Welcome to the show, folks! Today we’re diving into a topic that’s vital for every leader out there—Key Result Areas (KRAs). If you’ve ever struggled with aligning your team, creating clarity in roles, or preventing leadership headaches, this episode is for you.
KRAs aren’t just a tool to manage performance—they’re a foundational part of running a successful business. They create clarity, alignment, and execution across the board.
Whether you’re a seasoned leader or just starting, this episode breaks down the power of KRAs, how to integrate them into your leadership strategy, and why revisiting them is critical for sustained success.
We’ll also share examples and practical insights on implementing KRAs to avoid confusion and maximize team performance. So, grab your favorite coffee (or tea) and let’s get to it!
Episode Breakdown
What KRAs Are and Why They Matter (00:01:30)
KRAs define the key results every role must achieve, going beyond job descriptions to focus on expected outcomes. We explain why clarity in roles is the secret to avoiding miscommunication and boosting productivity, with relatable examples from various roles.
The System Approach to KRAs (00:04:45)
KRAs aren’t standalone—they’re part of a larger business system tied to your mission, vision, and strategies. We discuss how aligning roles with your business’s purpose ensures everyone moves in the same direction, backed by real-life StratPlan examples.
Next-Level Leadership LIVE Event (00:09:26)
Discover why attending this transformative event on April 2-4 will help you lead smarter, reclaim your life outside of work, and gain actionable takeaways. You’ll connect with a community of leaders and walk away ready to grow your business without burnout.
How KRAs Prevent Leadership Struggles (00:14:03)
Leadership struggles often stem from unclear roles and shifting expectations. KRAs solve this by clearly defining measurable goals, creating accountability, and eliminating confusion—helping your team thrive and saving your business money.
Integrating KRAs into Your Leadership Strategy (00:16:35)
Learn how to break down team objectives, KPIs, and timelines into clear KRAs that align roles with company goals. This process creates focus and reduces the need for constant tough conversations.
Why Revisiting KRAs Is Critical (00:20:09)
KRAs aren’t a “set it and forget it” tool. Regularly reviewing and adjusting them ensures clarity, accountability, and productivity. We share a step-by-step process for monthly KRA reviews to lead team members to success.
Additional Resources (00:22:58)
We point you to previous episodes and blog posts for deeper dives into KRAs, including Episode 120 (The What, Why, and How of KRAs) and Episode 406 (What Good is a KRA?). These resources are part of your KRA masterclass toolkit.
Key Takeaways
KRAs are the secret to creating clarity, aligning your team, and eliminating leadership headaches. Whether you’re new to KRAs or need a refresher, this episode and the resources we’ve shared are designed to help you transform your leadership and business.
If this episode resonates with you, share it with a fellow leader. And don’t forget to join us at the Next-Level Leadership LIVE Event this April—your leadership and business will thank you!
As always, take this information, change your leadership, change your business, and change your life. See you on the next episode!
609 | The Secret to Leading a Winning Team? It’s All About KRAs
Introduction (00:00:00)
Stay tuned. We will explain how integrating KRAs into your business system ensures that your team is focused and working toward the same goals, preventing confusion and underperformance. That is coming up next.
Welcome to the Chris LoCurto show, where we discuss leadership and life and discover that business is what you do, not who you are. Welcome to the show, folks. I hope you're having a fabulous day wherever you are.
Today we are diving into a critical role that key result areas, also known as KRAs, play in building and leading a winning team.
Now, while we've covered carries in previous episodes, it's time to revisit this vital topic with a fresher perspective. Now, I'm not going to dig into how to. I've got resources. At the end of this, they're going to help you with a lot of stuff that involve KRAs.
But we need to talk about this because so often it is not understood how important KRAs are to the success of a business.
So I'm going to explain why carries are not just a simple management tool, but a foundational part of a business system that drives clarity, that drives alignment, that driven, that drives execution.
What KRAs Are and Why They Matter (00:01:30)
So key points we're going to be talking about today. First is what KRAs are and why they matter.
So the purpose of KRAs is to define the ey results that each role must achieve. So this gets so confused all the time where people believe that a KRA is nothing more than, you know, job description on steroids.
That is not what it should be. It is not a job description. It is not a list of tasks. You can have some of those things under a KRA, but to just try and make this as plain as possible, because creating a quality KRA can be very, very, very confusing.
So many people try and look it up online and do it and talk to somebody and it just doesn't work because there's a big key element that they're missing.
And that's, that's why I want to dig really deep into this so that I can help you to understand why this is so critically important, what you're looking for from every single role in your job, or hopefully what you're looking for, what you should be looking for is expected results.
I need this person to do this. I need this role to accomplish this. I want these tasks done, but I want it to look like this when it's done. What you want from any role is the results of the role.
So think of it as kind of like reverse engineering a role. If you have a salesperson, you don't want the salesperson, this is just basic, right? You don't want the salesperson to just do a bunch of tasks.
The expected result is sales. Now that is again, a super simplified way of saying this, but that's what we're looking for, right? So if I do this kind of effort here, I should expect this result.
If I talk to this many people and I have quality conversations, like a potential KRA for a salesperson is, I don't know, 10 to 15 to 20 quality conversations a day, depending upon what you're selling, right?
If you're selling something that takes a decent amount of conversation time, then you've got to have a quality conversation so that the person gets the right information so they can make a decision to purchase something, right?
Maybe you've got a super simple sale and you can talk to 50 people a day. I don't know. But the key is you're looking for a result. If you do this here, it should result in this key thing, okay?
Same thing with any other role. You can look at any role inside of your business and create careers. They create clarity for the leader, for the team member, for teams, all of that.
They create clarity and they set clear expectations for every single person. The great thing is, is that when you do it correctly, it avoids common miscommunication issues. It avoids common misalignment issues. So that's why we're doing this.
The System Approach to KRAs (00:04:45)
Second thing is the system approach to KRAs. So you have a system that you are working. You may not understand it, you may not even know that you have a system of things that you're doing.
We're constantly teaching people how to cover different aspects of their business so that it operates one specific way, right?
That makes them the best, the most effective. Great at execution, great with culture, great with leading their clients, great with doing processes, systems, all this kind of stuff, right?
You have a system, you probably need a better system. We need to get you to a better system of how you operate your business. But either way, the system that you're doing KRAs are a part of that larger business system.
So this should include, for example, your mission. You've heard me say it's your purpose for existence. Other people say other stuff. I think your mission is your purpose for existing.
Why does your business exist, right? Your vision, where are you going? What direction are you headed in? Your strategies, what are the things that you're going to accom- how are you going to accomplish the vision?
The strategies are how you get to that vision, that destination. You can have one mission, you can have 700 different visions, right? Different destinations. What are the goals along the way? What are your plans along the way?
All of these things are parts of your business system, right? KRAs align each role to these bigger goals, these, these, these bigger parts, ensuring that every part of the organization is working toward the same end.
So, for example, if you came in for a StratPlan inside of, you know, if you came here to Tennessee, we did a StratPlan for your business. One of the big aspects is we are going to try and take.
We're going to discover all the things that are holding you back from being even more successful, considerably more successful. We're going to take a look at the business inside, all throughout it and find those areas.
And then we are going to do our best to point people in the same direction. Most businesses that come in for their first StratPlan come in and they're operating in what we call a shotgun approach.
You have people going in all different kinds of directions. Why is that a problem? Because you are wasting resources. You're wasting your-- The money that you have to pay these salaries.
You're wasting possibly brick and mortar with having people in offices and things. And we're not all moving in the same direction. We're wasting resources like clients, vendors. We're wasting all kinds of different resources by going in 17 different directions.
What we want is everybody moving in one direction. Or if your business is a little bit different. I even hate to say this because this is an incredibly few number of businesses that might actually have a couple different areas, but they still align, right?
So I hate to say that. Please know that you probably are not that business, although it feels like you should be. You should really be operating, moving in one laser direction.
Well, what does a KRA do? It helps us to align every single role in the business with that StratPlan. Guys, this is the direction we are going. This is how we're going to accomplish so much more than we ever have.
This is where more revenue is sitting. This is where more net profit is sitting. This is. Everybody move this direction. Everybody. Let's get them aligned and going the same way.
That is how powerful care is are, because it allows you to go. Everything that you're doing in this role should align in results that get us to the destination we're heading in.
Powerful for leaders, powerful for team members so that they know how they're accomplishing the bigger picture, they know how they're being successful.
And then it takes all those resources that we're spending on the shotgun approach and pulls them in alignment and we get way more done.
People have always been surprised and how much my team accomplishes because it's a lot, but because we're aligned, we're moving in the same direction.
People know how to solve things, people know how to communicate. So the KRAs should be a part of your bigger system that you're operating your business under. Right?
So again, if you don't have a good strategy, we need to get you a solid strategy that solves problems and moves you down the road towards greater profits, you know, greater revenues, easier work, less stress, all that kind of fun stuff.
Next-Level Leadership LIVE Event (00:09:26)
And a great way to do that in the meantime is you need to get yourself to the Next-Level Leadership LIVE Event. It's happening April 2nd through the 4th.
Listen, we know that you love what you do. We know that you're passionate about your business. But we also know that so many of you, so many people are stressed out. They can't leave their business. They feel like they can't leave for an event.
They feel like if they start to step away, that everything starts to fall apart because everything depends on them. That all this weight is on their shoulders. Folks, leadership does not have to be this way.
The Next Level Leadership LIVE event is a powerful, transformative three day event that's happening April 2nd through the 4th.
Now, our goal is to get you equipped with practical, sustainable tools so you can confidently lead without feeling overwhelmed.
The truth is, trying to lead your team, trying to grow your business, trying to stay fully present with your family and in your personal life is exhausting. It is tough, right?
The crazy thing is, is you're absolutely not alone in this at all. I work with so many leaders every day who express the same frustrations. They want their business to run smoothly, but the thought of stepping away can be totally overwhelming.
Leadership shouldn't be a constant drain on your time and energy. And at the Next-Level Leadership LIVE event, I'm going to show you exactly how to break out of this cycle.
So why should you join us here? Well, here's just some of the things that you're going to experience. First, lead smarter, not harder.
This event is built on strategies that help you to lead smarter, not harder. You do not have to be the busiest person in your business to achieve real growth.
In fact, I see so many leaders burning out simply because they're over involved.
One of the best things I get to hear, one of the best outcomes that I get to hear from people who attend this event is that they walk away empowered to let their team succeed without micromanaging.
Second, reclaim Your life outside of work. Folks, here, we don't just talk about work life balance. We're going to help you create it.
So imagine a life where you're fully present at your business and you're fully present when you are home. This is where you learn to lead without sacrificing your personal life.
Third thing is be around leaders who understand. These are not people who've been telling you what you're doing wrong with your business and telling you what you're doing wrong in your leadership. And they've never actually been in a leadership role.
These aren't people who are telling you all this stuff and they don't have a clue. These are people you're going to be in a room full of leaders who, who understand exactly what you're going through.
This event fosters genuine community where you'll find encouragement, where you'll find fresh ideas and maybe even possibly lifelong friendships.
Fourth, Actionable takeaways you can implement right away. This isn't just an event where you walk away with inspiration and no clear steps.
There's tons of motivational events out there that you can go and get motivated for two weeks, feel really good about yourself, but then realize you still don't have great actionable steps.
At Next-Level Leadership LIVE event you'll leave with practical actionable steps that you could start implementing on day one. Turning insights into immediate progress.
Now, I know some of you might be thinking, man, I'd love to go but there's way too much stuff on my plate and if I leave my business now, it might suffer.
But if we're being honest, running at the pace you're running at just isn't sustainable. Trying to do everything yourself leads to burnout.
And when that happens, it doesn't just affect a few days, it impacts your long term success and your well being. You owe it to you and your business to invest in your leadership.
Invest these three days with us and I promise you'll gain so much more than you'll miss.
Join us for the Next-Level Leadership LIVE Event that is happening April 2nd through the 4th. Registration is open now, so secure your spot now.
I've seen this event transform lives and businesses and I know that it can do the same thing for you. So don't wait until burnout forces you to make a change.
Head on over to chrislocurto.com/liveevents that's chrislocurto.com/liveevents to learn more and secure your spot.
Folks. I am looking forward to seeing you there.
How KRAs Prevent Leadership Struggles (00:14:03)
All right, number three thing. How KRAs prevent leadership struggles. So, so many problems that we have with leadership is lacking clarity around roles.
And because we're lacking clarity around roles, it leads to constant role changes, shifting expectations. Maybe there is a lack of vision, maybe there is unclear communication.
All of that creates just this unrest and a lot of times conflict and problems, and unfortunately, a great lack of productivity.
When you have a team member that doesn't have clarity on what they're supposed to be doing, then they just do what's in front of them to keep getting paid.
And unfortunately, a lack of expectations, a lack of communication leads to problems when you as a leader, need to lead this team member.
So when you don't clearly define what each team member should be accomplishing and how their KRAs solve it, then you get confusion, you get unmet expectations, you get, again, role changes, you get people that are frustrated, you get inefficiency, you lose money.
Let me hit the wallet again. You lose money, you end up paying twice the amount of money for team members. Wow, Chris, how in the world do you figure that one?
Because when people are working half of their own capacity because there's confusion, there's, you know, lack of clarity, there's lack of vision, then you're paying twice the amount for that person. My team is so effective, they're so efficient, they knock out so much stuff.
It's fantastic. But you probably do not realize how much payroll you're losing because people don't have clarity, because people are confused to some extent and they may not even be willing to admit it.
That's another problem we have when we don't have accountability. People could be telling you they know exactly what they're doing. And yes, everything's going great, everything's fantastic, and you have no way of knowing until something goes wrong.
KRAs solve this problem by providing clear, measurable goals that align with the company's mission, that aligns with the vision, aligns with the StratPlan, all of that. Everybody knows exactly what they should be doing because they know what success looks like.
Integrating KRAs into Your Leadership Strategy (00:16:35)
Number four, integrating KRAs into your leadership strategy. So here's what I want you to do. I want you to start looking. And again, you have to learn how to make a quality carry.
But start asking yourself this question. All right? As a leader, how am I going to take team objectives that we're trying to accomplish and tie a KRA in?
Well, great. Break down the team objective. Break down the expected results that you have. Break down the timelines, break down the KPIs that are going to make that Happen.
And then take a look at the roles that are going to accomplish those objectives and ask yourself, do I have that clearly explained?
Do they know exactly how they're going to accomplish these objectives? Right. What about just mission? Take a look at the roles and ask yourself, if this is the purpose for our business's existence.
Does this KRA accomplish that purpose, that mission? If it doesn't, why does it exist? Why is it there? You might actually find that you have a role or two you no longer need. Sometimes we have folks that's like, yeah, that person's been here for seven years.
Why? We've just kept doing the same thing. Does it align with what we're trying to accomplish? Not at all. So let's either find a new place to put them or get rid of that, you know, and get rid of the role.
Or if we don't have another place to put them, we have to ask the question, why are we paying this person for this? Right. So what about vision, direction?
You know, as you're going to lead your. Your strategy for leading your team? A great part of that is the accountability to the destination. We're going here.
Why are you doing this thing over here? Why is this happening over here? How come this hasn't happened yet? All of those things help you to have accountability and pull people back to the KRA.
The great thing is, as you're leading through that process, you're removing confusion, you're increasing the accountability because we all have to answer to it, right?
Here's the KRA, here's the things we're expecting. You have to answer to this, but you're also removing confusion, which is fantastic. I've literally seen so many businesses create so much more profit and productivity.
I've had people that reached out and like, my gosh, we thought this was crazy. We thought this was a lot of work to have to put these things in place.
And our place runs so much smoother and people are communicating well and people know what they're supposed to be doing.
And our productivity has increased dramatically. Like we've had folks say, man, within a couple of weeks, our productivity increased 33%. Within a few months, 50%.
We've had folks literally report back to us on how well it's done. So it's important to put these things in place. Right.
It's also important because not only does it give you a great tool to lead with in your leadership strategy, but it helps your team members know what success looks like.
This. If I'm doing these things, I'm doing the right things. And it probably will cut down an incredible number of tough conversations when you've been doing it long enough. I know that it will, because that's what it does.
So get your people focused on the right efforts. Get your people focused on getting to the right results, get them to improved results. All of these things are an important part of your leadership strategy.
Why Revisiting KRAs Is Critical (00:20:09)
Number five, why revisiting careers is critical. So again, we've talked about carries many times on the show. We will talk about it forever because it's just one of those incredibly vital pieces to your success.
But here's what people don't do a lot. They do not go back and review. This is. I can't tell you how many clients have said, yep, we did those KRAs. I'm like, okay, when did you guys do your reviews on them?
We haven't done them. When did you do the KRA? A year ago. Okay, we got to change that. When you make a brand new KRA and you have a new person in a role, you're looking at, I don't know, three to five key result areas.
These are expectations that you should have. Right. You don't want to have 20 because those wouldn't be. Those wouldn't be key. Right. We're looking for key areas.
A lot of times it's, you know, three, sometimes five, sometimes it can be a little bit more than that. But you get too far out, it gets too difficult to manage. Right. It also creates confusion on the team member that they've got 12 different KRAs.
So here's the deal. Once you put somebody in place, you've got a new KRA every month. Yes, I did say every. Every month, you sit down with that team member for a 15, 30 minute meeting and review that KRA.
And you ask yourself, on a scale of 0 to 100%, how successful is this team member being in? KRA one, KRA two, KRA three, you rank them. If they are not in a high 90 percentile, then you have to ask yourself the question.
You have to ask the team member, what is holding you back? What is keeping you from being successful? What is keeping you from getting to these results?
This is your phenomenal tool and opportunity for you to lead that person to success. You might find out that there's tools that you haven't given them.
You might find out that they're struggling because they're not getting quality leadership. There's all kinds of things you can discover.
This is why you do it once a month so that we don't get six months down the road and find out somebody doesn't know what the heck they're doing.
You do it every month when they are hitting high numbers, high percentages on those KRAs. Spread it out once every two months, once every three months. I wouldn't go any less than once every six months just so that you have a pulse on what they're doing. Right?
But you might find that they're killing it every single time. And then, you know, you only have to sit down with them twice a year.
That might be a rarity, but you could get there, especially if they're doing a lot of the same stuff. Right.
Additional Resources (00:22:58)
Make sure you go back and listen to older episodes on carries for more in depth understanding this episode. Here is more of that fresh take on the KRA, you know, mini masterclass series that we've done.
So additional episodes, I want you to go back and listen to episode 120, which is KRA: The What, The Why, and The How of Key Result Area.
So this is where we go through so many examples and we give you all the tools you need to crush it right in your business and in your life. This applies to your life a lot.
Number 406 - Episode 406 | What Good is a KRA? So in this episode we answer your questions about KRAs and walk you through the results you can expect by implementing this tool.
Also, a great blog post, How To Create A KRA (Key Result Area)
Go to chrislocurto.com for all of these things. This will help you in this, you know, mini master class on doing KRAs. So leading a winning team absolutely requires way more than just hiring good people.
The hope is that you hire good people, but once they're on board, you've got to do everything you can to ensure that everyone knows what success looks like in the role. Every single person cares are the secret to providing that clarity and alignment.
So whether you're new to KRAs or you need a refresher, this episode and all of those resources I just gave you, they are a mini masterclass on how to be successful and how to transform your leadership and transform your team.
Well, folks, hopefully this has been helpful today. Help us to reach more people with this information. Would you do us a favor and go and rate and maybe leave a quote about this show that helps us to reach more folks.
Be sure to appreciate that. As always, take this information, change your leadership, change your business, change your life and join us on the next episode.