Leadership: Value of 360-degree assessments for NZ leaders

Published 17 Jun 2025 | 2 min read

In today’s dynamic business environment, strong leadership is essential. Yet even the most capable leaders can have blind spots, behaviours or habits they may not be aware of, but that can impact team performance, culture, or organisational outcomes.

This is where a 360-degree assessment becomes a powerful development tool.

A 360-degree assessment gathers confidential feedback from a range of people who work closely with the leader, typically their manager, peers, direct reports, and sometimes even external stakeholders.

The leader also completes a self-assessment, creating a rounded view of how their leadership style and behaviours are perceived across different levels.

The difference between 360-degree review vs. performance review

A comprehensive 360-degree feedback process provides insights that go far beyond a standard performance review.

It highlights key strengths that a leader can leverage more effectively and reveals development areas that may be holding them back.

For example, a leader may believe they are approachable and collaborative, but feedback might indicate they often appear unresponsive or overly task-focused under pressure.

Gaining awareness of this discrepancy can be the catalyst for meaningful change.

Benefit #1 - Self-awareness

One of the greatest values of a 360-degree assessment is that it supports selfawareness, which is a hallmark of effective leadership.

Leaders who understand how they are perceived are better equipped to adjust their behaviour, build stronger relationships, and make more informed decisions.

This not only benefits their own growth, but also positively influences team morale, engagement, and retention.

Benefit #2 - A culture that supports feedback

Another key benefit is that 360-degree assessments promote a feedback culture.

When leaders model a willingness to seek and act on feedback, it sends a powerful message to the wider team, that development is a continuous journey and that constructive feedback is both welcome and valuable.

It can also improve communication and reduce misalignment, particularly in high-growth or change-driven environments.

How can a 360-degree review impact the bottom line?

For businesses, the return on investment is tangible.

Leaders who have gone through a structured 360-degree process often emerge with clearer priorities, renewed focus, and stronger interpersonal effectiveness.

This can lead to better strategic execution, more resilient teams, and an uplift in overall organisational performance. It also strengthens succession planning, as it helps identify and shape high-potential leaders early.

Why 360-degree assessments work best within a leadership development framework

Importantly, the 360-degree assessment is not a “one-off” event, it’s most effective when used as part of a broader leadership development framework.

When coupled with coaching or facilitated debriefs, it enables the leader to make sense of the feedback, set actionable goals, and track progress over time.

In summary, a 360-degree assessment is a valuable tool for business leaders who want to lead with intention, improve their impact, and grow alongside their teams.

By creating a safe and structured way to gather honest feedback, it supports personal growth and organisational success, two outcomes every business should invest in.

If you're wanting to further develop your senior leaders, take a look at EQ's services:

More information on our leadership assessments