Understanding KRAs vs. JD: Why Both Matter for Every Employee in Your Company

manu8
Dear Forum members,

Please elaborate on the difference between KRAs and JD. What is the importance of maintaining and documenting both JD and KRA for all employees in the company? Can we do without either of them?

Best Regards,
Manu

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abhilash1987
Hello Manu,

Understanding Job Descriptions (JD)

A Job Description (JD) usually consists of the basic functions that an employee will be carrying out while taking up a particular role. Typically, the JD is given to candidates during recruitment so they can better understand what they will be doing in the given role. Additionally, the JD provides candidates with a rough idea and a bird's eye view of the entire function that is to be carried out.

Key Responsibility Areas (KRAs) vs. Key Performance Indicators (KPIs)

Key Responsibility Areas or Key Result Areas (KRAs) are the functions for which the employee is accountable. Employees are always expected to meet their KRAs. KRAs are linked to performance appraisals, and failing to adhere to them will be reflected in the employee's appraisal. Unlike KRAs, Key Performance Indicators (KPIs) are quantitative and play a more crucial role during appraisals. In fact, KPIs help us cross-check if employees have achieved their KRAs.

Example

HR (Recruitment)

- JD: In charge of the recruitment activities of the entire organization.
- KRA: Carry out recruitment activities in a cost-effective way.
- KPI: Reduce the cost of recruitment by 10%.

The optimum number of KRAs for any position is usually around 5 to a maximum of 7 KRAs.

We as HRs use a lot of jargon, and these are just a few of those scary ones :-P

Regards
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