360 Feedback generally deals with the development of an individual leader within an organization and the benefits from the surveys are seen primarily through those individuals ability to understand and make necessary behavioral changes. But when talking about projects like this it becomes a big investment both with the organization’s money and time. Because of this it is important to not only understand the personal benefits of 360 feedback but also to know the organization wide benefits of using 360 feedback.
The information below dives into 4 benefits that will impact the entire organization or team rather than just one leader. This process can have exceptional results on the organization if all the surveys and feedback are adopted by the leaders and the teams participating.
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1. Boosts company morale
When implemented correctly, 360 feedback processes generally have a positive effect on the atmosphere of your organization. 360 feedback will boost morale of both the focal leaders that are participating along with the employees that are participating in the survey. It gives everyone the opportunity to be honest about their feelings and promote positive change. Because of these things the everyone’s morale will increase on the job. And with increased morale on the job employees tend to be more productive, be more engaged, and stay with the organization longer.
2. Allows for more open communication
Through the survey process individuals and leaders participating will have the ability to communicate the positive and negative aspects of the leader. This will open the door for open communication during and after the initial feedback process has been completed. The leader will be able to communicate areas where they need to develop and work on more open communication regarding those areas to their team. And employees that completed the survey will be able to share ideas and development needs amongst themselves as well. This will only open the door to open communication and an improved work environment. This directly affects the organization because it will allow for more collaboration and reduction in conflict because employees feel comfortable communicating with each other and leaders.
3. Reduces turnover
No single individual has as big an impact on turnover in an organization than someone’s direct manager. Therefore, by improving the skills of each leader there will be a positive impact on turnover. Organizations want to hire, train, and develop their employees. It is never smart when the environment becomes somewhere that individuals do not want to work, and turnover becomes normal. By implementing 360 surveys leaders will know where their developmental needs are and where they can improve. By becoming a good leader this will reduce both leadership turnover and employee turnover. Employees will stick around if their bosses are great bosses and 360 Feedback is a way to ensure that that is the case.
4. Fosters career development
The organizational benefits of 360 feedback includes career development which one may think is a personal benefit. Being able to foster change and leadership development in front line leaders or managers can help them jump start their career and propel them into other roles that the organization needs to fill. In other words, it will always be easier to promote from within versus hire from the outside. This will help organizations not lose employees by promoting from within. This is one way that a personal goal can be an organizational goal because you are retaining and developing talent for your organization which will promote success and growth of the organization.
Be sure that when you are looking into a 360 Feedback process you assess both the benefits of the individual and the organizational benefits of 360 Feedback. You will be able to see how far your investment will really take you and it will help the organization grow exponentially. So, in this case the sum of each individual’s development should exceed the total from an organizational benefit perspective.
Related Resource: 360 Degree Feedback: Your Complete Guide
Related Blog Post: Building a 360 Degree Feedback System that Drives Results