360 degree feedback is a process whereby an individual is rated on their performance by significant people they interact with both within their own business and sometimes outside of their business.
For instance, a Finance Manager may receive feedback from their Director, direct reports, peers and managers and in some cases customers or clients can be included in the feedback process. In a sense, information is then collated from all those people “surrounding the individual in the workplace”.
The employees are often rated in areas such as leadership, communication, and productivity, and technical skills. Employees also rate themselves in these areas.
The resulting information is presented to the individual with the aim of helping them to gain a better understanding of their skills and these development areas.
Each source can provide a different perspective on the individual’s development areas and thus help to build up a richer, more complete and accurate image than could be obtained from any one source.
Why Use 360 Degree Feedback?
Organisations use 360 Degree Feedback processes to assess employees’ strengths and weakness in their workplace performance, interpersonal communication and/or management style with a focus on individual and organizational development.
The aggregate data (cumulative results for a group) provide an organization with crucial information for effective strategic planning, overall training needs, improved team building and effective customer service.