This post is one in a series designed to help SME businesses benchmark their business and create a best practice business improvement plan across all of their business processes.  You can find the links to the full series here.  

Cartoon drawing of business person on rocket aiming for target in clouds representing employee aiming for business goalsWhat are job descriptions and KPIs and why are they important?

Having accurate and up to date Job Descriptions for all roles is vital.  It allows for both the employee, their manager and the business to commence – and continue – the employment relationship with the same expectations and understandings of the role.

A well crafted Job Description provides for a clear understanding of the roles and responsibilities, as well as the skills, experiences and qualifications required by an individual to be successful in that role. It is also valuable to capture the personal attributes that are relevant for this role. All of this information provide clarity for the individual in the role, but also acts as a useful tool when recruiting a new person to the team.

It is also vital to ensure these Job Descriptions are reviewed at least annually to remain current and relevant. Again, these are not “set in stone”.

The Job Description is also a great place to capture the Key Performance Indicators (KPIs) for the role.  Individual KPIs should cascade down from the overall business and department strategic objectives to ensure alignment. Although both Job Descriptions and KPIs need to be somewhat directive, involving employees and getting their input ensures better understating and creates buy-in around the role and key deliverables.

How does your business measure up?

Here’s a checklist to help you determine how well your business is using job descriptions and KPIs to improve employee engagement and performance.

  • All roles have clearly defined Job Descriptions
  • Job Descriptions are reviewed and updated regularly
  • Job Descriptions are used in the recruitment process to assist in identify the needs for the role
  • Job Descriptions are linked to the development of KPIs
  • All KPIs are SMART (Specific, Measureable, Achievable, Results Oriented, Timebound)
  • Employees are involved in finalising their JDs and KPIs.
  • All employees have a clear understanding of their role and KPIs
  • KPIs are reviewed and kept current in line with role and business objectives
Assess your business against other best practice human resource management benchmarks

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