360-degree appraisal involves obtaining feedback on a manager's performance from subordinates, peers, managers, customers, and suppliers. It aims to provide managers with a more complete assessment of their effectiveness and development needs by reducing bias. The process involves using questionnaires to rate managers on competencies. While it can help with career development and training identification, 360-degree appraisal requires proper implementation to be effective and avoid issues like lack of fair feedback or "ganging up".

1. 360 Degree Appraisal

2. What is 360 Degree Appraisal?
360-degree Appraisal is an
assessment process used to improve
managerial effectiveness by providing
the manager with a more complete
assessment of their effectiveness, and
their performance and development
needs.

3. 360 Degree Appraisal
-Advantages:
-Reduces bias & Fits well with TQM
initiatives
-Disadvantages:
-Complex
-Raters may not provide fair feedback
-Ganging up
-Disagreements

4. What the process involves
Obtaining feedback from the manager's key
contacts. These would normally include:
o The manager him/herself
o Subordinates (employees who work for
the manager)
o Peers (fellow managers)
o Managers (senior management)
o Customers
o Suppliers

5. How does 360 Degree help ?
-Regular 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 increased
profitability

6. How is Feedback obtained?
By using a questionnaire which asks
participants to rate the individual according to
observed behaviors - usually managerial or
business-specific competencies.
This process will not suit all companies. One
should assess how well it would fit with the
current culture before launching a scheme and
a pilot scheme is worth building into the
programme

7. Why 360 degree Appraisal Programs
Fail?
•No perceived benefit
•Confrontation difficult
•Constructive feedback difficult
•Conflict between development and
compensation

8. How to Implement 360 Degree?
Planning
360 Degree Piloting
Review
Feedback
Feedback Implementation

9. Effective appraisal programs . . .
Comply with the law
To ensure that the performance appraisal system does
not violate principles of fair employment practices:
- Job related performance standards
- Provide employees with a written copy of the
standards before the appraisal
- Standards must be based on observable or
measurable behaviour
- Train the raters
- Provide feedback
- Implement an appeal system to settle
disagreements

10. Suggestions for an effective 360
degree appraisal
Anonymous feedback
Manager involvement
Prevent gaming
Statistical techniques
Avoid and reduce biases

11. Training Appraisers
Train appraisers to eliminate rater error
– Error of central tendency
– Leniency or strictness error
– Recency error
– Contrast error
– Similar to me error

12. Performance Appraisal Methods
Trait Methods
– Graphic rating scales
– Mixed standard scales
– Forced choice method
– Essay method

13. Behavioural Methods
• Critical incidents method
• Behavioural checklist method
• Behavioural anchored rating scales (BARS)
• Behavioural observation scale (BOS)
Result Methods
•Productivity measure
•MBO

14. 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