Platforms are synonymous with scalability. Whether it’s business scalability exemplified by Amazon, architectural and technological scalability like AWS, or generating non-linear growth through internal platforms, they promise transformative potential. In this series, we will delve into the less discussed yet critically important pitfalls and hidden challenges on the journey to build an internal platform.

Throughout my career in product management, I have navigated the spectrum of platforms-from internal-facing ones at Guidewire to external ones like the Adobe Experience Platform, and even those that blur the lines between internal and external functionalities. Platforms are inherently appealing; they promise non-linear growth, allow vertical teams to focus on their domain expertise, and relieve them from the burdens of scalability, reliability, privacy, cost management, data management, and more. They generate excitement from the board of directors, make headlines, and are prized by architects and engineers for the complex challenges they solve.

However, platforms come with significant drawbacks-they are expensive, complex, hard to scope, and predominantly driven by engineering and architecture perspectives. They often struggle with justifying their business case and maintaining alignment with their initial vision.

I’ve witnessed these challenges firsthand and observed how effective leadership can navigate through them.

This series aims to address these pitfalls:

• Aligning Internal Platforms with Business Objectives
• Overcoming Resistance: User Adoption and Change Management
• Integrating with Legacy Systems: Carrying the Baggage Forward
• Ensuring Scalability and Flexibility
• Resource Allocation and Budgeting
• Measuring Performance and ROI

Throughout this series, I’ll try to address each of these pitfalls, show you how they can be navigated, and provide some further resources to enrich your understanding.

Perhaps the most prevalent and challenging pitfall, especially in public companies, is aligning internal platforms with the often short-term financial metrics that drive corporate decision-making. Public companies are beholden to their quarterly performance; miss a few targets, and the repercussions are immediate: investors flee, boards become restless, and executives reconsider their positions. In such a high-stakes environment, justifying an extensive initiative like an internal platform, which typically shows benefits only in the long term, can be challenging.

Aligning Internal Platforms with Business Objectives

I’ve participated in numerous platform discussions where despite the initial enthusiasm, articulating a clear and direct impact on business outcomes was elusive. Often, because these platforms are heavily influenced by architects and engineers during the ideation phase, translating technical capabilities into business benefits is challenging.

Here, the role of strong leadership from the CEO and senior executives is crucial. A committed CEO can shield the early and often invisible stages of platform development from premature financial scrutiny as platforms, by nature, do not demo well in their emerging stages. The timing for launching a platform initiative is also critical; it should neither divert resources from essential business functions in a growing company nor be delayed until the company faces a decline. Moreover, a successful platform has the potential to evolve into an external-facing, ISV-supporting entity, providing a secondary growth curve for the company.

Setting realistic expectations is another critical factor. Platform development is complex and often fraught with initial failures as the balance between feature set and operational simplicity is fine-tuned. Leadership must be prepared for these setbacks. Conversely, giving too much freedom to architects can lead to solutions that, while technically elegant, fail to meet the practical business needs, leading to costly misalignments.

This underscores the vital role of platform product management. A skilled platform PM can define the vision, advocate effectively to leadership, manage technical stakeholders, and serve as a bridge between vertical business units and core platform engineering teams.

In conclusion, the alignment of internal platforms with business objectives is not just a technical challenge—it’s a strategic imperative that requires clear vision, steadfast leadership, and robust communication. While the pitfalls are many, understanding these challenges and approaching them with informed strategies can significantly enhance the success and impact of an internal platform. As we continue in this series, we’ll explore additional aspects critical to platform development, such as user adoption, legacy system integration, and effective resource management. Each topic will build on the foundation laid here, providing further insights into navigating the complex journey of platform development.