3. Skills and Competencies of Product Managers

Welcome to another lesson of the Product Leadership course. In this module, we're focusing on managing people and understanding how to get the best out of each product professional. In this lesson, we will cover four main topics, starting with skills and competencies.

Product Managers (PMs) need to master a broad range of skills. This can sometimes feel overwhelming, but understanding these skills and competencies will help both PMs and product leaders recognize what is needed to succeed in product management roles.

Key Skills for Product Managers

Product Managers must have strong Customer Discovery skills—knowing who their target audience is, understanding their needs, and knowing how to conduct effective research to bring insights to their teams. Product Discovery is another key skill—testing ideas quickly, finding mechanisms to accelerate learning, and discovering the right path forward.

Other important skills include Data and Analytics, Experimentation and Testing, Project Management, Prioritization, and Basic Design and Tech Knowledge. This list could go on because PMs play a role almost like that of a superhero in terms of versatility.

With these skills, PMs must balance the technical aspects of product development with effective decision-making processes that prioritize customer value and business needs.

Core Competencies for Product Managers

Product Managers also need to excel in various competencies, which are sometimes overlooked compared to technical skills.

Some of the essential competencies include:

• Dealing with Ambiguity: PMs need to thrive in environments where there are no clear answers, making decisions in uncertainty.
• Communication and Negotiation: PMs must communicate effectively with stakeholders and negotiate priorities and resources.
• Conflict Resolution: Given the cross-functional nature of product management, PMs will face conflicts and must know how to resolve them diplomatically.
• Organizational Skills: Effective time management, critical thinking, stakeholder management, and problem-solving are all competencies that help PMs perform well.

We can group these requirements into two main categories: skills (hard skills) and competencies (soft skills). The terminology itself might vary—some refer to competencies as behaviors or interpersonal skills. Regardless, the key is recognizing that PMs need both technical knowledge and people skills to excel.

Focusing on Both Skills and Competencies

A common mistake I see in product teams is focusing solely on improving technical skills while ignoring competencies. For example, I once worked with a Product Manager who was technically brilliant—they knew everything they needed to about developing a technical product. However, they had some behavioral issues, such as arrogance and poor communication with the team. This led to friction with both the team and leadership, which hindered their career growth despite their technical abilities.

To address this, I sat down with them for a performance evaluation and provided clear feedback on their behavior. We discussed how their lack of transparency and unwillingness to adapt their communication style affected their relationships and how others perceived their competence. It was a tough conversation, but it led to positive changes.

Behavioral Profiles and Competency Development

Human behavior can be thought of as having different layers, similar to an onion:

1. Personality: This is the core of someone's behavioral profile. Personality traits are often inherited genetically and are difficult to change. They shape how people think and approach situations. For example, a person with a naturally high level of agreeableness is likely more empathetic and easy to connect with, while those with lower agreeableness may appear distant.

2. Values and Beliefs: These are the next layer. They include learned behaviors influenced by family and society, and can be more flexible than core personality traits. They define how people perceive the world.

3. Knowledge and Behaviors: The outer layer of the behavioral profile includes behaviors that are influenced by social rules and are more adaptable. This layer reflects how people interact with others and the world around them.

Even if a person has personality traits that seem incompatible with certain behaviors, they can still learn to adapt those behaviors. For example, someone with a less naturally agreeable personality can learn to behave kindly and empathetically in certain contexts.

Practical Strategies for Team Dynamics

One common personality trait that can affect team dynamics is introversion vs. extroversion. Introverts may seem disengaged in meetings simply because they tend to interact less, while extroverts may dominate conversations without meaning to exclude others. These dynamics can result in sub-optimal outcomes if team members do not understand each other.

Here are some ways leaders can create better dynamics:

• Group Discussions: Create smaller groups for discussions, allowing introverts to feel more comfortable sharing their thoughts in a safer environment.
• Asynchronous Discussions: Use documents or diagrams and invite team members to add their comments asynchronously. This can help ensure that introverts have a voice without being overshadowed by extroverts.
• Remind the Team About Differences: Reinforce the importance of respecting others' voices and practicing active listening. Encourage the team to be aware of different personalities and make room for everyone to contribute.

Using Personality Assessments

There are various personality assessments that can help teams understand individual differences. Some popular ones include DISC, MBTI, and the NEO PI-R, which is more scientifically recognized as it focuses on the five major personality traits.

These assessments can be valuable tools for starting discussions about different traits, promoting self-awareness, and helping team members understand each other. However, it is important not to over-rely on these assessments—they should not be used to box people in or label them too rigidly. Personality is not binary, and individuals exist on a spectrum for each trait.

When using personality tests in a work setting, always remember:

• Respect privacy—never share results without the individual's consent.
• Use the results to foster better communication and understanding, not as an excuse to limit someone’s role.

Complementary vs. Reinforcing Team Members

Teams can benefit from either complementary or reinforcing skill sets. For instance, when pairing a Product Manager with a Designer who excels at Discovery and user research, you could bring in a PM with a strong background in business knowledge to ensure that user needs are translated into business solutions. This is an example of a complementary match.

On the other hand, if you bring in a PM who is also great at Discovery, they can amplify the team's strengths in that area. However, it may leave gaps in business alignment that would need to be filled by others. As a leader, it's your job to recognize what balance is needed and adapt the team accordingly.

Conclusion

Product Managers need to master a combination of technical skills and interpersonal competencies to succeed. As leaders, it is crucial to help PMs grow in both areas. Recognize the importance of behavioral skills and ensure that your team has the right balance of complementary and reinforcing abilities to meet the challenges of product development effectively. By focusing on each individual's skills and competencies, leaders can help their teams achieve their full potential.