Question

Explain the following type of plan:

 Policy

Answer 1

A policy is a broad set of rules or guidelines that establishes a framework for choices and actions inside an organization. Among the features of policies are: 

1. Broad Scope: Policies cover a wide range of organizational operations and are applicable in a variety of contexts.
2. Long-term Orientation: Policies are created with an eye toward the future and are meant to offer constant direction over time.

Answer 2

Policies are principles or guidelines that establish a framework for decision-making and actions within an organization. They define the organization’s overall direction, values, and standards, serving as broad directives to guide behavior and decisions at all levels. Policies outline acceptable conduct, set boundaries, and provide a foundation for standardized practices across the organization.

By clarifying expectations, reducing uncertainty, and ensuring consistency in decision-making across various functions and departments, policies play a critical role in organizational coherence. Examples include the employee code of conduct, financial reporting protocols, quality assurance measures, and environmental sustainability practices. Typically developed by top management, policies are then communicated to employees for implementation.