A key result area (KRA) is a strategic factor critical for an organization to achieve its goals. KRAs identify important areas where strong positive results must be realized. Examples of KRAs include customer satisfaction, product management, and operational cost control. Key performance indicators (KPIs) provide leadership with metrics to measure progress towards objectives in the KRAs. Careful attention should be given to defining KRAs, key performance areas (KPAs), and KPIs in strategic planning and performance management.

2. • Key = Crucial/ main
• Result = Outcome/ end/ consequence
• Area = Space/ range

3. •Key = Crucial/ main
•Performance = Achievement/ Attainment
•Area = Space/ range/ field of operation

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5. • A key result area (KRA) is an strategic factor either internal
to the organization or external
• Strong positive results must be realized for the organization
to achieve its strategic goal(s),
• Key result areas are sometimes referred to “critical success
factors” or “key drivers of success.”

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Point to note
• KRA is not the result.
• KRA is the area identified as important or crucial
where a result will assist in the achievement of the
set objectives or goal.
• KRA defines what a job is expected to accomplish.
• KRA’s might fall within the scope of Key
Performance Areas (KPA)

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8. • Key Performance Indicators (KPIs) are high level measures or
metrics
• Give the leadership team an “indication” regarding progress
towards achieving a particular objective.
• Careful attention should be given in defining each of these
core strategic planning and management elements.

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Point to note
•KPA is the overall scope of activities that
an individual on a job role has to perform.
•KPA is not always result focused.
•KPA’s can be inclusive of KRA’s

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EXAMPLE :
PRODUCT
MANAGER

11. Goal –Ensuring deliveryof quality product within schedule.
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PERFORMANCE
APPRAISAL

13. Process Setup
Appraisal Year Setup
Appraisal Cycle Setup
Master KRA, KPI Definition
KRA, KPI Definition &
Mapping
Review Hierarchy Setup
Process Flow

14. •Customer Satisfaction.
•Product Management.
•Operational Cost Control.
•Quality Check.
•. Record keeping.
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•Maintaining good working condition in plant.
•Optimum Resource Utilization.
•Process Improvement.
•Safety and Prevention planning and control.
•Working within the company’s SLA(Service Level
Agreement), GRC(Governance, Risk Management and
Compliance) policies

16. •If you can’t measure it, you can’t
manage it.
•Be so good, that they cant ignore
you.
•When you can’t make them see the
light, make them feel the HEAT.
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17. Presentation by
Sagar Paul
THANK YOU