Salesforce's AI Pivot: Embracing the Innovator's Dilemma

Discover how Salesforce is tackling the innovator's dilemma by pivoting towards AI agents, inspired by Zen-Buddhist 'shoshin'. Learn about the challenges and opportunities for SaaS companies in the AI era.

Salesforce's AI Pivot: Embracing the Innovator's Dilemma
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Oct 21, 2024 05:34 PM
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Oct 21, 2024
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The Innovator's Dilemma in SaaS

The biggest SaaS companies of our era are facing the innovators dilemma in real-time. And Marc Benioff is turning to the Zen-Buddist idea of "shoshin" for answers.
 

The Challenge of New Technologies

If Gen AI, ChatGPT, etc. didn't come along, Salesforce could have happily cruised into another decade of slow, but positive growth. But now they face the inevitable dilemma that new technologies bring.
 
  1. They have to adapt.
  1. Accept a level of cannibalisation of their existing business.
  1. Try to build new exciting products (very very hard for an old, big, technology company).
 

Salesforce's AI Pivot

Albeit a little late, Marc Benioff said the company is making a "hard pivot" towards AI agents. They want to make it so that anyone in a company can build and train an AI agent to do some parts of their job.
 

Embracing 'Shoshin'

Credit where credit is due. Benioff is a believer in the "shoshin", which translates to "beginner’s mind". That you always need to be ready to rip up the old and replace it with the new. That, if needed, you can act like your company is back at "Day 1" — the famous principle Jeff Bezos is well-known for advocating.
 

The Future of Business Models

Imagine how many companies are going to get left behind in the next 5-10 years, as they cling to their old business models. Who isn't going to make it?
 
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Written by

Alex Rainey
Alex Rainey

Alex is an experienced CTO and founder who largely focuses on all the technical areas of My AskAI, from AI Engineering, Technical Product Management and overall Platform Development.