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.
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 pricemodels 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.
