It’s about the past, not the future.
The purpose of an annual report is to focus primarily on the previous 12 month’s operations, not to write about what might happen in the next 12 months.
Be clear in the manner in which you write
Who are you writing for? Who are the stakeholders? Writing in a style that your target audience will understand is paramount to communicating well.
When writing, KEEP IT SIMPLE using everyday language and avoiding jargon, buzzwords, acronyms and grandiose words and phrases at all costs – especially if you’ve got multiple audiences. Write to inform, not to impress.
Less is best
As a general rule, people want to find information quickly and have limited attention spans, so don’t bog them down with unnecessarily lengthy reports that can frustrate and kill the reader’s interest to read on.
Keep your sentences short and if you can say it in one sentence rather than five, do so.
What to write?
Describe your purpose, history, annual goals & objectives, the strategies employed to achieve them, and the successful outcomes or otherwise.
Detail your organisational structure, members of the Board, governance procedures, and full financial accounting for the year.
The inclusion of graphs showing income and productivity increases or losses over the previous five years can be helpful as it establishes a context in which to review the annual report.
Don’t personalise it
Annual reports are not platforms to name individual rank & file staff members who worked on successful operations over the previous year.
If you name one staff member, then you have to name every staff member, which can fly in the face of succinct communications and comprehension of message.
If you really want to name and acknowledge staff members for their hard work and loyalty, do it in the internal staff publication where the reader will know who you’re talking about.
Keep it interesting
It is pointless spending time and money on producing an annual report that nobody reads, so keep it interesting by giving it a theme that can be carried through the entire publication.
Visualise the theme on the front cover to entice people to pick it up, and continue the theme visualisation throughout the publication for context and consistency.
By the way
Lengthy and expensive looking annual reports have the capacity of alienating shareholders, stakeholders, and the general public who can interpret them as bombastic and wasteful.