Everything about making an annual plan and annual planning:: your strategy on a single page

Why Your Organization Needs a Strong Annual Plan

Do you struggle as an organization to make your ambitions and goals for the coming year concrete and structured? You’re not alone. Many organizations end up with plans that gather dust simply because the annual plan isn’t well-structured or is put in the wrong format. Yet an annual plan forms the foundation for growth and focus. By choosing the right annual planner and structuring its components logically, you ensure your plans don’t get forgotten but are actually carried out.

In this article, you’ll discover step by step how to create an effective annual plan, how to combine it with a clear annual planning, and why formats like the OGSM annual plan help you stay on course. You’ll also find practical tips, free templates, and directly applicable examples.

Research from MKB Servicedesk shows that organizations with a well-thought-out annual plan perform demonstrably better:

• They adjust more often and faster based on agreements and figures

• Teams know exactly where to focus their priorities

• They achieve their strategic goals far more often

In addition, Dutch SMEs see up to 20% more employee engagement when staff are involved in shaping the annual plan. Writing a strong annual plan also creates more transparency toward investors, customers, and suppliers. Whether you’re in healthcare, education, or production: an annual plan helps to structurally capture innovations and growth plans.

What’s more, the chance of successfully achieving your strategic goals doubles when you steer and report quarterly on the agreed parts of the annual plan.

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Annual Plan vs. Annual Planning: How They Complement Each Other

An annual plan and an annual planning may sound the same, but they actually complement each other perfectly. The annual plan describes your mission, goals, and strategies at a high level: what do you want to achieve and why? The annual planning translates this into practice: which actions are carried out each month or quarter, who is responsible, and how do you measure progress?

Together they form the roadmap from vision to action. A strong annual plan without planning often remains unused. An annual planning without clear goals creates busyness without direction. The combination ensures your team works with focus and purpose.

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What Elements Should Your Annual Plan Include?

As an organization, you know how important a clear annual plan is, but it can be difficult to determine what exactly should go in. You want to avoid leaving out essential elements that could block success. Here are the most important components every complete annual plan should include:

• Core values: the principles that guide your policies and decisions

• Mission & Vision: what do you stand for, and what is your long-term dream?

• (Long-term) goal: for example, a BHAG (Big Hairy Audacious Goal) with a 5–10 year horizon

• SWOT analysis: insight into strengths, weaknesses, opportunities, and threats

• SMART annual goals: Specific, Measurable, Acceptable, Realistic, Time-bound

• Financial budget: available resources, revenue projections, investments, margins

• Annual planning: overview of activities per quarter or month

• KPIs: critical performance indicators to measure progress

• Action and accountability structure: who does what, when, and how is this reported?

An effective annual plan often also adds a communication plan: how you update external and internal stakeholders about progress and successes.

Want to get started right away? Check out our OGSM template for a practical one-page annual plan.

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Which Annual Plan Fits Best With Your Organization?

As an organization, you want to gain grip on your plans quickly and clearly. You probably recognize this: complex annual plans are time-consuming and make it hard to stay focused. That’s why a simple, structured format is essential, especially for small businesses.

The most widely used format is the compact OGSM model. This clear plan fits on a single page, keeping everything transparent and easy to present. A traditional annual plan might include, for example:

• Mission/Vision

• Top 3 annual goals

• Main actions per goal

• Budget and KPIs

• Monthly or quarterly overview

Want to get started with a simple annual plan? Download free OGSM templates or Excel examples. Keep your annual planner practical so you can adjust easily during the year.

The OGSM annual plan (Objectives, Goals, Strategies, Measures) is rapidly gaining popularity as the best format for a simple annual plan in SMEs, thanks to its clarity and practical usability.

Why Choose the OGSM Annual Plan?

• Clarity and simplicity: everything on one page

• Easy to share and understand for your team

• Always the same clear structure, so progress is easy to measure

• Speeds up execution and makes adjustment easy

• User-friendly for any size of organization

Organizations say this method not only helps them set goals, but also monitor and adjust them effectively. Because the OGSM annual plan is visual, it stays top of mind every day—leading to more than 50% better follow-up on actions. That’s why big names like Coca-Cola and Pfizer, as well as scale-ups and SMEs, trust OGSM as the standard for annual planning. See also our page on annual planning examples.

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Do You Want an Annual Plan That Really Works? Discover the Difference Between a Standard Format and the OGSM Model

Do your annual plans often end up unused because they’re too extensive and unclear? You’re not alone. Many organizations struggle with standard plans full of analysis and long text, making goals disappear into a drawer.

The biggest difference between a standard annual plan and an OGSM annual plan lies in structure and usability. Standard plans are full of lengthy explanations, while OGSM focuses on the essentials: clear objectives, concrete actions, and measurable results—presented visually on one page. That’s why more and more organizations choose a simple annual plan that doesn’t get lost.

With OGSM, you experience less paperwork, more ownership, and faster achievement of goals. While standard plans often remain stuck in thick documents, OGSM stimulates continuous evaluation and adjustment.

Want to get started? Check out our annual plan examples and formats.

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Step by Step: How to Write an Effective Annual Plan

Want to create an annual plan that really works but don’t know where to begin? You’re not the only one. It can be tricky to get a clear overview, set sharp goals, and ensure your team joins in. With the right approach, you can write a plan that drives your company forward:

1. Look back: what went well and what didn’t?

2. Formulate one or two long-term objectives

3. Perform a SWOT analysis

4. Set SMART annual goals

5. Develop these into a clear budget and planning

6. Define KPIs to measure progress

7. Assign responsibilities explicitly

8. Communicate the plan actively to your team

9. Schedule evaluations (e.g., quarterly)

Following these steps ensures your annual plan is complete and effective. Want extra clarity? Consider working with an external facilitator.

Optimize Your Annual Plan: Here’s How

Do you recognize that your annual plan sometimes lags behind reality? That progress isn’t always clear, or it’s hard to see which actions really work? Optimizing your annual plan helps you stay sharp and achieve results. This way you keep control over your goals and respond faster to changes.

• Review your KPIs at least every quarter

• Adjust actions as soon as your market or organization changes

• Use dashboards or digital project tools for real-time insights

• Assign every action a clear owner who is accountable

Want to take your annual planning to the next level? Get in touch with us.

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How to Create an Effective Annual Plan as a Manager

As a manager, you want your team to stay sharp and achieve concrete goals together. But how do you prevent plans from ending up in a drawer and never being executed? A structured annual plan makes the difference. The essentials include:

• A clear mission and compass for the team

• Straightforward strategies and concrete actions

• A transparent division of responsibilities

• Visual progress reports (using OGSM or dashboards)

• Regular evaluations to measure and adjust results

Your key role as a manager is to ensure practical structure, link goals to actions, and communicate progress consistently. This way, your annual plan isn’t just a document, but a living guide that drives execution.

‍Writing an Effective Annual Plan with Support

Does creating an annual plan feel overwhelming? You’re not alone. Many organizations seek guidance to structure their thinking and sharpen their goals. Fortunately, there are several options to help you:

• Use free example plans and downloads (see further down this page)

• Follow workshops or get tailored support from experts

• Leverage software that provides both structure and guidance

• Work with a consultant for faster results, sharper choices, and stronger alignment

External guidance adds structure, offers best practices, and ensures buy-in. The result: a realistic plan with clear metrics, ownership, and stronger execution.

Discover the Best Format for Your Annual Plan

Are you searching for a clear and practical plan that really works? Many organizations get stuck in lengthy, complex documents that waste time and reduce focus. A better solution: the OGSM annual plan.

OGSM puts your objectives, strategies, and measures on a single page. No wasted time on endless reports, just clarity and structure. It’s the proven method to plan with confidence and deliver better results. Looking for inspiration? See our annual plan example.

How to Keep Your Annual Plan Alive

You’ve created a plan, but how do you prevent it from collecting dust? Execution is often harder than writing the plan itself. Common pitfalls include lost focus, weak follow-up, and no clear accountability. The solution:

• Use a visual, one-page OGSM-based planner

• Schedule quarterly reviews and check-ins

• Involve employees in creating and updating the plan

• Assign clear responsibilities

• Distinguish priorities from distractions

Research shows that visual structure and regular reviews are the best way to ensure annual plans are actually executed.

Recognize These Common Pitfalls?

Many organizations face the same challenges without realizing it:

• Vague goals that are hard to measure

• Too many priorities competing for attention

• Plans not embedded in daily processes

• Lack of consistent feedback and progress updates

To avoid this, stick to three to five clear goals, hold quarterly reviews, and use OGSM or dashboards for visibility. This ensures your annual plan stays alive and drives real progress.

No Clear Focus in Your Annual Plan? Here’s What to Do

Do you find your plan overloaded with goals, making it hard to achieve real results? Without clear priorities, organizations drift from one activity to another. Focus is the key.

• Limit yourself to a maximum of five goals

• Be strict in setting priorities

• Use OGSM or a one-page plan to stay concise

• Assign tasks and responsibilities early

• Schedule quarterly check-ins to adjust as needed

Small, realistic goals combined with frequent reviews build momentum. Let OGSM be your compass for focus and execution.

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Conclusion: Achieve More with OGSM

The key to success is not just creating a plan, but executing it. A simple, flexible format works best — and the OGSM model is proven to be the most effective. It’s compact, visual, and easy to update, helping you monitor progress and deliver results faster.

Still not sure? Download a free OGSM template and experience how this method brings structure, control, and measurable impact to your strategy.

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Frequently Asked Questions About Your Annual Planning and Annual Plan

You know how important a good annual plan is, but you may still have questions. Which elements really need to be included? Which format works best for your small business? And how do you make sure your plan doesn’t end up forgotten in a drawer? Below you’ll find answers to the most common questions, so you can approach your annual planning in a simple and effective way.

Which elements belong in a complete annual plan?

Think of core values, mission/vision, goals, SWOT analysis, budget, planning, KPIs, an action list, and a responsibility structure.

Which annual plan format is most suitable for small businesses?

For SMEs and small organizations, an OGSM annual plan on one A4 or a simple Excel template with goals, actions, and KPIs works best.

What are the benefits of an OGSM annual plan for my organization?

You gain more focus, execute plans faster, have better insight into progress and ownership, increase the chance of achieving goals, and share it more easily with your team.

How can I request a quote for a tailor-made annual planner?

Get in touch with us or download a free OGSM annual plan template that you can adapt yourself.‍

What are the differences between a traditional annual plan and an OGSM annual plan?

OGSM is short, powerful, visual, and directly applicable, while a traditional annual plan is often more extensive and sometimes harder to manage.

How can I optimize my existing annual plan?

Restructure your goals and actions using the OGSM model, schedule quarterly reviews, and use dashboards for better monitoring.

How do I make sure my annual plan doesn’t get forgotten?

Use a visual annual planner, assign actions to specific people, and discuss progress at least once per quarter.