Viewing entries tagged with 'product portfolio planning'
Over the last several months I have been working with some clients to revisit how they do product portfolio planning. Essentially the process they use to determine where to invest and how much. I’ve discussed the purpose and the common frustrations with how product planning is done in most software product companies, as well as explored the root causes of these frustrations. We’ve looked at several specific techniques, and we’ve considered the lessons we can learn from the VC industry, incubators, and some companies that have demonstrated the ability to perform this well.
Several people pointed me to this great little talk by Jeff Bezos, the founder and CEO of Amazon. If you haven’t watched this yet you should. I thought his talk did a great job highlighting a few key points that pertain to my current theme of product portfolio planning and I wanted to emphasize them here:
In the last couple articles I discussed product portfolio planning lessons we can learn from the Venture Capital industry. In this article I wanted to discuss a similar but different type of mechanism for managing product portfolio investments, known as business incubators.
In my last article on “Lessons From the VC Industry” I included some thoughts suggested by a VC friend of mine, Josh Kopelman of First Round Capital. In his thoughts he shared with me he had another insight that I didn’t include because I thought it was so important and fundamental that I wanted to dedicate an article to this topic.
In earlier articles we discussed the purpose of product portfolio planning and the frustrations with current product portfolio planning. In this article I’d like to look outside the typical world of product companies to a related industry that is in the actual business of making product investments, and that’s the Venture Capital (VC) industry.
Continuing with the series on product portfolio planning, earlier I enumerated the purpose and objectives of the product portfolio planning process, but in this article I wanted to discuss the common complaints from executives and product leadership alike about the typical product portfolio planning process used at most companies beyond the startup stage.
I have never seen a technology product company that didn’t have more ideas they wanted to pursue, than capacity for pursuing them. So constrained resources is a reality of our world. Sadly, this keeps many companies from pursuing some truly promising products.
I am in the midst of a series of articles on product planning, but I’ve received several e-mails asking where this fits into the overall product organization, and the product discovery and product development processes, so I thought I’d make sure before proceeding further on the techniques that we’re all clear on the purpose and objectives of good product portfolio planning.
In keeping with my recent theme of product planning, I'd like to focus in this article on an important distinction and source of frustration in many companies, and that has to do with the differences between business strategy and product strategy.
In my last article I began a series on the product planning process. I wanted to start by emphasizing that the most critical aspect to product planning is to have an effective mechanism for separating the good ideas from the bad (see The Seven Deadly Sins of Product Planning).