Project Plan: Performance Management Impact on HSBC Holdings Plc

This project plan investigates the impact of performance management on the organizational success of HSBC Holdings Plc in the UK. The introduction highlights the importance of performance management and its influence on organizational outcomes, while the research objective focuses on evaluating this impact. The research questions explore the strategies and policies used by HSBC for performance management, the challenges faced, and the effect of performance management on its success. The literature review provides an overview of performance management, strategies, and related issues. The research design employs an exploratory approach with pragmatism research philosophy and a deductive research approach. The plan outlines data collection, analysis methods, and ethical considerations, along with a time plan and references. The findings reveal the strategies adopted by HSBC, the challenges faced, and the relationship between performance management and organizational success, emphasizing the direct association between effective performance management and organizational achievement. The research gap focuses on providing specific insights into HSBC's performance management policies and issues.

RUNNING HEAD: MANAGEMENT 0
“PERFORMANCE MANAGEMENT”

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Table of Contents
Title..................................................................................................................................................2
Introduction......................................................................................................................................2
Research objective...........................................................................................................................2
Research Questions......................................................................................................................3
Deliverable...................................................................................................................................3
Literature review..............................................................................................................................3
Performance management...........................................................................................................3
Strategies for managing performance..........................................................................................4
Issues............................................................................................................................................5
Relationship between Performance management and Organizational success...........................5
Findings.......................................................................................................................................6
Research Gap...............................................................................................................................7
Research design...............................................................................................................................7
Research philosophy....................................................................................................................8
Research approach.......................................................................................................................8
Research strategy.........................................................................................................................8
Data collection.............................................................................................................................9
Data analysis................................................................................................................................9
Ethics, risks and issues..................................................................................................................10
Time plan.......................................................................................................................................11
References......................................................................................................................................12

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Title
The title of the project plan is to understand “The impact of performance management on
organizational success; A Case Study of HSBC Holdings Plc, UK”.
Introduction
Performance management (PM) is a process of ensuring that set of activities and outputs
meets an organization's goals in an effective and efficient manner (Barth & Beer 2017). In this
project plan “The impact of performance management on organizational success; A Case Study
of HSBC Holdings Plc, UK” is selected. It is because not much of the studies are conducted to
evaluate the performance management strategies adopted by HSBC Holdings Plc and their
influence on organizational outcomes.
The estimation describes performance management strategies leads in managing 70%
work of organization (Bauwens, Audenaert & Decramer 2019). The present project proposal
also reveals the key issues which HSBC Holdings Plc face for performance management in long
run. Further, discussion is made on describing the objective of the project, different perception of
authors about subject matter. The project proposal will also describe methodologies which will
be used in implementing project and timeframe in which activities will be carried.
Research objective
The main objective for conducting the research will be focuses on evaluating “The impact of
performance management on organizational success; A Case Study of HSBC Holdings Plc, UK”.
Further, to achieve the objective of conducting the research related aim of the study will be:-
 To investigate “the strategies adopted by HSBC Holdings Plc, UK for performance
management”
 To examine “the issues faced by HSBC Holdings Plc, UK in implementing strategies for
managing performance”
 To investigate “the influence of performance management on HSBC Holdings Plc, UK
success”

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Research Questions
 “What are the strategies and policies HSBC Holdings Plc used for managing the
performance in UK?”
 “Describe the challenges which affect the implementation of performance management
strategies by HSBC Holdings Plc, UK?”
 “What is the affect of performance management on the success of HSBC Holdings Plc?”
Deliverable
The expected outcomes will describe that performance management influence positively
on the success and achievement of HSBC Holdings Plc in UK. Therefore, the project plan
reveals that study will reveal the theories used by the company to manage performance for long
term success. It is important research for HSBC Holdings Plc because it provides information
regarding the challenges which it faces in developing strategy. Through this, it can develop the
policies to overcome issues and concentrate on developing outcomes so that it can sustain in
competitive environment.
Literature review
Performance management
Bauwens, Audenaert & Decramer conducted the study to understand the concept of
performance management in the organization (Bauwens, Audenaert & Decramer 2019). From
the analysis, it is revealed that it is the procedure which concentrates on managing the operations
of department, functions of employees and also organizes the procedure of organization so that
activities will be managed in effective manner.
The study was also conducted to understand the importance and significance of
performance management in the organization (Doellgast & Marsden 2019). The analysis
revealed that PM supports the organization in boosting employee engagement. This also helps
the employees in increasing the productivity of the organization in the long run. However,
researchers also describe that performance management leads in increasing the sales and profits
of the organization. The study was conducted in Australia which revealed that in the current year

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sales was increase up to 85% through adopting performance management strategy (Dewettinck
& Vroonen 2017).
Table 1: (Dewettinck & Vroonen 2017)
Strategies for managing performance
The objective of the study is to understand the strategies which UK organization adopt to
manage the performance (Molan et al. 2019). The secondary method is used by the researchers;
through analysis it is demonstrate that HSBC Holdings Plc adopts the strategy of defining and
communicating the goals and objectives of performance to employee. It is because through this
they understand the results and performance which organization expect from employees.
However, the researcher revealed that in UK most of the organization uses performance
management software so that it foster the development of employees and increase efficiency in
the organization (Naheem, 2018).
The study describes that HSBC Holdings Plc adopt strategy of providing frequent
feedback about the performance (Tian & Le, 2018). It is because positive feedback leads in
increasing the skills and capabilities that is it is estimated that in the year 2018, it leads in
increasing profits of HSBC Holdings plc in UK.
Year Profit
2015 $5.1 billion
2016 $3.45 billion
2017 $11.88 billion
2018 $15.3 billion
Table 2: (Tian & Le, 2018)

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Issues
The objective of the research is to understand the challenges which organization face in
implementing the performance management strategies (Barth & Beer, 2017). The results of the
study describe that wrong designing is the major challenge which includes that in US it become
difficult for the organization to maintain the balance between the technique and objectives of the
organization. The results of the research describe that in UK majority of the organization face
issues, the study was conducted by including HSBC holding Plc Company in research (Omarini,
2016). The analysis of the data revealed that lack of leader’s commitment and ignoring the
change management is the major challenge which reduces the performance of the organization.
Performance management is become the major approach which manage the overall
activity of the company and raise the expansion of organization (Kochukalam et al., 2018). The
data collection was done through gathering information from existing literatures. Form the
investigation it is revealed that HSBC holdings face issue of defining the goal, defining the
measures of performance that is key performance indicators and reduce challenge were also
included because of inefficient performance appraisal method. This result at number of
employee’s number of HSBC holdings decreases and does not increase in similar ratio that is in
the year 2018 it has 235,000 employees (Al-Muharrami & Rama Murth, 2017).
Year Employees
2015 264,000
2016 241,000
2017 229,000
2018 235,000
Table 3: (Al-Muharrami & Rama Murth, 2017)
Relationship between Performance management and Organizational success
The study was conducted to understand the association among performance management
and productivity of organization (Arnold, 2017). Through the analysis it is revealed that
performance management leads in managing the performance of the individuals and teams and
increase the achievement of the organization. Dalcher conducted the study in Australia to
understand the influence of performance management on the outcomes of organization (Dalcher,
2018). The results describe that it leads in increasing skills and competencies of the employee on

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regular basis as well as raise the motivation of the employees. It is because of managing the
overall roles and responsibilities of the employees in each department.
The study was conducted in HSBC Holdings plc and revealed that performance
management motivates the employees to perform efficient in the particular situation. (Yang &
Liu, 2017) Therefore, it increase involvement, participation and support the employees to use
skills and capabilities to perform efficiently in particular tasks. The study was conducted to
understand the influence of performance management on the success of the company (Gerrish,
2016). The data collection was done from the organization in UK, the analysis revealed that
performance management raise the profits and increase the capability of the company to expand
in international market. The above graph revealed that the performance management procedure
increase outcomes of the organization in regular manner.
Table 4:
Findings
The above findings revealed that performance management is considered the process in
which organization develop several systems for managing the performance and results in
development of the employees in the long run. It is the approach which reduces
misunderstanding and describes overall roles and responsibilities of the workforce. The above
estimation also revealed that HSBC Holdings Plc adopt the policy of communicating the

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performance objectives, using performance management software and providing feedback to the
employees regarding the performance.
These strategies leads in increasing profits of HSBC holdings plc in the current year,
further it also face some challenges in developing the strategies which includes issue of
commitment, involvement, ineffective formulation and lack of skills and knowledge. This results
in reducing workforce of the organization and decrease the rate of increasing number of
employees in HSBC Holdings plc. Further, the results also revealed that performance
management raise profits and sales of the companies in Australia, US and in UK. Therefore, it is
revealed that there is direct association between performance management and accomplishment
of the organization.
Research Gap
The above studies focus on providing information about the application of performance
management in different organization of Australia, US and also companies in UK. Therefore, the
majority of the studies do not focuses on the particular organization. So, the present plan
describes that study will be focusing on providing information about “The impact of
performance management on organizational success; A Case Study of HSBC Holdings Plc, UK”
it is because not much of the study is conducted to find relationship between both in HSBC
Holdings Plc, UK. This study supports in providing complete information about policies and
issues which HSBC Holdings Plc suffers in administrating the performance in the organization.
Research design
It describes the strategy of conducting the study it describes all the activities, approaches
used in the study (Teherani et al., 2015). It is the most important approach because it also
support the research is selects the technique of data collection and analyzing the information.
The proposal demonstrate that for conducting the research “exploratory research design” will be
used it is because not much of the research is conducted to understand the performance
management influence on outcomes of HSBC Holdings plc. In this research new information
will be explored regarding the policies used by the company to motivate the employees by
managing performance.

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Research philosophy
It is the belief and the manner in which research select the method of collecting the
information and in this researcher also decide the strategy of evaluating the information (Percy
et al., 2015). It supports the researcher to conduct the study in systematic manner and in this
approach the researcher design the framework and timeline for conducting the research.
The plan reveals that present study will be using “pragmatism research philosophy”
because this supports in understanding the importance of each method which could be used in
describing the impact between both the selected variables that is performance management and
organizational success and productivity. Further, it also support in describing the application of
primary and secondary method for getting the data about internal environment and results
revealed through implementing the strategy of performance management towards the employees
and efficiency of HSBC Holdings plc.
Research approach
It is the whole plan and procedure which include several steps and assumptions which is
appropriate for the study (Padilla-Díaz, 2015). In this the major nature of research problem is
addressed by understanding the interpretation of data and revealing the sequential process which
reduces the misunderstanding of the researchers.
In the plan it is described that study will be using “deductive research approach” it is
because through using this approach the validity and accuracy of data will be tested. This is done
through interpreting the appropriate information about the challenges which reduce the accuracy
of performance management strategy in HSBC holding plc, UK. This can also support in
developing the themes which can segment the important and appropriate according to the
required manner.
Research strategy
This leads in providing major guidelines to the researchers about which technique to be
used in the required time period (Dewettinck & Vroonen, 2017). Therefore, this is considered the
major step because this supports the researchers to get the quality results according to the
required schedule and structure. The research strategy will also help in differentiating the
research questions which should be answered in required time period.

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In the present study for getting the answer about the application of performance
management in HSBC Holdings Plc. Exploratory research will be used and primary method will
also be used. It is because through this accurate information about the subject matter will be
received from the respondents and also helps in involving the number of respondents which are
adequate and appropriate for the present research.
Data collection
It is the most important approach because it helps in getting the information which is
important for the study and support in getting the answer of the research question (Arnold,
2017). The different research will use diverse method but it is depend on the objective and
strategy of the research, however choosing the appropriate method is considered highly difficult
for the researchers.
The project plan reveals that for conducting the present research that is to get the answer
regarding “the impact of performance management on HSBC Holdings Plc success” primary
method will be used. The data collection will be done from the respondent that is opinions and
perception about the strategies and challenges faced through performance management is
revealed. The information is collected from using questionnaire method; the various questions
were developed to maintain accuracy and validity. The sample size of the study is 250
employees of HSBC Holdings Plc of UK, these all involve in the study to reveal their opinion
about subject matter. Further, in selecting the respondents “simple random sampling method”
will be used it is because through this all the employees get the equal chance in participating in
the study. This also leads in reducing misunderstanding and support in getting appropriate
answer of each question about relationship between performance management and
accomplishment of HSBC Holdings Plc.
Data analysis
The data analysis approach refer to the method of evaluating the data which was collected
in this approach researchers describe appropriate technique which investigate the collected
information to get the desired outcomes (Bauwens, Audenaert, & Decramer, 2019). The different
methods were adopted for measuring the validity of data.

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However, for the present study quantitative analysis method will be used. It is because
testing method will be used to investigate the validity of the data. Therefore, to investigate the
impact of the performance management in the company correlation test will be applied because it
reveal the association between two variables and describe that whether there is significant
difference between two factor or not. Further, to test the validity and to analyze the data SPSS
software will be used, this support in providing correct results about the information collected
from the respondents about performance management.
Ethics, risks and issues
The project plan also reveal there are some ethics, risks as well as issues involved in
conducting the research which includes lack of carefulness regarding reviewing the appropriate
article so that authenticity will be maintained. The risk of involving participates is the major
issue which can affect the data collection approach of this research. The lack of getting
appropriate information is the other issue which has to be deal with while conducting the study it
is because employees does not disclose complete information due to lack of trust and afraid of
not keeping the information confidential (Gerrish, 2016).
The other issues arise to select the legal information that is the data which is ethically
proven and which raise the validity of the study (Molan, Kelly, Arnold, & Matthews, 2019).
Further, there are various other issues which has to be deal with such as lack of openness which
reduce the efficiency of the study because the study will be considered efficient when it is
complete and open to receive the valid information. The present research will not involve tissue
samples; repetitive testing and information will be collected with the content of all the
participants. Therefore, confidentiality is also maintained in the study because of receiving
sensitive information from HSBC Holdings Plc employees of UK.

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Time plan
The several activities will be taken to develop the final report which includes that
background information will be collected and methods which used for data collection is selected.
Further, information is collected and analyzed so that objective of conducting the research will
be achieved. Further, recommendations and limitations of the study will also describe in the final
report.