David Ingram of Demand Media said in a recent post on the Small Business Chronicle that “traditional review systems can damage superior-subordinate relationships.” Unlike traditional review systems, 360 degree feedback forms are explicitly designed to foster relationships between everyone at the company.

One of the biggest problems that many employees have with most performance review systems is their monolithic nature. They feel as though they are forced to waste their time going through a lambasting from an uncompromising boss, or entertain meaningless praise from their supervisor.

The 360 degree appraisal system creates the opposite effect by integrating diverse perspectives into the review. Supervisors, subordinates, peers and even the reviewed employee are all included.

As Terri Linman of San Diego State University said in a recent scholarly journal, in this environment, “Criticisms are seen as opportunities for improvement,” as opposed to unwarranted attacks. This, in turn, makes people more receptive to making the changes needed to improve performance.

360 degree appraisals incorporate a system of anonymity for the reviewers. This fosters an environment of complete honesty, and protects team members from resentment towards a person for any negative criticisms that they may have given.

This also allows people to take in criticisms from a more empathetic perspective. So instead of dismissing a comment because Tony (who the reviewed employee doesn’t really like) said it, the person being reviewed will only see the substance of the comment and how their behaviors affect other employees.

A 360 degree review considers how both the individual employee and the company can adapt for better performance.

A good 360 degree performance review doesn’t just tell an employee what they are doing right and wrong. It will serve as a bridge to connect them to the professional development resources that they need to bolster their strengths and improve upon their weaknesses. This means that none of the important facts discussed in the review will go to waste.

The benefits of 360 degree appraisal will not go unnoticed at your company. As your team starts to develop better communication, build relationships, improve their own skills and ultimately perform better as a whole, the 360 appraisal system will become recognized as an invaluable resource for the company’s development.

The benefits that 360 degree appraisals will bring to your team cannot be ignored. At Grapevine Evaluations, our software is the go-to tool for companies such as Pandora Radio and Thompson Reuters. If you think that a 360 degree evaluation tool can help your company, please request a demo with us today!