Difference between KRA and KPI in BPO

During the leadership interviews, the interviewer often asks a common question. "What was your KRA in your previous organization?". Some candidates are able to answer this question in a convincing way, while for some it becomes very difficult to answer.

Most of the candidates relate KRA to KPI as they do not have the clarity on "Difference between KRA and KPI "and this is the reason why they are not confident to answer this question and are puzzled about what to answer.

Difference between KRA and KPI in BPO

For every industry and organization, there are some set objectives and targets for which every employee works and tries to attain the same in the specified time frame. This is why every organization has defined KRAs for its employees.

Like other industries in the BPO industry as well there are some sets of KRA and KPIs which are defined by the organization and may vary as per the client's demand.

Let's understand more about KRA and KPI and what is the major difference between both of them :

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What is KRA?

KRA is an abbreviation of "Key Responsibility Areas" which is also commonly known as "Key Result Area". In every call center, there are several functions like Training and Quality, Operations, HR, etc. KRA may vary as per the objective of that department.

For example, for the HR department, the major KRA is to hire and onboard people and some additional KRAs can be employee engagement, reward and recognition programs, etc.

For the Training department, the primary KRA is to train and coach new people.

Likewise, every department has its own KRAs. The ultimate goal of these KRAs to maximize customer satisfaction and improve organization revenue and brand value.

So KRA's can be defined as "those important and major areas of business that require more attention and exceptional performance to attain the defined objective".

What is KPI?

KPI is an abbreviation of "Key Performance Indicators". As mentioned above every department has its own KRAs, the same way every department has its own KPI.

KPI, as the name implies are some of the metrics defined by the client or contact center to analyze and gauge the contact center's performance. These metrics are the performance indicator by which we can easily analyze what's the performance trend and loopholes of a particular contact center.

For example, The operations department has the primary KRA to improve the performance but there are certain metrics by which we can gauge whether the performance is going up or down i.e AHT, CSAT, Quality, NPS, etc. These metrics can be termed as Key performance indicators of KPI of call center

Difference between KRA and KPI :

Below is the chart to sum up the major differences :

Conclusion:

Both KRA and KPIs are important tool to gauge the performance and attain the objective. KRA on one hand is imperative to work on those areas which require a high level of performance while on other hand KPI is a tool to indicate and gauge the performance and what best steps we can take to improve the performance

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Difference between KRA and KPI in BPO