Advantages of Developing HR Function for Pine Apps Ltd

This report discusses the advantages of developing HR function for Pine Apps Ltd, including organizational culture, training and development, management of conflict, and recruitment and retention. It also evaluates the role of performance management system in improving employee productivity, engagement, and feedback exchange. The report further explores how performance management system can be implemented with other HR processes to enhance organizational performance. Additionally, it examines how the system can be used to improve employee commitment and engagement at Pine Apps Ltd, and identifies challenges faced by the company in using the system and proposes solutions.

Talent management

Table of Contents
INTRODUCTION ..........................................................................................................................3
TASK 1............................................................................................................................................3
Discuss and evaluate the advantages for Pine Apps Ltd in developing their own HR function.3
TASK 2............................................................................................................................................4
1. Evaluate the role of performance management system...........................................................4
2. How performance management system can be implemented with other HR processes to
improve the organisational performance at Pine Apps Ltd.........................................................5
TASK 3............................................................................................................................................6
1. How performance management system can be used to improve the employee commitment
and engagement at Pine Apps Ltd...............................................................................................6
2. Identify the challenges the company Pine Apps Ltd may face using the system of
performance management and propose how these can be overcome or managed ?...................6
CONCLUSION ...............................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
Human resource is the major asset of the company as they work behind the bars for the
success and growth of the company. The human resource management is concerned with the
process of hiring, maintaining and motivating the workforce of the company. The employees are
the important resource of an organisation and the process of HRM involves employing the
people, giving requisite training to them and developing such policies which relates to workplace
in order to retain the employees. It is a strategic approach in the effective management of the
people in such a way that it helps the business to gain the competitive advantage (Glas, Henne
and Essig, 2018). This report shall deal with the advantages of developing HR function, role of
performance management system, how it can improve organisational performance, employment
engagement and commitment and lastly the challenges which comes while using such system
and how it can be overcome.
TASK 1
Discuss and evaluate the advantages for Pine Apps Ltd in developing their own HR function.
The human resource management is an important aspect of the business as it is
responsible for the process to manage the recruitment, screening, interviewing, training,
motivating and compensating the workforce. They also handle the employee relations, benefits,
training and payroll. In relation to Pine Apps Ltd, the company must initiate to build its own
Human Resource function so that it can manage its employees effectively. The benefits for Pine
Apps Ltd for initiating its own HR function is discussed below-

Illustration 1: Performance Management, 2020
 Organisational culture- This involves the bringing together the values, belief, vision and
the traditions which the company adopts. The HR functions play an important role in
influencing the culture of the company. For instance, if Pine Apps Ltd makes any policy
which emphasises on punctuality in order to promote time management skills in the
employees shall work as advantage for the company as work and target can be achieved
on time. Training and development- Every employee requires the training at the particular point
in order to get familiar with the policies and procedures of the firm. The HR functions
take up the responsibility for developing the on going employees so that they can get
continuous education in order to keep up their skills (Grossi and et. al., 2019). For
instance, the HR manager of Pine Apps Ltd must provide timely and regular training to
the employees so that they can learn the working and also get motivated to give their
best. This will help the company in employee retention.

 Management of conflict- There are many scenarios when conflict may arise between the
employees and employer. The conflicts cannot be avoided rather they can just be
managed. The HR manager through its HR functions must take the role of mediator so
that it can resolve the dispute among them and take right action so that nothing goes out
of hand. For instance, Pine Apps Ltd must ensure that they have dispute resolution
mechanism so that HR can solve the dispute between employer and employee and
grudges are left at workplace.
 Recruitment and retention- This seems to be the function of HR manager but still it
remains the main hub of the policies and the system of the HR function. Recruiting the
right qualified personnel, providing requisite training, and encouraging them to take
further skills, education and award them for performance can drive the company towards
success (Kroll and Moynihan, 2018). The HR of Pine Apps Ltd must ensure that it gives
requisite education and training to the employees so that they are retained in the
organisation for longer time period.
TASK 2
1. Evaluate the role of performance management system.
It is a very integral part of business as it manages and measures the productivity of the
business. Performance management does not only involve the process of documentation and
giving feedback but it is a very powerful tool to help the employees develop and also achieve at
their full potential. Through this, the employees can increase their value in the company and can
contribute efficiently to towards the success of the organisation (Jiang and et. al., 2020). Pine
Apps Ltd requires an efficient performance management system so that it can encourage the
employees to stay longer in the organisation and decrease the employee turnover. The role of
performance management system is discussed below- It encourages reward and recognition- These are highly beneficial for the business as
rewards and recognition are the result of staff retention. This can be effective if the
organisation is involved in visible and accurate process of the performance discussion
and feedback. Through the performance management, the Pine Apps Ltd will be able to
identify the efforts and activity of the employees which are worth reward. Moreover it
also contributes in promoting the growth of the mindset of the team members.

 It boost employee productivity and engagement- The employees who are more engaged
are believed to stay longer and actively gets engaged in the workplace so that they can
produce better result. If the level of employee engagement is improved, it boost the
productivity and also maximises the return of investment. Continuous performance
management will help Pine Apps in increasing the productivity of the employees and will
also encourage employee engagement in the workplace.
 It allows exchange of feedback- The importance of the feedback cannot be overstated in
performance management. Employees want regular feedback in order to know how they
are performing and in way ways they can improve. So performance management opens
the scope of regular feedback through which the working of the workforce can be
improved (Van Waeyenberg and Decramer, 2018).
2. How performance management system can be implemented with other HR processes to
improve the organisational performance at Pine Apps Ltd.
The performance management system may be implemented with other HR processes in
order to improve the performance of the company at Pine Apps which are discussed below- Reward management- The performance management may be implemented with the
reward management as performance management opens the space for feedback and
appreciation which is complimentary as appreciation involves rewards which motivates
the workforce. The performance can be improved of the employee by rewards and
recognition as it will motivate the workforce to give their best and make improvements in
their working. Training and development- This works as complimentary with performance
management as continuous training helps the employees to improve their performance
and and develop new knowledge for future endeavours. Training helps in acquiring new
knowledge and skill or making improvement in the existing one so that performance can
be managed efficiently and effectively.
 Performance appraisal- It is a regular review of the job performance of an employee and
the overall contribution to the company. It evaluates the skills, growth and achievement
of the employee. The performance management helps in evaluating the performance of
the staff so that their appraisal report can be made (Birdsall, 2018).

TASK 3
1. How performance management system can be used to improve the employee commitment and
engagement at Pine Apps Ltd.
Employee engagement is the key ingredient in order to achieve the high performance.
The performance management process must be designed in such a way that it improves the
employee engagement and commitment. The ways in which performance management system
can help in improving the employee engagement and commitment for Pine Apps Ltd is discussed
below- Communication- It is important the employer have two way communication with the
employees so that there is discussions and debates on the topic in order to bring clarity.
Instead of dictation of targets or priorities from the side of employer, there must be two
way communication so that the employees can clear their doubts and perform efficiently
in achieving the organisational goals. Moreover the employees will have communication
with each other which will result in employee engagement. Pine Apps Ltd can initiate
two way communication where the employer must be ready to solve the queries and
problems of the employee any time and they can also ask their doubts and make it clear
in order to work efficiently.
 Growth and development- This can be achieved when the employer will spent time in
making the career plan for the employees and according develop the personal
development plan so that they can build the knowledge, behaviour and skill which are
necessary to achieve the organisational goal. With the help of this, there will be increased
employee commitment and also the engagement which will help in growth and
development of the employee (Alexander, 2018).
2. Identify the challenges the company Pine Apps Ltd may face using the system of performance
management and propose how these can be overcome or managed ?
The challenges which Pine Apps faces when using the performance management system
are discussed below- Employee retention- The company Pine Apps Ltd is facing many challenges in employee
retention, as there is lack of loyalty and commitment in the organisation. This challenge
is affecting the performance of the company as the work load is being stressed upon the

senior members of the organisation. So their performance is also been lowered, thereby
affecting the overall performance of the company. NO formal training- Another challenge which the company is facing is that there is lack
of formal training in the company as the mentors believe that high employee turnover
results in wastage of time to train the employees.
 NO involvement in discussions- Third challenge is that there is less involvement of the
employees in the meeting due to high turnover issue only which lacks open ideas from
different people.
The solutions to these problems or challenges which can help in overcoming it are
discussed below- Management and leadership commitment- It is an important aspect as it creates huge
impact on aligning and integrating the performance management system. The
understanding of leadership and management and commitment is critical to the
performance of the company and its success. So it important to have management
commitment in Pine Apps so that the managers can leaders can work with subordinates
and evaluate their performance regularly. Continuous communication- This will help in managing the performing of the
employees as it will open the space for the employees to make improvement in their
working. The managers must make the subordinates involved in the discussions and
meetings so that there is free flow of information and ideas. This will help in overcoming
the problem of less involvement in meetings.
 Performance review- The managers and employers must do their performance review in
order to make the employees feel motivated so that they can work efficiently. The
continuous review of the work will help in performance management of the employee
which will help in overcoming the problem of employee retention (Mahmoudimehr and
Sebghati, 2019). The managers of Pine Apps Ltd will work on to give continuous review
to the employees so that they can make improvement in their work and this will motivate
them top give their best and hope for appreciation.
CONCLUSION
It is concluded from the above report that performance management is a part of HR
practice which is an important aspect in smooth running of the business. There are many

advantages for the company in building its own HR process which includes organisational
culture, communication, retention of employees and many other. The main role of performance
management system is rewards and retention, exchange of feedback and employee productivity
and engagement. Moreover the company is facing many problems in respect of performance
management which includes low employee retention, less involvement in meeting and no formal
training sessions for the employees. The company Pine Apps can overcome these by leadership
and management commitment, performance review and continuous commitment.

REFERENCES
Books and Journals
Alexander, J., 2018. Financial planning & analysis and performance management. John Wiley
& Sons.
Birdsall, C., 2018. Performance management in public higher education: Unintended
consequences and the implications of organizational diversity. Public Performance &
Management Review. 41(4). pp.669-695.
Glas, A.H., Henne, F.U. and Essig, M., 2018. Missing performance management and
measurement aspects in performance-based contracting. International Journal of
Operations & Production Management.
Grossi, G., and et. al., 2019. Accounting, performance management systems and accountability
changes in knowledge-intensive public organizations. Accounting, Auditing &
Accountability Journal.
Jiang, S., and et. al., 2020. A large group linguistic Z-DEMATEL approach for identifying key
performance indicators in hospital performance management. Applied Soft
Computing. 86. p.105900.
Kroll, A. and Moynihan, D.P., 2018. The design and practice of integrating evidence:
Connecting performance management with program evaluation. Public Administration
Review. 78(2). pp.183-194.
Mahmoudimehr, J. and Sebghati, P., 2019. A novel multi-objective Dynamic Programming
optimization method: Performance management of a solar thermal power plant as a case
study. Energy. 168. pp.796-814.
Van Waeyenberg, T. and Decramer, A., 2018. Line managers’ AMO to manage employees’
performance: the route to effective and satisfying performance management. The
International Journal of Human Resource Management. 29(22). pp.3093-3114.