Appendix
The difference between the project approach and the product
Comparison of project and product approaches: goals, deadlines, responsibilities, financing, metrics and completion criteria.
Project and product approaches solve different management problems. The project is optimized for the agreed volume, time and budget; the product is optimized for a sustainable result for the user and business. In practice, companies often combine both regimes, so it is more important to clearly agree on the criteria for the success of a particular initiative.
| Project | Product |
|---|---|
| Specific deadlines | Working in an uncertain and often changing context |
| Limitation of requirements | B***** greater liability and risk |
| Simultaneous participation in two or more projects | Focus on one product, only priorities and metrics can be changed |
| Specific stakeholders | Constant work with market analytics and search for new sources of information |
| Expected fast result | Result over long or indefinite time |
| Frequently changing tasks and communication from project to project | Search and continual expansion of communications |
| Continuous generation of new ideas |
| Parameter | Project approach | Product approach |
|---|---|---|
| Goal | Minimum resources for planned output in time | Maximum value within allocated resource |
| Team responsibility for the product | For a fragment of the product’s life, its creation with transfer to operational activities | For all stages of the product’s life, from hypothesis to its end |
| Definition of Requirements for the Result | At an Early Stage (TK, Project), from Project Customer | Constantly (Hypothesis, Prototype, Pilot, Release) by Client |
| Value delivery | Fully, but at the end of the project (as well as the main feedback) | Rhythmically in parts, as early as possible for feedback |
| Task allocation mechanics | Start-up plan, detailed as implemented (equal to team resource) | Sliding task portfolio prioritized by product owner (more team resource) |
| Technology | Management of plan, project scope, resources, risks | Repetitive short cycle |
| Success criteria | Timeline and budget, performance requirements, KPI | Performance of product/portfolio metrics (effect) |
| Benefits | Minimum cost in the required time and result, including: When the first value is not achievable in the short term | Increased effect under uncertainty |