Post on 07-Mar-2018
transcript
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Table of Contents
What are KRAs (Key Responsibility Areas)? .................................................................................................. 3
Why do we need them? ................................................................................................................................ 3
How to write SMART KRAs? .......................................................................................................................... 4
SMART KRA Template ................................................................................................................................... 5
Here is an example of a filled-in KRA template ............................................................................................ 6
Step-by-step demo ....................................................................................................................................... 8
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What are KRAs (Key Responsibility Areas)?
KRA is a list of the most important tasks that you do every day to win at the workplace. It’s a
job description on steroids.
A good KRA includes the on-going responsibilities of the position, and the purpose and
benefits of performing those responsibilities.
Tasks and activities that focus on one or more specific areas are grouped together.
Whatever the expected scope of work; must be in writing, reviewed, agreed upon, and signed
by both the employee and the leader. This ensures that there’s no confusion about ownership
of a job, when something isn’t getting done.
Why do we need them?
To get everyone, including emloyees and managers, on the same page
To operate at a higher capacity
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How to write SMART KRAs?
Write down a list of the goals that your company would want to achieve, with help of the
employee, under the Goals(KRA) section
If you plan to follow the BSC (Balanced Score Card) Pattern, then categorize each goal, under
Category Section, into one of the following:
1. Customer
2. Financial
3. Internal Business Process
4. Learning & Growth
Write relevant targets and time frames (if possible) against each job function*, in line with the
tasks and activities required to achieve that goal - under the Definition and Measures Section.
*Ignore those functions, which can’t be measured
“According to a fascinating study, conducted
on the 1979 Harvard MBA program, writing
KRAs nearly DOUBLES an individual’s
efficiency towards attaining their goal.”
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SMART KRA Template
Feel free to use the following template to define your employee’s KRAs.
Goal (KRA) Category Definition and Measures Weight
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Here is an example of a filled-in KRA
template
Goal (KRA) Category Definition and Measures
Improve
Performance of
Sales Executives
Learning &
Growth
To ensure that all sales executives meet/exceed the sales
targets provided to them. Also, to track the performance of the
sales team and guide them consistently to meet sales targets.
Target: US$ 500,000 per quarter for the whole team.
Development of
Sales Action Plans
Customer
To conduct market research, develop sales plans; and update
periodically based on changing market scenarios and insights
from the previous quarters. Also, sales plan must be reported
every quarter to the management team for analysis and
approval.
Target: Review, update, management approvals on a quarterly
basis
Management
Reporting on Sales
Performance
Internal
Business
Process
Create and send accurate monthly reports. The reports should
indicate the following:
Plan vs. achieved
Reasons for any shortfalls
SWOT analysis
Target for the next few month
Target: Reports to be submitted by 7th of every month for the
previous month
Customer
Engagement
Customer
To ensure that customers are happy with our services and their
needs are being met. Also, to meet customers, get their
feedback on a customer feedback form and discuss the insights
at quarterly management meetings.
Target: 3 customer meetings and feedback insights every
month
Create and Submit
Proposals and
Responses to
RFQs
Customer
Reply to request for proposals, tender notices, and price
quotations; in a timely manner. Also, submit documents on
competitive analysis, budgeting, expected closure price and
customer details in a separate customer profile document.
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Target: All Proposals to be submitted for management review
at least 3 days prior to due date
Timely Collections
Finance
To ensure that the customers clear their dues within existing
timelines. Also, work with the accounts to identify any delays
and with the operations to mitigate any issues at the
customer’s end.
Target:
Improvement in cash flow by 7% QoQ
Decrease in receivables by over 60 days by 25% in Q1, 20%
in Q2, 35% in Q3 and 20% in Q4
Adherence to
Company Policy
Internal
Business
Process
To ensure that the company policies are followed by all your
team members. Also, that the following activities are carried
out as per the assigned SLA:
Application for leave and its approval within 3 days
Filling in the travel sheets with approvals from you
Submission of expense reimbursements within 5 days of
completion of travel
Nominations for rewards on quarterly basis
Nominations for training – half yearly basis
Target: As per SLA in the company policy document
Are you an HR Manager looking for help in
creating SMART Goals for your
organization? Learn more by taking
the Goal Setting Tour.
Next, click here to enroll for a FREE TRIAL of
the empxtrack Goal Setting System