advocacy Culture & Education

4. Drucker Had It Right
 ―The typical large organization, twenty years hence,
will be composed largely of specialists who direct and
discipline their own performance through organized
feedback from colleagues and customers.‖
 ―It will be a knowledge-based organization.‖
Peter F. Drucker, in The New Realities
…in 1989

5. Barriers to Becoming Knowledge-Based
 Complex legacy IT portfolios have made the simplest
data integration an overwhelming task
 Cumbersome, brittle integrations have demoted end
users to information consumers
 Path of least resistance
has over-emphasized
rear-view mirror views of
historical data

6. Connections Now Draw the World‟s Map
(Lines Represent Number • Distance of Facebook „Friend‟ Links)

7. People Crave Social Tools

8. The Map to “Securely Social”
 What is the organization‘s mission?
 What information supports that mission?
 Where does it originate?
 Who holds it?
 Who can see it?
 What events change it?
 When is that important?
 How do people know?
 How can people act?

9. The Map to “Securely Social”
 Where are key players already 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?

10. Whose Knowledge Is It, Anyway?
 Innovation ―goes rogue‖ when:
– Products are open-source and/or
highly configurable/customizable
– Some users have incentive to innovate
– Some innovators have incentive to share
– Diffusion of innovations is inexpensive
 The user conversation will take place
– Users can readily find each other
– Users turn to each other for affirmation
as well as for assistance
– You can host the conversation

11. What Role for “The Crowd”?
 Sift more dirt, find more gold
– With modern machines/methods, gold mines are
viable at 1 g. Au / ton of ore
– Costs of collecting/sifting the crowdstream
continue to fall
 The oddly opposite models:
– Delphi Method: people with wildly varying knowledge, exposed to each other‘s
opinions, produce consensus surpassing the sum of the parts
– Open-Source Method: Individual contributions, appropriately incented (if only with
ego rewards), yield cost-effective combined results
 Can the crowd survive its success?
– ―Even mild social influence can undermine the wisdom of crowd effect.‖
Proceedings of the National Academy of Sciences, 16 May 2011
wired.com/wiredscience/2011/05/wisdom-of-crowds-decline
– Vital elements: diversity, independence, decentralization, aggregation

12. The Customer Becomes the Product
“ Ideas has beenofan unbelievable home run. We areStarbucks
it―the voice the customer is totally present at
loving
in a brand new way, thanks to the Force.com platform. ”
Chris Bruzzo
CTO, Starbucks

13. „Social‟ is a model, not an application
 Collaborative
process creation &
maintenance
 Best practice
sharing Andrew Leigh.
 Integration with
New process created: iPad Tier 1 Support
feeds and other Process (Goals: Run time, 5 min)
social channels
Steve Wood.
 Social process Process
Apple Escalation
monitoring Varadarajan Rajaram.

14. Products Become Participants
 Instant updates, not
limited by human
speed or attention
 Effective integration
of hardware speed
& human judgment
 The next new
application
opportunity
public String CloudThoughts{ get; set;}
Mike Leach, www.embracingthecloud.com

15. Cloud Connection 
Margin Growth and Brand Differentiation
―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.
With a connected device, there are all kinds of new
opportunities to present offers and services that can
generate ongoing monthly revenue. Simply put,
connected devices make connected customers.‖
Richard Schwartz, President and CEO, Macheen

16. All Cloud Models Simplify Something
Cloud Platform for Cloud Platform for
Servers as a Service Consumer Apps Enterprise Apps
UI as a Service
Logic as a Service
Python or Java Server Integration as a Service
VM VM VM VM Non-Relational Database Full Relational Database
Infrastructure as a Service Infrastructure as a Service Infrastructure as a Service
Virtualization enables Basic Web frameworks Pure APIs shift focus to
scale (but preserves or lower ISVs‘ barriers to problem, not mechanism
compounds complexity) market entry

17. True Clouds Enable Transforming Scalability
Constituent Engagement Portal
Concept to Live in Three Weeks
Zero to Peak in One Hour
134,077 Registered Users 10M Page views
1.4 M Votes 1.8TB Volume
52,015 Ideas 39.3M Hits

18. True Clouds Enable Outcomes Assessment
50% reduction in time spent on paperwork,
reporting and reimbursement
Eliminated 2-month wait for County reports
Real-time tracking of individual client
outcomes (treatments adjusted accordingly)
Self-audits and tracking of clinician, program,
and division productivity
Automated reimbursement process though
auto-population of funder forms
Bob Bennett
CEO
Family Service Agency
of San Francisco

19. The Metadata Model: Clouds Can Customize
Build strategic applications
Your Clicks
User Interface
Customize any aspect
Logic Upgrade when convenient
Your Code
Database Preserve IP control
Metadata representations:
Rigorously partitioned data, logic and customizations for multiple customers
Coherent Code Base and Managed Infrastructure

20. Common Code Base Eases Upgrades
A Better Upgrade Path
for Everyone ―Windows 7 is now at
22.31%, up 1.44 points from
Customers decide when (or December. However, XP
whether) to adopt new features and Vista are losing share
faster than Windows 7 can
Customizations move forward gain (XP is down to 55.26%
without regression or breakage and Vista down to 11.66%)‖
Vendor resources are not Tom‘s Guide, 3 Feb 2011
diluted by need to support
legacy versions of products

21. Click to Connect
User Interface Your Clicks
Logic
Your Code
Database
Selectively exposed data, logic and customizations
Coherent Code Base and Managed Infrastructure

22. Cloud Platforms Can Offer Developer Leverage
A path of least resistance to high-function applications

23. Cloud leverage empowers innovators
Rapid iPad Deployment for Patient Prescreening
One developer with no prior
training built a mobile app in just 4
days
Deploying to Medical Directors,
Program Directors in hospitals on
iPhones and iPads
Eliminates paper forms, workflow
cuts response time by more than
60%
―We‘re blown away by how we built a mobile Cut processing time from 18 hrs to
healthcare application on Force.com with one less than 60 min
person in just 4 days…
The same app built in .NET would have taken
over 3 months‖

24. Cloud Development: reinvented, not just relocated
 Nucleus Research analyzed Force.com deployments: found
average 4.9 times faster development (range 1.5x-10x)
versus Java or .Net
– Custom objects
– Administrative tools
– Workflow engine
– Pre-tested platform
 Galorath Inc. compared developers‘ Force.com productivity to
Java development
– Requirements definition time reduced 25% due to rapid prototyping
– Testing effort reduced by (typically) more than 10%
– Development productivity of new code 5x greater
– Overall project cost 30-40% less
 CustomerSat sampled more than 1,100 Force.com development
teams during summer 2009
– Average experience: 4 applications deployed to date
– Average project cost savings: 48%
– Average project acceleration: 5.1x

25. Attackers no longer need to find you…
…because your network comes to them

26. Threat Doesn‟t Need an Outside Enemy
"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

27. Bottom-Up Design to be “Shared and Secure”
Apply Data
Login… Authenticate… Security Rules… View Filtered Content
 Password security policies
 Rich Sharing Rules
 User Profiles
 SSO/2-factor solutions

28. Every Act an Invocation: Granular Privilege

29. Data Stewardship is a Practice, not a Technology
 Data protection regulations
– Where can it be stored?
– Who‘s allowed to see it?
 Peel the onion of ‗compliance‘
– Anonymize/encrypt/partition specific fields
– Cloud disciplines can enhance auditability
• Role-based privilege assignment
• Actions taken using granted privileges
 Looking at the laws is not enough
– USA PATRIOT Act inspires concern from global
collaborators who may fear a multi-tenant ‗dragnet‘
– Court rulings encourage escrow/isolation of targeted data
when a multi-tenant system is involved

30. Enterprise Clouds Enable Secure Communities
 It‘s hard to add security to a tool that shares by default
 It‘s possible to add social tools to a proven trust model
Profiles Status Groups File Sharing App
Updates Updates
Feeds Security & Real-time Mobile
Sharing Model Analytics

31. Trust is Earned by Transparency
Full Public Disclosure
Live System Status
Security Best Practices
Historical Performance
Continual Improvement
• salesforce.com systems
achieved 99.99% of
planned availability during
YE April 2011
• 31 billion transactions in
Amazon
Apr‘11, up 57% from 2010
• Maintenance shortening: Google
―5 minute upgrade‖

32. Trust is Earned by Transparency

33. Trust is Essential to Cloud Adoption
 Robust infrastructure security
 Rigorous operational security
 Granular customer controls
– Role-based privilege sets
– Convenient access control & audit
 ―Sum of all fears‖ scrutiny and response
– Multi-tenancy reduces opportunities for error
– The most demanding customer sets the bar

34. Cloud Integration: Not an All-or-Nothing Choice
Mash-ups from Native Integration Developer
Web and Desktop Partner Toolkits
AppExchange Connectors Ecosystem

35. Cloud Integration: New Roles for Knowledge
“This is process lite. It gives my business users what they want,
a unique app for each sales team, fundamentally reflecting their own personality.
“And yes, I get a single standard SAP integration. It’s a terrific success.”
–CIO, Fortune 500 Firm
Deployments
Sales 4 Months
Distributors (Oct ‘06- Feb ‘07)
EMEA 1 Month
(Dec ‘06)
Inside Sales
AFS Global 5 Months
(Dec ‘06 – May ‘07)
Sales
SAP Back-end FLPR Field 2Q07
Integration Sales
Customized for
Diverse Sales Groups

36. ―If you take the ideal
world, everything is
done as a service:
computing, storage,
software and
operations.‖
―The risk for enterprises
that don't start a SaaS
migration strategy soon
is that their IT
organizational
structures will be a
competitive
disadvantage.‖
Geir Ramleth
CIO, Bechtel Corp. www.networkworld.com/news/2008/102908-bechtel.html

37. Cloud Computing:
Most Sustainable IT Model in the World
Energy Efficiency Comparison:
Transactions, not Cycles or Servers
Carbon Footprint
(g. CO2 / transaction)
95% 64%
lower lower
carbon carbon
intensity intensity
On-Premise Private Cloud
green.salesforce.com
*Estimated avoided carbon emissions from salesforce.com customers running applications on the multi-tenant cloud
as opposed to running on-premise servers. Actual carbon emissions savings could vary. Based on WSP comparison
model and research commissioned by salesforce.com, March 2011.

38. The Cloud‟s Lower Cost is Compelling. So What?
If we talk about cost reduction, the most I can do for you is cut your
IT spending by 100%. Then we‟re done.
If we talk about value creation, I can keep on delivering value with no
upper bound. That‟s a much more interesting conversation.
If you want cheap IT, go ahead. You won‟t be
in business next year. Your competitors will
do projects with attractive ROI, while you
spend less, and you won‟t be competitive in
service or performance.
Demand curves slope downwards. Better
apps at lower cost will expand demand and
grow total IT spending. And that’s OK.

39. Don‟t Settle for “Same Function, Lower Cost”
True Cloud Storage as a Service
– No one can sell you a hard drive that tells you when your data‘s out of date
– In the cloud, your storage can be self-cleaning
True Cloud Customer Support as a Service
– No one can build you a call center that knows everything your customers
know…and everything they‘re saying to each other about you
– In the cloud, your service center can interact with social nets
True Cloud Application Platform as a Service
– No one can give you a local development platform that automatically deploys
your applications onto every new portable device
– In the cloud, apps can acquire new features and support new devices at zero
cost to the developer

40. Nothing Happens Overnight; Nothing Goes Away
‘50s ‘60s ‘70s ‘80s ‘90s ‟00s
Windows
IBM PC Windows XP
PC MITS Altair 3.x/9x/NT
Macintosh & Mac OS X
& Linux 1.0
DEC DEC Sun Sun/AMD
Sun/ILM
Mini Workstations x86 Servers
PDP-8 VAX 11/780 Render Farms
& Servers Niagara CPUs
Mainframe IBM 701 S/360 S/370 4300 S/390 zSeries

41. ‘50s ‘60s ‘70s ‘80s ‘90s ‟00s
Cloud Apps
Grid
& X Window
Computing
Platforms
Windows
IBM PC Windows XP
PC MITS Altair 3.x/9x/NT
Macintosh & Mac OS X
& Linux 1.0
DEC DEC
Sun Sun/ILM
Sun/AMD
Mini Workstations x86 Servers
PDP-8 VAX 11/780 Render Farms
& Servers Niagara CPUs
Mainframe IBM 701 S/360 S/370 4300 S/390 zSeries

42. Cloud Credibility: Option of First Resort

43. “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

44. The Rising Floor of “Easy”
 Bulldozers greatly reduce the jobs for ditch-diggers…but they
greatly increase the number of jobs for landscape architects
and golf-course designers
 Old IT:
– Make capacity decisions once a year, then keep the pedal to the
metal and wish that you had more
– Make security decisions based on perimeters…and hope for the best
 New IT:
– Make capacity decisions every hour—or less—and continually
evaluate business value of every marginal cycle
– Make security decisions based on relationships…and monitor use of
the privileges you grant

45. The Future Has Already Happened
 When a bomb explodes, it takes some time before you see
anything happen…
…but the energy has been released
 Three fundamental energies
are in play:
– Connectivity
• Capacity in place
• Protocols and power management
– Mobility
• Devices drive cloud demands
– Social interaction model
• Already more popular than email

46. Peter Coffee
VP / Head of Platform Research
pcoffee@salesforce.com Q&A?
facebook.com/peter.coffee
twitter.com/petercoffee
cloudblog.salesforce.com