What Is 360-Degree Feedback?

360-degree feedback is used in some workplaces as a tool for employee development. Discover the advantages and disadvantages of 360-degree reviews.

360-Degree Feedback: What Is It?

360-degree feedback, also referred to as multi-rater feedback, is a style of performance appraisal where an employee receives evaluations from people with whom they have a working relationship. It is a development tool. The combined and anonymous feedback of raters, including managers, supervisors, and a number of team members, is given priority in this process of constructive feedback.

Colleagues of a worker will receive a feedback survey in which they can provide their honest opinion. They may be required to use a rating scale or complete a questionnaire. A manager can compile a collective assessment based on a worker's feedback. Ideally, this process will assist a worker in understanding their competencies and opportunities for advancement.

How Does 360-Degree Feedback Work?

The 360-degree feedback system starts with a reviewee who receives feedback from a group of respondents, who can include managers, senior leaders, direct reports, or coworkers. Anyone who provides feedback must collaborate closely with the reviewee in order to provide a reliable assessment of the worker's performance.

Advantages of 360-Degree Feedback

There are several advantages to using 360-degree performance feedback, including:

It can improve teamwork. Employees cannot work in silos for 360-degree feedback to be effective. If your company knows it wants to use this type of feedback, it can devise a strategy for finding ways for employees to meaningfully collaborate on a regular basis.

It provides opportunities for employees to grow. A 360-degree feedback assessment identifies areas where employees can continue to improve. This can assist an employee and their manager in developing a career development plan. For example, if a worker's peers say they want to see the person take on more responsibilities because of their good ideas, they may look for leadership development opportunities at the company.

It is completely anonymous. In contrast to other types of evaluations, 360-degree feedback is provided anonymously. As a result, colleagues may feel encouraged to provide honest feedback.

It gives a complete picture of an employee's performance. Multiple sources of input provide insight into a worker, resulting in a more complete and well-rounded set of feedback. Instead of focusing solely on what a manager sees or their own self-evaluation, a worker can discover their true impact on the company and their team.

Disadvantages 360-Degree Feedback

This type of performance review has several disadvantages, including limited opportunities for follow-up. Because this development process is conducted anonymously, the reviewee has fewer opportunities to inquire further about their feedback. Because the reviewee will not know who provided the assessment, the process may result in more negative feedback.