Unlocking Innovation: How hackathons fuel product evolution and team cohesion
How breaking routines can spark ideas that solve real business challenges.
👋 Hey, Sam here! Welcome back to The Product Trench. Every other Wednesday, I cut through the noise to share actionable insights, no-nonsense advice, and stories related to product management and leadership.
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Intro
I used to think hackathons were just glorified pizza parties—a fun break from the grind but hardly essential. Then we started running "Innovation Fridays" at my last gig, and everything changed. What I thought would be a day of quirky experiments turned into a source of real product breakthroughs—customer-loved features like business financial health dashboards and web SDKs, plus internal enablement tools that made us more efficient and helped decrease our customer time to value (TTV). For product teams and leaders, the value goes beyond the cool factor: hackathons create space for solving actual business challenges, drive innovation where it matters, and bring teams closer together in the process. If you think your product team is too busy for one, think again.
To do this topic justice, I pulled one of my favourite people, Shawna Stewart. Shawna is the VP of People & Operations at Railz (Acquired by FIS). She brings a proven track record of blending innovative HR practices with strategic business insight. Her focus on cultivating people-first cultures has led to measurable success in employee engagement and development. Shawna's work has been instrumental in key acquisitions at both PostBeyond and Railz (now under FIS). Her ability to align people strategy with business outcomes is what sets her apart as a progressive and forward-thinking leader in today's evolving work landscape.
Let's get straight to Shawna and dive right in.
In a world where agility and creativity are essential to staying ahead, hackathons and innovation days provide an often overlooked path to achieving both. Whether it's a full-fledged hackathon or something simpler, like a hack day or disruptathon, these programs allow teams to step away from their day-to-day tasks and flex their creative muscles to solve existing business challenges. The beauty of hackathons is that they provide space to innovate outside of current revenue streams, while energizing your team in the process. And for those on the frontlines, this can be a powerful opportunity to drive meaningful change.
As a people and operations leader, I've seen firsthand how these events can strengthen team cohesion and foster out-of-the-box thinking that can set you apart in the market. Gamified challenges like these tap into something innate in all of us: the need to be challenged, engaged, and competitive in a healthy way. When done with intention, hackathons don't just inspire creativity—they open doors to innovation that might otherwise stay locked.
Incorporating hackathons without disrupting regular work
It's easy to dismiss hackathons as disruptive or time-consuming, but that doesn't have to be the case. With thoughtful planning, they can fit seamlessly into your team's routine. Spreading the event over a few days, with clear tasks and asynchronous collaboration, can alleviate the pressure of pulling team members away from daily priorities. Leadership buy-in is crucial here—when leadership clearly communicates the value of these exercises and carves out the necessary time for participation, it signals to the entire team that innovation is a priority.
Designating check-in points throughout the process also helps keep the event moving forward, ensuring everyone stays on track without letting the day-to-day suffer. Ultimately, a well-structured hackathon can slot into your routine as a valuable break from the norm that drives real results.
Turning ideas into actionable product improvements
The key to a successful hackathon lies in clarity. Teams need to know exactly what they're solving for. Before you launch a hackathon, establish a few focus areas or "pillars" for the teams to choose from. Whether it's a competitive edge you're after or finding opportunities to amplify product-led growth, this structure gives your team direction.
Hackathons offer the chance for fresh perspectives to shine—your engineers, GTM teams, or customer support staff are often closest to the issues you're trying to solve and may hold the key to unlocking product improvements that leadership might not see. Sometimes, teams just need the platform to share their insights. And if you want to really inspire them, gamify it! Offer a compelling prize, like having their idea fast-tracked for consideration on the product roadmap.
Leadership's role
Encourage creativity without taking over.
For hackathons to truly succeed, leadership involvement is critical—but it's all about balance. Leaders should be present to provide guidance and answer questions without overshadowing the creative process. Hackathons offer a rare opportunity for leaders to step into the world of their frontline teams and see how their minds work, fostering a deeper connection and understanding across the company.
Think of it like a talent show—leadership can play the role of mentor, much like how judges in reality competition show nurture contestants while still letting them own their journey. The goal is to enable creativity, not stifle it. And when teams feel supported, they're more likely to come up with innovative solutions that align with the company's broader strategic goals.
Justifying hackathons amid economic constraints
Some leaders might hesitate to invest time in hackathons, especially when operational and product priorities are tight. But in today's ever-changing market, the ability to think and act with agility is more crucial than ever. Creating space for innovation isn't a distraction—it's an investment in resilience. By allowing teams to experiment, you're equipping them to tackle future challenges with confidence.
It's also important to remember that some of the world's most successful tech companies have embraced this mindset. Google, for instance, has turned many of its internal side projects into multi-million-dollar ventures. If done with intention, these moments of "play" can spark incredible innovation, even during lean times. Leaning into your team's collective intelligence might just uncover solutions to your biggest challenges.
Ensuring follow-through post-hackathon
The success of a hackathon doesn't end with the event. The follow-through is just as crucial as the ideas themselves. Winning ideas should earn a seat at the table, and teams must know that their contributions are valued. If an idea doesn't make it past discovery, it's essential to provide an explanation. This transparency keeps the team engaged and reinforces the message that their input matters.
A well-run hackathon is more than just a creative exercise—it's a way for your team to feel heard and for your product to evolve in ways you hadn't anticipated.
Balancing short-term product needs with long-term innovation
The beauty of hackathons is that they give people room to think beyond the immediate demands of product delivery. By providing a range of focus areas—whether short-term fixes or big-picture goals—you allow different thinkers to contribute in meaningful ways. Some will naturally lean toward solving immediate problems, while others will thrive on visionary thinking.
Ultimately, hackathons should be about the bigger picture. While short-term fixes may already be underway, the real value comes from asking your team to think outside the box and explore how today's product can evolve into tomorrow's market leader.
Closing thoughts
Hackathons aren't just a fun diversion—they're a strategic tool to unlock innovation, creativity, and growth. By incorporating them into your team's routine, you offer your employees a chance to challenge themselves and the business. The ROI isn't just in potential new revenue streams; it's also in the engagement, excitement, and sense of purpose your team feels. In times of economic uncertainty, doubling down on creativity might just be the key to weathering the storm—and thriving on the other side.
🙏 Thank you to Shawna for sharing her insights on how hackathons can fuel product innovation!
You can follow Shawna on LinkedIn or check her website for more details.
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— Sam ✌️
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