Final answer:
The 360-degree performance appraisal is a method that evaluates an employee's performance by gathering feedback from various stakeholders and considering both financial and nonfinancial indicators, such as customer satisfaction. Measurement of job satisfaction is a related aspect that impacts overall organizational performance. Further research is suggested to improve the reliability and relevance of job satisfaction measurements.
Step-by-step explanation:
The performance evaluation method that focuses on both financial and nonfinancial indicators of performance, such as customer satisfaction, is known as a 360-degree performance appraisal. This comprehensive assessment method seeks feedback from various sources, including supervisors, customers, direct reports, peers, and the employees themselves. It looks beyond traditional metrics to evaluate an employee's performance in a more rounded way.Job satisfaction is often measured alongside performance to gauge how changes within an organization, such as management shifts, impact the workforce.
Regular assessments of job satisfaction can provide insights into factors affecting an organization's performance and employee engagement. Polling companies like Gallup measure job satisfaction broadly to understand the economic landscape and workforce conditions.Further research is encouraged in this area to refine job satisfaction measurements, potentially by separating the emotional and cognitive elements involved in job satisfaction. An in-depth analysis of these factors is instrumental for decision-makers to ascribe value to the intangible aspects of decision-making that are not typically quantifiable.