Project vs Product

A project can be defined as a temporary endeavour undertaken to create a unique result, which can be a product or a service. A Project Manager will be appointed and accountable for the result. Traditional project management focuses on internal measures like time, budget and scope. Managing tasks and output is the essence of the role. This approach comes with a set of limitations that make it problematic for complex work.

Earlier in my career, as a Project Manager, I was seen as successful if my projects were delivered on time, on budget, and within the scope agreed upon initially. However, it is possible and far too familiar that these three boxes can be ticked, but the received product or service does not meet the needs of the people who requested it. Often, this is because the need changed once the project was underway, but the Project Manager was unwilling or unable to adjust the scope lest they be judged on not delivering according to the plan. The larger the project and the more people involved, the greater the likelihood of this. Failure can also result from quality compromises that are made to deliver to the deadline. If significant unforeseen problems arise, but the delivery date cannot move, and the budget cannot change, often the only recourse is to cut corners and negatively impact the quality of the work. The project will appear successfully delivered, but a mess below the surface will cost significant amounts to fix or workaround in the future. It will also slow down and limit innovation moving forward.

These negative consequences resulting from the project focus have led to a significant industry shift away from focusing on projects and towards products. We now recognise that paying close and continual attention to delivering value is more important. Of course, time, budget and scope will still matter, but they should not be the main focus. We now acknowledge that as things in our environment and understanding change, the scope of our work may need to change. This could also lead to changes in budget and time. We also want to define our quality expectations more clearly and ensure we measure and achieve them regularly. Quality should not be reduced, even if conditions change.

Central to the product focus emphasises the need to deliver value early and often to help validate assumptions and increase learning. This will enable us to make better decisions about what work to do next, which will help us improve the value we create. By shifting our focus away from tasks and towards objectives, we hope to motivate the people involved to innovate, which may lead to increased motivation.