New Profession - Product Owner      Agilia Conference 2012, Brno
How we wants to achieve Agile?Its about change in the organization!   (c) Aguarra, s.r.o., Lisabonská 2394/4, 190 00 Praha...
How we wants to achieve Agile?        Its all about BusinessIts about changeOutcome Matter           Business in the organ...
Paradigm change              Quality                         • Scope (Fixed)Scope                                         ...
Paradigm change                              Can be project successfull?              QualityScope          Budget    Dead...
Paradigm change              Quality                                              ScopeScope          Budget    Deadline  ...
Paradigm change              Quality                                              ScopeScope                         Produ...
Traditional product management                                                                     Product    Marketing   ...
Who is the Product Owner?                                                      Product  Marketing                         ...
Who is Product Owner? New role The one who has the money A man with a Vision – product / service   Target segment of cu...
What Product Owner does?In General Agile approachAnalyze market/users needsDefines Product Vision and Boundaries (time or ...
When role of Product Owner begins?                               Project Hidden Phase                           Sprint 0  ...
Product Owner – One person?   Product Owner is One person – not a committee.   It means PO has authority to make final dec...
Product Owner – ResponsibilitiesRole of Product Owner        (the one, who has money)                  Attributes of Produ...
Product Owner – Required Knowledge Business Domain Knowledge     Years of Experience („Seasoned Veteran“) Product Knowl...
Where is the place in VC for Product Owner?                                                                        Type 3 ...
Mass Market – ManufacturerProduct Vision:Manufacturer –business ideaUser type:Limited number(agents)Risk: HighProduct Owne...
Mass Market - EnterpriseProduct Vision:Manufacturer –business ideaUser type:Too many (consumer)Risk: HighProduct Owner:Int...
Custom development - webProduct Vision:CustomerUser type:Too many / small(B2B)Risk: MediumProduct Owner:Marketing – custom...
Custom development - ProductProduct Vision:CustomerUser type:Application users(limited number)Risk: MediumProduct Owner:Pr...
R & D – Innovative productProduct Vision:Individual personUser type:User segment groupRisk: Very highProduct Owner:Intrapr...
Government projectProduct Vision:Lobbing groupUser type:Enforced bylegislationRisk: Very lowProduct Owner:n/a or ProjectMa...
Where in the arrangements is Product Owner                                          Type 3       Type 4                   ...
Typical problems - selection No Product Owner at all Unempowered Product Owner     PO as an administrator     Committe...
SummaryProduct Owner Is (most) important role Is entrepreneurial business role – principal goal is to create  commercial...
Recommended readingBooks   Agile Product Management with Scrum, Roman Pichler, Addison    Wesley, 2010   Leading Lean So...
Thank you  Ing. Michal Vallo, MBA, CSP               Tel. +420 604 226 125             E-mail: mvallo@aguarra.cz          ...
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Product Owner - Agilia Conference 2012

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Product Owner is role in agile product development, which secure commercial success of product or service. It makes it very critical.

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Product Owner - Agilia Conference 2012

  1. 1. New Profession - Product Owner Agilia Conference 2012, Brno
  2. 2. How we wants to achieve Agile?Its about change in the organization! (c) Aguarra, s.r.o., Lisabonská 2394/4, 190 00 Praha 9, www.aguarra.cz 2
  3. 3. How we wants to achieve Agile? Its all about BusinessIts about changeOutcome Matter Business in the organization! (c) Aguarra, s.r.o., Lisabonská 2394/4, 190 00 Praha 9, www.aguarra.cz 3
  4. 4. Paradigm change Quality • Scope (Fixed)Scope • Budget (Resources) • Deadline Budget Deadline (Resources) • Quality RISK: Transferred to Vendor (Customer who pays must be happy!) Aguarra, s.r.o., Lisabonská 2394/4, 190 00 Praha 9, www.aguarra.cz 4
  5. 5. Paradigm change Can be project successfull? QualityScope Budget Deadline (Resources) Absolutelly! In Time – In Budget Aguarra, s.r.o., Lisabonská 2394/4, 190 00 Praha 9, www.aguarra.cz 5
  6. 6. Paradigm change Quality ScopeScope Budget Deadline Value Estimation + (Resources) (Importance) Planning Business RISK: Shared between Vendor and Customer (User (who use) must be happy !) Aguarra, s.r.o., Lisabonská 2394/4, 190 00 Praha 9, www.aguarra.cz 6
  7. 7. Paradigm change Quality ScopeScope Product Owner Budget Deadline Value Estimation + (Resources) (Importance) Planning Business RISK: Shared between Vendor and Customer (User (who use) must be happy !) Aguarra, s.r.o., Lisabonská 2394/4, 190 00 Praha 9, www.aguarra.cz 7
  8. 8. Traditional product management Product Marketing Management• Vision • Product Design• Market Analysis • Segmentation • Technical• Marketing Strategy & Specifications Communication• Competition Assessment • Features• Sales Strategy• Pricing • Usability• Distribution• ...... Various Stakeholders Aguarra, s.r.o., Lisabonská 2394/4, 190 00 Praha 9, www.aguarra.cz 8
  9. 9. Who is the Product Owner? Product Marketing Management Product OwnerCommercial success of the product (service) - ROI Aguarra, s.r.o., Lisabonská 2394/4, 190 00 Praha 9, www.aguarra.cz 9
  10. 10. Who is Product Owner? New role The one who has the money A man with a Vision – product / service Target segment of customers – for whom is the product Business – how to make money on product Marketing – how to market and sell the product Functionality – minimal marketable feature, technical concept, usability Entrepreneur / Intrapreneur Customer Voice? Not Really. Its a customer himself. (c) Aguarra, s.r.o., Lisabonská 2394/4, 190 00 Praha 9, www.aguarra.cz 10
  11. 11. What Product Owner does?In General Agile approachAnalyze market/users needsDefines Product Vision and Boundaries (time or DL, costs, resources, technology)Prepares requirements and prioritize themConvince development team about product – motivates peoplePO collaborate with production teamProvides feedback to the team – based on many inputsIs available to production teamCoordinates works of supporting membersIn Scrum TeamCreates and owns Product BacklogAttends Planning and Review meetingsDefines product iterations and accepts resultsDoing decisions go/no go (c) Aguarra, s.r.o., Lisabonská 2394/4, 190 00 Praha 9, www.aguarra.cz 11
  12. 12. When role of Product Owner begins? Project Hidden Phase Sprint 0 Inception Production CommissioningInception:• Vision of the project - Ideation• Bring stakeholders to agreement around vision• Align with enterprise direction• Identify initial technical strategy, initial requirements• Form initial team• Secure funding• Identify risks• Product Owner – Definition Business Plan / Stakeholders Aguarra, s.r.o., Lisabonská 2394/4, 190 00 Praha 9, www.aguarra.cz 12
  13. 13. Product Owner – One person? Product Owner is One person – not a committee. It means PO has authority to make final decision. According to context - may have support team Product Product Owner Owner Product Architecture AnalystMarketing Champion Product Owner Team 1 Team 2 Team 3 Team n Team (c) Aguarra, s.r.o., Lisabonská 2394/4, 190 00 Praha 9, www.aguarra.cz 13
  14. 14. Product Owner – ResponsibilitiesRole of Product Owner (the one, who has money) Attributes of Product Owner Provides product Vision and Boundaries. Available – daily available to the Responsible for product profitability (ROI). team or directly engaged to selected activities. Responsible for product strategy (product marketing) Business-savvy – good knowledge and tactic (design). of customers, users, market Defines product requirements. Defines road-map conditions, etc. Knowledge gained by years of practice. of product development. Communicative – regularly Is available to the team – 20% of time – collaborates. communicates with stakeholders... Gives team product vision (why), shares it and actualize. Decisive – capable to make Sets priorities. Accept or reject results. decision and be accountable for Is ready to discuss changes. its decision. Empowered – is high enough in Manages Stakeholders. the organization so nobody overrides its decisions.Characteristics of PO Mike Cohn – Succeeding with Agile. Visionary and a action man. Leader and team player. Communicator and negotiator. Note: Full-time job. Is competent and engaged. (c) Aguarra, s.r.o., Lisabonská 2394/4, 190 00 Praha 9, www.aguarra.cz 14
  15. 15. Product Owner – Required Knowledge Business Domain Knowledge  Years of Experience („Seasoned Veteran“) Product Knowledge  Based on Vision, Based on existing product Leadership Skills  Training and Practice Communication Skills  Training and Practice Entrepreneurial skills  Business School, Training, Environment, Nurturing Product Owner cannot be outsourced !!! (c) Aguarra, s.r.o., Lisabonská 2394/4, 190 00 Praha 9, www.aguarra.cz 15
  16. 16. Where is the place in VC for Product Owner? Type 3 Type 4 Type 5 Type 6 Type 1 Type 2 Custom Custom R & D (innovative Government Mass market Mass market development development project) project (web) (product) Enterprise / Manufacturer Customer Type Enterprise Enterprise Manufacturer Enterprise Government office (Internal) (internal use) Limited number Too many Too many / Small Application users User group enforced User Type User segment group (agents) (consumer) (B2B) (limited number) by legislation Consumers (small Requirements Electronic mail box / Example Facebook, Ebay Corporate web site New product cms system/utility) tracking software biometric passport Project Size Small Large Medium - Small Medium - Large Medium to large Medium to large Manufacturer - Manufacturer - Product Vision Customer Customer Individual Lobbing group Business Idea Business Idea Requirements Manufacturer Customer Customer Customer Individual Manufacturer /Spec. Customer /Business risk owner Manufacturer Customer Customer Manufacturer Government Manufacturer Business risk High High Medium Medium - Low Very high Very low Small steps (features) / Rapid Small steps Sprints - Sprints - Mitigation feedback (single (features) / Rapid Sprints communication with communication with None feature, readiness to feedback pool of test users pool of test users roll back) N/A. Alternative: N/A. Alternative: Direct Rapid feedback Rapid feedback One - to - One One - to - Few One - to - Few None Communication channel (web), channel (web), group of test users group of test users Prod.Management – Intrapreneur / Intrapreneur / Marketing - Product Owner Manufacturer / Intrapreneur N/A or PM Visionary leader Visionary leader customer side Department cust. PO Team size None or Little Medium One or small One or small One or small One or None Source: Michal Vallo, Aguarra (c) Aguarra, s.r.o., Lisabonská 2394/4, 190 00 Praha 9, www.aguarra.cz 16
  17. 17. Mass Market – ManufacturerProduct Vision:Manufacturer –business ideaUser type:Limited number(agents)Risk: HighProduct Owner:Intrapreneur –visionary leaderPO Type:Internal (c) Aguarra, s.r.o., Lisabonská 2394/4, 190 00 Praha 9, www.aguarra.cz 17
  18. 18. Mass Market - EnterpriseProduct Vision:Manufacturer –business ideaUser type:Too many (consumer)Risk: HighProduct Owner:Intrapreneur –visionary leaderPO Type:Internal (c) Aguarra, s.r.o., Lisabonská 2394/4, 190 00 Praha 9, www.aguarra.cz 18
  19. 19. Custom development - webProduct Vision:CustomerUser type:Too many / small(B2B)Risk: MediumProduct Owner:Marketing – customersidePO Type:External (c) Aguarra, s.r.o., Lisabonská 2394/4, 190 00 Praha 9, www.aguarra.cz 19
  20. 20. Custom development - ProductProduct Vision:CustomerUser type:Application users(limited number)Risk: MediumProduct Owner:Prod.Management –Manufacturer /Department cust.PO Type:External / Internal (c) Aguarra, s.r.o., Lisabonská 2394/4, 190 00 Praha 9, www.aguarra.cz 20
  21. 21. R & D – Innovative productProduct Vision:Individual personUser type:User segment groupRisk: Very highProduct Owner:IntrapreneurPO Type:Internal (c) Aguarra, s.r.o., Lisabonská 2394/4, 190 00 Praha 9, www.aguarra.cz 21
  22. 22. Government projectProduct Vision:Lobbing groupUser type:Enforced bylegislationRisk: Very lowProduct Owner:n/a or ProjectManagerPO Type:n/a, External isbetterIMPLEMENTING AGILITYPROBLEMATIC OR NOTPOSSIBLE (c) Aguarra, s.r.o., Lisabonská 2394/4, 190 00 Praha 9, www.aguarra.cz 22
  23. 23. Where in the arrangements is Product Owner Type 3 Type 4 Type 5 Type 6 Type 1 Type 2 Custom Custom R&D Government Mass market Mass market development development (innovative project (web) (product) project) Enterprise / Manufacturer GovernmentCustomer type Enterprise Enterprise Manufacturer Enterprise (Internal) office (internal use) Application User group Limited number Too many Too many / User segment User type users (limited enforced by (agents) (consumer) Small (B2B) group number) legislation Consumers Requirements Electronic mail Corporate web Example (small cms Facebook, Ebay tracking New product box / biometric site system/utility) software passport Product Product Intrapreneur / Intrapreneur / Marketing - Management - Intrapreneur N/A or PM Owner Visionary leader Visionary leader customer side Manufacturer Internal vs External/Inter N/A (external Internal Internal External Internal External nal is better) Product Owner is right where business value is created. (c) Aguarra, s.r.o., Lisabonská 2394/4, 190 00 Praha 9, www.aguarra.cz 23
  24. 24. Typical problems - selection No Product Owner at all Unempowered Product Owner  PO as an administrator  Committee Incompetent Product Owner  Wrong person  Lack of skills, visionary and leadership  Lack of experience in Agile development  Lack of personal interest  Lack of communication with the team No product vision & strategy Product Owner Proxy (c) Aguarra, s.r.o., Lisabonská 2394/4, 190 00 Praha 9, www.aguarra.cz 24
  25. 25. SummaryProduct Owner Is (most) important role Is entrepreneurial business role – principal goal is to create commercially successfull product / service Requires: 1. Experience 2. Knowledge (Business Domain) 3. Courage PO has to be trained PO is one person (who may represent small team) (c) Aguarra, s.r.o., Lisabonská 2394/4, 190 00 Praha 9, www.aguarra.cz 25
  26. 26. Recommended readingBooks Agile Product Management with Scrum, Roman Pichler, Addison Wesley, 2010 Leading Lean Software Development – Results are not the point, Poppendiecks, Addison Wesley, 2009 Agile Excellence for Product Managers: A Guide to Creating Winning Products with Agile Development Teams, Greg Kohen, 2010 The Lean Startup: How Todays Entrepreneurs Use Continuous Innovation to Create Radically Successful Businesses, Eric Ries, 2011 Inspired: How To Create Products Customers Love, Marty Kagan, 2008ArticlesThe New New Product Development Game – Hirotaka Takeuchi, Ikujiro Nonaka, Harward BusinessReview, 1986WebsScrum Alliance (www.scrumalliance.org), Scrum (www.scrum.org), Agilia (www.agilia.cz) Aguarra, s.r.o., Lisabonská 2394/4, 190 00 Praha 9, www.aguarra.cz 26
  27. 27. Thank you Ing. Michal Vallo, MBA, CSP Tel. +420 604 226 125 E-mail: mvallo@aguarra.cz www.aguarra.cz @aguarrawolfAguarra, s.r.o., Lisabonská 2394/4, 190 00 Praha 9, www.aguarra.cz 27

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