360 degree feedback denotes a process or system through which an employee receives feedback in work related matters from all round him. The 360 figuratively refers to the degrees of a circle with the employee being at the center of reception (circle). The received feedback comes from other workers around the employee. The feedback is confidential and anonymous. This feedback is offered by people such as peers, managers and it can also be obtained from direct reports. The feedback can be collected through the use of forms which have questions to be filled out; the questions pertain to a range of competencies in the working place. The questions to be filled out are measured or weighted on a rating scale. There is also need for a rater to give a written commentary. The receiver of the feedback is also required to fill a self rating survey which may contain similar survey queries as those in the forms filled by others.
360 degree feedback is an important system of acquiring information to be used in management. As such it finds a lot of significance in the field of research and human resource fact finding. The system is used by human resource managers in gathering information for use in management activities. Leaders and management teams may use this feedback system to understand their weaknesses and strengths because they form some sort of critique sincerely offered in anonymity. The results from the feedback are automatically tabulated in a format that is easy to use and it can easily help in creating a plan for development. Individual employee responses are put into similar rater categories in order to maintain anonymity and help the recipient to understand the overall, great weakness or strength. The system offers a great tool to non-managers because it helps them develop effectiveness in their present roles. It also helps them know areas that need focus on if they desire to go into management roles.
Organizations use 360 feedback systems in one of two ways to enhance their human resource management. The first application is in using the system as development tool that can assist employees in recognizing their weak and strong areas in performance so as to improve their effectiveness. The feedback is provided in anonymity and sincerity as such the givers of the feedback have no discomfort in offering critique. It offers coworkers a chance to criticize each other. It helps employees in understanding how other people perceive them. In turn, they cultivate skills and behaviors that help them to perform better in their duties. The system could also be used as tool for performance appraisal and one that measures the performance of an employee. The use of this system as tool for performance appraisal is commonly practiced, however; it may not be a good idea. When using the system to measure performance appraisal it may be difficult to appropriately structure an atmosphere in which there is sincerity and trust. As such the obtained feedback may have nothing to do with actual work performance, but rather personal perceptions of an individual. The 360 feedback system has greater focus on competencies and behaviors rather than on basic job requirements, skills and objectives of performance. These aspects could be addressed appropriately by workers and the management as part of a yearly review process with performance appraisal. The incorporation of the 360 degree feedback system is beneficial in the large management of the performance, however; a clear plan has to lay out how the system will be used within an organization.
The European distribution group of pharmaceuticals known as alliance Unichem successfully applied and still uses 360 degree feedback amongst its top management team to enhance cultural change and adoption as well as in supporting the development of employees and in increasing their general performance. The company has a workforce of about 30000 employees. These workers serve approximately 80 000 pharmacies across various nations. The company has 212 warehouses in various countries including Spain, Norway, Switzerland, Netherlands, United Kingdom, Turkey, Greece, Italy, Portugal and the Czech Republic. The company had earlier experienced difficulties in integrating the values and culture of the group after establishing a merger. The companies operations span over a wide area of operation and different cultures fostered by the environs of its operation. The top management of the company decided to pick and apply the 360 degree feedback system as a way to facilitate the necessary changes that would harmonize management and company values across the intercultural borders in which the company operates. The company used the 360 feedback system to find out about the cultural values held in relation to the companies operations in various nations and localities. Thereafter, structural changes were initiated by harmonizing the cultures and values that were existent within its large workforce and management team. The adoption of local organizational culture designated to accommodate local differences has enabled the company to operate efficiently in different and distant localities.
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