Developing a product successfully requires a balance between innovation, speed, and market alignment. Two crucial strategies have gained prominence in this pursuit: the Minimum Viable Product (MVP) and Product Lifecycle Management (PLM). While MVP ensures that products are tested in an early phase, with minimal resources, PLM offers a more complete framework to manage the product from conception through maturity.

Together, they can be the backbone of modern management and project delivery. Let’s explore, in this article, how MVP fits into a broader PLM.

What is the purpose of a Minimum Viable Product (MVP)?

A minimum viable product is a product with enough characteristics to attract a specific type of customers, people who want to adopt and validate an early product idea. When we use the term “early” we must consider the context of a standard product development cycle. In some industries, such as software development, the MVP can help the product team receive user feedback as quickly as possible to improve the product. It isn’t a demo version, but a stage of development when the product is able to be fully commercialised. And now it’s time to talk about Eric Ries.

Who is Eric Ries?

Eric Ries, selling author specialist in startups and entrepreneur, introduced this concept of the MVP as part of his Lean Startup methodology. By now you probably know that MVP and startups walk hand by hand; this happens because the early version of a new product enables a team to collect the maximum amount of validated learning about customers with the least amount of effort: it costs significantly less compared to building a fully-featured product.

 
The Role of MVP in Product Development

“Test the Waters Without Drowning”

Are people excited about your idea? Do they find value in it? The MVP is about minimizing risk; it allows you to take a small step forward by launching a simplified version of your product to grab customers interest. You might think you know what people want, but nothing beats seeing how they interact with your product!

 The “Speed to Market” is also a crucial element to consider. With the MVP strategy, companies can launch the product faster, positioning themselves over competitors. While they might develop a feature-rich product, you got something out there!

 MVP isn’t a one-time cycle, with beginning and end, but a living and dynamic part of the development process. Once the MVP started, iteration can happen through small improvements based on real-world usage. This continuous cycle of improvement helps you create a product that’s perfectly aligned with customer needs, leading to a better end result.

Airbnb is a good example of a minimum viable product development. With no money to build a business, the founders of Airbnb used their own apartment to validate their idea to create a market offering short-term, peer-to-peer rental housing online. They created a minimalist website, published photos and other details about their property, and found several paying guests almost immediately.

 

Product Lifecycle Management

Complementary Approaches: What is PLM?

Essentially, Product Lifecycle Management refers to a comprehensive management of a product’s life, as previously addressed. This approach involves guiding every stage of a product’s development: from ideation, design, engineering, to manufacturing, distribution, and post-market support. PLM’s goal is to optimise processes, reduce costs, improve quality, and ensure the process evolves in alignment with market demands.

For businesses developing IT solutions or tech-driven products, PLM plays a structural role in ensuring efficient project management and driving business transformation . It helps streamline processes, reduce redundancies, and ensure that all stakeholders – from developers to marketing teams – are aligned on the product’s objectives and strategy.

A clear example of PLM’s importance can be seen in the tech giants like Apple or Google, which leverage product lifecycle strategies to manage everything from hardware design to software updates, ensuring that their offerings remain relevant and competitive. Without PLM, even the most innovative product can become irrelevant, as technology and customer expectations constantly evolve.

 Scaling an MVP into a full product requires a clear grasp of product lifecycle management. Without PLM, companies can easily lose direction or face inefficiencies. As products evolve, they get more complex and must adapt to changing market demands. PLM acts as a guide, helping teams stay on track by focusing on product management, ensuring smooth project delivery, and aligning efforts with the company’s overall goals. It integrates project management processes to streamline improvements and keep the product moving forward effectively.

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