Five ways to work out a new set of KRAs

By | 21st April, 2012

Just when many have let out a collective sigh of relief at appraisals being over, a new set of key result areas (KRAs) needs to be cleared.

Firms have made their variable component higher and the criteria more rigorous, so nothing short of achieving them completely would ensure a good take home at the end of the stipulated period.

However, there are ways to make the goals look simpler and attainable for a smoother year ahead.

Do a fish bone analysis:
Once targets have been given, an executive should develop the flowchart of programmers to develop, training to receive or give, and parameters that will help him or her reach the desired goal.

Called the fish bone analysis, the employee will then have to talk to different departments which will support him. “Business metrics have to be defined and converted into quantifiable metrics and linked to the final goal.

It should be in cause-and-effect terms,” says Rajesh AR, head of employment services division of Manipal Education.

Draw up an action plan:
The boss should be consulted on stages that need to be reached to achieve the KRAs. “Chalk out a detailed performance action sheet,” says SM Gupta, HR head of Bangalore-based ITeS firm Aegis.

With each KRA there should be a ‘smart principle’ where goals are broken down. The manager must ensure the status is checked regularly, while the executive has to list daily, monthly, quarterly, half-yearly tasks.

Prioritize targets:
A list will help the executive chart out areas that require immediate attention, training, or assistance from other teams. There will also be the long-stretched goals, which the employee should deal with separately.

Start with clear goals:
To make goals more achievable, the supervisor has to give a set of tangible goals.

So if he wants sales to increase, then he has to hire employees, add distribution centres etc, and not follow a feel-good syndrome during performance review, says K A Sudarshan, co-founder of EMA Partners in India.

Bring HR to the table:
KRAs can be made more tangible if there is a discussion between the HR and business heads on the goals of the financial year and how they are important in improving organizational performance, says Srinivas Nanduri, partner board & leadership hiring, Maxima Global Executive Search.

Once these goals are clear, the individual can make KRAs fit into the overall milestones.

Article Courtesy – Economic Times