360 Degree Feedback
360-DEGREE FEEDBACKSl NoI. II. III. IV. V. VI. VII. VIII. IX. X.
XI. XII. XIII.
CONTENTINTRODUCTION WHAT IS 360-DEGREE FEEDBACK? WHAT DOES IT
ACTUALLY MEASURE? WHO DOES THE ASSESSMENT? CAN PEOPLE S PERCEPTIONS
BE TRUSTED? WHAT CAN 360-DEGREE FEEDBACK BE USED FOR? WHAT IMPACT
WILL 360-DEGREE FEEDBACK HAVE ON THE ORGANIZATION WHAT TYPES OF
INFORMATION ARE PRODUCED? WHY HAS 360-DEGREE FEEDBACK BECOME SO
POPULAR RECENTLY? ADVANTAGES AND DISADVANTAGES AND PITTFALS HOW TO
USE 360-DEGRE FEEDBACK EFFECTIVELY 360 DEGREE APPRAISEL IN GLOBAL
COMPANIES CONCLUSION
PAGE NO
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360 Degree FeedbackINTRODUCTION Traditional performance
appraisal involves bosses assessing their staff. Yet the people who
actually work with us peers, subordinates, suppliers and customers
can often provide far more accurate and useful insights into our
strengths, weaknesses and scope for development. Organisations tap
into these vital sources of information through 360-degree
feedback, a process originally developed by NASA to evaluate their
space programmes. In this pioneering book, consultant Peter Ward
who introduced this technique into Tesco explains its advantages
over other assessment methods and offers detailed practical
guidance on implementation. He examines in turn: Where, why and how
to adopt 360-degree approaches Designing, customizing or buying in
questionnaires Planning, piloting and validating a new project
Transforming raw data into effective reports Presenting the results
and facilitating change Issues of confidentiality and the link with
the reward Lessons in best practice form leading organizations such
as the AA, Arco, National Grid and Total Introducing 360-degree
feedback can loosen up a rigid corporate culture and cast light on
the vital process factors teamwork, communications, decision-making
and morale that underlie long-term business success. The essential
principles are explained further. WHAT IS 360-DEGREE FEEDBACK? What
s In a Name? 360-degree feedback has been labeled by many names as:
Multi-rater feedback All-round feedback 360-degree feedback
360-degree appraisal 540-degree feedback 400-degree feedback
180-degree feedback Peer appraisal Upwards feedback All these terms
represent different ways of describing the same thing. The numbers
indicate the different rater groups used. Thus 180-degree feedback
describes top-down and bottom-up
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360 Degree Feedbackfeedback, whereas numbers greater than this
imply feedback from more groups across the organization. The
definition, which applies to all these terms, is: The systematic
collection and feedback of performance data on an individual or
group, derived from a number of the stakeholders in their
performance. The data collection is systematic i.e. done in some
systematic way via questionnaires or interviews. This formalizes
people s judgments coming from the natural interactions they have
with each other. There is both a collection and a feedback process;
data is gathered and then fed back to the individual participant in
a clear way designed to promote the individual participant in a
clear way designed to promote understanding, acceptance and
ultimately changed behaviour. The performance of either an
individual or a group can be measured. The sources of data are
stakeholders in the participant s (the person being rated)
performance. Stakeholders are people (called respondents ) who are
both affected by your performance and deal with the participant
closely enough to be able to answer specific questions about the
way you interact with them.
Thus 360-degree feedback symbolizes transition from top-down,
single-stakeholder, results-only measurement to something much more
multi-dimensional and process-oriented. WHAT DOES IT ACTUALLY
MEASURE? Many organizations have developed sophisticated ways of
measuring their success as corporate entities, the achievements of
departments, and teams and the contribution of individuals, which
demonstrate: The tendency when assessing individuals to look not
just at results achieved they were achieved but how
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360 Degree FeedbackThe increasing emphasis by organizations on
measuring employee opinions on a number of issues, such as
communications or morale, achievement of corporate standards of
behaviour or values The use of external measures by organizations
to assess how others see them from outside, typically using market
research or other forms of survey to ass3ess customer satisfaction.
Some asking for similar feedback from their suppliers. The
assessment of teams and departments by looking at what happens
within the groupcommunication and decision0making processes. This
data is coupled with the views of internal customers and others on
team quality and service The increasing use of business excellence
models as part of total quality movement and the need to have more
precise, data-focused ways of measuring them Any or all of these
circumstances may be suitable candidates for 360-degree feedback.
In practice it is used to assess how teams interact with their
members and customers, and how individuals interact with the
stakeholders in their performance. Thus managers can be assessed in
terms of the competencies they posses, or more specifically through
the detailed behaviors which constitute them. Besides managers,
power and value of 360-degree feedback has made engineers, pilots.
Sales people, human resource professionals, customer service staff,
secretaries and supervisors part of the assessment and feedback
process. WHO DOES THE ASSESSMENT? The answer is Anyone who works
with the participant closely enough to form a view. The list of
potential respondents is as follows: Yourself Boss Other bosses
(previous boss, boss s own boss etc.) Staff Team members Peers
Internal customers External customers Suppliers Friends and family
members Collection of people from a mixture of the groups listed
above CAN PEOPLE S PERCEPTIONS BE TRUSTED? Many organisational
thinkers believe that perception is a reality. In other words what
your colleagues see you doing or hear you saying is real to them,
describes the person you are, and forms the basis of their opinion
about you, it also governs how they respond to you. However people
see only the tip of the iceberg and 360-degree feedback
respondents
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360 Degree Feedbackcomment only on what they see, because this
for tem is reality. The intentions, background or reasons behind
what they see might be perfectly rational and understandable but if
they remain invisible or unexplained then people will respond only
to what appears on the surface. In 360-degree feedback there are as
many realities as there are respondents. WHAT CAN 360-DEGREE
FEEDBACK BE USED FOR? The main uses of 360-degree feedback can be
summarized as follows: Self-development and individual counseling
Part of organized training and development Team-building
Performance management Strategic or organization development
Validation of training and other initiatives Remuneration WHAT
IMPACT WILL 360-DEGREE FEEDBACK HAVE ON THE ORGANIZATION? If
360-degree feedback is planned and implemented in a thoughtful
manner the impact on the organization will be very beneficial
especially in the following areas: Quality and quantity of data:
Large amount of detailed information, not hitherto available on a
person s performance, are generated by 360-degree feedback. The
nature and variety of respondents and the face validity of the
activities measured make it much easier for participants to
understand what is said and use it as the basis for change and
development. Communications: The application of 360-degree feedback
is an exercise in open management. We now have communication
upwards and across the organization whereas before it may have only
been downwards. Motivation: Organisations introducing 360-degree
feedback often find that it has a morale-boosting effect. The
feedback contains a mixture of strengths and areas for development.
Obviously the former can be motivating per se, but for those people
who try to change their behaviour and succeed there is an even
greater improvement in morale. Finally, 360-degree feedback changes
attitude to performance, that what gets measured gets done. Roles:
The role of everyone involved in a 360-degree feedback project is
changed sometimes subtly, sometimes dramatically. Participants find
themselves asking for feedback information from colleagues.
Respondents find themselves in a position of influence over
participant. The boss s role can change from being the hander down
of judgments on performance based in relatively limited information
to being a facilitator, coach, or counselor. The role implications
for human resources function are strategic as well as individual.
The human resources function is in a much better position to
measure the success of its strategic initiatives and to use this
information for better planning and
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360 Degree Feedbackimplementation I the future. 360-degree
feedback also has profound implications for the skills of the
individual human resources practitioner who has to work with the
participant as a partner, drawing out his idea\s, helping him make
and implement development plans. The customer: 360-degree feedback
gives internal as well as external customers the opportunity to
make their views known on such matters as reliability of service,
attention to their needs, communication, problem-solving, and
working in partnership.
WHAT TYPES OF INFORMATION ARE PRODUCED?
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360 Degree FeedbackWHY HAS 360-DEGREE FEEDBACK BECOME SO POPULAR
RECENTLY? The following four forces have encouraged the rapid
growth of 360-degree feedback in the recent years: Changes in the
roles of the employee and what the organization expects of the
employee such as Encouragement given to collaboration and team
working, continuous improvements, reduction in employee numbers and
levels of management, flexibility etc. An emphasis on measurement
within orgnisations to assess views, suggestions, attitudes,
motivations, morale, personalities, aptitude, skills, potential and
career ambitions of employees The influence of new management
concepts Management attitudes and receptiveness Some applications
of 360-degree feedback can be summarized as follows:
Self-development and individual counseling: With 360-degree
feedback for selfdevelopment, the responsibility for action lies
more with the participant. The organization should take as
supportive role in the provisos of solutions o Pitfalls Participant
may react badly to feedback Requires clear briefing and skilled
one-to-one facilitation Participant may not complete or carry out
their action plan o Opportunities Participants are very keen to
learn and devote more time to a deep understanding of the feedback
and its implications Opportunity for building a close and effective
relationship between facilitator or with others who might be
involved in the process, e.g. mentors or boss Part of organized
training and development: Many organizations now see 360-degree
feedback as part of formal training programs which allows
participants to use other course delegates as a resource o Pitfall
People might feel threatened to receive feedback in a group setting
Lack of time for facilitation and reflection Trained facilitators
are required o Opportunities Formal sessions can be run in which
the participants can share their data an tap into each other s
experience and skills Opportunity to share needs and development
plan son an informal basis Team building: Team feedback is a
relatively new development that that presents a number of
opportunities for improved team working o Pitfalls Individual team
member feedback can be threatening
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360 Degree FeedbackPressure on team members to share or discus
feedback with others in a team-building session Skilled
facilitators are required o Opportunities Feedback can be gathered
before any team event happens Capable of being turned into concrete
actions from which the team or its members will benefit
Performance/appraisal management: To make the best use of
360-degree feedback in performance appraisal, managers have to
adopt different types of observation and coaching skills through
proper training o Pitfalls Might promote a culture of tale-telling,
putting the boot in, and overcriticism Some appraising mangers
might have difficulty in adapting t the new role demanding
Concentration on processes as well as results Being more observant
than they otherwise might be Describing the tip of the iceberg of
the performance Acting as a facilitator o Opportunities Results in
performance improvement Promote self-awareness for the participant
Encourage self-development Clarifies problems Stimulates change
Builds participant s confidence Reinforces useful behaviors
Strategic or organization development: Some organizations are using
the technique as a driver of culture change o Pitfalls Requires
signal from the top management Risk of disillusionment resulting
from failed promises of a better tomorrow o Opportunities Crates
altered relationships in terms of more supportive management and
better team working Changes attitude to performance Changes the
ways in which people give and receive feedback Helps to establish
the concept of the internal customer Evaluation/validation of
training and development: 360-degree feedback can be used to
evaluate training initiatives. The four areas of analysis used for
evaluation of training methods are reaction, learning, behaviour
and results. 360-degree feedback presents a great opportunity to
improve the analysis of behaviour and results Remuneration: There
are cases for (performance and process relate data) and against
(biased feedback) using 360-degree feedback to determine paySt.
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360 Degree FeedbackTotal Quality Management: 360-degree feedback
approach makes the people and team issues within total quality
easier to get grips with, by acting as a catalyst for changes in
performance and the adoption of a new culture
ADVANTAGES 1. It provides a more comprehensive view of employee
performance than other appraisal method. As the procedure of carry
out the 360-degree appraisal need to have a lot of people to do the
evaluation for the staff, it may include the staff in the company,
from the top (manager) to the bottom (colleagues), even some
external sources such as the customers. If it is conducted well,
this can give the employee a more comprehensive and accurate view
for the evaluation and also it is good for the staff s
self-development. It is more comprehensive than other appraisal
methods since they may only need the manager to do the
evaluation.
2. It increases the credibility of the appraisal result. Since
the 360-degree appraisal methods need a lot of people to finish it,
as mentioned before it may include of the manager also other staff,
it can reduce the unfair of the result. It is because it contain
everyone s point of view, not only the manager or any single staff,
then they cannot give some comments that show the evaluated
employee is very good or not, then help the staff easily get to
promote to higher position or make the staff lose the job. It can
show that this appraisal can help to increase the credibility of
the appraisal result.
3. The feedback from the peers can help to enhance the staff s
self-development. Not every appraisal methods will also include the
feedback from the peers, that may only judge by the manager, so it
is not easily show the real performance of the staff since the
manager may not observe the performance of the staff in every
single minutes and they may only have a blurred impression of the
staff. By the way, if there also include the feedback from
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360 Degree Feedbackthe peers as they have more communication and
cooperate experience with the evaluated staff, they must know more
than the manager about what the staff can improve, also help to
motivate people who are undervalue themselves, so the feedback from
the peers can help the staff to have a better self-development than
other appraisal methods.
4. A chance to complain their manager without following the
normal complaint procedures. Though the 360-degree method, if the
manager does not do well in his job and make the staff feel
discontent, they can compliant the manager during the appraisal
without following the normal complaint procedures. This can help
the staff a chance to voice out their discontent and what they
want.
DISADVANTAGES 1. Time consuming and more complex on
administration It is no doubt that include more people to do the
evaluation can give a more comprehensive view of the result, but it
also very time consuming since everyone need to do the evaluation,
after that the company need to find more staff to help to find out
the result, it will increase the complex on the administration, so
the company cannot have the appraisal frequently on the same
people. It is very important to choose a right timing to conduct
this method that can minimize the impact of the organization.
2. May generate the environment of suspicion and cynicism This
method can be threatening both the staff is being assessed and the
people doing the evaluation. From the management level, the manager
may feel this method could undermine their authority and so they
will not cooperate well when they do the appraisal. About the
staff, if they do not have a good result of the appraisal, they may
suspicious that who
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360 Degree Feedbackgive them some bad comments and may things
that other staff will cynics them because they cannot get a good
result. As the result, it will generate a worse atmosphere in the
working environment. So it is very important that the 360-degree
appraisal should conduct in an open and honest environment.
3. Risk of confidentiality. It is the biggest risk of the
360-degree appraisal because many company may outsource the
360-degree process to other company that can used to make the staff
who are being evaluated feels more comfortable that the information
they give and receive will in a confidential environment. However,
some information is very sensitive but the company discloses the
information to others carelessly, that will affect the whole
company. PITFALLS OF 360-DEGREE FEEDBACKy A detailed plan of
action, which ensure the transparent and clear implementation
of
appraisal with employee accountability.y Effective follow-up is
the prime requirement of 360-degree feedback. Failure in
follow-up
may cause more harm than good.y The 360-degree feedback is time
consuming and cost consuming assessment process.
Without having adequate resource to implement the process, it
will end up nowhere and develop financial burden to organisation.y
The trust and confidence on the employees who undergo this feedback
assessment
process is a determinant factor in its outcome. Many consider
this appraisal as tool for downsizing.y The process involves a lot
of paper work. y There are high chances of subjectivity from the
management and employee part in the
feed back assessment.y Many times the confidentiality of the
appraisal cannot ensure from the HR department.
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360 Degree Feedbacky Since the assessment is based on
qualitative data many times it cannot ensure
unambiguous, clear, specific, and observable and quantifiable
formats. HOW TO USE 360-DEGRE FEEDBACK EFFECTIVELY y y y y y y Be
Realistic Coaching Use Experts Focus on task performance Be
positive Show them Rewards
Examples from the hospitality industry to support our ideas. In
order to support our ideas of using the 360degree performance
appraisal system, we have found out a hotel which carried out this
system successfully as an demonstration. Homeland Hotel agreed with
the benefits: Homeland Hotel is located in China has implemented
the 360degree performance appraisal about half year. Surprisingly
Homeland Hotel has proper progress of using this system and can see
the primary outcomes. AS Homeland Hotel said that 360 degree
performance appraisal helps raise the management ability of the
staff and improve the service in term of being a 5 star hotel.
Differences they faced: How Homeland Hotel can overcome the
problem occurs during the implementation of 360 degree performance
appraisal? As we know that, the culture shock of organizations
especially the differences between Chinese-western cultures will
affect the employees to adapt, recognize the system as well as
participation in the system. Actually, before 360 degree
performance appraisal system took place, Homeland Hotel has
evaluated the disturbances which would come across during the
process. For instance, this system may break the relationship
between the employees and managements. The employees may not
provide the real, accurate feedbacks as they don t want to anger
the management in
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360 Degree Feedbackterm of receiving disciplines. The
managements may misapply the process and select targets for
elimination of bad feedbacks form their coordinators as well.
Preventive solution: Thus, Homeland Hotel has found out the
preventive solution to get rid of the problems in carrying out the
system. The most effective method is to set up a supervisory
committee which is organized by 20 staff. And the 20 staff are
elected by all the employees with anonymity votes. It s crucial to
ensure the 360 degree performance appraisal is implementing under a
fair and confidential environment. After implemented the system for
half year Homeland Hotel agreed with the benefits that the system
brings to them.
HOW 360 DEGREE PERFOMANCE APPRAISAL BENEFITS THEM: Homeland
Hotel said that 360 degree performance appraisal acts as a bridge
between the staff and managements. Employees receive fair, accurate
and creditable information results in working harder and
selfdevelopment. Also, this system facilitates a comprehensive
supervision to managements. Everyone in hotel act as a supervisor
to supervise, motivate each other. Therefore, the managements will
not violate the rules. Besides, it helps creating strategies for
hotel development.Peer pressures appear to be a productivity
incentive. The case of Homeland Hotel we illustrate is fit with our
ideas of 360 degree performance appraisal.
NEED OF 360-DEGREE FEEDBACK IN ORGANISATIONS Business is towards
surplus generation. Without surplus no organisation can grow. Here
the effort to grow the business and the surplus should come from
employee part. The performance of the employees is at work here
matters in business development and organisational
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360 Degree Feedbackdevelopment. The performance of the employees
should then align with the strategic decisions that integrate the
business goals in an increasingly competitive environment. It is
the responsibility of the Human Resource Management to integrate
the culture of the organisation with all available resources to the
optimum out put. The 3600 Appraisal helps the HR Department to have
better understanding of the competitive advantage and disadvantages
of the current manpower resources and tune them towards performance
excellence and productivity. PREREQUISITES y y y y y y Top
Management Support Confidence of employees on the appraisal
methodology Objectives need to be measurable with performance
requirements clearly stated. A detailed plan of implementation
Collaboration between superior and subordinates Some prior
experimentation and positive experiences Clear organisational
philosophy and policy objectives USES FOR 360 DEGREE FEEDBACK
INCLUDE:y
Performance Appraisal Recognition of performance. Providing
feedback on individual performance. Providing a basis for
self-evaluation.
y Assessing Employee Development:
Diagnosing training and career development needs. Providing a
basis for promotion, dismissal, job enrichment, job enlargement,
job transfer, probation, etc. Monetary and other rewards.St.
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360 Degree Feedbacky Organizational Climate Study:
Organisational environment improvement needs Changes in the
Managerial approaches, leadership, etcy Customer Satisfaction
Study
Employees attitudinal change Customer satisfaction improvements
HOW 360-DEGREE FEEDBACK SYSTEM ADDS VALUE? 360 degree feedback
enables an organization to focus on developmental efforts, at the
individual and group level, in the present business environment
where the success of the company depends on continuous revolution,
which is possible through organizational development. 360-degree
feedback facilitates the alignment of individual capabilities and
behaviors with organizational strategies. It adds value to the
organization indifferent ways:y
360-degree feedback provides a better understanding of
individuals performance at work
y
360-degree feedback provides a multifaceted view about the
employees from different sources
y
360-degree feedback provides a better understanding of employed
developmental needs
y
360-degree feedback provides increased the understanding about
one's role expectations.
y
360-degree feedback provides increased the understanding of
competence and competency in various roles
y
360-degree feedback extends better morale to those who perform
and contribute well to the organisation
y
360-degree feedback reduces training costs by identifying common
development needs.
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360 Degree Feedbacky
360-degree feedback increases the team's ability to contribute
to the organizations goals
y
360-degree feedback helps everyone to work for a common standard
and institutionalize performance management.
y y
360-degree feedback ensure better interpersonal relationship and
group cohesiveness It promotes self-directed learning and provides
a road map for employee's development planning.
y y
It promotes better Communication within departments. 360-degree
feedback Increases the team's ability to contribute to the
organizations goals develop better bottom line through boosting the
capability of the organization to meet its objectives.
HERE ARE 13 COMMON MISTAKES TO AVOID WHEN IMPLEMENTING A
MULTI-RATER ASSESSMENT: Mistake l: Having no clear Purpose: Mistake
2: Using it as a substitute Mistake 3: not conducting a pilot test
Mistake 4: Not involving key stakeholders Mistake 5: Having
insufficnet communication Mistake 6: Compromising confidentiality
Mistake 7: Not making clear the feedback s use Mistake 8: Not
giving people sufficiant resources Mistake 9: Not clarifying who
owns the feedback. Mistake 10: Having unfriendly administration and
scoring Mistake 11: Linking to existing systems without a pilot
Mistake 12: Making it an event rather than a process Mistake 13:
Not evaluating effectiveness
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360 Degree FeedbackCONCLUSION 360-degree feedback is sometimes
referred to as multi-rater appraisals, multi-source feedback or 360
degree profiling. It is essentially a process, which enables a
person to receive feedback from a number of people around them (see
diagram). The purpose of the feedback is usually varied from
organisation to organisation. 360-degree feedback not only acts as
tool for organisational development but also to help an individual
determine areas they need to develop. The success of the appraisal
depends on the transparency and clear objectives of its need and
its clear cut intimation to the employees even at the bottom level
of the organisation.
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360 Degree Feedback
Performance management of Expatriate Sl NoI. II.
CONTENTIntroduction Factors influencing Expatriates
performance
PAGE NO
III.
Criteria to be used for appraisal of expatriates or
international staff
IV. V. VI. VII.
Who should appraise the expatriate? Characteristics to be
evaluated Criteria for appraisal of performance Some criteria for
top management personnel evaluation of performance are:
VIII.
Performance Review Practices of some countries
IX.
Conclusion
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360 Degree FeedbackIntroduction Performance management enables
the multinational to evaluate and continually improve individual
subsidiary performance against clearly defined pre-set targets and
goals. Characteristics of integrated performance management and
their linked to HRM functionsPerformance Management to MNC strategy
clearly HR HR functions planning, Job designing & Job
Link
communicating to all employees Setting individual performance
goal
description Job analysis& Job description &
performance appraisal Providing regular feedback towards goals
Providing opportunities to improve performance Link between results
and rewards Performance appraisal and compensation Performance
appraisal, T & D Performance appraisal
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360 Degree FeedbackStory and Sisson (1993) Emphasise four sub
processes 1. Setting clear goals for each unit, each department and
every individual employee. 2. Setting standard and measurement
criteria for evaluating each type of goal. 3. Formal monitoring and
review of progress towards these objectives. 4. Using the outcome
of review process to reinforce desired employee behavior through
differential rewards and identifying training and development
needs
Setting Objectives
Measuring Performance
Feeding Back Results
Process Outputs
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360 Degree Feedback
Performance Management CyclePerformance appraisal system covers
in addition to the ability adapt to local circumstances, the
manager's contribution to overall strategic objectives of the
company. Generally performance is assessed through criteria of
individual motivation, ability, working conditions and
expectations. However, in case of expatriates the performance is
further influenced by undernoted factors due to foreign assignment
(Fig. 1).
Factors influencing Expatriates performance
Compensation package
Responsibility of assignment
Support of Head office
Expatriates performance
Work environment in Host subsidiary Cultural adjustment of
expatriate and family
These influencing factors are further elaborated:(a)
Compensation Package on Foreign Assignment If expectations of
expatriate are not met, it will have bearing on motivation and
commitment whichwill affect performance.
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360 Degree Feedback(b) Responsibility of assignment It can vary
either as manager in charge of subsidiary, or trouble-shooter to
solve a particular problem, or perform functional role at lower
level. These responsibilities may be clear recording to parent
organization systems, but actually, cultural norms of host set-up
determine the role of expatriate. Thus, the task performance of
expatriate has to be evaluated taking into consideration the
environment in the host subsidiary (in contrast to existing in the
domestic corporation).
(C) Support of Head office It may be realized that head
quarter's support to expatriate during foreign assignment is of
critical importance, as it affects on enthusiasm and performance.
According to P.J, Dowling and his co-authors, a perception of lack
of adequate support for the family may decrease commitment to the
extent that expatriate may consider resigning from the
organization. Similarly, promised benefits and facilities to
expatriate when not honoured may also lead to quiting the
assignment. Such aspects have psychological impact on loyalty and
commitment of expatriate.
(D) Work environment in Host subsidiary Host environment may
differ in legal, economic, technical, physical and social
relationship demands and that can be major determinant of
expatriate performance. Further, the type of operation to which an
expatriate is assigned also affects performance. For example, i t
is easy to perform in wholly owned subsidiary than a joint venture
in state owned communist country. Conflicting goals between the
parent company are common problems within international joint
ventures. Expatriate has to serve two masters with differing goal
expectations.
(e) Cultural adjustment of expatriate and family The process of
cultural adjustment is equally, critical factor affecting
expatriate's job performance. Similarly, his family adjustment in
new environment will have impact on expatriate's performance.St.
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360 Degree FeedbackSo the above five variables have significant
impact and these to kept in view in evaluation of international
employee's performance.
Performance Criteriay y y Hard Criteria :Profits, Market Share
etc Soft Criteria : Interpersonal skills Contextual Criteria :
Cultural, Language
Accuracy doesn t depend on use of any one criteria but rather
depends on the appropriate use of each of these three types of
criteria to collect data from multiple source.
Criteria to be used for appraisal of expatriates or
international staffA performance management approach instead of a
traditional performance appraisal is being adopted by companies.
Performance management links goals and expectations of expatriate
with corporate objectives. According to PJ. Dowling, these goals
should cover three aspects, i.e. hard goals, soft goals and
contextual goals. TheHARD GOALS
are objective, quantifiable, and can be directlyGOALS
measured such as, out turn, market share, ROI, etc. SOFT
are relationship or traitGOALS
based such as leadership styles, negotiating skills, etc.
CONTEXUAL
refer to
circumstances in which performance occurs, i.e. changes in
currency conversion foreign exchange risks, etc. Matters relating
to ethical practices, it is necessary to link company strategies
and goals with performance appraisal. PERSON TO EVALUATE. Normally
the performance appraisal of head of unit as EVALUATEDBY
SUPERIORS
at head office. They should take into account situational
variables while
appraisal of other expatriates is conducted by subsidiary chief
and he can take into account contextual criteria. It is propagated
that performance appraisal.A TEAM OF EVALUATORS
be used for expatriate
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360 Degree FeedbackPerformance appraisal forms to be used. It is
contented that standardized forms for international staff may be
devised and used. Further, training and development and performance
relaed pay increases based on performance appraisal of
expatriate.
Who should appraise the expatriate?Several things complicate the
task of appraising and expatriate performance for one thing, the
question of who should appraise the expatriate is the critical
issue obviously local management must have some input in the
appraisal, but the appraisals may then be distorted by cultural
differences. Thus, a US expatriate manager in India may be
evaluated somewhat negatively by his host country bosses who find
his use of participative decision making inappropriate in their
culture. On the other hand home office managers may be so
geographically distanced from the expatriate that they cannot
provide valid appraisals because they are not fully aware of the
situation the manager actually faces. This can be problematical.
The expatriate may be measured by objective criteria such as
profits and market share, but local events such as political
instability may undermine the manager's performance while remaining
'invisible" to home-office staff. Two experts make five suggestions
for improving the expatriate appraisal process 1. Stipulate the
assignment's difficulty level. For example, being an expatriate
manager in China is generally considered more difficult than
working in England, and the appraisal should take such
difficulty-level differences into account. 2.Weight the evaluation
more toward the on-site manager's appraisal than toward the
home-site manager's distant perceptions of the employee's
performance. If, however (as is usually the case), the home-site
manager does the actual written appraisal, have him or her use a
former expatriate from the same overseas location to provide
background advice during the appraisal process. This can help
ensure that unique local issues are considered during the appraisal
process.
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360 Degree Feedback4. Modify the normal performance criteria
used for that particular position to fit the overseas position and
characteristics of that particular locale. For example,
"maintaining positive labor relations" might be more important in
Chile, where labor instability is more common, than it would be in
the United States. 5. Attempt to give the expatriate manager credit
for relevant insights into the
functioning of the operation and specifically the
interdependencies of the domestic and foreign operations. In other
words, don't just appraise the expatriate manager in terms of
quantifiable criteria like profits or market share. His or her
recommendations regarding how home office/foreign subsidiary
communications might be enhanced and other useful insights should
affect the appraisal, too.
Characteristics to be evaluatedCross-cultural interpersonal
skills, sensitivity foreign norms, values and case of adjustment to
unfamiliar environments are some common characteristics considered
for evaluation of international managers. Further challenges faced
frequency of travel, long absence from family, etc. in host country
to be considered as factors for evaluation.
Criteria for appraisal of performanceThe difference in criteria
for appraisal of performance between national and international
managers working in similar positions in many cases is qualitative
in nature. Some vital criteria for successful performance for
managers abroad are:
(a) Flexibility
capacity to change structures to implement changed
strategies,
E Inter-personal understanding and respect. (c) Empowerment to
share information, delegate responsibilities and motivate employees
to feel more capable, G Team support cause employees to cooperate,
and H Versatility capacity to adjust in new environment.
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360 Degree FeedbackSome criteria for top management personnel
evaluation of performance are:(a) Strategic Thinking: Capacity to
grasp changing environment and market possible competitive threats
so as to formulate strategic response. (b) Initiating Change:
Capacity to convey strategic vision and make people involve and
motivate employees. (c) Relationship Management: Capacity to
influence and seek cooperation success such as customer trade
unions, government institutions and lobby activities.
Cultural AdjustmentThe process of culutal adjustment may be a
critical deteminent of exatriates job performance.Stages of Culture
Shock Studies show that predictable stages occur when people enter
a new culture, country, or environment. The length and intensity of
each stage varies from person to person. The steps involved
are:y
The honeymoon stage
When you first arrive in a new culture, differences are
intriguing and you may feel excited, stimulated and curious. At
this stage you are still protected by the close memory of your home
culture.y
The distress (disintegration) stage
A little later, differences create an impact and you may feel
confused, isolated or inadequate as cultural differences intrude
and familiar supports (e.g. family or friends) are not immediately
available.y
Re-integration stage
Next you may reject the differences you encounter. You may feel
angry or frustrated, or hostile to the new culture. At this stage
you may be conscious mainly of how much you dislike it compared to
home. Don't worry, as this is quite a healthy reaction. You are
reconnecting with what you value about yourself and your own
culture.y
Autonomy stage
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360 Degree FeedbackDifferences and similarities are accepted.
You may feel relaxed, confident, more like an "old hand" as you
become more familiar with situations and feel well able to cope
with new situations based on your growing experience.y
Independence-stage
Differences and similarities are valued and important. You may
feel full of potential and able to trust yourself in all kinds of
situations. Most situations become enjoyable and you are able to
make choices according to your preferences and values.
Issues and challenges Overall corporate Vs. subsidiary approach
Non comparable Data
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360 Degree Feedback Separation by time and distance Head
quarters' Support Performance Review Practices of some countriesI.
American The objective if American performance appraisal system is
to evaluate the employee's goals that have been pre-established
between manager and employee. The employee usually has input into
these goals, especially in the area of professional growth, and
therefore, takes on the responsibility for meeting his or her
goals. Reward or punishment is then based on how the employee
performed on these goals given the opportunities and constraint of
the situation. Americans have formalized performance appraisal
system. Appraisals take place at regular intervals, usually every
six or twelve months, in the manager's office. The interview is
well documented, and must be signed by both the manager and the
employee. This document is then reviewed by a higher level manager.
Sometimes such appraisal meetings may be self or group appraisal
meetings. In the American appraisal system, manager acts as a
leader, facilitating the discussion and encouraging the employee to
present his or her own point of view. Communication flows in both
directions. Both the manager and the employee come prepared to
discuss and defend their own interpretation of employee s
performance. In this situation, the
employee acts as an independent, self-motivated individual. Both
the sides defend their positions openly and directly without major
consideration for any personal relationship the employee and
manager may have. The evaluation depends on how well that employee
has performed the goals that were previously discussed and agreed
upon by the manager and the employee. Any difficulties or problems
in achieving these goals are openly discussed. A new set of goals
and plans of action for achieving these goals in the next review
period are formulated. Personal problems are not considered a valid
excuse for not meeting professional goals. American employee who
receives a positive evaluation can expect a promotion with a salary
increase or bonus. A negative evaluation may lead to freeze in
salary or position, a
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360 Degree Feedbacklateral transfer to less powerful position,
or even a demotion. The employees may communicate their expectation
about of reward directly to manager Americans strive to end
performance appraisal on a positive note. The manager and employee
directly workout any conflict or disagreement before the meeting
ends. Any unresolved conflicts will be referred to higher manager
or the personnel department. At the close of the review, the
results of the evaluation are written up and signed by both the
parties; the document then becomes a part of employee's file. 2.
Russian The objective of the Russian appraisal system can be to
measure the employee achievement against the preset goals, or it
can be to evaluate him on his personality factors. Russian
appraisal system is most of the times formal in structure. The most
common methods of appraisal used by the Russian firms are either
comparing the performance of the company or department against set
targets or the superior appraising his or her subordinate. Some
firms even use up-and-down evaluation system. So, in addition to
having the superiors evaluate the subordinates, the reciprocal
process also takes place. Upand-down appraisal systems are very
effective. Appraisals take place only once a year. Some firms link
training directly to the appraisal process. This is very beneficial
for an employee's development as well as for meeting company needs.
3. Japan The Japanese objective in performance reviews is to ensure
that the employee is functioning in harmony with the group. The
core element in Japanese system is the group's output, and every
member of the group is evaluated on how the group performed, its
contribution to the other groups, and to the company in general.
Japanese appraisals are semi-formal. The manager seeks to counsel
an employee only if the employee's performance is not in harmony
with the group, and if the manager sees that individual's behavior
is having a negative impact on group's functional output. A
Japanese manager may call a meeting with his employee if he is
always late. Such meeting would be an informal meeting may be at
coffee shop to find out the reasons for the employee's satisfaction
with the group. Many times the reason is personal. The Japanese
manager will then take employee's personal life into consideration
while evaluating
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360 Degree Feedbackhis/her job performance. In Japanese system,
the manager acts as a senior family member to counsel and guide the
employee. The employee, acting as a junior member, responds to
manager's concerns. Maintaining the relationship and harmony is
very important during such sessions. The feeling of harmony comes
from previously established relationship of trust and respect for
the manager. Personal and professional relating to the job matters
may be openly discussed. Solutions are recommended by the manager.
The success of the Japanese employee is measured by her
contribution to the harmony and performance of the group. The
manager is in-charge of the group goals, and works hard to improve
the group's output. For the Japanese, the tangible reward is the
traditional semi-annual bonus. A failure to meet the group norm
could result in less important job, job rotations or perhaps a
decrease in pay. The amount of bonus usually reflects the
employee's contribution to the group's output, harmony,
contribution to the department, the department's contribution to
the company, and company's overall performance. In this culture,
every member counts and is measured on his contribution to the
overall performance and output. In the Japanese appraisal system,
the manager will frequently send information to the personnel
department on how well employee is working within the group. This
information serves as input to calculate the employee' bonuses and
salary increase. It is also used to review the employee's job
[rotation assignment and to identify any special skills that could
contribute to the growth of the group and the company. 4.
Middle-Easterner/Arab For Arab, the objective of performance
appraisal process is to reprimand and set back those employees
whose performance does not meet the manager's expectations. The
employee is constantly monitored and measured for individual
performance. The Arab system concentrates on keeping the employee
at the same performance level. Arab system of performance appraisal
is informal. The Arab manager will call the employee to his office
if he is not performing well. The manager will then reprimand the
employee in private, so as not to cause him public embarrassment.
In the Arab model, the communication, while conducting performance
appraisal, is
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360 Degree Feedbackone way. The manager is the authority figure
and mentor whose role is to punish, if necessary. The status and
authority power of the manager must be maintained at all times. The
employee's role is of reprimanded child. The employee's performance
in this system is evaluated on the basis of his personal
contribution. Group members must excel individually in order to
prove to the manager that they have performed up to the
expectation. Each employee will be aware of his achievement at each
step by the manager's continuous admiration and criticism. Positive
outcomes for Arab employees include a bonus representing one or two
days of monthly salary, or a promotion that automatically includes
an increase in salary. Punishment for poor performance usually
comes in the form of decrease in pay or a demotion. The system
rewards the individual's excellence rather than overall
performance. In Arab culture, the manager will congratulate the
employee on his performance, and offers him a reward in the form of
promotion, which will involve a salary increase or the manager will
threaten him with punishment if he is not on track with the
manager's expectations. The employee may be honored in a special
ceremony if his contribution resulted in increased value to the
company.
Performance Review Practices of some companiesPerformance
appraisal at Pepsi cola International PCI devised a common
performance appraisal system that focuses on motivating managers to
achieve and maintain high standard of performance. Administrative
consultancy was achieved through the use of performance appraisals
system of five feed back mechanism like Instant feedback Coaching
Accountability based performance appraisal Development feedback HR
plan The common system provided guidelines for performance
appraisal yet allowed
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360 Degree Feedbackfor modification to suit cultural difference.
The instant feedback message could be delivered in any culture, the
important thing was not how it was done but that it was conducted
in practice at PCI the successfully delivery of feedback wanted
some adjustments to local culture American used it because it
fitted the fast paced way of doing business. In most Asian culture,
feedback may be tough and direct but never given in public In some
Asian culture head nodding during instant feedback signify
agreement only that the message has been heard. Some Latin's argue
very strongly if they do not agree with the feed back The purpose
of instant feedback was to improve business performance , not to
criticize cultural style. PCI was trying to balance the culture and
administrative imperative of successfully managing the performance
of a work force
Case 2 : Toyota An Australian was expatriated to the MNC s
Regional office in Toyota . Although his position was designed as
marketing Manager, he also performed the critical strategy role for
global business development. one of the main role was intelligence
gathering and identification business opportunities for his former
supervisor back at the Australian headquarters. The former
supervisor, although located in Australia, was in the best position
to evaluate the market and environment research and related
material that the expatriate was collecting for input into the
Multinational global and regional strategies. The Australian
expatriates appraisal was therefore conducted by this former
supervisor at headquarters, rather than by a senior manager in the
Toyota Office. The headquarters based supervisor was also most
influential in subsequent decisions about this expatriate's post
repatriation career progression
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360 Degree Feedback
GE-Remote Performance Management Maintain Turbine Performance
GE's remote performance management is a collaborative service that
remotely monitors thermal performance and provides a detailed
engineering evaluation of performance characteristics and root
cause diagnostic testing. Our performance experts provide
actionable solutions to restore lost performance throughout the
duration of the service. Features & Benefits GE's Remote
Performance Management (RPM) is a collaborative service that
remotely monitors thermal performance, provides a detailed
engineering evaluation, and conducts root cause diagnostic testing.
GE's performance experts will calculate, monitor, analyze and
diagnose gas turbine performance utilizing remote digital data
acquisition technology, precision test instrumentation and
industry-leading analysis tools. Customers can view real-time data
during scheduled diagnostic tests via a secure web application.
Following the detailed evaluation, GE will provide actionable
solutions to recover lost performance and facilitate optimal
operations throughout the duration of the service. y y Maintain
turbine output and heat rate Provide early detection of performance
problems that could impact reliability or cost of operation y
Recover lost performance and optimize operations
GE's comprehensive service offering provides valuable feedback
about performance losses and enhancements. The constant monitoring
of equipment allows for more accurate trend analysis and enables
early detection of performance deviations, which if left
undetected, can lead to costly outages and revenue loss.
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360 Degree Feedback
ConclusionAttracting and retaining staff, enhancing creativity
and problem solving and responding to customers needs through
developing new products and services are important, but more work
is needed to such linkages between HR approaches and performance
outcome. Thus Only a well Structured performance Management will
lead to long run success of the origination.
Referencehttp://project.shtm.polyu.edu.hk/wiki/index.php/Team_P__The_advantages_and_disadvantag
es_of_360-degree_appraisal_in_the_hospitality_industry. HRM review
2009 369-degree feed back
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