Optimize Channel Coverage and Partner Loyalty with Deal Registration

Jeff Zobrist, Siemens, PLM Software

David Crilley, Proofpoint

Channel and Partner Management

Safe Harbor Statement

“Safe harbor” statement under the Private Securities Litigation Reform Act of 1995: This press release contains forward-looking statements including but not limited to statements regarding our expected future revenue, GAAP diluted earnings per share, expected tax rate, anticipated shares outstanding,and concerning the potential market for our existing service 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, including our Form 10-K for the fiscal year ended January 31, 2007. 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.

Dave Crilley

Director, Channel Marketing

Dcrilley@proofpoint.com

Jeff Zobrist

Director, Global Channel OperationsPLM Software

jeff.zobrist@siemens.com

An effective deal registration program is critical to the success of your channel strategy

Benefits

1. Forecasting

2. Early sales visibility

3. Reward influence

4. New opportunities

5. Protect margin

6. Channel conflict

Channel conflict is a common reason for deal registration programs

Source: Channel Enablers research of leading IT Vendors

Deals are being registered on the “backs of napkins”

Source: Channel Enablers research of leading IT Vendors

Paper/email is still the primary mechanism to manage programs

Submit Deal Registration

Reject Deal Registration

Review Deal Registration

FindDuplicates

(Merge)

Approve Deal Registration

Create Account, Contact, Opportunity (optional)

Partner Portal Submission

Channel Manager Reviews Submitted Deals

ConvertRegistration to

Opportunity

Approval Workflow Submitted

Assign SalesTeam

PartnerAccount ManagerExtended Sales Team

Send Notifications

Workflow Alert to Sales Team

Partner View

View My OpportunitiesView My Submitted Registrations Report

Approval Rejected

Manage & CloseOpportunity

Opportunity CloseForecast Roll-up

Deal registration process best practice process flow

Deal Registration best practice methodologies

Define Goals for Program

Have an Adoption Plan for Launch, Early Phase, and Ongoing

Map Program from A-Z

Determine Success Metrics and Track them in real time

Define and Publish your Deal Reg Validation Criteria

11

33

22

55

66

Define and Communicate Value to Partners44

Siemens PLM Software

Predecessor companies (SDRC & UGS) founded in 1960s 2001 - EDS purchased UGS & SDRC to become

the #1 PLM provider 2004 - Private Equity purchased UGS from EDS $2B 2007 - Siemens Acquired UGS $3.5B Leading provider of PLM software

>47,000 customers / > 4.4M licenses

Create and manage more than 40% of the world’s 3D data Strong & Growing Partner Ecosystem with >30% yr/yr revenue growth

• INDUSTRY: Product Lifecycle Management (PLM) Software & Services

• EMPLOYEES: 7,400

• REVENUE: $1.2B

• # USERS: 950 Internal Users / 1,300 Partner Sales Rep Users

• GEOGRAPHY: 62 Countries

February 2007

Confidential / © Siemens AG 2007. All rights reserved

2391 A&D SPI 2010 02/07 – 070227 Intro Siemens for UGS v2.ppt

Touching Lives Everywhere …

>$115 bln in revenue

>425,000 employees, 4th largest employer in the world (largest foreign employer in the United States)

>75 acquisitions a year

75% of all company revenues come from new products (less than five years old)

Employs more software engineers than Microsoft

3rd largest source of R&D investment in the United States

Automation systems that help the U.S. Postal Service process 90 percent of the nation's mail

Equipment to generate more than one-third of the nation's electricity

Technologies in 50 percent of all cars on the nation's roads

One-third of North America's light rail vehicles

Processing of 164 million healthcare information transactions

February 2007

Confidential / © Siemens AG 2007. All rights reserved

2391 A&D SPI 2010 02/07 – 070227 Intro Siemens for UGS v2.ppt

PLM: The New Enterprise Software Player

Why is PRM important to Siemens PLM Software?

Partners are critical to our growth, we have to integrate them Tremendous value is created by partners Making it easier to do business increases mind

share

Partners are an extension of our workforce Another organization to manage Not a traditional reporting relationship

In order to improve productivity, you have to measure it Need capacity and productivity metrics for

partners

Key objective:Motivating and increasing the productivity of the 4,000-5,000 partner feet on the street who represent and sell for you but

don’t directly work for you

SFDC PRM – Single Sales Tool for Channel Managers

SFDC was very different from our in-house system“Opportunity based” System vs. “Account based” system

Leads and Opportunities each now have their own lifecycle Moving from an “Opportunity based” pipeline system to an “Account

based” CRM system to support downstream uses & applications Siemens PLM links all opportunities to a D&B master account record & have a

data czar for each zone to remove duplicate account information

Lead

Company, Contact, & Opportunity Info all in

one data object

Master Account (D&B)

Contact(s)

Opportunity(s)

Convert

Siemens PLM Software Opportunity (Deal) Registration

First – Focus on the Program Objectives

Reduce direct/indirect and partner/partner sales conflict Maximize partner profitability and increase sales productivity Ensure consistent policies – and document/communicate them Motivate partners to share/collaborate earlier in the sales cycle Improved pipeline visibility and tracking

Components Define partner engagement levels

• New opportunity, Joint engagement, influencer Quality information required for qualification Simple & consistent submittal process & quick acceptance/denial notification Define timeframe - Validity of registration and renewal process Consistent & defined escalation process Motivate behavior – compensation Security Model

Siemens PLM Software Opportunity (Deal) Registration

Second – Focus on the SFDC Implementation What fields do you want to track?

Standard fields Custom fields

What data model should you use? Who “owns” an opportunity Who can create new opportunities Who can see opportunities being worked on How to reduce/eliminate duplicate opportunities

What is the workflow process? Who owns the approval denial Consistent process for making the decision Automating response to the partner

Data Migration User Roll-out and Adoption

Siemens SFDC Deal Registration (Inbound Lead Process)

Traffic Cop Checks for Dups and/or Conflict

Traffic Cop Converts Lead(Assign Owner to CM)

Opportunity Registered (Date Stamp)

AcceptLead?

Yes

CommunicationSent to Partner

No

Partner

UGS

Legend

Automatic

CommunicationSent to Partner

Traffic Cop (or CM) Adds Partner

to Sales Team

Traffic Cop (or CM) updatesPartner

Registration Type

Partner worksOn Opportunity

Partner Entered into PRM Portal

(Partner Creates Lead in Portal or Mass Load)

Partner QualifiesLead and updates Partner

Status to Qualified

Traffic Cop Notified the Lead is Qualified

This process outlines a lead originated by a Partner and is entered into the PRM portal as a “registered” partner lead.

Siemens PLM Channel PartnerDeal Registration Decision Process

Existing PLM Customer Account?

YESPLM Named Enterprise Vertical Account?

Deal Registered to Partner Opportunity Created, tied to Account, and Partner

added to Sales Team

Existing PLM Customer Prospect?

No

No

Current Opportunity in Play? Last 12 months (Location,

Product family, Budget, Timing)

YES Deal Registration Rejected UGS Sales Rep can decide if they want Partner

involved in opportunity due to Value Add

No

YES YES Deal Registration Rejected UGS Sales Rep can decide if they want Partner

involved in opportunity due to Value Add

Current Opportunity in Play? Last 12 months (Location,

Product family, Budget, Timing)

YES

Deal Registered to Partner Opportunity Created, tied to Account, and Partner

added to Sales Team

No

YES Deal Registration Rejected UGS Sales Rep can decide if they want Partner

involved in opportunity due to Value Add

Current Opportunity in Play? Last 12 months (Location,

Product family, Budget, Timing)No

Deal Registered to Partner Opportunity Created, tied to Account, and Partner

added to Sales Team Deal Registrations will be valid for 180 days, if activity and progress in account, then will be renewed in 90 day increments.

Desire to Reward Channel Partner for Aggressiveness and Collaboration

UGS Sales Rep can decide if they want Partner involved in opportunity due to Value Add

No

Leads - Created Deal Registration Section

Standard lead form

includes Partner

deal registration

Supporting

workflow

Tracks approval

process

UGS converts

approved deal

registrations into

opportunities

UGS Opportunity Management

Every opportunity is associated with one sales person Channel Sales Rep SMB Sales Rep Enterprise Sales Rep

Share opportunities (as desired) between: Channel sales reps Midmarket sales reps Enterprise sales reps Channel Partners Zones

Add a Channel Partner to any Opportunity & track Involvement

Opportunity sharing different than Account sharing

Opportunity Management – adding valueLinks on the Opportunity to key sales information on the Partner Portal

Links to Partner On-line Order

System

Making it easier for Channel Partners …

Custom Import/Export/Update functionality for leads

Custom Export/update/Import functionality for opportunities

Custom email notifications• Simplify mass

update leveraging .xls

• Leverage their own SFA/CRM system as required

• .xls template (in multi-language) on Portal

• Single email with update of information requiring update

Key Lessons Learned

Always stay focused on the value to a partner user and their channel manager

Questioning the importance/value of every field in the system

migrating existing data into new system for partners and channel managers

Local language support

Executive and Mid management support

Partner training on new system

Consistency in process and implementation

Consistent measurement and “tweaks”

Siemens PLM Software

Leveraging SFDC for Channel Partner Benefits

Ease of Use Intuitive user interface Local language & currency support Improved performance leveraging Salesforce.com backbone

Consistent Processes SFA: Opportunity Management, Lead Distribution/tracking Deal Registration PRM: MDF (requests & claims), Training & Certification, Business Plans Single Global System Secure – ability to only share leads an opportunities to those that should see them

Improved Collaboration Partners can be added to any opportunity or account for sharing of local or global account

and opportunity information UGS has purchased licenses for every Channel Partner and every Channel Partner Sales

Rep globally Remove need for multiple .xls & .doc files

No more “what version” and “why are you asking me again” if data is up to date Single, associative, location to manage all aspects of our partnership

A Tool designed for Siemens PLM Software Channel Partnersand their Channel Managers

Thank You.

Jeff Zobrist

Director, Global Channel OperationsPLM Software

jeff.zobrist@siemens.com

All About Proofpoint

• INDUSTRY: Security Software

• EMPLOYEES: 140

• GEOGRAPHY: Global

• # USERS: 80 Internal, 700 Partner

• PRODUCT(S) USED: SFA, PRM

Proofpoint provides unified email security and data loss prevention solutions to defend against inbound threats such as spam and viruses, prevent leaks of confidential and private information across all protocols and encrypt sensitive emails.

Proofpoint provides the most scalable and flexible deployment model including: hardware appliance, virtual appliance, hosted services and software.

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What is Messaging Security?

Inbound Threats Came First Outbound Threats Followed

Enterprise

SMTP, HTTP, IM and FTP services

Spam

Phishing

Directory harvest

Denial of service

Viruses

BotnetsIntellectual

property

Corporate governance

Security, privacy and compliance

Security threats have always been a problem to enterprises

Proofpoint Snapshot

Provide messaging security to Global 2000, Fortune 500

HQ in Silicon Valley, CA, offices around the world 24x7 global support

Best of breed partners Award-winning solutions Customers are 100%

reference-able

Strategic Partners

Proofpoint – Deal Registration Key Challenges

Business Challenges

• Tools were not easy to use (for partners)

Technology Challenges

• Tools were not scalable

• Tools did not support data quality or easy reporting

Proofpoint – Deal Registration Goals

For Partners

• Solve channel conflict issues

• Simplify the process

For Proofpoint

• Clarify deal ownership

• Accelerate time-to-revenue

• Fulfill channel-centric promise – and streamlined transition to 100% channel model

Proofpoint Deal Registration – Process Map

Partner enters deal registration request

in Proofpoint Partner Portal (creates Lead)

“declined” message sent to partner

“request received” message to partner, cc to Proofpoint Sales mgmt

Approve request?

Convert to Stage 0 Opportunity

Assign to Proofpoint

salesperson & notify

“approved” message sent to partner, cc to

Proofpoint Sales mgmt

Partner pursues with Proofpoint

Salesperson

Add partner salesperson to

Sales Team

partner

automated

Proofpoint admin

NO

YES

Proofpoint Deal Registration – Approval Criteria

New opportunity (not account)

Not already registered to another partner

Can be an unqualified lead from Proofpoint Partner Portal

Not already a direct deal in closing stages (Before transitioning to 100%

channel model),

Proofpoint Deal Registration – Approval Process

Proofpoint Deal Registration – Partner View

Balancing Carrots and Sticks - What’s in it for Partners?

What’s in it for the partner? Margin guarantee

Proofpoint resources

Ease of doing business

What’s required?

Opportunity momentum

Program rules compliance

Partner authorization status

Adoption Strategies

Keep it simple (!)

Fast Turnaround

Give the benefit of the doubt

Provide periodic training & reference

materials

Launch incentives

accessed only through the portal

Promotion requirement

Must register deals for promo eligibility

Proofpoint – Results

Process time reduced from 5 days to 24 hours• Faster sales cycles, accelerated time-to-

revenue

100% visibility into partner activities• Productivity reports

• Comparative conversion rate metrics• Campaign types

• Push vs. Pull

• Co-marketing vs. Corporate Marketing

Reduced management from 5 hours/week to 1

100% adoption of top tier partners

What’s next?

Get a one on one demo

Get it now & start a pilot

Learn More

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