Policy Management Illustrated #1: Effective Policy Management

From time to time, to my surprise, I still hear people asking why policies matter. After all, they argue, aren’t the laws and regulations we have to follow enough guidance? Beyond those requirements, can’t we let managers decide how to run their own operations and have case-by-case flexibility? Don’t policies create liability when they aren’t followed? Isn’t it just more unnecessary bureaucracy? My answer, at its most basic, is that when an organization fails to establish strong policies, the organization quickly becomes something it never intended. Good policies define the organization’s governance culture and objectives. Without the guidance provided by well-written and effectively managed policies, corporate culture may morph and take the organization down unintended paths. 

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