Dear Seniors,
I am managing the HR department in a company dealing in the trade of Capital Equipment. The company has been in existence for the last 3 years, employing around 100-125 employees. So far, we have been working on traditional concepts with no job descriptions, key result areas (KRAs), or appraisals in place. We have designations and departments such as Accounts, Sales Coordinators, Import/Export Manager, etc., but there are no Standard Operating Procedures (SOPs) or KRAs established. Increments happen annually for everyone, but the decision rests with the Directors.
I have been attempting to persuade our management to implement a system for increments/appraisals, define job roles, etc., and they have finally agreed to give it a try.
I seek guidance and assistance from you seniors on how to initiate this process. Should SOPs be prepared first or KRAs? Additionally, are there any consultants who undertake such projects and assist with the setup?
I look forward to your comments and guidance.
Thanks & Regards,
Garima
Mumbai
From India, Pune
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14I am managing the HR department in a company dealing in the trade of Capital Equipment. The company has been in existence for the last 3 years, employing around 100-125 employees. So far, we have been working on traditional concepts with no job descriptions, key result areas (KRAs), or appraisals in place. We have designations and departments such as Accounts, Sales Coordinators, Import/Export Manager, etc., but there are no Standard Operating Procedures (SOPs) or KRAs established. Increments happen annually for everyone, but the decision rests with the Directors.
I have been attempting to persuade our management to implement a system for increments/appraisals, define job roles, etc., and they have finally agreed to give it a try.
I seek guidance and assistance from you seniors on how to initiate this process. Should SOPs be prepared first or KRAs? Additionally, are there any consultants who undertake such projects and assist with the setup?
I look forward to your comments and guidance.
Thanks & Regards,
Garima
Mumbai
From India, Pune
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Dear Garima,
What you need to do is establish a proper Performance Management System (PMS) for your organization. Key Result Areas (KRAs) or Key Performance Indicators (KPIs) are part of the PMS. The system and procedure for the implementation of KRAs/KPIs are as follows:
a) Design KPIs for every department.
b) Train your managers on the KPIs of their respective departments. Fix the KRAs based on the KPIs.
c) Set a date for the performance measurement.
d) Conduct supplementary training for managers on "How to Conduct Performance Appraisals."
e) Conduct the performance appraisal. Once again, set KRAs for the next financial year.
f) Evaluate the effectiveness of the performance appraisal process. Make necessary changes if required.
g) Let the cycle continue.
There was a recent discussion titled "PMS for Workers" that was quite relevant to this topic. You can read it by clicking here: [URL= "https://www.citehr.com/259167-pms-workers.html"]. In that thread, you will find two comments from me.
On a related note, I offer training on Performance Management through KPI/KRA. If you are interested, I can provide the following services:
h) Developing a policy on Employee Performance.
i) Conducting training on KPIs and KRAs.
j) Delivering training on how to conduct performance appraisals, provide feedback, etc. You will also receive a draft policy on "Performance Appraisal."
I have attached my Training e-Brochure to this post to give you an overview of my training activities. It would be my pleasure to offer consulting and training services to your company.
Thank you,
Dinesh V Divekar
"Limit of your words is the limit of your world."
From India, Bangalore
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What you need to do is establish a proper Performance Management System (PMS) for your organization. Key Result Areas (KRAs) or Key Performance Indicators (KPIs) are part of the PMS. The system and procedure for the implementation of KRAs/KPIs are as follows:
a) Design KPIs for every department.
b) Train your managers on the KPIs of their respective departments. Fix the KRAs based on the KPIs.
c) Set a date for the performance measurement.
d) Conduct supplementary training for managers on "How to Conduct Performance Appraisals."
e) Conduct the performance appraisal. Once again, set KRAs for the next financial year.
f) Evaluate the effectiveness of the performance appraisal process. Make necessary changes if required.
g) Let the cycle continue.
There was a recent discussion titled "PMS for Workers" that was quite relevant to this topic. You can read it by clicking here: [URL= "https://www.citehr.com/259167-pms-workers.html"]. In that thread, you will find two comments from me.
On a related note, I offer training on Performance Management through KPI/KRA. If you are interested, I can provide the following services:
h) Developing a policy on Employee Performance.
i) Conducting training on KPIs and KRAs.
j) Delivering training on how to conduct performance appraisals, provide feedback, etc. You will also receive a draft policy on "Performance Appraisal."
I have attached my Training e-Brochure to this post to give you an overview of my training activities. It would be my pleasure to offer consulting and training services to your company.
Thank you,
Dinesh V Divekar
"Limit of your words is the limit of your world."
From India, Bangalore
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The starting point of any such exercise is the top-down 'Organization Structure'. Once you define that and get it approved by your CEO, clarity sets in about the reporting and reviewing channels. Also, you come to know about various job positions in the organization. You may have 125 employees, but only 30 job positions. For example, one such job position may be 'Business Development Executive (BDE)' and your organization has 12 BDEs, reporting to 3 different BD Managers (Job Position - BD Manager). Thus, you have accounted for 15 employees in the Org Structure, but have only two discrete Job Positions.
Having done that, work out (in consultation with the reporting managers) the job deliverables/ KRAs for the Job Positions accountable to different managers as per the org structure. It is better to start with the direct reports of the CEO since KRAs ought to be aligned to meet the organizational objectives. You don't have to innovate since JDs, for similar Job Positions in other organizations, are available through Google search. Once KRAs are identified for all job positions, through active involvement of managers, you have already set rolling employee accountability plans. In a Job Description, you do have some job responsibilities which are routine and are described qualitatively. Please remember to pick up only such responsibilities which are quantifiable and can be marked as KRAs, for which the performance can be tracked throughout the year. Tracking will be possible if you can define the key performance indicators (KPIs). Having completed that, in about a month's time for 30 job positions, you are ready to roll out the performance plan of the organization in the form of a 'Goal Sheet' for each white-collar employee. The only check you need to carry out before rolling out the plan is to see that KRAs of subordinates are in line with the KRAs of their managers.
If you are able to convince your management to go in, from the very beginning, for an automated Goals and Performance tracking software, you would have institutionalized a process in your organization. It may be noted that managing the Goal Sheets of so many employees manually is a difficult task, which often loses its drive in most organizations. This occasionally results in the failure of a well-conceived process when you don't have the right tools to manage it.
Well, Garima, start your initiative to drive an accountable hierarchy to meet the organizational objectives. We are there to guide you.
From India, Delhi
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Having done that, work out (in consultation with the reporting managers) the job deliverables/ KRAs for the Job Positions accountable to different managers as per the org structure. It is better to start with the direct reports of the CEO since KRAs ought to be aligned to meet the organizational objectives. You don't have to innovate since JDs, for similar Job Positions in other organizations, are available through Google search. Once KRAs are identified for all job positions, through active involvement of managers, you have already set rolling employee accountability plans. In a Job Description, you do have some job responsibilities which are routine and are described qualitatively. Please remember to pick up only such responsibilities which are quantifiable and can be marked as KRAs, for which the performance can be tracked throughout the year. Tracking will be possible if you can define the key performance indicators (KPIs). Having completed that, in about a month's time for 30 job positions, you are ready to roll out the performance plan of the organization in the form of a 'Goal Sheet' for each white-collar employee. The only check you need to carry out before rolling out the plan is to see that KRAs of subordinates are in line with the KRAs of their managers.
If you are able to convince your management to go in, from the very beginning, for an automated Goals and Performance tracking software, you would have institutionalized a process in your organization. It may be noted that managing the Goal Sheets of so many employees manually is a difficult task, which often loses its drive in most organizations. This occasionally results in the failure of a well-conceived process when you don't have the right tools to manage it.
Well, Garima, start your initiative to drive an accountable hierarchy to meet the organizational objectives. We are there to guide you.
From India, Delhi
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Thank you for everyone's guidance. I would like to specially appreciate Mr. Govind's insights. It gives a perfect understanding with examples for HR professionals like me who don't have hands-on experience with PMS. I truly appreciate the detailed and thorough explanation you have shared.
Thanks a ton. Garima
From India, Pune
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Thanks a ton. Garima
From India, Pune
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Dear Garima,
We are a consulting firm with over 10 years of experience in the field, and we would be able to help you with the requirement. Please visit our website [link no longer exists - removed] for more details. We have helped many startup firms in building SOP/Process documentation and assisted in defining and setting up KRAs. Please feel free to write to us if you need any further information.
Regards,
Rashmi
From India, Bangalore
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We are a consulting firm with over 10 years of experience in the field, and we would be able to help you with the requirement. Please visit our website [link no longer exists - removed] for more details. We have helped many startup firms in building SOP/Process documentation and assisted in defining and setting up KRAs. Please feel free to write to us if you need any further information.
Regards,
Rashmi
From India, Bangalore
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Dear Garima,
Greetings from Team Kapgrow!!
We are a corporate consulting organization based in New Delhi, specializing in Change Management, OD, and OB interventions. We would be pleased to help you professionalize your "traditional" set-up. We have hands-on experience handling such assignments and have delivered exponential growth to our clients.
Please feel free to touch base to discuss your requirements further.
Thanks,
Kind Regards,
Avika Kapoor
Vice President - Operations
Website: [Kapgrow](http://www.kapgrow.com)
From India, New Delhi
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Greetings from Team Kapgrow!!
We are a corporate consulting organization based in New Delhi, specializing in Change Management, OD, and OB interventions. We would be pleased to help you professionalize your "traditional" set-up. We have hands-on experience handling such assignments and have delivered exponential growth to our clients.
Please feel free to touch base to discuss your requirements further.
Thanks,
Kind Regards,
Avika Kapoor
Vice President - Operations
Website: [Kapgrow](http://www.kapgrow.com)
From India, New Delhi
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Hi Garima,
We are already doing similar work with a capital goods/OEM manufacturing company in Mumbai. We have designed their entire HR framework, including competency framework, PMS, JDs, and SOPs. We are based in Mumbai and can meet you to take it further. Please let me know your contact details.
Regards,
Hema
hema@dimenzion3.com
From India, Mumbai
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We are already doing similar work with a capital goods/OEM manufacturing company in Mumbai. We have designed their entire HR framework, including competency framework, PMS, JDs, and SOPs. We are based in Mumbai and can meet you to take it further. Please let me know your contact details.
Regards,
Hema
hema@dimenzion3.com
From India, Mumbai
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Dear Garima,
This is Sanghamitra Dalimbkar here. Our organization does provide support for the same. If you can share your email ID, I can forward you the details.
Regards,
Sanghamitra
Phone: 022 40155055
From India, Mumbai
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This is Sanghamitra Dalimbkar here. Our organization does provide support for the same. If you can share your email ID, I can forward you the details.
Regards,
Sanghamitra
Phone: 022 40155055
From India, Mumbai
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Performance Management System.doc