OK, don’t come for me, but my calendar does say that there are only 8 weekends left between now and Christmas. Which means there are only 9 left between now and a brand new year.
A new year filled with potential changes in the economy, labor markets, compensation trends and laws. Oh my. While the election may determine how big those changes are, we know that some are inevitable. So without know what they are, what can we do?
Strategic Planning – That’s What.
In case you don’t believe in Strategic Planning, are new to business ownership or leadership, or find it warm and snuggly under rocks, here are a few of my reasons and benefits of having a Strategic Plan for you to think about heading into the end of 2024.
- Direction and Focus – Strategic planning provides a clear direction for the organization. It helps define the mission, vision, and long-term goals, ensuring everyone is on the same page and working towards a common objective.
- Resource Allocation – A solid strategic plan enables effective allocation of resources—whether that’s budget, personnel, or time. This ensures that resources are directed toward initiatives that align with strategic priorities.
- Anticipating Change – The business landscape is always evolving, especially following an election year.
- Employee Engagement – You can use planning time to be intentional with discussions around engaging employees in the new year, and set budgets accordingly.
- Performance Measurement – Strategic planning establishes benchmarks and key performance indicators (KPIs) to measure progress.
And speaking of budgets (we kind of were, right?), let’s talk about merit and COLA for the new year. The Social Security COLA for 2025 has been set at 2.5%, which is down from 2024 (3.2%) and significantly down from the near record highs of 2023 (8.7%). This liklely means that many organizations will stick with this percentage when planning for labor budgets since it is attainable, unlike 2023 when organizations were trying to thread the needle of how they could retain talent while also staying in business and not providing 8.7% across the board.
Do you have questions about Strategic Planning or Compensation Planning for the new year? We would love to chat. Reach out for a no-strings convo and we’ll see if we can support.
And we hope you and your family have a Happy and Safe Thanksgiving holiday. We are grateful for you!