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Policy ppt
1.
Presentation By: Emmanuel Alexander
Jathanna M.Com Milagres College kallianpur. ©EMMANUEL A J 1
2.
INTRODUCTION: Policies provide guide
to action, objectives set the target where we want to go and policies project out how we can go there. A policy is a general statement which guides thinking, decision-making and action in the organisation. Policies decide the limits within which management can take decisions. Usually, we come across certain policies such as personal policy, recruitment policy, price policy, promotion policy etc., ©EMMANUEL A J 2
3.
A few definitions
of policies are given below: “A policy is a guide to thinking action of those who take decisions” -koontz & D’Donnel “Policies are general statements which guide or channel the thinking of all personnel charged with decision-making” -Theo Haimann ©EMMANUEL A J 3
4.
A sound business
policy should possess the following characteristics which are also known as its principles: Flexibility A policy must be flexible and the usual words which are added in the policy to make it flexible are “whenever possible”, “as the case may be”, “under usual conditions” etc., It should provide for discretion so that subordinate manager can intelligently apply the policy in a given situation. A rigid policy serves no purpose. ©EMMANUEL A J 4
5.
Easily understandable: A policy
should be such that everyone in the organisation understands it. It should therefore, be stated in definite, positive and clear terms. There will be no problem in the implementation of policy which is definite, simple, clear and easily understandable. ©EMMANUEL A J 5
6.
Precise And Written A
policy should be precise and written so that all people understand it in the same sense. It is not an easy thing to write a policy. Policies can also be oral but written policies are of great help to the subordinate staff. ©EMMANUEL A J 6
7.
Consistent There must be
a consistency of sectional policies with the main policy. If policies are inconsistent or contradictory, it will lead to confusion at the subordinate level. Thus different policies of the company should be in harmony with each other. It should also be consistent with the public policy. ©EMMANUEL A J 7
8.
Fair And Equitable: A
policy should conform to economic principles, business laws, equity and justice. It must be fair to those who are effected by it, and should be in accordance with the accepted business standards. It should be formulated with due regard to the interests of all the concerned parties. i.e., the employer, the employee and the public. ©EMMANUEL A J 8
9.
Practicable: A policy should
be such that it is actually possible to implement it in real business situations. Thus a policy should be founded upon facts, and sound judgement. ©EMMANUEL A J 9
10.
Stable: Although some amount
of flexibility in a policy is desirable yet, it is one of the basic characteristics of a policy that it should be stable. If the concept of flexibility is taken to mean as frequent changes in a policy, the very objective of a policy is defeated. ©EMMANUEL A J 10
11.
Review: On account of
the dynamic nature of business, it is necessary to review the policies at frequent intervals. A decision is then taken as to whether the policies are to be modified, changed or replaced by a new policies. ©EMMANUEL A J 11
12.
Basic Policy Or
Top Management Policy : A policy laid down by the top management is a basic policy as its object is to achieve the basic goals of an enterprise. Middle Management Policies: These policies are called general policies and they affect large part of the organisation. Departmental Policies: A departmental policy applies to routine activities of a department and it is used by the lower management such as supervisors. ©EMMANUEL A J 12
13.
Written And Verbal
Policies: A policy which is written in the form of a statement is called a written policy. A policy which is orally communicated is called unwritten policy . Implies Policies: Those policies which are neither written nor verbal but actually exist in a company are called implied policies. Functional Policies: Policies relating to various functional areas of management are called functional policies. ©EMMANUEL A J 13
14.
Policy Manual: All written
policies complied in a book which is called a policy manual. Advantages Of Policy Manual: There is no misunderstanding or misrepresentation of any policy. All policies are readily available for guidance and reference. The implementation of policies can be easily reviewed. ©EMMANUEL A J 14
15.
Presented By :
EMMANUEL ALEXANDER JATHANNA M.Com ©EMMANUEL A J 15
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