Your Annual Planning Guide

Annual planning time is here (you're not too late...most of our clients hold their annual planning between October and February).  It's essential for driving business growth, fostering team health, and setting a clear direction for the coming year. This guide will walk you through what to cover in your annual planning session and provide actionable tips to ensure your meeting is a success.

What to Cover

To make your annual planning session productive, ensure it includes the following areas:

1. Where We’ve Been

• Review the past quarter and year.

• Celebrate wins and identify lessons learned.

• Analyze financial performance, project completions, and other key metrics.

2. Where Are We Now

• Conduct a comprehensive company assessment.

• Evaluate your current market position, team dynamics, and operational effectiveness.

3. Where Are We Going

• Identify growth opportunities and set a clear vision for the future.  Weigh-in equals buy-in.

• Discuss potential new markets, product lines, offerings, or initiatives.

4. Long-Term and Short-Term Planning

• Establish goals for the next quarter, year, and beyond.

• Create actionable plans that align with your vision.

5. Problem-Solving

• Address significant challenges or roadblocks.  Think strategic here.

• Engage the team in brainstorming and finding solutions.

6. Who Owns What

• Clarify roles and responsibilities.

• Assign ownership for each goal or initiative to ensure accountability.

7. Team Health

• Focus on building trust, communication, and collaboration.

• Engage in team-building exercises to strengthen relationships and alignment.

Tips for the Meeting

Annual planning is not just about setting goals—it’s about preparing your team to execute effectively. Here are some tips to help you get the most out of your session:

1. Plan to Plan

Decide when to hold your annual planning session. Some teams prefer late in the year to energize for the next year, while others choose the third quarter to align budgeting with planning. If Q4 is busy, consider scheduling it at the start of the new year.

2. Don’t Rush It

Allocate two days for the session:

• Day 1: Focus on high-level vision and team health.

• Day 2: Dive into the details and set actionable goals (Rocks) for the next 90 days.

3. Go Offsite

A change of scenery helps minimize distractions and fosters creativity. Choose a venue with ample space and whiteboards for brainstorming.

4. Stay Overnight and Have Dinner

Treat the session like a retreat. Sharing meals and staying in the same location builds camaraderie and allows informal discussions to flow naturally.

5. Know Your Numbers

Be prepared to set financial goals and draft budgets. Teams meeting later in the year may have a budget draft ready, while those meeting earlier can use projections as a starting point.

6. Be Vulnerable

Building trust is crucial. Encourage open, honest conversations without resorting to cliché team-building activities. Teams with strong trust move faster and achieve more.

7. Have a Good Time

Reward your team for their hard work. Consider incorporating fun activities or choosing a memorable location. This not only motivates your team but also makes future planning sessions something to look forward to.

Conclusion

After a successful annual planning session, it’s time to execute your plan. Stay focused on your goals, track progress, and adjust as needed (using quarterly planning meetings). Here’s to crushing your yearly goals and achieving your vision!

Ryan Giles