493: Perfecting Product Culture and Teams: Seventh Knowledge Area of Product Mastery – with Chad McAllister, PhD

How product managers can master product culture and teams Watch on YouTube

TLDR

In this episode, I dive into the seventh knowledge area of product mastery: culture and teams. We explore the importance of fostering an innovation culture, understanding team dynamics, and navigating product teams’ common challenges. Key takeaways include:

• The impact of organizational culture and climate on product success
• Factors that contribute to a thriving innovation culture
• Characteristics of high-performing product teams
• Strategies for resolving conflicts and promoting collaboration
• The importance of strategic alignment, engagement, and empowerment in product teams

I also provide practical tips for assessing and improving your team’s performance, as well as resources for continued learning and growth in product management and product development.

Understanding and Fostering an Innovation Culture

Culture is the foundation of successful product innovation. It encompasses the shared beliefs, values, and expectations of people within an organization. Climate, on the other hand, refers to the localized characteristics in a specific work environment, such as a product team or group.

Several factors influence team climate, including:

• Leadership approach and quality
• Communication frequency and style
• Task responsibilities and workload
• Trust and autonomy among team members
• Recognition and rewards at both individual and team levels
• Opportunities for advancement and growth

To create a thriving innovation culture, organizations should focus on:

• Clearly communicating strategic and innovation goals across all levels
• Accepting failures as learning opportunities
• Recognizing and rewarding individual and team performance in support of innovation goals
• Considering both functional capability and cultural fit when making hiring decisions
• Ensuring clear and consistent internal and external communications
• Encouraging constructive conflict to support idea generation and problem-solving
• Providing engaging work and encouraging professional and personal growth

A great example of a company with a strong innovation culture is 3M. They practice “customer-inspired innovation,” connecting with customers to identify their needs and leveraging 3M’s capabilities to develop unique, proprietary, and sustainable solutions.

The Fundamentals of Effective Teams

A team is a small group of individuals with complementary skills who are committed to a common purpose, set of performance goals, and approach for achieving those goals. They hold themselves mutually accountable for their progress and success.

Product teams are typically cross-functional, consisting of individuals from various functions such as product management, engineering, design, marketing, and finance. Cross-functional teams offer several benefits, including:

• Improved speed of product development
• Increased probability of product success
• Enhanced problem-solving capabilities
• Greater adaptability to changing market conditions

Navigating Common Team Challenges

Conflict is a natural part of innovation projects due to the diverse working styles and priorities of team members. High-performing teams view conflict as a positive force for achieving desired results and leveraging the strengths of all involved.

The Thompson-Killman model provides five approaches to conflict resolution based on levels of cooperativeness and assertiveness:

Approach Cooperativeness Assertiveness Description Avoiding Low Low Withdrawing from the problem, leaving it unresolved Accommodating High Low Yielding to others to maintain harmony Compromising Moderate Moderate Seeking a middle ground, often seen as a lose-lose solution Competing Low High Directing the outcome, disregarding others’ opinions Collaborating High High Engaging in dialogue to find a win-win solution

Collaborating is generally considered the most effective approach for high-performing product teams, as it involves a high degree of concern for both others and oneself, leading to better problem-solving and outcomes.

Characteristics of High-Performing Product Teams

Successful product teams exhibit strategic alignment, engagement, and empowerment. They share ten essential characteristics:

• Clearly defined common goals focused on a single purpose
• Strong leadership that encourages involvement and shared roles
• Valuing and acknowledging all contributions
• Open communication and effective relationship-building
• Empowered decision-making and problem-solving
• Effective team processes with clear roles and responsibilities
• Mutual respect, integrity, and trust among team members
• Respect for differences and the ability to disagree constructively
• Effective conflict management through collaboration
• Continuous learning and improvement

Assessing and Improving Your Team’s Performance

To assess your product team’s performance, rank each of the ten characteristics on a scale of 1-10 (with 10 being the highest). Use this scorecard to identify areas for improvement, focusing on open communication, trust, and effective conflict management.

Reflect on your best and worst team experiences to gain insights into what makes a team successful. Emphasize the positive elements and work to minimize the negative ones in your current and future product teams.

Conclusion

Mastering product innovation requires a deep understanding of culture, teams, and the factors that contribute to their success. By fostering a supportive innovation culture, building high-performing cross-functional product teams, and continually investing in personal and professional growth, product managers can lead their organizations to develop groundbreaking products that delight customers and drive business success.

Useful links:

• Special Offer: Unlock a 30% discount on the Rapid Product Mastery training program using the code “podcast” at productmasterynow.com/rpm
• Check out the 2024 Product Development and Management Body of Knowledge by Allan Anderson, Chad McAllister, and Ernie Harris

Innovation Quote

“When all think alike, then no one is thinking.” – Walter Lippmann

Culture & Teams Application Questions

1. How would you describe your organization’s innovation culture? What steps can you take to foster a more supportive environment for product innovation and product development?
2. Think about your current product team. Which of the ten characteristics of high-performing teams are your strengths, and which areas need improvement?
3. Reflect on a recent conflict within your team. Which conflict resolution approach was used, and how effective was it? How might a collaborative approach have changed the outcome?
4. What are some strategies you can employ to promote open communication, trust, and effective conflict management within your product team?

Chad’s Bio

Chad McAllister, PhD, is a product management professor, practitioner, trainer, and host of the Product Mastery Now podcast. He has 30+ years of professional experience in product and leadership roles across large and small organizations and dynamic startups, and now devotes his time to teaching and helping others improve. He co-authored “Product Development and Management Body of Knowledge: A Guide Book for Product Innovation Training and Certification.” The book distills five decades of industry research and current practice into actionable wisdom, empowering product professionals to innovate and excel. Chad also teaches the next generation of product leaders through advanced graduate courses at institutions including Boston University and Colorado State University and notably re-engineered the Innovation MBA program at the University of Fredericton, significantly broadening its impact. Further, he provides online training for product managers and leaders to prepare for their next career step — see https://productmasterynow.com/.

Thanks!

Thank you for taking the journey to product mastery and learning with me from the successes and failures of product innovators, managers, and developers. If you enjoyed the discussion, help out a fellow product manager by sharing it using the social media buttons you see below.