The software allows the employees to give their honest feedback about their managers or leaders. Normally, they might not be able to tell the concerned person about his or her weaknesses or the areas on which he or she needs to work. This software allows them to rate the person without the risk of being disclosed. On the other side, the software allows the feedback to be presented in such a way that the concerned employee is able to know clearly about his positive areas and his weak areas. This allows him to carefully work upon them and improve his career prospects. This way he can prove to be a good and valuable asset to the organization.

360 Degree Feedback Software is being used as an efficient system for performance appraisals of the employees. However, it is not advised as this software mainly takes into consideration the behavior and competencies of an employee while rating him. The performance appraisals require a lot more analysis and sincere approach and depend upon the qualification, skills, the objectives set for their performance and job related requirements. Therefore, the results of the 360 Degree evaluation must be incorporated with a detailed communicative review between a manager and an employee when it comes to performance appraisals.