People behave the way they perceive they are expected to –Changing this feeling changes the behavior. We have to be very very clear what we expect of our people. Only then we will be able to communicate the correct perception of our expectation, ask the right questions. Getting the best out of people, change management, Transformation, Operational Excellence, Culture Shift. We have some very successful transformation journeys. Following are some key learnings insights from our KRA deployment assignment.

1. All the KRA should be 100% in sync with the organizational goals and suitably cascaded
2. Linkage of each KPI to the goals should be abundantly clear to all – Jointly prepared over 3 to 4 iterations
3. The KPIs are more effective and easily understood when drilled down in a normal cascading tree and distribute then along PQCDSME (Production, Quality, Cost, Delivery, Safety, Morale and Environment) vis-à-vis the X matrix and BSC parameters (Financial, Customer, Internal Business Processes, Learning and Growth)
4. The KPIs should comprise of lead indicators as much as possible
5. The KPIs should be worded in using local language and jargon
6. The targets were always stretched but not impossible – Jointly prepared over 3 to 4 iterations
7. The targets were be revised on monthly basis – KRA management policy, forms a part of every reporting managers KRA
8. The line items (KPIs) of can be revised/ modified/ added on a monthly basis
9. The consequences should be significant – we saw that having a 40% variable component works best with a possibility of getting 120% of the same upon exceeding the target (this may NOT vary with levels)
10. The individual line items (KPIs) in the KRA should have appropriate weightage
11. There should be a weightage of 4 – 6% given to the managers feedback- this is completely subjective in nature
12. It is essential that the parameters of the daily MIS or daily meeting should be a part of the KRA
13. The KRA is reviewed by self in one way or the other on a daily basis
14. Self-performance on KRA should be visible on a daily/ real-time basis
15. The performance management should be accompanied by some token reward and recognition plan
16. Should be done for all levels in the organization
17. All the reviews and communication should be in an appreciative Inquiry mode not the fault finding