Dinesh Divekar
Business Mentor, Consultant And Trainer

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Requesting Members to share their experience on a) success rate in implementing KPI or KRA and b) if the success rate is /was not to the desired extent what are the suggestions for successful implementation.
r. s. patwardhan

Dear Mr RS Patwardhan,

Your query needs elaboration. Do you have formal Performance Management System (PMS) well in place? If yes, then have you studied systems and processes for each department and then designed the KPIs? Have you identified the direct and indirect costs associated with each department and then designed KPIs? Have you trained your staffs on PMS? Are they capable to understand the difference between KPI and KRA? Are they capable of making their own KRAs?

Neither you have written your designation, why you are raising this query etc. You could have given little background information. You have raised two queries. The paragraph-wise replies are as below:

a) success rate in implementing KPI or KRA and

Comments: - Do you mean to say that the KRAs are identified and targets are given to the employees but their success in attaining the KRA? Score in attainment of KRA will always vary. If everybody attains the score above 85-90% then it may mean that the targets are too low. Those who are unable to go beyond 60-65% then it may mean that the targets are too stiff or the targets are reasonable but staffs are incapable of attaining them.

The another interpretation of your statement is that you have identified 'X' number KRAs for each department but then you are unable to implement those KRAs because the staffs are incapable or you do not have belief on the staffs on the attainment.

Which interpretation is correct? First one or second one?

b) if the success rate is /was not to the desired extent what are the suggestions for successful implementation.

Comments: - The reply to this query will depend on your clarification for (a) above.

Final comments: - Success in attainment of KRAs depend on various factors like right recruitment, staff training, support by the managers to their staffs, managerial involvement, availability of the supporting infrastructure for the job, availability of adequate tools to execute the job, staff motivation, quality of leadership at top etc.

Giving targets to anyone is the easiest thing in life. However, creating supporting environment to meet the targets is not easy. Please note this factor also.

I provide my consulting services to establish comprehensive Performance Management System (PMS). I have been giving my replies on this subject time and again. You may refer the following links to refer my past posts:

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I request you to go through each of the above link. It will increase your understanding about PMS.


Dinesh Divekar

Dear Mr. Divekar, Just to let you know that I shall respond to your queries shortly. Could not do so due to pre-occupation. Thank you for your valued response. Regards, r.s.patwardhan
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