Nothing shapes our lives as much as the questions we ask-Sam keen. The shape can be in any form, and one such shape is in the form of 360-degree performance appraisals carried out in an organization. This research paper will give more rounded diagnosis of development needs resulting in more effective development plans for individuals and more strategically focussed investment for the organization as a whole. It will give a peep into the importance of 360-degree and why 360-degree performance appraisals are the need of the hour, stressing it as a fact rather than a myth. Key words: 360-degree performance appraisals, myth, diagnosis.