Why Strategic Planning in December Is a Bad Idea

Many CEOs approach year-end with a flurry of strategic activities, cramming reflection and planning into a single offsite. While it may seem practical, this approach often leads to diluted outcomes. Separating strategic reflection and strategic planning—conducting the former in December and the latter in January—can significantly improve the quality of both processes and set your business up for a stronger year ahead.

The Problem with Combining Reflection and Planning

Strategic reflection and strategic planning require entirely different mindsets:

1. Strategic Reflection
   This process is all about looking back. It’s an opportunity to evaluate your business’s performance, review the data, and draw out lessons from the past year. It’s analytical, introspective, and grounded in the realities of what happened.
2. Strategic Planning
   Planning, on the other hand, is forward-looking. It’s about envisioning the future you want for your business—your goals, vision, and objectives—and working backwards to identify the steps required to get there. It’s aspirational and creative.

When these two activities are lumped together, the natural tendency is to let the past dictate the future. You end up projecting from what has been achieved rather than thinking boldly about what could be possible. This limits your ability to innovate and truly plan for growth.

Why December and January Are Better Separated

Timing matters when it comes to strategic work. Here’s why it’s best to handle these processes separately:

December: Strategic Reflection
December is a natural time to reflect. Businesses are winding down, people are exhausted, and teams are looking forward to a well-deserved break. Use this time to:

• Celebrate successes.
• Recognise team achievements.
• Review the year’s performance and key lessons.

By dedicating this period solely to reflection, you avoid the pressure to immediately translate learnings into action plans. This allows for a deeper, more thoughtful analysis of the year gone by.

‍January: Strategic Planning
After the holiday season, you and your team return refreshed and recharged. This is the ideal moment to:

• Revisit your vision and define goals for the new year.
• Develop a detailed, forward-looking plan with clarity and energy.
• Leverage the ideas and insights that often surface during a break from work.

Separating these activities ensures that your strategic planning benefits from the mental space and renewed motivation that come with starting a new year.

The Risks of Planning in December

Rushing to complete your strategic planning in December poses several risks:

• Exhaustion: By year-end, most people are fatigued, which can lead to subpar decision-making.
• Tick-Box Mentality: Planning becomes more about getting it done than doing it well.
• Lost Momentum: Any plans made in December will often need to be revisited and re-aligned in January, wasting valuable time and energy.

The Benefits of Separation

By splitting reflection and planning, you unlock several advantages:

1. Focused Reflection: In December, you can reflect deeply on the past year, gaining clear insights without the distraction of future planning.
2. Mental Space: Over the holidays, ideas can simmer in the background, allowing for more creative thinking when planning starts.
3. Energised Planning: Tackling strategic planning in January ensures your team is fresh, motivated, and ready to hit the ground running.

Balancing Reflection and Celebration

Year-end is also a time to celebrate achievements and thank your team. By separating reflection and planning, you can:

• Reflect on the year in a way that complements the celebratory mood.
• Provide meaningful feedback to your team about their contributions.
• Share results and lessons in a way that resonates with your team without diluting the festive atmosphere.

This balance ensures your year-end activities are purposeful and enjoyable, while also laying the groundwork for a productive start to the new year.

In Conclusion

Strategic planning in December is a bad idea—not because it’s unnecessary, but because it often doesn’t produce the outcomes you need. By dedicating December to reflection and January to planning, you set yourself and your business up for success. You’ll close the year with clarity about where you’ve been and begin the next one with renewed focus on where you’re going.

Does this resonate with you? If so, then download our free Strategic Reflection toolkit here so you can finish the year strong and enjoy an unplugged holiday.