The Product-Process Gap: How To Stop This Leak In Your Org’s Budget (with Manuel Da Costa)
Jul 9, 2024
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Manuel Da Costa, Founder of Effective Experiments, discusses bridging the product-process gap in organizations. Topics include setting the right KPIs, fostering a culture of experimentation, implementing guardrails for better decisions, and a success story of transforming outcomes through experimentation.
Flawed experiments in product decisions highlight the importance of fostering better experimentation practices.
Lack of expertise and leadership involvement leads to disconnect between product expectations and outcomes, stressing the need for proper training and oversight.
Deep dives
The Significance of Effective Experimentation
Experimentation is crucial for tech breakthroughs but flawed experiments can lead to costly decisions. Manuel Da Costa from Effective Experiments focuses on enhancing product decision-making through better experiments. The 'product process gap' highlights the disconnect between leadership expectations and product execution, often resulting in underwhelming outcomes. The lack of experience, knowledge, and support leads to faulty experimentation and suboptimal decision-making.
Challenges in Implementing Effective Experiments
Product teams are tasked with validating every decision through experiments, but lack adequate expertise, collaboration, and prioritization skills. Transitioning experimentation responsibilities to product teams highlights the need for proper training and oversight. The absence of leadership involvement and oversight results in a disconnect between product expectations and actual outcomes.
Strategies for Closing the Product Process Gap
Standardizing experimentation processes, implementing governance frameworks, and establishing health scorecards are essential for improving experimentation quality. Realigning KPIs to prioritize quality over quantity, providing coaching and monitoring, and fostering psychological safety are key to bridging the product process gap. By setting clear guidelines, enforcing rigor in experimentation, and empowering teams with the right tools and support, organizations can make data-driven decisions and enhance product outcomes.
In the fast-paced world of Agile organizations, experimentation is the lifeblood of innovation and progress. However, the reality is that not all experiments yield positive outcomes.
In this episode, Hannah Clark is joined by Manuel Da Costa—Founder of Effective Experiments—to shed light on the phenomenon known as the product-process gap and discuss ways organizations can foster better experimentation practices.
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