https://www.productmanagementtoday.com/frs/26551585/driving-business-impact-for-pms Move from feature factory to customer outcomes and drive impact in your business! This session will provide you with a comprehensive set of tools to help you develop impactful products by shifting from output-based thinking to outcome-based thinking. You will deepen your understanding of your customers and their needs as well as identifying and de-risking the different kinds of hypotheses built into your roadmap. Understand how your work contributes to your company's strategy and learn to apply frameworks to ensure your features solve user problems that drive business impact. Learning objectives: • Learn how to prioritize the most impactful opportunities: Identify the most impactful opportunities using Impact Mapping and other framing techniques, shift from output orientation to outcome/impact orientation. • Grow your user empathy skills: Better understand users and the problem space they are working in through Journey Maps that are customized for Product Managers. • Understand the risks and hypotheses built into your roadmap: By making explicit the different hypotheses in your plan and identifying the riskiest ones, you will be able to quickly validate the riskiest assumptions and improve your outcomes. • Create actual artifacts for your products: With the practical experience provided in this session, apply these tools to real-world product management scenarios to build journey and impact maps for actual users & products.

6. Customer Journey Mapping
Risk and Confidence
Outcome Orientation / Impact Mapping
Outside-In Orientation
01
02
03
04

7. Identify Needs
Identify Solutions
Identify/Test Hypothesis
Solution Space
Problem Space
Solution Hypothesis
Outcome Hypothesis
Overview
User
Impact
Growth icons by Freepik - Flaticon

8. 8
How
to
Drive
Business
Impact
for
PMs
Desirable
(valuable to your
customer)
Feasible
(for your teams to deliver)
Valuable
(to your business)
Outside-In
Make sure you are delivering value
for your customers
Outcome Oriented
Make sure you are delivering value
for the business
Feasible
Make sure you are not trying to do
too much
APPROACH

9. 9
How
to
Drive
Business
Impact
for
PMs
Jobs to be done
User centricity
Landings, not Launches
Flip your brain from “what we will
launch” to “what will be better for
customers because we launched?”
OUTSIDE-IN THINKING
! !

10. Launch Landing

11. 11
How
to
Drive
Business
Impact
for
PMs
“I have a cool thing - you should buy it”
● You love your Solution
● Puts your product/solution at the
center
● First you develop a product, then
you try to find problems it can solve
“You have a problem, I think I can help
with that”
● You love the Problem
● Puts the user and their problems at
the center
● First you observe/understand the
customer, then find and offer
solutions
Let’s Start With Customer-Benefits - Being Outside-In
Inside-Out Outside-In

12. 12
How
to
Drive
Business
Impact
for
PMs
Customers don’t care about
your solution
They care about
their problems
Dave McClure, 500 Startups

13. 13
How
to
Drive
Business
Impact
for
PMs
Only ⅓ of new features actually improve the product
“Evaluating well-designed
and executed experiments
that were designed to
improve a key metric, only
about one-third were
successful at improving the
key metric!”
Source: Online Experimentation at Microsoft, Sept 2009, Ronny Kohavi, et al. https://ai.stanford.edu/~ronnyk/ExPThinkWeek2009Public.pdf

14. 14
How
to
Drive
Business
Impact
for
PMs
m
ore
is not alw
ays better

15. “It’s not the
customer’s job to
know what they
want.”

16. How
to
Drive
Business
Impact
for
PMs

17. Focus on the user, and the
rest will follow.
Larry Page
CEO, Alphabet

18. 18
How
to
Drive
Business
Impact
for
PMs
Create User Journey Map
Identify Pain Points
Improve User Experience
Understanding how and why your users
find and use your product is fundamental
JOURNEY MAP
- (OUTSIDE IN THINKING)

19. 19
How
to
Drive
Business
Impact
for
PMs

20. How
to
Drive
Business
Impact
for
PMs
Which map?
Covers all the
touchpoints with
your company and
beyond
Customer
Journey Maps
Steps a user takes
to accomplish a
goal
Understanding Your Customer
(Outside-in)
User Journey
Maps
A user’s
experience with
your product or
website
Covers just their
experience with
your product
Designing Your Solution
(More Inside-Out)

21. 21
How
to
Drive
Business
Impact
for
PMs
Journey Map for Product Managers Overview
Scenario Goals & Expectations
Stage 1 Stage 2 Stage 3 Stage 4
Step 1
Stage 5
Step 2 Step 3 Step 4 Step 5 Step 6 Step 7 Step 8 Step 9 Step 10
Stage 5
Step 11 Step 12
Context
Persona, Scenario, etc.
Problems/Challenges
Criticality
Stages & Steps
Satisfaction
The Context section provides constraints for
the map by assigning a persona (“who”)
and the scenario to be examined
(“what”).
The heart of the map is the visualized
experience, usually aligned across
chunkable stages of the journey.
The steps and problems or challenges,
the user goes through in their journey as
well as the criticality of each step and the
user’s current and target satisfaction
with that step are key to uncovering
insights or opportunities to focus on
going forward

22. Jon’s Car Buying Journey Map - Used Car Shopper
Scenario
Our son finally wants a car, and so we are
looking for something safe, reliable and
affordable
Goals & Expectations
● The car has safety features like blind spot
detection and auto-braking
● The car costs less than $25k
Figure
Out
Budget
Context
Persona, Scenario, etc.
Problems/Challenges
Criticality
Stages & Steps
Satisfaction
Decide
on style
of car
Search
cars
Review
price,
features,
ratings
Find
Dealer
Test
Drive
Negot-
iate
price
Pay
Dealer
Current Target
Go Home
Very Satisfied
Great
Good
Meh
Lame
Lousy
Very Dissatisfied
Target = Current
Have to
make
com-
promise
convinc-
ing son
so many
cars,
many $$$
dealers
hard to
trust
Decide to Buy Online Shopping In person Purchase Car Receive Car
M
H
M
L
H H
so many
options
Criticality
Satisfaction

23. 23
How
to
Drive
Business
Impact
for
PMs
Tie your work to business value
Connect outputs to outcomes
Clarity of Purpose for your teams
Impact maps enable you to be
outcome-oriented by connecting what
you build with what you want to achieve
OUTCOME
ORIENTATION
NEED THING
OBSERVABLE
CHANGE
OUTCOME
NEED THING
OBSERVABLE
CHANGE
THING
NEED THING
THING

24. You Identified Customer Value in the form of NEEDS
Scenario Goals & Expectations
Stage 1 Stage 2 Stage 3 Stage 4
Step 1
Context
Persona, Scenario, etc.
Problems/Challenges
Criticality
Stages & Steps
Stage 5
Satisfaction
Step 2 Step 3 Step 4 Step 5 Step 6 Step 7 Step 8 Step 9 Step 10
Current Target
Stage 5
Step 11 Step 12
Very Satisfied
Great
Good
Meh
Lame
Lousy
Very Dissatisfied
Target = Current
NEEDS

25. Identify Needs
Identify Solutions
Identify/Test Hypothesis
Solution Space
Problem Space
Solution Hypothesis
Outcome Hypothesis
Overview
User
Impact
Growth icons by Freepik - Flaticon

26. 26
How
to
Drive
Business
Impact
for
PMs
How Do You Address Those NEEDS?
Build all of the THINGS which are required to address this NEED
Build none of the THINGS which do not address this NEED
THING
NEED
THING
THING
THING
???

27. 27
How
to
Drive
Business
Impact
for
PMs
How Will You Know if You Addressed Those NEEDS?
You will see the OBSERVABLE CHANGE which is caused or
enabled by addressing the NEED
THING
NEED
THING
THING
OBSERVABLE
CHANGE

28. How
to
Drive
Business
Impact
for
PMs
OBSERVABLE
CHANGE
NEED THING
? !
Solution Hypothesis
We believe, if we build this THING, it will address that
NEED for a persona, which will cause or enable that
OBSERVABLE CHANGE. We will know we are right when
we see [observable change amount in shorter time
period]
Sphere of Influence Zone of Control
Solution Hypothesis

29. How
to
Drive
Business
Impact
for
PMs

30. 30
How
to
Drive
Business
Impact
for
PMs
This is an IMPACT MAP - A Causal Model of Reality
OBSERVABLE
CHANGE
OUTCOME THING
NEED
THING
THING
Each THING you build is built
to address a NEED
Every NEED you address causes or
enables an OBSERVABLE CHANGE
Every CHANGE you create leads
to a desired OUTCOME NEED

31. 31
How
to
Drive
Business
Impact
for
PMs
This is an IMPACT MAP - A Causal Model of Reality
OBSERVABLE
CHANGE
OUTCOME THING
NEED
THING
THING
NEED
Try to address customer needs by building things

32. 32
How
to
Drive
Business
Impact
for
PMs
This is an IMPACT MAP - A Causal Model of Reality
OBSERVABLE
CHANGE
OUTCOME THING
NEED
THING
THING
NEED
This is how you make your product desirable
Try to address customer needs by building things

33. 33
How
to
Drive
Business
Impact
for
PMs
This is an IMPACT MAP - A Causal Model of Reality
OBSERVABLE
CHANGE
OUTCOME THING
NEED
THING
THING
NEED
This is how you make your product desirable
This is how you make your product valuable
Try to address customer needs by building things

34. 34
How
to
Drive
Business
Impact
for
PMs
This is an IMPACT MAP - A Causal Model of Reality
OBSERVABLE
CHANGE
OUTCOME THING
NEED
THING
THING
NEED
This is how you make your product desirable
This is how you make your product valuable
Try to address customer needs by building things

35. How
to
Drive
Business
Impact
for
PMs
OUTCOME
OBSERVABLE
CHANGE
NEED THING
? ? !
Outcome Hypothesis
We believe, if we cause this OBSERVABLE
CHANGE, it will result in this OUTCOME. We will
know we are right when we see [these results]
Sphere of Influence Zone of Control
Outcome Hypothesis

36. 36
How
to
Drive
Business
Impact
for
PMs
OUTCOME
OBSERVABLE
CHANGE
NEED THING
Without understanding
causal relationships, we can
only ever build what was
asked for. We can only be
order-takers
We built more things. Does that
mean we're improving?
We built things on time and
on-budget. Did it create our
desired outcome?
Yesterday

37. 37
How
to
Drive
Business
Impact
for
PMs
OUTCOME
OBSERVABLE
CHANGE
NEED THING
With causal relationships we
can collaborate to build what
is needed; initially as problem
solvers and eventually as
creators of value
We solved more problems for
more people. We know we're
improving.
We tried different ideas when
the target changes weren't
achieved. We worked until the
customer's problem was solved.
Without understanding
causal relationships, we can
only ever build what was
asked for. We can only be
order-takers
We built more things. Does that
mean we're improving?
We built things on time and
on-budget. Did it create our
desired outcome?
Tomorrow Yesterday

38. 38
How
to
Drive
Business
Impact
for
PMs
Confidence Rubric
Identifying the Jeopardy in your Plan
Impact Map Overlay
How confident are you in your
assumptions and why does that matter?
CONFIDENCE &
JEOPARDY

39. 39
How
to
Drive
Business
Impact
for
PMs

40. 40
How
to
Drive
Business
Impact
for
PMs
Confidence Rubric - A Heuristic for Uncertainty
No reason at all to be confident
Very good reason to feel confident
Indicated by experimental test results
Hypothesis based on extensive research
Extrapolation from correlated data
Inference from related or anecdotal data
Expert Intuition based on domain knowledge
Let’s try something and see if it works
5
4
3
2
1
0
Developed by Scott Sehlhorst, Tyner Blain; 12 Nov 2017
More Likely to be wrong
More Likely to be right

41. 41
How
to
Drive
Business
Impact
for
PMs
Where is the Jeopardy in Your Plan?
More
Likely
to
be
wrong
More
Likely
to
be
right
More
Damage if
Wrong
Less
Damage if
Wrong
Scary
Easy Uneasy
Uneasy How does your
company deal
with uneasiness?

42. 42
How
to
Drive
Business
Impact
for
PMs
Where is the Jeopardy in Your Plan?
No reason at all to be confident
Very good reason to feel confident
Indicated by experimental test results
Hypothesis based on extensive research
Extrapolation from correlated data
Inference from related or anecdotal data
Expert Intuition based on domain knowledge
Let’s try something and see if it works
5
4
3
2
1
0
More
Likely
to
be
wrong
More
Likely
to
be
right
More
Damage if
Wrong
Less
Damage if
Wrong
Build to Learn
Build to Earn

43. 43
How
to
Drive
Business
Impact
for
PMs
Highlighting Implicit Uncertainty
7% Fewer
customers leave
without picking a
car
Increased sales of
0.7% because more
people will complete
the process
User-Interview
questions
20% of Customers
struggle to compare
different models
and trim levels
Database connecting
features to goals
5% of Customers get
frustrated
when the car they
pick is unavailable
Real-time
inventory lookup
OBSERVABLE
CHANGE
THINGS
NEED
OUTCOME
3 2
0
1
4
0

44. 44
How
to
Drive
Business
Impact
for
PMs
Identify Needs
Identify Solutions
Identify/Test Hypothesis
Solution Space
Problem Space
Solution Hypothesis
Outcome Hypothesis
Connecting the Dots

45. https://maven.com/jon-harmer
8-hour live course

46. How
to
Drive
Business
Impact
for
PMs
Thanks,
y’all