{"id":17771,"date":"2022-08-16T10:27:28","date_gmt":"2022-08-16T04:57:28","guid":{"rendered":"https:\/\/cigniti.com\/blog\/?p=17771"},"modified":"2023-09-05T12:31:20","modified_gmt":"2023-09-05T07:01:20","slug":"project-product-operating-model-product-engineering","status":"publish","type":"post","link":"https:\/\/www.cigniti.com\/blog\/project-product-operating-model-product-engineering\/","title":{"rendered":"A Shift from a Project-Centric Operating Model to a Product-Centric Operating Model"},"content":{"rendered":"

\u201cGood companies manage Engineering. Great companies manage Product.\u201d <\/em>\u2013 Thomas Schranz, CEO and Product at Blossom<\/h3>\n

Over the past few decades, traditional approaches to software development have transformed from conventional waterfall methodologies to agile, which enabled development teams to focus on the most viable products (MVP) for early-stage demos with customers. Early feedback made the team product market fit and improved client satisfaction.<\/p>\n

With a faster time to market, digital enterprises have a competitive advantage. However, Delivery@Speed is very successful with agile<\/a>, where there is a product backlog defined and the same is groomed continuously, and it is a successful model for a project-centric approach with continuous project delivery.<\/p>\n

In the current VUCA world, industry is very uncertain and changing overnight with geopolitical changes such as the recent Russian war against Ukraine, which has disturbed the entire world economy with crises, inflation, and a significant impact on the fundamental commodities and product markets.<\/p>\n

There is a change needed in the approach to meet the market@speed and growing requirements of customers, where changes are needed overnight, feeding from product roadmap to product backlog, which is continuous and is in high demand.<\/p>\n

Projects are not enabled to change or accommodate current changing trends or needs of markets with value alignment. My effort in this text is focused on a need for A shift from a Project-Centric Agile way of working to a Product-Centric Operating model.<\/p>\n

The Product Centric Agile way of working is a new operating model that enables agility in strategic planning, budgeting, capacity and demand management, and governance.<\/strong><\/p>\n

The product-centric way of working embraces a top-down approach to product development and focuses on value alignment with customers to drive innovation and product development.<\/p>\n

Let\u2019s see what market reports research studies on the need for a product-centric approach state. \u201cThe-2022-State-of-Product-Management-Report-by-ProductPlan\u201d clearly states that product-led growth has the most significant impact on customer acquisition, with 40% of respondents saying product experience has the highest impact on customer acquisition with current changing markets and expertise.<\/p>\n

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The same report also highlighted the key challenges faced by product managers, with the topmost challenge being \u201cplanning and prioritizing initiatives.\u201d This report also brought to light the critical actions taken to address these challenges, some of them including:<\/p>\n