360 DEGREE PERFORMANCE

APPRAISAL SYSTEM IN CORPORATE

WORLD
Submitted by
Garima Pant
Enr no. 17024

Ch-1 Introduction
Performance appraisal quantifies
and develops performance and
productivity in organizations.
"Performance appraisal is the
systematic description of the job
related strengths and weaknesses of
an individual or a group".

Ch-2 Human Resource Management

And Performance Management System

Meaning Of Human Resource

Management:
Human resource management (HRM) may
be defined as a set of policies, practices
and programmers designed to maximize
both personal and organizational goals. It
is the process of binding people and
organizations together so that the
objectives of each are achieved.

Ch-1 Introduction
Objective

--Primary Objective
--Secondary Objective
Scope- Performance Appraisal is a continuous

process with -in the organization. An

organization constantly spends a large amount
of its capital resources on the development of
its Human Resources.
Need and Importance

Ch-2 Human Resource Management

And Performance Management System
Definition of Performance
Management:

The process of performance

management starts with the joining
of a new incumbent in a system and
ends when an employee quits the
organization. Performance
management can be regarded as a
systematic process by which the
overall performance of an

Ch-3 Role Of Performance Appraisal

Of Human Resource
Objective - The most significant

objective of appraisal is that, in the

rush and bustle of daily working
life, it offers a rare chance for a
supervisor and subordinate to have
"time out" for a one-on-one
discussion of important work issues
that might not otherwise be
addressed.

Ch-3 Role Of Performance Appraisal

Of Human Resource
Scope - The scope of any performance appraisal should

include :
1. Provide employees with a better understanding of their
role and responsibilities;
2. Increase confidence through recognizing strengths while
identifying training needs to improve weaknesses;
3. Improve working relationships and communication
between supervisors and subordinates;
4. Increase commitment to organizational goals; develop
employees into future supervisors;
5. Assist in personnel decisions such as promotions or
allocating rewards; and allow time for self-reflection,
self-appraisal and personal goal setting.

Ch-4 360 Degree Performance

Appraisal System
Framework
360 Degree Feedback is a system or process in which
employees receive confidential, anonymous feedback
from the people who work around them.
This typically includes the employee's manager, peers,
and direct reports. The feedback forms include questions
that are measured on a rating scale and also ask raters
to provide written comments.
The person receiving feedback also fills out a self-rating
survey that includes the same survey questions that
others receive in their forms.

Ch-4 360 Degree Performance

Appraisal System
Process - The 360 degree feedback process, in

which subordinates, peers, bosses and/or customers

provide behavioral and performance feedback to
recipients, has become pervasive in management
and human resource development practices.
Implementation and Evaluation - It is not an

easy task to implement and maintain 360 Degree

Appraisals. For this you have to Train all your
personnel whoever involved in executing the 360
Degree Appraisals. In the initial stage, you take the
help of out-side Consultants' help and expertise.

Ch-4 360 Degree Performance

Appraisal System
Advantages
1. A more balanced view of individual
2.
3.
4.
5.

performance
More likely to cause behavior change
Reveals unique information not captured
by other methods
Often the only reliable feedback
sourcefor top-level managers
Increases understanding performance
expectations

Ch-5 Accuracy Of 360 Degree Performance

Appraisal System In Comparison To Other
Performance Appraisal System
360 Degree Feedback - Organizations tap

into these vital sources of information through

360-degree feedback, a process originally
developed by NASA to evaluate their space
program. Peter Ward who introduced this
technique into Tesco explains its advantages
over other assessment methods and offers
detailed practical guidance on implementation.

Ch-5 Accuracy Of 360 Degree Performance

Appraisal System In Comparison To Other
Performance Appraisal System

Alternatives performance review - The

best performance reviews let managers

and employees communicate -- share
ideas, opinions, and information.
Unfortunately, most traditional reviews put
managers into the position of
uncomfortable judges.

Ch-6 Road Blocks/Hurdles of 360

Degree Performance Appraisal System
Disadvantage - Some people may fear retaliation if

they give negative feedback. This is mostly in cases

where the organization does not have an open culture.
The pitfalls - 360-degree appraisal is a little complex
process where adherence to process and record-keeping
will consume a lot of time. Cost could also be one of the
stumbling blocks, especially if the process is conducted
through an external agency. No doubt it reduces biases
but is not free from pitfalls. Hence a 360-degree
feedback program is doomed if the HR is its only
champion. It needs buy-in from senior management as
well. Companies should train people in giving and
receiving feedback.

Ch-7 360 Degree Performance Appraisal

System In It-sector And BPO-sector
The performance appraisal form is filled

by all of the employees.

It is a general form for everyone no
matter what is the designation of the
employee.
It is an online form.

Ch-8 Effectiveness Of 360 Degree

Appraisal Feedback
How 360 Degree feedback is differ from

others.
The 360 degree review process is purported to
be superior to traditional forms of evaluation and
feedback because it provides more complete
and accurate assessment of the employees
competencies, behaviors and performance
outcomes. A traditional performance review,
where one supervisor assesses a subordinate, is
no longer seen as an effective means of
obtaining accurate feedback for employees.

Ch-8 Effectiveness Of 360 Degree

Appraisal Feedback
The role of feedback in behavioral

change
Nothing happens until a person wants
something to happen. In the 360 degree
process, the acceptance of feedback is the
catalyst to behavioral change. Feedback
provides individual motivation if the learner
accepts it. Not all learners feel as if they are
capable or are interested in change. If and
when the learner becomes truly motivated,
this energy will serve as the elixir to change.

Ch-9 Drawbacks Of 360 Degree

Appraisal Systems
How to interpret the findings when they differ from

group to group
As each person sees a different behavior, how do
we know the basis upon which the ratings are
observed?
360-degree feedback ignores the system in which
the behavior occurs
There may be the fear of retribution from the
supervisor if the rating is unfavorable
Self ratings are unreliable, biased and inaccurate
There is no empirical research to support upward
appraisal for any purpose

Ch-10 Experience Of Personnel

Managers

360-degree Feedback, or multi-rater

feedback, was used by 90% of
Fortune 500 companies in year 2002
2003. It is generally believed to be
a highly effective performance
evaluation tool yet there are many
who doubt its benefits. Various
factors for the success and the
failure of this popular method
evolved which will provide guidelines

Ch-11
Findings - The most common appraiser is the

manager/supervisor. The self-appraisal of an

employee emphasized. Most of the companies
followed a combination of self-appraisal and manager
assessment.
Conclusion - The common type of appraisal system

is the open system and the management by

objectives; some of the companies followed the 360feedback process. The point-based system of
appraisal is also very popular among the software
companies, with the 5-point scale being widely used.

Ch-11
Suggestion
1. The management should also take proper care in handling

2.
3.
4.
5.
6.

dissatisfied employees, because they may create problems in

the organization.
The management should help the employees to overcome the
stress and strain at their work place.
A competitive environment at the work place should be
maintained.
The management should also encourage the efforts and
suggestions from employees.
The employees should inculcate in themselves a feeling of
family in the organization.
The organization should implement modern methods of
performance appraisal such as performance management
system (PMS).

Thank
You