July 11, 20245 min read

    Making Stuff People Want: A Beginner's Guide to Product Operating Models

    By Ahemad Shaikh

    Making Stuff People Want: A Beginner's Guide to Product Operating Models
    Product ManagementOperating ModelBusiness StrategyAgile
    Imagine you're running a bakery. You could spend all your time making fancy, one-of-a-kind cakes (projects). This might be fun, but it wouldn't be very efficient. Instead, most bakeries have a product operating model. They bake fresh bread and cookies every day (products) that people can always count on. ## What is a Product Operating Model? A product operating model is just a fancy way of saying how a company makes and sells things that people keep using. It's different from a project-based model, which focuses on one-time tasks. ### Here's the key difference: - **Project Model:** Think of building a house. It's a big job with a clear start and finish. - **Product Model:** Think of running a restaurant. You're constantly making food, serving customers, and getting feedback. ## Why Use a Product Operating Model? - **Happy Customers:** You can focus on what customers need and keep making your product better based on their feedback. - **Faster Delivery:** You can release new features and updates quicker. - **Less Waste:** You can avoid spending time on projects that nobody wants. - **Engaged Employees:** People feel more invested in something that's constantly evolving. ## Companies Winning with the Product Operating Model ### Spotify: The Music Keeps Flowing Spotify uses a POM to constantly improve their platform based on user habits. They can quickly release new features, keeping users engaged. ### Amazon: The Everything Store, Always Evolving Amazon uses customer feedback to improve their search algorithms, recommend products, and ensure a smooth buying experience. ## It's a Marathon, not a Sprint Switching to a product operating model takes time and effort. However, by focusing on making things people want and constantly improving, you can create a more successful and sustainable business.

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