The Impact of Performance Management on Organizational Success: A Case Study of HSBC Holdings Plc, U

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?

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.

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.

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 sales was increase up to 85% through adopting performance management strategy  (Dewettinck & Vroonen 2017).

Performance Management

Table 1:  (Dewettinck & Vroonen 2017)

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.

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).

Table 3: (Al-Muharrami & Rama Murth, 2017)

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 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.

Strategies for Managing Performance

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:

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 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.

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.

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.

Issues

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.

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.

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.

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.

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.

Relationship Between Performance Management and Organizational Success

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.

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.

 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.

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.

Findings

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.

References

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Arnold, K. A. (2017). Transformational leadership and employee psychological well-being: A review and directions for future research. Journal of Occupational Health Psychology , 22 (3), 381.

Barth, A. L., & Beer, W. d. (2017). Performance Management Success: A Best Practices and Implementation Guide for Leaders and Managers of All Organizations. Berlin: Springer.

Bauwens, R., Audenaert, M., & Decramer, A. (2019). Fostering societal impact and job satisfaction: the role of performance management and leader–member exchange. Public Management Review , 21 (10), 1486-1515.

Dalcher, D. (2018). Strategy execution: Overcoming the alignment trap. PM World Journal , 7.

Dewettinck, K., & Vroonen, W. (2017). Antecedents and consequences of performance management enactment by front-line managers. Evidence from Belgium. The International Journal of Human Resource Management , 28 (17), 2473-2502.

Doellgast, V., & Marsden, D. (2019). Institutions as constraints and resources: Explaining cross‐national divergence in performance management. Human Resource Management Journal , 29 (2), 199-216.

Gerrish, E. (2016). The impact of performance management on organizations. Public Administration Review , 76 (1), 48-66.

Kochukalam, C., Thomas, J., & Joseph, M. B. (2018). Factors Influencing Choice of Banks in a Millennial Customer Perspective. Global Journal of Commerce and Management Perspective , 7 (1), 1-6.

Molan, C., Kelly, S., Arnold, R., & Matthews, J. (2019). Performance Management: A Systematic Review of Processes in Elite Sport and Other Performance Domains. Journal of Applied Sport Psychology , 31 (1), 87-104.

Naheem, M. A. (2018). Illicit financial flows: HSBC case study. Journal of Money Laundering Control , 21 (2), 231-246.

Omarini, A. (2016). Banks and the Priority System to Balance: Strategy, Capital, People, Process and the Institutional Stature. Journal of Finance , 4 (2), 1-14.

Padilla-Díaz, M. (2015). Phenomenology in educational qualitative research: Philosophy as science or philosophical science. International Journal of Educational Excellence , 1 (2), 101-110.

Percy, W. H., Kostere, K., & Kostere, S. (2015). Generic qualitative research in psychology. The Qualitative Report , 20 (2), 76-85.

Teherani, A., Martimianakis, T., Stenfors-Hayes, T., Wadhwa, A., & Varpio, L. (2015). Choosing a qualitative research approach. Journal of graduate medical education , 7 (4), 669-670.

Tian, J., & Le, Y. (2018). Banking Industry Valuation Analysis in the Context . Journal of Modern Accounting and Auditing , 14 (5), 265-270.

Yang, J. H., & Liu, S. (2017). Accounting narratives and impression management. Accounting and Business Research , 47 (6), 673-694.