Leadership today isn’t measured by authority—it’s defined by awareness and adaptability. Yet many leaders navigate their roles with significant blind spots, missing crucial perspectives that could transform their effectiveness. As Marshall Goldsmith, renowned executive coach, notes, “Feedback is the breakfast of champions.” But in technical organizations where expertise often drives advancement, are leaders getting the comprehensive feedback they need to excel?
Why Traditional Performance Reviews Fall Short
In our executive coaching practice, we often come across top leaders who either work without formal performance review processes or have supervisors who are ‘too-busy for feedback’ and are focused primarily on technical or project deliverables rather than intentional leadership development. These leaders operate with a ‘no news is good news’ mindset when it comes to performance. Even with a structured performance framework, feedback often remains incomplete. As leaders climb the corporate ladder, they have less clarity about frontline realities and how their leadership is truly experienced. Traditional top-down performance reviews are particularly inadequate in medium and large size organizations where matrix structures and cross-functional teams are common.
Regular performance reviews often miss critical insights about:
- The influence of leadership behaviors on team dynamics and overall organizational culture.
- A leader’s emotional intelligence and self-awareness, which are vital for fostering effective relationships.
- Future growth and development opportunities, focusing too narrowly on past performance instead of potential.
- Comprehensive, multi-source feedback that provides a well-rounded view of a leader’s impact from different perspectives.
Research supports this concern: while 89% of organizations cite leadership development as critical for success, only 23% report having effective leadership development programs in place. The impact is significant— research shows organizations with comprehensive feedback systems see 14.9% lower turnover and 12.5% higher engagement, particularly crucial in technical fields where talent retention is a constant challenge.
What is a 360?
A 360-degree feedback assessment is a structured process where leaders receive confidential, anonymous feedback from the people they work with—their manager, their manager’s manager, peers, direct reports, and sometimes external stakeholders like clients or partners. Unlike traditional top-down reviews, this multi-directional feedback provides a comprehensive view of a leader’s impact across the organization.
The typical process involves several key steps:
- Participants select 8-15 raters across different organizational relationships
- Raters complete a comprehensive assessment about the leader’s behaviors and impact
- Leaders complete a self-assessment using the same criteria
- Results are compiled into a detailed report comparing self-perception with others’ feedback
- Leaders review results with a certified coach to create development plans
While some express concerns about the resource commitment—typically 30 minutes per rater and several hours for the leader—organizations increasingly view 360 assessments as a strategic investment in their leadership pipeline. This is particularly relevant for organizations actively working on succession planning and leadership development (which, every organization should be!).
The Transformative Impact of 360-Degree Feedback
A well-executed 360-degree feedback process provides leaders with invaluable perspectives from across their sphere of influence. Research reveals that organizations with strong leadership development programs demonstrate measurable business impact:
- Outperform competitors by 2.3x on financial metrics
- See 3-4x higher employee engagement scores
- Experience 50% higher customer satisfaction
- Achieve greater innovation and market adaptability
The power of comprehensive feedback manifests in several critical ways:
- Self-Awareness Boost
Leaders gain enhanced self-awareness about how their leadership is experienced across different organizational layers.
- Behavior Change
Leaders are motivated to address blind spots and leverage strengths, leading to real, measurable changes in their behavior.
- Stronger Relationships and Trust
Multi-directional feedback opens channels for honest communication and builds stronger relationships across organizational layers. This is particularly valuable in technical and project-based enterprises where silos can easily develop between different expertise areas.
The Ripple Effect of Leadership Development
When senior leaders embrace 360 feedback, something remarkable happens throughout the organization. Recently, we worked with a senior executive who chose to share his 360 insights openly with his team, acknowledging areas for growth and communicating his commitment to improvement. This level of vulnerability and commitment to growth sent powerful messages:
- Leadership development is as valuable as technical expertise
- Vulnerability is a strength, not a weakness
- Feedback is valuable at every level
- Continuous improvement is part of the culture
More importantly, seeing the top leader step into the growth journey made it easier for others to embrace what felt uncomfortable and eliminate some of the initial resistance. Research shows that when top teams score in the 80th percentile for leadership effectiveness, it creates an “updraft” effect, elevating leadership performance at every level below them. Even initial skeptics often become advocates when they see their leaders modeling the way. This ripple effect is particularly powerful for developing next-generation leaders. When emerging leaders see their seniors actively engaging in development, it normalizes the growth mindset essential for future success.
Ready to Transform Your Leadership?
Leadership growth begins with clarity—clarity about where you are and where you want to go. While inviting multiple perspectives on your leadership requires courage, remember that professional 360 feedback isn’t about criticism—it’s about insight generation and growth.
Contact us to learn how our certified Leadership Circle Profile and Discovery Full Circle assessments and experienced coaches can help you create lasting leadership impact in your organization. Connect with us at hello@thriveworks.ca to explore possibilities.
