Essential Business Skills

Introduction

The selected topic for the research paper focuses on policies and procedures that influence the company’s performance. This topic formulates an essential element in the company’s overall development. It is a phenomenon, which helps the company to take care of the sustainability of multiple aspects. Additionally, the selected topic touches upon the essence of the company’s development in the prospect of discipline. However, discipline is only the basement of the business evolution process. The following discussion helps to understand the most common techniques and methods that penetrate policies and procedures and aim to enhance business performance.

Differences Between Policies, Procedures, and Processes

In order to understand the differences between policies, procedures and processes, it is necessary to define each term and discuss it in terms of business performance. Policies represent the segment of the performance routine, which includes rules, principles and guidelines formulated by the company aimed to help achieve its long-term goals. The company may formulate the set of rules or it may adopt them in the process of its growth and development (Al-Tarawneh, 2011). The format of policies varies, but the most common ones are a handbook or a booklet with the representation of the most significant points of the working process. Procedures, in its turn, represent the next step of the establishment and implementation of policies. Procedures represent a systematic approach towards the formulation of steps of the performance routine.

Day-to-day tasks are the main target of procedures, which help to follow policies efficiently. Routine operations formulate the essence of the development and require a set of standards to limit inappropriate activity. Policies and procedures are designed to define and influence all leading decisions and activities, which take place within the boundaries of an organization. Processes formulate the final segment of the selected topic and represent the smallest elements of the company’s performance. Processes are equal to tools and instruments when it comes to the implementation of policies. They formulate the smallest part of the combination of procedures and policies and altogether guarantee the company’s sustainability.

The Effect of Policies and Procedures on the Company’s Development

Policies and procedures have a significant effect on the company’s performance and development. First, the company’s well-established set of policies and procedures has many benefits, which help it to achieve both long-term and short-term goals. Tactic and strategic aims convey the target points of policies and procedures. It is a fact that well-designed policies help to make the decision-making process consistent. In addition, it fosters stability in the company and provides the framework for planning further performance. Moreover, the company benefits from well-formulated policies and procedures due to clear functions and responsibilities of each department and employee (Baumgartner & Korhonen, 2010).

In addition, it is an important point in the effect of policies and procedures, which indicates that the company moves in an appropriate direction towards success. Policies and procedures set the tone for the company’s activity and pace of the development. Regulations of these aspects help to speed up or slow down the company’s lifecycle. These elements allow the assessment of the company’s performance and accountability to be carried out. In fact, policies and procedures touch upon the financial aspects, since they regulate all transactions and financial operations along with documentation (Roney, 2010). In addition, policies and procedures help to monitor and control the flow of resources among the company’s departments. Finally, policies and procedures have a significant influence on the development of appropriate atmosphere within the company, where every employee knows his place, responsibilities and duties. Discipline also helps to control the activity of every employee and improve overall competitive advantage. Therefore, it is obvious that the discussed topic has multiple benefits on the company’s performance.

Common Mistakes in Policies and Procedures Establishment

The most common mistakes in the establishment of policies and procedures include communication of the essentials. First, employees may find it difficult to understand the essence of policies and procedures because of an inappropriate format of explanation (Zafar, Butt & Afzal, 2014). For example, if the company used to tell its employees about policies and procedures in words without placing them on the paper, it is impossible to gain similar effect from the typewritten format. Moreover, it may be difficult to encourage the employees to perform in terms of set policies and procedures when the company does not provide them with brochures, booklets, or any other printed sources (Solanki, 2013).

In addition, such irresponsible approach may create problems at the beginning of the company’s operations. Additionally, the company may fail to consider opinions of its employees when creating the set of rules. Finally, the most common mistake in the company’s performance is considering useless information, which provides no benefits. Procedures and policies may also have gaps in their design if the company does not take care of providing every employee with appropriate interpretation. If the company does not have any tone of discipline, it is most likely to fail to follow the basic rules and standards of performance. Moreover, the achievement of set goals will be impossible.

Recommendations

In order to create an effective system of standards and rules, including policies and procedures, it is important to follow the basic steps. First, it is important to take care of the wholeness of data. It is necessary to collect the whole set of information about the company’s age and lifecycle. The next step is acknowledging the necessity to follow the considerations of every employee when formulating the company’s strategy. The company’s performance integrates the interests of its stakeholders and other individuals interested in the company’s success. For example, policies and procedures should not violate the interests of any employee. In fact, it is necessary to create an effective plan of defining roles and principles of the performance of each employees (Kraus & Kauranen, 2009). Every department should also have its own goals and objectives, which will help to set the tone of assessing the company’s performance in terms of the selected processes and procedures. Financial assessment and analysis of the company’s sustainability will help to build a strong foundation for further success. The company needs to create an appropriate system of principles and support its strategic goals and activities with the help of selected rules.

Conclusion

In conclusion, it is important to mention that the company’s performance fully depends on the establishment of appropriate policies and procedures that aim to reach the company’s goals and objectives. These factors build a strong core of the successful strategy. The discussion of the selected topic helped to see the essence of the application of policies, procedures, and processes. It helped to understand the role of policies and procedures in the establishment of the successful performance principles. The research, which followed the discussion, opened the boundaries between the company’s activity and its policies aimed to regulate the performance according to the set of norms and standards selected by the company. Moreover, the topic helped to evaluate the benefits of the company’s activity, including appropriate procedures and policies. It became obvious that it is impossible to achieve success without coordinating the performance of every employee according to the selected mixture of rules and standards.

Moreover, employee performance should be regulated by the company in accordance with norms and principles, which should be communicated clearly to every employee. Equality, discipline, and transparent standards formulate the essence of the company’s successful activity and sustainability. Finally, financial stability and future development have a direct connection with the company’s policies and procedures. In general, the discussion represented the main factors of successful implementation of the company’s strategy in accordance with policies and procedures applied by all departments to achieve maximum sustainability. The paper considers every aspect of the company’s performance with respect to the policies and procedures.

Summary

At the beginning of the paper, there is a short introduction, which involves the discussion of the main points regarding policies and strategies. It discusses the main points, which will be addressed in more detail in the further discussion. The next point of the article discusses the main differences between policies, procedures and processes, which formulate sustainable operations. The paper presents the set of information collected by research. The next point relates to the effects of policies and procedures on the development of the company. It helps to decipher the importance of the implementation of appropriate techniques aimed at regulating the company’s activities according to the specific standards. The next point of the article discusses the most common mistakes, which take place within the company if it does not take effort to establish proper policies and procedures. Recommendations help to understand what needs to be done in order to help the company obtain sustainability and prosperity with regard to its policies and procedures. Conclusion sums up all the provided information and analyzes all aspects of the paper.