Annual Planning artwork
The Happy Leader

Annual Planning

  • S1E21
  • 17:48
  • October 29th 2024

Annual planning is a critical step in ensuring the success of your business and your effectiveness as a leader. It acts as the North Star that provides direction for the upcoming year, aligning your team’s efforts with the company's overarching goals. Without it, you risk disorganization, inefficient resource allocation, and missed opportunities. By setting clear goals, allocating resources wisely, and outlining strategic priorities, annual planning helps to streamline operations and keep everyone focused on what matters most. For leaders, it’s an opportunity to reflect on past successes and failures, improve team collaboration, and establish a clear vision for the future.

This week I tell the story of a Silicon Valley company where I played a key role in guiding the annual planning process. Before implementing annual planning, the company was struggling with misaligned departments, frequent conflict, and wasted resources. By helping the leadership team introduce an effective annual planning structure, I was able to guide them toward greater alignment and efficiency. Over the course of two years, their annual planning process transformed the company. Collaboration improved, goals were clearly defined, and revenue grew as a direct result of this structured approach.

Key Questions Discussed In the Podcast

  • How can annual planning help align your team and improve efficiency?
  • What are the key steps to creating an effective annual plan for your business?
  • How can leaders ensure their annual plan remains flexible and adaptable throughout the year?

Resources:

·        Articles

Performance through People, Transforming Human Capital into Competitive Advantage - by, McKinsey Global Institute, February 2023.

 Annual Planning: Is it Worth It? - by Mykola Tymkiv


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