Page 169 - Psychological Management of Individual Performance

152 performance appraisal
the extent of goal achievement

subjective evaluation of those involved

order of events/charge taking

future of the 360-degree feedback in the company

expense–use relation.

This evaluation allows us to draw conclusions concerning the influence of shaping
dimensions on the success of a 360-degree feedback system. The random sample consists
of persons who have been part to the introduction process of a 360-degree feedback
system among the companies (mostly members of the board). The companies belong
to the following branches: chemistry (6), automobile industry (2), IT (2), transportation
(1), insurance (1), building material (1), electronics (1), tourism (1). The number of
employees ranges between 500 and 400,000, and sales cover a range from $10 million
to $250 million. The following success factors were found.

Inclusion in an overall personnel management strategy
A 360-degree feedback system is frequently introduced in parallel with other projects.
This bears the possible risk that the employees misjudge their company’s use of basically
innovative concepts and methods as rather inflationary. Often, it is difficult for employees
to perceive that the projects are interlaced and aim at a common goal. Therefore, it
becomes necessary to include the feedback system in a general strategic concept, to
integrate the different goals, and to make them visible for the participants.
Management

The 360-degree feedback should be introduced to many groups simultaneously in a level-
overlapping manner. The 360-degree feedback can be regarded as a device for creating
a more effective form of communication inside a company. If this device is employed
by only a small number of persons at irregular intervals, it can lead to insecurity on
the part of the feedback-giver. The response behaviour is accordingly overshadowed by
insignificant questions (e.g. Why now? Why him? etc.). Moreover, it is necessary to
ensure that participation in the feedback system is voluntary at all stages of the process.

Instrument
It is advisable to use company-specific instruments rather than a standardized one. It
is hardly possible to integrate aspects of a specific leadership culture or of a change
process into a standardized instrument. Feedback giver as well as feedback receiver,
often justly criticize the lack of relevant evaluation dimensions and core competencies.
In comparison to that, the advantage of standardized instruments lies in the test criteria
(e.g. Scherm, 1999). The psychometric quality of company-specific instruments can only
be discussed after they have been put to use several times. Obviously, this aspect wasn’t
regarded as very significant among the persons approached in the study.

Project organization
The question as to how the feedback system needs to be developed, can be answered point
by point, applying three categories: (1) exclusive internal development, (2) exclusive