HR Madam

Mostly In interview interviewer used to ask ,which is the best appraisal method & why? Mostly all candidate will say 360 Degree but the answer of why is difficult for them. So below find some benefits of 360 Degree appraisal .Hope it will be useful for you.

To the Individual:
·Increase employee motivation through achievement and feedback
·Helps to uncover blind spots
·Promotes employee growth by identifying strengths & weaknesses
·Identify training needs, promote and assist learning
·Lets employee better plan and manage their own performance and careers

To the Team:
·Increases communication between team members
·Improves overall team environment
·Increase team effectiveness
·Encourages and supports teamwork

To the Organization:
·Communicates and reinforces corporate culture and values
·Helps to improve overall customer service
·Identify training needs and relevant methods
·Encourages promotion from within
HR Madam

From India, Hyderabad

360 degree respondents for an employee can be his/her peers, managers (i.e. superior), subordinates, team members, customers, suppliers/ vendors - anyone who comes into contact with the employee and can provide valuable insights and information or feedback regarding the “on-the-job” performance of the employee>>>Self appraisal gives a chance to the employee to look at his/her strengths and weaknesses, his achievements, and judge his own performance. Superior’s appraisal forms the traditional part of the 360 degree appraisal where the employees’ responsibilities and actual performance is rated by the superior.

Subordinates appraisal gives a chance to judge the employee on the parameters like communication and motivating abilities, superior’s ability to delegate the work, leadership qualities etc. Also known as internal customers, the correct feedback given by peers can help to find employees’ abilities to work in a team, co-operation and sensitivity towards others.
Self assessment is an indispensable part of 360 degree appraisals and therefore 360 degree Performance appraisal have high employee involvement and also have the strongest impact on behavior and performance. It provides a "360-degree review" of the employees’ performance and is considered to be one of the most credible performance appraisal methods.

360 degree appraisal is also a powerful developmental tool because when conducted at regular intervals (say yearly) it helps to keep a track of the changes others’ perceptions about the employees. A 360 degree appraisal is generally found more suitable for the managers as it helps to assess their leadership and managing styles. This technique is being effectively used across the globe for performance appraisals. Some of the organizations following it are Wipro, Infosys, and Reliance Industries etc.

Arguments Against 360 Degree Performance Appraisal
throughout the world for appraising the performance of the employees at all levels, many HR experts and professionals argument against using the technique of 360 degree appraisals. The main arguments are:
· 360 performance rating system is not a validated or corroborated technique for PM.
· With the increase in the number of raters from one to five (commonly), it become difficult to separate, calculate and eliminate personal biasness and differences.
· It is often time consuming and difficult to analyze the information gathered.

  • The results can be manipulated by the employees towards their desired ratings with the help of the raters.
  • The 360 degree appraisal mechanism can have a adversely effect the motivation and the performance of the employees.
  • 360 degree feedback – as a process- requires commitment of top management and the HR, resources(time, financial resources etc), planned implementation and follow-up.
  • 360 degree feedback can be adversely affected by the customers’ perception of the organisation and their incomplete knowledge about the process and the clarity o f the process.
Often, the process suffers because of the lack of knowledge on the part of the participants or the raters.

The concept of ‘Management by Objectives’ (MBO) was first given by Peter Drucker in 1954. It can be defined as a process whereby the employees and the superiors come together to identify common goals, the employees set their goals to be achieved, the standards to be taken as the criteria for measurement of their performance and contribution and deciding the course of action to be followed.

The essence of MBO is participative goal setting, choosing course of actions and decision making. An important part of the MBO is the measurement and the comparison of the employee’s actual performance with the standards set. Ideally, when employees themselves have been involved with the goal setting and the choosing the course of action to be followed by them, they are more likely to fulfill their responsibilities.

Some of the important features and advantages of MBO are:
  • Clarity of goals – With MBO, came the concept of SMART goals i.e. goals that are:

  • Specific
    Realistic, and
    Time bound.

    The goals thus set are clear, motivating and there is a linkage between organizational goals and performance targets of the employees.
  • The focus is on future rather than on past. Goals and standards are set for the performance for the future with periodic reviews and feedback.
  • Motivation – Involving employees in the whole process of goal setting and increasing employee empowerment increases employee job satisfaction and commitment.
  • Better communication and Coordination – Frequent reviews and interactions between superiors and subordinates helps to maintain harmonious relationships within the enterprise and also solve many problems faced during the period.

From India, Ahmadabad
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