Salesforce's Downsizing Plans Hit Its Tableau Division Most - Salesforce (NYSE:CRM)

Salesforce, Inc's CRM Tableau unit was hit harder than other units in the company's largest-ever round of jobs cuts this week, signaling the futility of the $15.7 billion acquisition.
Salesforce fired Tableau CEO Mark Nelson and more senior staff in December as part of its downsizing plans, Bloomberg reports.
Job reductions at Tableau were more significant, proportionally than the company at large thus far.
After a half-decade of fast hiring and significant acquisitions, Salesforce aimed to slash costs and integrate the acquired companies better.
The 8,000 job cuts were less than half the number of employees hired during the pandemic. They followed the exit of co-CEO Bret Taylor and the elimination of hundreds of sales positions in November.
Acquisitions had fueled the company's headcount growth.
The Tableau deal in 2019 came with 4,200 employees, while Slack, purchased in 2021, and Mulesoft, acquired in 2018, added another 3,700.
The three transactions combined cost almost $50 billion, with the estimated $27.7 billion for Slack leading the way, Bloomberg noted.
The Tableau unit has trailed the rest of the company in sales growth since the acquisition.
Salesforce also plans to pare back its office footprint. It currently has four offices in the Seattle area, more than any other city.
Salesforce restructured Tableau and the other major acquired units.
In December, three top Slack executives, including co-founder and CEO Stewart Butterfield, left, and Salesforce executive Lidiane Jones now leads the division.
Most of the executives listed on Tableau's leadership site when Salesforce shared plans to acquire it have since left the company.
Price Action: CRM shares traded lower by 0.98% at $135.01 premarket on the last check Friday.

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