The Advisors' Blog

I recently noted that only a small group of companies has introduced explicit AI metrics into their incentive plans, and even those have typically weighted these metrics modestly. On the other hand, some select companies are going all in. Salesforce is one such example, and I wanted to share some of its proxy disclosures on AI metrics here, even though I risk stealing this proxy disclosure highlight from Mark and not doing it justice.*

Anyway, here are some snippets of sections of Salesforce’s latest proxy statement that got my attention:

From “Financial Highlights”: In Q4 of fiscal 2026, we introduced Agentic Work Units (“AWUs”) to measure tasks accomplished by an artificial intelligence (“AI”) agent, with 2.4 billion AWUs delivered to date across Agentforce and Slack.

From the Compensation Committee Letter: Previously, the performance-based option tranche was tied 100% to Agentforce & Data 360 ARR. For fiscal 2027, we are splitting that measure equally between Agentic Work Units (AWUs) and Agentforce & Data 360 ARR. This change reflects the evolution of our product strategy: AWUs are a direct measure of agentic activity and customer engagement, not just contracted revenue, and we believe they are among the most important leading indicators of where Salesforce is headed. Cash compensation and the PRSU structure — including the Rule of and rTSR split — remain unchanged.

From the CD&A “Summary Information on Fiscal 2027 NEO Compensation Decisions”: For fiscal 2027, we refined our performance option program to better align executive incentives with our long-term transformation and focus on accelerating Agentforce adoption. To prioritize the scaling of Agentforce, we introduced Agentic Work Units (AWUs) as a new performance metric. AWUs and Agentforce & Data 360 ARR will be equally weighted, with payouts based on fiscal 2027 achievement. Any earned options will remain subject to a four-year vesting schedule to ensure continued long-term alignment.

– Agentic Work Units: Measures discrete tasks executed by AI agents in production across the Salesforce platform, including Agentforce and Slack.

– Agentforce & Data 360 ARR: Measures annual recurring revenue through our Agentforce and Data 360 platform.

In addition, the performance options continue to have a direct tie-in to building stockholder value, as executives only realize value if our stock price increases above the stock price at the time the performance options are granted.

*Compensia’s Mark Borges has been blogging up a storm on his Proxy Disclosure Blog for members of CompensationStandards.com. He provides new, interesting or best-in-class examples of executive- or director-compensation-related proxy disclosures. Give it a follow!

– Meredith Ervine