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BOOKS FOR PRODUCT MANGEMENT OPERATIONS

Recently I surveyed several product managers and directors for real books they’ve really read about product, management, leadership and product development. Here’s a sampling of the ones multiple people recommended. I’m including links to Powell’s Books where there is one, but I don’t get a commission or anything for the links. I just like Powell’s.

7 Skills Every Product Leader Needs to Master – Pendo (deprecated?)
Team of Teams – Stanley McChrystal
Range: Why Generalist Triumph in a Specialized World – David Epstein
End of Average – Todd Rose
Loonshots – Safi Bahcall
Measure What Matters – John Doerr
Agile Estimating and Planning – Mike Cohn
Agile Project Management with Scrum – Roman Pichler
Design of Everyday Things – Donald Norman
The Phenomenal Product Manager – Brian Lawley
Ignore Everybody & 39 Other Keys to Creativity – Hugh Macleod
Nudge: Improving Decisions about Health, Wealth, and Happiness – Richard Thaler and Cass Sunstein

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PRODUCT OPERATIONS MODELS

Starting in October, 2021, Marty Cagan at the Silicon Valley Product Group began writing about Product Operations and how he sees it relative to product development. He must have received a lot of (perhaps) negative feedback on the article, and he wrote a second blog post in November. That too seemed to land with a bit of a thud, and thankfully so. Because in December Cagan, along with SVPG partner Chris Jones, took a third run at Product Ops, and I think did a great job articulating this relatively nascent (if in name only) competency.

Cagan is adamant there’s nothing new being done under the moniker of Product Operations, but for most people that’s either fine or a moot point: plumbing’s existed since the Roman age, but who cares until you need one? That said, I think Cagan and Jones have done a great job synthesizing the roles and responsibilities of Product Operations in different organizations, and I’d like to summarize them here. As always, your mileage may vary, but ideally, you’ll see your current Product Operations set-up as well as aspirational model within the below.

The Reincarnated PMO Model

Cagan describes this as the claw back of the Program Management Office with its command-and-control mindset. He’s most wary of this model as a Trojan horse, even if some of the planning activities, coordinating and tracking, and standard operating procedures and governance are important and necessary.

The Two-in-a-Box PM Model

Cagan feels he’s seen this model for decades where companies struggling with too much work to do split the role into two—a Product Manager who owns the development of the product and a Product Operations Manager who handles the day-to-day tasks involved with development. Oddly, he recognizes that some medium- to large-sized companies have enough staff to break the work of the product manager into more manageable (and I’d offer, specialized, roles) though I understand his point that these should be subordinate to and offering advise and assistance to the Product Manager.

The Delegated Product Leader Model

Cagan believes it’s the role of Managers of product managers to enable their product managers to do good work through coaching and developing product strategy, and that product ops should not. I agree. But if you’re asking Product Operations to support Product Managers it’s a gray line as to what conversation or tool does or doesn’t coach a PM or assist in developing, designing, or communicating strategy. We can all be leaders to some degree, but I agree that a Product Operator is not at their core the manager of the product managers.

Production Operations Rebranding Model

I’m glad Cagan hit on this one, and I appreciate his clarification of “product operations” and “production operations”. In my review, this model—”ensuring the product is running properly in production”—is one of the two most common. The role is important, but in my view it aligns with Operations and not Product.

The Product Marketing Manager Rebranding Model

A model I’ve only just seen start to appear in job descriptions and postings is rebranding the Product Marketing Manager. Cagan notes this role covers “launch activities, customer discovery programs, beta programs, sales, services and marketing training; continuous product go-to-market testing; and then the customer feedback needs to be aggregated and analyzed by the various sales channels.” And we think Product Managers have a lot do, and then question why some might delegate work to product operations!

That said, I think this model is the most worrisome. Marketing and Product Marketing have existed for quite a long time, and need to exist, be well-fed and cared for. Simply giving up on “marketing” and calling it operations does a disservice to this competency.

The Force Multiplier Model

Finally, here we see Cagan imagine his ideal state for Prod Ops, through his reading of Melissa Perri’s great book—Escaping the Build Trap. Her three pillars are:

  • Quantitative Insights – help product teams make data-informed decisions
  • Qualitative Insights – coaching and enabling the product teams to do good research and learn first-hand
  • Tools and Best Practices Evangelism – constantly working to raise the bar on the skill level of the organization

This last pillar seems to cause Cagan the most consternation, because in his experience he’s seen good companies take principal product managers and ask them to raise the skills of the company’s product managers. That’s all good and well if the principal is given space, time, and the tools to do this. But in my experience many CPOs and VPs of Product feel like this takes a star player off the field in the hope that yelling from the sidelines achieves the same goal.

However if the principal is given the space, why not call them Product Operators and make this explicit? Cagan does suggest this, as well as a few other specialized planners well-suited for this role and moniker. Among the latter I’ve seen in many organizations where ProdOps is home for exceptionally strong people who track and coordinate the quarterly planning process as well as help organize cross-team planning, particularly with those not familiar with Agile development or Product processes.

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At the end of his article, Cagan again warns of letting the process become the thing, and I can’t agree more. Very few like process for process-sake, and the goal of any process is not simply to exist but to solve a problem some human being is having.

Overall, I’m heartened that Cagan and Jones (and Perri as Cagan acknowledges) are spending time talking about Product Operations and helping to define a more standard model for companies and potential product operators to rally around.

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PRODUCT OPERATIONS AS COACH

A useful framework for many businesses is “People, Process, and Technology”: a triad of primary, non-monetary resources companies can bring to bear on a problem. This article is how to change a common misconception about product operations to increase its value in your organization.

Of the triad, technology is often ascribed to the engineers and solutions teams hard at work converting your big goals into working software. The people element is often left to functional managers (or ‘people managers’) or to HR. We often think of performance reviews, improvement plans, and compensation when we think about people. And the last, process, is the one most often considered when people think about Product Operations: not only how do teams accomplish their work but also the associated policies and procedures supporting those efforts.

But product operations can have a much broader view—particularly in the ‘people’ space if you consider the purpose of Prod Ops to include coaching and not simply about codifying how product teams work. Companies who look to Product Operations as coaches to their product teams unlock value from both the coach and the coached in ways that can significantly improve a company’s bottom line. Here are 3 tips to being a better coach that will ultimately help you and your organization achieve their goals.

Rather than being the one with the answers, be the one with powerful questions

These questions are meant to spur deep thinking—to help you, as coach, get out of the circumstances and into the person themselves. Your questions should be direct, blunt, provocative, and edgy. This isn’t to say they are mean-spirited or intended to put you in a messiah-like light, but good coaches know how to trigger ‘below-the-neck’ reactions in those being coached.

Coaching is not therapy

Being a good coach is not the same as therapist. People often seek therapy when they feel not-whole, but a coach assumes the coached person is whole and looking to excel from today in a forward-looking partnership. As a coach you are working to close the gap between where someone is and where they want to be. If you want to be a good coach, knowing these boundaries will help.

Practice empathy and being empathetic

While you may not agree with the person being coached, it’s still important to listen and respond with empathy. Letting someone know you understand what they are going through can be supportive as well as build trust with the person which may pay further dividends in the future. Many of the issues and roadblock teams face are not technical. They can be procedural, cultural, or personal, but these are all issues that can elicit emotional responses. An empathetic coach will be prepared for that.

In organizations where the product operations team is seen as a coach, their first responsibility is to the product team members themselves. By asking powerful questions, helping people excel, and practicing empathy, product operators can motivate the team to seek out problems and to help them solve them. In this way the product operations team becomes directly tied to the product the teams create, the speed at which they can release, and ultimately to the value those efforts bring to users and customers.  

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PRODUCT OPS SUPPORTS PRODUCT VALUE

One key element of Product Ops is to foster a product lifecycle that achieves business goals. As previously stated, the key goal for most product-led organizations is to deliver valuable products to users. This is not always monetary, so regardless of whether you’re a for-profit, non-profit, or hobby business value is still a critical concept. Product Operations can support this by creating a lifecycle that emphasizes finding and delivering value.

Research & Ideate Phase

Discovering Value
What problems does our market have? What solutions can we give them?

Validate Phase

Creating Value
Building Prototypes and proving concepts
Testing Value
Testing hypotheses with real users

Implement Phase

Delivering Value
Release valuable functionality to our users
Measuring Value
Listening to user and buyer feedback

Iterate Phase

Adding value
Adjusting our products and services to capture more value for our users and buyers

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CALCULATING VALUE PRE-REVENUE

One of the easiest measures of the value of your product (or a feature) is to attribute revenue to the product. However early stage startups and pre-revenue products don’t have this yardstick with which to measure their value. In my current role, the product I primarily support is pre-revenue, but that hasn’t been an excuse not to provide stakeholders a sense of the value their features bring to market.

To support the decision-making processes, each feature is scored for its value–a combination of impact, pervasiveness, risk tolerance, and alignment to corporate strategies. In the current iteration the equation is:

(How many people want it × How big is the market opportunity × Risk tolerance) × % Aligned to Strategy

While not required for the mathematical operation, the purpose of the parenthesis is to illustrate that first half of the equation sees us increasing the value while the second half decreases the value the further the feature strays from the strategy. This is done to counteract executive whims that may otherwise overtake the prioritization process.

My team re-evaluates the scoring equation each quarter, so unfortunately comparing quarter over quarter is more difficult, but we’re okay with that–because we want to know the value of the feature right now.

I do, however, track how the value estimated is delivered to users. Stealing from the concept of Earned Value, our team scores all the features expected in a period (often a month, quarter, or release) and we award ourselves those points when we release the feature to market.

FeatureEstimated ValueAwarded ValueTotal Awarded
A10 points10 points10
B15 pointsnot delivered = 010
C5 points5 points15
D10 points10 points25

At the end of the period we sum the points awarded to give us a sense of our earned value for the period. We also compare the estimated value (40 points in the above table) and the awarded value (25 points) as a ratio (25:40 = 62.5%) to measure ourselves on our ability to deliver the perceived value within the period in question.

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SAFe has a similar, albeit much simpler process: you simply ask the business owner to score the value of a given feature at the beginning and end of the program increment. One could compare the two measurements to better understand if the delivery of the feature met the business owners’ expectations. My current employer struggles with this method (and thus the more complicated equation above) because they discount the business owners’ opinions and instead prefer to rely on other data.

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DEVELOPING PRODUCT JOB DESCRIPTIONS

One important tool Product Operations can help deliver is standardization of product roles. Even in small startups where everyone-does-everything-all-the-time, a job description can help team members and stakeholders ground themselves in the work of the product team.

Product Vice President— Leads the department. Helps determine what the products will solve based on understanding and development of business goals and objectives. Sets the governance of the product development lifecycle.

Product Directors and Assistant Directors — Content authority on the product strategy. Helps the team understand What problems to solve. Shares strategy through product roadmaps.

Product Managers — Understand the market and its problems, and determines what to solve. Helps translate strategy to requirements by defining product themes and features. Coordinates closely with Product Owners, Sales, and Marketing.

Product Owners— Define stories and prioritize the Development Team Backlog to streamline the execution of program priorities while maintaining the conceptual and technical integrity of the Features or for the team. Is a full member of an Agile development team.

Business Analysts — Assist product owners and managers by collecting, analyzing and summarizing product data and processes. This can be future-looking by providing market analysis, or current-looking by reviewing and synthesizing existing feature functionality.

Technical Project Managers— Provides project manager expertise to the product development process. Primary role is as Release Manager for the software.

Project Managers — Supports the business overall, and Product specifically with project management expertise. Reduces risks and improves transparency across intra- and inter-team work initiatives.

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THE VALUE OF PRODUCT MANAGEMENT

Product management takes a broad view of the work of an enterprise focusing on the customer and success of the product. Product management deals with planning, forecasting, and production or marketing of a product or products at all stages of the product life cycle.

A product is anything that can be offered to a market that solves a problem, or satisfies a want or need.

Products have a life cycle consisting of multiple stages, but generally: ideation, development, introduction to the market, growing and evolving the product, and sunsetting.

With a product there is no clear definition of what has to be delivered. even while product management may have a clear deliverable. Customer needs naturally evolve over time, and products must evolve to serve these customer needs. But in the the end product management is about finding and delivering a product to your market.

With products, there are no clear deadlines. A customer might expect a product to meet their needs right NOW and not some future date.