This document outlines five habits for breakthrough thinking based on the CEO's experience taking Salesforce.com from zero to $1 billion and trying to do it again with Zuora. The habits are: 1) Choose your environment, 2) Don't fall for the illusion of fixed structures, 3) Practice N-1 thinking, 4) Think outside-in, and 5) Manage change with red worlds and green worlds. The CEO uses examples from building Zuora, a pioneer in online subscription commerce and billing, to illustrate each habit for breakthrough thinking and managing change in a company.

1. Five Habits for Breakthrough Thinking
Lessons from taking Salesforce.com from zero to $1 Billion
and trying to do it again with Zuora
NAAACP Gateway to Leadership
September 29, 2012
@tientzuo, CEO, @zuora
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6. Building the Next Great
Enterprise SaaS Company
Company Facts Customers
Pioneer and global leader for online Strong brand customers across tech,
subscription commerce and billing media, telco and consumer services
Founded in 2008; 220 employees
Closed $1B in contracted committed
revenue in a quarter
Attained cash flow positive before
using funding for growth
Investors Leadership
Raised $82M from venture capital and Strong leadership team with broad
individuals over 4 funding rounds industry and domain expertise
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8. Lesson 1: Choose Your Environment
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9. YOUR
YOU COMPANY
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10. Lesson 2: Illusion of Fixed Structure
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12. Reinventing the Org Chart in Three Easy Steps:
1. Flatten It
2. Draw New Lines
3. Put Yourself at the Top
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13. Lesson 3: Practice N-1 Thinking
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14. Where Where We
We Are Need To Be
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15. N = Where
N+1
we Are
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16. N = Where
N-1 We Need To
Be
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17. Lesson 4: Outside-In Thinking
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18. You Them
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19. Headline
Elevator Pitch
Full Story
Appendix
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20. Headline
Statement 1 Statement 2 Statement 3 Statement 4 Statement 5
• Proof Point 1 • Proof Point 1 • Proof Point 1 • Proof Point 1 • Proof Point 1
• Proof Point 2 • Proof Point 2 • Proof Point 2 • Proof Point 2 • Proof Point 2
• Proof Point 3 • Proof Point 3 • Proof Point 3 • Proof Point 3 • Proof Point 3
• Proof Point 4 • Proof Point 4 • Proof Point 4 • Proof Point 4 • Proof Point 4
• Proof Point 5 • Proof Point 5 • Proof Point 5 • Proof Point 5 • Proof Point 5
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21. Lesson 5: Managing Change with Red Worlds
and Green Worlds
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23. What’s There What’s Not There
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24. What Do We Do What Won’t We Do
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25. What’s In Scope What’s Not In Scope
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26. Customer Success Arms Length
Outward Looking Myopia
Winning Settling
200-300% Growth 20-30% Growth
All In Half Pregnant
Team Work Internal Competition
Innovation & Change Status Quo
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27. Change: Existence of a
Ubiquitous Network
Question: What Happens to
Business Software ??
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28. Everything Changes
Delivery CD’s Online
Location Central Local
Versions Many One
Upgrades Few Frequent
Buyer Business IT
Adoption Push Pull
Distribution Resellers Direct
Customizations Coding Configuration
API’s Afterthought Intrinsic
Marketing Outbound Inbound
Awareness Gartner Google
Architecture Single Tenant Multi Tenant
Performance Burden on Customer Burden on Vendor
Business Model Product Subscriptions
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29. Past World Future World
• 7 developers in China • 17 devs in China
• 2 developers in US • 4 devs in US
• 1 PM • 2 PM’s
• 1 product • 3 products
• 0 live customers • 10 live customers
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30. Leadership is about Managing Change
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31. Five Habits of Breakthrough Thinking
1. Choose Your Environment
2. Don’t Fall for Illusion of Fixed Structures
3. Practice N-1 Thinking
4. Think Outside-In
5. Manage Change with Red Worlds and Green Worlds
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32. Thank You!
@tientzuo, @zuora, tien@zuora.com
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