Difference Between KRA And KPI

1. Difference Between KRA And KPI The key differences between KPI and KRA are significant as KRA is a strategic concept of framing tasks whereas KPIs measure performances. Let us understand it in brief. KRA KPI Key Results Ares Key Performance Indicators It frames responsibilities that an individual or groups are accountable to perform. KRA for different employees varies as per their job roles and responsibilities. These are measurable metrics used to evaluate performances. These are specific parameters which are set prior to the beginning of the task for evaluation at the end. KRAs are usually qualitative in nature as it details the involves measures such as communication, teamwork, leadership qualities etc, which is challenging to express in quantitative terms. KPIs are quantitative in nature as it is used to measure or evaluate performances of employees which require numeric or graphical representation for clarified reports. Broader in scope Narrower in scope Provides framework for measuring performances as well as clarity to employees to perform tasks without confusion. Evaluates how efficiently organization performs in alignment to their goals. Example: KRA of sales manager ➔ To create leads. Example: KPI of sales manager ➔ To evaluate the number of converted leads. It focuses on long-term goals of the organization, as the KRA is planned by considering the organization’s long-term objectives. It changes as per the change in business circumstances and other factors such as market drifts, resource availability, financial health of the organization and uncertain shifts in business operations. The aim of KRA is to provide assistance to employees in performing tasks with appropriation The aim of KPI is to measure the performances of employees. This helps organizations in framing informed decisions. KPI are usually framed on the KRAs. Read the full article: https://www.pockethrms.com/blog/kra-and-kpi/