What is the difference between Scaled Agile/SAFe and a Product Operating Model? (Interview on the Business Agility Now Podcast)

I recently joined Adam Mattis on the “Business Agility Now” podcast for a conversation about scaling agile and product operating models. It’s always a pleasure to chat with Adam about the realities of applying agility at scale and some of the trends I’m seeing in the field.

We covered various topics, drawing from our experiences helping organizations navigate the complexities of business agility in a variety of environments.

Here are some of the key themes and topics we focused on:

The Enduring Principles of Product Management: We explored the idea that while applying technology to product management is relatively new, the core discipline itself has deep roots in consumer goods industries.

The Growing Awareness of Product Orientation: Organizations who initially focused solely on agile project management are now recognizing the critical need to become genuinely product-oriented to achieve desired business outcomes.

Product Ownership vs. Product Management: We delved into the differences between these roles, drawing parallels with category management and product line management in consumer goods.

The Challenges of Centralized Decision-Making: We discussed how, in many enterprises, true decision-making authority often resides far above the designated product managers and product owners, leading to the “feature scribe” phenomenon.

The “Backlog Owner” Reality: We touched on the fact that many individuals with the title of “product owner” are essentially backlog managers without true product ownership responsibilities.

The Buzz Around the Product Operating Model (POM): We explored the emerging conversations around product operating models, considering whether they represent genuine shifts in perspective or just new terminology for old problems. We highlighted that an emphasis on empowered product teams and steering with evidence are key aspects of a POM .

SAFe and Product Orientation: We discussed how a strong foundation in agility (using frameworks like Scrum/SAFe) is crucial for a successful product-oriented approach. There’s a real opportunity to use the product-oriented movement to re-emphasize core agile and SAFe principles like focusing on objectives and outcomes in PI Planning.

The Foundational Prerequisites for Product Centricity: We agreed that before organizations can truly embrace a product-centric view, they need to establish strong foundations in areas like DevOps, CI/CD, clear product definitions, and aligned teams.

The Power of Product-Oriented Portfolio Conversations: Shifting the focus at the portfolio level from managing a book of work to emphasizing outcome-oriented strategic themes and leading indicators can be game-changing.

The Critical Role of Incentives: We underscored the point that to truly become product-centric, organizations need to align their incentive structures to reward product performance rather than just project outputs.

The Consultant as an “Interventionist”: We had an interesting exchange about the role of consultants, with Adam coining the term “Enterprise Interventionist”. We emphasized the importance of providing appropriate interventions and even having the courage to say “no” when the conditions for success aren’t there.

The Potential Synergy Between SAFe and POM: I shared my belief and experience in the trenches that SAFe and the Product Operating Model aren’t in conflict but can complement each other, with SAFe providing the structure for execution that POM needs.

Throughout our conversation, we emphasized the need to move beyond just adopting new terms and to focus on the hard work required to create truly product-oriented organizations that deliver tangible business value.

If you’re interested in these topics and want to hear our full discussion, I encourage you to listen to the entire podcast episode or watch it on Youtube.

As a follow-up to these ideas, I recently released a free email course called the “Portfolio Agility Trail Map.” It offers insights and tips for those looking to make their scaled agile organizations / portfolios more product-oriented. If you’d like to explore this further, check it out.

I’d love to hear your thoughts on these topics! Feel free to connect and share your experiences.

Questions about scaling agility, Kanban, or organizational transformation? Explore advisory options or let’s talk.