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January 28, 2014 By Siobhan

Innovating to Stay Ahead

Research has indicated that potentially six in every seven new product ideas will fail. To innovate successfully companies need a strong ideation process in place. Without ideas you will have nothing new to sell – but too many ideas will lead to a lack of focus.

Ideas don’t always have to be ground-breaking. A winning idea could simply be a new twist on what you do already – it could be a better way of addressing an existing problem; a new approach which will encourage new business or a feature that ensures that your current users remain loyal.

There are many reasons that new product ideas will fail – the timing may not be right – you may not clearly understand or address the customer’s key need or problem or you may not have the right business partners. In a fiercely competitive market where the margins between success and failure are tight you need a strong process and culture of innovation management to ensure you have a strong portfolio of ideas, and that you focus on the ones with the best chance of success.

Innovation Management is key to the progression of ideas that will evolve your core strategic objectives. As a start-up entrepreneur or established company you cannot afford to chase every new idea – and “gut feel” is an often used but ultimately poor litmus test of an idea’s potential. So where do you place your bets? Which ideas are worth investing in? What criteria do you use to rank new ideas and pick the ones that will yield the best ROI.

There are tools and methodologies that your company can use to:

  • Foster a culture of innovation – encourage people to think outside the box.
  • Manage a portfolio of generated ideas – only invest in the ideas that are likely to deliver the best return.
  • Ensure you have the right balance in your portfolio to mitigate against exposing the company to only “high risk” projects and ensuring you don’t forget about the “bread and butter” projects that keep the lights on!
  • Validating your ideas with the market – ensuring you have a compelling problem to solve that customers will be willing to pay for?

Having a more structured approach to innovation management can only increase your chances of success –so seek to apply methodologies that will give you a fighting chance of being the 1 idea out of 7 that will succeed!

Filed Under: Innovation, Product Management Tagged With: Business Analyst, CEO, Customer, Innovation, Strategy, Value Proposition

January 28, 2014 By Siobhan

The Value of In House Product Management Mentoring

mentoringMany companies over the last few years have made the bold move to establish a product management discipline in their organization. They understand that to be successful they need to:

  1. Create products or services that customers love.
  2. Ensure the organization is marching not only in the “right direction” but in the “same direction.”
  3. Work to a clearly defined business model.

This requires someone to hold it all together and keep the company focused. As Steve Jobs said “You need a very product-oriented culture… lots of companies have great engineers and smart people. …there needs to be some gravitational force that pulls it all together.”

Initially, when the company is small, the CEO or CTO will fulfil this role – but as the company begins to scale it is important that the CEO looks for support. Adding a product manager to the team is the right next step… but what exactly does this product manager do and how will they integrate with the existing team?

Often there are a myriad of political obstacles that need to be addressed as people’s roles change and the organization settles into a new way of thinking. There are a lot of functions the product manager “could do” – the question is what functions “should they do” that align best with the organization’s structure and vision.

Although there are many organisations that provide great frameworks to help product managers understand all aspects of their role,  quite frankly the breadth and depth of areas to be covered would give any new product manager palpitations! You would need to be superhuman to address everything effectively! So, how do you decide which aspects of the framework make sense for your new product manager? Well, it depends on the stage of your growth as a company.

I think it is best to start with a “lean” approach to product management – don’t overwhelm yourself and your new recruit from day one. For many new and established product managers they exist in a state of constant bewilderment and despair as the enormity of the role becomes apparent to them. They often have a very unclear definition of the role, unachievable expectations are set by senior leadership or often no expectations are set at all (which is even worse), there is no clear prioritisation of projects and they have to juggle the demands of a sales and engineering team who expect their undivided attention 24/7. This situation can become a cycle of despair where the product manager becomes increasingly disillusioned and the leadership team begin to dismiss the product manager as ineffectual.

Things do not have to be this way – understanding who does what in your organisation and clearly defining the role and boundaries for each group is a first step. Then, applying a structure and discipline to product management that aligns with the stage your company is at is crucial.

Helping the product manager to apply methodologies in areas such as portfolio management, value proposition creation, requirements management, agile product management, customer validation, ideation, ROI analysis, sales management and leadership alignment will undoubtedly help alleviate the pressure.

As someone who has performed the role of product manager and ultimately managed both a portfolio of products and a team of product managers I understand more than most the demands of the role. I learned quickly that applying structure and discipline ensured myself and my team could work effectively.  We can all read books or attend courses that will give a good grounding in the product management discipline but the application of this discipline and the understanding of what works in reality comes with experience.

Don’t wait until either you or your product managers have reached the point of despair – seek the support and help of those who have done this before, who have been at the coalface and who understand the demands of the role. I loved this quote from Eric Ries of the Lean Startup because it is so applicable here – “Start-up success is not a consequence of good genes or being in the right place at the right time. Success can be engineered by following the right process, which means it can be learned, which means it can be taught.”

Filed Under: Leadership, Management Strategy, Mentoring Tagged With: Alignment, CEO, Collaborate, Market, Mentor, Product Manager, Strategy

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