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360 degree appraisal is a systematic collection of performance data on an individual from their supervisor, peers, direct reports, and customers. It measures behaviors and competencies using feedback from all sources around the employee. While it can be used for self-development, training, and incentives, it is also time-consuming, requires significant preparation like training and communication, and runs the risk of biased or retaliatory responses if not implemented carefully. An organization should ensure top management support, communicate goals clearly, provide training, and make cultural changes gradually before adopting a 360 degree appraisal system.









