KRA & KPI of Employees
Key Responsibility Area (KRA) defines the role of an employee. It describes the key roles and responsibilities associated with a job profile. It is well-defined and easy to measure, helping employees focus on their job roles and perform better.
What do you mean by KRA?
KRA is a detailed summary of what an employee is expected to work on. These are essential responsibilities required to achieve the company’s targets. It provides a comprehensive description of what employees should do, how they should do it, and how their performance will be measured.
KRAs help employees gain clarity about their roles and responsibilities and provide a clear direction for their work. These are aligned with job descriptions and define expected outcomes based on specific goals assigned to each position.
Benefits of KRA
- Linking of each job role to business strategy
- Top-down strategy deployment
- Periodic evaluation of outcomes
- Fair and timely completion of performance reviews
- Employee hiring based on organizational needs
What is KPI?
Key Performance Indicators (KPI) are measurable metrics used by organizations to evaluate employees’ performance and suggest improvements.
Organizations assign specific tasks to employees at the beginning of an evaluation period. KPI helps measure how effectively those tasks are completed. It enables management to assess employee contributions toward overall organizational goals and take corrective actions if necessary.
Benefits of KPI
- KPIs are high-level performance measurement metrics
- Provide leadership with an indication of progress toward objectives
Steps to Prepare KPI
- Check overall goals
- Analyze current performance
- Review business objectives
