Any good 360-degree feedback process is built from a competency model for effective performance. (As noted earlier, you will want to make sure that any instrument you use—whether developed in-house, purchased from a vendor, or purchased and then customized to meet the organization’s needs—accurately reflects the values and success factors of your company.) This model, along with organizational objectives, allows you to establish performance measures that provide consistency and continuity to the decision making required for human resource management. For example, the list of job skills and requirements used to recruit people for certain jobs as part of the selection and placement process would be the same as or similar to the list used in the training and development process to target individual professional development needs. Likewise, when people’s performance is evaluated, the same competencies would be emphasized. The use of a common model eliminates confusion about what it takes to succeed in an organization, helps people focus on the behaviors and results that are really important to the future of the company, and ensures that management is comparing “apples to apples” when making personnel decisions.

Surveys at organizations using 360-degree feedback as part of assessment show that multi-source assessments are perceived as more fair, accurate, credible, valuable, and motivational than single-source evaluations. Thus, not only does 360-degree feedback enable management to make higher-quality decisions about an individual’s performance, potential, and development needs, it also increases acceptance of appraisal decisions by those being evaluated.³

When people leave a 360-degree work session, they are frequently left on their own to pursue their development objectives. It is not uncommon for people to lose focus and momentum once they go back to dealing with the daily pressures of their jobs—some of which may be a contributing factor to their current behavior patterns and performance. Nor is it always possible for managers to secure the job assignments or special projects necessary for their development, since they may lack the influence or authority to arrange such things. When 360-degree feedback is integrated into HRM systems, however, the individual has a ready forum and many opportunities to discuss his or her needs and take appropriate next steps. At the same time, the organization gains insight and information that will help ensure that the right people are placed in the right positions at the right time.