THE FIRM WIDE 360 DEGREE PERFORMANCE EVALUATION PROCESS AT MORGAN STANLEY

FactsTom DeLong , recently appointed as chief development officer.

A new performance evaluation system adopted- 360 degrees.

360-Degree FeedbackThe employees submitted Evaluation Request form (ERF)- list of prospective evaluators.

ERF reviewed and discussed with evaluatees manager.

ERF submitted to Office of Development which distributed to the evaluators listed.

Evaluations after being done were processed into a Year-End Data Packet for each evaluatee.

Each professional also did their own self-evaluation.

Issues with Old System Assessments were done verbally in a large group of by all the seniors.Oral meetings lead to assessments.No individual feedback was given to the employees.

Evaluation CriteriaMarket/Professional Skills.Management and Leadership.Commercial Orientation.Teamwork/One Firm Contribution.

Pros of the Evaluation ProcessThe performance criteria were rigorous as one moved up the hierarchy.A detailed and specific information of broad cross-section of employees could be achieved by managers.Supervisor bias can be eliminated.Open ended: Evaluators were free to express themselves.

Cons Of the Evaluation ProcessSubjective evaluation as a lengthy process.Chances of errors as evaluation of comments needed clear and consistent summaries.Complete qualitative information was not given by managers.Grade-inflations- leniency error. ANNUAL and not QUARTERLY feedback was givenNo initiatives to check reliability of assessors ratings.

Training not given to the evaluators.Superiors always came to know about the subordinates who were evaluating them.No separate weightage given to criteria for different departments.Parameters too vague in long evaluation form- there should be introduction of BARSEvaluation request form doesnt specify time span for evaluatorsUnlimited number of upward evaluators would make assimilation a lengthy process- can cause rater overload.

Recommended Quantified Scale of Assessment4= this quality is highly characteristic of him/ her. (S)he exhibits the quality all the time (90-100% of the time).

3= this quality is most characteristic of him/ her. (S)he exhibits the quality most of the time (75% of the time).

2= this quality is somewhat characteristic of him/ her. (S)he exhibits this sometimes (50% of the time).

1= this quality is very little of his/ her characteristic. (S)he exhibits this sometimes (25% of the time).

0= this quality is not at all characteristic of him/ her. (S)he exhibits this once in a while. (0-10% of the time).