One of the most popular questions in PM blogs and forums, and also the question I get asked the most is: “How do I transition to Product Management?” The answer really depends on many factors, so usually my follow-up question is: “Well, what type of PM would you like to be?”
This goes back to the core of what Product Management is. It’s not just about building products—it’s about building a differentiated product that solves a specific customer segment’s needs. Saying, “I want to be a Product Manager” is great for casual conversation, but it doesn’t help you move forward in getting your dream job. It’s as vague as saying, “I want to be an athlete or an artist.”
Regardless of the industry you target (more on that later), here are some questions to consider as you craft a positioning statement:
What type of technology would you like to focus on?
Technology is a broad concept. For example, if we talk about software then we need to be more specific on the different software categories such as: cloud, mobile, embedded, desktop, etc. Although technology is converging, there are some key differences on how you manage a cloud solution versus a desktop one. Same goes for hardware or any other type of technology. Being as specific as possible will go a long way in your search.
What business model do you prefer?
For example, are you interested in business-to-business (B2B) or business-to-consumer (B2C) software? Owned or open-source? The implications of this decision are very important. Although I know people that are well versed in various models, the reality is that this is a level of specialization that takes years to grasp. So it’s good to have an idea of what model suits you best. In the right model, you’ll thrive, so don’t take this decision lightly.
What size company is best for you?
The role of a Product Manager is very different between big and small companies. If you like startup life, then you need to be aware that the Founder/CEO will likely drive most of the strategy and features of the product. Companies that can truly leverage the value of a Product Manager tend to be a little bigger. That doesn’t mean you can’t work at a startup; it just means maybe not at a 10-person startup.
On the other hand, working at a big company can dilute your impact and confine you to just a very small piece of the pie. Obviously, these are just generalizations since every company is different. But it’s important to reflect on the type of environment you want and then ask people working in those environments about their experiences. Only then will you get a sense of whether that style works for you.
“Size” is a vague term, so I suggest you quantify your target company size in terms of yearly revenue and number of employees. This will help you communicate with others about the range you are looking for.
For example, I’ve worked at big companies (6,000 employees), medium companies (500 employees), and small companies (50 employees). These are my personal parameters for company size. But one time I was doing an informational interview with a Director of PM at Salesforce.com to learn about her journey. From my perspective, Salesforce is a huge company, since it has around 10,000 employees. And yet, she told me that the hardest part of her job was adapting to how a small company works! She came from Accenture, which has over 300,000 employees.
Everything is relative. Make sure you remove that ambiguity when you talk to people.
What level of process maturity works for you?
The size of the company is not always indicative of their maturity level regarding the Product Management process. There are big companies that have zero process, shoot from the hip, and have a CTO that defines the direction of the software. On the other hand, there are many small companies that have very defined, efficient processes.
The process maturity level of a company can also be a double-edged sword. If the company has a well established process, chances are you’ll learn a lot, get things done, and get great mentorship. But they might not be open to trying new approaches (e.g. Lean) that might improve the company’s output.
At the other extreme, if the company has no process, then maybe that’s an opportunity for you to shine and set up the methodology to use (if the company is open to that). But a company with no process, where you are the lone PM in the team, won’t be able to provide you as much mentorship. And you can expect an uphill battle in establishing new work methods. There is a lot of growth in that situation, but it takes a lot of drive to make the most out of it.
What industry would you like to be in?
Defining your industry is very important, especially for a dream job. I rarely hear that someone’s dream job is “to be a PM in a software company.” A dream job is usually tied to purpose, which is often linked to a cause or specific industry. So whether it’s eCommerce, energy, healthcare, or consumer electronics, selecting your target industry is key to building your domain knowledge and your target company list. (More on that later.)
Okay, so now it’s your turn. Before moving to the next lesson, spend some time creating your positioning statement using the following framework. You’ll need it moving forward.
I want to be a (technology) Product Manager
in a (biz model) (size) company
in the (industry) industry
in (location)
Here are some examples:
I want to be a cloud Product Manager
in a B2B startup
in the renewable energy industry
in San Francisco
I want to be a mobile software Product Manager
in a B2C, 100- to 300-person company
in the social media industry
in Austin
I want to be a medical devices hardware Product Manager
in a B2B, Fortune 500 company
in the healthcare industry
in any city - I’m willing to move
I want to be a cloud Product Manager
in a B2B, $100+ million revenue company
in the finance industry
in London
Keep in mind that you might draft this positioning statement, and then find out there are zero companies that meet all your criteria. If so, broaden the parameters one at a time until you find something that closely resembles what you want.
Just like with any product, having a clear positioning statement is extremely important. It will guide everything you do as you chase your dream job. Your time is limited, so it is very important to have a plan for how to maximize your efforts. If you don’t have clear direction, then you’ll be spinning your wheels and won’t make progress towards your dream job.
As you continue through the rest of this guide, make sure to validate each activity against your positioning statement. Every book or article you read and every person you connect with must be aligned with your positioning statement. Otherwise, you won’t be making progress towards your dream job.
As with any product, you will continue to refine this statement as you start talking to customers (but more on that later), so don’t worry about getting it 100% right. The important thing is to have a hypothesis to validate and structure your efforts around moving forward.