Feedback is an essential process for improvement where the output or effect of an action is communicated to modify the next action. It occurs through dialogue reflecting how one's behavior is seen by others and is important for regulatory mechanisms like education and the economy to work. Feedback is valuable for employees as it identifies strengths and weaknesses, allows checking of assumptions, and prevents false assessments if handled properly. There are different types of feedback including motivational, developmental, constructive, intrinsic, and extrinsic feedback. Principles for effective feedback include focusing on observable behaviors, giving it privately, and suggesting alternative behaviors.