In order to enable companies creating sustainable products/businesses, I (as a coach) want to help my clients to align their product goals with the overall organizational strategy.
Step I: Create awareness
a) Ask provoking questions e.g.
- What is your company’s vision?
- What is your strategy to achieve the vision?
- What kind of products do you have?
- Which of these relate to your company’s strategy to achieve the vision?
- How do you know that these products match your strategy, how do you measure it?
- Is your vision measurable and concrete?
b) Confronting the client with data and examples e.g.
- 90% of startups/ new products fail –> you need to experiment a lot (or have a better approach) to make sure you get to the right innovations
- If you don’t innovate you die e.g.
- Blockbuster killed by Netflix and others
- SMS (as a technology) killed by Apps like What’sApp
- Blackberry (as a product and the company behind it RIM) and Nokia killed by Apple’s iPhone and Samsung+Google’s Android devices
- Yahoo’s traditional model of being a platform killed by Google search
- General Retail e.g. Kaufhof being killed by Amazon/Zalando
- Existing TV (as a technology of providing content) is being killed by Netflix, iTunes but also YouTube
- Barnes & Noble (bookstore) killed by Amazon and esp. its ebook Reader Kindle
- Internet Explorer killed by Google Chrome
- CDs (as a technology) killed by napster and later iTunes (with implications for the whole music industry)
Step II: Explain Concept
a) What kind of concepts exist?
- Product Vision Board by Roman Pichler
- Elevator Pitch
- SMART Goals
- Growth/Share Matrix (by BCG) for portfolio strategy
- Business Model Canvas
- Value Proposition Canvas
- SWOT Analysis
- Balanced Scorecard
Step III: Concrete actions
As an organization you need to define concrete metrics for your organizational goal/vision and underlying strategy (where to play and how to win). You need to review these metrics regularly and inspect & adapt.