1. Executive Summary 

SKY HR is an AI-powered HR case management and workflow automation platform integrated with Microsoft Teams and a web-based HR portal. The solution enables employees to submit HR requests, ask policy-related questions, and receive support directly through Teams while allowing HR to manage cases, approvals, escalations, and employee communication through a centralized portal. The platform uses OpenAI-powered intelligence to classify requests, collect required information, generate summaries, and automate HR workflows. SKY HR improves response times, reduces manual HR effort, and provides a structured and auditable process for handling employee requests. 

Key Outcomes 
Reduces manual HR request handling and triage effort. 
Enables centralized case management and approval workflows.  
Provides AI-powered employee self-service through Microsoft Teams. 
Improves communication transparency between employees and HR. 
Maintains complete audit trails for HR activities. 

2. Problem Statement 

2.1 Background 

Organizations often manage employee requests through emails, chats, phone calls, and manual spreadsheets. This fragmented process creates delays, inconsistent responses, limited visibility into request status, and difficulty tracking approvals and resolutions 

2.2 Core Problem 

Employees lack a centralized and efficient mechanism to submit HR requests and obtain policy guidance, while HR teams lack a structured workflow for managing requests, approvals, escalations, and employee communications. This leads to delays, inconsistent processing, and limited visibility into request progress.  

2.3 Affected Stakeholders 

Stakeholder Role Impact Key Concerns 
Employees Submit HR Requests High Quick Responses, visibility 
HR Team Case Processing High Efficiency, workload 
Managers Approvals, Escalations Medium Timely decisions 
Leadership Strategic oversight Medium Cost, ROI, delivery 

2.4 Pain Points 

  • HR requests are scattered across emails and chats. 
  • Employees repeatedly ask the same policy-related questions.  
  • Manual request categorization increases workload. 
  • Limited visibility into approval and escalation status. 
  • Delays caused by unavailable HR personnel. 

3. Solution Overview 

3.1 Proposed Solution 

SKY HR provides a centralized HR support platform combining Microsoft Teams, artificial intelligence, and workflow automation. Employees interact with an AI-powered Teams bot to ask questions, submit requests, and receive updates. The AI classifies requests, gathers required information, generates request summaries, and creates cases automatically. HR manage cases, approvals, escalations, and employee communications through a dedicated web portal. 

3.2 Out of Scope 

  • Payroll processing.  
  • Recruitment and applicant tracking.  
  • Performance management. 
  • Employee compensation planning. 

4. Screenshots & Workflow 

This section illustrates the end-to-end user journey through the system. Each step maps to a key interaction point. Replace the placeholders below with actual screenshots from the application. 

4.1 Workflow Overview 

Step Screen / Action Description UI Location 
User Authentication User logs in via SSO or credentials Login page 
Dashboard / Home User lands on personalized dashboard Main dashboard 
Initiate Action User submits form, uploads data, or triggers job Input form / Upload 
Processing System processes request, model runs inference Progress indicator 
Results & Review Output rendered; user reviews and acts Results view 
Export / Handoff User exports results or triggers downstream action Export panel 

4.2 Screen-by-Screen Walkthrough 

Step 1 Authentication 

Users authenticate using Microsoft Teams or the SKY HR web portal. Portal users authenticate using their registered email address and password.  

AI HR Chatbot for Microsoft Teams

Figure 1 Authentication screen 

Step 2 : Dashboard 

After authentication, users with HR role are presented with a dashboard. 

Figure 2 . Dashboard with key metrics and navigation 

Step 3 : Input & Submission 

Employees interact with the SKY HR Microsoft Teams bot to submit HR requests or ask policy-related questions. User can also submit a case by asking for a specific form. Once all required information has been gathered, the system creates an HR case. 

leave Request form in HR chatbot

Figure 3 Case Form 

Step 4 : Processing 

Upon submission, the system builds the case and displays a success message. 

AI HR Chatbot for Microsoft Teams

Figure 4 Case processing and AI response generation 

Step 5 : Results 

Created cases are available through the SKY HR web portal, where HR users can review request details, communicate with employees, escalate cases, approve or reject requests, and monitor case progress.  

case handling with AI in HR management

Figure 5 Cases Screen showing pending cases by default 

 Step 6 : Resolution & Notifications 

Once a final decision has been made, the system updates the case status, records the decision in the audit trail, and automatically notifies the employee and relevant participants through both the web portal and Microsoft Teams. 

Figure 6 . Final case resolution 

Figure 6 . Final Notification Delivery 

5. High-Level Architecture 

The architecture prioritizes scalability, maintainability, security, and user accessibility. 

AI Powered HR Chatbot -System Architecture

Figure 7 High-level system architecture (replace with actual diagram) 

5.1 Architectural Layers 

Layer Technology Responsibility 
Client Layer Microsoft Teams Employee interaction 
Web Portal Next.js, React, TypeScript HR management interface 
API Layer ASP.NET Core Web API Business logic 
AI Layer OpenAI GPT Models, Whisper Classification and summaries 
Database Layer SQL Server Data storage 
Real-Time Layer SignalR Live updates 
Identity Layer Microsoft Entra ID, JWT Authentication 
Notification Layer Bot Framework Teams notifications 

5.2 Data Flow 

The table below traces a request from user input through to final output, identifying the component responsible at each step. 

# From  To Description 
1 Employee → Teams Bot User submits request 
2 Teams Bot → API Request sent to backend 
3 API → OpenAI Classification and analysis 
4 OpenAI → API Prepared payload dispatched for inference 
5 API → Database Case saved 
6 Database → Portal HR retrieves cases 
7 Portal → Employee Updates sent through Teams 

5.3 Model Choice & Rationale 

Attribute Value 
Selected Model GPT-4o-mini 
Model Type Conversational AI / Classification 
Provider OpenAI 
Context Window Large-context support 
Fine-Tuned No 

Why this model? 

  • Strong HR request classification capability.  
  • Natural conversational responses.  
  • Fast response times.  
  • Cost-effective compared to larger models.  
  • Easy integration through OpenAI APIs. 

5.4 Integrations 

The system integrates with the following external systems. Each integration is described by protocol, authentication method, and purpose. 

System Protocol Auth Method Purpose 
Microsoft Teams Bot Framework Entra ID Employee communication 
OpenAI REST API API Key AI processing 
SQL Server ADO.NET Connection String Data storage 
SignalR WebSocket JWT Real-time updates 
Microsoft Entra ID OAuth 2.0 JWT Identity management 

5.5 Security Considerations 

Security Posture Summary 
HTTPS enforced for all communication. 
JWT authentication for portal users.  
Microsoft Entra ID authentication for Teams users. 
Role-based access control implemented.  
Internal and employee conversations separated. 
Audit history maintained for all case activities. 

Authentication & Authorization 

  • Microsoft Entra ID for Teams authentication.  
  • JWT tokens for portal access.  
  • Role-based permissions:  
  • Employee  
  • HR  
  • Manager  
  • Team Lead  
  • Admin 

Data Protection 

  • Sensitive data stored in SQL Server.  
  • API access secured through authorization middleware.  
  • Case history and approval actions logged. 

Infrastructure Security 

  • Secure API endpoints.  
  • Role-based access restrictions.  
  • Input validation and request sanitization. 

6. Deployment & Infrastructure 

6.1 Environments 

Environment Platform Purpose Access 
Local Development Visual Studio, SQL Server, Microsoft Teams Toolkit Feature development, debugging, and testing Developers only 
Frontend Production Vercel Hosts the HR Web Portal for end users Employees, HR, Managers, Team Leads, Admins 
Backend Production Microsoft Azure App Service Hosts the ASP.NET Core Web API, Teams Bot, SignalR Hub, and business logic Authorized application users 
Database Microsoft SQL Server Stores users, cases, approvals, workflows, policies, notifications, and chat history Backend services and database administrators 

6.2 CI/CD Pipeline 

  1. Developers implement and test new features locally using Visual Studio and SQL Server. 
  1. The frontend application is built and deployed to Vercel, making the latest user interface available to end users. 
  1. The backend API is published from Visual Studio to Microsoft Azure App Service, deploying all REST APIs, SignalR services, AI integrations, and Microsoft Teams bot functionality. 
  1. Azure App Service configuration (connection strings, JWT settings, Microsoft Bot credentials, and environment variables such as API keys) is updated through the Azure Portal without modifying application code.  
  1. The Microsoft Teams application package is updated and uploaded to the Microsoft Teams Admin Center, allowing users to access the latest bot functionality. 
  1. After deployment, functionality is verified by testing: 
  • HR Portal authentication 
  • Case creation and management 
  • Microsoft Teams bot conversations 
  • Workflow processing 
  • Notifications and approvals 
  • Database connectivity 

7. Open Issues & Risks 

Risk Severity Likelihood Mitigation 
AI misclassification Medium Medium Human review workflows 
OpenAI service availability Medium Medium Retry mechanisms 
Teams API limitations Low Medium Monitoring and fallbacks 
Data quality issues Medium Medium Validation checks 
User adoption challenges Medium Medium Training and onboarding 

8. Appendix 

A. Glossary 

Term Definition 
Case An HR request submitted by an employee. 
Adaptive Card Interactive Teams card used for notifications and responses. 
Entra ID Microsoft’s identity and access management platform. 
RBAC Role-Based Access Control. 
SignalR Real-time communication framework. 

FAQ’s

What is an AI HR Chatbot for Microsoft Teams?

An AI HR chatbot for Microsoft Teams helps employees submit HR requests, get instant policy answers, and track case progress without leaving Teams.

How does SKY HR automate HR workflows?

SKY HR uses AI to classify requests, collect required information, create HR cases, and automate approvals, notifications, and escalations.

Can employees track the status of their HR requests?

Yes. Employees receive real-time updates and notifications through Microsoft Teams and can monitor the progress of their HR requests.

Is SKY HR secure for handling employee data?

Yes. SKY HR uses Microsoft Entra ID authentication, role-based access control, encrypted communication, and audit trails to protect sensitive HR information.

is a software solution company that was established in 2016. Our quality services begin with experience and end with dedication. Our directors have more than 15 years of IT experience to handle various projects successfully. Our dedicated teams are available to help our clients streamline their business processes, enhance their customer support, automate their day-to-day tasks, and provide software solutions tailored to their specific needs. We are experts in Dynamics 365 and Power Platform services, whether you need Dynamics 365 implementation, customization, integration, data migration, training, or ongoing support.

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