By: Anica Zarac
A 360 Assessment is a key starting point for gaining a richer view of leadership, capturing real-time, behavioural feedback from multiple stakeholders such as peers, direct reports, and managers on the leadership competencies that matter most. Unlike personality assessments, which offer powerful insights into an individual’s tendencies, traits, preferences, and potential in various situations, the 360 Assessment focuses on the individual’s current leadership impact as experienced by others. Whether used on its own or paired with a personality assessment, it provides a complementary perspective that helps leaders understand how their behaviours are perceived by those in their professional circle, with the aim of supporting more targeted and actionable development.
In this article, we highlight three ways 360 Assessments transform leadership and drive organizational performance.
Three key benefits of 360 Assessments
- Fostering self-awareness in leaders based on specific and actionable insights
- Cultivating a culture of feedback that benefits everyone in the organization
- Using powerful data-driven methodology as a foundation for development
1. Fostering self-awareness in leaders based on specific and actionable insights
Despite being a cornerstone of effective leadership (boosting performance, employee satisfaction, creativity, ethical behaviour, communication, and career advancement), self-awareness remains a surprisingly scarce superpower. In a large-scale scientific study of over 5,000 individuals, Tasha Eurich and her team found that only 10% to 15% met the criteria for being truly self-aware. As Eurich further explains in her Harvard Business Review article*, “What Self-Awareness Really Is (And How to Cultivate It),” this quality does not necessarily increase with experience. On the contrary, it often breeds overconfidence. Seasoned managers, for instance, were shown to have a poorer sense of their leadership effectiveness than their junior counterparts. Similarly, those in more senior leadership positions tend to overestimate their leadership skills the higher they rise in the organizational hierarchy.
Given its scarcity and importance, it is clear that organizations need to actively help leaders develop greater self-awareness, whether they are new to leadership or highly seasoned. A 360 Assessment is a great way to do exactly that, as it offers a dual perspective: how leaders view themselves, but also how they are perceived by those in their professional circle (from peers and direct reports to board members and clients). Also, because a 360 Assessment generates results from various distinct rater groups and evaluates behavioural competencies, it generates insights that are both contextual and highly actionable.
2. Cultivating a culture of feedback that benefits everyone in the organization
Leaders who actively seek feedback tend to be perceived more favourably** and a 360 Assessment is a powerful way to encourage that behaviour. To make the process truly meaningful, leaders must ideally take ownership by personally selecting and engaging their respondents (with the help of their manager or HR). Passive involvement can impact engagement in the process and undermine the learning experience. Furthermore, by asking for feedback from their employees and colleagues, leaders model the very behaviour they wish to see—inviting openness, reflection, and growth. This signals that feedback is not a one-way street, but a shared dialogue, which, when done right, can foster a culture of mutual trust and continuous development. It also helps normalize upward and lateral feedback, increasing psychological safety and the sense of empowerment among team members. Giving space to these feedback conversations—whether with managers, peers, or direct reports—opens up valuable opportunities to strengthen relationships, align expectations, deepen collaboration, and improve performance.
3. Using powerful data-driven methodology as a foundation for development
When leadership development is grounded in rich, aggregated feedback, it transforms from intuition-based guesswork into a strategic, evidence-based process. Also, by analyzing 360 Assessment results at the team, department, or company level, organizations obtain a clear view of collective strengths and persistent blind spots. This data-driven insight enables more targeted, cost-effective development and initiatives that directly address the real-world needs of leaders. Organizations can invest in tailored solutions that drive measurable impact. The result? Smarter growth decisions, more focused learning investments, and a stronger pipeline of high-performing leaders.
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References
*Eurich, T. “What Self-Awareness Really Is (and How to Cultivate It).” Harvard Business Review. January 4, 2018. https://hbr.org/2018/01/what-self-awareness-really-is-and-how-to-cultivate-it
**Heen, S. and Stone D. “Find the Coaching in Criticism.” Harvard Business Review. January–February, 2014. https://hbr.org/2014/01/find-the-coaching-in-criticism