As we approach the end of summer, the vast majority of companies operating on a fiscal year beginning January 1st are entering budget planning for the next year. Employer Branding teams will submit ambitious budgets to mirror the tall task of competing for top-level talent in our digital, always-on era.

Inevitably, fall arrives, and with it comes the second round of budget requests. The number submitted by most Employer Branding teams comes back sharply lower, and difficult choices have to be made about the team’s staffing plan, tools to utilize, third-party support, and so on. The reality is that the budget number is sharply lower because the executive team isn’t connecting the proposed plan to the business outcomes that take priority.

Over the past two decades, I’ve had hundreds of conversations with leaders in our space. It’s routine to hear that budgets are being cut, but it doesn’t always mean every department’s budgets are being cut at the level of Employer Branding. And in most of these conversations, I’ve asked Employer Branding leaders what their top priorities are. The unfortunate truth is that the answer is almost always tactical:

• “We need to refresh our careers site.”
  • “Why?”
    • “Because the candidate experience is poor, and we have a steep drop-off.”
    • “Because we need to create a stronger inbound engine to attract candidates.”
    • “Because we need a streamlined application process.”

These are all viable answers, though they are definitely tactical. The path to securing the budget you seek to build your team, secure vital tools, and do the work you know makes a difference is built on fully understanding the business objectives of your company and executives, which goes beyond the day-to-day tactics in our field.

While many companies and their executives will do a good job of cascading their priorities, the reality is that you will need to do some digging of your own to gain a strong understanding of what’s important. Some great places to start your research are:

• Read your company’s latest annual and quarterly reports posted on your Investor Relations page (if public).
• Search for the latest company news on third-party websites, and set up alerts so that you are always freshly informed.
• Follow and read social posts from your executive team and/or investors.
• Download your organizational chart so that you fully understand who is influencing decisions.
• Ask your boss, and/or your boss’s boss to share what they know about top priorities if they haven’t already.
• Ask in an “AMA” or other company communication channels.

Once you find the vital sources of information, you can ask a consistent set of questions to determine how you can position your budget proposal for success. 
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Questions you should be asking to secure next year’s budget:

1. What are the primary objectives (OKRs) of the company in the next fiscal year?
2. What strategies has the company laid out for increasing revenue?
3. What are the biggest risk factors to the business in the next fiscal year?
4. How is progress being measured (KPIs) for the top initiatives in the company?
5. What happens if we do not achieve these objectives as a company?

Understanding the answers to these questions will transform the narrative of your budget request into a strategic annual operating plan. Let’s look at the “careers site” example above in a new lens with the above questions answered:

• “The top priority the next fiscal year is to create a highly engaging careers site experience.”
  • “Why?”
    • “We will save money for the company by reducing spend on job boards and staffing agencies by attracting candidates directly to our own website.”
    • “We will create more efficiency for the company by having a higher employee retention rate, which means recruiting fewer new employees and keeping our knowledge base in-house.”
    • “We will reduce risk to the company by having a website that is compliant in our high-growth international markets, while creating an engaging glocalized experience.”

The majority of executives in an organization are ultimately going to fund projects that will achieve one or more of the following goals: Grow Revenue, Gain Efficiency, and Reduce Risk. By understanding the initiatives your executives care most about, and how they impact these three areas, you can compose a budget proposal that will have a higher probability of being approved. 

If your budget proposal is highly tactical, you’re more likely going to have to “do more with less” and not be perceived as a high priority. Which we know isn’t the case because, without people, businesses fail. 

Composing an employer brand budget proposal, and looking for free coaching? Book an appointment, and let’s discuss!