ProductManagement Handbook IIMLNC
ProductManagement Handbook IIMLNC
Management Handbook
2022-23
IIM Lucknow Noida Campus
The Product Management Handbook 2022-23
PM as a discipline has caught up in India only in the last decade, and thus, there is
a lack of quality material on product management in the Indian context. The
inspiration for this compendium came from a lack of such relevant material. You can
consider this a cheat sheet, which will assist you in getting a refresher into a lot of
topics quickly, and you can wish to deep dive into the subjects that interest you. We
would request you to go through it if you are preparing for PM roles this placement
season or if you like reading and exploring PM as a field.
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Table of Contents
INTRODUCTION ............................................................................................... 4
The Product Management (PM) role ............................................................ 5
Functions of a PM .................................................................................... 5
What companies look for – the PM of the future ................................... 7
Product management – Basic Concepts & Frameworks .............................. 9
CIRCLES ...................................................................................................... 10
HEART .......................................................................................................... 11
5 Cs of Product Pricing............................................................................... 12
RCA approach ............................................................................................. 12
Sustainability from a Functional Role: Product Management ................... 15
Design for Sustainability ............................................................................ 16
Many faces of sustainable product design ............................................... 17
Closing Thoughts .................................................................................. 19
Tentative Roles offered in Product Management ........................................ 20
Interview Experiences ................................................................................... 25
PeopleStrong ............................................................................................... 26
More Resources ............................................................................................. 28
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INTRODUCTION
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Once the problem statement is set, the next critical step is to create a roadmap
for the product & get it approved. A roadmap is a long-term plan for the team,
describing what needs to be completed when & by whom, at least in a rough way.
It is created through exhaustive market research and an understanding of the
team’s level of expertise. It is crucial in identifying the right features and
scenarios.
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This is also the stage where the PM starts defining the success metrics for the
product. Intense collaboration with the engineering & S&M teams is important
to understand limitations and set actionable, measurable goals.
• Design
Product design involves deep-diving into the identified features and refining
them according to the success metrics. The expected functionality of the product
starts to take shape. UI/UX design and drawing up how exactly the product will
look is also part of this stage.
The design stage is also a stage where the PM role varies significantly across
firms. Some firms require PMs to develop functional specification documents
that include details like goals, use cases, requirements, wireframes and
security. This document is then refined over time through iterative discussions
with developers, testers and other PMs. Other firms follow much looser specs
and a faster design process. PMs conduct regular face-to-face talks with
stakeholders & brainstorm on whiteboards with designers. Some ownership is
transferred to engineers who make easier decisions and ask the PM for
clarifications whenever needed.
During the implementation stage, the engineering team starts coding work of
the product. The primary function of the PM at this stage is prioritizing, keeping
track of the work and making adjustments as necessary. These include
changing features, making them easier to implement & modifying work
schedules to improve efficiency. Another crucial expectation from a PM is to
gather feedback about the product and identify bugs in the product's early
stages. They often do this via usability studies, running experiments and using
the product themselves. In usability studies, participants are provided with a
goal, and they try out the prototype versions of the product to reach that goal.
Carrying out experiments is an excellent way of obtaining quantitative feedback
from users. The acquired data is compared with expected success metrics to
identify further areas of improvement required.
• Release
Upon culmination of the development process, the PM gets ready to launch the
product. This phase involves a few steps like running through a launch checklist
(final approvals, legal matters, etc.) and ensuring teams' readiness to support
the product in the future. Depending on the firm, the PM may hand over the
product to other teams or keep supporting the product.
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References
[1] https://www.mindtheproduct.com/what-exactly-is-a-product-manager/
[2] https://www.mckinsey.com/industries/technology-media-and-
telecommunications/our-insights/product-managers-for-the-digital-world
[3] McDowell, G. L., & Bavaro, J. (2014). Cracking the PM Interview: How to Land a
Product Manager Job in (p. 364).
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CIRCLES
The CIRCLES framework allows product managers to come up with thoughtful and
customer-oriented product designs. This framework is primarily used to identify user
needs and accordingly design a new product, but it can also be adapted to create new
features in an existing product.
CIRCLES is followed sequentially in the following order:
C: Comprehend the situation
Understand the requirements of the customer by asking the right questions. For this,
you can use the 5Ws and H method: What, Why, Where, When, Who and How.
If the interviewer refuses to answer your clarifying questions, make an assumption
based on what you know. Then, give the interviewer an opportunity to correct you, in
the event he thinks differently about whom it is for or how the product works.
Translate the customer’s needs into user requirements or use cases using the
following format:
As a <role>, I want <goal/desire> so that <benefit>
E.g.: As a travelling reader, I want to write 500 words a day so that I can publish my
memoir
This can be done by ranking each use case in terms of Revenue, Customer
Satisfaction and Ease of Implementation. These ranks can be added up to come up
with an overall ranking, through which the cut can be made.
L: List Solutions
In this step, solutions are listed against each of the chosen use cases. A method to
come up with solutions is the “Reversal Method”, wherein you reverse the situation and
it helps uncover new possibilities.
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E.g.:
Question: Create a new car buying experience.
Need: Buyers don’t have time to travel to the car dealership.
Solution based on reversal: Dealership should deliver test drives to the buyer’s home.
E: Evaluate Tradeoffs
The first part of this step is to define your tradeoff criteria. Criteria could include
customer satisfaction, implementation difficulty, and revenue potential. It’s not
necessary, but it’ll keep your response organized and easier to follow.
The next part is analyzing the solution. A pro and cons list is a good way to do this.
By evaluating the tradeoffs of each solution, you come across as thoughtful and
analytical. You’ll also be perceived as objective.
HEART
This framework is used to find useful and user-centric metrics to assess User
Experience. These metrics, which form the acronym are:
1. Happiness
2. Engagement
3. Adoption
4. Retention
5. Task Success
You now have to identify Goals, Signals and Metrics against each of the above
categories.
Goals: These are broad objectives. For example, under Happiness, increase user
satisfaction could be a goal
Signals: Indicators that may indicate progress towards achieving the goals. For
example, under Engagement, increased screen time on app may be a signal.
Metrics: These are quantifiable measures that indicate success or failure. For
example, for Retention, a reduced churn rate is a metric.
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5 Cs of Product Pricing
This framework helps to determine the optimum pricing for a product.
1. Cost
You need to know the cost of each component of the product to effectively price the
product.
2. Compatibility
The pricing approach should be compatible with the marketing and sales objective or
target.
3. Customer
To determine whether your price delivers maximum value to the customer.
4. Competitor
Think about the buyer’s point of view and use the competitor’s price as the baseline
while determining the price for your product.
5. Channel
This viewpoint would include the middlemen and the price would aim to provide
margins to motivate and consider the value-add that they bring.
RCA approach
The following approach can be used to solve most Root Cause Analysis questions.
It is also flexible enough to adapt to different problem statements and the approach
may be modified accordingly. Questions may be of the form: “The number of cart drops
has increased over the past month. Analyze why.”
1. Scope out the problem
Determine how widespread the problem is in terms of the following aspects:
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● Geographic distribution
● Temporal
● Quality of metric
● Platform error
● Any new changes to the app or product
● User journey
○ Create a single linear journey for a user (no branch offs).
○ Find the point at which the drop off happens
○ Has any part of the layout changed?
● Business aspects affecting product
○ Cost, time taken, operational aspects
● User Behaviour (differences observed)
○ Change in operations
○ Change in marketing activities
○ Change in demographic aspects
● Technical Factors
○ Downtime, Latency, Errors in the app/product
Let’s look at an example where the above framework may come in handy. Consider this
case statement: “Order cancellation on Amazon us up by 10%; identify the root cause”
It is clear that various aspects of the problem are not stated explicitly in the
statement. Hence, the first step is to scope out the issue through clarifying
questions. Here are a few questions that will help shed more light on the
problem:
● How long has this issue been prevalent? Any trends observed?
● Is this issue specific to Amazon or does competitors also suffer from the
same? (Helps decide to focus on internal/external factors going forward)
● Is this issue concentrated on any particular service offered by Amazon
(AWS/E- commerce, etc)?
● Within a particular service, is this seen mostly around a certain type of
order/product (groceries, furniture, etc.)?
● Is this seen across the world or specific to any geographical location?
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With sufficient context about the problem, we now move to analyze external factors
that might be affecting cancellation rates. Let’s try to list down a few of them:
● Government regulations/policy changes
● Any new direct substitutes in the market
● General sentiments on public platforms (social media, product reviews,
press conferences, etc.)
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2015 United Nations Climate Change Conference begins in Paris on November 30th
2015. As world leaders talk and negotiate deals on global climate issues, we as product
managers can do few things on developing sustainable products.
Creates output that can be used by other processes or returned to a natural state, and
eliminates waste that can't be used or returned to a natural state;
Uses the least amount of energy to manufacture the product and to achieve the desired
outcome.
Today, Sustainability can no longer be just a buzz word. Today, Sustainability has to be
the core in companies at a variety of levels starting at the highest levels.
1. Strategy
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2. Supply Chain
Retail companies such as Walmart requires its suppliers to disclose and evaluate full
environmental impact of their products. Companies are now paying deep attention to
industrial ecology, which analyzes all the material and energy required to create the
product. This often extends beyond the domain of a single business and right to the basic
sources of raw materials. For example, retailers such as Tata Chemicals is promoting
Organic food products under the brand Tata Shaakti, Starbucks is promoting Fair Trade
Coffee etc.
3. Operations
Decisions about how to make and move products increasingly reflect environmental
impacts. Companies are now looking at all levels of operations to lower energy usage and
now have created Environmental Management Systems (EMS), which have
operationalized the tracking, documentation, and reporting of environmental impacts by
day to day operations. The businesses can no longer hide from legal implications of
negative environmental impacts. In case of several industries, there are several legal or
regulatory requirement to adhere to minimum environmental practices.
Companies have incorporated sustainability into their new product development process
in ways ranging from specifically creating "green" products. Sustainable products are
those products that provide environmental, social and economic benefits while protecting
public health and environment over their whole life cycle, from the extraction of raw
materials until the final disposal.
Now that we have given a bit of background on sustainability, let's talk about sustainable
product design.
Sustainable design is the term we've chosen to represent the intelligent application of
the principles of sustainability to the realm of engineering and design of products.
The term "sustainable design" is just one holistic term used to describe the use of
sustainability principles in the design and development of products. This includes
sustainable engineering, environmentally sustainable design, eco-design, and green
design.
When products are to be designed for sustainability, there are several factors that needs
to considered during the product design stage:
1. Design for Environment
2. Design for Disassembly and Recycling
3. Design for Energy Efficiency
4. Design for Health and Wellness
5. Green Marketing
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The Objective here is to minimize pollution and thus reduce human and environmental
risks that the product entails. It means designing products that should be safe (both during
operation of the product and after disposal) for human health and the environment. It could
mean use of green chemistry - products that leave no or minimum residues or chemical
that are biodegradable etc.
This starts with identifying industrial & institutional products that are deemed to be safer
for human health and the environment through an evaluation, define best practices and
identify safer chemical alternatives.
At this stage of product design, It also involves identifying use of sustainable raw material
inputs for the product and also use of recycled raw materials.
Recycling and reuse are a good way to create a sustainable world, but it requires products
that can be disassembled cleanly and effectively. Design at this stage is primarily focused
on end-of-life considerations as one means of encouraging more environmentally
conscious design and greater resource conservation.
Environmental impact of product over the lifespan of the product has to be considered.
Products must be designed to minimize the environmental impact. Product must be
designed to use minimize energy usage during its lifetime. Every version of product must
review the energy usage and develop new technologies to reduce energy usage.
All products have to be used by people and during its life span, the product must not emit
any hazardous outputs that impact health & wellness of the operators. This includes
chemical vapors, heat, light, noise or electromagnetic radiation which adversely impact
the health & wellness of the operators. For example, design newer cell phones that emit
lesser radiation.
Products that use volatile chemicals in form of adhesives or paints must be designed to
use chemicals that emit less or does not cause any harm.
Green Marketing
Green Products can have a powerful advantage. Companies find that green products and
promoting the environmental responsibility/benefits of their products has a powerful
marketing angle. Touting the "green" aspects of existing products, processes, or systems
has immensely benefit product marketing.
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From product design perspective, it helps product designers and product marketing to
work together to know what benefits of their sustainable design and engineering efforts
can be claimed publicly.
Developing Green Products often requires taking a leadership position for the extended
product supply chain. This requires voluntary partnerships among manufacturers,
retailers, government, and non-government organizations to set up effective green supply
chain systems and practices. For example, in case of cell phone batteries - it will require
working with raw material suppliers and also product recyclers and environmental
agencies.
From Green Product Leadership perspective, there are many ways to create
environmentally sustainable business ecosystems. Sustainable design is just one aspect.
Designing products for a broader purpose by matching user needs with right products that
last for the lifetime of the customer needs, will eventually change customer behavior and
sustainable designs can influence user behavior for a more sustainable use cases.
While designing green products, one must think in terms of whole systems, the ecosystem
context, product service and the supply chain. Only then the product will be really "green"
and help create a sustainable world.
Closing Thoughts
We are now at the start of establishing an ecological civilization. The old thinking of
industrial civilization that sees the relationship between humans and nature as opponents,
and uses technology to tame the wild nature - must go away.
Sustainable products and Green engineering looks at the relationship between humans
and nature as a harmonious symbiotic relationship.
References
• https://netimpact.org/webinars/driving-sustainability-from-a-functional-role-
product-management
• https://www.linkedin.com/pulse/product-management-design-sustainability-arun-
kottolli/
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For more information on the role of an associate product manager, read our guide here.
Some responsibilities for the junior product manager would include the following:
• Working with developers to define features, user stories, and user acceptance criteria
Product Manager
The next major role would be the product manager role, which we’ve talked about at length
in this article. To get to this level, it may take 1-3 years—this depends on your background
and the organization you work for.
As mentioned earlier in the article, here are some responsibilities of a product manager:
• Working with the product team and within cross functional teams
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Product Leader
Depending on the organization, before you get to a chief product officer or VP of product
role, you may end up in the role of a product leader. One of the key differences between
this role and a senior product manager is that the product leader is much more focused
on the product itself, while a senior product manager takes on more management duties.
• Aligning how the product team works with the rest of the organization
Again, depending on the organization, what one organization sees as a product manager
may be what another organization sees as a product owner.
Product Owner
We covered the difference between a product owner and product manager in a previous
article, but here’s a quick summary:
In regards to responsibilities, the product owner is in charge of the product backlog. They
keep on top of the list of new features, changes to current features, and bug fixes, in order
to reach the desired outcome of the product and improving its overall functionality.
The product owner has a more specialized focus compared to the product manager who
is with the product from conception to launch.
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This role is all about the big picture for a A role that looks at the smaller details
product with the whole long-term project in rather than the big picture. Short-term
mind. focus.
Here are some of the responsibilities that a technical product manager has
• Works with the engineering team to define requirements, user acceptance criteria, and
write user stories.
• Less focused on the customer, and more on how the product will work from a
development standpoint, and how it fits in with the organization’s software ecosystem.
The technical product manager is more likely to come from an engineering or software
development background. They are more focused on the how compared to the why in
comparison to a product manager.
Once again, depending on the organization, what one organization sees as a technical
product manager may be very different compared to how another organization sees this
role.
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• Manage, mentor and develop a team of Product Owners and Associate Product
Owners
• Drive the product vertical aligned to the design principles, project priorities and product
life cycle approach
• Lead product vertical pipelines and requirements gathering with innovation through
research and market analysis to enhance customer value; understanding the wider
context to the scope of new requirements to support scalability
• Conduct horizon scanning of the market landscape and ensure we are competitive in
vertical offering. Be an expert with respect to the competition, understand customer
needs and contribute to the strategies for product positioning
• Work with third parties to assess partnerships and licensing opportunities; build
relationships with respective SaaS partners and enable their goals and objectives
• Report all product developments to the directors, providing full context around value
realisation, risks and issues
• Be a key player for facilitating synergy between the data and development teams to
build a true product-focussed culture and to drive continuous improvement
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Interview Experiences
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PeopleStrong
5) Are you a frequent user of the app? Which is your favorite app?
9) Asked some clarifying questions, identified customer pain points and proceeded with
customer journey
10) Asked about Instagram app and why do you like Instagram?
A: Proceeded with lots of clarifying question and assumption like what’s the objective,
geography, segmentation, etc. Also identified customer pain points, customer needs,
customer journey map.
4) Feedback on case solution like what will be the USP of your product? How it will be
different from other players like Naukri, Monster, etc.
5) What are the different languages that you are aware of?
A: Python, Java, MySQL, ReactJS
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7) What is the last thing you read which is not in your syllabus?
1) He asked,”You completed engineering in ECE, then joined IT, then MBA in Sustainable
Management and now you want to go for a product manager. Why did you change so
many domains?”
6) Suppose you are a product manager, design an app for 10 mins delivery of grocery
items
A: Proceeded with lots of clarifying question and assumption like what’s the objective,
geography, segmentation, etc. and also identified customer pain points, customer
needs, customer journey map
7) Interviews revolved around designing app and lots of counter arguments on why retailer
will do this, why customer will do that, etc
For example, I told tha in our app, we will have an option to see the nearest retail shops
and the customers can directly order from those retail stores. Interviewer countered the
argument asking “Why the retailer will take your order online?, Your retailer will be busy
with their offline customer, etc.”
A: Support your answer with logic, mentioned some of the methods like how to do
customer acquisition, customer retention, how to increase economies of scale, etc.
8) How you will increase revenue through this new app feature?
Suggestion: Go through the framework like CIRCLES, HEART, MOSCOW, Kano Method,
etc.
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More Resources
Books
Cracking the PM Interview: How to Land a Product Manager Job in
Technology by Gayle Laakmann McDowell
Decode and Conquer by Lewis Lin
Youtube Playlists
Exponent:
https://www.youtube.com/watch?v=0ffLxnKkaJ8&list=PLrtCHH
eadkHr8ro- vTg1CAdDuwrVmXS4y
PM School:
https://www.youtube.com/channel/UCjOeIGWiIhPdKDrDRrVnvRA/playlists
Social Media
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