Pendo's 2021 European State of Product Leadership Report Suggests Companies Empower Product Leaders to Drive Digital Transformation
Product operations helps combat lower job satisfaction for European product teams.
LONDON, March 31, 2021 /PRNewswire/ -- Pendo, a platform that accelerates successful product adoption, today released its third annual European State of Product Leadership study, a report that explores trends impacting product management and the evolution of the product manager role. Produced in partnership with Product Collective, the study is based on a global survey of 600 technology product management executives and managers, with half the respondents coming from software and enterprise companies across the United Kingdom, France, and Germany.
Unique from prior reports, the 2021 edition examines the discipline in the context of accelerating digital transformation.
"Product leaders have the vision and expertise to drive Europe's digital future, but they need broader support to see through these big initiatives," said Chas Scarantino, managing director of Pendo EMEA. "By empowering product teams with operational support and executive leadership, European companies can ensure a successful digital transformation."
Key findings include:
Ready or not, product teams are spearheading digital transformation.
McKinsey recently reported that the share of digital products in the average company's portfolio accelerated by seven years in 2020. While the report calls that speed "shocking", it also reveals the once-in-a-generation opportunity to elevate product management as companies transform. In this year's study of European product leaders, the largest percentage of respondents, 47%, perceived product and R&D teams to be responsible for digital transformation. They also report increased focus on product vision/strategy over the last year. Still, just 39% feel responsible or accountable for product vision and strategy. These findings show that product is leading digital transformation though product leaders may not universally recognize that responsibility.
Product leaders in Europe match vision with revenue focus.
Alongside their emphasis on product strategy, half of European product leaders ranked revenue among their top three primary success metrics in this year's study. This combination of product vision and an eye toward revenue suggests product leaders are focused on how product strategy will positively impact the bottom line.
Digital transformation is adding pressure to the role.
But the quickening pace of digital transformation means that product leaders are also under pressure to perform. This may be exacerbated for European product managers, who, unique from their global counterparts, tend to manage multiple products. Respondents to the European survey were less likely than their global peers to recommend their career path to a friend. Out of a total net promoter score (NPS) range from -100 to 100, the average score was -1, compared to an overall global score of 9.
But help is on the way as European companies invest in product operations.
One way to increase job satisfaction is to surround product teams with operational support. Product leaders with access to a dedicated product operations team reported higher NPS scores. It's good news that European companies are already investing in this area: 44% of respondents have access to a product operations team, up from 26% of respondents to last year's survey.
Download the full European State of Product Leadership report here.
About Pendo
Pendo helps people adopt software more quickly and successfully. Pendo customers include the world's leading software companies and digital enterprises, including Verizon, RE/MAX, LabCorp, OpenTable, Okta, Salesforce, and Zendesk. Founded by product people in 2013 in the heart of Raleigh, North Carolina, Pendo is backed by Battery Ventures, Spark Capital, Meritech Capital and Sapphire Ventures. For more information, visit: www.pendo.io
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