Session 11

8/24/98

WELCOME TOWELCOME TO

PRODUCTPRODUCT

MANAGEMENTMANAGEMENT

SESSION 1SESSION 1

19991999

Session 12

8/24/98

COURSE OBJECTIVESCOURSE OBJECTIVES

Role, Responsibilities & Role, Responsibilities & Complexity of the PM PositionComplexity of the PM Position

Cover the 3 major Tasks:Cover the 3 major Tasks: MARKET ANALYSISMARKET ANALYSIS DEVELOPING OBJECTIVES & STRATEGIESDEVELOPING OBJECTIVES & STRATEGIES MAKING DECISIONS…..MAKING DECISIONS…..

Learn Plan Development ProcessLearn Plan Development Process

Session 13

8/24/98

COMPANY CONCERNSCOMPANY CONCERNS

EXTERNAL ISSUESEXTERNAL ISSUES

WHAT ARE THE KEY ISSUES WHAT ARE THE KEY ISSUES FACING MANAGEMENT FACING MANAGEMENT TODAY ? TODAY ?

WHAT ARE THE KEY TRENDS ?WHAT ARE THE KEY TRENDS ?

Session 14

8/24/98

COMPANY CONCERNSCOMPANY CONCERNS INTERNAL ISSUESINTERNAL ISSUES

WHAT IS TODAYS ROLE FOR:WHAT IS TODAYS ROLE FOR: STRATEGYSTRATEGY MANAGEMENT OF PRODUCT QUALITYMANAGEMENT OF PRODUCT QUALITY SERVICE SERVICE PERSONAL DEVELOPMENTPERSONAL DEVELOPMENT

Session 15

8/24/98

THE SYLLABUSTHE SYLLABUS

LEARNING OBJECTIVELEARNING OBJECTIVE SCOPE OF STUDYSCOPE OF STUDY PROJECT & DELIVERABLESPROJECT & DELIVERABLES WEEKLY AGENDAWEEKLY AGENDA THE WEBSITE:THE WEBSITE:

http://haas.berkeley.edu/http://haas.berkeley.edu/

Courses/Spring1999/E262A/Courses/Spring1999/E262A/

Session 16

8/24/98

ED JOHNSONED JOHNSON25 YEARS 25 YEARS

CORPORATECORPORATE

10 YEARS 10 YEARS HIGH TECHHIGH TECH

20 YEARS IN 20 YEARS IN CONSUMERCONSUMER PRODUCTSPRODUCTS

10 YEARS 10 YEARS PROFESSOR PROFESSOR

MARKETINGMARKETING

LATESTLATEST MOVIE......MOVIE......

Session 17

8/24/98Management Centre Europe

SOPHIAANTIPOLIS

TBWATBWA

Session 18

8/24/98

And Now, Your Turn:And Now, Your Turn:

YOUR NAME.......YOUR NAME....... YOUR COMPANY……YOUR COMPANY…… YOUR PRODUCT & MARKETSYOUR PRODUCT & MARKETS A TOPIC YOU WOULD LIKE A TOPIC YOU WOULD LIKE

COVERED IN THIS COVERED IN THIS CLASSCLASS??

Session 19

8/24/98

WHAT IS TODAY’SWHAT IS TODAY’S

TREND IN STRATEGY ? TREND IN STRATEGY ?

TO MOVE FROM TO MOVE FROM PRODUCTION DRIVEN TOPRODUCTION DRIVEN TO

““CUSTOMER CUSTOMER DRIVEN”DRIVEN”

Session 110

8/24/98

COMPAC/digitalTodd C. WilliamsSenior Systems Architect

Do you use Product Managers?Yes, definitely. Been there forever. Some old world people who haven't been in the field for awhile. Problem. But need a single point of contact for such large projects..

Session 111

8/24/98

IBMStephen A. MurphySegment Executive, Global Production Solutions14, 1998

What growth challenges are you facing?We have a little pricing problem - a cash flow problem. But no more than a one year delay for 300 mil.A lot of new competitors are cropping up.

“Have to have a small

recession to drive

them out”

Session 112

8/24/98

HITACHIRobert J. GordonDirector

Do you have a Product Management system in place.Yes. Very important, hand picked. Very special. Some technical. Not enough business Extremely valuable people. But untrained. In place 5 or 6 years.

"People are getting away from face to face. Sitting behind the

computer rather than getting out on calls. I hear this a lot from

customers.I don't see your people. The

competitor is here all the time.Let's get back to basics."

Session 113

8/24/98

CanonPhillip M. WareDirector, Technical MarketingCanon U.S.A. Inc.Irving, Texas20 Years of Service

How would you define the process of developing strategy?Canon corporate has this grandiose style of 50 year plans. We just finish our first 50 years 5 or 6 years ago."Now we are into our second 50 "Now we are into our second 50 years and the grandiose goal of the years and the grandiose goal of the second 50 years is to move the second 50 years is to move the centre of Canon,centre of Canon, California.California.

Session 114

8/24/98

KEYKEY TRETRENNDSDS CUSTOMER POWERCUSTOMER POWER

Session 115

8/24/98

KEYKEY TRETRENNDSDS STRATEGIC ALLIANCESSTRATEGIC ALLIANCES

•GLUT ECONOMY

•SHORT LIFE CYCLES

•NEED STABILITY

Session 116

8/24/98

DEMAND FOR DEMAND FOR

SERVICESERVICE

KEYKEY TRETRENNDSDS

Session 117

8/24/98

BEYOND TRADITIONAL BEYOND TRADITIONAL BOUNDARIESBOUNDARIES

THE GLOBAL ENVIRONMENT THE GLOBAL ENVIRONMENT ““A CLIMATE OF CATASTROPHIC CHANGEA CLIMATE OF CATASTROPHIC CHANGE

CONSTANT MERGERS AND ACQUISITIONSCONSTANT MERGERS AND ACQUISITIONS REDUCING NUMBER OFREDUCING NUMBER OF

BUYERS AND SELLERS BUYERS AND SELLERS

Session 118

8/24/98

TODAY’S REALITIESTODAY’S REALITIESCROSS FUNCTIONAL MULTI-

COMPANYOVERLAYS$$

Session 119

8/24/98

ERNST & YOUNG’S ERNST & YOUNG’S UPSHOTUPSHOT MANUFACTURING EMPLOYMENT HAS DROPPED MANUFACTURING EMPLOYMENT HAS DROPPED FROM 40% TO 15% SINCE 1950FROM 40% TO 15% SINCE 1950

““BY 2008,’ CONNECTED ASSETS WILL OUTWEIGH BY 2008,’ CONNECTED ASSETS WILL OUTWEIGH “HARD” ASSETS“HARD” ASSETS

REAL TIME COLLABORATION IN NETWORKS OF REAL TIME COLLABORATION IN NETWORKS OF SUPPLIERS TO BEAT THE MAIN COMPETITOR, SUPPLIERS TO BEAT THE MAIN COMPETITOR, THE LIFECYCLETHE LIFECYCLE

TRUE CONNECTIVITY WILL ONLY BE ACHIEVED TRUE CONNECTIVITY WILL ONLY BE ACHIEVED WHEN ISSUES OF TRUST, RELIABILITY & WHEN ISSUES OF TRUST, RELIABILITY & LEVERAGE ARE RESOLVEDLEVERAGE ARE RESOLVED

Session 120

8/24/98

DESCRIBE YOUR BUSINESS DESCRIBE YOUR BUSINESS ENVIRONMENTENVIRONMENT

DOING BUSINESS DOING BUSINESS TODAYTODAY

Session 121

8/24/98

ENVIRONMENTAL ENVIRONMENTAL FORCESFORCES

OUT OF YOUR OUT OF YOUR CONTROLCONTROL

NEED TO NEED TO IDENTIFY KEY IDENTIFY KEY TRENDSTRENDS

Session 122

8/24/98

YOUR ENVIRONMENTYOUR ENVIRONMENT Over the past 5 years, what were the three most Over the past 5 years, what were the three most

significant opportunities in the Environment which significant opportunities in the Environment which contributed to the company’s current situation ?contributed to the company’s current situation ?

Again, over the past 5 years, what were the three most Again, over the past 5 years, what were the three most significant threats which limited success?significant threats which limited success?

Looking ahead 3 years, are these opportunities & threats Looking ahead 3 years, are these opportunities & threats increasing or decreasing in significance ?increasing or decreasing in significance ?

Are new ones appearing ?Are new ones appearing ?

Session 123

8/24/98

MARKETING 2000?MARKETING 2000?

DOING BUSINESS TODAYDOING BUSINESS TODAY

Session 124

8/24/98

MARKET ORIENTATIONMARKET ORIENTATION

““SATISFYING CUSTOMER SATISFYING CUSTOMER NEEDS...NEEDS...

CONTINUOUSLY.”CONTINUOUSLY.”

E. JOHNSON, 1995

Session 125

8/24/98

MARKETING'S ROLEMARKETING'S ROLE

CORPORATECORPORATE

BUSINESS UNITBUSINESS UNIT PRODUCT/MARKET PRODUCT/MARKET

MANAGEMENTMANAGEMENT

FUNCTIONAL PLANSFUNCTIONAL PLANS

PRODUCTPRODUCTCORECORE

Session 126

8/24/98

THE NEW THE NEW ORGANIZATIOORGANIZATIONN

DOING BUSINESS DOING BUSINESS TODAYTODAY

Session 127

8/24/98

S M A L L E RB O S S

P R O D U C TSW O R K E R S

S M A L L E RB O S S

B IG B O S SP R E S ID E N T

THE ULTIMATE ORGANISTIONTHE ULTIMATE ORGANISTION

YOU ARE FINALLY APPOINTED YOU ARE FINALLY APPOINTED PRESIDENTPRESIDENT

YOU CAN CREATE YOUR ORGANISATION TO MAKE YOU CAN CREATE YOUR ORGANISATION TO MAKE MARKETING WORK AND PRODUCT MANAGEMENT MARKETING WORK AND PRODUCT MANAGEMENT INCREDIBLY EFFECTIVE.INCREDIBLY EFFECTIVE.

DEVELOP THE ULTIMATE ORGANISATIONAL DEVELOP THE ULTIMATE ORGANISATIONAL STRUCTURE & TELL US WHY ITS SO GREATSTRUCTURE & TELL US WHY ITS SO GREAT

Session 128

8/24/98

DEATH OF THE SALESMANDEATH OF THE SALESMAN

WE HAVE THE LOWEST PRICES!!

Session 129

8/24/98

INEFFICIENTINEFFICIENTORGANIZATIOORGANIZATIONN

DIRECT CONTACT

INDIRECT CONTACT

DECISION MAKING

FINANCE

PRODUCTION ADMINISTRATIO

N

MARKETING

PRESIDENT

SALES

Session 130

8/24/98

DIRECT DIRECT CONTACTCONTACT

INDIRECT INDIRECT CONTACTCONTACT

NO CONTACTNO CONTACT

CEO

PRODUCT MANAGER

PRODUCTION

ADM SERVICES

BUYING GROUPBUYING GROUP

TODAY’S TODAY’S “H“HOOLLLLYYWWOOOOD” D” OGANIZATIONOGANIZATION

Session 131

8/24/98

TODAY’S “HTODAY’S “HOOLLLLYYWWOOOOD” D” OGANIZATIONOGANIZATION DIRECTORSDIRECTORS PRODUCERSPRODUCERS

Limited short time to develop Limited short time to develop product and planproduct and plan

Session 132

8/24/98

Executive DirectorExecutive Director Business StrategyBusiness Strategy Key Account SalesKey Account Sales Alliance ManagementAlliance Management

TODAY’S “HTODAY’S “HOOLLLLYYWWOOOOD” D” OGANIZATIONOGANIZATION

Session 133

8/24/98

Product ManagementProduct Management Business Case DevelopmentBusiness Case Development Opportunity AnalysisOpportunity Analysis Function PlansFunction Plans Development ManagementDevelopment Management

TODAY’S “HTODAY’S “HOOLLLLYYWWOOOOD” D” OGANIZATIONOGANIZATION

Session 134

8/24/98

Selected Marketspace Opportunity A

Selected Marketspace

Opportunity B

Selected Marketspace

Opportunity D

Selected Marketspace Opportunity C

nbv

“hp” DEO2

ANOANO

ANO

DEO1

ANO

ANO

DEO3 “hp”

DEO4 nbv

DEO5

Potential OutcomesPotential Outcomes

Customer Intimacy

Business Environment Radar Screen

Virtual Value-Driven

Business Designs

Intellectual Asset

Management

Value Creating

TechnologyAssessment

Relationship Management

Marketspace Creation Business (MCB)

MCB

DEO: Digital Economy Organization

MCB Customers

HP BusinessUnit(s)

Leading DEO1

Leading DEO2

Leading DEO3

Leading DEO4

Leading DEO5

End Customers