Successful entrepreneurs do frequent reviews of their metrics, culture, wins, and shortcomings.
Since September we have discussed Business Planning for 2023…
…Most of you have gotten a good start.
Some of you have not!
Now that the last few hectic months of 2022 have officially ended, business owners like yourselves should prioritize reassessing their processes, systems, and goals.
It is easy to get caught up in the excitement of a new year and forget about the importance of planning and preparation. However, it is crucial to conduct a year-end business review if you want to succeed in 2023.
Entrepreneurs like you are more likely to plan the future than evaluate the past.
- But how can you fix something when you don’t know it’s broken?
- How will you celebrate achievements when you don’t realize how significant they are to the big picture?
- If you do not conduct a year-end review of your business, it’s likely you’ll begin the new year with the same troubled systems, processes, and problems.
- Even if you had a great year, you want to grow.
By establishing what did and did not work for you in 2022, your 2023 Business Plan a more powerful plan to support your growth in 2023.
Before conducting your business review, make sure to have an agenda and list of questions prepared to ensure efficiency and effectivity throughout the meeting.
When you begin to look back at the year, it is a good idea to start with the “wins” – or positive accomplishments – that occurred over the last 12 months.
Discuss what went right and determine what precise steps were taken that resulted in achieving the goal; this way, you’ll know where to modify your 2023 game plan.
Preparing For Your year-end Business Review
Once you’ve evaluated the prior year, it is time to do a final review of your 2023 Business Plan. Move forward and adjust goals you have set for the new year, if needed.
Ask your team if they see room for improvement or modifications. Utilize SMART goals that aid in boosting your business’ bottom line.
Be sure to identify potential obstacles that could keep you from achieving these goals and possible solutions to overcome those hurdles so that you are prepared for anything.
Finally, look at your timeline of when you want to complete each goal and see if they need any adjustment Doing so will hold you accountable to finishing necessary tasks.
If you have completed your 2023 Business Plan, SUPER, you can use it to guide your way. If you have not and had a 2022 written plan you can use it as a guideline to ascertain your achievements, delivery of goals, and where you missed the mark
Here’s a guideline for your 2022 year-end review. Customize it to meet your needs to make planning for the new year a snap.
Set your intentions.
Understand exactly what you want as a result of performing this exercise. A year-end review includes separating yourself from the business to access a bird’s-eye view. It’s wise to disconnect yourself emotionally by approaching the process with curiosity, rather than fear and criticism. Set an intention to celebrate the wins and identify opportunities to pivot where necessary. Go into this process with a positive mindset and look forward to your results–because no matter which way it goes, you’re about to make it better.
Make a list of questions.
Being intentional about your process sparks creativity and prevents you and your team from overlooking important pieces of information. Examples include:
- What are my (our) achievements?
- How did they impact our growth?
- What did we learn in 2022 and how did it support our growth?
- What were our biggest disappointments in 2022?
- Did we implement a strategy to pivot or constructively address the disappointments?
- Did we have unexpected expenditures and how can we plan better for next year?
Make your schedule.
A proper year-end review is not done in one afternoon. This is a deep dive into your business, values, and goals. Keeping the pace is important, so schedule time slots in each day during one particular week. Your needs may dictate more or less time. Don’t shortchange yourself; you, your company, customers, and employees deserve this time and attention.
Recognize and celebrate the good stuff.
I am constantly helping entrepreneurs interpret the significance of their achievements. Many tend to focus on the letdowns, which only serves to keep them from success. When you focus on the negative you are subconsciously inviting more of it into your life.
Review all of your achievements and then list the top three. Note any tools and processes you used to achieve them–don’t forget pure talent and your magnetic personality.
Identify your metrics.
What will you use to measure your company’s performance?
Certainly, your financial statements. Other metrics may include sales growth, your website’s Google analytics, conversions, customer retention, new customer growth, employee retention and of course Gross Margin.
Carefully review your metrics and ascertain what contributed to your growth, as well as best practices for further growth. Are there any other tools and resources you can add to your metrics dashboard?
Review your 2022 / 2023 goals.
Identify which goals are worth keeping, which will be eliminated, and how you will redirect your energies to realize your desired outcome. Don’t be hasty in ridding you and your team of worthwhile goals that did not pan out. Instead, look at other avenues you might take to achieve them. Your new list of goals should include the long term and short term.
Review company values and culture.
I always remind entrepreneurs that if you don’t intentionally build a company culture, it will build itself–and you won’t like the results.
Even if you’re flying solo, having well-defined values offers you a roadmap to your success.
What did you do this past year to cultivate a positive culture? What opportunities were missed? How will you be even more intentional about it in the new year?
Follow up with your Scorecard.
Once you’ve completed your review and planning process, schedule a weekly meeting to review your scorecard.
This is a living document, fluid like water. Make changes, note your wins, and continue to celebrate them.
“If you don’t know where you’ve come from, you don’t know where you’re going.” ~Maya Angelou
Be well, do good work, and keep in touch.