Dreamforce 2008 : Behind-the-Scenes @ Salesforce.com R&D: How We Deliver 3 Major Releases a Year

Behind-the-Scenes @ Salesforce.com R&D: How We Deliver 3 Major Releases a Year Steve Greene, salesforce.com Panelists Chris Fry, salesforce.com Rajani Ramanathan, salesforce.com Eric Bezar, salesforce.com Catherine Courage, salesforce.com Pete Morelli, salesforce.com Platform Tech Talks

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.

Steve Greene Sr. Director, Tools & Agile Development

Agenda

Overview of Agile Methodology

Panelists introduction

Moderator led questions

Q&A from audience

History

Lack of Visibility

Resource Bottlenecks

Unpredictable completion of projects or initiatives

Lack of responsiveness, lack of team alignment on priorities

Infrequent Customer Feedback

2000 2001 2002 2003 2004 2005 2006 Features Delivered per Team Days between Major Releases

What did we do about it?

On time delivery? Last waterfall release

Transformation Results 2000 2001 2002 2003 2004 2005 2006 2007 Features Delivered per Team Days between Major Releases

ADM Release Cycle Monthly Rhythm Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Release Release Release Release

What is ADM? ADM (Adaptive Delivery Methodology) is an Agile discipline that is specific to salesforce.com. It employs Scrum project management framework, adopts certain extreme programming practices and is based on lean principles.

What is ADM?

Simple

Self-organized, empowered teams

What is ADM?

Time-boxed, 30-day sprints

Daily, Verbal Communication

Potentially “production quality” every 30 days

Doneness Checklist    Metrics to measure customer usage have been defined and a Metric Request ticket filed for new metrics <Feature 1> <Feature 2> <Feature 3> Code checked in and follows department standards    No open regressions. Automated tests written and reviewed for all regressions    No open P1 & P2 bugs    Code Coverage of 70% (or as agreed with team) 70% 70%  100% of test cases logged in QAForce and executed in a QA environment, and all P1/P2 cases passing    All resolved bugs verified and closed    Performance/scalability impact ascertained and sys testing scheduled if required    UE has reviewed any new features; P1 and P2 UI bugs fixed    Usability testing completed when necessary, and feedback incorporated into backlog    Code and UI reviewed for 508 compliance; UE team notified of any non-compliant features    All UI labels ready for localization vendors    User documentation complete and checked in    Security standards met and critical issues resolved   

Sprint Review

Transparency

Scrumforce built on Force.com

Continuous Integration

16332 5752 2656 27967 Automation

ADM Lifecycle Daily Scrum Meeting Product Backlog Sprint Backlog Retrospective Sprint Review: Demo Potentially Releasable New Functionality

Chris Fry VP, Platform Development Rajani Ramanathan VP, Quality Assurance Eric Bezar VP, Product Management Steve Greene Sr. Director, Tools & Agile Development Salesforce.com Moderated By: Catherine Courage Director, User Experience Pete Morelli Sr. Development Manager

More information about ADM