KRA Workshop

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KRA Workshop Corporate Center 11-16.12.2009
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WHAT IS KRA ?
Key Result Areas or KRAs refer to general areas
of outputs or outcomes for which the departments
role is responsible.
Key Result Area in simple Terms may be defined as
Primary responsibilities of an Individual, the
core area which each person is accountable for.
Key Results Areas enables you to take ownership
of your job and to accept responsibility for
those areas in which achieving results are your
responsibility.
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Determinants of KRA
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SMART
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Present scenario of appraisal system in POWERGRID

• Traditional way of maintaining appraisal system
• E1 to E3 Filled at the end of the calendar
  year.
• Part I Self Appraisal by Appraisee
• - Main Responsibilities and task accomplished
• - Major Achievements
• - Task Assigned but not completed and reasons
  thereof
• Part II Reporting officer
• - Brief comment by reporting officer after
  discussion with
• the apparisee.
• - Brief comment on apparaisees job knowledge,
  cost
• consciousness, initiative, communication skills
  and
• commendable work done in Hindi
• - Integrity assessment

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• E4 E5 Filled at the end of the calendar year.
• Part I Self Appraisal by Appraisee
• - Main Responsibilities and task accomplished
• - Major Achievements
• - Task Assigned but not completed and reasons
  thereof
• Part II Reporting officer
• - Brief comment by reporting officer after
  discussion with
• the apparisee.
• - Brief comment on apparaisees job knowledge,
  cost
• consciousness, initiative, communication skills
  and
• commendable work done in Hindi
• - Assessment of managerial traits such as
  organizing ability, team effectiveness,
  cost effectiveness,
• development of subordinates and judgment.
• - Integrity assessment

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E6 /E7/E7A - Appraisal Period Financial
year Part IA Performance Planning Review -
Targets/ Key Result Areas for the year to be
filled in by the appraisee after discussion
with Reporting officer. Part IB Review
Discussion 1st Half - Targets /KRAs assigned
and filled. - Brief record of discussion of the
reporting officer with the appraisee. Part
IC Review Discussion 2nd Half - Targets
/KRAs assigned and filled. - Brief record of
discussion of the reporting officer with
the appraisee Part II Executive Abilities -
Assessment on 10 parameters such as Job
Knowledge, Organizing Ability, Cost
Effectiveness, Team Effectiveness,
Initiative, Judgment, Development of
Subordinates, Commendable work done in Hindi
and Peer Relationship. - Integrity assessment
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Management objective for different appraisal
formats for different levels E1 to E3
Operational level executives E4 E5
Managerial cadre heading sections within
Department. E6 to E7A Middle Managerial cadre
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• Use of Performance management system
• - Clarity of expectations and responsibilities
  of the employee.
• - Review the performance of the employees over a
  given period of time.
• - Assess the gap between the actual and the
  desired performance.
• - Identify training and development needs of the
  future.
• Provide information to assist in the HR decisions
  like promotions, transfers etc.
• To reduce the grievances of the employees.
• - Helps to strengthen the relationship and
  communication between superior subordinates and
  management employees.

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Need for Changing to a new system To objectively
provide for performance planning, target setting
and measurement. To promote performance feedback
to all executives, with the objective of
improving their performance. Have Individual
Target Alignment with organizational MOU. Make
PMS as a business tool for appraisers to manage
performance of their team. Link the reward
system to Performance as suggested in the Pay
Commission Report. Bring about efficiency in
administration of the Performance Management
System (e-PMS).
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The pay revision circular has directed that all
the CPSEs should develop a robust and transparent
Performance Management System. CPSEs would adopt
Bell Curve Approach in grading the officers so
that not more than 10 to 15 executives are
Outstanding/Excellent. Similarly, 10 of
executives should be graded as Below Par.
The Sixth pay Commission report also suggested
adoption of Balance Scored Card to determine the
eligibility of PRP for each Executive.
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PMS in other PSUs

• To have a better understanding of industry
  practice in PMS, we visited NTPC, NHPC, IOCL and
  BHEL to see and understand their system and also
  held detailed discussion regarding designing,
  implementing and running a forward looking PMS.
• It was concluded from all the above meetings that
  all these organizations today have KRA system.
  IOCL and BHEL have e-enabled their Performance
  Management System. KRAs have to be set after
  mutual discussion between Appraiser and apraisee.
• All the oragnisations have conducted extensive
  work shop and training for making KRA directory
  and making the new PMS acceptable in the
  organizations.

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Introducing New Performance Management System in
POWERGRID
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• All the Executive in the organization has been
  divided into THREE JOB CLUSTERS
• E1 to E5 - Cluster I
• E6/E7/E7A - Cluster II
• E8 E9 - Cluster III

These job clusters have been finalized by IE
Group during Competency Mapping exercise
The new PMS is applicable to first two job
clusters No Change has been made in the E8 E9
PMS
The New Appraisal formats in the New PMS has been
approved by the Board of Directors.
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The New Appraisal formats have the following
features- Part I PERFORMANCE, Part - A.pdf,
Part - B.pdf - KRA has to be set with measurable
targets - KRA has to be aligned with MOU
targets. - KRA to be set after mutual discussion
between Appraiser and appraisee. - KRA to
be reviewed bi-annually - Performance Review
sheet shall be filled at the end of Appraisal
Period which shall include need for
training and development. Part II Competencies
(E1toE5), (E6toE7A) - All the Executives shall
be assessed of 9 competencies identified for
various job cluster. - Appraiser shall rate
the appraisee on a scale of 1 to 5 on
competencies
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Part III VALUES (E1 to E5), (E6 to E7A) - The
values for all the job cluster is same. -
Appraiser shall rate the appraisee on a scale of
1 to 5 on values Part IV POTENTIAL
APPRAISAL (E1to E5), (E6to E7A) - All the
Executives shall be assessed on 5 potential
appraisal attributes - Potential Appraisal
attributes shall differ as per the job
cluster - Appraiser shall rate the appraisee on
a scale of 1 to 5 on values potential
appraisal attributes
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Marking System in the Appraisal formats
Appraisal Parameters E1 to E5 E6 to E7A
Performance 75 65
Competencies 15 15
Values 05 10
Potential 05 10
Total 100 100
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COMPETENCIES
CompetenciesE6-E7A.doc CompetenciesE1-5.doc.
1. Business Environment 1. Business Knowledge
2. Profession Specific Knowledge 2. Profession Specific Knowledge
3. Decision Making 3. Decision Making
4. Planning Coordination 4. Planning Coordination
5. Systematic Thinking 5. Problem Solving
6. Learning Orientation 6. Collaboration Networking
7. Result Orientation 7. Accountability
8. Leadership 8. Drive Initiative
9. Team Player 9. Team Player
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POTENTIAL APPRAISAL
E6/E7/E7A E1/E2/E2A/E3/E4/E5
1. Inspire People 1. Leadership Abilities
2. Team Building 2 Business Sense
3. Ability to build a Strategic Vision 3. Foresight
4. Business Sense 4. Innovation
5. Coaching 5. Trust and Respect
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Expectation from the New PMS

• Target setting at all executive levels
• Cascading of MOU to the lower levels to achieve
  optimum performance
• To provide objective assessment.
• Clarity in the beginning itself as to what is
  expected.
• Performance feedback to all
• Help in the overall achievement of Organization
  Goal
• Bring about efficiency in administration of the
  Performance Management System by implementing
  e-PMS

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Thank You