What framework should I use to prioritize either dedicating engineering resources to build out product functionality or just using a 3rd party service?

Without full context, I will assume you are not a start up but rather a profitable business with growing revenue. When considering whether to build, buy or partner (BBP), work with your team to put together a set of principles that are informed by your : vision and strategy differentiated core ability to deliver value to market quickly Once you've identified the high leverage items that brings differentiated value, then work with your engineering team to model each of the 3 BBP options, and scor ...Read More

It is important to consider the build vs buy decision where it makes sense as teams are often focused on building everything, resulting in inefficiencies and a lack of focus. While using 3rd party services can be a strategic move to accelerate your roadmap and free up resources and time, it is important to decide if it aligns with your long-term goals and strategy. To make the decision, consider the following questions with stakeholders Is the functionality core to your product and will it diffe ...Read More

I don't have a specific framework I use for determining build vs buy, but I've typically used a series of questions to help evaluate the decision: - What is the problem you're trying to solve by building or buying? - How strategically critical is that solution to your business? Is it something that could create a competitive advantage, help build moat against competitors? (If so, there is probably some risk in relying on a 3rd party.) - What benefits come from buying? Does it significantly speed ...Read More

When deciding between dedicated vs. 3rd party engineering, consider the following factors: Final product experience:  Evaluate the final product experience delivery to customers. For example, with a 3rd party tech team, does your design decisions make it a longer workflow for customers because of limitations of your tech stack? Is that an acceptable trade-off? Time to market:  There is still some cost to your internal engineering teams (onboarding, training, code reviews etc) when using a 3rd pa ...Read More

This is the classic build vs. buy dilemma, and one that Marty Cagan and others have weighed in on often. My starting point is this: Does this capability differentiate us in the market? If the answer is no, then buying or partnering is usually the smarter path. Here’s a simple framework I often use: 1. Strategic Value Core Differentiator: Does building this in-house create a strategic advantage or unique customer value? If yes → lean toward building. If no → lean toward buying or partnering. 2. S ...Read More

At our company we are transitioning from a quarterly planning cycle to an 'agile' approach. With the advent of ChatGPT and accelerated product development cycles across the industry it has become challenging to meaningfully progress features when they need to be planned months in advance. Here is a short brief on why we choose to make this shift. Shortfalls of Quarterly Planning: Lacks flexibility and responsiveness to change. Locks teams into rigid commitments, making it difficult to pivot as c ...Read More