Why Product Managers Need to be Able to Read 10-K Filings

They're a goldmine of data about customers and competitors

One of the key themes I have reinforced over my 25-year career in product management is basic financial literacy. Product managers need to be able to locate, read, and interpret basic financial filings like Annual Reports (10-Ks), quarterly filings (10-Qs), and Proxy Statements (Def 14As). It should be a tool like others in their product management toolbox. There is a ton of information in public filings that customers and competitors must disclose. This information can make or break a sales deal, competitive steal away campaign, or product roadmap.

Pragmatic Example

Here’s a case in point. A company I worked for had a long-standing relationship with a customer where they provided a value-added outsourced solution that generated over $1.5 million/year in revenues. After a change in management, the customer decided to re-examine their investment in the outsourced solution. A new executive wanted to bring the solution in-house. To do so, this company would need to invest over $750,000 in equipment and software, plus set up a group of employees to do the processing/value-added services t we had been doing. If they brought the solution in-house they believed they could save $500K a year.