Organizational Policy

An Organizational Policy is a organizational statement that governs its organizational decision-making process and organizational member actions.

• Context:
  • It can range from being a Broad Organizational Policy that applies to the entire organization, such as a Code of Conduct, to being a Specific Organizational Policy that addresses a particular area, such as a Data Security Policy.
  • It can range from being a Mandatory Organizational Policy that must be followed by all members, like a Compliance Policy, to being a Guideline Organizational Policy that provides recommendations, such as a Best Practices Policy.
  • It can range from being a High-Level Organizational Policy that sets strategic direction, like a Corporate Governance Policy, to being an Operational Organizational Policy that deals with day-to-day activities, such as a Workplace Safety Policy.
  • ...
  • It can communicate the organization's values, philosophy, and culture.
  • It can outline the organization's plan for addressing certain issues.
  • It can set parameters for decision-making while allowing some flexibility.
  • It can be created to ensure that the organization complies with legal requirements, meets industry standards, and aligns with its mission and values.
  • It can serve as a framework for consistent decision-making across the organization, ensuring that all actions and decisions align with its goals and objectives.
  • It can ensure understanding and compliance, it can be communicated to all members of the organization through training, handbooks, or internal communications.
  • It can be reviewed and updated regularly to adapt to changes in the external environment, such as new regulations or technological advancements, or to address internal challenges.
  • It can be enforced through monitoring, reporting, and disciplinary actions to ensure adherence and address violations.
  • It can integrate with other organizational documents, such as procedures, standards, and workflows, to create a cohesive approach to management and operations.
  • ...
• Example(s):
  • Ethics and Conduct:
    • A Code of Ethics Policy that defines the ethical standards and behaviors expected from all employees.
    • An Employee Code of Conduct that provides detailed guidelines on the expected behavior of employees, covering professionalism, confidentiality, and respect.
    • A Diversity and Inclusion Policy that sets forth the organization's commitment to creating a diverse and inclusive workplace.
  • Privacy and Information Security:<
    • A Privacy Policy that outlines how the organization collects, uses, and protects personal information in compliance with data protection laws.
    • An Information Security Policy (AUP) that defines the acceptable use of the organization’s information systems to protect data integrity and prevent unauthorized access.
    • An Information Security Roles and Responsibilities policy specifies employees' and departments' roles and responsibilities in protecting the organization’s information assets.
    • A Data Management Policy that establishes guidelines for managing data throughout its lifecycle, ensuring security and compliance.
    • An Access Control Policy that sets the criteria for granting access to organizational resources, ensuring that only authorized personnel have access to sensitive information.
    • A Cryptography Policy that provides guidelines on using cryptographic methods to protect sensitive information.
  • Operational Security Policy:
    • A Computer Security Policy that establishes rules for securing the organization’s computing resources, including antivirus software, firewalls, and system updates.
    • A Physical Security Policy that outlines measures to protect the organization's physical assets, such as buildings, equipment, and personnel.
    • An Operations Security Policy that defines procedures to secure the day-to-day operations of the organization.
    • An Asset Management Policy that provides a framework for tracking and managing the organization’s assets, ensuring efficient use and protection.
    • An Human Resource Security Policy that establishes procedures to ensure the organization's workforce is vetted, trained, and managed securely.
  • Risk Management and Incident Response Policy:
    • A Risk Management Policy that describes the organization’s approach to identifying, assessing, and mitigating risks.
    • An Incident Response Plan that details the procedures for responding to security incidents, including identifying, reporting, and recovering from breaches or attacks.
    • A Business Continuity and Disaster-Recovery Plan that outlines the strategies for maintaining critical operations during and after a disaster.
  • Third-Party and Contract Management:
    • An Organizational Contract Policy (e.g., in a contract playbook) that provides guidelines for managing contracts, including drafting, negotiation, approval, and compliance.
    • A Third-Party Management Policy that defines how the organization manages its relationships with external vendors, suppliers, and partners, ensuring that third-party risks are identified and mitigated.
  • Development and Security Policy:
    • A Secure Development Policy that outlines best practices for secure software development, ensuring that security is integrated into the software development lifecycle.
    • An Organizational Peaceful Use Policy that establishes guidelines for ensuring that the organization’s products, services, and resources are used in ways that promote peace and avoid harm or conflict.
  • A Remote Work Policy that provides guidelines for employees working remotely, including expectations for communication, productivity, and security.
  • A Health and Safety Policy that establishes procedures for maintaining a safe and healthy work environment, including emergency response protocols.
  • A Performance Review Policy that outlines the process for evaluating employee performance, setting goals, and providing feedback.
  • ...
• Counter-Example(s):
  • Mission Statement of the organization's purpose and values, which guides its overall direction but does not provide specific rules or guidelines.
  • Strategy Document: A high-level plan outlining the organization's long-term goals and how to achieve them, which may inform policies but is not a policy itself.
  • Legal Law: ...
• See: Statement, Rule, Protocol, Procedure.

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References

2024

• Perplexity
  • An organizational policy is a formal statement that governs how an organization operates and makes decisions. Here are the key aspects of organizational policies:
  • Purpose and Definition: Organizational policies serve as guidelines that:
    • Communicate the organization's values, philosophy, and culture[2]
    • Outline the organization's plan for addressing certain issues[2]
    • Set parameters for decision-making while allowing some flexibility[2]
  • Key Characteristics: Effective organizational policies generally have the following characteristics:
    • Clear, concise language that is easily understood[2]
    • Explain rules without detailing implementation specifics[2]
    • Are easily accessible to all staff[2]
    • Provide a consistent, logical framework for the organization[2]
  • Common Types of Policies: Organizations often have policies covering areas such as:
    • Employee benefits and vacation time[2]
    • Code of conduct and confidentiality[2]
    • Customer service standards[2]
    • Resource usage and sharing[1]
    • Identity and access management[1]
    • Geographic restrictions on operations[1]
  • Differences from Procedures: It's important to distinguish policies from procedures:
    • Policies set general guidelines, while procedures provide step-by-step instructions[2]
    • Policies explain "why," procedures explain "how"[2]
    • Policies allow flexibility, procedures are more prescriptive[2]
  • Implementation and Enforcement: For organizational policies to be effective:
    • They must be clearly communicated throughout the organization[2]
    • Leadership needs to model adherence to policies[2]
    • Employees are responsible for following established policies[2]
    • Policies should be reviewed and updated regularly to remain relevant
  • Benefits: Well-crafted organizational policies provide several benefits:
    • Centralize control over organizational resources and practices[1]
    • Ensure compliance with regulations and industry standards[1]
    • Allow teams to work efficiently within established boundaries[1]
    • Promote consistency in operations and decision-making[2]
    • Help build and protect the organization's brand and reputation over time[2]
  • Citations:

[1] https://cloud.google.com/resource-manager/docs/organization-policy/overview
[2] https://www.powerdms.com/policy-learning-center/what-is-a-policy-vs.-a-procedure
[3] https://www.shrm.org/topics-tools/tools/toolkits/understanding-developing-organizational-culture

2021

• (Wikipedia, 2021) ⇒ https://en.wikipedia.org/wiki/policy Retrieved:2021-1-8.
  • A policy is a deliberate system of principles to guide decisions and achieve rational outcomes. A policy is a statement of intent, and is implemented as a procedure or protocol. Policies are generally adopted by a governance body within an organization. Policies can assist in both subjective and objective decision making. Policies to assist in subjective decision making usually assist senior management with decisions that must be based on the relative merits of a number of factors, and as a result are often hard to test objectively, e.g. work–life balance policy. In contrast policies to assist in objective decision making are usually operational in nature and can be objectively tested, e.g. password policy.

    The term may apply to government, public sector organizations and groups, as well as individuals. Presidential executive orders, corporate privacy policies, and parliamentary rules of order are all examples of policy. Policy differs from rules or law. While law can compel or prohibit behaviors (e.g. a law requiring the payment of taxes on income), policy merely guides actions toward those that are most likely to achieve a desired outcome. Policy or policy study may also refer to the process of making important organizational decisions, including the identification of different alternatives such as programs or spending priorities, and choosing among them on the basis of the impact they will have. Policies can be understood as political, managerial, financial, and administrative mechanisms arranged to reach explicit goals. In public corporate finance, a critical accounting policy is a policy for a firm/company or an industry that is considered to have a notably high subjective element, and that has a material impact on the financial statements.

2019

• https://www.powerdms.com/blog/corporate-policies-procedures/
  • QUOTE: Why do you need corporate policies and procedures? They serve several purposes, with the overarching goal of protecting employees’ rights and safeguarding the company’s business interests.

    A corporate policy spotlights the “why” behind employees’ jobs and defines how to measure success. It gives some guiding principles for decisions and actions.

    A company procedure ensures employees know specifically how to carry out the policy, which keeps the organization running smoothly.

    Together, corporate policies and procedures provide guidance; ensure compliance with federal, state, and local laws; decrease liability; streamline operations; promote a safe work environment; and encourage consistency.

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