How do you set KPI and KRAs?

How do you set KPI and KRAs?

Make a list of all critical functions. Write a self explanatory (1 sentence ) definition of each Goal (KRA). If you plan to follow BSC (Balanced Score Card) Pattern, then categorize each goal into one of the following categories: Customer, Financial, Internal Business Process, Learning and Growth.

What is a KRA format?

KRA stands for Key Responsibility Areas and directly follow from Job Description of an employee. KRAs document the specific areas in which an employee is expected to work. This post shares a simple approach to write goals for employees by using KRAs and KPIs and can be used by employees, managers and HR.

What is key result areas KRAs?

Definition: Key result areas or KRAs refer to the general metrics or parameters which the organisation has fixed for a specific role. Description: Key result areas (KRAs) broadly define the job profile for the employee and enable them to have better clarity of their role.

What is the difference between JD and KRA?

KRA’s are activities which are measurable and linked with Performance Appraisals 2. JD can be used to define the duties and responsibilities of that particular job. 3. KRAs are changeable after reviews 3.

What is key result area examples?

Key result areas are specific, clear and quantifiable. For example, ‘ensuring the growth of an organisation’ does not fall in the list of a department’s KRAs, but ‘customer acquisition’ does. Key result areas should be affected by the actions of the people they are outlined for.

What is KRA and KPI example?

For instance, the percentage of increment in the profit for a business, the pass-fail ratio of a school are all KPIs. The customer base, revenue, profits, employee attrition, are all examples of KRAs of a business.

What is a KRA vs KPI?

Difference Between KPI and KRA While KPIs focus on the performance metrics of the entire organization and employees, KRAs focus on the key activities and responsibilities of the employees and teams.

What is the difference between KPA and KPI?

What is the difference between KPAs and KPIs? Based upon an agreed measurement, Key Process Indicators (KPIs) are used for each Key Process Area (KPA) to determine where the organization ranks. Mostly, an aggregation of all the KPIs for a particular KPA determines the final KPA measurement and status.

How to set Kra for the employees?

Firstly start with the GOAL SETTING EXERCISE. KRA would depend on Designation and Competency. Also you will have to define a weightage for different competency and balance them according to the importance of each competency. Review frequency should be a part of KRA too You will also have to decide on Weightage Breakup.

What does Kra stand for in Business category?

KRA stands for Key Responsibility Areas. These directly follow from job description of a person and represents the areas in which he or she is expected to perform. Often Managers face difficulty in creating Goals (Key Responsibility Areas or KRAs) for their team members or company.

Do you have to put your KRAS in writing?

Put It in Writing: KRAs must be in writing, reviewed by all relevant parties, agreed upon, and signed by people involved — especially when the KRAs involve an employee’s role. The written format for KRAs can be relatively simple.

What’s the difference between a KPI and a Kra?

While used interchangeably (and incorrectly), there is often a confusion between the terms KRA (Key Responsibility Areas), KPI (Key Performance Indicators) and Goals. Let us define these first. Key Responsibility Area (KRA): Each employee has responsibilities based on their job role.

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