The Transition from 360 Reviews to Annual Manager Reviews

The shift from 360 reviews to annual manager reviews occurred at 37signals due to the significant effort required for 360 reviews without commensurate returns. 360 reviews involve feedback from multiple sources like managers, peers, and self-assessment to provide a holistic view of performance. However, the focus on the manager's close involvement and deep knowledge of the employee's work led to the decision to eliminate peer feedback. The current approach includes annual manager reviews for job performance evaluation and goal setting, alongside self-reflection involving goal setting, past performance evaluation, and improvement areas. This process combines narrative self-assessment with a matrix indicating performance levels against set expectations per role, ensuring a comprehensive evaluation.