KRA BASED

PERFORMANCE
APPRAISAL SYSTEM
 Flow of the presentation

Overview-Performance Appraisal System

Basics - KRA - Key result areas &
KPI - Key performance indicator
KRA derivation process
Tamarind Individual KRA System
KRA based Performance Appraisal Cycle
Appraisal Feedback and its utilization
Recap
 Performance Appraisal

Annual Activity with mid-year reviews

Two way evaluation process of employee
performance.
Measures performance during the year,
setting up future goals.
Basis for decision growth in terms of
Remuneration, Promotion, training.
Identify potential for additional and higher
roles and responsibilities
 Why KRA based Performance
Appraisal?

Don't measure yourself by what you have

accomplished, but by what you could have
accomplished with your ability.
Focused growth path
Better monitoring with growing times
Bench mark against global standards
Scientific methodology of evaluation
towards standardization and fairness of the
Appraisal Instrument
 Meaning: KRA

Key Result Area

Identified out of the day to day routine
activities
Primary Job objectives or Major Goals
Outcomes or Expectations of a Job
Position
Groups relevant activities under one
cluster forming a KRA
 Meaning: KPI
Activity/Assignment /Process to accomplish the
main Goal/KRA.
Process and procedure done on daily basis i.e.
routine nature
Sub Activity/s under each KRA
Eg;- KRA- Increase profit per file
KPI 1- Get competitive rates
KPI 2- Effective Negotiation with the parties
There can be more than one KPI under a KRA
How KRA are derived ????
Mission and Vision derived

Organization Objective

Management Goals

Dept Goal / Manager KRA

Individual Individual
KRA KRA

Individual
KRA
 What do I
do ??????

Support
Function Leisure
Fulfill
Customer
requirements

Hotel
Booking Transfers
 Tamarind Individual KRA (TIK)
Score break- up

20%

80% B. Critical Behavioral

A. Target Attributes

i.e. Achievement of i.e. on the job behavior

goals
Contd
 TIK Score 100%

80% 20%

Target Score CBA Score

KRA 2
KRA 1 Error Free KRA 3
Achieve and Operations Compliance
Surpass the GOP

KPI 1 KPI 2 KPI 3

Costing Follow Up Negotiation
 Significance of behavioral
Attributes
Service oriented Industry
One organization- One Set of values
Differentiation factors - Personal Touch
Higher the responsibility, more
emphasis on behavioral skills
Better the interpersonal skills, better the
growth prospects
Long Term success Mantra
 Why Measure Behaviour
Communication on phone, email, chat is the mainstay of
our business
Say the right thing the right way negotiate, convince
and convert.
Relationships determine your business
We cannot work in isolation - team work is important
Display of responsibility and leadership determines the
leaders for the future
Keeping abreast of the market environment is essential
to distinguish leaders from followers

All the above results in growth of business for the

company and an edge over the rest, for the individual.
 Communication
Relationship Building
Business Acumen and managing

B. Critical Behavioral Time Management

Leadership
Attributes
=
20% of TIK

Team Management Client Orientation

Result Orientation
 KRA should be..

SPECIFIC KRAs should be specific and logical.

MEASURABLE KRAs should be quantifiable and

measurable.

ACHIEVABLE KRAs framed should be achievable.

RELEVANT KRAs should be associated to job.

TIME BOUND KRAs framed should be defined for a

specific period
 Process

Mid-year
KRA is set Review
& advise

Performance
Appraisal
Cycle

Rewards,
Final
Corrective steps,
Performance
New Targets
Appraisal
KRA based Appraisal form- Page 1
(Sample)
 KRA based Appraisal form- Page 2
(Sample)
Section 1: Target Score (80% of the TIK Score)

Achieved Weighted
Measure
(To be Weightage Self Appraiser's avg score -
Sr KRA Performance Indicators (Targets/ Comments
filled by (A) rating Rating (B) WA=
Deadlines)
self) (A*B)/100
Achieve and Surpass the GOP 40
targets 0.00
Recognize and grow new 10
business segments and clients. 0.00
Effective sales plan and
implementation, to increase the
5
existing and new client
Increase sales business 0.00
1 and market Timely and result-oriented
share reporting, and follow-up 10
internally and externally 0.00
Develop strong relationships
within the team, and with clients 10
and vendors 0.00
Constant upgradation of
product knowledge and 10
effective use in sales calls 0.00
Adherence to all the
Compliance of organization's policies, rules
Laid down and procedures. 5 0.00
2 Policies and Compliance of credit policy with
Procedures of regards to non- credit clients /
the company agents
10 0.00
Aggregate Total ( sum of WA)/ No. of KPIs 0.00
Target Score =Aggregate Total x 80 / 100 0.00
 KRA based Appraisal form- Page 3
(Sample)
Section 2 : Critical Behavioral Attributes (CBA) (20% of the TIK Score)
Critical attributes are those behavioral characteristic identified by the organization which are important to achieve one's present role and develop oneself for future role
requirement..

RATING SCORE (1 to 5)
Sr ATTRIBUTES (Behavioral Characteristics/ Factors/Traits/Qualities) Self Appraiser Comments
(A) (B)
Communication Skills
1

2 Relationship Maintaining & Building

3 Time Management

4 Client Orientation

5 Results Orientation

6 Teamwork

For Assistant Managers & Above

7 Leadership

8 Business Acumen

Aggregate Total ( sum of individual Bs)/ No. of CBAs 0.00

CBA Score = Aggregate Total x 20 / 100 0.00
 Appraisal Procedure

Employee Details
Self Appraisal by the Employee
Appraisal by the Immediate Reporting
Manager
Moderation by the Reviewer i.e. Profit Center
Head
Data collection and analysis by HR
Decisions taken
New KRAs set based on the data
 Bonus Policy

Scope: Covers all the confirmed employees

Applicable for the F.Y. 1st April to 31st March
Purpose: To reward employees for their contribution
Eligibility: Junior consultant and above
Bonus amount will correspond to performance rating
Rating components: Employee weightage, Team weightage
and company weightage
Bonus earned: Revenue generating departments (i.e
Operations, Sales, MICE, CPP, GRE) can earn maximum 3
months bonus of gross salary
1
 Bonus Policy (contd)

Bonus Earned: Support departments (i.e

Accounts, HR, Administration and IT can earn
maximum of 2 months gross salary)
Eligibilty criteria : Confirmed employee as on
March 31
Scored a KRA rating of 3 and above
Scored performance rating of 3 and above.
Process
Bonus slab
Payout: Along with the salary of June
 Coming Soon

Reward and recognition policy

Thank You..