Manufacturing Keynote: Disrupting Your Way to a Connected Customer Experience | Salesforce

We have 200,000 people moving into cities every day. The way people live and work is changing. How do we find a way to differentiate when the markets are changing in a very significant way? We have been in this business for over 100 years installing elevators and escalators, servicing them and modernizing them. There's about a billion rides on this equipment every day. But we have never seen such a profound change as we see today.

We realized that we weren't in the hardware business. We weren't in the elevator and escalator.

And doors business only.

We're in the people business. Let's take a step to the future. Let's look forward at the customers, not at the equipment. That's what's going to differentiate us from our competitors.

Digital disruption is bringing an enormous amount of opportunity. Salesforce has been a guiding light, showing us what is possible when you platform everything around the company.

Customer from a historical perspective.

When you were the customer service person, it was very difficult to understand everything.

That was going on.

They weren't able to answer the customer's questions because they didn't have the information.

With field service lightning, they now have.

A 360 degree view of that customer.

Dispatchers can see where the technicians are. Who has the shortest journey time to get there.

Who has the right skill for that type of equipment. We now have more and more of our elevators and escalators real time connected. IBM Watson helps us understand in detail what's happening to the equipment. With Einstein, we then link our field service to this equipment condition.

The technicians have the ability to look and see.

Okay.

The most likely issue that we have is this. Customer service is and will be a people business.

But enabled and assisted by Einstein and Watson.

With Salesforce, we have clearly strengthened our growth in services. We can serve our customers in an individualized way and do it with a quality, reliability and transparency that hasn't been seen before in this industry.

Well, good morning everybody. Welcome to. Welcome to Dreamforce. Isn't this great? And thank you for coming to the manufacturing keynote. My name is Cindy Bolt and I lead the industry team for manufacturing energy and consumer goods. Now here's what we're going to ask you to do today. To step out of your comfort zone, no matter the size or the age of your organization. This is about survival. It's about surviving the changes that are happening in the global world of business today where people are disrupting their business models to change how they communicate and engage with their customers. Now, we're going to do this in three ways today. The first is we'll share our point of view on how we want, how we can help you connect more with your customer and how we want you to connect with your customer. The second is we're going to show you a demonstration and these are demonstration of solutions that we have for your industry that are implemented today with our customers. And the third, and I think really exciting is we have three blazing, trailblazing customers that are here today as our guest speakers to share their story of how they've begun this industry and how they've begun this journey. All right now, a letter from our lawyers to remind us that we are a publicly traded company. So please make all your buying decisions based on products that are available today. And a big thank you again, thank you for being here this week. Thank you for investing the time and thank you for taking the opportunity to network. In fact, we're really excited about some of these statistics. We have over 3,000 customers from the manufacturing, automotive and energy industry here this week at Dreamforce. In fact, we've got a packed house. Isn't that great? So thank you for all of you being here.

Yay.

We're really excited. And also, this is pretty cool. There's an industry report. This came out from idc. They did a study on the impact that Salesforce will have from an economy perspective across all industries. And by year 2022, Salesforce will help create another 650,000 jobs in the manufacturing industry. And we just couldn't help from sharing that with you. Now, we've really learned a lot from you over the years. We've had the chance to have a relationship with many of the leaders of all sides of the industry across the segments to help us better understand how you're using our technology and your business, the way you run your business every day. And so you've helped us improve our product. You've also helped us better understand how to support you. But you've also helped us build out an ecosystem of partners, from system integrators to independent software providers to deliver deeper level industry expertise. And we're going to talk about some of that today and you're going to see a lot of it throughout the week. And there's a lot of change that has happened, lots of change over the last several hundred years that for manufacturers, you've taken advantage of all of this to help you become more efficient and productive, reduce costs and get more product out the door. But now we're in the fourth industrial revolution and this revolution is about intelligence. It's about how you can leverage Intelligence to connect in whole new ways with your customer. Now you're probably already using it. Today, you're probably already using artificial intelligence within your IT organizations to help you develop product, release product, distribute product. But you also can leverage artificial intelligence across the entire business for your sales, service and your operations. But many of you have shared with us, you don't know how to get started. You're uncertain how to do this. And here's what we do know. We know that those who focus on their customer are those who will grow in the industry. Because this shift has happened. Can we go back a slide? This shift has happened. The shift. If we can go back a slide, there we go. The shift has already happened. The shift has happened to where the customer now want you to focus on them and their personalized experience. Someone shared this quote with me once. Imagine this, your best experience. Set your expectations everywhere. And that transcends from your personal life to your professional life. Your customers want you to differentiate not on product, not on service. They want you to differentiate on that entire customer experience. They want you to bridge that gap.

Right?

And this is not about creating a closer relationship with them. This is about survival in the industry. So how do you do this? How do you do this when most of your investments have been on your traditional product oriented businesses? And this is money well spent. But here's the challenge you have. The challenge is that it's not responding to the needs of the new standard that this customer is expecting from you. They expect manufacturers to be fast and agile and they expect manufacturers to have a customer centric focus that has intelligence across the entire level engagement they have with you. And so the shift is now started to happen where they're expecting every single one of these touch points along the way is creating new insights that you can have about them and having a personalized relationship with them. Now, we surveyed hundreds of manufacturers like yourself over the last seven several months and here's what we learned. 52% responded and said we can no longer compete in the marketplace and differentiate ourselves just on product alone. In fact, 71% said we're going to invest more in our services organization over the next 12 to 18 months. We're going to start creating roles like customer relationships that start thinking about the longevity of the relationship that we have with a customer. This is what customers are demanding is they want you to understand the experience they have across every touch point they have, whether it's you or your distribution channel. And the challenge that most of you likely know is that every single one of these Touch points is probably residing in systems that are in silos today. Yet the challenge is also they want you to have that unified view of them along that path. But most of the data coming out of these systems are in siloed systems and hard to analyze. Which brings me back to the point around the fourth industrial revolution and the importance of leveraging intelligence and understanding every single one of these touch points. Think about the journey that your customer has with you, from the point that they hear from your marketing team to when they're out in the field having a sales rep configure the most complex of equipment to when the installation happens, to the aftermarket service experience. They want you to know them throughout this entire experience. And so now you're probably thinking, okay, I'm likely a hundred year old organization with lots of complexity. You know, I got to go back to the real world. How can I deliver this kind of experience? How can I integrate this into my business? And I think the best way to share this story is to invite one of our trailblazing customers, Danil Ellez from Kone.

And.

Can we roll the video? We're not going to roll the video. Okay, we already had the video.

Good.

We had it there.

We had it. Okay, so thank you for joining us today. And Danilo, you're senior VP of services, so could you share a little bit about what you're doing today at Kone and how you got started with Salesforce?

Thanks, Cindy. It's great to be here. Very, very proud to be standing in front of you representing tens of thousands of service technicians, sales professionals, engineers with Kone from throughout the world. You saw in the video, we are responsible for safely moving over a billion b, billion people every single day. Safely, comfortably. That's a thousand times that that is transported by Airbus and Boeing combined every single day. We've had a relationship with Salesforce for well over 10 years. So we started with the sales cloud. And just last year in the fourth quarter, we announced our relationship to partner on the service cloud as well as field service lightning.

Okay, so the video showed some great shots of some of your services team members. So can you share a little bit about what you're thinking about doing now and in the future with your services team?

So we look at buildings as living breathing organisms. And if you really think about it, you engage these elevators, escalators, they're like fingerprints. No two are the same. So when a technician engages, these are really, they're the neurosurgeons of a building. They come in, they are highly skilled they are highly trained individuals that require engage what, frankly, when you go about your lives. Elevators and escalators are some of the largest electromechanical devices that you experience on a daily basis. They're incredibly complex. So to be able to engage a device and to know how to get a technician, the right technician, to the right place at the right time is incredibly important. So with field service lightning, that is precisely how we're going to use dynamic scheduling, dynamic dispatching, engaging to make sure that our customer service team as well as a technician has a 360 degree view of the customers, the assets, the asset history and the current condition of the, of the system.

All right, so we also. I love his energy. Isn't it great early in the morning? So in your video you also talk about how you're leveraging IoT Einstein and the special relationship you also have with IBM and Watson. So could you share a little bit more about what you're doing with this technology?

So you opened up the energy. So you know, there's passion and Kone. We really care about the flow of people. We really understand that if there's somebody's grandmother here trying to get to the eighth floor to a doctor's visit, or if there's someone trying to get to the 28th floor floor in a city to a surgical suite, it is our responsibility to get them there on time and to evacuate these buildings. When you think about. So I'm going to try to engage the audience, think about your, your favorite five movies of the summer, all right? I guarantee you that one of them, if it was a romantic comedy or if it was an action movie, there was an elevator scene in it, Right?

You're absolutely right.

But driverless cars are getting all of the attention, they're getting all the love. And yet we were the first driverless cars that human beings actually trusted to engage in their lives. And now we take that responsibility incredibly seriously. So with all of the proliferation of sensor technology, mobile tech, big data, data analytics, what we're allowed to see, look, how would those scenes, a romantic scene in an elevator or that action scene, be interrupted by an unexpected breakdown that.

Would kill a movie?

We don't allow that to happen. By leveraging IBM, Watson, we will know the probability of an error happening prior to that ever manifesting itself in real life. So we engage together with field service lightning and Einstein, the right tech to the right place at the right time in advance of it being a bad time.

Okay, So I know you had a pretty lively morning this morning.

Yeah.

So maybe you could share a little story about who you met with this morning and the experience you had in one of the simulated elevators.

All right, so thank you. Had the opportunity to have a little mad money experience with Jim Cramer. So I hope you come on over to the campground and visit the Kone experience. And we're very proud. And Salesforce did a phenomenal job. Thank you for allowing us to share how this experience that you take on every day in life, to be thoughtful and how we want to make this something that's very important to you and meaningful. But what Jim honed in on is how we do move so many people every single day, safely, comfortably, reliably, that oftentimes it's taken from for granted and the precision to which we need to run our operation to the minute, to the second, and making sure that throughout our sales organization, our service operations organization is focused exactly as you said, on the customer, because we win by making sure our customer wins to make their buildings work better every single day, day in and day out.

Great.

This is a great story. Thank you.

Thank you very much.

Thank you very much.

Oops.

Thank you very much. Okay, so now I'd like to invite one of my team members to bring to life the story that he just shared. Thank you.

Good morning, everyone. Thank you very much. Cindy, I'm going to share with you a little bit about that Kone story. So as you just heard, Kone is a global manufacturer of elevators and escalators, and they've been in business for over 100 years. Now, Kone was voted last year as one of the most innovative companies in the world by Forbes. And what they're doing is they're connecting their elevators around the globe. And as Danilo just mentioned, those connected elevators can proactively trigger service alerts based on potential future product issues. So here you can see we've got one of those connected elevators, and it notices a potential door opening and closing issue. So it creates a service case. And now this gets triggered with the power of IBM Watson to service cloud. So Lisa here is our service agent, and she has service cloud. And what she has here is a list of all of the different cases that have been sent to Kone. But now she's focused on the cases that have been intelligently routed to her by Einstein. So she'll go down to her omnichannel and she'll turn on her availability. Now we can see that case pop up right there from that elevator. So let's click accept. Now we're brought to the case overview page where she has a 360 degree view of the case and of the customer so she can deliver faster, smarter and more personalized service. So you can see here on the top left she has case details, things like the asset involved, the priority, the channel from which it came. On the top right she has AI driven insights from Einstein, things like performance history and usage data over the last week. Below that she has milestones. Now we know this is really important for manufacturers who have warranties and entitlement agreements with their customers. We can see she's got about 8 minutes and 45 seconds to do that first response. So she get started and finally she's got intelligently surfaced knowledge articles from Einstein and these can help her better understand that case, better understand the asset involved and deliver smarter service. So Lisa's a service agent as I said and, and she's got a lot on her plate and gets a lot of cases sent to her. And so what she uses are macros. So we'll go to the bottom right and just with the click of a button she can turn this service case into a work order. So you can see it just takes a few seconds. And now that work order is populated in the middle of her chatter feed. So let's click in. So now we're brought to the work order page and Lisa's focus on how can we dispatch this as quickly as possible. So she'll go to candidates and we'll see a list of the candidates that Einstein has surfaced up that are right for this case. That could be based on their product availability in the back of their truck, their skill set and their schedule availability. So we can see Einstein surfaced up Alan Reed. So let's pick the soonest time and get him dispatched. And you can see in just a few minutes that proactively triggered service alert from a connected device has now been scheduled to a field technician. So now we've met Alan. Alan is one of Konig's top field technicians and he's got the field service Lightning mobile app. You can see he's got a list of his appointments for the day. It looks like he's just got that one. So why don't we click in. And now we're brought to the work order overview page where Alan has a full complete view of that work order so we can deliver faster, smarter and more personalized field service. So at the top he's got directions so he knows how to get to the job site. He's got contact information in case he's running a few minutes late and needs to call the customer, he's got a detailed asset service history, so he has context on the elevator being repaired, he has a chatter feed so he can collaborate with colleagues. And then he's got detailed work order line items so that when he gets on site he knows exactly the steps he needs to take to deliver that service. And finally he's got inventory so he knows what's in the back of his truck. So we can make sure he only has to visit the job site once and complete that service then. So Alan's driving to the job site, he arrives, the customer's name is Apex Towers and that building manager there is Jeff. So he arrives on site, he meets with Jeff, Jeff brings him to that elevator that triggered the alert and now he goes, fixes it. Remember he's got those work order line items so he knows what to do, delivers the service. Now the job is done and what he can do straight from his mobile app is go and generate a service report. This is automatically created and he can click sign and confirm and hand that over to Jeff, the building manager, where he can sign and the job's done. And now Jeff talks to Alan and Jeff actually mentions that one of their other elevators noticed a slight vibration. And Jeff's really focused on delivering an amazing smooth ride to his riders. And so he asks Alan, hey, would you mind following up with some information on some of your solutions, particularly your eco friendly Solutions, that Kone EcoSpace line. And this is great right now Alan has delivered amazing service, the customer's happy and now he gets to help generate a sales opportunity. So he can go in and straight from the mobile app can click Create Opportunity and that will get automatically routed to the sales rep on the account Sandra. So Sandra here is one of Kone's top sales rep and she covers that Apex Towers account and, and she lives in the sales cloud. You can see here her sales cloud console. On the bottom intelligently surfaced news articles based on her accounts and opportunities. On the top left you can see her performance for the quarter. Now she's a top performing sales rep. She's focused on closing her deals and exceeding her quota every single quarter. And on the top right she has AI driven insights from Einstein. So you can see Einstein's highlighted that Apex Towers account has high customer engagement. So Sandra wants to make sure she follows up quickly. So she'll click Go to Opportunity. And now we're brought to that opportunity page. Remember this is that same opportunity the field technician on site created from his mobile app. You can see it's now in the proposal and quote stage. But Einstein has indicated there's a really high likelihood of this opportunity closing. And you can see below that that Einstein surfaced up Jeff, that building manager we met earlier as a highly engaged customer. So she'll click, send email and this will automatically send Jeff a proposal. Well, it turns out Jeff was interested. He gets that proposal, signs it and sends it back. And now Sandra gets to do her favorite thing in the world, move the deal to close one. And so what you can see here is how Kone has united its service and field service teams to collaborate together and deliver faster, smarter and more personalized service. But we've also seen is how they can help their sales and service teams to collaborate on a single unified view of the customer to deliver better customer outcomes and better results for the business. Thank you very much. Cindy, back to you. Oh shoot.

Here we go.

Thank you. Peter. Hi, good morning. My name is Achit Jaju. I am on Cindy's team. I manage our manufacturing industries team. It's great demo, great conversation. How about that? So let's just unpack what we saw, right? What we saw was a service event at Kone converting into a sales opportunity for Kone. And as this is going on, we're continuing to build on that customer view, the 360 degree customer view, this 360 degree customer that Danilo talked about, right? That's what the Salesforce platform is all about. Developing that 360 view of the customer and then adding layers of engagement on top of that, whether you're engaging with the customers from a mobile perspective or from a desktop perspective. And now what we have done is added IoT and Einstein to deliver that engagement in an intelligent way. So what we have done is in the manufacturing industry, talked to a lot of you guys and said, what are these solutions that we can bring to market which touch upon your front office and back office processes and deliver a customer centric transformation for your business, Whether it's connecting your sales organization, your service organization, your partners, your products or your operations. So over the next 30 minutes, what I'm going to do is unpack each of these solutions. We'll throw in a few customer interviews, a couple of demos and just have fun with this. As we just heard from Danilo, service is a key area of focus for manufacturers. Not only at Kone, but when I go and talk to hundreds of new customers, this is what I keep hearing. Service service is where you're going to differentiate and manufacturers are becoming service providers. One of the CEOs I was in a meeting said, hey, I'm not a manufacturer, I'm actually a service provider. Why are you here? I was like, oh my God, 10 minutes. I have to actually get out of this meeting and maybe try go meet someone else. But as we went through this conversation, it was very clear what she meant was they're pivoting from that product centric to a service centric to a customer centric transformation. And that's the conversation she wanted to have. We surveyed thousands of manufacturing customers, 67% of you, 2/3 of you came back and said services where you're going to make tremendous amount of investments. We heard you loud and clear. So that's where we have invested significant amount of our R and D budget in our connected service solution so that you can deliver that faster personalized service. At every touch point you saw in the demo that Peter did, It's about the 360 view of the customer, that install base at the customer, the warranty, the entitlements that the customer has. We have enhanced all of that with macros, live messaging snap in tremendous amount of innovations in the last 12 to 18 months which help you provide that Omni Channel no touch experience. Secondly, you heard from Danilo and this is the exciting development. We heard from you manufacturers. You send a lot of mobile technicians in the field to go fix problems. Field service lightning is an amazing innovation that we've delivered over the last 18 months. Not only when we announced this last year, we had just gotten started. Now we have enhanced this with dispatching, scheduling, work order management, preventive maintenance, the whole shebang so that you can run your field operations efficiently, effectively and productively. And on top of that, we are adding intelligence to this platform, whether it's chatbots, vision, Einstein is embedded throughout the service process. And this is important. The reason this is important is as we heard, you are all connecting your products. You will have streams of data coming in and the expectations of your customers would be to know their problems before they occur. As Danilo talked about this.

Right.

Kone is in the business of predicting, not fixing after something happens. And this is the expectation that you have to get prepared for. So this is where we think our connected products solution comes in. This solution allows you to take those product insights that you're gathering, all of that information about the connected product that you're gathering, connecting it through IoT back into, connecting it back to your customers experiences, delivering those customer experiences, whether it is service engaging from a service perspective, creating opportunities for your sales organization so that they can go upsell maintenance contracts or parts or products.

Right.

Or in many cases, one of the things we hear from manufacturers is you want to open up software type businesses, services type businesses, so that you, how can you take all of this data and drive a new business model, a new revenue model around data driven services. So that's what the connected product solution helps you do, bring all of this together to drive that new business model. So one of our customers has been at this for quite some time. What I'd like to do now is invite Mark Dunson, who's the president of Emerson Electronics and Solutions, to come in and talk about their IoT journey. Mark, thank you. Good morning. How are you?

Very good, thank you.

So, Mark, you and I, we have had this discussion over a few years, this customer centric manufacturer pivoting towards customer centricity. And you are pretty passionate about this. Just share some of your thoughts on what does it mean to you and mrc.

Sure.

So just to give you a little context from the part of Emerson that we come from, we're involved with all types of technologies and solutions based around air conditioning and refrigeration. We serve residential homes, you saw our thermostat on the last chart there, commercial buildings, as well as what we call the cold chain or the cold supply chain, which you can see on the chart there. We help people to optimize their business along that maybe a statistic you don't know is that there's close to a trillion dollars of food that is wasted every year in the cold supply chain. And the cold supply chain is basically every step that a product takes as it moves from the farm all the way to your table. Storage, transportation, processing, all those types of things. And so as a manufacturer, historically when we want to engage with customers, we would be focused on things like lead time and delivery and product performance. But now we realize that our customers become more engaged with us, actually, as they start thinking about what they're going to buy and then at the point of purchase and then as they interact with our products and request service afterwards. And so sort of the first level of customer centricity for us is, you know, how do we get that broader, as Cindy talked about 360 degree view of the customer.

Great. Now that, that's awesome. So obviously you're moving a lot of food, you're helping with kind of keeping everything fresh. How does Iot in your world play an important role?

Well, I'd say to start off one thing, if you think about IoT as a solution, a lot of people get tied up in the data and the connectivity. But ultimately, IoT has no value unless you're solving a problem for a customer using that data. So, so inherently, as you think about solving that problem, it requires you to have a much deeper discussion with and engagement with the customer. Not only the salespeople, but maybe the service technician, as we saw in the Kony example. If you think about our business, one of our businesses is actually tracking refrigerated products as it moves through the cold chain. So we have a cellular based device which you can put into shipment and you can track the temperature and location as it ships across the country. In that, we use the Salesforce cloud to help us with that. So as those devices create alerts, they create service cases which then go on to serve customers using IoT.

That's great. So that was my kind of next tee up, I guess. Easy one for you. What is Salesforce doing for you in this kind of like this business model transformation?

I would say Salesforce does a few things for us. One, it creates a backbone to sort of drive that 360 degree experience. Obviously the business processes are ours and the way we engage with customers are ours, but that backbone guides us through and helps us to scale that. Secondly, I think Salesforce, because of your experience, is helping us to employ best practices as we go through that from multiple industries. And then thirdly, I would say it creates a customer centric view of the IoT world. So as device makers, we always think about the device or the asset as being the center of the universe. In fact, having the customer as the center of the universe creates a much richer value proposition around that.

Great, great. So as you being you've gone through this and most of the people here in the audience have a project or something along iot. Right. So any words of wisdom around lessons learned, what worked, what did not, what surprised you, I guess as you went.

One thing I would say is that it's forced us as a manufacturing company to become kind of a software company. And I would say one of the lessons learned is as people who approach things from a technology perspective is we always want to solve the problem first versus saying what is the customer's issue to be solved? We want to bring the technology first versus thinking about the customer's problem Second thing I would say is that every value based deployment of IoT to truly drive value requires a behavior change on behalf of the person who's adopting it at the customer side. And many times it displaces their normal way of doing things or thinking about things, which is, is Kind of how they think about their work life every day. So you have to be focused on change management as well as your Customer deploys an IoT solution to realize that it's going to change how they think about things, how they do things. And you won't achieve the value nor the customer success without that happening.

Wow.

So you talked about this becoming a software type of a business. Right. You know, manufacturers, we make things, we always want to do things to get ourselves right. How do you manage this fluency of like being developing everything on your own, but then also leveraging partners like Salesforce? What is the lessons there?

Sure, I would say that we've been at this for probably 15 years and doing it before IoT was IoT. And if we kind of retrospectively look at how we spend our time or how we spend our resources, a big part of that maybe 80% was around developing infrastructure and the plumbing behind these types of solutions. And we don't get paid anything for that. And so if you think about where we're going to bring value, it's getting our domain based experts really focused at the top of the stack to bring the value out of the situation. I think it also focuses us, you know, as technology manufacturers, we always want to, you know, we love to create ip, we love to own ip.

Right.

We think of, you know, we need to develop everything ourselves. And we're seeing in this sort of connected world that ecosystems both internally with us and our vendors and externally with other people and our customers becomes more and more of a mindset. We got to think about. It's hard for us. We got to sort of release that a little bit and trust other people to be a part of our solution. But it's important as we go forward.

Great. Thank you so much, Mark. Thanks for the time today. Thank you. What an amazing story. What an amazing story. I think there are a few things that Mark talked about and one of the most important things is this transition to becoming a customer centric and a software centric business, services centric business. And I think this is a huge change in our industry. This means our salespeople are talking about outcomes. They're talking about their customer relationships, lifetime relationships, not just that, selling that product the first time and moving on. This is where our connected sales solution comes in. Right. This is where we talk about how do you create this lifetime relationships with your customers. Take all of this information that you have collected about the customer, understand their value proposition, give that information to the sales rep, the account executive who's on the field Powered by the rest of the organization. Your engineering, your software business, your operations, all of these people providing that collaboration capability, using sales cloud so that they can be effective in front of the customer. It's also not about just responding to RFPs and just sending products and shipping products. It's about products, services and solutions. How do we package all of this stuff together so that we can drive in better value, proposition our customers and drive our own profitability. So Salesforce CPQ allows you to digitize that whole solution selling process. And finally our buyers have changed. Our buyers are not the same old anymore where you look up the diary, call them and say hey, when are you going to place the next order? It's about influencing your buyers because they are upfront on the websites learning and understanding your products and your solutions. So how do we make sure our value propositions are in front of these buyers? We are shaping their thinking around our capabilities using digital marketing capabilities. B2B digital marketing is an important area where we need to start focusing our efforts so that we can drive a better engagement model. So you must be saying okay achut, this is great. Salespeople, I sell 50 to 60% of my business through a sales organization, but I have this vast ecosystem of dealers and distributors who sell up to 40 to 50% of kind of my or sell and service my business. Right? What about them? So this is where connected partners comes in, wherein we have taken Salesforce capabilities and extended that amount for your partner ecosystem for your dealers, distributors and resellers. So that same CRM capability that you have now available for your sales and service professionals is available for your partners. What does that help you do? Now you have this extended ecosystem which is selling on your behalf, which is servicing on your behalf and they are much more knowledgeable. They're knowledgeable, they're more responsive and they're meeting customers expectations. This is a key aspect of our business and partner solution, our community builder lightning bolt. These solutions allow you to build this highly engaging partner oriented solutions for your distributors so that they can drive better customer intimacy, better customer value propositions and drive better customer experiences. So one of our customers, most of you use their products, goes to market through a vast ecosystem of dealers and distributors and retailers. How many of most of you use Michelin tires? Right? So this is where I would like to invite Eric Chenault, the chief digital officer of Michelin because they have an amazing story around how they have transformed their business around the customers and the partners. Good morning Eric.

Thank you Ashwath, how are you?

So before we start. So how many of you are using machine tires? Please raise your hands, everyone.

Come on, guys.

There is not enough people. So I'm sorry.

Great. Eric, I remember this vividly. Three years ago, you and I, we met at Dreamforce like this and you had just taken on the role of chief digital officer at Michelin and you had this amazing vision of how you want to transform digitally Michelin's business. Can you share some of that with us?

Sure. So the purpose of Michelin, you know, from the foundation of Michelin is what we call, you know, a better way forward, in a durable way, in a sustainable way. And the goal behind that is that our obsession is to enable people and goods to be able to move to discover the world. And the vision of the machine brothers were that if we were able to do that, then humanity will get better. Then a few years ago, our CEO and our executive teams, they took a look at all the mobility services and guess what? On most of the mobility, not to say all of them, there is a very strong digital component. So they said, you know what, if we want to continue to be one of the leader of the mobility, then we need to be one of the leader of the digital mobility. That's where everything started from that and then from there, just to give you an example. So we had some objective at the highest level in the company. So in the next four years, we want to grow our business, core business by 2, 20% the tire. But then we want to double our services business so from 1 billion to 2 billion and triple our revenue around everything around food, the Michelin guidance, stuff like that. So do have two strategies to get there. So one is the transformation and the second one is the customer centricity and on the digital transformation. So when we talk about that at very high level, we really have to three objectives. So number one, we believe that digital is an unprecedented opportunity for us to be able to address and to personalize services to the 7 billion people living on Earth. Number two, based on this intimacy, then we should be able to create exactly the services that they are looking for. And number three, in order to do that, then we expect our employees to be able to have great digital services. And that's what we call the consideration symmetry. So if we want our employees to give to our customers great digital services, then they need to have great digital services.

Great. So I don't know how many people in the audience know you have like two customers in a way, right? One is like, obviously consumers like us, but then you have dealers, as I was Talking about earlier. And you also have fleet customers, right? So as you're going through this customer centric transformation, talk to us about this kind of multiple constituencies that you have to manage through the transformation process.

Okay. So when we take a look at the digital transformation, first there is five domains. So one is what we call the digital customer. That's easy. Second one is digital employees consideration symmetry. Third one is digital processes and in particular digital manufacturing. And then we have two platforms. One on connected, the tires are connected, the vehicles are connected, and the last one is on data and analytics. And so now when we take a look at digital customers specifically. So think about that. So Michelin, you know, we're selling to the U.S. army. You know, the tires on the shutter are coming from Michelin. We have. We have direct relationship with fleets, we have direct relationship with restaurants. So we have bunch, you know, of customers, you know, that we are to serve. That we have to serve. One of the solution that we selected was community from Salesforce because that was a way for us, you know, not only to give to our salespeople, our marketing people or services people the information they are looking for, but also, you know, at the same time to be able to address our dealers or fleets, you know, the fleets, you know, of trucks, the fleets of mining equipment. So that's what we were doing.

Great. And I picked up this slide here because this really represents a lot of.

She's in the room. Why is Sophie. Sophie, stand up, please. She's very tall, much taller than me. So if you have questions on the implementation, Sophie. She's right there.

Great. So you've done a lot with Salesforce. Can you just like talk about how Salesforce is kind of connecting all of these different pieces in Michelin?

So when we talk about the digital customers and that was a big transformation for. For us. We said, you know what, we have to put the customer at the center of everything that we do. And that's where Salesforce started to play a role for us. We said, you know what if we put the CRM at the center of the ecosystem that we want to put on customers, then that's going to transform machine. We're going to be much closer, you know, to our customers. So at this stage, so we deployed sales automations, marketing automations, service automation community. And then now we start to do some pilots, you know, using artificial intelligence and we start to do some pilots using IoT. But. And we are also deploying a DMP, you know, the crook. So we deployed a full suite of solution and the thing that was very important for us with Salesforce. We believed that they could bring three things to us. So number one, they are obsessed by customers and they forced us to be obsessed by customers. So that was very interesting to us. The number two was innovations. You know, for the first time ever, we're able to release a major, you know, program in six months. And we never, ever have been able to do that before at Mission and we continue to innovate. The last part was the community. So everybody in the room, we could talk to existing customers. But also, you know, the epic change, you know, in the past when we were like to have a new feature, then guess what, we'll recreate everything. Now we create the habit that when we want to have something, you will take a look at the App Exchange and then we try to reuse, you know, some of the bricks that is available on the App Exchange. Wow.

Wow. So you've really, like, made Salesforce as the center of your customer centric digital transformation. One last question. You talked about AI and just kind of in a few minute sentences, how does AI now play a role? You said, tires are connected. What are you doing?

So there's a statistic that I love and I'm coming from tech companies, so by 2050, the computers will have 50 times more computing power and intelligence than all the humans on the face of earth. So when you think about that, and that's what we say internally, and that's what our CEO says, that means we have to become technology company. We have to embrace artificial intelligence. And there are some people who are scared by that. But what we say internally, we believe that artificial intelligence is going to augment our intelligence. It's going to augment the intelligence of the humans, that they are not completely going to replace humans. So anyway, so I really encourage you to take a look at that. Don't fight that. You know, join the artificial intelligence bandwagon. And the second thing too is that we should not reinvent the wheel. The company like Salesforce, IBM, I can say Google here, Google, they are all investing heavily on artificial intelligence. And I think you need to be the best in your industry to be able to leverage the investment that they are making, you know, for your specific needs.

Great. Thank you so much, Eric. Thank you. So, amazing story. Amazing story of transformation. Three years ago, as I said, Eric just had started, and now after three years, we see this, like how Salesforce is driving the transformation. So what we thought was we take some of the ideas that Eric talked about and show an art of the possible at Michelin what is possible now with Einstein and artificial intelligence. So what I'm going to do is invite Lance Fedig on my team to come in and show this capabilities come to life at Michelin.

Good morning everyone. Let me set the stage for the demonstration for you. We're going to show you a visionary art of the possible demonstration on how Michelin can continue to partner with Salesforce to deliver a personalized and intelligent customer experience. There are three Personas in the demonstration. We're going to tell you a story about a customer, a key account manager and a dealer. Let's get started. So the first Persona is the customer. The customer is a fleet manager whose role is to maintain all the vehicles and in the fleet. In his territory there are 770 vehicles in his fleet. So he has a tall order to achieve. Thanks to Michelin's new communities based digital portal, the customer has all the information that he needs to maintain his fleet right at his fingertips. He can see his cases, he can see orders, he can locate dealers, he can get product information. And with a click of a button he can drill into a dashboard where Michelin is providing KPIs and monitoring data coming in from on and off road vehicles that are being monitored in the fleet. Imagine if Michelin could take this usage data coming in from its fleet and combine it with other data such as weather data to make product recommendations to the customer. In this instance you see that Michelin is making a recommendation based on weather data coming in from Watson's weather alerts combined with other data in Einstein to recommend products to help the customer maintain his uptime and increase productivity. Going into the fall season. The customer agrees to that he should investigate further and with a click of a button he can request a quote from the key account manager. Now let's take a look at the day in the life of the key account manager. The key account manager is tasked with making sure that the customer is satisfied with his or her experience with Michelin. When she logs into Salesforce, she immediately is presented with all the information that she needs to manage her business. She can see performance metrics, she can see the latest news. In this case it's a Twitter feed about information around Michelin or its customers. And again, Einstein is working hard behind the scenes to provide insights into the opportunities that she needs to focus on. The request from the customer comes into Salesforce with a high sense of urgency. And with a click of a button the key account manager can drill into that opportunity. And it can immediately see that Einstein has pre populated all the information that she needs to be aware of in order to close this deal quickly, including creating a quote. When she opens a quote, she can see the products that were recommended to the customer in the community. She can also see that Einstein's recommend dealers capability is already working to identify the right dealers to fulfill the orders for the customer with a click of a button. Imagine if Michelin could use product information or product inventory, technician skills, calendar availability, geolocation and other data points to find the right dealers to fulfill this order and automate that process. With a click of a button, the key account manager can choose or narrow down the list of dealers for the customer and then with a second click of the button, she can share out the proposal to the customer for his review and approval. So let's take a look at the experience of the customer on a mobile device. Customer's on his iPad. He gets an alert that the quote is ready for his review. When he opens the document, he's greeted with a highly personalized and intelligent experience right on his iPad. This isn't a PDF attachment that's been attached to an email that can get lost in the reply all back and forth of a deal negotiation. This is a connected document that's connected back to Salesforce so that any updates that are made in the quote are reflected immediately in real time right into the document so that the key account manager and the customer can collaborate and get through the deal negotiation quickly based on relevant real time data. The customer can see the products, he can see the quote line items, he can see the recommended dealers, and he can also see an action list of all the things that need to get done before they can finalize the quote and move on to scheduling an installation. The customer reviews the quote, agrees to and approves the document, and now he's ready to go on about his day. Now let's take a look. You might be actually. So I mentioned dealers when I was setting the stage. Where are the dealers in all of this? Michelin makes it fast and easy to schedule an appointment for a customer with a dealer using intelligent chatbots. Customer's on his mobile phone, he gets an alert that there that it's time to schedule an installation. When he opens the alert, he's greeted with an intelligent conversation driven by Einstein artificial intelligence that's telling him the actions that he needs to take to schedule the installation. He can see the product or products that he wants to choose for the installation. He can see the best calendar availability from both his calendar and the dealer's calendar. And with Just a few clicks, he can move through and schedule the installation and go on about his day. So let's summarize what we've seen here today. We've seen how Michelin has partnered or could partner with Salesforce to continue to deliver a personalized and intelligent customer experience using a digital portal that provides all the information that the customer needs to maintain his fleet right at his fingertips. We've seen how Michelin could use Einstein and Watson's artificial intelligence to make product recommendations. We've seen how Einstein is at work behind the scenes to make a key account manager's day more productive and more efficient. And we've seen how Michelin could automate the scheduling of appointment for an installation much faster and much easier. Using intelligent chatbots, Michelin is positioned to continue to innovate and drive towards providing that ever better personalized and intelligent customer experience. Thank you everyone. Chu, back to you.

So we just saw, right, what is possible when we start layering intelligence in every bit of these interactions, right? So we just saw how you can connect your sales service partners and also your products and drive that intelligent customer engagement. You must be wondering, hey Achit, this is all great, but I have significant amount of this data that sits in my ERP and legacy systems. What about that? What do we do with that? Right? This is where our connected operations solution comes in. You can take the same platform, the Salesforce platform, mobile first, collaboration oriented platform, and deploy it on top of your back office data. Make that actionable, make it easy to use for your sales service and other employees. Second, you have this opportunity to really take advantage of our app exchange providers. Believe it or not, there are ERP vendors, so back office vendors who've written ERP capabilities, order management, order to cache capabilities on our software on our platform providers like Kanandi and Rootstock. There are PLM providers like Propel who have written specific capabilities on our platform for product lifecycle management. So you can really take advantage of this platform and extend it out into other areas of your operations. And that's the value proposition of this platform, which is we can take it now from all the way front office to the back office and really help you drive that customer centric transformation. So let's just summarize, right? What we heard today was Cindy setting up a stage for the need for transformation. That customer centric transformation and our business, it was further substantiated by Kone, Emerson and Michelin, right? The transformations that they are taking in their businesses and how they're going about it. Your business is unique. You have your own challenges, you have your own roadmaps. But one thing is clear as you're going through this, as you're thinking about customer centric digital transformation, no matter where that transformation starts, whether you want to connect your sales teams or your service teams or your dealer network, or maybe start at the products, one thing we want to offer is there's a platform that should be there with you as you go through these conversations. Salesforce is that platform that can enable any type of transformation around customer and customer centricity. So we heard a lot today, right? A lot. And this is just the beginning of your dream force around manufacturing. Your journey just starts here. We have made it so much more exciting the next four days that for every one of these solutions and much more, we have sessions. And every one of these sessions will have a customer or two talk about their transformation around sales, service, products, IoT and others. There will be demonstration of our capabilities so that you can learn, you can learn from each other. You can learn from the customer's use cases and also take them back, right? This is all about you. The second is what we just saw from Mike, Peter and Lance from a demonstration perspective is just the tip of the iceberg. We just showed you what is possible. Please visit Kone's customer success showcase because there we bring all of this to life. There are experts, solution experts, salesforce experts who are all out there who can take a deeper dive into each of these solutions, help you understand what we deliver. They will bring this to life for you. Third is we want your feedback, positive feedback, so that we can continue to make sure we deliver on your expectations around the keynote, the manufacturing sessions that we have because we want to drive this in a way where this is more and more relevant and important to you as you spend time here at Dreamforce. So finally, how do you get all of this right? We live in a digital world. I'm sure you want to get all this trail map right. We've made it easy. Get a text mfg to 38767 and we'll deliver on your mobile device, the trail, all of the sessions and other things that I just talked about so that you can attend these. And while you're taking these pictures and I have it there for 30 seconds, make sure you take a picture of me also. I'm just kidding. So that's the program, but we don't end there. There's a surprise in store for all of you guys. So anyone who's trying to get up and leave, I just say, hold off. Thanks to our customer, EMERSON, There are 30 of you who are lucky today. You're lucky because under your seats, if you're lucky, there is a certificate that you can take home. And Emerson will deliver this sensitouch wi fi thermostat to your home. And this is the surprise, right? So if you, by the way, Salesforce employees, you are not eligible for this. So if you are taking this, you need to find a customer who's sitting next to you and give it to them. This is all about our customers, right? And the point of this is, as you blaze new trails, when you go back home and install that thermostat, you can be that cool trailblazer at home, at work and take this. Great learning from Salesforce back home. Thank you so much. Have a great time at Dreamforce. Thank you.