• Alex Feng

Salesforce Slack Acquisition Will Emphasize ChatOps, Agility

Salesforce.com (NYSE: COM) recently announced its biggest buyout in the history of the company. The CRM powerhouse acquired an annual revenue of $17.1 billion in the fiscal year of 2020. The sales boom in 2020 is a record higher than the 2019 fiscal year, and it's continually surpassing its competitors. The Salesforce Slack acquisition is a major event in the world of remote work.


The move to purchase Slack Technologies, Inc for a $27.7 billion deal aims to aid in further digital transformation. Ultimately, Slack will no longer work independently as a public company.


During the coronavirus pandemic, business demand for tools and software to enable seamless remote working has risen considerably. The merger of these two companies will focus on offering a better integration of digital applications and software.


Marc Benioff, the CEO, and co-founder of Salesforce, commented that purchasing the leading innovative company in the communications industry, will bring tremendous transformation in all-digital platforms. According to his statement, that match is made in heaven, and the expected results will lead to business agility.



Salesforce Acquiring Slack Enables a Seamless Workflow


Slack connects people, tools, and data, in a way that allows customers, vendors, and employees to communicate and work from anywhere. Salesforce’s core capability is that it enables businesses to sell, market, or do business at scale.


Their synergies will create a new interface where revenue generating information and activities are easily shared or executed. Stakeholders in a company can easily collaborate and communicate via company apps and systems. The integration improves productivity, faster decision making, and the creation of a customer-centric environment.


Slack's CEO and co-founder, Stewart Butterfield, believes that the merger is the most strategic in the software's history. He is eagerly waiting for the closing of the transaction, which might occur in 2022 at the end of the second quarter of Salesforce's fiscal year. But the acquisition is awaiting the approval of Slack's shareholders.



This Merger Enables Business Agility


The internal and external business environment is unpredictable. Business preparedness is intrinsic to cushion the enterprise against external and internal uncertainties. A business will be agile by having the capability to:


  • Be proactive to changes in the internal and external environment.

  • Respond to customers' needs.

  • Bring about organizational change in a diligent way.

  • Create a competitive advantage.


Salesforce intends to integrate Slack on its cloud systems, allowing employees to communicate more efficiently and adapt to changes quickly. Customer information will be shared across the platforms, enabling the organization to make faster decisions. The business will primarily focus on satisfying customers by creating positive customer experiences.


The combination will additionally create organization alignment by minimizing business complexity and enhancing flexibility. Businesses will be able to access trajectory data about the customers' patterns and behavior. Consequently, it is possible to analyze the productivity of the business and respond in an agile manner.



Salesforce Will Take Advantage of ChatOps


What is ChatOps?


ChatOps is a communication model that applies learning from fields like DevOps or DevSecOps toward tools and systems that enable more seamless communication. Slack, as a chat tool, comments that teams that adopt ChatOps increase team transparency by 80% and productivity by 32%.


ChatOps focuses on moving business conversations from meetings and emails to chat tools such as Slack. This innovative model enables the analysis of business metrics through chat tools. Stakeholders in an organization can track how business tasks are done by reviewing the person who took specific business activities and their results.


The Benefits of ChatOps


Better collaboration between business stakeholders.

Synchronous communication.

Reduction of business meetings and emails.

Stakeholders can respond to actions faster.


ChatOps enables an organization to get actions done in a more human-oriented manner. The technology will enable stakeholders to work collaboratively to enhance the enterprise's productivity position and adopt customer-centric strategies.



The Two Companies Will Target Workflows & Apps


Many businesses still lag in their attempts toward digital transformation. During the pandemic, most and more enterprises are noting the importance of remote work. Building a collaborative working environment and connecting people and data via apps, software, and devices is paramount.


Slack contains an open platform that enables a perfect integration with over 2,400 apps. Through the apps, businesses can communicate and work profitably. Slack working with Salesforce will deliver an intelligent ecosystem. App and software developers will create apps by simply using clicks.



Salesforce Will Acquire a Competitive Advantage


The acquisition is a bold move for Salesforce and is intended to give the company a competitive advantage over its competitors. Competing ChatOps platforms like Microsoft Teams are likely to be looking for ways to stay ahead of the curve.


The merger suggests a number of advantages that go beyond better customer management. The collaboration will offer numerous benefits to marketers, developers, employees, and all organization stakeholders. It remains to be seen how, exactly, Salesforce will leverage this buyout, but the possibilities are substantial.


For Slack, this acquisition was a no-brainer. The company has reported a revenue reduction in the latest quarter from 38% to 25%. Slack has not been immune to the competition from Microsoft Teams, and since transitioning to a public company, its value depreciated. The acquisition synergies will benefit Slack and restore its premium value.



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At Magnataur, we have experts who can help your business adopt and integrate the latest in cloud and ChatOps technologies. If you’re looking to boost your cyber hygiene, your DevOps capability, or any other element of digital transformation, we are here to help in the seamless integration. Contact us, and let's help you obtain a competitive advantage in the unpredictable and dynamic market.

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