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Software Product Management and Pricing: Key Success Factors for Software Organizations, by Hans-Bernd Kittlaus, Peter N. Clough
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Software product management and pricing are key success factors for any organization providing software, be it a software company or an organization responsible for software in a company that belongs to a different industry. After defining the term "software product" and looking at the business and organizational sides, the core elements of software product management and pricing are discussed. Recommendations are given on how to deal with these elements depending on different types of organizations and products in order to achieve the long-term success.
- Sales Rank: #3479441 in Books
- Published on: 2010-11-19
- Original language: English
- Number of items: 1
- Dimensions: 9.25" h x .55" w x 6.10" l, .76 pounds
- Binding: Paperback
- 232 pages
Review
From the reviews:
"These two seasoned practitioners have masterfully distilled the essence of the software business and the art and craft of the increasingly important and challenging field of software product management. Worthwhile to any who want an appreciation of the evolving world of product management, seasoned veteran and new entrant alike."
Richard Campione, Senior Vice President, Business Suite Solution Management & CRM On Demand, SAP, Germany/USA
"Mr. Kittlaus and Mr. Clough have used their considerable knowledge and experience to succinctly lay out the value chain that is essential to the development of a financially healthy software company. If you want to understand how to turn software technology into a long-term profitable company this is the book to read."
Paul Kaplan, Vice President, Worldwide Enterprise Software Sales, Software Group, IBM, USA
"This book on Software Product Management and Pricing is the first book that treats the business of software in a systematical way. Although software products were already shipped in the seventies of the last century, there are hardly any books providing an overview of all issues a company faces when playing a role in this industry. Product management and pricing are key processes, and this book informs the reader of the essentials. It is a must-read for anyone involved in software products, be it in business or in research."
Prof. Dr. Sjaak Brinkkemper, Information and Computing Sciences, Utrecht
University, Netherlands
"This compendium covers all facets of the software business using the advanced professionalism of the industry's global players as its standard. The authors have managed to combine professional accuracy with helpful practical examples and valuable references for further reading. Highly recommended, in particular for managers in corporate IT and software vendor organizations!"
Wilhelm Gans, CTO, DSV Group (German Savings Banks Organization), Germany
"A comprehensive book on best practices for software product management and pricing. It provides a deep insight into strategy and tactics of software organizations in a time of growing complexity and new challenges like Software as a Service."
Udo Hertz, Director of Information Management Development, IBM Germany Research & Development, Germany
"Software is big business to the largest of the information technology companies. … Kittlaus and Clough frame their topics with considerable insight. … written for practitioners that work with or are responsible for software product management and pricing. Kittlaus and Clough have shared their points of view in a well-structured, easy-to-read format. … The authors added job descriptions for the software product management role and software pricing manager, which are very helpful in distinguishing these roles from others that may be or sound related." (Brian D. Goodman, ACM Computing Reviews, May, 2009)
From the Back Cover
Software product management and pricing are key success factors for any organization providing software, be it a software company or an organization responsible for software in a company that belongs to a different industry. After defining the term "software product" and looking at the business and organizational sides, the core elements of software product management and pricing are discussed. Recommendations are given on how to deal with these elements depending on different types of organizations and products in order to achieve the long-term success.
About the Author
Hans-Bernd Kittlaus:
Graduate of University of Dortmund (Diplom-Informatiker). Spent 12 years with IBM, first in the Boeblingen Development Lab in technical and management positions, then as the head of EMEA (Europe, Middle East, Africa) Software Product Management for IBM's database and application development products in Stuttgart (Germany), San Jose (California, USA) and Toronto (Canada). Spent 6 years as Director with SIZ (Informatics Center of the German Savings Banks Organization). Started his own consulting company InnoTivum, Rheinbreitbach, Germany, in 2001 focussing on all strategy and management topics in relation to software, in particular the alignment of business and IT. Mr. Kittlaus has published numerous articles and the books ‚Data Mining’ (Addison Wesley, 1998), ‘Business Process Reengineering und Produktivitätssteigerungsprogramm’ (Deutscher Sparkassen Verlag, 1999) und ’Database Marketing’ (Deutscher Sparkassen Verlag, 2001). He was co-author of the book ’Software-Produkt-Management’ (Kittlaus/Rau/Schulz, Springer, 2004). Since 2005 he is member of the board of the German software company Sander & Doll.
Peter N. Clough:
Graduate of Trinity School (NYC) and Columbia University (BA in French Literature). Prior to joining IBM, two years spent on Wall Street as programmer and systems analyst. Employee of IBM since 1970, with experience in marketing and sales, finance, and business terms. Experienced in several industry sectors, especially Finance. Responsibilities have included both hardware and software marketing and sales as well as developing terms and conditions and pricing for all types of software within IBM. Influenced, participated in or managed every major IBM software terms development since 1983. Fourteen years in Europe Middle East Africa Division of IBM, split between working in US and in Paris. More recently, developed the offerings and price models for enterprise software sales in IBM’s Software Group, and led or structured sales, and provided deal negotiation assistance worldwide. Currently Enterprise Software Sales Executive and Manager of SW Offerings in IBM’s Software Group. In this role led, structured, or assisted in WW software sales to large customers, generally in the 50 to 500M category. Oversight of IBM software offerings worldwide and architect and author of the pricing structure for IBM’s major software relationship offering, the Enterprise Software and Services Offering. Winner of multiple IBM awards including the IBM Chairman’s Award in May 2000 for work done on software enterprise offerings and the Golden Circle in 2006 for sales contributions.
Most helpful customer reviews
7 of 7 people found the following review helpful.
Good coverage but lacks real life examples
By R. Prakash
I like the compact form factor (200+ pages), easy writing style and good command of English (you won't find words like "gotten"). On the flip side only 1 of the 5 chapters is devoted to pricing (theory) and lacks real life pricing models as examples. There are two examples but not enough to give a product manager a feel for different pricing models for software. The remaining 4 chapters flow easily but spend too much time (in my opinion) on things like mainframes, SaaS, Gartner models when that coverage could have been better spent on sample MRDs, PRDs, methods for requirements gathering and activities that a real life product manager would have to do. The pricing chapter could have been vastly improved with some real life pricing models of how software is priced by the likes of IBM, Microsoft, VMware and cover things like pricing by processor, core, platform, usage, capacity etc...If the authors plan a 2nd rev I hope they take this into consideration.
4 of 4 people found the following review helpful.
Product Manager and pricing done right
By B. Ottersgard
After 20 years as software Product Manager in the US and in Europe I find it wonderful that there is finally a book that brings structure and reason to this often chaotic profession. The book provides a very knowledgeable in-depth analysis of the current state of the software business, detailed descriptions of all the tasks of a software product manager, and those of a pricer, and it has lots of real-world examples from companies like Microsoft, Oracle, SAP, IBM and many others. If you are just starting to work as a software product manager or pricer, you will find a lot of value in the frameworks for both software product management and pricing. The frameworks show the full spectrum of these professions on just one page. If you are an experienced professional, there is a lot of methodological advice, a crisp perspective obviously derived from a wealth of experience in the software industry, plus a very comprehensive bibliography.
The authors manage to look at their subjects not only from the perspective of a software vendor, but also describe how this can be applied to corporate IT organizations in all industries. I am not aware of any other book that covers these subjects to a comparable extent. In fact I do not think that there are many other publications on software pricing since I know that the major software companies consider pricing as highly confidential, and do not allow their pricing managers to publish. If you are interested in software product management and pricing, you have to get this book. You will find it to be a greatly valued reference that you will go back to again and again and again and even if you do not intend to establish yourself as a software product manager or pricer in your company. In this book you will also learn how software vendors think and act - great knowledge before negotating with any of them.
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