Case Studies in 360 Degree Appraisal

 

The PHILIPS Experience

 

“But in striving to become a world-class company, it is the quality of our people which is of paramount importance.  It is the people who determine our success as a company, today and in the future”

- Cor Boonstra, President, Royal Philips Electronics, N.V, the Netherlands.

 

Philips Leadership Competencies and the 360-degree Appraisals:

Philips uses a number of tools to measure the competency levels . They are:

 

v      Selection Centers,

v      Leadership Development Pack,

v      Leadership Development Questionnaire and 

v      The Development Centers.

 

360 Appraisal Questionnaires in Philips:

1. The Instrument is called: Leadership Assessment Questionnaire.

2. The High potential role holder who goes through assessment chooses the 360 appraisers usually from his role-set, viz., boss, colleagues, direct reports and others.

3. The questionnaire is given to the assessors with clear instructions to complete the same carefully and making sure that the ratings of behaviors are a true reflection of actual behavior seen in practice.

4. Assessors are assured that in the feedback sessions, only the anonymised data will be used.

5. Assessors complete the Questionnaire and hand it back to the assessee in a sealed envelope.

6. Basic data of the assessor is collected in terms of his/her relation to the participant  (assessee), how long he/she knows the participant in his present position, etc.

7. The rating scale used is a Five-point scale as under:

5:       Behavior is shown to a very great extent.

4:       Behavior is shown to a great extent.

3:       Behavior is shown to some extent.

2:       Behavior is shown to a little extent.

1:       Behavior is not shown at all.

 

Sample Questions from the 360 Assessment Questionnaires:

 

1. Makes an overall plan covering key aspects of assignment.
2. Encourages others to take initiatives and be involved in decisions.
3. Challenges others constructively.
4. Integrates information from various sources, interprets it, identifies salient points.
5. Builds on the ideas and contributions of others.
6. Shows realistic appreciation of the broad business.
7. Gives feedback sensitively and constructively.
8. Secures effective cross-functional cooperation.
9. Shows resilience despite setbacks and challenges.
10. Makes efforts to discover and understand others’ views.

 

There are 120 such statements that together constitute the 360* Assessment. The assessors in the Development Centers are very senior managers from within Philips who are well trained in the purpose of and methodology used in the Development Centers of this type.

 

Philips uses the 360 Assessment and Development Center for its Top Potential category of employees.   However, the Leadership Model is being used extensively for selection purposes and other high potential candidates are trained in these competencies. Following benefits, the early signs of which are already visible and experienced, are expected to accrue to Philips from the implementation of the Leadership Competencies:

 

v                  Down-to-earth language, which points to action and provides direction.

v                  Provide direction and a model for behavior from day one.

v                  Support the changes in the Philips Leadership culture.

v                  One common Philips-wide framework of competencies specific to Philips business goals and values.