Embrace a product-centric mindset to overcome transformation barriers

Constant transformation is now the norm. Unwavering customer focus has become an absolute must. Competing effectively requires organizations to draw on data and technology to continuously innovate and enhance customer experiences. And this dynamic environment calls for an entirely new kind of tech transformation management.
 

It's time to step away from hiring traditional project managers and product managers. Instead, create hybrid, next-gen positions that combine project and product management skillsets that enable individuals to seamlessly lead transformation from start to finish. Doing so now can bolster transformation success — and your bottom-line results.
 

The project mindset — once heralded as the strongest link between goals established and realized — is now becoming a vestige of the past. Using outdated methodologies can hinder or even halt innovation.
 

Transformations can fail with even the best, most experienced project managers in place. In fact, 67% of senior leaders say they’ve experienced at least one underperforming transformation in the last five years. We know that effective business transformations invest up front in building the human conditions for success. That’s true for both the people across the organization who are affected by change and the managers tasked with leading it.
 

The business environment we’re operating in now requires tech transformation leaders to seize the change agenda and understand how technology can help the organization realize value. They must see beyond the historic project management body of knowledge frameworks that have driven results in the past. In this evolving business landscape, the ability to quickly innovate will make or break results.
 

Case in point: when a company invests in software, project managers don’t typically engage post-software purchase with the product manager who built and released the tool into the market. That’s because project managers have traditionally been engaged in a project management office role, not a position that requires a full technical understanding of the product. This nuance forces project managers to disproportionately rely on product managers to solve any post-purchase software issues that arise, which begs the question: would a hybrid transformation leadership role that merges these capabilities be more effective in today’s working world?
 

The answer? Yes.
 

Transformations fail when a project manager is unable to navigate conflicting project requirements. While organizations can stand up governance structures to guide and inform the transformation process, it’s the technology project manager’s responsibility to work seamlessly within that structure as a bridge, ensuring team members share the same vision and work towards common goals.
 

Experienced technology project managers focus on delivering transformation programs in scope, on budget and on time, often customizing project management body of knowledge for their specific needs, as opposed to reusing templates when they’re not required. While this programmatic and process-driven IT execution works well for IT service delivery or meeting internal IT audit requirements, it requires technology project managers to understand the system development lifecycle and the specifics of the software to act as a bridge to drive technology adoption and acceptance by the organization. In many ways, these project managers must become de facto technology product managers to ensure software meets the organization’s current and future needs.
 

Enter the case for fostering a hybrid management mindset that bakes tech professionals into an integrated, next-gen position from the get-go.
 

What does next-generation technology transformation management look like?  

A quick market scan of project manager and product manager job descriptions shows the two roles overlap in many ways. From relevant industry experience to technical, functional, commercial and leadership skills: these positions definitely share some common traits and requirements.
 

Still, gaps exist. Technology project managers aren’t typically involved in developing the software used in transformation programs. Their role is more focused on ensuring the software works as part of transformation scope post-purchase. By comparison, technology product managers don’t generally engage with the transformation team post-purchase. While they may receive anecdotal feedback on improving the software for future releases and potential repeat purchases, product managers can often be disconnected from formal review channels and post-transformation discussions.
 

Connecting the skillsets of the traditional project manager with the capabilities of a product-centric manager gives way to a next-generation technology transformation leader with the combined skills to drive end-to-end progress. That reframed role can enable these managers to better:

• Manage and lead a client’s technology product management requirements for specific software right through to product launch 
• Guide the transformation agenda by employing a specific software to support transformation in scope, on budget and on time 
• Provide continuous improvement via project feedback sessions to improve the software for future releases and enhanced project outcomes 
• Transition from daily tech product management to ongoing tech project management once the product is launched 

How can businesses shift from project to product organizations? 

Moving from a project-focused organization to one that’s product centric requires strong governance. Cementing that structure at the start of this transition puts all functional areas on the same page and working towards the same goal. That governance structure also allows you to measure progress and stay on track. The best governance structures will connect six priorities through regular reporting and metrics:
 

1. Business and technology: Close coordination to validate that technical capabilities and business practices support the delivery of value to customers and the achievement of business goals.
 

2. Project to product: Monitor and steer the transition from project-based delivery to a product-centric approach, with a focus on delivering value to customers throughout the product lifecycle.
 

3. Communication: Establish clear and effective communication channels to keep all stakeholders informed and engaged.
 

4. Metrics and reporting: Monitor OKRs and KPIs to drive the metrics and reporting that will be required to govern and manage product delivery.
 

5. Alignment: Validate that all teams are working towards common goals and delivering value to customers.
 

6. Inspection and adaption: Gather feedback on the product increment and/or MVPs to create clear accountability for learning and improvement and provide timely customer, performance and financial results data to make decisions.
 

What’s the bottom line?  

Organizations don’t need separate product managers or project managers for transformations to work — they need a new hybrid role. Success now depends on your ability to empower a truly end-to-end transformational leader who blends general and technical project management capabilities. This is how we can unleash the full power of digital transformation and the full potential of every transformation dollar invested. What’s more, embracing this approach fosters continuous innovation for sustained and continual enhancements, and ongoing client success in this complex operating environment.
 

How can EY teams help? 

EY teams can help design and implement a tailored, fit-for-purpose transformation governance framework to facilitate and support your success. We operate as a single point of accountability, managing detailed transformation programs and engaging next-gen tech project managers to put humans@center and bolster your success.