Product School

8 Product Management Frameworks & How Top Companies Use Them

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Carlos González De Villaumbrosia

September 09, 2024 - 21 min read

Updated: September 9, 2024 - 21 min read

Frameworks provide essential structure for problem-solving and decision-making in product management. They offer a systematic approach to addressing complex challenges and ensure alignment with strategic goals.

Francois Ajenstat, Chief Product Officer at Amplitude, on The Product Podcast

Picture this, if you're not already living it: You’re leading a team through the development of a new product, and everything’s going smoothly — until it isn’t. Business as usual.

Suddenly, deadlines loom, priorities shift and spin, and you’re feeling overwhelmed. Stakeholders are demanding updates, the team is juggling multiple tasks, and unexpected bugs are throwing off the timeline. Not to mention the team tension. It’s a situation every Product Manager knows all too well — where keeping everything aligned is Mission Impossible and you’re questioning if you’ve got what it takes to pull off a Tom Cruise-level save. 

This is where Product Management Frameworks can be a game-changer. They provide a structure to tame the chaos. The whole point of a framework is to ensure you stay focused on what matters most. 

In this article, we’ll walk you through 8 key Product Management frameworks that can help you streamline your process and deliver results with confidence.

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1. Lean Startup Framework: Product Development Framework

The Lean Startup framework hasn’t slipped under anyone’s radar. It is all about building products that truly meet customer needs through constant idea validation, experimentation, and feedback. 

This approach is built on a few core components: the (1) Build-Measure-Learn cycle, the concept of a (2) Minimum Viable Product (MVP), and the principle of (3) Validated Learning. Let’s dive into each of these components and see how successful companies have implemented them.

Build-Measure-Learn Cycle

At the heart of the Lean Startup methodology is the Build-Measure-Learn cycle. This process is about quickly building a product, measuring its impact with real users, and learning from the results to iterate and improve.

Dropbox is a classic example of the Build-Measure-Learn cycle in action. Instead of creating a fully-featured product right away, Dropbox’s CEO, Drew Houston, started with a simple video that demonstrated the concept of cloud storage. 

The simple explainer video allowed them to measure interest and gather feedback before investing heavily in development. By quickly learning from user reactions, they were able to refine their approach and build a product that resonated with customers.

Minimum Viable Product (MVP)

An MVP is a version of a product with just enough features to satisfy early adopters. The upside of releasing an “unfinished” version is gathering feedback for future development. The goal is to validate the product idea with minimal resources and effort — and onboard the early adapters, of course.

Airbnb is one example of MVP done right. The founders didn’t start with a fully developed platform. Instead, they launched a simple website that listed their own apartment as a short-term rental during a local conference.

Blog image: Airbnb MVP

This MVP allowed them to test whether people were willing to rent someone else’s space and if hosts would be interested in listing their properties. The success of this MVP led to the development of what we know today as a full-blown version of Airbnb.

Validated Learning

Validated learning is about using real-world data to confirm or refute assumptions about a product. Instead of relying on intuition or guesswork, product teams collect data to drive decisions. This ensures that each iteration is a step closer to meeting customer needs.

Before Zappos became the online shoe giant we know today, its founder Nick Swinmurn tested the concept with an experiment. He took photos of shoes at local stores and posted them online. 

When customers made purchases, he bought the shoes from the store and shipped them to the buyers. This validated the assumption that people were willing to buy shoes online, leading to the creation of Zappos.

2. Agile Framework: Product Management Process Framework

The Agile approach has transformed how teams approach product development by emphasizing flexibility, collaboration, and continuous delivery of value. Agile isn’t just a methodology or framework; it’s a mindset that encourages iterative progress, close teamwork, and quick adaptation to change. 

Let’s break down the core components of Agile and see how successful companies have put them to work.

Sprints

In Agile, work is broken down into short, time-boxed periods called sprints. They usually last 1-4 weeks. Each sprint focuses on delivering a potentially shippable product increment, allowing teams to refine and improve the product.

Spotify is famous for its use of Agile, particularly the concept of sprints. The company’s teams, known as squads, work on specific features or services within the app. Each squad operates independently and completes work in sprints, allowing them to quickly test, iterate, and release new features like personalized playlists or user interface tweaks.

Scrum Meetings

Scrum meetings are short, daily stand-ups where team members discuss what they worked on the day before, what they’ll work on today, and any obstacles in their way. These meetings keep everyone aligned and help identify issues early.

At Microsoft, daily Scrum meetings and Agile Retrospectives are a staple, especially within their Azure DevOps team. These quick check-ins help the team stay on track and make necessary adjustments. This practice has been crucial in their ability to rapidly evolve Azure services and stay ahead in the competitive cloud market.

User Stories

User stories are simple, narrative descriptions of a feature or functionality from the perspective of the end-user. They keep the team focused on delivering value to the customer by framing development tasks according to what the user needs.

Atlassian, the company behind Jira and Trello, employs user stories extensively in its product development process. By crafting user stories like “As a project manager, I want to assign tasks to team members so that I can track progress easily,” Atlassian ensures that every feature directly addresses a user's need. This user-centric approach has contributed to the widespread adoption of their tools across industries.

blog image: User story example

Product Backlog

The product backlog is a dynamic list of features, enhancements, bug fixes, and tasks that the team has prioritized. The backlog is constantly updated based on feedback, ensuring that the team is always working on the most valuable tasks.

Netflix relies heavily on its product backlog to prioritize features that enhance product experience. For instance, when they introduced the “Skip Intro” feature, it was a direct result of analyzing user behavior and feedback, which was then prioritized in their backlog. This iterative approach allows Netflix to continuously refine its platform based on real-time user needs.

3. CIRCLES: PM’s Problem-Solving Framework

CIRCLES Method

The CIRCLES Framework is a Product Management tool developed by Lewis Lin. It helps Product Managers approach complex product design and development challenges in a structured way. The acronym CIRCLES stands for:

  • Comprehend the situation: It involves gathering information about the product, its current market position, and the overall challenges faced. Here, teams start by conducting a situation analysis, which could include looking at performance metrics, customer feedback, and market trends.

  • Identify the customer: Different customers may have varying pain points, so it's critical to segment your users. The practical application is to create buyer personas that represent your target customers. You can use data from surveys, interviews, and user analytics to build profiles that detail their goals, behaviors, and challenges.

  • Report the customer’s needs: It helps to crystallize what the customer really wants and where the gaps are. It’s best if data is organized into customer pain points and desires. For example, if you’ve conducted interviews, summarize recurring themes such as "users find checkout slow and frustrating."

  • Cut through prioritization: It's crucial to balance user needs with business objectives. For example, you can prioritize features that will affect the largest user group and provide the highest value, like improving mobile responsiveness for a website with a high mobile user base.

  • List solutions: At this stage, it’s important to think broadly and consider multiple avenues for solving the issue. Teams can use techniques like mind mapping or design sprints to generate different options.

  • Evaluate trade-offs: Once potential solutions are listed, you need to assess the pros and cons of each, especially in terms of time, resources, and expected impact. For each solution, it’s key to conduct a cost-benefit analysis. Consider factors like development time, technical complexity, and potential user benefits.

  • Summarize your recommendation: Your recommendation should be based on a balance between what is desirable for the user, feasible for the team, and viable for the business. Present your findings in a clear, structured manner, emphasizing the reasons behind your chosen solution. Use visual aids like charts or matrices to support your argument.

Each step ensures that Product Managers thoroughly understand the product context, clearly define user needs, prioritize features effectively, and evaluate the benefits and risks before delivering final recommendations. 

The framework is particularly useful in product interviews. However, it can also be applied to real-world product development to enhance decision-making, improve team alignment, and ensure that the product meets both user and business goals.

4. Jobs-to-be-Done (JTBD): Product Management Strategy Framework

The Jobs-to-be-Done (JTBD) framework is a powerful tool that shifts the focus from what to why, from what they are buying to why they are buying it.

Instead of simply looking at demographics or product features, JTBD digs into the underlying "job" that a customer is trying to get done. This framework helps product teams create solutions that directly address the real needs of users.

Core Concept of JTBD

At the heart of the JTBD framework is the idea that customers "hire" products or services to get a specific job done. This job is the problem or goal that the customer is trying to achieve. It often goes beyond just the functional aspects of a product. It includes emotional and social dimensions as well.

For example, when someone buys a drill, they aren't just looking for a tool — they're looking for a way to create holes. Understanding this broader job helps companies innovate and develop products that serve those deeper needs.

Practical Application of JTBD Framework

To effectively use the JTBD framework, companies start by identifying the core job that their customers are trying to accomplish. This often involves customer interviews. The goal is to understand the circumstances that lead to a purchase decision, the desired outcome, and the obstacles customers face.

For instance, the company Intercom has successfully used JTBD to reshape its product development. By understanding that their customers were not just looking for a messaging platform. They were trying to improve customer communication. Thanks to their approach, Intercom was able to expand its features to better meet that job.

Benefits of JTBD

The JTBD framework is particularly beneficial because it:

  • Encourages innovation: By focusing on the job, companies can think outside the box and create novel solutions that might not have been considered if they were only looking at product features.

  • Improves customer satisfaction: Products designed with the JTBD in mind are more likely to meet the real needs of customers, leading to higher satisfaction and loyalty.

  • Aligns teams: JTBD provides a common language and focus for cross-functional teams, ensuring that everyone is working towards solving the same customer problem.

Real-World Examples

One well-known example of the JTBD framework in action is Clay Christensen's study of milkshake sales at a fast-food chain, covered by Harvard Business Review. The company initially struggled to increase sales by focusing on improving the product itself. 

However, by understanding that customers were "hiring" milkshakes as a convenient breakfast option for their morning commute, they were able to make changes that resonated more with customer needs. From then on, they made the shakes thicker to last longer during the drive.

5. Design Thinking: Product Design Framework

Design Thinking is a user-centered framework that encourages innovative solutions by deeply understanding the user's needs. It's a creative, iterative process that helps teams tackle complex problems through a structured approach.

Core Concept of Design Thinking

The core of Design Thinking revolves around empathy, creativity, and rationality. It prioritizes the user by putting their needs, challenges, and experiences at the forefront of product development. The framework guides teams to explore a problem from multiple angles, ensuring the solution is not just functional but also desirable and viable.

Ultimately, it helps identify the ideal intersection of desirability, feasibility, and viability, as described in the Balanced Breakthrough Model. By encouraging the right questions, Design Thinking drives creative innovation forward.

The Five Stages of Design Thinking

  • Empathize: The first stage involves deeply understanding the user's needs through research, interviews, and observations. This step is all about gaining insights into the user’s experiences and challenges. 

  • Define: In this stage, teams synthesize the research data to clearly define the problem they are solving. A well-defined problem statement focuses on the user and serves as a guiding star throughout the project. 

  • Ideate: Once the problem is defined, the team brainstorms as many ideas as possible. The goal is to explore a wide range of potential solutions. 

  • Prototype: This stage involves building simple, testable versions of the ideas generated during ideation. Prototyping allows teams to explore different solutions quickly and cheaply. 

  • Test: The final stage involves testing the prototypes with users, gathering feedback, and iterating on the design. This phase is crucial as it ensures that the solution truly meets the user’s needs. 

Real-World Application

One of the most famous applications of Design Thinking is Airbnb

When the company was struggling in its early days, the founders used Design Thinking to understand their users' challenges. By staying in their own listings and experiencing the service firsthand, they discovered issues with the photos on their website. This insight led them to hire a professional photographer, drastically improving the user experience and helping Airbnb scale rapidly.

Design Thinking’s strength lies in its ability to bring user insights to the forefront of the product development process. It encourages creativity while grounding ideas in real user needs. This approach leads to more innovative solutions and products that truly resonate with customers.

6. Double Diamond: A Problem-Solving Framework

Blog image: Double diamond process

The Double Diamond is a design framework that breaks down the creative process into four distinct phases. It illustrates two diamonds symbolizing the exploration of problems and solutions through divergent and convergent thinking. It helps guide teams from understanding the problem to delivering the solution.

This framework is perfect for teams that need a clear structure for tackling complex problems. It's especially useful when the problem isn't well-defined, or when it's crucial to ensure the solution is tightly aligned with user needs.

Originally introduced by the Design Council in 2003, the Double Diamond framework is rooted in design thinking. It visually represents the design process, emphasizing the value of broad exploration followed by focused decision-making.

Here’s how it works:

  • Discover: The first phase involves research and exploration. Teams dive into understanding the problem through methods like user interviews and market research, gathering insights without rushing into solutions.

  • Define: Next, teams analyze the research to pinpoint the key problem. This phase narrows down the focus, ensuring a clearly defined problem statement that reflects genuine user needs.

  • Develop: In this phase, teams brainstorm and prototype a variety of potential solutions. It’s about exploring different possibilities and expanding on ideas through ideation and testing.

  • Deliver: Finally, teams refine and select the best solution. After testing and iterating based on user feedback, the solution is finalized and prepared for launch, ensuring it effectively addresses the identified problem.

7. Product Life Cycle: Long-term Framework for Product Management

The Product Life Cycle (PLC) framework is a critical tool in Product Management, helping companies understand the evolution of a product from its launch to its eventual decline. 

This framework identifies the four stages every product typically passes through: Introduction, Growth, Maturity, and Decline. Each stage requires specific strategies and decisions to ensure the product remains competitive and profitable.

Product Lifecycle glossary

PLC Framework Stages

At its core, the PLC framework provides a strategic map that helps companies align their product development, marketing, and sales strategies with the product's current stage in the market. Let’s break down the stages:

  • Introduction Stage

What it is: The product is launched into the market for the first time. Sales growth is typically slow, and customer awareness is low.

Challenges: Building awareness, educating the market, and managing high production costs.

Strategies: Heavy marketing investment to create demand, focusing on early adopters, setting pricing strategies (e.g., penetration pricing to gain market share or premium pricing to recoup initial costs).

Example: When Tesla introduced its first Roadster, the focus was on educating consumers about electric vehicles and creating demand among early adopters willing to pay a premium price.

  • Growth Stage

What it is: Once the market has adopted the product, sales begin to grow rapidly. Competitors start to enter the market as well.

Challenges: Managing increasing demand, scaling production, and facing rising competition.

Strategies: Investing in customer acquisition, optimizing production for economies of scale, expanding distribution channels, differentiating from competitors.

Example: During the growth phase of the iPhone, Apple expanded distribution channels worldwide and introduced new models with improved features to stay ahead.

  • Maturity Stage

What it is: Sales reach their peak, but growth starts to slow as the market becomes saturated. Profit margins might remain high, but competition intensifies.

Challenges: Defending market share, maintaining profitability, and preventing a decline in sales.

Strategies: Product extensions (e.g., new variants or upgrades), loyalty programs, pricing strategies to compete with rivals, focusing on customer retention.

Example: Coca-Cola has been in the maturity stage for decades. To maintain its dominance, Coca-Cola regularly introduces new packaging, limited-edition flavors, and loyalty programs, keeping its massive market share intact.

  • Decline Stage

What it is: Sales start to decline due to market saturation, shifting customer preferences, or technological advances that render the product obsolete.

Challenges: Declining revenues, excess inventory, and determining whether to discontinue the product or pivot.

Strategies: Reducing costs, discontinuing weaker variants, targeting niche markets, or reinventing the product through innovation.

Example: DVD players are in the decline stage due to the rise of streaming platforms like Netflix. Many electronics companies have either exited this market or pivoted to offering streaming devices.

How the PLC Framework Works in Real-Life

The PLC framework is not just a theoretical tool; it provides practical guidance for day-to-day Product Management activities:

  • Stage Identification: Understanding which stage your product is in helps determine the right focus areas. For instance, in the introduction phase, teams may focus more on marketing and creating awareness, while in the maturity stage, product differentiation and cost control become crucial.

  • Resource Allocation: The framework helps companies allocate resources more effectively. In the growth stage, significant investment may go toward scaling production and marketing, while in the decline stage, it may be more about minimizing overhead and focusing on core, loyal customer segments.

  • Product Adaptation: During the maturity stage, Product Managers often focus on extending the product’s life through updates, innovations, or expansions. For example, adding new features, releasing limited editions, or entering new geographic markets can prolong a product’s relevance.

  • Exit Strategy: When a product enters the decline phase, the PLC framework can guide decisions about whether to phase out the product, sell off inventory, or make strategic decisions about replacement products.

Strategic Considerations at Each Stage

  • Introduction: High marketing spend is required to gain traction. Price skimming or penetration pricing might be employed based on the competitive landscape.

  • Growth: Scaling efficiently is key. Companies invest heavily in customer acquisition and infrastructure to meet demand while managing rising competition.

  • Maturity: Focus shifts toward profitability and retention. Companies work on extending product life cycles by offering upgrades or targeting different customer segments.

  • Decline: Cost control is essential. Companies may consider exiting the market or pivoting to a new product or service line. Innovating or pivoting can sometimes restart the cycle.

8. Stage-gate Process: Product Development Framework

The Stage-Gate framework is a phased approach to product development that breaks down the process into structured stages. Each stage is separated by gates, which act as decision points to evaluate whether a project should move forward. 

This framework allows product teams to:

  • Manage risk, 

  • Allocate resources effectively, and 

  • Ensure the product development process is disciplined and organized.

At the heart of the Stage-Gate framework is the idea of breaking the product journey into specific phases. Each phase is focused on clear deliverables and requires cross-functional collaboration, ensuring input from teams like engineering, marketing, and finance. The aim is to align different departments on the product’s direction and feasibility.

Stages of the Stage-Gate Framework

The Stage-Gate process is typically divided into five stages, each with distinct tasks and goals.

In the (1) Discovery stage, the focus is on generating product ideas. This is where product teams look at market trends, customer feedback, or innovative solutions. The goal is to identify potential opportunities for product development. At the end of this stage, a short list of viable ideas is usually produced.

In the (2) Scoping stage, the focus shifts to assessing the feasibility of these ideas. This involves a preliminary analysis of the product’s market potential and technical viability. Activities include conducting competitive analysis, high-level cost estimates, and SWOT analysis. The key deliverable is a detailed product concept with early-stage market forecasts.

During the (3) Development stage, the product concept turns into a working prototype or model. This stage involves actual R&D, lab testing, and multiple design iterations. Teams work on refining the product’s technical details and ensuring that it functions as intended. The end goal is to produce a fully functional prototype.

The (4) Testing & Validation stage focuses on ensuring the product meets customer needs and technical requirements. This stage includes beta testing, market trials, and validation of the product’s performance. Financial analysis and regulatory approvals are also key components. At the end of this stage, the product is validated and ready for market launch.

Finally, the (5) Launch & Commercialization stage is about bringing the product to market. Production is scaled, marketing strategies are executed, and the product is distributed to customers. Teams focus on setting up distribution channels, training the sales team, and ensuring a smooth entry into the market.

Gates: Decision Points Between Stages

At each gate, the team evaluates the project’s deliverables, success criteria, and overall alignment with the company’s goals. Deliverables are based on what has been accomplished during the previous stage, such as a prototype or market validation data. Success criteria are specific benchmarks the product must meet to pass the gate, like technical feasibility or market fit. 

Based on this information, the decision at the gate is to either move forward, pause, revisit the previous stage, or kill the project.

This gated process allows for a balance between flexibility and structure. While the team can iterate and adjust during each stage, gates ensure that the project remains aligned with the business strategy and market demands.

Real-World Use Cases of the Stage-Gate Framework

The Stage-Gate framework is used in industries with complex product development processes, especially where the cost of failure is high, such as pharmaceuticals, consumer electronics, and automotive manufacturing.

In consumer electronics, companies like Apple use a structured stage-gate-like process for developing products such as the iPhone. The early stages are dedicated to prototyping new features and hardware components. Gates assess whether the product concept meets technical and market requirements. The gated approach ensures that only projects with a high chance of success are pushed through to mass production.

Automotive companies, such as Rick Amori, a Technology Integrator specialist at Ford Motor Company, claims Ford does, also use the Stage-Gate framework to develop new models. From concept cars to final production, each stage involves collaboration across design, engineering, and marketing teams. Gates between stages ensure that the car meets technical specifications, safety standards, and market expectations before full-scale production begins.

Use The Product Management Framework That’s Best For Your Company

In the end, choosing the right Product Management framework isn't just about following trends or adopting what's most popular. It's about finding the framework that aligns with your current business model. You should consider the maturity of Product Management within your organization and your overarching business goals. 

Consider the resources you have available as well — both in terms of tools and the team's familiarity with the framework. One framework may appear flashy or promising, but its true value depends on how well it integrates into your existing processes. 

Ultimately, the complexity of change and the ability to adapt and execute will dictate how successful the chosen framework will be in driving your product forward.


Image Sources: Microsoft Tech Community, Atlassian, Just in Agile


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Updated: September 9, 2024

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