lecture 360 degree appraisal

8/3/2019 Lecture 360 Degree Appraisal

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360 degree feedback

performance appraisal

Shweta Nahar,

IILM-AHL


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What is 360 Degree Appraisal?

360-degree Appraisal is an assessmentprocess used to improve managerialeffectiveness by providing the managerwith a more complete assessment oftheir effectiveness, and their

performance and development needs.


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A circle of

stakeholderspeers supervisor direct reports higher mg levels internal customers externalcustomers

vendors consultants self= 360.


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Origin 360-degree performance appraisal has historical roots within a military

context. DuringWorldWar II, this trend was used as multiple-source feedback

by the German military. Soldiers were evaluated by peers, supervisors and subordinates to

provide insight and recommendations on how to improve performance. The first documented use of surveys to accomplish 360-degree

feedback was in the 1950s, by the Esso Research and EngineeringCompany which is now under the Exxon Mobil umbrella.

Furthermore, many companies began adopting the idea of 360-degreefeedback.

The most notable success story was General Electric CEO JackWelch's use of 360-degree feedback.

According to Fortune magazine, 90 percent of all Fortune 500companies use some sort of multi-rater feedback. (GE, HP, Accenture,ABN Amro, Bank of America, etc.)


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How does 360 Degree help ?

- Proper discussion of performance Identification of strengths for career

development Identification of weaknesses for training Salary recommendations

- A well designed performance appraisal

system is associated with increasedprofitability


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How to Implement 360 Degree?

360 DegreeFeedback

Planning

Piloting

ImplementationFeedback

Review


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360 degree feedback

methodology STEP 1 - The questionnaire

o Dimensions to be judged Leadership, Teamplayer, Communication , Organisational Skills,Decision- Making, Adaptability, Expertise, Vision

o The leadership heading, for example, is definedas: Shares a clear vision and focuses onachieving it; Demonstrates commitment to the

organizations mission; Provides a coherent senseof purpose and direction; both internally andexternally; harnessing energy and enthusiasm ofstaff.


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STEP 2 - RATINGS

Ratings are given by the generators of thefeedback on a scale against each heading.

Ratings may be supplemented by textcomments.

1-2 : Least Skilled3-4: Not a Strength5-6: Appropriate Skill

7-8: A Strength Skill9-10: An Exceptional Skill


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STEP 3 DATA

PROCESSING Questionnaires are

normally processed withthe help ofo software developed

internally.o provided by external

suppliers.

Graphical presentationis preferred overnumerical presentation.


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STEP 4 FEEDBACK

The feedback is often anonymous and may bepresented to the individual (most commonly),

to the individuals manager (less commonly)or to both the individual and the manager.


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STEP 5 ACTION

Action will depend on the purpose - Development - Individuals/ Individuals &

Managers Appraisal Managers/ Individuals &

Managers Pay - H.R.


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DEVELOPMENT &

IMPLEMENTATION (a snapshot) Define objective development, appraisal or pay Decide on recipients Decide who will give the feedback - the individuals

manager, direct reports, team members, othercolleagues, internal and external customers.

Decide the areas of work and behavior on whichfeedback will be given

Decide the method of collecting the data - the

questionnaire could be designed in-house, or aconsultants or software providers questionnairecould be adopted


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STEP 6 (CONT..)

Decide data analysis and presentation - aim shouldbe to keep it as simple as possible.

Plan an initial implementation programme - The pilot

scheme will need to be launched withcommunications to those involved about the purposeof 360-degree feedback, how it will work and the partthey will play. Training in giving and receivingfeedback will also be necessary.

Analyse the outcome of the pilot scheme Plan and implement full programme Monitor and evaluate


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Advantages

To the individual: Helps individuals to understandhow others perceive them.

Uncover blind spots. Quantifiable data on soft skills. Information for enhancing career

development Reduced risks of halo effects,

stereotyping errors, etc.

To the team: Increases communication. Higher levels of trust. Better team environment. Increased knowledge

sharing Increased teameffectiveness

To the organization:

Reinforced corporate culture by linking surveyitems to organizational objectives andcompany values.

Better career development for employees Improves customer service by involving them.


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Disadvantages

People not giving frank or honest feedback Paperwork/computer data entry overload Incapability and lack of skill of managers Unclear statements or comments during

feedback


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8 Questions Companies Must AskBefore Using 360 Degree

Feedback Is employee engagement and morale high enough to support a

feedback intervention? Is the organization supportive of talent development and coaching? Do managers get trained, rewarded and compensated to act as

performance coaches? Do employees feel comfortable giving feedback? Has your organization had a bad experience with a prior 360-degree

feedback intervention? Are people motivated to use the feedback they receive for their own

professional growth and development? Does your organization have resources, training and other support to

help employees create and implement professional development plansas a result of the feedback?

Will employees be held accountable to discuss the results of theirfeedback with their bosses and to create a development plan?


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10 must bes for success

Active support of top management Clarity about purpose & process Consistency in methodology Dependable anonymity Commitment to the process

Understanding of the benefits to individuals as well as theorganization

Questionnaire items fit or reflect typical and significant aspects ofbehaviour

Items in the questionnaire related to actual events experiencedby the individual

Comprehensive and well-delivered communication and trainingprogrammes

Trust - the MOST important element runs through everything


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Conducting the Appraisal Interview

Ask for self assessment Invite participation Express appreciation

Minimize criticism Change behaviour, not the person Focus on solving problems Be supportive

Establish goals Follow up day-to-day

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