Product Management in the Era of Artificial Intelligence and Machine Learning

Unless you have been living under a rock, you already know that Artificial intelligence (AI) and machine learning (ML) are rapidly changing the landscape of product management. When I say AI / ML in this article I am excluding the new kid on the block which is generative AI (which demands a better understanding on my part :) and a separate article on its own).

With their enormous potential, AI and ML are reshaping the way we engage with and navigate the world.?As AI and ML capabilities are designed into new products and services, product managers need to enhance their skills to develop and provide functional requirements and AI-powered specifications to data engineering and data science teams.?For example, 14% of enterprises that are the most advanced using AI and ML for new product development earn more than 30% of their revenues from fully digital products or services. To my mind, this clearly shows the potential for growth and competitiveness that AI brings to product management.

“Some people call this artificial intelligence, but the reality is this technology will enhance us. So, instead of artificial intelligence, I think we’ll augment our intelligence.” - Ginni Rometty (CEO & President, IBM)2

AI Product Managers:?

AI product managers differ from traditional product managers in that they use technical expertise to harness the potential of AI to elevate product management processes.?While AI product management shares the same responsibilities and skills as traditional product management, the AI PM role expands to include working with data scientists and data engineers, in addition to the traditional product team and stakeholders.?AI Product Managers also require technical skills in data science, machine learning, automation, deep learning, etc.?This means that AI product managers need to have an operational understanding of machine learning software development along with a realistic view of its capabilities and limitations. By having these additional skills, AI product managers are able to effectively manage AI projects and ensure that they are in sync with the business.

Opportunities in Product Management with AI:

AI presents various opportunities for product management, such as data analysis and predictive modeling, which can help product managers make data-driven decisions.?AI can provide valuable insights into customer needs and preferences, enabling companies to create bespoke products.?AI can also simplify complex decision-making processes by identifying patterns in numbers, trend analysis, and outcome correlations that human analysis might miss due to information overload.?For example, AI tools like ProductBoard leverage data analytics to help product managers visualize and prioritize product features based on customer feedback and market trends.?Additionally, AI can boost innovation by automating repetitive and mundane tasks, reducing the time spent on manual work, and enabling product managers to focus on strategic activities (more of this below). I could write an entire article about the opportunities and examples so these are just some of the many opportunities that AI brings to product management.

Real-World Examples:?

Many companies have successfully implemented AI in their product management processes.?For example,?Alibaba, the world’s largest e-commerce platform, uses AI to predict what customers might want to buy and automatically generates product descriptions for the site using natural language processing. Another example is?Vistra, a major U.S.?power producer, which installed an AI-powered tool that analyzed hundreds of inputs and generated recommendations every 30 minutes, resulting in a 1% increase in efficiency, translating into millions in savings as well as lower greenhouse gas emissions.?Wayfair, the e-commerce company, was an early mover in shifting its data to the cloud and investing in machine learning.?When Covid-19 hit, it was able to optimize container ship logistics, continually adjusting what goods were sent to which ports, resulting in an astonishing 7.5% reduction in inbound logistics costs. These are just a few examples of how companies are using AI to improve their product management processes.

In Summary (what summary already, yeah I am trying to keep my articles around 5 minutes of read time, plus I am drafting this while my car is being serviced.), AI and ML are rapidly changing the landscape of product management, and AI product managers need to have technical skills in data science and machine learning. AI can provide valuable insights into customer needs and preferences, enable companies to tailor their products accordingly and simplify complex decision-making processes. Many companies have successfully implemented and will continue implementing AI in their product management processes.

As far as the Future of product management in the era of AI and ML is concerned AI will continue to transform product management, making it more data-driven and efficient.

• Product managers will need to develop new skills and knowledge in order to effectively use AI and ML,?to better understand customer behavior and preferences thus making it possible for them to create more personalized and relevant experiences for their customers.
• The role of the product manager will become more strategic, as they will be responsible for leading the development of AI-driven products,?meanwhile automating tasks and freeing up their time to focus on more strategic work.
• AI will create new opportunities for product managers to innovate and create better products and experiences for their customers, leading to better predicting future trends and making better decisions about product development.

“Machine intelligence is the last invention that humanity will ever need to make.” ~ Nick Bostrom

Overall,?AI and ML are essential tools for product managers in the 21st century. By embracing these technologies, product managers can make better decisions, improve their products, and create a competitive advantage for their businesses. My Take is that the future of product management looks bright, and AI and ML will play a major role in that future. Product managers who embrace these technologies will be well-positioned to succeed in the years to come.

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Disclaimer: The views expressed in my responses and content are my own and do not necessarily reflect the views of my employer or any organization I am affiliated with. My responses are based on my own knowledge, experience, and research and are intended for informational purposes only. Any action taken based on my responses is at the reader's discretion.