Pm Methodology
|The product management process
The product management process is key to efficient product development
A contribution by Thomas Bauch, managing director, trainer and consultant
A structured product management process is crucial for successfully managing a product throughout its entire life cycle – from market concept to phase-out. It helps to develop customer-oriented solutions, achieve strategic goals and make product development more efficient. The PM1 Product Management Process Navigator provides clear guidance at the product, portfolio and company levels – for greater transparency, faster decisions and sustainable market success.
What is a product management process?
The product management process is a structured approach for systematically managing a product throughout its entire life cycle – from identifying market opportunities to development, market launch, portfolio optimisation, and product phase-out management.
It typically comprises the following phases:
- Market and environment analysis (e.g. customer needs, competitive landscape, trends),
- Product strategy and roadmap development based on business objectives and portfolio alignment,
- Product conception and validation,
- Product development and go-to-market planning (including pricing, positioning, launch),
- Lifecycle management with a focus on further development,
- Performance monitoring and end-of-life management.
This process aims to develop market- and customer-oriented products with a clear value proposition that contribute to achieving strategic corporate goals. A professionally designed product management process creates transparency in the product pipeline, reduces time-to-market and increases the probability of success for new solutions. At the same time, it forms the basis for continuous optimisation and differentiation in the competitive environment – and is thus a key lever for profitable growth and securing the future of products.
Orientation and security in product management processes
At PM1, we have developed a process navigator for product management. Divided into three strategic levels – product, portfolio and company – it provides a systematic overview of all relevant product management processes at a glance. Consistent coordination between these levels is crucial for long-term market success and effective product management.
The “product” level in the product management process
The product strategy level describes the area of responsibility of the product manager, which covers the entire life cycle of a product from its creation to its withdrawal from the market. This level is divided into product life cycle management, product strategy planning and control, and supporting processes.
The “product portfolio” level in the product management process
The product portfolio strategy level encompasses the management of an entire product portfolio and its optimisation throughout the phase-in, in-market and phase-out phases. Product portfolio management begins with an analysis of the current portfolio, followed by the definition of a target portfolio. Idea management and evaluation take place here to select products that fit the overall strategy. The portfolio roadmap aggregates individual product roadmaps and enables capacity and resource planning, allowing strategic investments to be managed in a targeted manner.
The “Company” level in the product management process
The corporate strategy level defines the overarching corporate strategy that serves as the basis for product management. It encompasses the orientation of the business model, vertical integration and corporate positioning. This is where decisions are made about which product services the company offers, and important framework conditions for the product portfolio and individual products are defined.
For the company to achieve sustainable market success, there must be a high degree of consistency between the individual strategy and process levels. The corporate strategy must be seamlessly transferred to the portfolio and product strategy to minimise friction losses and maximise market strength. In addition, clear decision-making structures are necessary, following a clear top-down hierarchy in which the corporate strategy sets the framework while suggestions from lower levels can be integrated.
The PM1 Product Management Process Navigator
Product Management Process Navigator
– White paper
Dive deeper into the topic of ‘product management processes’ and gain orientation and confidence in your product management processes.
- Three strategic levels and the importance of strategic consistency
- Application of the PM Process Navigator in your company
- And much more
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