How to run a 360-degree performance review: KPI and competency cycles

How do you run a 360-degree performance review cycle?

A 360-degree review cycle starts with goals written down and ends with the result discussed with the employee. In between come the self-review, the manager review, feedback from colleagues and a calibration step in which HR brings everyone's scores onto a common measure.

1. Announce the calendar and criteria. Before the cycle begins, publish its start and end dates, how much goals and competencies weigh in the overall score, and the rating scale.
2. Write the goals. The employee and their manager agree the measure, expected value and weight for each goal.
3. Collect the self-review. The employee enters actual results and their own score, with reasons.
4. Collect the manager review and 360° feedback. The manager scores each goal and competency, and asks peers and direct reports for feedback focused on behaviour.
5. Calibrate. HR compares scoring tendencies across managers and sets the final rating.
6. Close with a conversation. Discuss the result face to face, and write down development areas and next cycle's goals.

What is the difference between KPIs and competency assessment?

A KPI measures the outcome of work in numbers; a competency assesses the behaviour and skills shown on the way to that outcome. A system using only KPIs misses how people work, and one using only competencies misses what they deliver, so both are weighted in the same form.

How do you design a performance review form and rating scale?

A good review form defines in writing what each score means and makes every manager use the same scale. On an undefined scale, one manager's 4 equals another manager's 3, and the results can no longer be compared with each other.

• Define the scale: on a five-point scale, fix the midpoint as “meets expectations” and require a reason for the extremes.
• Turn competencies into behaviour: instead of “communication”, use observable statements such as “shares meeting decisions in writing”.
• Limit the number of items: long forms lead to random scores on the last items; pick a few competencies specific to the role.
• Choose a balanced set of raters: include people who see the work from different angles, not only close colleagues.
• Set an anonymity threshold: do not show feedback results until a minimum number of responses is in; a single response identifies its author.

Where do performance reviews break down in spreadsheets and email?

When forms go out by email and come back into spreadsheets, the problem lies not in the content of the review but in tracking it. You cannot see who has submitted, scales drift from manager to manager, and 360° anonymity depends on whoever compiles the file; at cycle end, results are not comparable.

• Missing forms: as the cycle closes, some forms have not arrived and reminders go out by hand.
• Version confusion: several versions of the same form circulate and nobody knows which is final.
• Weighting errors: a form is accepted before goal weights add up to 100, and the overall score comes out wrong.
• Weak anonymity: the person compiling 360° responses sees who wrote what.

How does a 360-degree performance review work in Sora İK?

In Sora İK, goals and competencies are scored within one cycle using whole numbers from 1 to 5. The flow starts with the employee's own score and continues with the manager's score and, optionally, colleagues' feedback; HR shares the result after calibration, and the employee confirms reading it, with a comment if they wish.

When you define a cycle, you set its dates (366 days at most), how much goals and competencies each count towards the overall score, a maximum of 12 competency items, and whether to include 360° feedback. A started cycle covers everyone employed on its first day; setting up a cycle by person, department or position is on the roadmap. Each person can have up to 20 goals, and the weights must total 100 before the review can be submitted.

Each review can draw 360° feedback from up to 10 colleagues; the manager or HR sends the requests. Nobody sees the average score or the comments until collection is closed and at least 3 responses have arrived, and comments appear without their authors. HR sets the final rating and can add a calibration note that only HR sees. Stage reminder emails, CSV export of results and performance data in the HR reports are on the roadmap. Pay rises are not derived from performance results in Sora İK.

For plans, see Sora İK pricing; for every stage and visibility rule, see Performance Management (KPI, 360°) — full feature list.

What should IT and management watch in performance data?

Performance scores can feed promotion, pay and dismissal decisions, which makes them among the most sensitive assessment records held on an employee. Define in advance who sees whose score, when results are released and who has opened a record, and make sure each of these leaves a trace.

• Visibility timing: in Sora İK, manager scores and the final rating stay hidden from the employee until HR shares the result; the calibration note is visible to HR only.
• View logging: Sora İK records an audit log entry whenever a user opens a review that is not their own. Go through that log after each cycle.
• Role separation: in Sora İK the system administrator role cannot see performance data, and HR staff and evaluators cannot carry out the manager, calibration or sharing steps on their own review. For details, see the HR software security guide.
• Anonymity: the person being reviewed does not see who wrote which 360° response; still, remind raters that in small teams the tone of a comment can give its author away.
• Personal data: review records are personal data under KVKK (Türkiye's Personal Data Protection Law No. 6698); set out the retention period and the grounds for access in your policy.

Modules that work with performance reviews

Review results rely on development plans, reports and the reporting lines in your organisation chart. The guides below help you connect these pieces.

• Mandatory training tracking guide: Annual plans, attendance evidence and OHS renewal dates for mandatory and development training.
• HR metrics guide: Formulas and worked examples for employee turnover and absenteeism, plus a set of HR metrics to track regularly.
• Organisation chart guide: Setting up departments and positions, keeping the reporting line current and how the chart drives approvals.
• HR software security guide: A vendor-neutral IT checklist for role-based access, two-step verification and audit logs.

Frequently asked questions

Who gives ratings in a 360-degree review?

The classic 360-degree model has four sources: the employee, their direct manager, peers at the same level and, where there are any, direct reports. Some companies add internal or external customers. Each source observes something different, so choose raters who see the work from different angles.

What is the difference between a KPI and a competency?

A KPI measures the outcome of work, such as sales value, tickets resolved or on-time delivery rate. A competency assesses the behaviour shown on the way to that outcome, such as collaboration, communication or problem solving. A sound review uses both with weights, and you adjust the weighting to the nature of the role.

How often should performance reviews be held?

There is no single right frequency; it depends on the pace of the work. Quarterly or six-monthly cycles suit sales and operations roles whose goals change quickly, while a yearly calendar is often enough for reviews focused on behaviour and development. Whatever you choose, short regular check-ins between manager and employee reduce surprises.

Should performance reviews be anonymous?

360° feedback from peers and direct reports should be anonymous; otherwise people, especially direct reports, find it hard to speak openly about their manager. The manager review, however, carries the manager's name, because the manager stands behind the result and leads the conversation. To protect anonymity, show results only after a minimum number of responses.

Who can see performance review results?

As a rule, only those with a part in the decision: the employee, the reviewing manager, higher-level managers and HR. In Sora İK, the employee sees the result once HR shares it, while the note HR writes during calibration stays with HR. The system administrator role has no access to performance data, and opening someone else's record is logged.