Marc Benioff, Deputy CEO of Salesforce.com Inc., between panel sessions on the second day of the World Economic Forum in Davos, Switzerland, May 24, 2022.
Jason Alden | Bloomberg | Getty’s paintings
Mark Benioff, Sales force co-founder and shortly to be sole CEO, indicated at an all-hands meeting on Thursday that further cuts could possibly be made, in accordance with those with knowledge of the matter.
The virtual meeting took place a day after Salesforce announced that it was cutting 10% of jobs, or more than 7,000 positions. One hour later, Amazon it said it will cut 18,000 jobs. Tech firms are cutting staff for the primary time in years as they face slowing growth, rising rates of interest and a potential recession.
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Benioff expressed concerns concerning the productivity of parts of the sales organization. Based on two individuals who attended the video, about half of Salesforce account managers accomplished more than 95% of the transactions, he told employees. One other person said the meeting was scheduled for an hour but lasted more than two hours.
One attendee told CNBC that Benioff said the shortage of productivity was mainly because of latest account directors.
Fortune previously informed concerning the meeting.
In the course of the pandemic and within the years leading as much as it, Salesforce grew rapidly because the cloud grew in popularity. The corporate fueled its growth partly through major acquisitions corresponding to Slack and Tableau.
Now Salesforce is curbing as revenue growth slows and has to do with an energetic investor concerned about operating leverage. In November, co-CEO Bret Taylor, who was seen as Benioff’s heir, announced his surprise departure after a 12 months of sharing the highest job. He’s because of leave at the top of January.
Last month, Benioff sent a Slack message to all employees asking for tactics to make latest hires more productive. During Thursday’s meeting, Benioff expressed frustration with the media coverage that has surfaced over his comments.
“One in all our core values is trust,” said Benioff, in accordance with one attendee.
The person said Benioff took an extended time to reply the query of what the longer term of Salesforce was.
Salesforce didn’t immediately reply to a request for comment.
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