Session NotesProduct Strategy

Session note: how teams end up building the wrong thing (and don't notice)

How teams end up building the wrong thing without noticing. Local optimization, false signals of success, and slow drift vs obvious failure.

The Situation

You're building features. They're shipping. Metrics are moving. Everything looks like it's working. But when you step back, you realize you're building the wrong thing. Not obviously wrong—just wrong enough that it doesn't create the value you thought it would.

The problem isn't that you're failing—it's that you're succeeding at the wrong thing. You're optimizing locally, but locally optimal doesn't mean globally optimal. You're getting signals that look like success, but they're false signals.

The drift is slow. You don't notice it until you're far from where you should be. By then, it's hard to course-correct because you've invested so much in the wrong direction.

What Most Teams Try (and Why It Doesn't Work)

Most teams try to optimize what they're already doing, but they don't question whether they're doing the right thing.

Optimizing metrics without questioning direction

If you're optimizing metrics without questioning whether you're optimizing for the right thing, you'll get better at the wrong thing. Metrics can be gamed. They can measure activity, not outcomes.

Following customer requests without understanding problems

If you're building what customers ask for without understanding the problems they're trying to solve, you'll build features that solve symptoms, not problems. You'll succeed at satisfying requests, but fail at creating value.

Focusing on execution without questioning strategy

If you're focused on executing well without questioning whether the strategy is right, you'll execute the wrong strategy well. Execution matters, but strategy matters more.

How I Approach This in Practice

I prevent drift by regularly questioning direction, not just optimizing execution.

Question what you're optimizing for

Regularly step back and ask: What are we optimizing for? Is it the right thing? Are we measuring the right outcomes? The metrics might be moving, but are they moving toward the right goal?

Look for false signals

Some signals look like success but aren't. Engagement up but value down? Features shipping but outcomes not improving? These are false signals. Question them.

Check for local vs global optimization

Are you optimizing for the team, the quarter, or the company? Local optimization can hurt global outcomes. Make sure you're optimizing for the right scope.

Create checkpoints, not just milestones

Milestones measure progress. Checkpoints question direction. Regularly check: Are we still building the right thing? Has the problem changed? Has the solution changed?

A Real Example

A B2B SaaS company building features based on customer requests. Features were shipping. Customer satisfaction was up. Everything looked like success. But when they stepped back, they realized they were building features that solved individual customer problems, not creating coherent product strategy.

They were succeeding at satisfying requests, but failing at creating value. The metrics looked good—engagement up, satisfaction up—but the product was becoming a collection of features, not a coherent solution.

Instead of optimizing execution, they questioned direction. What problems were they actually solving? Were they solving patterns or just requests? Once they clarified the problems, the features became coherent.

The outcome wasn't better execution—it was better direction. They were always executing well, but they were executing the wrong thing. Once direction was clear, execution improved.

When This Matters

This is happening when:

  • Metrics are moving but outcomes aren't. You're getting signals that look like success, but the outcomes you care about aren't improving.
  • You're optimizing locally but not globally. You're succeeding at the team or quarter level, but not at the company level.
  • The drift is slow. You don't notice you're off course until you're far from where you should be.

This isn't happening when:

  • You're obviously failing. If you're clearly failing, that's a different problem. Fix the failure first, then worry about drift.
  • You're in a new market. If you're exploring a new market, some uncertainty is normal. That's not drift—that's learning.
  • You're using drift as an excuse. Some drift is real, but some is just avoiding hard decisions. Be honest about which is which.

Related Session Notes

If you're dealing with unclear product direction, Turning Customer Feedback Into Product Strategy addresses similar challenges. Or if you're trying to create clarity on priorities, Why Most Roadmaps Don't Actually Guide Decisions might be relevant.

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