The SMART goals framework, which helps ensure the goals your organization sets are specific, measurable, achievable, realistic, and time-bound.ģ. Key Performance Indicators (KPIs), which use leading and lagging indicators to track how you’re performing towards your goals. The Objectives and Key Results (OKR) method, which helps your business set goals using the framework “I will as measured by. The exact goal framework you use will depend on your company, but a few good ones to consider are: It helps to have a consistent framework for goals across the business, to accelerate the goal-setting process and ensure greater understanding of goals within all corners of the organization. Use this for guidance as you construct company- and department-wide goals. Transform your business’s greatest needs into goalsĪfter reflecting on last year’s performance, hone in on the most significant growth and improvement opportunities.

That could mean doubling down on big programs or initiatives born in the last year-or going a different direction entirely.Ī well-built annual plan factors in reflection on what did and didn’t work-and improves off of it.Ģ.

No matter the answer, use these recent data points to steer your decision-making when building your next annual plan. Reflect on previous strategies-and develop new onesīefore your business can start planning for next year, ask yourself, your stakeholders, and your operations teams: How did we perform against the strategies laid out in last year’s annual plan? As you get closer to annual planning time, consider these six steps of the annual planning process. The annual planning process often takes place near the end of the calendar year or at the end of your company’s fiscal year. Clear KPIs and OKRs demonstrate how tangible work connects back to larger business goals. Make sure your goals are measurable, as well. Providing detailed and specific goals gives your employees a clear understanding of what work to prioritize and what deliverables they’re responsible for. The more specific your goal, the more concrete your action plan. Establish concrete goals for a specific time period If you notice that a specific initiative is not on track to meet the strategic goals outlined in your company’s annual plan, you can use this data to pivot and double down on-or divest from-specific initiatives. Doing this throughout the year will not only give you a sense of how your teams are tracking towards their overall goals-it can also help you understand if they’re ahead or behind schedule, and adjust accordingly. Rather, periodically check project progress against your annual plan so you can see how your operations teams are doing. Your annual plan shouldn’t be a set-it-and-forget-it goal. Clear goals establish benchmarks for project progress

Without an overarching plan, it can be difficult to understand how a specific project or initiative moves the business forward. With an annual plan, departments can start the year off with a strong understanding of the overall vision and how their work contributes to larger business goals. It builds a connection between your employees’ goals and work, making it easier for them to generate results-based outcomes and maximize their teams’ impact. Seventy-five percent of successful companies have a formal and pre-established system to inform on and manage their strategy. Annual plans drive clarity and accountabilityĪnnual planning gives your business a needed roadmap or template for the upcoming year.

Annual work plan and budget template