LSBM205: HR Function Development at Pine-Apps Ltd Case Study

This case study analyzes the HR challenges and opportunities for Pine-Apps Ltd, a tech start-up. It evaluates the advantages of developing an in-house HR function, emphasizing recruitment, employee relations, and training. The report assesses the role of performance management systems in aligning employee goals with organizational objectives, and explores how to improve employee commitment and engagement. It identifies potential challenges in implementing such systems, such as ensuring fairness and accuracy, and proposes solutions for overcoming these obstacles. The study provides insights into how Pine-Apps Ltd can leverage its HR practices to enhance organizational performance and foster a positive work environment. The case study also discusses how performance management systems can be integrated with other HR processes, like talent identification and feedback, to drive organizational success.

CASE STUDY

Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
Based on the academic literature, discuss and evaluate the advantages for Pine-Apps Ltd in
developing their own HR function..............................................................................................3
TASK 2............................................................................................................................................4
B) Role of performance management system..............................................................................4
B) Explain how a performance management system can be implemented with other HR
processes to improve organizational performance at Pine-Apps Ltd..........................................4
TASK 3............................................................................................................................................6
A) Explain how a performance management system can be used to improve employee
commitment and engagement at Pine-Apps Ltd..........................................................................6
B) Identify the challenges they may face using this system and propose how these can be
overcome or managed..................................................................................................................7
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8

INTRODUCTION
This report gives a brief description about function of HR with their development and the role of
performance management system. Pine-Apps Ltd is a technology start-up company that has been
operating for just over two years. The company was established in 2018 by Georgina Whitecross
and Tim Garrix, software developers who developed an app that revolutionized financial services
in 2018. This report gives a brief assessment on how performance management system can be
implemented with the processes of HR (Tambe, Cappelli and Yakubovich, 2019).
TASK 1
Based on the academic literature, discuss and evaluate the advantages for Pine-Apps Ltd in
developing their own HR function.
Pine apps have the potential to manage and increase their value by adding more
resources. If the HR department of business is not able to function properly then they will reach
that stage which will help them to make their team more efficient. It will be easier for Pine-apps
to cope up with activities of recruitment which will help them to find new skilled employees who
can help them to make improvement in different fields or areas. This way they can make
contribution in those areas through which they can fulfill the needs of business. It is the duty of
HR to find out and assess the available vacancies by keeping this record they can work on
recruitment for only these positions and save their time. This is because it is a time consuming
process. HR of company has to advertise for this process and make them reach to those
candidates who have potential for the job. At the beginning stage they will have to conduct
interview sessions. Team of HR has to manage and keep up with other managers that are
responsible and have to work towards their role and duties so that together they can round up the
final decision. It keeps the process of recruitment transparent which helps them to categorize
between people who are suitable or not for their job (Stević and Brković, 2020).
HR department of company will maintain their relationship with employees as well as
managers of Pine-apps. This is done so that all of them can work in coordination and unity is
there between them which will even maintain environment of work. Focus of HR must be on
increasing the strength between employees so that level of conflict can be reduced. Other than
this they make sure that employees must feel safe in company as they have taken all the

initiatives for that. Role of HR in company must also include offering their team the required
training so that they can adapt the changes as per that and excel in their careers which will be
beneficial for both of them (Paraschi, Georgopoulos and Kaldis, 2019).
TASK 2
B) Role of performance management system
With the help of implementation of this system they are able to meet the expectations
which are set by the managers of company. As this helps them to get the information on the
performance of employees and this way they will be able to know that they are suitable for
which role. This is done on the basis of evaluating their performance of last year. Goals which
are formed by the higher management of company are the ones who pass them in stages. As it
starts from CEO then board of directors and then it goes to chain of management. it is helpful for
the long term growth if they set their vision from the start. With the help of this system they will
be able to make their employees understand the importance of contributions made by them. This
way they make way for the goals of company. this also makes place in minds of employees that
what is expected from them so that they perform on the basis of that. Apart from that with the
help of system they will be able to link the path of objectives through communication so that all
the gaps in between the process are removed. There are two forms of objectives which can be
served through that which is developmental and evaluation. They can make and shape the
training programs with the help of this system which will be beneficial for both of them. In order
to increase the trust between them it is important that their relationship is harmonious which can
be done with the help of this method (Mawed and Al-Hajj, 2017).
B) Explain how a performance management system can be implemented with other HR
processes to improve organizational performance at Pine-Apps Ltd.
Use of performance management system is different as per the nature of business as all of
the businesses want performance that is acceptable to them. It is important for the management
to assess that employees must meet the expectations as per the task they have been assigned.
They can collect this information and use it to keep it as a record which they can use it in future
to observe the improvement in their process. This way they can conduct meetings and make final
decisions for giving them promotion. This is done for those people who are not able to complete

their task and their performance have some errors or irregularities in it. This will lead to careful
evaluation through which they can reduce their gaps between the expectation and actual
performance of employees. With the help of this managers can plan everything for improvement.
It takes a lot of time to make improvement in an employee who is less skilled and have less
potential. It is important to update the records in system of performance management as they can
help the processes of HR through which they will be able to make progress in Pine Apps (Tyas
and Naibaho, 2020).
Checking with Management-
 This aspect is for those who are able to perform as per the expectations of company. this
way they are able to assess that everything is being done under protocols. It helps them to
connect with employees and make sure that contributions being made are valuable.
 Identification of talent so that they have interested employees who develops with time. If
not their morale will reduce which will affect their productivity. Employees who are
disengaged must have to look for other areas because it can lead to issues which are
concerned with retention of employees as well as customers.
 Instead of investing majorly in vacant positions if the focus of business is to focus their
employees in place then it will show that they value their employees and their
contributions.
 They take feedback for performance of employees as they have to appraise their
employees. They make this decision on the basis of type of feedback they have gotten
this way they will be also make required changes in the process.
 If they are able to assess goals of business then they will stick to it. They will even work
on finding the goals of company and assist others so that they can reach it in time. It is
completion of task in time on the basis of which decision is taken for the preparation of
next year’s goals (Kokina, Pachamanova and Corbett, 2017).

TASK 3
A) Explain how a performance management system can be used to improve employee
commitment and engagement at Pine-Apps Ltd
If the leaders of company develop their position with time it will also leave an impact on
employees in a positive manner. reason behind this is that effectiveness in work of leaders will
lead to more engagement of employees in achieving their goals and objectives. Leaders will be
known as great if they are inspiring their employees in a way which keeps them motivated
towards their career. Leaders must have the abilities to take business to new heights by forming
or developing an environment where they can support employees or make them feel comfortable.
Not every leader are great at their work. With time and continuous training they become
effective in their line of work. It is important that company must provide them support, tools and
coach them so that they are aware about the importance of relationship building and how it plays
a role in development of employees.
The system of performance management must be used to monitor the check ins of
employees and assess their performance so that strategies to coach them can be developed.
Leaders have to take that position where they have insight about their employees which helps
them to engage in conversation with them. This helps in increasing the trust between them which
keep their discussions easy and open. If they are able to form an environment which is
supportive then they can have better relationship with each other. Changes in company can be
made easily and immediately (Eknath and Janardhan, 2020).
It is required that their culture must be able to recognize the potential of employees and
Pine Apps must have a feedback followed program. It is necessary that leaders understand the
importance of conversations with them. This will allow them to understand the things that are
happening and affecting employee’s personal and professional lives. This way even leader will
be more open with their employees and have a relationship with them which will be beneficial
for their business. These things bring improvement and make their performance better for them.
By building proper feedback culture they will be able to understand and take out the areas
which have issues so that they can work on them to get better. This way even employee will have
the idea about making progress in concerned areas and they will never neglect the decision of

leader of company. When they give continuous feedback they will be able to realize the issues by
themselves. It is important to enable different techniques of getting feedback in their culture
(Borgonovi, Anessi-Pessina and Bianchi, 2018).
B) Identify the challenges they may face using this system and propose how these can be
overcome or managed.
Unfair and inaccurate system to employees in economy-
It is important to note that contribution of employees which have helped company to
achieve success must be celebrated for long so that they believe they are getting fair and equal
treatment. There are many tasks which are important for the manager to remember and their
focus will stay on that which is why they will not be able to remember the efforts of employees.
The way appreciation is given to employees is not at all clear. Some of the businesses focuses
more on appraisal instead of training them. Employees are observed by managers of company
instead of leaders. It is important that with this managers supports them at every stage and keep
them motivated.
Wrong design of system-
System of performance management must be designed in such a way that fit the needs of
business. Management of company needs to make sure that system is not copying work of their
competitors who are in the same field. It is important to build trust in market and for that they
need to consult with their stakeholders. The system should be made equitable, and performance
management must be viewed as an ongoing process (Akhtar and Sushil, 2018).
CONCLUSION
From the above studies it has been concluded that it is important for Pine Apps to make
their employees feel appreciated and motivated so that they feel they are getting recognition as
well as fair treatment as this will help the company to get more contribution from them and they
will be more profitable. It is important to monitor their activities so that they can make
improvements in required areas and achieve their set goals and objectives.

REFERENCES
Books and Journal
Akhtar, M. and Sushil, S., 2018. Strategic performance management system in uncertain
business environment. Business Process Management Journal.
Borgonovi, E., Anessi-Pessina, E. and Bianchi, C. eds., 2018. Outcome-based performance
management in the public sector. Cham: Springer.
Eknath, S.M. and Janardhan, G.D., 2020. Level of Human Resources Development-A
Conceptual and Review Exposition. International Journal for Research in Applied Science
& Engineering Technology, 8(03), pp.687-691.
Kokina, J., Pachamanova, D. and Corbett, A., 2017. The role of data visualization and analytics
in performance management: Guiding entrepreneurial growth decisions. Journal of
Accounting Education, 38, pp.50-62.
Mawed, M. and Al-Hajj, A., 2017. Using big data to improve the performance management: a
case study from the UAE FM industry. Facilities.
Paraschi, E.P., Georgopoulos, A. and Kaldis, P., 2019. Airport Business Excellence Model: A
holistic performance management system. Tourism Management, 72, pp.352-372.
Stević, Ž. and Brković, N., 2020. A novel integrated FUCOM-MARCOS model for evaluation of
human resources in a transport company. Logistics, 4(1), p.4.
Tambe, P., Cappelli, P. and Yakubovich, V., 2019. Artificial intelligence in human resources
management: Challenges and a path forward. California Management Review, 61(4),
pp.15-42.
Tyas, E.H. and Naibaho, L., 2020. Building Superior Human Resources through Character
Education. TEST Engineering & Management, 83, pp.11864-11873.