Final answer:
The performance appraisal method that involves multiple evaluators like supervisors, peers, and subordinates is called 360-degree feedback. Option d is the correct answer.
Step-by-step explanation:
The performance appraisal method that utilizes evaluation information from supervisors, employees, and coworkers is known as 360-degree feedback. In this appraisal system, the employee's performance is assessed by a variety of sources, including their manager, peers, subordinates, and in some cases, customers, to provide a comprehensive view of their work performance.
The goal of 360-degree feedback is to offer different perspectives on the employee's job performance, thereby assisting the employee and supervisor in identifying areas of strength and opportunities for improvement. This can include evaluating whether the employee could benefit from additional training or recognizing achievements that may inform decisions about promotions and compensation.
While there have been mixed findings on the effectiveness of 360-degree feedback systems, some studies suggest self and peer ratings may be unreliable, and supervisors might underrate employees who are modest in self-assessment. Nevertheless, proponents argue that the discrepancies across raters can be constructive, encouraging dialogue and leading to employee development.
The context in which performance appraisals take place—an organizational culture—plays a significant role in the efficacy of these systems. It is important to ensure that the appraisal process aligns with the organization's values and practices.
Performance appraisals, documented regularly, are vital for continued employee development, and serve not only as a tool for assessing job performance but also to document issues necessary in the decision-making processes of the organization, such as terminations or disciplinary actions.
Despite the potential benefits, many performance appraisal systems are not liked by either employees or organizations, often due to a mismatch with the organizational culture, or lack of appropriate implementation and training.