KPA & KPI's are decided by the Process Owners and not by HR. If HR is a Process Owner of one particular area, then HR would decide what the KPA/KPI is. During the Yearly goal setting, KPAs/KPIs are set for individuals/groups, and performance evaluations are based on the KPAs/KPIs established for each individual. When it comes to Merit/Performance bonuses/Promotions, these KPAs/KPIs become useful for the Process Owners. In case there are objections from HR, they can be highlighted to showcase the performance of individuals/groups.
There is no need for HR to be informed about the Process KPAs/KPIs.
Thanks,
Anand