360-degree feedback was first used in 1950 to evaluate the pay and promotion of its various employees. Basically, a 360-degree feedback system is based on the simple criteria that all the factors would be considered for the evaluation of an employee for the process of appraisal. These factors are feedback from peers, subordinates, superiors, customers and even third party vendors. The feedback for everyone would be considered for an appraisal both in terms of pay and promotions.
The 360-degree appraisal was first used in the United States and after which till 1990’s most of the American companies had implemented the policy. Though it’s still not an acceptable policy in India many of the companies are shifting towards 360-degree feedback system. As a Human Resource (HR) of company this skill can provide you an edge during the selection process. 360-degree feedback is an important part of our HR training program in Pune where we provide live sessions and examples for the students to understand.
As variable pay becomes an important statement in offer letters and appraisal letter it becomes imperative for any modern-day HR to think of innovative ways where He/She can record the values of an employee. A 360-degree appraisal is not only instrumental in improving company performance but it also improves the employee’s performance towards steady growth.
The 360-degree appraisal provides employees with an easy worksheet of places they need to improve. Most of the companies who have implemented 360-degree appraisal policy have seen a steady growth in employees’ performance over a period which has in-turn helped the company in the long run.
For HR to use 360-degree appraisal for performance evaluation is one of the most important steps. We at Pace academy provide with Live examples from our industry experts how to deal with 360-degree appraisal performance.