The 360 process was delivered through a comprehensive workshop that ensured that participants understood how the thirteen leadership competencies they would be measured on related to the firm’s strategy and culture and reflected the expectations related to effective leadership at Lehman. Lauren W. Ashwell, senior vice president, talent management, describes the underlying factors that contributed to the success of the effort as well as measurable change in the leadership skills in the organization. “We took a systems approach,” says Ashwell. “We were emphatic about confidentiality because we were using the 360 for development, and we helped senior managers understand that in order for the organization to grow and change, they as individuals had to grow and change. With that as a backdrop, and especially for those who had never gotten 360 before, people were interested, open, and willing to work on development goals.”

Other factors that contributed to the sound implementation of the process included helping participating managers understand the importance of choosing raters who could provide useful (“Have they seen me in a variety of situations, including when I may have been at my best as well as my worst?”) and honest (“I am willing to make an investment in you as a manager and leader.”) feedback, using an external vendor to process the questionnaires, keeping the results uncoupled from other year-end processes like performance appraisal and compensation, and providing participants with skilled coaches to assist with feedback interpretation and development planning. Coaches helped managers to identify trends and patterns beyond the data itself, ensure that strengths (“What allows you to perform as you do and what should you leverage?”) as well as weaknesses were considered in the determination of development goals, use the context of their roles to drive relevant development actions, and prepare for a discussion to review the development plan with their boss. As Ashwell says, “The 360 is a good excuse for a conversation.” Both Greenfield and Ashwell believe that, as the program has become an integral part of the culture, managers talk about people’s development needs in a more sophisticated way and are more consistent across the organization about the leadership skills that are relevant for strategic success.

In addition, both agree that expecting the feedback recipients to own their results and development plans has made the difference between a paper-and-pencil exercise and lasting performance improvement and personal accountability for career management. This is particularly evident in what Greenfield describes as Lehman’s 720 Process. Every managing director who has completed a 360 has the opportunity to voluntarily take a second 360 after two years. Greenfield says, “We see this as particularly appropriate if participants are interested in learning about their progress against goals, if they have taken on a new role, or if they have had a significant change in the composition of their team.” To date at least 70 percent of the firm’s managing directors have had their first 360, 40 percent of them have opted for the 720, and some members of the management committee have had a third round (their “1080”), showing their personal commitment. People seek the feedback, affirming that it is personally valuable and relevant, making a feedback-rich environment a reality.

The aggregate data has proven to be a beneficial tool for the senior management of the firm and its various divisions. With the belief that the “leadership thing” is a differentiator, examining group-level themes has given senior managers a platform for investing in high-payoff organization-level initiatives. One such initiative improved the degree to which Lehman “delivers the whole firm to the client,” an effort that has had traceable impact on revenue and market presence.