3Pillar Global, a leading developer of innovative, revenue-generating software products, and the Center for Excellence in Service at the University of Maryland’s Robert H. Smith School of Business have created the industry’s first Product Development Success Index (PDSI). The PDSI establishes six vital factors that impact a company’s readiness to successfully develop new software products. Based on the study, culture, including the ability to attract and retain top talent and provide career growth and appropriate recognition, was identified as the most critical factor for success.
The study surveyed more than 200 professionals responsible for software product development within their companies. The respondents represented numerous industries, including Business Services, Education, Financial Services, Healthcare, Health and Wellness, Hospitality, Information Services, Media and Entertainment, Technology, and Telecommunications. All respondents have decision-making responsibilities for new software product development projects and work for companies with at least $1 million in annual revenue.
“With nearly a decade of experience in software product development strategy and execution, we know what drives a successful project and we sought out the concrete data to back up our approach. Enter the Product Development Success Index,” said David DeWolf, President and CEO of 3Pillar Global. “This study has confirmed a lot of what we know, but more importantly revealed how essential the ‘softer’ components – such as culture, communication and feedback – are to successful product development.”
The PDSI provides a diagnostic checklist for maximizing success in software product development and answers the question: what drives success? The study found that the following top priorities are critical to product development success:
Culture is the most important internal force in developing successful software products. Employees must truly believe that their contributions are valued at the organization and feel as though they have room to grow.
Feedback is another important factor, and includes listening to customers and consumers. By gathering and incorporating feedback throughout development, companies will improve their likelihood of creating a successful software product.
Communication is also important to success and needs to flow within teams and across organizational levels. Highly “siloed” entities with restricted communication are likely to struggle in product development and innovation.
Staffing, Collaboration, and Time/Budget focus are less important but still significant contributors to success.
“This index provides businesses with a tool for measuring and analyzing their approach to software development, resulting in a more successful team and product,” said Dr. Sunil Mithas, professor of information systems at the Smith School. “More and more companies are recognizing that software products can create touch points with their customers that had not previously been possible.”
For more information on the PDSI, to get your company’s own development readiness score, or to read a full executive summary of the research, please visit www.pdsinsights.com. Additionally, to learn more, register for the webinar “6 Keys to Developing Successful Software Products,” which will be held on Friday, March 13: http://go.3pillarglobal.com/product-development-success/webinar.