One of my friend (My Flatmate) has joined in a organisation as a New Employee. The five day later when he joined the the Organisation, People were discussing in some codes. He was simply confused, why suddenly people in the organization were talking New Terminologies which confused me and we were discussing and searching the same in the dictionery.
His friend was too happy, he called us for a dinner. Then we came to know that the Appraisal has been given to the employee of the Organisation. We started discussing how does they calculate the Appraisal, Two Words Poped out from everyone is the word “the Performance”
Performance!!! What is Performance and How they calculate???
A big question arises from him as he is new to working culture. We started discussing about the same.
While my UPSC Prepration I came to know a Psychologist and the Researcher who works on the Perfomance Improvement.
A Brief Note on it
Till 1900’s the correlation between the Employee Satisfaction and the Productivity were not established. The thought process were different. By 1920’s, Elton Mayo, a Psychologist and an Industrial Researcher in his research he correlated the relationship between the Productivity and the Work Environment. He in his research, researched on various factors viz., Personal Attention, Motivation, Characteristics of Every employee, Softside and more.
This research has a proven fact which was accepted and promoted by the then Government, in turn by 1950, there was ACT “The Performance Rating Act and Incentive Awards Act” came in to existence.
After a series of Improvement, the term “Performance Management” Came in to Existence in the year 2000 which was coined by “Aubrey Daniels”.
The conversation among my friend and myself continuous,
I was talking to him about the Elton Mayo research, He stopped me and said “Its Enough”, come to the point. I said okay we will discuss about the Factors.
Lets discuss what are the Important Factors for the Performance
Performance Management is complicated because evaluating a Employee Performance is challenging. Few things has to be noted while reviewing an employee’s performance and providing feedback. To have a exact Reviewing mechanism the terms “KRA” and “KPI” which helped the managers to measure the employees performance.
Hey Hey.. Stop Stop.. what is that KRA and KPI? My friend Asked.
KRA or Key Responsibility Area
KRA are based on the Job description in which a employee is employed or expected to perform the assigned task. Employees are responsible for Specific KRAs assigned to them. In easiest way it can be called as “Larger Goal”.
For Example: iI you are a Web Designer, your KRA would be to design a “Good Interactive Website” and makes the client Happy.
KPI or Key Performance Indicator
The term KPI indicates the Performance plays an important role. This mean that the employee Performance will be measured based on the result shown by him. This result should align to his KRA. KPIs are exactly measured.
For Example: You are a web designer, You need to design the webpage as the webpage that loads easily and quickly.
After a discussion on the indicators, He said why dont I try to write a KRA and KPI.
I said okay come-on.. Lets write…
Points to be noted while writing KRAs
- KRA is based on the Job description – first go through the JD thoroughly. If any doubt discuss with your manger.
- Understand your Job Description and what you suppose to achieve / Contribute to the Organisation’s growth and progress.
- Remember all the critical responsibilities that you need to carry out during the job, that includes target numbers and other.
- Goals has to be set based on the responsibility and it should be self-explanatory.
- Goals should be realistic and measurable that the targets are achieved with in the time-frame that are set by you.
Points to be noted while writing KPIs
- KPI are the part of KRAs. Based on the KRA in action, you can get a Measurable KPI.
- If you have a larger Goal, it can be achieve easily by dividing it into a many smaller goal which will contribute to achieve you KRA.
- The smaller Goals are KPIs.
Thus KPI always depends upon your KRAs.
After the discussion, I added up…
“Either you follow-up or you fold-up” –
Timely reviews always help you to improve your performance. Shorter Reviews which will keep focus on your performance. Try getting the feedback from your colleagues and your Managers which will help you to focus on your Goals.
Most of the Organization has some performance Management system which automate the process. The customization options are available. These tools are mostly internally developed by the Organization. These tools will provide you with feedback and generate the reports with the pictorial representation.
Pic Courtesy: Google