But 2021 planning should be different, eye opening. If it is not then we are missing a trick.
I am privileged to work with many consumer brand companies. We learn constantly and I am asked what others are doing. Along with WFH practices, covid-19 brought cost reductions. Not fun, but understandable. 1 by 1 the taps had to be turned off.
In previous years, usually, budgeting was about having all the taps on & tweaking the % to get a better mix v previous year.
My point. No one should plan for 2021, by referring to 2020 budget. It’s the perfect time for a reset. Ask these questions:-
1. Which taps did we turn off first? Why? [Lowest priority].
2. Which taps did we not turn off, or turn off last? Why? [Highest priority].
3. Use 2020 experience to re-focus. Which taps should we turn back on first? When? How much? Which ones next? Build back up from there.
Some taps might not need to be turned on again. The outcome will be a better planned investment budget, more aligned to the core business than in previous years.
Feel free to agree or disagree below. . .
Good luck & stay safe!
This is a LinkedIn post originally posted in October 2020