Why the Digital Product Model Beats Project-Based Approaches

Companies need to make a shift from traditional IT project management to digital product management. Project-based approaches-whether waterfall or agile-have high failure rates, and emerging technologies like AI may make outcomes even less predictable. Typically projects end once a new system or application is delivered, limiting opportunities for learning and improvement. Digital product management, in contrast, relies on permanent, cross-functional teams that focus on long-term outcomes and customer value. The teams' success is judged by adoption, user retention, and revenue. To make the switch, companies should start with small wins, define a product vision, empower teams, build lasting infrastructure to support them, and commit to a multiyear journey, as companies like The New York Times, CarMax, and Capital One have all done.