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Dale Schumacher
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I just blogged on this very topic (http://borland.typepad.com/agile_transformation/2009/02/what-is-a-product-owner-in-scrum.html) From the perspective of the Scrum team, the Product Owner is the proxy for the rest of the organization. Often I have recommended that the Project Manager, rather than the Product Manager, be nominated for Product Owner when a traditional team is beginning the transition to agility. This aligns the team's incentive to please their manager with the agile team's desire to please the Product Owner.