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Lead on Purpose:

How Product Managers


Lead Teams to Success

What are Patents?

Patents and the Product Manager

Agile Market Requirements

Problem Solving:
It’s All About Smart(er) Questions

P r a g m a t i c M a r k e t i n g ’s
2007 Annual
Product Management
and Marketing Survey
Viral Marketing? Search Engines? Blogs?
his
n duct t
ct us t
o c o p any
r co m
Conta sit e at you p coming
a r o n ove r fo r u .
semin c s
b a ck cation
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da Create a Strategy to
Reach Buyers Directly
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• Learn to publish content that people want to read and


search engines reward with high rankings. Understand how
tools like blogs, podcasts, webcasts and social networking
enhance your online presence.

• Learn a step-by-step, practical framework for building an


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Based on the best-selling book, The New Rules of


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Visit www.pragmaticmarketing.com/newrules
or call (800) 816-7861 to register

T h e I n d u s t r y S t a n d a r d f o r Te c h n o l o g y P r o d u c t M a n a g e m e n t a n d M a r k e t i n g
The Pragmatic Marketer ™
8910 E. Raintree Drive
Scottsdale, AZ 85260 Inside this issue: Volume 6 Issue 1 • 2008
Pragmatic Marketing, Inc.
CEO
Craig Stull 4 P ragmatic Marketing’s 2007 Annual
President
Product Management and Marketing Survey
Phil Myers Steve Johnson
Editor-in-Chief Each year Pragmatic Marketing conducts a
Kristyn Benmoussa survey of product managers and marketing
Editor professionals. Where do you stand with
Linda Sowers the national averages?
–––––––––––––––––
Interested in contributing an article? 10 L ead on Purpose:
How Product Managers Lead Teams to Success
Visit www.TPMmag.com/submit
Michael Ray Hopkin
No part of this publication may be reproduced,
stored in any retrieval system, or transmitted, in There is pressure on the product manager to inspire others
any form or by any means, electronic, mechanical to do great work—even though he or she cannot hold others
photocopying, recording or otherwise, without the accountable. As a result, product managers must be persuasive,
prior written permission of the publisher.
flexible, persistent, and optimistic; they must lead on purpose.
The Pragmatic Marketer™ is available free of
charge to qualified subscribers. For subscription
or back issues call (480) 515-1411; or visit
pragmaticmarketing.com/subscribe 16 What are Patents?
To be removed from the mail list, visit Tod DeBie
pragmaticmarketing.com/unsubscribe
or send an email to info@pragmaticmarketing.com
For technology product managers, just about any new
For advertising rates, call (480) 515-1411.
product or feature is patentable: hardware, software,
Other product and/or company names mentioned
business methods, etc. Every new feature and product
in this journal may be trademarks or registered you create should be examined for patentability.
trademarks of their respective companies and are Here is a quick overview about the rules, kinds and
the sole property of their respective owners. The
Pragmatic Marketer, a Pragmatic Marketing, Inc. restrictions of patents.
publication, shall not be liable regardless of the
cause, for any errors, inaccuracies, omissions, or
other defects in, or untimeliness or unauthenticity 20 Patents and the Product Manager
of, the information contained within this magazine. Tod DeBie
Pragmatic Marketing makes no representations,
warranties, or guarantees as to the results obtained Patents are not just for the engineers or legal
from the use of this information and shall not be
liable for any third-party claims or losses of any
department. While engineers are an important
kind, including lost profits, and punitive damages. source of innovation and legal departments
The Pragmatic Marketer is a trademark of must be involved in the patent process,
Pragmatic Marketing, Inc. product managers are uniquely situated both
Printed in the U.S.A. to create new patentable inventions and guide the
All rights reserved. company to inventions worth patenting.
ISSN 1938-9752 (Print)
ISSN 1938-9760 (Online) 23 Agile Market Requirements
About Pragmatic Marketing® Steve Johnson
Founded in 1993, Pragmatic Marketing provides
training, consulting services and an online
Successful product teams are agile, combining
community for product managers, marketers collaboration with small iterations. The key to
and business leaders at thousands of technology any agile team is building products that people
companies. 
want to buy. To do that, an agile team needs a
We have trained more than 45,000 product
management and marketing professionals using the
messenger for the market, a product manager
Pragmatic Marketing Framework, a common sense who thoroughly understands the problems facing
approach to identifying market problems, building today’s customers.
the right solution and creating effective go-to-market
strategies. Over 90% of attendees rate the training
as essential or very useful to their careers. 
29 P roblem Solving:
Our Consulting Services provide technology
companies with implementation support and
It’s All About Smart(er) Questions
custom services designed to enhance the training Nilofer Merchant
received at Pragmatic Marketing’s seminars or
onsite workshops. The answer isn’t always in the solution—it’s in the
The online community at PragmaticMarketing.com questions. Smart questions define problems well
is the first-choice destination for technology product and lead to a clear vision of the issues involved.
management and marketing professionals. With
more than 35,000 visitors per month, this dynamic
resource center contains hundreds of articles, a job
board, book reviews, instructional webinars, links
to peer networking groups and much more. The Pragmatic Marketer  •  Volume 6, Issue 1, 2008  •  3
Visit www.PragmaticMarketing.com to learn more.
$
AT I C
M ARKETI
NG COMPENSATION
M ’S
AG
P R
2007
ANNUAL 17%
say the bonus
motivates a lot
Product Management over 26%

and Marketing Survey


say the bonus
does not
Average US product motivate
management compensation at all
is $100,259 salary plus
Each year Pragmatic Marketing conducts a survey of product $14,799 annual bonus.
management and marketing professionals. Our objective is to
provide you with information about compensation as well as 84% of product managers
get a bonus based on:
the most common responsibilities for product managers and
other marketing professionals. • 62% company profit
• 44% quarterly objectives
Over 900 product management and marketing professionals (MBOs)
responded to the survey, which was conducted during the
• 32% product revenue
period of October 29 through November 28, 2007 using
Vovici’s EFM Feedback.

Note: When making decisions, remember this report is


describing typical practices, not best practices. To learn
best practices in product management and marketing, attend
Compensation by state
a Pragmatic Marketing seminar.

Adjusted for relative cost of living


(COLA) using Q2, 2007 data from
All comparisons are in US Dollars. the Missouri Economic Research
and Information Center. States
with less than three responses
were excluded.

Profile of a product manager


72%
88% are
men
claim to be The typical 28%
“somewhat” product 41% have are
The average 93%
or “very” manager completed women
product have
technical has a masters
manager completed
responsibility program
is 37 college
for three
years old
products

­4  •  The Pragmatic Marketer  •  Volume 6, Issue 1, 2008


Regional impact on compensation

Maximum Average Minimum Maximum Average Minimum


Salary Salary Salary Bonus Bonus Bonus
Europe $ 17 0, 0 0 0 $ 10 0, 6 2 9 $ 3 5, 0 0 0 $ 6 5, 0 0 0 $ 16, 4 8 3 $0

Canada 18 3, 0 0 0 9 5, 6 3 5 5 3, 0 0 0 4 0, 0 0 0 11, 014 0


USA* 24 0, 0 0 0 10 0, 2 59 3 0, 0 0 0 215, 0 0 0 14 , 7 9 9 0
  Midwest 2 0 0, 0 0 0 8 8, 4 8 4 3 0, 0 0 0 12 5, 0 0 0 13, 8 4 3 1, 0 0 0
  Northeast 24 0, 0 0 0 10 3, 5 3 3 4 0, 0 0 0 7 0, 0 0 0 14 , 5 0 0 1, 0 0 0
  Pacific 2 0 0, 0 0 0 10 9, 5 69 59, 0 0 0 215, 0 0 0 16,161 0
  South 16 0, 0 0 0 9 6,110 4 7, 0 0 0 6 0, 0 0 0 15, 3 3 3 0
  Southwest 14 5, 0 0 0 10 2 ,16 2 5 0, 0 0 0 4 0, 0 0 0 13, 5 0 0 0
  West 14 3, 0 0 0 9 3, 8 7 9 6 0, 0 0 0 10 8, 0 0 0 14 , 714 1, 0 0 0
Midwest (IA, IL, IN, KS, MI, MN, MO, ND, NE, OH, SD, WI); Northeast (CT, DE, MA, ME, NH, NJ, NY, PA, RI, VT);
Pacific (AK, CA, HI, OR, WA); South (AL, FL, GA, KY, MD, MS, NC, SC, TN, VA, WV); Southwest (AR, LA, OK, TX); West (AZ, CO, ID, MT, NM, NV, UT, WY)

COLA
State Average Average
Illinois $ 124 , 2 31 $ 12 7, 5 4 7 Gender bias in compensation
Texas 113,10 8 12 6, 3 78 Conventional wisdom is that men earn more than women
Georgia 113, 4 5 8 12 3, 9 9 8 for the same job.
North Carolina 114 , 9 0 0 12 0, 4 4 0 Women: $94,851 Men: $100,587
Missouri 10 8, 0 0 0 119, 8 6 7
Arizona 12 7, 0 0 0 119, 5 8 6 However, the data suggest that males and females earn approximately
the same amount when they have the same level of experience.
Virginia 112 , 2 31 112 , 6 81 The overall numbers for women skew lower because the percentage
Average 10 7, 8 3 4 of women is higher in the lower-experience levels.
Utah 10 5, 6 6 7 10 6, 6 2 6 Annual Salary
Michigan 10 5, 2 8 6 10 6, 24 2 $125,000 Women
Median 10 5 , 0 0 0
Colorado 10 6, 69 2 10 4 , 3 9 6 $100,000 Overall
South Carolina 94,6 67 101, 0 3 2 $75,000 Men
Florida 10 5, 3 6 4 101, 0 2 0
$50,000
New Hampshire 115, 75 0 10 0, 3 9 0
Massachusetts 12 5, 0 6 5 9 9, 813 $25,000
Washington 10 4 , 714 9 9, 5 3 8
Years of
Minnesota 9 9, 5 3 8 9 8, 74 8 0 1 to 2 3 to 5 6 to 10 11 to 15 15+ Experience
Wisconsin 9 4 ,15 4 9 8, 0 7 7 Years of Experience
Ohio 9 0, 6 0 0 9 6, 2 81
100% Women
Connecticut 121, 2 5 0 9 6,15 4
Nebraska 8 6, 5 0 0 9 5, 5 8 0 80% Men
California 12 8, 76 7 9 3, 513 60%
Tennessee 82,4 0 0 9 2, 273
Maine 9 9, 0 0 0 9 0, 74 2 40%
New York 119, 8 75 8 9, 3 2 6 20%
Maryland 111,12 5 8 8, 8 2 9
Oregon 9 6, 8 75 8 8, 2 2 9 0% Years of
0 1 to 2 3 to 5 6 to 10 11 to 15 15+ Experience
New Jersey 10 9, 5 0 0 8 5, 614
Alabama 7 7, 3 3 3 8 4,0 5 8
Pennsylvania 8 5, 2 5 0 8 3, 2 5 2
The Pragmatic Marketer  •  Volume 6, Issue 1, 2008  •  5
South Dakota 5 7, 3 3 3 6 2 ,18 4
Pragmatic Marketing’s 2007 Annual Product Management and Marketing Survey

ORGANIZATION
CEO
VP The typical product manager reports to a director in the product
COO management department.
• 39% report to a director
Product
8% Manager 33% • 33% to VP
• 8% report directly to the CEO or COO
Director • 36% are in a product management department
• 21% are in the marketing department
39% • 12% are in Development or Engineering
• 6% are in a sales department

Working with Development Product Management


ratios within the company
The majority of product managers research market needs, write
requirements, and monitor development projects. How are product managers allocated relative
to other departments?
• 89% monitor development projects
• 85% write requirements (the “what” document) For each product manager, we find:
• 70% research market needs • 0.7 Product marketing managers
• 53% prepare business case (up from 0.4 in 2006)
• 51% write specifications (the “how” document) • 0.7 Marketing communications
Percentage responsible for P&L
• 18% perform win/loss analysis • 6.9 Sales people
(up from 3.2 in 2006)
35%
• 2.3 Sales engineers (pre-sales support)
Working with Marketing 30% (huge leap from 0.8 in 2006)
Communications and Sales 25% • 0.9 Development leads
Product managers also spend time providing 20% • 12.2 Developers
technical content for marketing and sales. • 0.7 Product architects and designers
15% (a huge jump from 0.4 in 2006)
• 47% train sales people
10%
• 44% go on sales calls Other ratios
• 43% write promotional copy 5%
• 3.4 developers per QA manager
• 36% approve promotional materials 0%
Product Product (versus
Director 5:1 in
VP 2006)
CFO CEO Other
• 14% work with press and analysts Manager Marketing
• 2.9 sales people per SE
Manager(improved from 4:1 in 2006)

Responsible
Percentage responsiblefor Product
for P&L Profit & Loss Responsible
Percentage responsible forfor Go-to-Market Strategies
go to market

35% 35%

30% 30%

25% 25%

20% 20%

15% 15%

10% 10%

5%
5%
0%
0%
Product Product Director VP CFO CEO Other Product Product Director VP CMO CEO Other
Manager Marketing Manager Marketing
Manager Manager

­6  •  The Pragmatic Marketer  •  Volume 6, Issue 1, 2008

Percentage responsible for go to market


Pragmatic Marketing’s 2007 Annual Product Management and Marketing Survey

Product Management 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% ACTIVITIES
Monitoring development projects
Writing product requirements
Details of product management
Researching market needs
and product marketing activity
Creating sales presentations and demos
Where do product management and
Creating material for internal audiences (intranet/wiki) marketing professionals spend their
Preparing business case time? Over 80% of product managers
are monitoring development projects
Writing detailed specifications and writing market requirements.
In addition, most product managers
Training sales people are involved with researching market
Going on sales calls needs and creating sales presentations
and demos.
Writing copy for promotional material
The good news from this chart is that
Creating material for external audiences (blog/newsletter) over 50% of product managers are
Planning and managing marketing programs building business cases. The business
case is the evidence of the product
Visiting sites (without sales people) manager’s role as a business leader in
the company.
Approving promotional material
Sadly, fewer than 20% of product
Performing win/loss analysis managers are doing win/loss analysis,
Measuring marketing programs which is such a critical input to
product planning!
Working with press or analysts
Compared to product managers,
Product Marketing product marketers should have an
emphasis on “outbound” activities.
Creating sales presentations and demos It is interesting, however, that 50%
of product marketers also spend
Planning and managing marketing programs time monitoring development
activities, indicating that the product
Writing copy for promotional material management and product marketing
roles are not consistently defined by
Approving promotional material
inbound vs. outbound activities.
Training sales people

Researching market needs


Impacts on productivity
Creating material for internal audiences (intranet/wiki)
• Product managers receive
Creating material for external audiences (blog/newsletter) 50 e-mails a day and send about 25.

Monitoring development projects • Product managers spend


approximately two days a week
Going on sales calls in internal meetings (15 meetings
per week). But 55% go to 15 or
Preparing business case more meetings each week, and
35% attend 20 or more meetings!
Measuring marketing programs

Writing product requirements

Working with press or analysts

Visiting sites (without sales people)

Writing detailed specifications

Performing win/loss analysis

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Some None The Pragmatic Marketer  •  Volume 6, Issue 1, 2008  •  7
Pragmatic Marketing’s 2007 Annual Product Management and Marketing Survey

Product Management vs. Product Marketing

0% 20% 40% 60% 80% 100%


Monitoring development projects

Writing product requirements

Writing detailed specifications

Creating sales presentations and demos

Preparing business case

Researching market needs

Going on sales calls

Creating material for internal audiences (intranet/wiki)

Planning and managing marketing programs

Training sales people

Creating material for external audiences (blog/newsletter)

Visiting sites (without sales people)

Writing copy for promotional material

Working with press or analysts

Measuring marketing programs

Performing win/loss analysis

Approving promotional material

Product Manager Product Marketing Manager

To see the latest analysis, visit www.pragmaticmarketing.com/survey

Steve Johnson is an expert in technology product management. He works for Pragmatic Marketing as an instructor for the
top-rated seminars Practical Product Management, Requirements That Work and Pragmatic Roadmapping. Steve is a frequent
presenter at technology marketing forums throughout the United States and Europe, author of many articles on technology product
management, and the writer of the ProductMarketing.com blog. Contact Steve at sjohnson@pragmaticmarketing.com

­8  •  The Pragmatic Marketer  •  Volume 6, Issue 1, 2008


Achieving Best Practice in
Product Management and Marketing
with Pragmatic Marketing
Implementation of any change As experts in what works and what environment, Pragmatic Marketing
framework is hard. As an executive doesn’t, Pragmatic Marketing can can then suggest a course of action to
or business unit leader, you know the accelerate your implementation of a achieve success that includes one or
steps involved and could probably do market-driven framework, helping you more of the following:
it yourself. But your goal is to drive change the organization rapidly and
profit, customer satisfaction or other effectively with minimum disruption. • Alignment with your market by
corporate metrics, not change internal The seminars and workshops we teach identifying gaps between your current
processes. You just don’t have the time have provided the basis for successful organizational state and best practice,
or resources to lead the effort, and be shifts in corporate strategy, break- then creating a plan to address
a coach to the entire team. through products and market-leadership the misalignment.
positions for many organizations. • Acceleration of your product plan by
What you need is a trusted consultant Quite simply, the Pragmatic Marketing
who knows your business and can uncovering market problems which
Framework has become the industry can be used to develop the business
implement enough process to create standard because it works!
efficiencies without forcing the entire case for new product development.
company through an upheaval. With • Optimization of your go-to-market
an expert you trust, there is no trial Engagement Details programs by analyzing your existing
and error but immediate results solutions to current market problems,
A usual project begins with a
in the key areas of success for a and using this knowledge to drive
knowledge exchange, in which
market-driven company: marketing programs and sales
members of your executive team review
• Market sensing what it means to be truly market-driven effectiveness.
and how your current organization
• Speed to market • Reinforcement of market-driven
is aligned to meet that goal. With
principles by delivering a series of
an understanding of your current
• Product adoption tactical sessions focused on specific
tasks from the Pragmatic Marketing
• Product launch Framework.
• Customer satisfaction
To gain a better understanding of what
Pragmatic Marketing can do for you, please
visit www.pragmaticmarketing.com/services
or call (800) 816-7861.

The Pragmatic Marketer  •  Volume 6, Issue 1, 2008  •  9


Lead on Purpose
How Product Managers
Lead Teams to Success
In a recent article in The Pragmatic Marketer, Alyssa Dver states
that the success of product managers is measured by how well
they get other people in the company to do their jobs.1 There’s a
lot of truth in that statement! In most organizations, the product
manager does not have direct reports, but still is responsible
for assuring that the right product is released on time
and under budget.

This dilemma puts pressure on the product manager to inspire


others to do great work—even though he or she cannot
hold others accountable. As a result, product
managers must be persuasive, flexible, persistent,
and optimistic; they must lead on purpose.
By Michael Ray Hopkin

Seven guiding principles Applying the principles to Naturally, in the world of product
product management management, most product managers
I derived the title “Lead on Purpose” think about the products they manage
and many other ideas and practices How do the principles apply to as the true assets. The success of
from a seminar called “Live on product management? The role a those products creates revenue
Purpose” given by my friend and product manager often plays in an for the company and results in
coach Dr. Paul H. Jenkins (“Dr. organization resembles (at a macro praise and commendations for the
Paul” www.drpaul.org). Dr. Paul is level) the role a person’s brain plays product managers.
a clinical psychologist who specializes in influencing individual thoughts
in helping people encounter, and actions. The product manager Unfortunately, many companies view
recognize, embrace, live, and share must choose to work with other team their employees as another expense
true principles of abundant living. members who are responsible for on the income statement. Simply put,
Dr. Paul teaches the importance different aspects of the project in such things of monetary value are most
of letting principle guide through a way that allows them to function commonly thought of as assets; and,
seven key points: as a single unit. For most product often, people become tools or objects
managers, the team consists of to help an individual or company
1. People are assets. He describes acquire more “assets.”
managers and individual contributors
how people—not things—are
who design, develop, test, market, In truth, the real assets of any
the true assets that add value
support, and sell the product. Without organization are the people. Their
to our lives.
the team, products go nowhere. intellect—along with personality,
2. Trust is vital. When we focus on skills, knowledge, character, integrity,
In much the same way (also at a
building relationships and trust and other things collectively referred
macro level) that a CEO runs the
with others, we all grow together. to as “human life value”—create the
company, the product manager acts as
the catalyst to drive unity in purpose true value in any organization.
3. Knowledge is power. Knowledge
is actually potential power; only and action, which ultimately leads to Because of the nature of the work,
when it is applied does it become the timely release of quality products. it is vital that product managers treat
true power. their colleagues as true assets. Toward
If a product manager wants to lead
product teams with purpose and that end, a product manager must
4. Be decisive. We make decisions
energy, practicing and applying the spend time with the team. This means
every day, and when we are
principles of living on purpose to the talking with them, listening to their
decisive, things fall into place.
daily work of product management concerns and fears about the current
5. The victim paradigm. Victims inspires that unity and synergy among phase of the project, and occasionally
shirk responsibility for their team members and develops a more taking them out for lunch. I’m always
actions, blame others when efficient and successful creation of amazed at how much a lunch
problems occur, live in scarcity, a product. Here is a look at how motivates people.
and consume more than product managers can apply the seven When team members feel valued,
they produce. principles to their jobs: they care more about the product
6. The agent paradigm. Agents take on which they are working. Face-time
accountability for their lives, live Principle 1 with the team also helps product
in abundance, and produce more People are assets managers understand individuals and
value than they consume. personally assist them. Time spent
In today’s world, when people talk with the team pays financial dividends
7. The choice. As individuals, we about assets, they most often refer to as high-quality products make it to
ultimately choose the paradigm their house, car, boat, or investments. market on time and with enough
in which we live. In the business world, technology and vitality to excite the sales force. When
products—along with their associated product managers focus on the people
These seven principles provide
intellectual property—are the assets with whom they work, the products
direction for those who desire to live
that typically get the most attention. succeed as a result.
their lives with purpose—those who
want to take control of their actions
and live abundantly.

1) “Are you Decent?” The Pragmatic Marketer, Vol. 5, Issue 2, 2007; pp 26-30.
The Pragmatic Marketer  •  Volume 6, Issue 1, 2008  •  11
Lead on Purpose: How Product Managers Lead Teams to Success

Principle 2 Principle 3 Principle 4


Trust is vital Knowledge is power Be decisive
Gaining the trust of the team goes Before product managers can tackle How do product managers take
hand-in-hand with treating people difficult situations and effectively aim? For starters, they need to have
as assets. When product managers lead their teams to success, they a clearly-defined reason for why a
value the work and the efforts of need to gain knowledge. There are product is necessary. This definition
their teams, they gain the trust of many sources of product and market includes problem statements that
team members. When teams know knowledge: business books, analyst will be solved by the product
they are working on a great product reports, trade rags, blogs, and the and clearly-defined requirements
that will sell in the market, they are Internet. The volume of information to get there. Product managers
freed from worries about job stability is overwhelming, and keeping up need to define three things about
as well as from the boredom of less sometimes seems next to impossible. their products:
exciting products. Because knowledge is vital to leading
on purpose, product managers • Where is the product today?
Product managers gain the trust must seek avenues for finding the
of their teams by rolling up their • Where does it need to go and by
knowledge that will be most useful what time?
sleeves and getting to work. When to them and their specific needs.
the development team has an alpha • How can the team get the product
version of the product ready, a In the world of product management from here to there?
sharp-witted product manager will and marketing, one of the best sources
install it, exercise the functionality, and of knowledge I have found that can As product managers, do not
provide feedback to the team. When be applied directly to our work is underestimate the importance not
the documentation team has a draft Pragmatic Marketing. The company only of making key decisions,
of the new documents, the product provides a wide range of training but also of standing behind those
manager will carefully review and and consulting geared to educating decisions. We cannot afford to blame
provide comments. As the product gets and improving the role of product others for our decisions. If the team
closer to a beta- and ship-ready state, managers (or product marketing makes a decision, stand up and take
great product managers will work managers). responsibility for the consequences.
closely with marketing and operations Do not permit FEAR (false evidence
to make sure plans are laid for a What is the best way for product appearing real) to lead us or allow
successful product launch. managers to apply the knowledge our concern for what could happen
they gain to achieve power in their to change the course of our behavior.
Throughout the project lifecycle, position? Ultimately, they need to We must be confident in our ability to
product managers find ways to help find ways to put the knowledge they make decisions and in others’ abilities
customer-facing teams prepare to acquire into action. This most often to agree with and support us.
sell and support the product. In this becomes a personal quest; no one
way, product managers gain trust by else can do it for us. At the same time, be humble enough
showing that they are reliable and in to accept that we are not always right,
charge—leading on purpose. We can and should use tools that help and often need to change our own
us gather, filter, and deliver documents course of behavior. Making decisions
Another way to build trust is to and other types of collateral that gives us the opportunity to learn and,
take the heat when things do not ensure the team (and others) know ultimately, make better decisions.
go exactly as planned. Sometimes, product direction. I have used Ryma As product managers, we must act
taking responsibility can result in a Technology Solution’s FeaturePlan as confidently humble.
better outcome for the product. In a the tool for gathering and organizing
recent assignment, I took on a broadly the data that comes at me. Product managers must also provide
installed product that was failing with vision into where a product is going
many customers. Within days of taking Other product managers write blogs and how it will get there. Once the
over, I received calls from frustrated to disseminate knowledge. The tool vision is clear, share it with the team.
sales and product support engineers we use is less important than the effort The act of sharing vision with people
who wanted me to hear customer we put forth to use our knowledge working on various aspects of product
frustrations first hand. I accepted every to create valuable products. As product development arms them with energy
request. Even though I didn’t solve managers, we hold the key to our and desire to do their part for the
many problems at first, the mere act products’ success. success of the product. This can be
of listening to customers, discussing tricky, but if we want our team to take
their frustrations, and applying this their products in the desired direction,
knowledge to improving the product we must demonstrate vision.
won me the trust not only of the
customers, but also of my colleagues.
With the resulting synergy among
the team, we were able to release a
successful new version of the product.
­12  •  The Pragmatic Marketer  •  Volume 6, Issue 1, 2008
Lead on Purpose: How Product Managers Lead Teams to Success

Principle 5
Shun the victim paradigm
People living the victim mentality
blame others for what goes wrong
rather than taking responsibility
for their actions. They often live
in scarcity or feel there’s never
enough of anything and, therefore,
must have more for themselves. It’s
often a “Why me?” approach when
bad things happen.
Victims go through life avoiding
situations that could possibly harm
them or make them look bad. They
consume more than they produce.
They take the “I can’t” approach: I
can’t handle it; I can’t afford it; I
can’t do it. The ultimate outcome
of the victim mentality is captivity.
Those who take this approach
end up in bondage to the forces
around them, instead of free to
act for themselves.
Playing the victim as product
managers will not work. We must These people are producers—creating confidence in our direction. Living the
recognize moments when these more value than they consume. They agent paradigm as product managers
types of beliefs are entering our minds take the “How can I?” approach: How means living it personally—and
and seize the opportunity to employ can I handle it? How can I afford it? leading our team members to live it
some of the techniques previously How can I do it? Agents realize life is themselves. By leading as producers,
discussed to bring us back to leading a package deal and comes with ups we inspire others to live as producers;
“on purpose.” and downs. They do not focus on by moving forward as a team, we
the flaws or imperfections in others, produce great products that people
Principle 6 but on their positive traits. For those want to buy.
Live the agent paradigm who take this approach, the ultimate

We often admire people living


outcome is prosperity. Agents are free
to live unencumbered by the actions
Principle 7
the agent paradigm. Agents take of others—feeling joy and happiness Make the choice
responsibility for their actions and in their accomplishments and enjoying Achieving prosperity and success
shoulder the blame—even when they the trust and respect of others. is a choice each of us must make.
may not be fully responsible. They However, by personally living the
live in abundance and recognize To achieve success, product
managers must lead teams within principles of abundance, we inspire
that there is more than enough for others to do the same—thereby
everyone. When bad things happen, the agent paradigm. We must take
responsibility for the progress of increasing the success of the team
agents ask “Why not me?” and work and the entire organization.
toward solutions. product development and its success
when the product hits the market. The choice of how we will act, inspire,
Our goal is to willingly stand up, look and lead our teams is ours to make.
people in the eye, and demonstrate Make the choice to lead on purpose!

Michael Ray Hopkin has over 12 years experience working as a software engineer and a product manager for
companies ranging from startups to major corporations. Michael currently works as a senior product manager at
Altiris (now part of Symantec) and is responsible for the company’s core platform. He is a proven communicator
who has repeatedly demonstrated the ability to gain the trust and commitment of large, cross-divisional work
groups. He is eager to communicate with you about improving the leadership role of product management.
To contact Michael, visit his blog, http://leadonpurpose.wordpress.com or email him at mrhopkin@gmail.com

The Pragmatic Marketer  •  Volume 6, Issue 1, 2008  •  13


Are your product management and marketing teams
overloaded with tactical activities, spending too much
time supporting Development and Sales rather than
focusing on the strategic issues of the organization?

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What are Patents? By Tod DeBie

A patent is a right granted by the • Useful. The usefulness requirement • Not obvious. The “not obvious”
government to inventors in order is two-fold: that your invention has requirement means that an inventive
to exclude others from making, a useful purpose and that it must step is required. Your invention has
using, offering for sale, or selling the actually perform its intended to be different enough from what is
patented invention in the United States purpose. A useful purpose can already out there in the field in order
or importing the invention into the be almost anything: The patent to be patentable. This is an area,
U.S. This means that you get total office, for example, issued Patent however, where the law is not very
control over your patented invention No. 6,368,227 to a boy who clear. Patents are regularly granted
and get to decide who, if anyone, claimed the invention of swinging for surprisingly small improvements
can use your invention. side-to-side, claiming the usefulness in a field. You should not let your
of joy. Along with good feelings or thinking on this requirement prevent
Patents are valid for 20 years from whatever other benefit you wish to you from trying to patent something.
the date you file your application, claim, the invention must also work If you have an idea that you think is
but patent rights are, in general, only in order to be useful. If the patent worth patenting, explain it to your
enforceable from the date your patent office thinks your invention might patent agent or attorney, and let
is approved by the U.S. Patent and not work, they may ask you to them tell you if they think it meets
Trademark Office (USPTO). prove that it does. Patent application the “not obvious” requirement.
According to the patent office, an number 20,030,114,313 claimed the
invention of warp drive, which is In addition, you cannot patent the
invention is “any new and useful laws of nature, physical phenomena,
process, machine, manufacture, or “a system whose propulsion relies
on warping space-time as opposed and abstract ideas. Things like
composition of matter, or any new Isaac Newton’s theory of universal
and useful improvement thereof.” to the ejection of material to provide
thrust.” While the application packed gravitation or Albert Einstein’s
For technology product managers, theory of general relativity are
just about any new product or feature more than 400 paragraphs of
technical detail, the patent office not patentable.
is patentable: hardware, software,
business methods, etc. Every new cast a skeptical eye, and asked the
feature and product you create should inventor to provide a working model
be examined for patentability. before the patent application could
be examined. (A model, working or
While just about anything can be otherwise, was unfortunately not
patented, a few criteria must be met. delivered by the inventor.)
Specifically, patented inventions must
meet three characteristics: novel, useful
and not obvious.
• Novel. The novelty requirement
is straightforward: Your invention
must be new. Inventions that already
exist cannot be patented. This
gets a little tricky, because you
can patent new uses for existing
products. This frequently happens
when a new use is discovered
for an old pharmaceutical drug,
where new testing shows the
drug to effectively treat a
completely unrelated disease.
The new use has to be truly
new and unrelated to the
original use.

­16  •  The Pragmatic Marketer  •  Volume 6, Issue 1, 2008


Three basic kinds of patents • The drawings should show the Most of the states in the U.S. allow
are allowed: main components of the invention. employment agreements that force
Software and business-method employees to sign away rights to all
• Utility patents, which cover patents, which do not always inventions that they come up with
inventions that function uniquely contain a physical device, often use during their employment, even if they
to produce a useful result. flowcharts for the drawings. came up with the idea on their own
• Design patents, which cover the time and it has nothing to do with
• The claims describe, in legal the business of their employer.
unique, ornamental, or visible shape terms, the invention for which
or surface of an object. California has laws in effect that
patent protection is claimed. They restrict employment agreements
• Plant patents, which cover are written in a precise form, based to assignment of employers rights
asexually reproducing plants. on statutory requirements and only to inventions that are related
conventions that initially can be to the company or were created
Most ideas from product managers are difficult to decipher. The claims on company time or equipment.
likely to be patented as utility patents. break down your invention into If you have developed your own
small, precise descriptive statements. personal inventions, be sure to check
Anatomy of a patent application what rights you have under your
Ownership vs. inventorship employment agreement.
Patent applications consist of three
main components: the description, If you alone come up with an idea for
the drawings, and the claims. There your product, you are the inventor and Important limitations
are a few other components, but will be listed as such on the patent. If In addition to the limitations above,
the preceding three are the primary you are brainstorming with a colleague there are also limitations on what you
ones to consider. and develop the idea together, then can do with the invention before you
you both will be listed as inventors. file for a patent. In the U.S., you have
• The description is a detailed To be listed as an inventor, you
description of the invention and one year from the time the invention
must contribute at least one element is first publicly disclosed or offered for
the “prior art” or related earlier to the invention.
products, concepts, or inventions. sale to file a patent. After one year,
The description will explain all of While you might be listed as the you cannot file for a patent on the
the components of the invention inventor, you will probably not own invention, even if you never actually
in detail. the patent. Check your employment built or sold the invention. Therefore,
agreement, and you will likely find if you released a product 11 months
that you have signed away all rights to ago with inventive new features
the idea to your employer. They will you want to protect, you should
be listed on the patent as the assignee, get patent applications drafted and
meaning they get to control the filed immediately.
ownership and licensing of the patent. There are additional restrictions to
consider if you want to file patents in
other countries. For example, some
countries may not allow patents to
be filed at all if the invention has
been publicly disclosed. If you have
significant business outside the U.S.,
you should consider filing patents
in those countries where you do
business, but be aware that the patent
law will be different in each country,
so have your legal team do the
necessary research.

What can be patented? “Anything under the sun that is made by man.”
—P
 . J. Federico 1952, a principal draftsman of the U.S.
patent law, in his testimony regarding that legislation.
Famously quoted by Chief Justice Warren Burger, U.S.
Supreme Court in Diamond vs. Chakrabarty 1980.

The Pragmatic Marketer  •  Volume 6, Issue 1, 2008  •  17


What are Patents?
Interesting,
notable, and Patent examples Another good example is the Netflix
strange patents In order to better focus on what is
U.S. Patent No. 7,024,381 for online movie
rentals. Here is the first claim:
patentable from a software perspective,
let’s look at a few examples: A computer-implemented method for
•••• renting movies to customers, the method
U.S. Patent No. 5,107,620 One good example is U.S. Patent No. comprising:
electrified table cloth 5,960,411, the now infamous Amazon.com
“one-click” patent. Here is one of the providing electronic digital information
key claims: that causes one or more attributes of
movies to be displayed;
A method for ordering an item using a
client system, the method comprising: establishing, in electronic digital form,
from electronic digital information
displaying information identifying the received over the Internet, a movie
item and displaying an indication of a rental queue associated with a customer
single action that is to be performed to comprising an ordered list indicating
order the identified item; and two or more movies for renting to the
customer;
in response to only the indicated single
•••• causing to be delivered to the customer
action being performed, sending to a
U.S. Patent No. 3,216,423 up to a specified number of movies
server system a request to order the
apparatus for facilitating the birth based upon the order of the list;
identified item
of a child by centrifugal force in response to one or more delivery
whereby the item is ordered independently criteria being satisfied, selecting another
of a shopping cart model and the order movie based upon the order of the list
••••
is fulfilled to complete a purchase and causing the selected movie to be
U.S. Patent No. 5,443,036
of the item. delivered to the customer;
method of exercising a cat with
a laser pointer In plain English, Amazon patented the and in response to other electronic
process of displaying an “order now” button digital information received from the
on a page with an item to be sold, and customer over the Internet, electronically
fulfilling the order when the button was updating the movie rental queue.
pressed. This is an excellent example of
taking a killer feature that was implemented Here, Netflix has not patented online
in a product or site and patenting it. movie rentals. It has patented their process
of letting users select multiple movies for
The claim above has two elements: rental and sending new ones out as the
“displaying” something and “sending” customer returns old ones. You could
something. The “whereby” clause simply implement an online movie rental system
notes the effect of the first two elements, where a user just selects one movie to rent
and anyone that practices both elements and you send it out and then wait for them
•••• without a license to do so is infringing to return it and then don’t automatically
U.S. Patent No. 6,637,447 on the patent. You can practice one or ship another one when they return the first
Beerbrella the other element without a license, but one and not violate this claim.
if you do both, you must get a license
for the patent. The point is, we often hear things like
•••• “Company X just got a patent on the
U.S. Patent No. 3,150,641 mouse” or some other technology that has
dust cover for dog been around forever or something that
seems absurdly obvious. In reality, they
Tod DeBie is a professional product actually patented something that involves
manager with over 12 years of product some commonly known elements that
management experience in both are being used in a new way or different
enterprise software and web commerce combination.
companies. Prior to his product Product features like Amazon’s one-click
management experience, Tod worked in ordering and the Netflix movie-rental
several other roles, including engineering, system are excellent examples of taking
quality assurance, technical support and existing technologies, doing something
•••• product marketing. Currently, he has new and interesting with them, and then
A good example of something 15 patent applications at the USPTO, getting a patent.
that should have been patented: and several more on the way. Tod can
VisiCalc, by Dan Briklin be reached at tod_debie@hotmail.com References
www.bricklin.com/patenting.htm
United States Patent and Trademark Office (www.uspto.gov)

­18  •  The Pragmatic Marketer  •  Volume 6, Issue 1, 2008 Patent It Yourself, by Patent Attorney David Pressman
co
m
in
g
so
on
Pragmatic Marketing is writing a book!
Tuned In: Uncover the extraordinary opportunities that lead to business breakthroughs
describes how to create ideas, businesses, products and services that resonate in the marketplace.
Published by John Wiley & Sons, it will be released in mid-2008.

For more, visit www.TunedInBlog.com


Patents and the Product managers are the driving force
behind innovation and problem-solving
in any well-run technology company;
yet many product managers do not

Product Manager
By Tod DeBie
immediately think of themselves
as inventors. When I speak with
product managers about patents, their
initial response is usually, “Isn’t that
something for my engineers or legal
department to worry about?”
While engineers are an important
“To promote the Progress of Science and useful Arts, by securing for limited Times to source of innovation and legal
Authors and Inventors the exclusive Right to their respective Writings and Discoveries” departments must be involved in the
patent process, product managers
— Article 1, Section 8 of the United States Constitution are uniquely situated both to create
new patentable inventions and guide
the company to inventions worth
patenting. In most companies, product
managers are closest to the customer
problem areas that need innovation;
and, therefore, most able to innovate
new and relevant solutions.
Product managers also possess the
best understanding of their market
and are capable of making the best
judgments concerning which ideas to
patent and on which areas to focus
for innovation.

­20  •  The Pragmatic Marketer  •  Volume 6, Issue 1, 2008


“Whoever invents or discovers any new and useful process, machine, manufacture, or composition protect themselves from other types
of action, but they don’t intend to
of matter, or any new and useful improvement thereof, may obtain a patent therefor, subject to generate significant license revenue
from it. At a minimum, just about
the conditions and requirements of this title.” every company should be doing
— United States Code, Title 35, Part II, Chapter 10, Section 101 these types of patents.
Companies looking to be acquired
often try to quickly build up a patent
portfolio concentrated around their
Product managers constantly strive to core business. The goal is to help
Why should a create the best and most innovative increase the value of the company by
assuring suitors that the business will
product manager ideas, only to see those ideas promptly
not be wiped out by a patent lawsuit
copied on release by their competitors.
care about patents? Most product managers view this as a the day after the company is bought
and that there are still plenty of new
normal and mostly unavoidable part
Isn’t it enough to know your market, products for the company to build
of life in the technology industry. With
understand customer needs, write based on the patents they hold.
a patent, however, product managers
good requirements, and have
can directly protect their work. Patents
Engineering build it? In many cases,
the answer is “No.” You might put in
enable you to control your idea: Encouraging
You can decide if you want to allow
effort to gather requirements, dispatch
competitors to license your feature
patent filings
teams of product managers to learn
(patent) or if you want to make it Companies that want to start building
from customers worldwide, spend
unique to your product. their patent portfolio need to offer
weeks with Engineering sorting out
the details of what to build, and wait incentives to their employees to
Patents can give your product
months while Engineering builds encourage them to submit ideas to
exclusive features that can’t be
it—only for a competitor to copy what be considered for patenting, and they
duplicated by any competitor. They
you did six months after you launched. need to create a process to support the
can also give you pricing power for
review of the incoming ideas.
your product (if the market really
Unless you filed a patent for your
wants those exclusive features). And This usually involves a patent
invention, your competitors can look
patents can simultaneously protect and committee, typically comprising the
at what you did in your product and
increase the value of your company. CTO, CLO, and CMO, to formulate the
implement the same feature in their
products—without having to put in the corporate patent strategy and review
effort to figure out that your feature Patent strategy and select submitted ideas for drafting
was the right thing to build. Even into patent applications.
What should you patent? That
worse, they might look at what you It also includes an incentive program,
depends on your patent strategy.
did, make it better, and still have put where employees receive a bonus if
Some companies have a broad patent
in only a fraction of the effort you did. one of their ideas is selected for filing,
strategy, where they will patent
anything that looks interesting, even if and another bonus when the patent is
it is unrelated to a business in which issued. One of my previous employers
they are currently participating. This paid $2,000 on filing and $3,000 on
approach is called an offensive patent issuance.
strategy, where they have built up a
As a product manager, you will
large patent portfolio and have created
not have to write any of the patent
a significant licensing revenue stream
applications yourself (see “Anatomy
from it or greatly enhanced their
of a patent application” in the
bargaining position.
accompanying article). You will
Other companies have a very generally be working with patent
defensive patent strategy, where they attorneys or agents who will draft your
are only looking to obtain patents that patent applications. You should review
are narrowly drawn to their business the applications, however, to ensure
model or products. This approach that they capture the important points
means that they can more easily of your invention.
defend themselves from patent
infringement lawsuits and

The Pragmatic Marketer  •  Volume 6, Issue 1, 2008  •  21


Patents and the Product Manager

The patent system “added the fuel of interest to the fire of genius, in the discovery and production of new and useful things.”
— Abraham Lincoln, Second Lecture on Discoveries and Inventions (Feb. 1859)

Removing creative Sometimes when I come back to Making patents a part


reality after spending time thinking
restraints about the patents rather than product, of every product plan
Patents provide a unique opportunity I actually decide to change the In the past, I have been frustrated as
for product managers. While writing product plans because I’ve thought a product manager by having many
requirements or brainstorming, I am of something new that is sto great it great ideas, but only seeing a few
invariably bound by the reality of overshadows the things I had planned implemented. Patents are a terrific
my product, including development during the normal process. creative outflow that gets my ideas
capacity, the current architecture, and In addition to this blue-sky thought down on paper so that, even if they
the release cycle. As much as I try process, I evaluate every requirement can’t be implemented right now, my
not to be bound by these things, they I write for “patentability.” Each time I ideas are protected so we will have an
impact my thinking, to at least a small write a requirements document, I list opportunity to implement them later.
degree, when considering the future the requirements that I think are novel
of the product. Patents are a new area for many
and not obvious and then select the product managers, but they are
As I have started to file patents ones from there that I want to forward increasing in importance and should
over the past few years, however, to the corporate patent committee be a part of every product plan.
my thinking has changed: When for consideration.
considering a patent, the reality of the
product does not matter. I am free This is not legal advice.
to think up whatever cool feature I For legal advice, please consult
want—without regard to how hard an attorney.
it is to execute or what my developers
have to do first. In fact, I’ve patented
things that I don’t think my company
will get to for several years, but
that I know will be market
dominating features when
the time comes.

Tod DeBie is a professional product manager with over 12 years of product management experience in both enterprise
software and web commerce companies. Prior to his product management experience, Tod worked in several other
roles, including engineering, quality assurance, technical support and product marketing. Currently, he has 15 patent
applications at the USPTO, and several more on the way. Tod can be reached at tod_debie@hotmail.com

­22  •  The Pragmatic Marketer  •  Volume 6, Issue 1, 2008


Agile “The product shall.” Market
requirements typically define the
problems your product will address
using a formal, stilted language known
The requirement is the problem
Product managers write horrid
requirements that are littered with

Market
to all technology people. For some buzzwords, ambivalent language, and
reason, the verb shall be “shall”—not non-specific performance parameters.
“should” or “will” or “must” or “it’d be They read like somewhat-technical
By Steve Johnson neat if.” Maybe it goes all the way back marketing hype. And developers have
to the Ten Commandments: You Shall to make sense of the requirements.

Requirements
Honor Thy Father and Mother; You They complain, “I cannot program
Shall Not Murder; You Shall Not Steal. to these requirements.”
You Shall Not Write Requirements
And they’re right.
Without the Verb Shall.
So product managers try to become
I’ve completely given up on formal
more specific by writing what I
requirements. We’re just terrible
call ReqSpecs. Part problem, part
at writing them; and, still, the
implementation—and impossible to
development group wants more
use. Developers then complain, “Don’t
detail—and more and more
tell me how to do my job,” because
and more.
the requirement now explains how
the feature should be implemented.
And they’re right again.
Developers say they cannot program
to Product Management’s requirements.
And they’re right. What they need is
a functional specification. ReqSpecs
don’t solve the problem.

The Pragmatic Marketer  •  Volume 6, Issue 1, 2008  •  23


Agile Market Requirements

Let’s clarify some terms. What’s a requirement?


A requirement is a short statement of In eXtreme Programming (XP), a
the problem. requirement fits on an index card and
is delivered in the form of a story.
A specification is a detailed description
This requirement also comes with
of how to solve the problem.
an implicit “agreement to discuss,”
Alan Cooper, often called “the father so that developers fully understand
of Visual Basic” and an expert in the problem.
interaction design, argues that most
Rather than being in the requirement,
projects fail because they do not
implementation details must be in the
have a spec at all. This is because
specification. A specification is the
most companies do not have product
designer’s intended implementation
designers or architects. Product
to solve the problem.
managers create desired feature lists;
developers write code. But neither the In his excellent series on
product managers nor the developers “Painless Functional Specifications”
are designing anything. Would you (www.joelonsoftware.com),
hire a carpenter to design a house? Joel Spolsky, CEO of Fog Creek
Of course not. You would hire an Software, writes:
architect. Yet programmers often
write complex software products “…on any non-trivial project (more
without a design. than about 1 week of coding or
more than 1 programmer), if you
Cooper suggests we add a role don’t have a spec, you will always
that is new to most Development spend more time and create lower
organizations: the product designer. quality code.
The designer analyzes the problems
described in the requirements and “A functional specification
then creates a specification, at a describes how a product will work
functional level, to describe how entirely from the user’s perspective.
the problem can be solved with the It doesn’t care how the thing
product. The designer delivers a is implemented. It talks about
recommended approach to solving features. It specifies screens, menus,
the problem, serving as the bridge dialogs, and so on. A technical
between Product Management and specification describes the internal
Development. implementation of the program.
It talks about data structures,
relational database models, choice
of programming languages and tools,
algorithms, etc.”
So, a requirement states the problem;
a specification states the solution.
Spolsky defines two kinds of
specification: functional, which is
the intended approach to solving the
problem; and technical, which is a
detailed internal implementation.

­24  •  The Pragmatic Marketer  •  Volume 6, Issue 1, 2008


Agile Market Requirements

In the end, we all have a critical Isn’t it the same for products? Imagine in the organization and not on the
role to play: a software development effort that use of proven processes. In spite of
takes multiple years to deliver— this ad hoc, chaotic environment,
• The product manager finds and without any opportunity to test maturity level 1 organizations often
quantifies market problems, your progress along the way. produce products and services that
articulating them in the form work; however, they frequently
of requirements. exceed the budget and schedule
Just say “No” of their projects.
• The product designer writes a
functional specification describing Years ago, I joined a product team
Sound familiar? Does your company
the approach to solving the problem. that was entering its third year of
rely on the “heroics of the people in
programming without a product
• The product developer creates a the organization” to deliver products?
release. Everyone on the team was
technical specification that fully Most companies I encounter need a
despondent. Over the course of two or
describes how the functional little more discipline. And they need
three years, every role had been filled
specification will be implemented. it in the executive team—not the rank
more than once. Long ago, they had
and file. Someone needs to be there
lost any hope of succeeding, and all of
to reject all change requests.
Why the waterfall fails them were looking for jobs elsewhere.
I frequently take the Acela train from
Every company and every consultant I took one look at the requirements
Washington, DC to New York City. It
has a laundry list of acronyms for and saw the problem: The executives
leaves every hour, on the hour, and
the documents that must be produced: were constantly adding new
arrives in New York three hours later.
BRD, MRD, PRD, SRS. Enough already! requirements. Every week brought
Every time. Because once the train
There are only a few documents new features to the list—and features
leaves the station, no one changes
required: the problems (the basis were being added to the list faster
its destination. Like it or not, you’re
of the market requirements than they could be programmed into
going to New York.
document) and how we will solve the product. The solution was simple:
them (a product specifications Someone—and that someone was Building products is like moving
document). me—had to stand up to the executives a train. It takes a long time to get
and tell them to stop! We were no everyone organized; it takes a long
In the old days, tech companies longer accepting requirements for the time to get started; and, most of all,
followed the “waterfall” model: next release. Here’s how we did it. it is virtually impossible to change
Documents moved downstream direction once the train has left the
one department at a time, from I worked with the development lead to
station. And the good news is that
requirement to specification to build make a comprehensive list of requests
there’s another train in an hour.
to test. But the final result—the from our customers, executives, and
product—looked nothing like the sales people. We estimated the effort
requirements. Product managers were for each request and put them all Agile is happening
always surprised in the end. into a spreadsheet. It showed we
had requests for more than 10 years The brilliance of agile development
The waterfall approach fails. What’s worth of programming to do. I noted is that we break the job into small
missing from the waterfall is the contractual commitments that chunks, work for two weeks (or
collaboration and iteration. were pushing the strategic priorities four), and deliver something. New
to later in the roadmap. I showed the requirements can always be added to
Imagine going to a college seminar executive team the ramifications of the next chunk of work since we’re
and not being able to ask the professor their decisions. starting a new iteration soon.
any questions! No matter whether or
not you understand it, you’re being We needed someone to say “No” to Agile teams are designed to deliver
tested on the lecture without being change. And I accepted the role. small amounts of functionality with
able to clarify any of the professor’s rapid iterations. Every two weeks, they
points. How likely are you to do well The Capability Maturity Model deliver another product feature that
in that course? Integration (CMMI) defines the could be released to the customers.
level of discipline in a company Agile teams are designed to help
And now imagine that college ends on a scale of 1-5—from anarchy to companies be more responsive to
with a single exam—without any tests nirvana. Wikipedia describes CMMI market needs.
along the way. In four or five years, Level 1 this way:
you sit through 60 or more courses– Or are they?
ranging from Western Civilization At maturity level 1, processes are
to a foreign language to biology to usually ad hoc and the organization
women’s studies to macro economics usually does not provide a stable
to business law to volleyball. Now take environment. Success in these
a single exam to receive your diploma. organizations depends on the
No one could pass such an exam! competence and heroics of the people

The Pragmatic Marketer  •  Volume 6, Issue 1, 2008  •  25


Agile Market Requirements

Agile is often an attempt to manage Working as a developer in a business


our executives rather than to be involves working as a business—which
more responsive to the market. means sourcing and scheduling highly
The executives keep changing skilled workers.
their minds, adding new feature
requests, flip-flopping on issues. The big problem agile development
The agile approach of development is trying to address is not so much
that management is bad; it’s really Answer:
is a technique in forcing executives
that management is early. They want The product
to choose.
to know too much too soon…long manager serves
Agile development isn’t so much a before the development team actually as the customer
new approach to programming as it knows. They ask for estimates, get representative in
is a response to bad management. In our guesses (and they are guesses), planning and requirements
the past, we spent too much effort and then announce delivery dates definition.
documenting exactly what would for the project.
Building a repeatable product
be delivered before a line of code
Management mandates rigor and requires feedback from many
was actually written. We wasted too
precision before the scope of the customers, not just one. So someone
much energy getting precise estimates
work is truly understood. “How needs to aggregate the requirements
long before those estimates could
long would it take you to build it?” from many sources into a single
be considered reliable.
“Well, that depends on what it is, coherent set of requirements. Answer:
Everyone in Development knew doesn’t it?” “Yes, but give me a date The product manager defines the
these methods weren’t working. anyway.” Management over-commits requirements and the product roadmap
But management didn’t know. So Development all the time. for a market of customers.
developers became increasingly
Developers see the product managers Delivering a product to a market of
frustrated with the planning process.
as senior management’s police force. customers requires synchronizing
Management enforced dates that no
And I have to admit that this is the software, hardware, services,
one believed; management required
somewhat legitimate. Haven’t many documentation, promotional programs,
detailed documentation and schedules
product managers imposed dates on and sales tools to present a complete
long before the details were known.
projects they didn’t truly understand? product to the marketplace. Answer:
No wonder developers were frustrated.
Haven’t many product managers The product manager must integrate
Long ago, we used to be agile. A enforced process and documentation all schedules, so we can deliver and
customer would ask for a report, and beyond what is necessary? support the product in the market.
we’d show up with 132-character
So finance people and sales people As product managers, we should
wide grid paper to design the report.
and marketing people are making support the ideals of agile
“Company name? Okay, 40 characters
scheduling decisions for development development. We want some process,
plus a space is 41. Invoice date? Six
projects they don’t understand based but not too much process. Small
characters plus one space. What else?”
on inadequate information. Sounds iterations give us more flexibility to
Then computing became a key part of like a recipe for disaster. And it is. adapt to change. Team collaboration
every part of the business world. And Thus, agile development was born! means less time is spent documenting,
the head of Development wanted to leaving more time for doing.
know how long you’d be working in
Accounting because the Manufacturing
Where does product We want to assist the team in
project needed your skills, too. And management fit in agile? delivering a complete product to
a market and creating a product
customers wanted to know how much One of the key aspects of agile that people want to buy. Whether
the report would cost before they programming is an onsite customer. the product manager uses an Excel
committed to the cross-department While this makes sense in a custom spreadsheet or a bunch of index
billing. And then HR wanted to know programming environment where cards wrapped in a rubber band, it’s
how many actual hours were spent in customer and developer are in the imperative to maintain a prioritized
each area for internal billing of your same building, it’s unworkable for set of market problems to be solved in
time. These are all legitimate requests, vendors. How do you have an the next product iteration, as well as a
aren’t they? onsite customer in a vendor model? vision for future product generations.

­26  •  The Pragmatic Marketer  •  Volume 6, Issue 1, 2008


e io C uis
a rk sit
Fr nd Ma
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® Po Ac

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g a er
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t in aging ss les s tom ion
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Management and Marketing Survey results

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• Read hundreds of articles on product


management, marketing and leadership
strategies
Successful product teams are agile, combining
collaboration with small iterations. The key • Visit the Job Board to see companies looking
to any agile team is building products that to hire product managers and marketers
people want to buy. To do that, an agile team
needs a messenger for the market, a product
manager who thoroughly understands the • Read profiles of companies who have
problems facing today’s customers. In agile achieved success using the Pragmatic
programming—and frankly in any programming Marketing Framework
model—the effective product manager serves as
representative of a market of customers.
• Stay connected with your industry peers
by joining a local Product Management
Association

Steve Johnson is an expert in technology product


• Participate in online networking with
management. He works for Pragmatic Marketing LinkedIn and Facebook groups
as an instructor for the top-rated seminars Practical
Product Management, Requirements That Work and
Pragmatic Roadmapping. Steve is a frequent presenter • View a list of recommended books
at technology marketing forums throughout the and software tools for product managers
United States and Europe, author of many articles and marketers
on technology product management, and the writer
of the ProductMarketing.com blog. Contact Steve at
sjohnson@pragmaticmarketing.com
4th Annual
Software Marketing Perspectives
Conference & Expo

The fourth annual SMP Event will take


place from Wednesday to Friday, May 7-9, May 7-9, 2008
2008. The conference program will Santa Clara Convention Center
concentrate on four themes:
Santa Clara, Calif.
Effective product management
Effective product marketing
Product portfolio management
Executive management. Value Proposition for Conference Attendees:
We will run four tracks of speakers over Stay current in your field
two days, open the event with a Welcome Take away practical ideas and suggestions
Reception and hold a Networking Network with your peers in product
Reception in the Exhibit Hall on Thursday management
evening, May 8.
Value Proposition for Exhibitors:
2008 SMP event exhibitors to date include:
Make valuable professional contacts
AutoDemo
FeaturePlan/Ryma Technology Solutions Capture leads that result in sales
Ideascope (Orasi Software) Network with other firms who sell to
IntelliCap software companies
OpSource
Pragmatic Marketing® For information on exhibit sales and sponsorships,
Software Magazine contact National Sales Manager Carol Samost at
ZIGZAG Marketing csamost@softwaremag.com.

For more information and updates visit www.smpevent.com

The SMP event is brought to you by King Content, publisher of Software Magazine.
Problem Solving:
It ’s A ll A b o ut Sm ar t ( er ) Qu e sti o n s By Nilofer Merchant

How many times have you jumped people who like to solve problems. Sonar helps dolphins see;
straight to the resolution of a They love untying complex knots— questions help people discern
problem, only to realize later that, the bigger and tougher, the better.
if you had first asked questions and Dolphins use sonar to “see” in
listened, you could have come up A problem is the difference between murky or dark water. They send out
with a far better solution? your current and desired conditions. a click sound and wait for the echo
It can result from new knowledge, to return. Once they have enough
In my experience, the answer isn’t or it might come from an unfulfilled echo responses, they can navigate,
in the solution—it’s in the questions. dream. When you identify the find prey, and avoid obstacles
Smart questions define problems difference between what you have and predators.
well and lead to a clear vision of the and what you want, you have defined
issues involved. When that occurs, your problem and can begin to Questions are the business equivalent
it’s easier to run through multiple develop a plan to achieve your goal. of sonar. Asking the right question
scenarios to their conclusion and find will help you find your way
the best answer that leads to growth through a problem, locate the right
and profit.
Half the battle is learning to customers, avoid future difficulties,
spot the problem with clarity and outperform your competitors.
Questions also act as a filter that will
Are problems ever good? Developing a positive attitude toward
help you decipher the key elements
problems will transform you into a
A problem can be a real break, a happier, saner, more confident person of a situation.
stroke of luck, opportunity knocking, who is in more control of your life. Tough business situations require
even a chance to get out of an Train yourself to respond to problems deep assessment. To reach a solution,
everyday rut and make yourself or with enthusiasm and eagerness—view finding answers to the “What?”
some situation better. Sometimes, them as an opportunity to show your (What is broken… is working…needs
problems arrive as a result of stuff—and you’ll be amazed at the improvement…must be changed…
external factors or bad events— results you will generate. will have the biggest impact?) and
but not always.
The difference between success and the “Why?” (Why did this happen…
Any new awareness that allows you failure is knowing that you’ll solve have we been using this process…
to see possibilities for improvement the “real problem.” For example, most is our customer considering the
brings a “problem” for you to solve. executives know when something is competition… are we losing this
This is why the most creative people wrong. But few correctly perceive the market… is our product third instead
are “problem seekers,” looking for actual issue that needs to be solved. of first?) is critical.
a solution, rather than “problem
avoiders.” Most folks in business are Here are several methods that will
help you spot the real problem
with clarity.

The Pragmatic Marketer  •  Volume 6, Issue 1, 2008  •  29


Problem Solving: It’s All About Smart(er) Questions

What questions matter? Powerful questions are the path to clarity


Asking a series of clear questions leads to
precision. When questions are developed
Here are some examples of questions you can
with this result in mind, they will
use during the inquiry phase to enhance your
generate a natural sorting and sifting
understanding of the situation:
during the discovery process. You will
focus your research process to gather “What seems to be the trouble?”
only the specific evidence you require, only
those facts that illuminate the main question “What concerns you the most about _________?”
at hand. This focus makes it harder to get
“What is holding you back from _________?”
lost in the process or mistake the peripheral
for what is central. “What seems to be your main obstacle to _________?”
Unfortunately, most people don’t take time Ask customer service: “What makes customers angry enough to
to frame the questions beforehand or to ask contact you?”
questions in layers. Effective questions are
powerful and thought-provoking. They are Ask sales people: “What is contributing to lost deals?”
open-ended and not leading. They are more Ask product management: “What do you make of _________?”
often “What?” or “How?” questions—rather than
“Why?” questions. “Why?” questions are good Ask the channel: “How do you feel about our company’s pricing
for soliciting information, but can make people for _________?”
defensive—so be thoughtful in your use of them.
Also, to be an effective questioner, wait for Ask customers: “What would make this product more appealing?”
the answer—don’t provide it yourself. To probe deeper, ask these follow-up questions:
“What do you mean by _________?”
It’s about a shared understanding
“Tell me more about _________.”
When working with other people to solve a problem,
it’s not enough to describe the problem to them; they “What else?”
need to understand it for themselves. You can help
them do this by asking questions that lead them to “What other ways did you try so far?”
think about the topic. This requires you to listen.
“What will you have to do to get the job done?”
Let go of your personal biases and assumptions.
Find out what the person you’re interviewing “Is there something I should have asked that you need
knows about the problem. me to know?”
A great opener to any new project is: “What do you Engage people to solve the problem. And always, no matter what,
think is the problem?” Behind effective questioning ask people how they would solve the problem.
lies the ability to listen to the answer and suspend
judgment. This means being intent on understanding “How do you want _________ to turn out?”
what the person is really saying. What is behind their
“What do you want?”
words? Fear? Excitement? Resistance? Let go of your
preconceptions so they don’t block you from learning “What is your desired outcome?”
more information. Gather the facts, then pay attention
to your gut for additional data. “What benefits would you like to get out of X ?”

When you ask smart questions, you will: “What do you propose?”

• Connect with people in a more meaningful way “What is your plan?”

• Understand the problem with greater depth “If you do this, how will it affect _________?”

• Defuse volatile situations “What else do you need to consider?”

• Get cooperation
• Seed your own ideas
• Persuade people to work with you because Nilofer Merchant is an advisor, writer, conference speaker
you’ve gained their confidence and the CEO and founder of Rubicon Consulting, a strategy
and marketing consultancy designed specifically for the
Most important, you will be able to work through needs of tech companies. She and her team of principals
and discard a series of possible solutions. They’ll lead and staff have launched nearly 100 products, created five
you to the one best scenario that you’ll implement.
developer platforms, designed 18 channel vendor programs,
Using this method, you’ll increase the likelihood of
run numerous user influencer marketing initiatives and
developing the right answer to the problem—and
increase your knowledge base at the same time. defined more than 30 new markets. To contact Nilofer, visit her blog,
www.winmarkets.com or email her at nilofer@rubiconconsulting.com
­30  •  The Pragmatic Marketer  •  Volume 6, Issue 1, 2008
Is your company getting the most from its investment
in product management and marketing?
Does your product management and marketing function need
more structure or a repeatable process?
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