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Product-based planning is a key concept in PRINCE2 methodology that focuses on defining and planning a project based on its desired outputs or products. It involves breaking down the project deliverables into manageable components and creating a plan to develop, deliver, and validate these products. Here's an overview of PRINCE2 product-based planning:

1. Product Descriptions: Product-based planning starts with creating clear and concise descriptions for each product that the project will deliver. Product descriptions outline the characteristics, features, and quality criteria for each product. They provide a common understanding of what is expected to be delivered.

2. Product Breakdown Structure (PBS): The product breakdown structure breaks down the project's major deliverables or products into smaller, manageable components. It organizes the products hierarchically, showing their relationships and dependencies. The PBS helps in identifying the necessary components and understanding the deliverables' structure.

3. Product Flow Diagram (PFD): The product flow diagram illustrates the sequence and dependencies of the products to be created and delivered. It shows how the products are produced, transformed, and validated throughout the project lifecycle. The PFD provides a visual representation of the product's journey and aids in understanding the flow of work.

4. Product-Based Planning Techniques: PRINCE2 employs various techniques to support product-based planning. These techniques include product-based thinking, quality criteria, product-based risk assessment, product-based estimating, and product-based scheduling. These techniques ensure that the planning process is focused on the products and their desired quality.

5. Product Descriptions as Control Documents: In PRINCE2, product descriptions serve as control documents for project management. They act as references for quality assurance, change control, and acceptance criteria. Product descriptions help in maintaining consistency and controlling changes throughout the project.

6. Product-Based Planning and Project Control: Product-based planning integrates with other PRINCE2 processes, such as stage planning and project control. The project plan and stage plans are developed based on the products to be delivered. The progress of the project is monitored and controlled against the planned production and delivery of the products.

7. Iterative and Incremental Approach: PRINCE2 encourages an iterative and incremental approach to product-based planning. It allows for flexibility and adaptability, enabling adjustments to the plan as the project progresses. By delivering products in stages or increments, the project can benefit from early feedback and reduce risks associated with large-scale delivery.

8. Traceability: PRINCE2 emphasizes the importance of traceability throughout the product-based planning process. It ensures that each product is linked to its requirements, quality criteria, and related documentation. Traceability helps in demonstrating that the products meet the desired outcomes and comply with stakeholder expectations.

Product-based planning in PRINCE2 provides a structured approach to project planning, focusing on the deliverables or products to be created. It ensures clarity, traceability, and control throughout the project lifecycle, enabling effective management and delivery of project outputs.