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360s Gone Wrong
How to Make Them More Effective
Tuesday,	
  April	
  8,	
  2014	
  
A Qualtrics webinar with DDI
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360s Gone Wrong
5
4
3
2
1 Presented by:
Scott Erker, Ph.D.,
Senior Vice President, DDI
April 8, 2014
How to Make Them More Effective
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Multi-rater: Simple Right?
Mul1-­‐rater	
  
Assessment	
  
Feedback	
  
Development	
  
Planning	
  
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Multi-rater: Simple?!?
Feedback
+ IDP
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Agenda:
1.  The BRIEF DEFINITION of multi-rater assessment
2.  Three factors that lead to FAILURE
3.  Steps to make your multi-rater process WORLD CLASS
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  6	
  
Brief Definition of 360° Feedback
Self	
  
Managers	
  
Peers	
  
Direct	
  
Reports	
  
Stakeholders	
  
&	
  Biz	
  info	
  
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Brief Definition of 360° Feedback
Feedback	
  
Collected	
  
Reports	
  
Created	
  and	
  
Shared	
  
Debrief	
  with	
  
Manager	
  /	
  
Coach	
  
Learning	
  and	
  
Development	
  
Opportuni1es	
  
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Why do organizations use
360 Degree Feedback?
1.  Improved feedback from MULTIPLE SOURCES
2.  Personal, team & organizational DEVELOPMENT
3.  Training needs ASSESSMENT
4.  Input to PERFORMANCE MANAGEMENT
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“Despite the popularity of 360-
degree feedback, meta-analytic
findings suggest they provide
modest change in performance
and when done badly can lead to
disengagement and a decline in
performance.”
- Nowack & Mashihi (2012)
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47%	
  
74%	
  
63%	
  
Mul1-­‐Source	
  	
  
Feedback	
  Programs	
  
SUCCESS	
  
FAILURE	
  
Talent	
  Decisions	
  
Performance	
  Mgmt	
  
Plan	
  to	
  Up	
  Spending	
  
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Mul1-­‐Source	
  	
  
Feedback	
  Programs	
  
SUCCESS	
  
FAILURE	
  
Rater	
  
Biases	
  
47%	
  
74%	
  
63%	
   Talent	
  Decisions	
  
Performance	
  Mgmt	
  
Plan	
  to	
  Up	
  Spending	
  
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Rater Biases	
  
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Rater Biases
•  Halo and leniency errors
•  Raters misjudge ‘no opportunity
to observe’
•  Self-assessment is inaccurate
•  Survey fatigue
•  No calibration
•  Comments are personal,
not behavioral
•  Focus on weakness and
forget strengths
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Mul1-­‐Source	
  	
  
Feedback	
  Programs	
  
SUCCESS	
  
FAILURE	
  
Rater	
  
Biases	
  
Cultural	
  	
  
Misalignment	
  
47%	
  
74%	
  
63%	
   Talent	
  Decisions	
  
Performance	
  Mgmt	
  
Plan	
  to	
  Up	
  Spending	
  
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Cultural
Misalignment	
  
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Cultural Misalignment
•  Informal culture rejects feedback
•  ‘Too nice’ bias
•  Hierarchical culture works counter
to upward feedback
•  Engineering mentality drives
over-analysis
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Mul1-­‐Source	
  	
  
Feedback	
  Programs	
  
SUCCESS	
  
FAILURE	
  
Rater	
  
Biases	
  
Cultural	
  	
  
Misalignment	
  
No	
  Biz	
  Relevance	
  
47%	
  
74%	
  
63%	
   Talent	
  Decisions	
  
Performance	
  Mgmt	
  
Plan	
  to	
  Up	
  Spending	
  
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No Business
Relevance	
  
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No Business Relevance
•  No explicit connection to the business
•  No meaningful discussion of results
•  No integration of 360 with other
measurement efforts
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V.U.C.A. Makes 360s Obsolete?
V = Volatility: nature/speed of change
U = Uncertainty: lack of predictability of change
C = Complexity: multiplex of forces
A = Ambiguity: cause-and-effect confusion
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Rater	
  
Biases	
  
Cultural	
  	
  
Misalignment	
  
No	
  Biz	
  Relevance	
  
Take	
  Ra1ngs	
  
Seriously	
  
Customize	
  
Draw	
  
Connec1ons	
  
Mul1-­‐Source	
  	
  
Feedback	
  Programs	
  
SUCCESS	
  
FAILURE	
  
47%	
  
74%	
  
63%	
   Talent	
  Decisions	
  
Performance	
  Mgmt	
  
Plan	
  to	
  Up	
  Spending	
  
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Take Ratings Seriously
22	
  
•  Orient participants to the process
•  Invest in training and calibration
•  Ensure confidentiality
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Customize
23	
  
•  Design the process to fit your
culture
•  Take a ‘fit for purpose’ approach
•  Use your language
•  Personalize action planning and
development
•  Align supervisor and management
support
•  Establish and manage data
sharing policy
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Draw Connections
24	
  
•  Leverage the data for individuals
and groups
•  Share data, insights, and actions
•  Synthesize 360 data with other
business metrics
•  Understand the limitations of the
data
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Use 360 for Performance Management?
25	
  
•  Supervisors may focus on
pleasing subordinates to get high
appraisals
•  Subordinates may be reluctant to
be candid with the manager
•  Subordinates may inflate ratings to
gain favor
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Challenges for 360° Feedback
•  Different levels of experience with 360
•  Different data interpretation proficiency levels
•  Buy in from participants and others involved in
process
•  Inflated, inaccurate, or lenient ratings
•  Emotional reactions to ratings
•  Providing follow up coaching and development
experiences
CHALLENGES
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Best Practices to Promote Action
on 360° Feedback
•  Rate behaviors, not psychological traits (specific,
observable, actionable)
•  Design around participant characteristics and
strive for buy-in
•  Train and calibrate raters
•  Managers and mentors will shape outcomes
BEST
PRACTICES
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Rater	
  
Biases	
  
Cultural	
  	
  
Misalignment	
  
No	
  Biz	
  Relevance	
  
Take	
  Ra1ngs	
  
Seriously	
  
Customize	
  
Draw	
  
Connec1ons	
  
Mul1-­‐Source	
  	
  
Feedback	
  Programs	
  
SUCCESS	
  
FAILURE	
  
47%	
  
74%	
  
63%	
   Talent	
  Decisions	
  
Performance	
  Mgmt	
  
Plan	
  to	
  Up	
  Spending	
  
©	
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Partnership with Qualtrics
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Scott Erker, Ph.D.
Sr. Vice President, Selection Solutions
Development Dimensions International
Email: Scott.Erker@ddiworld.com
30	
  
Questions?

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360s Gone Wrong: How to Make Them More Effective

  • 1. ©  Development  Dimensions  Interna1onal,  Inc.,  MMXIV.    All  rights  reserved.   360s Gone Wrong How to Make Them More Effective Tuesday,  April  8,  2014   A Qualtrics webinar with DDI
  • 2. ©  Development  Dimensions  Interna1onal,  Inc.,  MMXIV.    All  rights  reserved.  2   360s Gone Wrong 5 4 3 2 1 Presented by: Scott Erker, Ph.D., Senior Vice President, DDI April 8, 2014 How to Make Them More Effective
  • 3. ©  Development  Dimensions  Interna1onal,  Inc.,  MMXIV.    All  rights  reserved.   Multi-rater: Simple Right? Mul1-­‐rater   Assessment   Feedback   Development   Planning  
  • 4. ©  Development  Dimensions  Interna1onal,  Inc.,  MMXIV.    All  rights  reserved.   Multi-rater: Simple?!? Feedback + IDP
  • 5. ©  Development  Dimensions  Interna1onal,  Inc.,  MMXIV.    All  rights  reserved.  5   Agenda: 1.  The BRIEF DEFINITION of multi-rater assessment 2.  Three factors that lead to FAILURE 3.  Steps to make your multi-rater process WORLD CLASS
  • 6. ©  Development  Dimensions  Interna1onal,  Inc.,  MMXIV.    All  rights  reserved.  6   Brief Definition of 360° Feedback Self   Managers   Peers   Direct   Reports   Stakeholders   &  Biz  info  
  • 7. ©  Development  Dimensions  Interna1onal,  Inc.,  MMXIV.    All  rights  reserved.  7   Brief Definition of 360° Feedback Feedback   Collected   Reports   Created  and   Shared   Debrief  with   Manager  /   Coach   Learning  and   Development   Opportuni1es  
  • 8. ©  Development  Dimensions  Interna1onal,  Inc.,  MMXIV.    All  rights  reserved.  8   Why do organizations use 360 Degree Feedback? 1.  Improved feedback from MULTIPLE SOURCES 2.  Personal, team & organizational DEVELOPMENT 3.  Training needs ASSESSMENT 4.  Input to PERFORMANCE MANAGEMENT
  • 9. ©  Development  Dimensions  Interna1onal,  Inc.,  MMXIV.    All  rights  reserved.  9   “Despite the popularity of 360- degree feedback, meta-analytic findings suggest they provide modest change in performance and when done badly can lead to disengagement and a decline in performance.” - Nowack & Mashihi (2012)
  • 10. ©  Development  Dimensions  Interna1onal,  Inc.,  MMXIV.    All  rights  reserved.  10   47%   74%   63%   Mul1-­‐Source     Feedback  Programs   SUCCESS   FAILURE   Talent  Decisions   Performance  Mgmt   Plan  to  Up  Spending  
  • 11. ©  Development  Dimensions  Interna1onal,  Inc.,  MMXIV.    All  rights  reserved.  11   Mul1-­‐Source     Feedback  Programs   SUCCESS   FAILURE   Rater   Biases   47%   74%   63%   Talent  Decisions   Performance  Mgmt   Plan  to  Up  Spending  
  • 12. ©  Development  Dimensions  Interna1onal,  Inc.,  MMXIV.    All  rights  reserved.  12   Rater Biases  
  • 13. ©  Development  Dimensions  Interna1onal,  Inc.,  MMXIV.    All  rights  reserved.  13   Rater Biases •  Halo and leniency errors •  Raters misjudge ‘no opportunity to observe’ •  Self-assessment is inaccurate •  Survey fatigue •  No calibration •  Comments are personal, not behavioral •  Focus on weakness and forget strengths
  • 14. ©  Development  Dimensions  Interna1onal,  Inc.,  MMXIV.    All  rights  reserved.  14   Mul1-­‐Source     Feedback  Programs   SUCCESS   FAILURE   Rater   Biases   Cultural     Misalignment   47%   74%   63%   Talent  Decisions   Performance  Mgmt   Plan  to  Up  Spending  
  • 15. ©  Development  Dimensions  Interna1onal,  Inc.,  MMXIV.    All  rights  reserved.  15   Cultural Misalignment  
  • 16. ©  Development  Dimensions  Interna1onal,  Inc.,  MMXIV.    All  rights  reserved.  16   Cultural Misalignment •  Informal culture rejects feedback •  ‘Too nice’ bias •  Hierarchical culture works counter to upward feedback •  Engineering mentality drives over-analysis
  • 17. ©  Development  Dimensions  Interna1onal,  Inc.,  MMXIV.    All  rights  reserved.  17   Mul1-­‐Source     Feedback  Programs   SUCCESS   FAILURE   Rater   Biases   Cultural     Misalignment   No  Biz  Relevance   47%   74%   63%   Talent  Decisions   Performance  Mgmt   Plan  to  Up  Spending  
  • 18. ©  Development  Dimensions  Interna1onal,  Inc.,  MMXIV.    All  rights  reserved.  18   No Business Relevance  
  • 19. ©  Development  Dimensions  Interna1onal,  Inc.,  MMXIV.    All  rights  reserved.  19   No Business Relevance •  No explicit connection to the business •  No meaningful discussion of results •  No integration of 360 with other measurement efforts
  • 20. ©  Development  Dimensions  Interna1onal,  Inc.,  MMXIV.    All  rights  reserved.  20   V.U.C.A. Makes 360s Obsolete? V = Volatility: nature/speed of change U = Uncertainty: lack of predictability of change C = Complexity: multiplex of forces A = Ambiguity: cause-and-effect confusion
  • 21. ©  Development  Dimensions  Interna1onal,  Inc.,  MMXIV.    All  rights  reserved.  21   Rater   Biases   Cultural     Misalignment   No  Biz  Relevance   Take  Ra1ngs   Seriously   Customize   Draw   Connec1ons   Mul1-­‐Source     Feedback  Programs   SUCCESS   FAILURE   47%   74%   63%   Talent  Decisions   Performance  Mgmt   Plan  to  Up  Spending  
  • 22. ©  Development  Dimensions  Interna1onal,  Inc.,  MMXIV.    All  rights  reserved.   Take Ratings Seriously 22   •  Orient participants to the process •  Invest in training and calibration •  Ensure confidentiality
  • 23. ©  Development  Dimensions  Interna1onal,  Inc.,  MMXIV.    All  rights  reserved.   Customize 23   •  Design the process to fit your culture •  Take a ‘fit for purpose’ approach •  Use your language •  Personalize action planning and development •  Align supervisor and management support •  Establish and manage data sharing policy
  • 24. ©  Development  Dimensions  Interna1onal,  Inc.,  MMXIV.    All  rights  reserved.   Draw Connections 24   •  Leverage the data for individuals and groups •  Share data, insights, and actions •  Synthesize 360 data with other business metrics •  Understand the limitations of the data
  • 25. ©  Development  Dimensions  Interna1onal,  Inc.,  MMXIV.    All  rights  reserved.   Use 360 for Performance Management? 25   •  Supervisors may focus on pleasing subordinates to get high appraisals •  Subordinates may be reluctant to be candid with the manager •  Subordinates may inflate ratings to gain favor
  • 26. ©  Development  Dimensions  Interna1onal,  Inc.,  MMXIV.    All  rights  reserved.  26   Challenges for 360° Feedback •  Different levels of experience with 360 •  Different data interpretation proficiency levels •  Buy in from participants and others involved in process •  Inflated, inaccurate, or lenient ratings •  Emotional reactions to ratings •  Providing follow up coaching and development experiences CHALLENGES
  • 27. ©  Development  Dimensions  Interna1onal,  Inc.,  MMXIV.    All  rights  reserved.  27   Best Practices to Promote Action on 360° Feedback •  Rate behaviors, not psychological traits (specific, observable, actionable) •  Design around participant characteristics and strive for buy-in •  Train and calibrate raters •  Managers and mentors will shape outcomes BEST PRACTICES
  • 28. ©  Development  Dimensions  Interna1onal,  Inc.,  MMXIV.    All  rights  reserved.  28   Rater   Biases   Cultural     Misalignment   No  Biz  Relevance   Take  Ra1ngs   Seriously   Customize   Draw   Connec1ons   Mul1-­‐Source     Feedback  Programs   SUCCESS   FAILURE   47%   74%   63%   Talent  Decisions   Performance  Mgmt   Plan  to  Up  Spending  
  • 29. ©  Development  Dimensions  Interna1onal,  Inc.,  MMXIV.    All  rights  reserved.  29   Partnership with Qualtrics
  • 30. ©  Development  Dimensions  Interna1onal,  Inc.,  MMXIV.    All  rights  reserved.   Scott Erker, Ph.D. Sr. Vice President, Selection Solutions Development Dimensions International Email: Scott.Erker@ddiworld.com 30   Questions?