Research Paper: 360 Degree Feedback is Effective for Performance Evaluation

Ece Kuzulu Kanaslan & Cemal Iyem · International Journal of Academic Research in Business and Social Sciences · 2016 ·

The paper explored if 360 feedback is an effective way of measuring employee performance, rather than using it only for development. The authors reviewed literature on 360 feedback used for performance evaluation, comparing it with other assessment methods and weighing its advantages and disadvantages. They concluded that although 360 feedback is not easy to implement as a performance measurement tool and has recognised weaknesses, the positive outcomes outweigh the disadvantages when the process is used correctly. The paper also notes that more research is needed on 360 feedback specifically as a performance rating tool.

Key takeaways

• Effective for performance evaluation: The paper concludes that there are valid concerns about using it to rate performance, but that its positive outcomes outweigh those of traditional methods.
• Multiple perspectives are better than one: the range of feedback received through the 360 process provides a much stronger basis and more facets for evaluation and measurement
• The benefits: The paper identifies both positive and negative outcomes. The benefits include high-quality feedback, clearer views of strengths and weaknesses and the better identification of performance blind spots.
• Implementation matters: The implementation approach itself is a key factor. The process takes more time (and therefore cost) and requires employees to follow the process carefully
• Respondent selection is Important: The feedback needs to be valid and reliable, participants are more likely to trust and accept the feedback if they believe in the respondents’ expertise and trustworthiness.
• Individual reactions to performance feedback differ: People do not necessarily respond to 360 performance feedback in the same way. The paper noted reactions ranging from eagerness to improve to trauma and pessimism, with personality, psychological states, backgrounds and sensitivity among the factors discussed.
• More research is needed: Although the authors conclude that 360 degree feedback appraisal is effective for performance evaluation, they also state that further research on 360 degree feedback as a performance rating tool is required.

What This Means for Your 360 Process

The practical message from this research is that 360 feedback can work in the performance evaluation environment but its success depends on how the process is implemented. The research suggests that these are the pragmatic things to consider:

• Respondent (rater) selection: Participants are more likely to trust and accept feedback when they view the respondents as credible.
• Provide individual support: Given that people respond very differently to 360 feedback, consideration needs to be given to the participants’ emotional experience and how that’s supported in a way that recognises personality, psychological states, backgrounds and any other factors that can influence reactions.
• Be careful: The paper does also clearly make the point that more research is needed around the use of 360 feedback as a performance rating tool, which in pragmatic terms means that it’s not an established and well tried and tested approach.

Further Reading

The research above was paper based only. Our article 360 Degree Feedback for Performance Appraisal - Advantages, Disadvantages & Key Considerations provides further insight and guidance based on our practical experience.