PRINCE2 Product Based Planning: A Beginner's Guide

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Last updated on
12th Jul, 2022
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12th Jul, 2022
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PRINCE2 Product Based Planning: A Beginner's Guide

PRINCE2 is a process-based project management approach, widely used in many parts of the world. One of the key elements of PRINCE2 is product-based planning. 

Product-based planning is a technique used to create a detailed plan for a project by breaking it down into its products or deliverables. This approach is beneficial for complex tasks with many interdependent products or deliverables. 

The approach involves identifying the project's deliverables or products. Once the products have been identified, a detailed plan is created for each. This plan project management software cloud based includes information on what needs to be done to develop the product, who will do it, when it needs to be completed, and how much it will cost. 

The advantage of product-based planning is that it allows for a very detailed and comprehensive plan to be created for a complex project. This approach also can identify who is responsible for each deliverable or product. 

The main disadvantage of product-based planning is that it can be time-consuming and expensive to create a detailed plan for each product. This approach is also less flexible than other planning approaches, as it can be challenging to change the program once it has been created. 

Product-based planning is a critical component of the PRINCE2 project management method. In this beginner's guide, we'll explain what product-based planning is, how it's used in PRINCE2, and how you can get started. 

For detailed information about product-based planning, visit PRINCE2 foundation online training

What Is Product-based Planning in PRINCE2?

PRINCE2 product-based planning refers to the process of creating a product breakdown structure (PBS). This is a hierarchical decomposition of all the products that must be delivered to achieve the project's objectives. 

The PBS provides a clear and concise overview of all the work that must be done to deliver the project's end products. It also forms the basis for estimating, scheduling, and monitoring progress. 

Product-based planning is an iterative process and should be revisited at various stages throughout the project. It is essential to ensure that the PBS remains accurate and up-to-date as the project evolves. 

If you are new to PRINCE2, then product-based planning can seem like a daunting task. However, there are some simple steps that you can follow to create a PBS. 

  • Define the project's objectives and scope. 
  • Identify all of the end products that must be delivered to achieve the objectives. 
  • Create a high-level product breakdown structure (PBS) that decomposes the end products into smaller, more manageable items. 
  • Estimate the Product Breakdown Structure 

Want to know more about product-based planning? Check out the best PRINCE2 foundation training. It will help you gain extensive knowledge about project management software cloud-based, PRINCE2 product-based planning, product-based planning techniques PRINCE2, web-based task management software, and much more.

Product Breakdown Structure

A product breakdown structure (PBS) decomposes a product into its parts. It is used to define and hierarchical breakdown of the deliverables of a project. Therefore, the PBS is sometimes known as a product structure tree (PST). 

In Prince2, the product breakdown structure is used to define and track the products (or deliverables) of a project. The PBS is a vital tool in ensuring that all of the effects of a project are delivered and meet the required quality standards. 

The PBS is developed during the initiation stage of a project and is updated throughout the project as the products are delivered. The PBS is used to identify the outcomes of a project, their inter-relationships and dependencies, and the order in which they need to be provided. 

The PBS is an essential tool for project managers, as it provides a clear overview of the products to be delivered and helps ensure that all products are delivered on time and to the required quality standards. 

The PBS breaks down the product into its parts. This allows the project manager to see all the details that need to be delivered to complete the effect. The PBS can also create a schedule for providing the product. 

The PBS is a valuable tool for project managers because it helps ensure that all of the necessary parts of the product are delivered on time. It also allows for better communication between the project manager and the team because the product's features are clearly defined. 

Have a quick look at the online project management certification program for more detailed concepts. 

Product Flow Diagram

The first step in Product Based Planning is to create a Product Flow Diagram. This diagram shows the different steps that a product must go through from start to finish. It helps identify bottlenecks and potential problems so they can be addressed early on. 

It should be created by the project manager and reviewed by the team. Once it is complete, it should be shared with everyone involved in the project. It will help ensure that the project stays on track and that all products are delivered on time. 

Work Breakdown Structure

A work breakdown structure (WBS) is a tool that can be used to create a clear and organized view of a project. A hierarchy of tasks must be completed to achieve the project's objectives. 

The WBS can be used to create a project schedule, identify risks, and track progress. It is a helpful tool for both project managers and team members. 

Creating a WBS is relatively simple. First, the project's objectives should be identified. Next, the tasks that need to be completed to achieve these objectives should be listed. Finally, these tasks should be organized into a hierarchy. 

The WBS is a valuable tool for any project manager. It can help create a clear and organized view of the project, identify risks, and track progress. 

Product-based Planning Tips 

Product-based planning is a great way to get started with your product development. Here are a few tips or product-based planning techniques PRINCE2 that will help you get started: 

  • Define your product vision and objectives. What are you trying to achieve with your product? What needs does it address? Be clear about your goals from the outset. 
  • Research your target market. Who will be using your product? What are their needs and wants? What are their pain points? The more you know about your target market, the better you can design a product that meets their needs. 
  • Develop user personas. Once you have a good understanding of who your target market is, create user personas to represent them. User personas are fictional characters that represent your ideal users. They can help you understand your users' needs and how they might interact with your product. 
  • Create a product roadmap. A product roadmap is a high-level overview of what you want to achieve with your product and when you plan to achieve it. It can help you stay focused on your goals and ensure everyone is on the same page. 
  • Build prototypes and test them with users. Prototypes are early versions of your software. 

Why Choose Product Based Planning? 

Product breakdown structure (PBS) decomposes a product into its parts. There are several compelling reasons if you're thinking about implementing a product-based planning process for your business. This approach can help you better understand your customer needs, prioritize your product development efforts, and ultimately bring better products to market faster. 

Here are just a few of the many reasons to choose product-based planning: 

  • Improve Customer Focus
    One of the critical benefits of product-based planning is that it helps you keep your customers front and center. This is accomplished by focusing on the customer outcome or problem that your product or service is meant to solve.
    Keeping the customer outcome at the forefront of your planning process ensures that your product development efforts are always aligned with customer needs. This can help you win and retain customers and drive revenue growth. 
  • Streamline Product Development
    Another critical benefit of product-based planning is that it can help streamline your product development process. This is because you will clearly understand the customer need that your product or service is meant to solve.
    This understanding will help you prioritize your development efforts and ensure you are constantly working on the most critical features first. As a result, you can bring products to market faster and more efficiently. 
  • Drive Innovation
    Innovation is essential for any business that wants to stay competitive. Product-based planning can help drive innovation by forcing you to constantly think about the customer need that your product or service is meant to solve.
    Focusing on the customer's needs can help you develop new and innovative solutions that you may have otherwise missed. Ultimately, this can help you bring new and unique products to market. 

Conclusion

Product Based Planning is a great way to get started with PRINCE2. It provides a clear framework for creating and managing products and can help you to better understand the PRINCE2 process. If you're new to PRINCE2 or just looking for a refresher, KnowledgeHut PRINCE2 foundation online training should provide you with everything you need to know about product-based planning.

Frequently Asked Questions (FAQs)

Q1. What is the last step in PRINCE2 product-based planning? 

Product-Based planning has four steps:

  • Creating a Product Description for a Project entails describing the primary end product as the project is being set up.
  • In the process of developing the product breakdown. 
  • Listing all products that need to be created.
  • Creating the Product Description that covers All necessary products. 

Q2. What is PRINCE2 product-based planning? 

All project deliverables essential to meeting the project's goals and the associated work are identified using PRINCE2-style project management techniques known as "product-based planning," which is a critical component in PRINCE2's approach to project management. 

Q3. What is a product flow diagram? 

According to PRINCCE2 product-based planning principles, the product flow diagram depicts the order in which a series of goods are generated. It has to deal with the breakdown structure of the substance. 

Q4. What is a work breakdown structure? 

In project management and systems engineering, a work breakdown structure (WBS) breaks down a project into smaller, deliverable components. A work breakdown structure is one of the most critical project deliverables, which divides the team's workload into smaller, more manageable chunks. 

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Aditi Jain

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Aditi is a Senior Content Marketing Specialist at KnowledgeHut. She is an avid writer with a masters in English literature and specializes in long-form articles and crisp marketing copies. She loves playing the guitar and covers soothing songs. Scrolling Instagram is also part of her mindfulness!