I agree that PMs are largely overhead in the early days of a company, provided that you have strong product-minded engineers/designers.
(Also just my 2c from heading a PM department / being a former engineer)
I agree with the division of labor you describe, in principle, but I've never had the opportunity to observe it in practice. Maybe I've only worked at places that are not old + big enough yet.
In the (relatively few!) teams I've known, the PM's business expertise has usually been strictly less than the most experienced engineer on the team, leading to a typically never-ending, and eventually abandoned game of catch-up.
(sorry for being somewhat vague but I try to keep this account anonymous!)
It's simply too much for our engineers to spend time deeply understanding every nuance of our business ("how should we make this product tradeoff between the needs of SMBs in Asia vs. the needs of our largest 10 customers across all countries? How will this then impact our pricing strategy?"). But PMs have more context here, because in exchange they don't (for example) know every nuance of how our data pipeline works.
In terms of how we make it work, we 1. try really, really hard to align incentives between Eng/PM so that they win together, 2. make sure that teams work together closely and have time to bond, and 3. write things down in planning docs as much as possible, as that's one of the best ways to reduce conflict and also fully leverage non-overlapping expertise.
"the PM's business expertise has usually been strictly less than the most experienced engineer on the team, leading to a typically never-ending, and eventually abandoned game of catch-up."
That's rough... those don't sound like good PMs to me fwiw.
What I have seen are cases where very senior engineers have a better grasp of the overall product vision than some PMs, due to experience and tenure. But they usually don't have more expertise in all of the business questions simply due to relative lack of time spent in that domain.
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All of this isn't to say that engineers don't need to know about the business, or that it isn't a huge advantage if they do (it is). Just that there are so many hours in the day and eventually you've gotta get some division of labor.
For the product you're describing, it seems the division of labor is a no-brainer and highly-productive.
It seems there is a spectrum of maturity/complexity (correlated with age and scale), and depending on where your product falls along that spectrum, it either makes sense to have a PM "role", or not.
Additionally, it appears that the domain-relevant experience of the PM is a big factor. If a company is hiring to fill an org chart, rather than hiring to fit an expertise gap, it's more likely to end up with PMs in the scenario I describe. I suspect this is also correlated with age and scale.
Finally, I guess there are orgs that expect PMs to be (or become) business domain experts and orgs that expect PMs to be highly-educated secretary-task-masters, and these expectations weight the outcome.
In any case, thank you for sharing your experience, this was a very interesting snippet of insight!
A few quick reactions:
"It seems there is a spectrum of maturity/complexity (correlated with age and scale)"
100%, I don't think that early stage companies really need PMs, and IMO PMs at early stages can be actively harmful by causing overhead / trying to make themselves useful and failing. At early stages the founders/engineers/designers/even some sales or support people should fill the necessary parts of product management. Product management at this stage can be more like a set of activities that produces good decisions, rather than a formal department.
(Fwiw the company I work at has many hundreds of employees)
"there are orgs that expect PMs to be (or become) business domain experts and orgs that expect PMs to be highly-educated secretary-task-masters"
Yeah, the latter is kind of terrible I think. If you need secretaries or task masters you should probably hire engineers/designers (and management) that can keep the trains running on time or set up mgmt processes to do so automatically. PMs ideally only get involved in project management because they have the skills and they're incentivized by outcomes to roll their sleeves up when needed, not because it's part of their core job.
Good PMs also don't want to primarily do admin project management work, so (to bring it all back to your first comment) you'll end up with crappy PMs who are strictly less knowledgeable than your engineers.
It's pretty rare to see engineers that know the industry as well as the PMs, so we focus heavily on having good communication and dedicating time to make sure features are well understood before any work starts. Our structure works well for us, but I can definitely see how it would be advantageous, where possible, to have engineers who knew more about the business.
That being said, product mindedness is hard for engineering teams. 2 of the teams I work with, I am giving them inputs on every single feature they need to build. While I dislike doing this for every feature, its upto how the engineering leader envisions their team to function. For some, unless there are jira tickets, properly prioritized, with designs ready, they dont want to involve engineering teammates.
Thanks for writing this post and generating this discussion.
You may be right within your company, but I can offer an alternative anecdote.
I work at a company that makes energy trading risk management software. It's complicated and niche, and the customers are varied and have very different mindset to develops and testers. We have traders, hedge funds, energy generators and retail suppliers all with different use cases.
We absolutely need a product manager who has the time to dedicate to understanding the customers needs, understanding the changing landscape of the market and understanding the competition. This is not something we can just expect a developer or tech lead to do through ownership.
I'm certain your way works for many though.
I would spend lot of time talking with different customers and trying to move that into development, but I was losing so much time I could have spent solving serious technical problems.
Having a good product owner that sees the big picture and can write down a rough specification of features would have helped massively and allowed me to do what I do best.
On other hand, I was also in a situation where product owner depended on me to do his work. That is even worse.
To one of the broader points, in both my personal experience and what I see software PMs doing in my current non-PM role, they spend a lot of time talking to customers.
I got to see a broad swath of users with pretty different needs, and learned a lot about how their clinics worked. It was really good for thinking concretely about tradeoffs.
Having worked in both situations, many times, I'm pretty sure this is the most underrated factor in success. Companies where the staff doesn't use the product are facing a huge uphill battle. Oftentimes, this is inevitable and I think the only solution is a huge salary premium - but more often than not, these are the companies on the lowest end of the pay spectrum (double whammy spells near certain failure).
Hahaha.
I once worked at a major telecoms equipment manufacturer. Our competition analysis group had two functions. One was to work out what our competitors were doing. But the really good people were tasked to find out what our engineering group was up to. Basically, they were powerful enough to do whatever they wanted, and screw the product managers and technical marketing folks who actually spoke to customers.
This company is basically no longer in existance.
I've also worked at places where the P*M level seemed to mostly get in the way and just serve as a middle-man and information degradation layer between design and engineering.
Solid UX people think like product people, but you either over-burden them, have them shift part of their roles off to others (research, user testing, etc),or do both jobs poorly. Good product people not also doing design, research, technical work, etc...they should be able to manage several teams / projects in a related area at once.
This all sounds nice, but developers/designers rarely want to do PM work. The PM position is as much a creation of developers who don't want to interact as it is management.
Even developers that do don't want to spend all day in meetings. A PM can help there.
When they realize it's more soft skill oriented, endless meetings, power point deck after power point deck, stakeholder after stakeholder, and 1 hour left to code, they finally get the picture.
I was once that developer, thinking I knew what was best for everything. I scoffed at management and project managers. Now I know the real truth - their job is way harder than it seems.
I'd even go as far as saying management roles aren't needed at all below the C-level.
The problem is that many companies already moved their engineers and designers away from the customer, and I think this model only works with small autonomous teams that talk direktly with customers.
Most engineers don't even want to talk with customers, they just want to solve what they think is the most important technical problem and be done with it.
At some point, specialization has to happen. It also has drawbacks. Small teams are often dramatically more effective than large teams for similar reasons (ownership of the problem, less communication/education overhead), but they can only scale so far.
I'm a big fan of the idea behind the Weighted-Shortest Job First approach but the trick is balancing the time investment to do it to the size of the decisions that warrant it.
And who empowers them if not the PM ? I mean in theory you could say that to get a product, you only need a designer and a developer. But you know the reality is different. This is not a hazard that most successful tech companies have PM (except Apple)
To your question: I think it is the role of management to empower the devs and UX people. To your point about Apple: Isn't it amazing that one of the or even the most successful company on this planet doesn't have any PMs?
As for Apple, yeah they are one of the most successful of the planet, but the feedback I have, is that developers would love to have PM to work with.
The issue is not to have PM or not. Anyone company in the world understand the benefit of having a good PM. But a lot of PMs are shit and just make things worse.
The tough part about doing this is when you hire engineers, you need to also interview for good product sense and have more emphasis on soft skills. Not easy to find.
An example, Apple Pay Product Manager: https://jobs.apple.com/en-us/details/200185069/apple-pay-pro...
* Finding new customer needs that are not yet covered by the product (new products, so not existing product),
* determining how a product might address that need,
* determining the alternatives, competing products, customers may choose,
* the (financial) risk of not addressing the need,
* the business case of creating a new team to implement this need product/capability,
* the pricing of said new product,
* determining what the key product features of the competition are that we need to address to be able to win deals when in competition,
* and what features are relevant according to gartner, to ensure we're part of the short-list of potential customers
* determine how to prioritize product releases and features to ensure we can win markets (think crossing the chasm).
* ...
Why do movies need a director? Screenwriters and actors and cinematographers and effects teams and all the rest are brilliant at their jobs.