policies clarify what is accepted and facilitate acceptance, especially if the operating managers participate in policy development. 7.Offer predetermined answers to routine problems hence speeding up handling of both simple and complicated problems.8.Availing to managers a mechanism for avoiding hasty and ill-conceived decisions in changing operations.Prevailing policy can always be cited for not accepting emotion-based, expedient or seemingly valid arguments for altering laid down procedures and practices. Forms of PoliciesWritten and formalUnwritten and informalThe latter are usually associated with the strategic need for competitive secrecy. Managers and employees often like the exercise of discretion offered by informal policies. But unwritten policies may deviate from the long-term success of a strategy.Advantages of Formal, Written Policies1.Managers are required to think through the policys meaning, content, and intended use.2.They reduce misunderstanding.3.More likely to ensure equitable and consistent treatment of problems.4.Ensure unalterable transmission of policies.5.They communicate the authorization or sanction of policies more clearly.6.They offer a convenient and authoritative reference.7.Systematically enhance indirect control and organizational coordination of the key purposes of policies.Policies vary in strategic importance and origin. Some are internal routine procedures such as staff Medicare refunds that are not linked to strategy implementation. Others are virtually functional strategies as in the case of a company requiring its branches to invest a given percentage of gross revenue to advertising. Policies can be internally derived or externally imposed. For instance, equal employment practices are often developed in compliance with government requirements. Policies regarding real estate management may be influenced by tax regulations.It must be pointed out that policies need periodical reviewing to ensure that...
