-Introduction-
As a part of every organization, there is an ongoing need for innovation in their products and services. It can be very challenging to keep up with the market changes, competition, technological advancement, and other factors that shape the business landscape. To keep up and on top of the business landscape, each company must go through its own cycles of products and services roadmap planning. This roadmap includes understanding the current and future environments (what’s going well, what isn’t going well, what should change over time, etc.) and alignment initiatives (molding the organization to best advance the most important products/services) for long term success. To find out the right approach to take, there are phases of planning the change.
-Research & Analysis-
The first phase is to do a series of tasks to research and analyze the current performance and anticipated trends. Here is a list of tasks to dive into:
- Find best performers and the worst of the product/service portfolio. This can be done via examining the financial performance of the past few years.
- Examine market trends and intelligence to gain long term perspective. Looking at industry newsletters, market intelligence organizations (e.g. Forester, Gartner, or IDC), or attending speaker sessions on similar topics can likely help accomplish this.
- Examine which areas are most strategic by comparing the competitive landscape, long term potential, defensible positioning, new market share, etc.
- Find the balance of which customers are the most helpful/easiest to work with to understand what can help make the most profitable mix. (check out the strategic divestment article)
- Examine which products and services can be sold/packaged together (e.g. selling a standard product and then adding consulting services on top of it to help maximize its usage and benefits).
- Assess which products/services are most interesting/engaging/cool inside the company. Having more or less energy behind a given product or service line can help influence which areas will then have the most passion behind it or them.
At the conclusion of these investigation areas, conclude and rank which products and services have the most potential for short and long term success. By doing most, if not all, of these areas, you can arrive at a lot of strategic and tactical information to draw upon for a number of decision areas.
-Finding out what to accelerate/decelerate-
Noting how performance has been and what it is anticipated to be in the future is very helpful. However, it can also be very important to note what is already going for the company. First, examine current plans and any promises (legal or not) to customers, partners, and competitors to see what flexibility is possible. The areas that can shift can be opportunities for upsells, better terms, more effective agreements, and/or simply discontinuation (in the instance of it not being profitable enough). Then see what areas can be decelerated (phased out, reduction of investment) or retired (removal from active selling and positioning or just replaced), and what can be accelerated (invested in, supported more, amplified, etc.). From combining both the research indicating data driven possibility for current and future attainment as well as the business commitments in motion, you should have the long term plan on how to approach the product and service roadmap, including which changes should take place.
-Planning for the change-
Now, after that sizeable research, analysis, and current commitment plan of record you can finalize your product and service transformation roadmap. This roadmap can make large waves internally with your employees, the market competition, coordination with partners, and certainly in regards to working with current and future customer segments. In kicking this off, there are several important areas to initially attend as you plan and coordinate the roll out of these changes:
- Give everyone internally a heads up on what changes are coming, particularly those that are in advanced or long term planning (sales, marketing, internal R&D, etc.). In so doing this, it’s very important to state the process that was conducted, the business reasons for it happening, and the important parts about it in regards to the employees. In messaging to the employees be sure to tie it into what motivates them. Perhaps this could be new opportunities ahead, better company profitability implying bigger bonuses to shareholders and employees, removal of pain points, and so on.
- The existing commitments, if changing, should be discussed with as much lead time as possible. It’s just good customer service to give them that heads up as soon as possible. It will be important to have that messaging prepared in regards the approach taken, the options for adjustment, and long term fulfillment conditions all to allow for the sales cycle and customer relationships to adjust. This can mean having upselling options presentable, different terms and conditions on hand, substitute product or services available, and the handoff to partners queued up if needed. In a similar messaging fashion from the internal front, it is important to let your customers know the business reasons, particularly what is beneficial for the customers through this arrangement. The business reasons could be as simply stated as a regular cadence to the business and a best practice effort. The customer benefits part should be aspects like newer, better, faster, stronger, etc. products and/or services that are relate to better cost or quality for the customer.
-Next Steps-
In this article I’ve only covered planning the change and elements of the initial communications. There is much more to following through with the roadmap than simply that. Effectively implementing a product and service roadmap transformation can be very difficult, complex, and time consuming. It is easy to underestimate what all should fuel this kind of an effort when implementing it. That implementation would likely include positioning and planning, communication planning & drafting, hands on coordination (calls, meetings, presentations, etc.), and the follow through to meet what was articulated in the plans. The devil can be in the details and it is clear there are many details to be discovered in the further design and implementation of a product and service roadmap.