Learn more about product with this collection
Essential product management skills
How to work effectively with cross-functional teams
How to identify and prioritize customer needs
Unlike sales and marketing, who are responsible for very clear, measurable, deliverables (new/retained customers and leads respectively), product managers can’t be measured this way.
The outcome of good product management work is not contained in the product department but rather manifested in the performance of many other departments.
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Before you set goals for your product managers, you need to understand why you are doing it. There are a number of reasons to set goals for people in your company, but not all of them can be applied to product managers, like:
You can set goals that are related to company or business objectives. As a general guideline, you should treat the goals you set for your product managers as means to give them guidance and direction, not measure their performance or even the product’s.
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But in most cases, these numbers are not set in stone. You want to set goals that are challenging yet achievable, and by definition, it creates a range of options. The OKR method sets the objective (what we are actually trying to achieve here) as context for the actual results and numbers that we strive to see.
The rule of thumb is that when assessing whether or not an OKR was met, if you were able to meet 70% of the goal you should consider it done. That’s because it was meant to be directional all along.
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If you want to help your product managers succeed, you must address the softer side of product management. There are so many soft skills that a product manager needs to master in order to be able to deliver the outcomes you really want from them.
When you set goals, make sure at least one of them sets the bar for higher performance in a softer area: working with stakeholders, decision making, clear communication, or anything else you can think of.
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Measuring the performance of product managers is a real challenge for a number of reasons. When planning the product managers’ goals, this challenge can translate into taking the wrong direction altogether. Here is a new way to look at product management goals, and make them a useful tool for both you and your team.
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