What is 360-degree Appraisal?

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What is 360-degree Appraisal?

• Evaluation tool that utilizes opinions of
  many different people that interact with the
  employee on a routine basis.

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Objectives of 360-degree appraisal

• Providing insight into the strong and weak areas
  of the candidate
• Identification of developmental needs
• Generating data to serve as a more objective
  basis for rewards and other personnel decisions.
• Reinforcing other change management efforts and
  organization effectiveness directed
  interventions.
• Aligning individual and group goals with
  organizational vision, values and goals.
• Culture building.

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Objectives of 360-degree appraisal 2

• Leadership development
• Potential appraisal and development
• Career planning and development
• Succession planning and development
• Team building
• Planning internal customer satisfaction
  improvement measures.
• Role clarity and increased accountability

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Prerequisites for participation in 360-degree
appraisal

• The top management is committed to develop the
  competencies of employees on a continuous basis.
• There are a number of HRD systems operating in
  the organization and they are being taken
  seriously in implementation.
• The top management is serious about creating
  opportunities for employees to learn from each
  other and learn from their mistakes
• The top management is willing to invest their
  time and effort in giving feedback to their own
  subordinates.
• The top management and senior managers take the
  current appraisal system seriously and do all
  that they are required to ensure its effective
  implementation.
• The top management and senior managers conduct
  their performance review and counselling sessions
  regularly.

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Prerequisites for participation in 360-degree
appraisal

• There is a good degree of teamwork being
  emphasized in the organisation
• The HRD department has a high level of
  credibility.
• Top management interventions are not looked at
  with suspicion by the employees.
• Managers are interested in learning about
  themselves.
• Softer issues of management like managing people,
  professionalism, development etc. are emphasized
  in the organisation.
• Managers like their jobs seriously and learn.
• The organisation has a history of taking all
  change management tools seriously and
  implementing them till the end.
• People in the organisation take feedback
  seriously and try to benefit from the same.

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How to implement 360-degree appraisal
Planning
360-degree feedback
Piloting
Review
Implementing
Feedback
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360-degree appraisal-Methodology

• The questionnaire Dimensions measured in
  questionnaires are
• Leadership
• Team player
• Self-management
• Communication
• Vision
• Organizational skills
• Decision making
• Expertise
• Drive
• Adaptability
• Ratings
• Data processing
• Feedback
• Action

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5 things to consider before you start 360 degree
appraisal

• Purpose
• clarify why and what
• communicate to everyone.
• 2. Culture are you ready?
• Do you have a mature enough team dynamic?
• Are you open enough?
• Those involved need to feel comfortable
  supported.
• 3. Timing of introduction also link with the
  planning cycle.
• 4. Roll out champion?
• How to generate buy-in (commitment to achieving a
  shared goal)?
• Involve everyone early.
• 5. Confidentiality for appraisees and raters
  non-attributable.

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Benefits of 360-degree appraisal
Benefits to the Individual Process helps individuals understand how others perceive them
Benefits to the Individual Personal development needs are revealed
Benefits to the Individual Feedback is essential for learning
Benefits to the Individual Individuals can better manage their careers and performance
Benefits to the Team Increases communication between team members
Benefits to the Team Supports teamwork by involving team members in the development process
Benefits to the Company Better career development for employees
Benefits to the Company Promote from within
Benefits to the Company Improves customer service by having customers contribute to the training
Benefits to the Company Drives training
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Pros and Cons

• Pros
• Combined opinions more accurate
• Colleague comments tend to carry weight
• Some skills are best judged by peers and not
  management
• Increases motivation of employees
• Helps engender a more honest organizational
  culture

• Cons
• Administratively burdensome
• Results can be difficult to interpret
• Feedback can be damaging unless handled
  appropriately
• Can generate an environment of suspicion and
  cynicism if not managed openly and honestly

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360 degree feedback in practice

• Automobile association(AA), UK Used 360-degree
  feedback to stimulate and measure culture change.
• Well-led, informed, motivated and trained
  employees
• Atlantic Richfield Company (ARCO), USA Used
  360-degree feedback to build teamwork.
• Cause of oil spill communication failure and
  behaving in a routine way in a non-routine
  situation.
• Team View/360 window based software was used.