5. Product Management
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1 5. Product Management Prof. Dr. Dirk Riehle, M.B.A. Friedrich Alexander-University Erlangen-Nürnberg Version of Agile Methods by Dirk Riehle is licensed under a Creative Commons Attribution- ShareAlike 3.0 Unported License. Based on a work at dirkriehle.com.
2 Focus of Product Management Chapter 1 / 2 What? 2012 Dirk Riehle - All Rights Reserved 2
3 Focus of Product Management Chapter 2 / 2 Scope Time Quality Cost 2012 Dirk Riehle - All Rights Reserved 3
4 Contents of Product Management Chapter 1. Product Management Strategic product management Technical product management 2. Scrum Roles Scrum roles Product owner Team member 3. Scrum Practices Feature specification Feature prioritization Product backlog maintenance 4. Scrum Process Product Planning Release Planning 2012 Dirk Riehle - All Rights Reserved 4
5 Product Management (Definition) Product management is an organizational life-cycle function within a company dealing with the planning or forecasting or marketing of a product or products at all stages of the product life-cycle. (Wikipedia) A product manager investigates, selects, and develops products for an organization, performing the activity of product management. (Wikipedia) 2012 Dirk Riehle - All Rights Reserved 5
6 Two Sides of Product Management Strategic Product Management Focuses on assessing and defining the opportunity Owns the Marketing Requirements Document Technical Product Management Focuses on defining the product and its features Owns the Product Requirements Document 2012 Dirk Riehle - All Rights Reserved 6
7 Product Manager Responsibilities Strategic Prod. Mgmt. Key process Opportunity assessment Portfolio planning Product planning Key practices Market research Competitive analysis Focus groups User interviews Key artifacts MRD Technical Prod. Mgmt. Key process Product planning Release planning Key practices Feature specification Feature prioritization PRD maintenance Key artifacts PRD 2012 Dirk Riehle - All Rights Reserved 7
8 Product Manager in Context C C: Customer AM: Account Manager MM: Marketing Manager PM: Product Manager EM: Engineering Manager SD: Software Developer SE: Support Engineer QA: QA Engineer AM MM PM EM QA SD SE 2012 Dirk Riehle - All Rights Reserved 8
9 Marketing Requirements Document 1 / Dirk Riehle - All Rights Reserved 9
10 Marketing Requirements Document 2 / Dirk Riehle - All Rights Reserved 10
11 Product Requirements Document 1 / Dirk Riehle - All Rights Reserved 11
12 Product Requirements Document 2 / Dirk Riehle - All Rights Reserved 12
13 Video Excerpt From The Pentagon Wars The Bradley Vehicle (Ten years in the life of a product manager.) 2012 Dirk Riehle - All Rights Reserved 13
14 Video Lessons Multiple stakeholders Bargaining leads to suboptimal results Meddling stakeholders Intervening in the tank design process Unclear market From US military to foreign markets Inconsistent requirements From fast and small to big with firepower Changing requirements Lack of focus invalidates prior work Requirements creep From troop carrier to tank Cost explosion With changing requirements, costs explode 2012 Dirk Riehle - All Rights Reserved 14
15 Describing Processes Roles PM Practices Feature Capture Artifacts PRD 2012 Dirk Riehle - All Rights Reserved 15
16 Scrum Prod. Mgmt. Roles and Resp. Product Owner Envisions product Team Member Estimates effort Plans product Plans releases Defines features Prioritizes features PO Plans sprints Reviews results TM SM 2012 Dirk Riehle - All Rights Reserved 16
17 Product Owner (Definition) Definition The product owner holds overall responsibility for the product being developed; s/he is focused on delivering value to the business. Artifacts Product vision Release plan Product backlog Sprint backlog Feature archive Responsibilities Product management Engineering management Practices Product definition Feature definition Feature prioritization Release planning Sprint planning Sprint reviewing Progress tracking 2012 Dirk Riehle - All Rights Reserved 17
18 Traditional to Scrum Role Mapping Traditional Product Manager Engineering Manager Software Developer QA Engineer Scrum Product Owner Team Member Scrum Master 2012 Dirk Riehle - All Rights Reserved 18
19 Flowers Product Vision (Scrum's MRD) 2012 Dirk Riehle - All Rights Reserved 19
20 Product Vision (a.k.a. Concept) (Definition) Definition The Product Vision captures the essence of the product and of the reasons for its existence as the business value it provides to users. It captures the main value and names the users and customers; it embodies the core structure of an underlying business model. Properties Inspiring It inspires users / customers Timeless It is not bound to a schedule Focused It reduces to the essentials Decision aid It is the ultimate arbiter 2012 Dirk Riehle - All Rights Reserved 20
21 Flowers Product Backlog (Scrum's PRD) 2012 Dirk Riehle - All Rights Reserved 21
22 Product Backlog (Definition) Definition The product backlog is a detailed prioritized list of upcoming features to be implemented. It is Scrum's PRD (but differs in important aspects) and the Product Owner's primary artifact. The Product Backlog does not contain any task descriptions or assignments. Properties Focused On creating value Complete For current iteration Prioritized According to current needs First by value, second by risk Evolving Used in future iterations 2012 Dirk Riehle - All Rights Reserved 22
23 Feature (a.k.a. Requirement) (Definition) A feature is a distinguishing characteristic of a software item (e.g., performance, portability, or functionality) (IEEE 829) 2012 Dirk Riehle - All Rights Reserved 23
24 Flowers Main Page Screenshot 2012 Dirk Riehle - All Rights Reserved 24
25 Flowers Tell a Friend Screenshot 2012 Dirk Riehle - All Rights Reserved 25
26 Simple Tell a Friend User Story 2012 Dirk Riehle - All Rights Reserved 26
27 Two Types of Feature Specifications Example Illustrations Naturally incomplete Used to create discussion Model Specifications Try to be complete Used in contracting Foster collaboration Specification Methods Prose User Story Specification Methods Prose Use Case Simple user story Regular user story 2012 Dirk Riehle - All Rights Reserved 27
28 Simple User Story (Feature Specification) Tell a Friend As a Flowers user, I need a function to tell a friend about a flower photo, so that I can share my passion for flowers and increase my network. Properties Follows pattern As a user role I need a function So that I get business value Applicability Used to start discussions Unsuitable for contracts 2012 Dirk Riehle - All Rights Reserved 28
29 User Story (Feature Specification) Tell a Friend User Story The user clicks on Tell a Friend and is sees a new dialog. The user enters their address, the friend's address, a subject and a message to that friend. Upon clicking OK, an is sent to that friend. Acceptance Criteria A valid is sent Proper from: and to: fields Properties Tells a story Told from user perspective Is exemplary, not complete Provides acceptance criteria Should not add to specification Used in validating implementation Applicability Used to start discussions Unsuitable for contracts Proper content incl. valid links Sender is cc:ed on Dirk Riehle - All Rights Reserved 29
30 Prose (Feature Specification) Tell a Friend A user can click on TELL A FRIEND in the menu and below each photo. If s/he does so, he sees a new page with an dialog. The fields are FROM, TO, SUBJECT, and BODY. The user can fill in only valid addresses. The body is prefilled with the photo link. Upon OK, the is sent, with the user cc:ed. Upon CANCEL, no is sent. After this, the dialog returns to the main page with a status message SENT above the main viewing area. Properties Describes a model Tries to be complete Can be used in contracting Used in implementation validation Open to interpretation No specification is complete May contain inconsistencies Still dominant in industry!! 2012 Dirk Riehle - All Rights Reserved 30
31 Use Case (Feature Specification) 1 / 2 Name: Tell a Friend Description: Allows a user to tell a friend by about Flowers Actors: User, Visitor Includes: None Triggers: Menu Selection on Photo Page Preconditions: Defined photo function is launched from Invariants: None Postconditions: On OK, is sent; upon cancel, no is sent Default Scenario 1. User clicks on link 2. System provides dialog 3. User fills in fields 4. User clicks OK 5. System sends 6. System returns to main page Alternative Scenarios 1. User clicks on link 2. System provides dialog 3. User clicks cancel 4. System returns to main page 2012 Dirk Riehle - All Rights Reserved 31
32 Use Case (Feature Specification) 2 / 2 Properties Flowers Service Describes a model Tries to be complete Can be used in contracting Tell a Applicability Friend Used in implementation validation user guest Used for specification guarantees Properties Describes a model Tries to be complete Can be used in contracting Applicability Used in implementation validation Used for specification guarantees Used in industry Second most common spec. type Part of UML, good tool support Used in industry Second most common spec. type Part of UML, good tool support 2012 Dirk Riehle - All Rights Reserved 32
33 Quality Criteria for Feature Specifications I N V E S T ndependent: Features are orthogonal (independent) of each other. egotiable: No feature is cast in stone; discussion can lead to it being split or merged with other features. aluable: Every feature should have business value. stimatable: A feature should be clear and specific so that implementation effort can be estimated. mall: A feature should be small enough to be implemented in one iteration. estable: A feature should have clear acceptance criteria so that it can be tested against and validated during review Dirk Riehle - All Rights Reserved 33
34 Quiz: What's Wrong With This Story? 1 / 2 Upload User Profile The logged-in user, on the Profile page, clicks on the link Upload Picture to upload a profile picture. The link redirects to another page, the main Profile Picture page. On the main Profile Picture Page, the user selects the option either to upload the picture from a local hard disk (by clicking on the Browse button) or to make a picture using the web-cam (by clicking on the Make Picture button). For the option, when the user uploads a picture selecting a file from his or her hard disk, the user clicks on the button Browse and then selects an image file from a file navigator window. The file extensions for uploading are JPG, JPEG, GIF or PNG. According to these extensions, the user sees the files s/he is able to choose from. For the Make a picture option, when the user clicks on the button, a pop-up window is displayed. On the new window, the user clicks on the button-image Camera and takes the picture. After that s/he confirms whether the image should be saved or the action should be canceled. The user clicks on Save Image to confirm to save the image. The user clicks on Cancel to dismiss the picture. Uploaded pictures or made pictures are saved on a Profile Picture Gallery, where any picture that was set as a profile picture is saved. After the user uploaded the picture, s/he chooses whether he/she wants to publish it or not. The user publishes a picture by selecting the check-box Publish Picture. After publishing a picture, the event is listed as one or more items on the What s on your mind section. [...] 2012 Dirk Riehle - All Rights Reserved 34
35 Quiz: What's Wrong With This Story? 2 / 2 Spam-free Reg. Right after user registration, an is sent to the unverified address of the user with a unique link that verifies the user's account when he/she clicks on it (see Verify User by ). The goes directly into the inbox of the user passing the spam filter. Acceptance Criteria All tags closed, no bad HTML code No IP address in URL (plain text) No user name in subject/ No numbers in subject No catchy words in subject No capital letters in subject Avoid utilizing phrases like click here No BCC distribution No dirty words No images in Max. 2 colors in mail (no signal colors) No big headings (max. size 14) Check against a Spam checker 2012 Dirk Riehle - All Rights Reserved 35
36 Prioritizing Features by Value and Risk risk high value x realize never 1 realize first value low 3 realize last 2 realize second high risk low 2012 Dirk Riehle - All Rights Reserved 36
37 Quiz: How to Prioritize These Features? 1. Login As a guest, I can login using my user account to get access to user functionality 3. Lock-out User As a user, my account is blocked, if I fail three times in a row when trying to log in 2. Logout As a logged-in user, I can logout to free up the computer for some other person 4. Tell a Friend As a guest, I can tell my friends by about a flower photo to share my passion 2012 Dirk Riehle - All Rights Reserved 37
38 Prioritizing Features by Kano Model customer satisfaction high not at all exciters and delighters degree of feature implementation fully must-have linear low 2012 Dirk Riehle - All Rights Reserved 38
39 Flowers Product Backlog Scrolled 2012 Dirk Riehle - All Rights Reserved 39
40 Product Backlog Item (Definition) Definition A product backlog item is an entry in the product backlog Properties It provide these fields Identifier Estimated effort Types of Items Features Bug reports Refactorings Some people keep bug reports and refactorings outside the product backlog, we don't Category Short name Item description Acceptance criteria 2012 Dirk Riehle - All Rights Reserved 40
41 Other Types of Product Backlog Items Bug Reports A bug report describes a problem with the system, possibly pointing to the source of the issue Properties Describes business value Used to fix non-working feature Refactorings A refactoring improves structure without changing behavior ( improving the design of existing code Properties Describes technical value Applied to reduce tech. debt Links to bug tracker 2012 Dirk Riehle - All Rights Reserved 41
42 Measuring Effort of Feature Implementations Person Hours Person hours are a unit of measure of time needed to implement a given feature. Properties Is an estimate of duration Typically, this is ideal time Real time has inefficiencies Story Points Story points are an (arbitrary but socially agreed-upon) unit of measure of size of a given feature. Properties Is an estimate of size Is not an estimate of duration Has a linear scale Does not have linear choice Is socially agreed upon Thus, is team-dependent Maps to time with velocity 2012 Dirk Riehle - All Rights Reserved 42
43 Measuring Effort with Story Points Points Meaning 0 No effort 1 Minimal effort 2 Small effort 3 Medium effort Properties (Continued) Force qualitative choice Force split if too large Are additive on linear scale Used to compute total effort Convert to time with velocity 5 Large effort 8 Very large effort 13 Too large effort 2012 Dirk Riehle - All Rights Reserved 43
44 Relative Weighting (Practice) P = ( as % Relative Benefit + Relative) Penalty Cost in Story Points as % P = prioritization key figure (rational number) 2012 Dirk Riehle - All Rights Reserved 44
45 Feature 1. Query status of a vendor order 2. Generate a Chemical Stockroom inventory report 3. See history of a specific chemical container 4. Print a chemical safety datasheet 5. Maintain a list of hazardous chemicals 6. Modify a pending chemical request 7. Generate an individual laboratory inventory report 8. Search vendor catalogs for a specific chemical 9. Check training database for hazardous chemical training record 10. Import chemical structures from structure drawing tools Relati ve Benefi t Relati ve Penalt y Total Value Value % Relati ve Cost Cost % Relati ve Risk Risk % Priorit y Totals Dirk Riehle - All Rights Reserved 45
46 Product Backlog Maintenance (Practice) Product Backlog PO Feature Estimation TM Feature Senior team member estimates feature size; this is a rough cut. More precise estimation using planning poker discussed later Dirk Riehle - All Rights Reserved 46
47 Development Velocity (Speed) V = S / T [ story points / sprint ] V = Velocity S = Size (of effort) T = Time (in sprints) 2012 Dirk Riehle - All Rights Reserved 47
48 Charting Development Velocity size [story points] average speed after three sprints = 21,7 story points / sprint ?????????? time [sprints] 2012 Dirk Riehle - All Rights Reserved 48
49 Product Planning Process and Practices Product Planning Envision product Driver: Product owner Collaborators: Market / client Artifact: Product vision Release Planning Plan release Driver: Product owner Collaborators: Market / client Artifact: Release plan Define release schedule Driver: Product owner Collaborators: Market / client Artifact: Release plan 2012 Dirk Riehle - All Rights Reserved 49
50 Scrum Process (Overview) Rel. m-1 Rel. m Rel. m months 6-12 months 6-12 months time... Sprint n-1 Sprint n Sprint n+1 P E 3R P E 3R P E 3R weeks 1-4 weeks 1-4 weeks P: Planning E: Execution 3R: Review, release, and retrospective time 2012 Dirk Riehle - All Rights Reserved 50
51 Release Schedule (Artifact and Practice) Definition The release schedule defines a sequence of product releases; it is based on meeting client needs. A release is typically considered an important product milestone. Properties Works toward product vision Creates real value each release Typically 3, 6, or 12 months Or, aligned with deadlines Scheduling Options Defined Rhythm Releases every 6 months Ex: Eclipse, Ubuntu Preferred by platforms Aligns multiple components Cf. release train External Deadlines Fit release to deadlines Ex: CeBIT, client requirement Preferred by projects 2012 Dirk Riehle - All Rights Reserved 51
52 Release Plan (Artifact) 2012 Dirk Riehle - All Rights Reserved 52
53 Release Plan (Artifact and Practice) Definition The release plan provides the release schedule and maps the sequence of releases and the sprints within these releases into a time. The release plan is subject to change as new information invalidates effort estimations. User stories are mapped into sprints using development velocity. Properties Fields for release entry Start date End date No sprints Sprint summaries Fields for sprint entry Sprint identifier Theme of sprint User stories (by id) Estimated effort Estimated burn-down 2012 Dirk Riehle - All Rights Reserved 53
54 Release Burndown Chart (Artifact) remaining story points Dirk Riehle - All Rights Reserved 54
55 Sprint (Practice) Definition A sprint is a fixed-length development episode that provides a full uninterrupted planning, execution, and review cycle. Properties Should have a theme Types of Sprints Regular sprint Exploratory sprint Cleanup sprint Release sprint Is prepared beforehand Will be planned at beginning 2012 Dirk Riehle - All Rights Reserved 55
56 Start and Duration of Regular Sprints Monthly Sprints Is original recommendation Is too long for some domains Should start 1st Monday Two Week Sprints Are realistic even for beginners Align with half-month rhythm Should start on Wed or Thu One Week Sprints Requires well-working team Are needed in some domains Should start on Wed or Thu 2012 Dirk Riehle - All Rights Reserved 56
57 Irregular Sprints P E 3R P E 3R Release... time P E 3R Expo... time 2012 Dirk Riehle - All Rights Reserved 57
58 Thank you! Questions? DR 2012 Dirk Riehle - All Rights Reserved 58
59 Contributions and Credits None yet Dirk Riehle - All Rights Reserved 59
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