Product-led in Practice – April 2023 Wrap

In today’s competitive world, companies are always looking for a way to stand out against their competitors. In the past they may have achieved this through features or advertising. More recently organisations have started to differentiate themselves by rethinking the whole customer journey and delivering an amazing experience around all aspects of the product.

We call this “Product-led.” This doesn’t mean that it is “product manager led,” it means that the whole organisation and product is oriented around customer and business success.

Amy Johnson from Propel Ventures led us through 5 steps to bring Product-led thinking into your organisation

What is Product-led?

Product-Led is “a relentless focus on customer value to create products that sustainably drive growth”

When we dig into this a bit more, Product-led is about focus on the value the product creates for your customers and your business. For example this could be in the product pricing, Go To Market activities, or design. This involves having a clear vision and an empowered team to deliver against the vision

Why does Product-led matter?

Product-led is more beneficial to a business as it has a long term growth in mind, as well as minimising waste. Conversely, Sales-led often means only focussing on the next sale, so is not sustainable in the long term. Technology-led means building cool products based on the enabling technology, but risks creating products that don’t solve any problems.

This article will drill into the the 5 core tasks necessary to move to Product-led

  1. Product Vision
  2. Product Strategy
  3. Shared Success Measures
  4. Organise around value
  5. Outcome based roadmaps

Let’s dive into each one

Product Vision

A good vision provides clarity on the future, so you know where you are going. This clarity is important because going fast in the wrong direction won’t get you to success.

But you won’t be able to create one by yourself. Vision creation should take in diverse perspectives and different voices to make sure it is clear. Use these voices to focus on the change you want the product to make in the world. You need to find a vision that will inspire the team.

You’ll know when you have a good vision when it is easily internalised by the whole team.

Product Strategy

Product strategy is about mapping out the path to get the product vision. This requires understanding the strategic intent, the challenges and the business goals. Use this knowledge to then clearly articulate the goals, which are prioritised based on strategic intent.

There is a risk in skipping this thinking if you join an organisation. You may inherit everything that is already going on. While it is possible to artificially create a bottom-up strategy by reviewing the backlog and package it into themes, there is a risk that it does not achieve business goals. It is important to make sure your strategy is aligned with the product vision above.

Focus is a key part of delivering against the strategy and vision, so clearly articulate the goals and ensure all activities are targeted towards business goals

Shared Success Measures

Having clear success metrics that are shared helps the organisation achieve alignment, by describing what “good looks like.” It is important that these are legitimate measures of success based on customer value, rather than metrics that might be easy to measure but won’t help you know more if you are on track – known as “vanity metrics.”

Ideally these success measure should be outcomes, not outputs. Outcomes are what the business needs to achieve, whereas an output is a delivery that contribute towards achieving that outcome. For example, the customer cares about how you have saved their time and money, rather than whether you released a feature or not.

To create these success measures, you’ll need to know what is valuable to the customer, as well as a way to measure it. Finding a way to know what good looks like in the product can ensure you are tracking towards a common idea of success.

Organise around value

There is a risk in organisational design that you create teams around what the company values rather than what the customer values. This is known as Conway’s Law – where complicated products end up looking like the organisational structure.

To ensure the customer gets the most value out of the product, the company should be organised around the customer’s perception of value with the product. Create a journey map to understand the customer experience, pain points, opportunities and make sure the end-to-end experience works. From there you can define the problem to solve and the metrics of success. Once you have these you can experiment and iterate.

Outcome based roadmaps

Once you know where you are going, how you are going to get there, metrics to measure customer outcomes, and what the customer values, then you need to ensure that delivery stays on target.

An ‘outcome-based roadmap’ takes what is known about how the customer or business measures success, and gives context to every item on the roadmap. It articulate goals and what you are trying to achieve. It also reiterates the product strategy and makes sure that unnecessary items don’t appear on the roadmap.

This makes the roadmap a communication tool, not a project plan. One way to enforce this thinking is to use the now : next : later format. This is a more realistic view given that development is not always predictable, and it allows flexibility to change based on customer feedback


Product-led is the way to focus the organisation on success; through identifying customer value and sustainable business growth.

There are 5 key areas that need to be consider to successfully make the transition:

  • Product Vision – A phrase that describes the future to align and inspire the organisation
  • Product Strategy – This maps out the focused path towards the vision
  • Shared Success Measures – Aligns the organisation and tell you if the strategy is working
  • Organise around Value – Ensure that you are aligned to clear customer value
  • Outcome Based Roadmap – Ensure that delivery stays on target

About our speaker

Amy is a product leader, passionate about empowering teams and fostering inclusion. Multi industry experience, now leading the product team at Propel, who partner with you to accelerate your product development and achieve product market fit faster.

Thank you

Thanks to our wonderful friends at Everest Engineering who hosted the event.

And here’s a bit of behind the scenes setup action via Bryce’s tweet

Slides and Additional Resources

Thank you

How to overcome Floccinaucinihilipilification – February Wrap

One of the famous 7 Ps of product marketing is Price. As product professionals, we’re caught in the middle of a battle between trying to maximise price for our bottom line, while offering appealing value to the customer who wants to minimise their costs. Jon Manning showed that there are many myths in pricing, while giving great tips on options available when we are trying to price our products.

What does that big word even mean?

the action or habit of estimating something as worthless.

Top 10 Pricing Myths

Top 10 Pricing Myths

The myth of the perfect price

There is no such thing as a perfect price. Everyone has a different understanding of what they are willing to pay and how that payment should be structured. So pricing depends on each individual, and there will not be a single price or model that suits everyone.

The myth of full price

In certain hotels, they are obliged to outline their ‘rack rates’ – what the company specifies as the default rate for the room. You could often find it behind the door. However, nobody pays rack rates in hotels any more. Instead, we use discount sites as we want to get a great price – to get the “The thrill of the kill”. As a result discounting has to be a strategic part of pricing.

The myth of stealth price increases

Stealth price increases just don’t happen as much as we think. Thanks to social media, when people discover them they give immediate feedback to the vendor. One example is the drug Daraprim that went from US$13.50 to US$750 per tablet overnight and was immediately picked up by the media.

The myth of a world first pricing model

Some people believe that they have just invented a brand new pricing model and that nobody else has done it before. The reality is that all have been done in some way in the past. For example, Uber surge pricing model was just what the airlines did in the 1970s. During the great fire of London, the boatmen evacuating people across the Thames actually tripled their fares.  

The myth of ‘markets’, and ‘the invisible hand’

Prices are not set by some sort of invisible hand – they’re set by real people.

Prof. Mark Ritson of London Business School said: “Pricing is the worst managed of all marketing areas. How prices are decided is often a mixture of voodoo and bingo.”

The myth of traditional economic theory

Traditional economic theory talks about price elasticity as when prices go down, the quantity of demand goes up. However, we never see this perfect price elasticity.

The myth that pricing models are for life

Our pricing models need to evolve. For example, many of our purchasing these days is by subscription model. Or how engines on planes are no longer charged by unit but are charged for power provided.

(Though with 90% of the world’s fleet on the ground this model is probably making it a bit tough for the engine manufacturers).

The myth of the spreadsheet 

Every pricing model is in a spreadsheet without fail. However, this is just a simulation and not what happens in the real world.

The myth of procurement

Working with a Procurement team is like a frenemy; both friend and enemy to agreeing on a deal.  You need to understand how they work – for example spend time with Procurement to learn how they beat up vendors on price. Then build this approach into your pricing model

The myth of cost-plus pricing

Customers don’t care about how much it costs you to produce – they just care about the value for them. 

Why is pricing so important?

Pricing has a huge impact on operating profit. A 1% improvement in price can lead to an 11.1% increase in operating profit – a much better ratio than improving fixed costs, volume or variable costs.

Apple has many fans despite their price. Their strategy has sensitized their customers to the value they bring, over the price they charge. Which means they can take the discussion away from price

However, not everyone is really thinking through their pricing. Startups are filling in their business model canvas, and thinking about migrating their users from eyeballs to customers, but they are not thinking through their actual revenue.

The Value-Based Pricing Canvas

The Value-Base Pricing Canvas

This canvas gives you 15 pricing questions designed to get you thinking about the value your provide. For example is it better to have no-hidden-surprises pricing, or dynamic pay-as-you-go pricing? Organisation and customer behaviors are driven by pricing so it is best to have this clear.

A blank canvas is available on the pricing prophets website

Value based pricing methodologies

Van Westendorp’s Price Sensitivity Meter

This is a Value-based approach because you have to talk to customer, rather than an ivory tower exercise. You ask customers four questions in surveys:

  • At what price does the product look cheap
  • At what price does the product look expensive
  • At what price does the product look too expensive
  • At what price does the product look too cheap

You can then plot these on chart and a box forms that helps determine an optimal price band.

Customer Value Analysis

This gets customers to value each attributes of your product, assign weights, and get an overall measure of customer value.

  • Identify value attributes from a customer perspective
  • Get customers to weight the product value attributes
  • Get customers to assess the product value attributes
  • Benchmark products against each other
  • Plot findings on a value map

This overall measure of value can also be used to generate a price

Software as a Service (SaaS) subscriptions

SaaS subscription model

This is now the classic startup pricing approach.

  1. Define the architecture of your products
  2. Define the operational stuff the product actually does
  3. Define the non-operative features, because it adds further differentiation
  4. Consider the optional extras, for example things that are included in one product, but not in an another
  5. Consider your segmentation, what each segment is willing to pay and whether it caters for all your customers and personas. 

How do you choose your pricing model?

Choosing a pricing model is a combination of many factors; including analysis, experience, and sometimes you just know.

Many products are just naturally heading towards the SaaS model – it feels like a silver bullet for most online products.

However there are some increases in the number of companies using usage based pricing only; Snowflake, Stripe and Twilio. These companies are growing faster than other SaaS companies.

Our Speaker

Jon Manning has vast experience in value-based pricing, gained in technology, and a range of other industries. He is a two-time past presenter at Product Camp.

His career has been a journey through three other pricing methodologies: the mysterious pricing of the oil industry, cost-plus pricing in the catering industry, and dynamic pricing in aviation and other services industries.

Check out Jon’s new book, Floccinaucinihilipilification, available on kindle & paperback at Amazon 

Our Sponsor

Thank you to A Cloud Guru for being an amazing sponsor! ACG is teaching the world to cloud – and currently hiring!

Coming next

In March we have a few sessions in the works! We’ll be co-hosting the LTP Pitchfest on March 18th and then we’re hoping to be able to meet face to face on March 30th for a session on improv. Plus, there may be dumplings!


Grab the slides

August Wrap-up: Communicating the Value of Mobile

Building a mobile product is a hot topic, as everyone struggles to be the next Angry Birds.  But in the mad rush to ship a product everyone loves, we often forget to think through the user experience and what is necessary for a great user journey.

That’s where the Innovation Game ‘Product Box‘ comes in. At our August session, Luke Chambers introduced us to the game and said we were going to work on a mobile variation.

For the digital crowd, ‘Design the box’ takes us back to our software roots when software was packaged in boxes. It also builds on decades of consumer packaging to work out what is important to get a user to buy this cereal or gadget.

The object of the game is to take a real life physcial box and decorate it to represent the product. What are the features? Benefits? System requirements? Logos and taglines?

The physical box is both fun and important because there is limited real estate, different viewpoints and it becomes a tangible thing for the team to discuss.

Luke led us through the user experience journey and common pitfalls in the mobile space.

Luke explains 'design the product box'.

We were then challenged. We needed to create a fitness app. Easy! That required no user input. Hmmmm…

One group, Simplifit, aimed to allow users without any energy to create fitness goals and compete with their friends – and to aim low mysteriously.

iCoach brough Skynet to life as an exercise app

Pole Position was a bio sensor that tracked your movments, gave feedback on your technique and naturally compared against your friends.

Fitness Box 1iCOACH boxPole Position box

Finally we had to sell the box. A representative from each team would explain the features of the app and how they designed the outside of the box to suit.

Prizes were awarded to the Pole Position team; Matt, George, Nadia and Steve.

Overall we had a great time and people were keen to take this technique back to their teams to help clarify the vision and purpose of the products we are managing.

We would like to thank Luke from UX Mastery for leading the fantastic session and inspiring the participants.


The Art of Decision Making – Part 8: Learn and evaluate

This article continues the discussion from Product Anonymous back in June last year.  Full credit goes to the team and the attendees for providing key steps, insight and critical analysis.

In the last set of posts we defined the problem (topic and people), identified some alternatives, evaluated those alternatives, and even decided and implemented . The final step in the process is #6 – To learn and evaluate.

Now is the time to follow up on the decision; is the implementation going well, has the environment changed and what can you learn from it

Maintain your heading

Publicly stick with your decision.  If the team sees doubt then their commitment to the decision may drop, and it will be less effective.  Reiterating the decision outcome (or in PR terms being ‘on message’)  can seem like a waste of effort for you, but for everyone else who wasn’t part of the process it seems like new information.

Again, the plan is the plan until there is a new plan.

Monitor the outcomes

Follow up on how the decision is being implemented.  Are people working on it? Are the necessary steps being taken?  Are existing processes being modified?  If it is not being implemented then you have further influencing to do.

Follow up on the key metrics and points that were part of the decision analysis.  Are you getting the savings, revenue or traffic you predicted?  Are results shown in both quantitative and qualitative form?  Is everything else being held constant?

Adapt to changes by iterating

“Prediction is very difficult, especially if it’s about the future.”
Niels Bohr

It is a fact of life that every decision can have unintended consequences.  Or you may find that the decision-making assumptions were wrong.  Or you just aren’t getting the results you were expecting. Or you may just be plain wrong.

The important thing is that you stay on top of the outcomes of the decision, and get involved before they escalate out of hand.  The interesting project work always involves unknowns, and mistakes will be made.


The whole decision making cycle is a perfect opportunity to learn about the business, the process, and the people involved.

Step back and think about the bigger picture.  For example: What would you do differently next time?  How would you have achieved the same result in only 10% of the time?  How could you achieved the same outputs with only 10% of the budget?

Always ask yourself: What will you do better next time?


We are now done.  We have taken the full 6 part process and looked at some of the stickier issues within corporate decision making.

Have you got any other tools to help you make decisions? Please feel free to comment below to add to the discussion.

Go back & read part 7 on Implementation.

Steve is a Product Development Manager at Telstra Wholesale.  The views expressed in this post are his only and do not necessarily reflect the views of Telstra.

The Art of Decision Making – Part 7: Implement

This article continues the discussion from Product Anonymous back in June last year.  Full credit goes to the team and the attendees for providing key steps, insight and critical analysis.

In the last set of posts we defined the problem (topic and people), identified some alternatives, evaluated those alternatives, and then deciding.  Step #5 in the process is to implement that decision.

Ok.  We have made our decision.  Woohoo!

Now what?

Surely everyone will just crack on with it?

Communicate the decision so that it can be implemented.

And this might mean communicating well beyond the immediate team tasked with the implementation.  There are usually some impacted teams that you haven’t considered out there that need to be informed.  So back to the RACI model and consider the ‘Informed’ folk.

You may need to use your influence to get help from other people to implement it. There may be some resistance, but with a well reasoned decision process then you should have no trouble getting commitment and support from everyone.  You are going to need them to be ‘all in’ so they can run with the new decision.

Use the momentum

There will now be some momentum behind the decision as you have already involved a bunch of stakeholders.  Get the stakeholders to help implement and promote the decision.  Get them involved in the next decision that is the natural progression of the current.  Keep that momentum going.

Kill the alternatives

Depending on your culture, it may be necessary to kill the other alternatives. Because of the decision making process there may be doubt about whether the final solution is the best solution.

It is possible for a company to continue using resources on the unchosen option in the name of ‘risk mitigation’, ‘creating a plan B’, or ‘I disagree so I’ll do it my way’. It may be necessary to prevent each of the alternatives from being implemented just to prevent the waste of resources.

Alexander the Great may have burned his boats upon arrival on the shores of Persia as a sign of commitment.  While you may not have to be as extreme, you don’t want to waste resources on options that may never bear fruit.

The plan is the plan until there is a new plan.

We have now implemented our decision, but it is still not over.  Perhaps there is some iteration or learning ahead.  Next we’ll look at what we can learn.

Have you got any other tools to help you make decisions? Please feel free to comment below to add to the discussion.

Go back to Part 6: Decision time.

Steve is a Product Development Manager at Telstra Wholesale.  The views expressed in this post are his only and do not necessarily reflect the views of Telstra.



The Art of Decision Making – Part 6: Decision time

This article continues the discussion from Product Anonymous back in June.  Full credit goes to the team and the attendees for providing key steps, insight and critical analysis.

In the last set of posts we defined the problem (topic and people), identified some alternatives, and evaluated those alternatives.  Step #4 in the process is to decide between those alternatives.

With all the evaluation you did in the last section, it should be pretty clear what the correct decision should be.

Some extra thoughts on the actual decision point.

Sometimes it is hard to make a decision.  You will need to balance the upside against the downside.  For quantitative information this may be a mathematical decision, but this is unlikely to be the only part.  Since there is always a human element there will be additional complications to resolve.

A good decision should not be a surprise to anyone. Certainly the easiest decisions are those that don’t seem like they were required.  If anyone is surprised then it is likely you haven’t done your homework in building engagement and consensus.  Everyone should understand that they had a part in the decision, that their opinions and ideas were listened to, and they all got the right background.  Everyone should see the decision as a natural evolution out of the options and the situation.

Sometimes it is easier if you decide on what you’re not doing.  Striking off alternatives that you aren’t going to do, and see what you are left with.

Will the decision stick?  The previous sections discussed the RACI analysis – if the decision is not being supported by the right person then it might not stick – and therefore it won’t be the decision that was needed.

Is the water clouded with too many issues?  Whenever there is “Fear, Uncertainty and Doubt” (FUD) then it will become hard to make the decision.  Clear up any misunderstandings by going back to first principles.

What would it take for me to believe in the decision?  Are you personally convinced this is the right way to go?  Or are you going by the numbers?

Are you looking for something that is the optimal decision or just good enough?  Some people (known as maximizers) will spend a lot of energy optimising a decision, while some people (satisficers) will simply try to get by with a possible solution.  Which one are you?

How will you feel about the decision in 10 minutes, 10 months and in 10 years?  Using this tool is a good way to separate yourself from the emotional here-and-now of the decision

Is there some form of personal fear in your decision?  We all experience fear of failure and fear of getting it wrong.  This is normal.  But if this is your product, you need to be proud of your decision, regardless of your fear.

Is it fear that this is a one-way decision?  Such decisions are rare, and many can be corrected.  And if other people are part of the decision process then they will help.  Especially if you have called out assumptions, then they can recognise that change will need to be made.

If you can’t decide then maybe it doesn’t matter.  Maybe everything has an upside and a downside that can’t be compared – so every option is good and bad. In which case the option chosen doesn’t matter.  But still make a decision because you need to set a direction.

If you can’t decide, then try the ‘slightly cranky’ method.  This is the time to channel your inner cranky product manager.  Pretend you have been at this all night and you have had enough?  Now what?  Evaluate and check that it makes sense at the end though. You are effectively trusting your gut now, so look inside and work out the things you decided were most important, and use these for your reasons.

Doing the exact opposite might still be valid.  Can you flip it on its head?  This can be such a big mental shift that you will probably need to explain the reasoning to everyone again.

So we now have some well evaluated alternatives, we have though about the implications and finally it is crunch time.

You have to make a decision.

Do it.

We have a decision, but it is not over yet.  You will need to implement it, and then learn from it.  Next we’ll look at the implementation.

Have you got any other tools to help you make decisions? Please feel free to comment below to add to the discussion.

Go back to Part 5: Evaluating Alternatives

Steve is a Product Development Manager at Telstra Wholesale.  The views expressed in this post are his only and do not necessarily reflect the views of Telstra.

The Art of Decision Making – Part 5: Evaluating alternatives

This article continues the discussion from Product Anonymous back in June.  Full credit goes to the team and the attendees for providing key steps, insight and critical analysis.

In the last post we identified more alternatives that might address our key issue.  Step #3 in the process is to evaluate those alternatives.

You’ve got your problem identified, and you have alternatives A through Z. How are you going to evaluate them?  You probably have a gut feel already, but how can you do this more rigorously?

“The great thing about fact-based decisions is that they overrule the hierarchy.”
Jeff Bezos

Get them on the table.

List all the alternatives together – preferably on one page.  People find it easier to do comparisons if they can just flick through with their eyes.  If you have more than one page then you risk people not being able to remember details as they skip between pages.

Clarify each alternative so that everyone is sure they are talking about the same thing.  Perhaps you could just verbally describe each and highlight any differences.  Or alternatively document each alternative with a detailed description.  It is better to find any misunderstandings early.

Decisions are limited by assumptions.  Without proper attention, humans tend to make poor assumptions, if we even realise we make them at all.  Call out the assumptions to the team or in the document. Test the assumptions, get the reactions and feedback, and clarify if necessary.  Perhaps you’ll discover your assumption was wrong.  Again, it is better to find any misunderstandings early.

Finding a valid way to compare alternatives can be hard

Comparisons can be complicated, as you are rarely comparing apples with apples.  You will need to find ways to compare your alternatives.  This can be done in a few different ways, and the choice of comparison can be as complicated as the original list of alternatives.  But if you need a decision, then you first need to find a valid way of comparing your alternatives.

Note that evaluating alternatives is another opportunity to engage with your stakeholders.  While this could be formal meetings, it could also be over a coffee with some of the stakeholders to gain their insight.  It also has the potential to open up new ways of evaluating, build a better decision, create support and unearth the hidden ‘gotchas’ and opposition.

Cut back the options

More options means more attention, more short-term memory usage and more multitasking between different evaluation methods.  Attention and will power are both exhaustible resources, and too many options can be quite draining – possibly leading to analysis paralysis.

For example, what does the product strategy, corporate strategy or vision have to say about your alternatives?  If some of the alternatives don’t align with the overall goal then perhaps you should rule them out from the current list.  If these alternatives are compelling but disagree with the strategy then you may have a lot of work ahead to pivot, change the product strategy or corporate strategy.  It might be perfectly valid, but you probably have even more work ahead.

Make a first pass and cut down the number of options to something manageable – perhaps three to five of the best options.  Make sure the status quo is one of the options.  Identify the options that are being discarded, and be clear why they are being excluded.

Optimise for one thing

Ideally, work out one thing you are trying to optimise (people, costs, adoption, etc.), and stick with that.  If you try to combine different variables and comparison methods you risk going to go into analysis paralysis; when do you optimise for X, when do you optimise for Y?  Sort and list you remaining alternatives using only your chosen optimisation.

Dan Ariely and relativity

Dan Ariely has written quite a lot about behavioural economics, and especially how people don’t know what they want unless they see it in context.  Watch his TED talk to see how the addition of a third decoy option can make one option more compelling than another.  In his example it is hard to compare a holiday to Paris against a holiday to Rome.  But when you add a third option that is just worse than a holiday to Rome (Rome without coffee), then the Rome option becomes even more appealing.

The way out of this irrational behaviour is to take a more scientific approach, and try to be more objective.

Quantitative versus Qualitative?

When evaluating the alternatives some people will want quantitative evaluation; numerical data driven evaluation.  This can range from counting events, calculating Return On Investment (ROI), applying weighted averages, opportunity cost or even conjoint analysis (my favourite).

The reasoning is that numbers don’t lie, and that an objective decision can be made.  Unfortunately quantitative data usually has some human element and can be misled, either intentionally or not.   As the saying goes ‘lies, damn lies and statistics’.  The reality is you can still choose the statistic or assumption that supports your cause.  And if someone doesn’t want to believe your numbers they can always dispute whether the data source is relevant or whether the weighting is correct.

Quantitative data can prove correlation, but it can rarely prove causation.  Even qualitative data can only indicate causation.  My favourite example is the theory that lack of pirates is leading to global warming.

While quantitative data can be compelling, it won’t be the whole answer.

The decision may require a more qualitative evaluation; what is the impact on people, is it important to the company, what is the customer feedback?  My personal favourite is the ‘jobs to be done‘ analysis; what was the customer hiring the product to do?

Qualitative data will always be disputable as it isn’t ‘hard data’ but it is often necessary in small sample sizes or when people are directly involved.

The plural of anecdotes is not data
Frank Kotsonis / Roger Brinner.

The plural of anecdotes is data. 
Raymond Wolfinger

Apparently both are quotes (and self-referential proof that quotes are also not data).

Statistically, for small amounts of anecdotes, the plural of anecdotes should not be considered statistically significant data.  But just because the sample size is too small doesn’t mean the anecdotes should be completely ignored.  Given a large enough set of inputs, then the anecdotes start to become data where overall patterns can be identified.

Sensitivity analysis

You can perform additional sensitivity analysis on your alternatives to assess whether your comparison is solid.  One example is when you adjust the weighted averages by +/- 10% to check if it makes a difference on the outcome.  If the outcome changes then you are too dependent on the fine details of the weighting and the input data and will not have a stable and reliable answer.


Use a combination of techniques to narrow the list, perform some quantitative analysis and qualitative research.  The list should now be manageable for the next stage – decision time.

At the end of this evaluation you may even have a document.  For a large enough decision, team or project, this becomes a bit of a strategy document.  Circulating this document as a draft or straw man helps give people a chance to get on the same page and build consensus.  It gives people a chance to comment further if they’d like.

Now… a final question.  Is that gut feel answer suddenly now the best alternative?  You may need to question whether you are doing this objectively. You may be suffering from confirmation bias, where people favour information that confirms their own beliefs.

Hopefully now you have option A to Z cut back to a manageable size of less than 5 options.  The next step is deciding between them. 

Have you got any suggestions in ways to evaluate alternatives? Please feel free to comment below to add to the discussion.

Read part 4 on identifying alternatives or go forward to part 6 on making your decision.

Steve is a Product Development Manager at Telstra Wholesale.  The views expressed in this post are his only and do not necessarily reflect the views of Telstra.

The Art of Decision Making – Part 4: Identifying alternatives

This article continues the discussion from Product Anonymous back in June.  Full credit goes to the team and the attendees for providing key steps, insight and critical analysis.

In the last two posts we talked about defining the problem and addressing the right stakeholders.  The next step in the process is to identify some alternatives.

You’ve got your problem identified, and you immediately think of alternatives A, B and C. Is that enough?

What are the unwritten alternatives?

Remember that the status quo is an alternative, and not necessarily a bad one.  Any changes should always be judged against the current operation.  You need to justify why the new solution is better than what you have now.  After all, what you are doing now probably worked for a reason.

What about alternatives that allow you to learn quickly or even fail fast?  A clear decision to research an issue (by allocating a small amount of resources within a short time frame) might be the best way forward in a complex situation.  The research project may fail, but at the end you will be in a better place than before.

Delaying the decision is also an alternative, but be careful that you are not just being indecisive.  Product management is about getting out there, deciding on product issues and then making sure it happens – product managers are naturally biased towards action.  Sometimes it can be too early to decide; either you don’t have enough information or a short delay will have no effect.  It is important that any delay should be for a good reason (i.e. key information will become available), and not just due to indecision.  Not only is indecision bad for the project, it is bad for the team.  Your team needs to see you as understanding the problem and not just delaying everything until it is too late.

Valid alternatives can also include areas of uncertainty; either the details can be worked out later, or the uncertainty won’t have a big impact. Both Waterfall and Agile use this uncertainty, but in different ways.  Waterfall might simply define high level requirements without defining how they will be implemented, while Agile might define a solution for the current sprint but not expect it be the final solution.

Get out and ask a customer. 

If possible, get out an investigate the market place.  How have your competitors or customers solved this question in the past? For a more lateral approach, identify a related industry and look at how they solved issues. Remember that Nothing Interesting Happens in the Office (NIHITO).  This is a good time to collect some new ideas as well as the usual ideas.

A desk is a dangerous place from which to view the world.”
– John le Carre

Sources of ideas

The obvious way to identify alternatives is brainstorming.  This can be the classic ‘get everyone in a room’ method, or it could be a simple chat with a colleague.  The usual brainstorming is to be completely open, or it can be bounded towards the alternatives required.  Both methods have merit, but I prefer everyone facing the same direction.

One way of doing this is SCAMPER which prompts people to alter different aspects of a product.  SCAMPER is a mnemonic that stands for:

  • Substitute.
  • Combine.
  • Adapt.
  • Modify.
  • Put to another use.
  • Eliminate.
  • Reverse.
An example of applying each of these is on the great MindTools site.

(Brainstorming is such an interesting  and detailed topic that I’ll leave it to another blog post)

Your team and colleagues are naturally a good source of ideas for alternatives, and this is also a good time to share decision making with the team.  Ensure you get their ideas and input will help them feel like they are part of the process.  It is also a good coaching opportunity to involve newer or junior team members.

Larger projects will now start their process of generating buy-in.  Start early.

This is a good time to start any engagement and, if necessary, pre-meetings.  These are less-formal meetings where you socialise an issue and build consensus among your stakeholders and team.  Identifying alternatives is a good place to start involving the right people at an early stage.  The challenge is working out who are they.  You may get someone from the shop floor who may give great insight into what might go wrong, or they just become baggage by sticking to the “ways we do thing around here.”  Start with the RACI list you generated in the last section.

If it is for large decision making or large corporates, then ensure that all the alternatives are writen down.  Not only does this help formalise and share the alternatives, some extra thinking goes into writing things down.  Your brain needs to choose words that represent your thoughts and it is only when the ink hits the page do you discover whether you are using the right words.  This is just like those times you have to explain something to a bunch of people – it is only then when you discover you don’t really understand the topic.

Hopefully now we have more than options A, B, and C.  There are lots of alternatives out there.  Some of them are right in front of you, and some may need some new innovation.  After we consider the above, we should have D, E and F now. The next step will be evaluating those alternatives.

Have you got any suggestions in ways to generate alternatives? Please feel free to comment below to add to the discussion.

Go back & read part 3 on defining the people in the problem  or go to part 5 on evaluating alternatives

Steve is a Product Development Manager at Telstra Wholesale.  The views expressed in this post are his only and do not necessarily reflect the views of Telstra.

The Art of Decision Making – Part 3: Defining the people in the problem

This article continues the discussion from Product Anonymous back in June.  Full credit goes to the team and the attendees for providing key steps, insight and critical analysis.

In the last post we talked about defining the problem, and the clarity that comes with it.  We never really talked about the people angle.  Until now.

Let us now consider the people element when making the decision; also known as engagement.

This is probably not a big issue for a small decision or small company – you can probably skip the rest of this post.  But once you get to a medium to large organisations there are usually a large amount of people you need to convince to get something decided and implemented. Engagement becomes a necessary task to overcome the role specialisation within larger organisations.

People often shy away from engagement.  They see it as too hard, takes too long, or is just ‘airy fairy’.  Or perhap, like John Paul Satre wrote in Huis-clos, they believe ‘Hell is other people’.  Yet careful engagement is an early investment that can pay off in the longer term.

In his book ‘Extreme Programming Explained: Embrace Change’, Kent Beck wrote “no matter what the client says the problem is, it is always a people problem.”  For large organisations and large decisions this phase is a good time to think about those people, acknowledge them as important, and work out how you can get them involved and onboard quickly and easily, so that future decision-making flows smoothly.

There is a fine line between gathering consensus and playing a political game.  But if you consider that you are doing this for the decision and not for yourself then you are on the right path.

Who is going to make the decision?

Who are the right people to be involved?  Are the right people making the decision? Product managers tend to think the world revolves around their decisions, but perhaps this is a question for someone else to answer.  Perhaps this is not really in your hands.

The classic tool for clarifying roles and responsibilities is the RACI matrix (and used by most attendees of Product Anonymous). This tool is a way to work through your stakeholders and identify where they stand.

The acronym stands for

  • Responsible: Those who do the actual work to achieve the task.
  • Accountable: The one ultimately answerable for the correct and thorough completion of the deliverable or task.  There must be only one accountable specified for each task or deliverable.
  • Consulted: Those whose opinions are sought, typically subject matter experts.
  • Informed: Those who are kept up-to-date on progress.

(Refer to

The process in theory is pretty simple: Identify each stakeholder in your project and assign them a letter from R, A, C, or I.  Then work through the list and ensure that each stakeholder is being treated as required.

But it gets complicated in practice:

  • Responsible and Accountable can be easily confused, so keep a careful eye on their meanings at first. Remember there can only be one Accountable person.
  • The Accountable person may be your boss, the project sponsor or you.  Depending on the magnitude of the outcome it tends to go further up the chain.  Don’t escalate everything if you can avoid it.
  • Almost everyone believes they should be Consulted.  The reality is they don’t need to be, and they will slow you down and cause you extra work.  Take a calculated risk and mark as many people as Informed as possible instead of Consulted.
  • Is your customer / end user in the Consulted list?
  • Keep it as simple as possible, with the smallest group possible.
  • If the stakeholders seem to have multiple roles in the matrix, then perhaps you have a multi-part question.  You may need to break the question into sub-questions.

The RACI matrix is a simple tool that can be quite useful to bring clarity to the roles of the stakeholders.  But remember it is not a substitute for a plan.  It is only a communication tool that helps with engagement – You still need to go out and talk to the stakeholders.

We know it is decision time, we have the question defined, an understanding of the problem, we know how to use the outcome, identified stakeholders and we even a decision maker who will get us there.  Next we’ll look at what alternatives are available…

Have you got any other tools to ensure you have the right people and a solid decision maker? Please feel free to comment below to add to the discussion.

Go back & read part 2 on defining the problem or go forward to read part 4 on identifying alternatives

Steve is a Product Development Manager at Telstra Wholesale.  The views expressed in this post are his only and do not necessarily reflect the views of Telstra.


The Art of Decision Making – Part 2: Defining the problem

Now we have had the overview of the six step process, let’s get into the detail

The first step in decision making is defining the problem.  What is on the table?

The simple example of defining the problem is when we are presented with two or more alternatives. For example, “Do we follow option X or option Y?”  Or perhaps you have received a specific question like “Should we commit resources to this?”

This is rare and clinical – the real world is much more fuzzy.

There are usually many decision situations in every discussion. For example:

  • Have you have noticed a departure from the vision, or an assumption you disagree with?
  • Is the discussion going around and around without reaching any conclusion?
  • Has someone has come along and demanded “we need to do X”?
  • Is the time-poor product manager now feeling a bit cranky about something and they can’t lay their finger on it?

It is now a decision situation.

But what is the decision about? What is the real question or issue?

It turns out that defining the exact problem you’re trying to solve can be difficult by itself. Often there is a deeper issue that hasn’t been drawn out. If you’re finding that the questions and answers are going in circles without any resolution, then you probably don’t understand the problem and some research is required.

A sure fire way to realise this is happening is when you are getting frustrated by lack of progress and competing priorities.

One tool to identify the true issue is the ‘5 Whys‘.

This technique is to ask why five times to get to the true nature of the problem. Traditionally this is a linear exploration of the cause; A was caused by B, which was caused by C, D and then E. But usually I found that there are many causes at each level, and you can develop a bit of a tree structure of causation – sometimes displayed in a fishbone diagram. Either way the tool is used to step back and look at how we got here, and can help identify what may be the real issue. Or at least the issue with the biggest impact.

Some interesting reading on the 5 Whys methodology:

A related issue occurs when you get solutions thrown at you instead of questions: “We must do X!”  While we should be encouraging people to suggest solutions instead of just problems, we have to be careful. That solution might not be the only option, nor the best. Further probing and understanding of the actual issue and decision will help you find there are more alternatives, and some may be better than the initial one proposed.  We can use the 5 Whys again to get to the bottom of the issue, though often simple open ended questions can be enough.

Overall the 5 Whys approach is something we should always be utilising.  Question everything if you can; the strategy, what is best for the product and why some techniques just seem to work better than others.  After all, the product manager should always be (internally) questioning whether they are doing the right thing.

Another tool is to reverse engineer the question from the answer

A clear question should have clear options that lead to clear outcomes.  Therefore you should be able to examine the outcomes to see if they are indeed clear, and whether they correlate to your original question.

Let’s take a simplified example; you have to decide whether or not to close a factory to save money.  The outcome would be that you might save money but the employees would be out of work.  Is your original decision about closing the factory or is it about putting employees out of work?  Would you feel comfortable that a financial decision is the only considered point that leads to this outcome?

Do a first pass on your decision question and some possible options.  Choose each option and be very clear about what the expected outcome would be.  Review all the outcomes, and reassess whether the outcomes really match the original decision.

Note that if you don’t know how the outcome will be used, then you are not addressing the decision correctly, and will be making a decision in a vacuum. 

This reverse engineering of the question will help ensure that the decision making is actionable in the right way. It can be used through the whole process to ensure you are on track.

Have you got any other tools to ensure you have a solid decision question? Please feel free to comment below to add to the discussion.

Next we’ll talk about the role people play in the decision process in part 3 or go back to part 1 to cover the process

Steve is a Product Development Manager at Telstra Wholesale.  The views expressed in this post are his only and do not necessarily reflect the views of Telstra.