"The Employee Is Always Right" (Business Week) talks about India's HCL Technologies, which pretty much does this. They not only do they have 360-degree reviews, where an employee is evaluated not only by his managers but also his peers and those whom he manages. They also post those results where everyone who evaluated an employee can see his evaluation. The idea is to make the employee responsive to everyone he works with. The CEO, Vineet Nayar, is using this as a technique to attract and retain top talent.
Some quotes I like:
"In our day and age, it's the employee who sucks up to the boss," says Nayar. "We are trying, as much as possible, to get the manager to suck up to the employee."
"We're seeing more innovative methods coming from [emerging markets]...on how to structure and lead organizations," says Linda A. Hill [a Harvard Business School professor]