Hi all, Greetings.
Kindly go through the list of various inputs that go into the development of a Performance Management System and suggest changes, if any
1. Identification of various Divisions in the Organization.
2. Responsibilities and authorities of each Division
3. Top-level Organization Structure
4. Organization-level Objectives and their targets
5. Departmental Organization Structure – identifying various levels/positions of management staff and their reporting mechanism
6. Departmental Objectives and their targets
7. Job descriptions of various positions identified in each department/division
8. Defining KRAs and KPIs of each Divisional head and his management staff
9. Measuring the current level of achievement of various departmental/divisional objectives and identifying the performance gaps
10. Actions to be initiated to plug the performance gaps.

From India
Dear Janak Joshi,

Of the list of points you have given, point 8 is the most important. This is because defining KPI and KRA is not an easy task. Though people work in certain departments for years or even decades does not mean that they are capable of measuring the performance on their own.

Before instituting the PMS, it is important to spread awareness about what is productivity and how to measure productivity. The second important thing is a measurement of the organisation's performance. Certain measures denote an organisation's as well as a particular department's performance.

Thanks,

Dinesh Divekar

From India, Bangalore
Dear Dinesh ji,
Thank you for your prompt reply.
As rightly put by you. the core of PMS is identifying proper KRAs and KPIs of various departments.
Can you provide any generic inputs about department-wise KRAs/KPIs

From India
Dear Janak Joshi,

To design department-wise KPIs, it is important to study the systems and processes of each department. Every department gets input in the form of either information or material or both. Later, the same department gives output to some other department or directly to the customer. It is important to study input and output and identify the costs and ratios associated with each department. Furthermore, the complexity of the operations plays a vital role in designing KPIs.

You have asked for the generic inputs but it is too difficult to provide a quick solution. This kind of activity requires consulting.

Thanks,

Dinesh Divekar

From India, Bangalore
Dear Dinesh ji,
You have rightly pointed out the constraints of coming out with a generic list of department-wise KRA/KPIs unless we study the process in detail.
Thanks for your valuable inputs.
I will get back to you at appropriate time

From India
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