Quite simply, a product is an output of the project.
Prince2 distinguishes between management products and specialist products. The former are created within the project for management purposes and the latter are created as valuable outputs from the project so external stakeholders to receive benefit. Prince2 uses Product Descriptions to define the product in advance so that the recipients' needs are met.
Product Benefit Allocation
Products are stratified so that their total product benefit is allocated among the predefined benefits from the Business Case. If you have not yet fully defined your project benefits in the Business Case, do this now.
In our example here, two benefits have been defined (Benefit 1 & Benefit 2). As you select each product in the left column, you must allocate a percentage of this risk weighted value among the benefits in column 2 titled Included Benefits. The total allocation must equal 100%.
Product Benefit Allocation Sankey Diagram
Based on the allocations made in the columns, the sankey (pronounced SAN-KEY) diagram automatically configures itself. This visual representation shows stakeholders the relationship between the products and the benefits. You can hover over any line to better see the relationship. This complements the Benefits Traceability Matrix as another means to understand connectivity among desired outcomes (and what may result if something cannot be delivered).