Product Managers: Reporting Structure, Evaluation Criteria, and Common Missteps

Product managers play a crucial role in shaping the direction and success of a company's product offerings. However, their reporting structure, evaluation criteria, and common pitfalls can significantly impact their ability to drive value and innovation. In this article, we will explore the typical reporting structures for product managers, how they are evaluated, and the key 'no-no's in product management, drawing insights from various company sizes and contexts.

Reporting Structures for Product Managers

The reporting structure for product managers can vary greatly depending on the size and nature of the company. In established companies, the ideal reporting structure is to a General Manager (GM), CEO, or President, often through a Vice President of Product Management or Chief Product Officer (CPO). This ensures that the product team is aligned with the broader business goals and has strong organizational support.

However, in startups or smaller organizations, the reporting structure may be different. In startups, it's common for the CEO, founders, or head of development or support to be the point of reporting. The key aspect is securing the backing and support of senior leadership to ensure that the product team can effectively drive change and innovation.

Evaluation Criteria for Product Managers

The evaluation of product managers often revolves around their ability to deliver measurable impact and demonstrate core product management skills. In well-established companies like Google, product managers are evaluated on the following criteria:

Impact of Projects: Did the product manager's project have a significant measurable impact? Were they a key contributor to this impact? Product Strategy and Design Leadership: How well did the product manager demonstrate their ability to lead product strategy and design? Organisational and Technical Complexity: Did the product manager effectively deal with organizational and technical complexity? Communication and Presentation Skills: How effectively did the product manager communicate ideas and present them to stakeholders?

In addition to these core evaluations, product managers are also assessed on their ability to get things done. This includes:

Delivering Outputs: Despite challenges, constraints, and conflicting opinions, can the product manager deliver outputs effectively? Product Insight: Does the product manager have a deep understanding of what makes a good product design and what makes a bad one?

A strong product manager must be able to make informed decisions based on data, not just hunches or anecdotal evidence. Overly relying on personal intuition without rigorous testing or client feedback can be a major mistake.

Common Pitfalls in Product Management

One of the biggest no-nos in product management is relying on personal intuition without validating these hunches through user feedback and data analysis. Successful product managers understand the importance of user experience (UX) and are always open to feedback and iterative improvements. They recognize that they are not like their users and must immerse themselves in user research and analytics to understand customer needs and behaviors.

Here are three key pitfalls to avoid in product management:

Pitfall 1: Trusting Intuition Over Data

Relying solely on your gut feeling without verifying it with client feedback or data analysis can lead you astray. Data-driven decisions are crucial in product management, and ignoring this can result in poorly designed products that fail to meet customer needs.

Pitfall 2: Lack of Product Insight

The ability to discern between a good product decision and a bad one is paramount. A product manager without a strong product intuition may struggle to identify the right product direction and make sound strategic decisions.

Pitfall 3: Poor Organizational Skills

Effective product managers must be adept at navigating organizational and technical complexities. Poor organizational skills can lead to inefficiencies, missed deadlines, and failed product launches.

Conclusion: The role of a product manager is multifaceted and requires a blend of strategic thinking, technical expertise, and interpersonal skills. By understanding the appropriate reporting structures, evaluation criteria, and avoiding common pitfalls, product managers can drive greater success and value for their organizations.