strategic planning: policy formulation by mrs

PROF. JOSEFINA B. BITONIO, D.P.A

STRATEGIC PLANNING (DM 214)

MARIBETH R. SUMAJIT

ARLOYD P. CARRERA

Reporters/Discussants

Understanding the meaning of

policy and policy formulation

Importance of policy formulation

Characteristics of a good policy

Policy making process

Steps in making a making a policy

How to write an effective policy

Sample policy format of PANELCO

III

TOPIC OUTLINE:

LEARNING OBJECTIVE

• TO UNDERSTAND THE

IMPORTANCE OF POLICY

FORMULATION

• TO FORMULATE EFFECTIVE

POLICIES FOR

IMPLEMENTATION

WHAT IS ?

A POLICY . . .

IS A PRINCIPLE OR RULE TO GUIDE

DECISIONS AND ACHIEVE RATIONAL

OUTCOMES

IS A STATEMENT OF INTENT, AND IS

IMPLEMENTED AS A PROCEDURE OR

PROTOCOL (WIKIPEDIA)

A POLICY . . .

IS A STATEMENT THAT PROVIDES A GUIDE

FOR DECISION MAKING BY

MEMBERS OF THE ORGANIZATION

CHARGED WITH THE RESPONSIBILITY OF

OPERATING THE ORGANIZATION AS A

SYSTEM WITH THE PURPOSE OF

ATTAINING THE ESTABLISHED

OBJECTIVES OF THE AN ORGANIZATION.

A POLICY . . .

A PRINCIPLE OR RULE TO GUIDE

DECISIONS AND ACHIEVE RATIONAL

OUTCOME

IT CONTAIN THE “WHAT” AND THE

“WHY” (NEEDS TO BE DONE)

WHAT IS POLICY FORMULATION?

POLICY FORMULATION . . .

A PROCESS TYPICALLY INCLUDES

AN ATTEMPT TO ASSESS AS MANY AREAS

OF POTENTIAL POLICY IMPACT AS

POSSIBLE IN ORDER TO LESSEN THE

CHANCES THAT A GIVEN POLICY WILL

HAVE UNEXPECTED OR UNINTENDED

CONSEQUENCES

POLICY FORMULATION . . .

INVOLVES THE CRAFTING OF

ALTERNATIVES OR OPTIONS FOR

DEALING WITH A PROBLEM

MAY ALSO REFER TO THE PROCESS OF

MAKING IMPORTANT ORGANIZATIONAL

DECISIONS

POLICY FORMULATION . . .

IS THE DEVELOPMENT OF EFFECTIVE

AND ACCEPTABLE COURSES OF ACTION

FOR ADDRESSING WHAT HAS BEEN PLACED

ON THE POLICY AGENDA

1. EFFECTIVE FORMULATION means

that the policy proposed is regarded

as a valid, efficient, and

implementable solution to the issue

at hand

2. ACCEPTABLE FORMULATION means

that the proposed course of action is

likely to be authorized by the

legitimate decision makers, usually

through majority-building in a

bargaining process

TWO PARTS TO THE DEFINITION

DEFINING POLICY FORMULATION

TOPICS REMARKS

TWO ASPECTS:

TECHNICAL and

POLITICAL

the literature typically features

either one or the other, rarely

both simultaneously

DEFINE POLICY

FORMULATION

Define as both effective +

acceptable

THE POLICY

FORMULATION

The formula is essential:

Analysis + Authorization =

FORMULATION

THUS TWO ROLES:

ANALYST and POLICY MAKER,

but the latter has the

responsibility

COMPLIANCE

COMMUNICATION

COORDINATION

CONTINUITY

CONTROL

IMPORTANCE OF A POLICY

WHY THE NEED FOR POLICIES AND PROCEDURES

IN A WORKPLACE

PURPOSE is to . . .

Ensure a safe, organized, convivial (warm, friendly, hospitable), empowering, non-discriminatory work place

What if there’s NO POLICY formulated?

Employees would feel as if they reside in a free-for-all-environment of favoritism and unfair treatment

A POLICY IS NECESSARY . . .

THE ACTIONS OF

EMPLOYEES

INDICATE

CONFUSION ABOUT

THE MOST

APPROPRIATE WAY

TO BEHAVE

GUIDANCE IS

NEEDED ABOUT THE

MOST SUITABLE

WAY TO HANDLE

VARIOUS

SITUATIONS

WHEN NEEDED

TO PROTECT

THE COMPANY

LEGALLY

A POLICY IS NECESSARY . . .

TO PROVIDE CONSISTENT AND FAIR

TREATMENT FOR EMPLOYEES

TO ESTABLISH CONSISTENT WORK

STANDARDS, RULES AND

REGULATIONS

TO COMPLY WITH GOVERNMENTAL

POLICIES AND LAWS

CONSISTENCY

PROVIDES AS PLANNING DOCUMENT OR FRAMEWORK IN WHICH ACTIONS ARE TO BE EXECUTED

SERVES AS A TOOL FOR QUALITY IMPROVEMENT WITHIN THE ORGANIZATION

FUNCTIONS OF POLICY

FUNCTIONS OF POLICY

PREDICTABLE

BEHAVIOR

POLICIES PROVIDE AN IMPORTANT METHOD OF LETTING PERSONNEL KNOW WHAT IS EXPECTED OF THEM, THEREBY INCREASING THE PREDICTABILITY OF DESIRED BEHAVIOR

FUNCTIONS OF POLICY

DELEGATION

POLICIES PROMOTE DELEGATION MAKING TO THE LEVEL IN THE MANAGEMENT HIERARCHY THAT MUST FACE THE PROBLEM WHEN IT ARISES

FUNCTIONS OF POLICY

COMMUNICATION

POLICIES REDUCE COMMUNICATION RELATING TO ROUTINE DECISIONS

FUNCTIONS OF POLICY

COORDINATION

POLICIES ENCOURAGE COORDINATION AND INTEGRATION OF ACTIONS AND PLANS WITHIN AND ACROSS FUNCTIONAL AREAS AND DEPARTMENTS

CHARACTERISTICS OF A GOOD POLICY

CLEAR AND SIMPLE

ASSUMPTIONS ARE

CLEAR AND EXPLICIT

THERE IS LINKAGE TO

ORGANIZATIONAL

DIRECTION

CHARACTERISTICS OF A GOOD POLICY

BOTH EFFICIENT AND

EFFECTIVE

DUE PROCESS HAS BEEN

OBSERVED

CLEARLY INDICATES THE

CONDITION TO WHOM AND TO

WHAT EXTENT IT APPLIES

CHARACTERISTICS OF A GOOD POLICY

THERE IS A CAPACITY TO

EVALUATE OUTCOMES

OUTCOMES ARE STATED IN

MEASURABLE TERMS

THE POLICY OUTCOMES

ARE CLEARLY STATED

CHARACTERISTICS OF A GOOD POLICY

GENERALLY LONG-TERM

COMMITMENTS

ESTABLISHED BY THE

BOARD

IT HAS BEEN

APPROPRIATELY FUNDED

AND SUPPORTED BY

RESOURCES

THERE IS CLEAR

ACCOUNTABILITY

CHARACTERISTICS OF A GOOD POLICY

IT FOLLOWS ALL

APPROPRIATE LAWS

IT DOES NOT CONFLICT

WITH OTHER COOPERATIVE

POLICIES

IT IS ENFORCEABLE

CHARACTERISTICS OF A GOOD POLICY

IT IS HISTORICALLY

INFORMED

IDEAS HAVE BEEN

TESTED PRIOR TO

IMPLEMENTATION

CHARACTERISTICS OF A GOOD POLICY

STAKEHOLDERS HAVE

BEEN INCLUDED IN THE

DEVELOPMENT

CONFORMS TO

COOPERATIVE VALUES,

PRINCIPLES, VISION,

MISSION, CURRENT

STRATEGIES, GOALS,

OBJECTIVES

POLICIES, RULES & PROCEDURES

POLICY VS PROCEDURES

PROCEDURES • Management-

developed

• Management-

monitored

POLICIES

lay out what

the Board wants

the Management

do (will contain

the “what” and

the “why”)

PROCEDURES

lay out what the Board wants the Management to do (will contain the “what”, the “how”,

the “where” and the “when”)

POLICIES Board-

approved

Board-

monitored

STEPS IN POLICY FORMULATION

1. IDENTIFY

2. FORMULATE

3.

ADOPT

4.

IMPLEMENT

5. DISTRIBUTE

6.

CONTROL

7.

REVIEW / EVALUATE

POLICY MAKING

PROCESS

STEP 1

IDENTIFY POLICY MAKING

PROCESS

STEP 2

FORMULATE

POLICY MAKING

PROCESS

ADOPT

POLICY MAKING

PROCESS STEP 3

IMPLEMENT

STEP 4 POLICY MAKING

PROCESS

STEP 5

DISTRIBUTE

POLICY MAKING

PROCESS

POLICY MAKING

PROCESS STEP 6

CONTROL

STEP 7 POLICY MAKING

PROCESS

EVALUATE

HOW TO WRITE

EFFECTIVE

Policies should be written in clear,

concise and simple language

Not too technical – simple enough for

members, leaders, staff to understand

Don’t include information that may

quickly be outdated (e.g. names,

contact numbers)

WRITING GOOD POLICIES

Keep the structure simple

- gender neutral language

- short sentences (max 15 words)

- short paragraphs

- don’t use acronym – spell it the

first time

WRITING GOOD POLICIES

Be specific – mean what you say and say

what you mean.

- if action is mandatory, use “must” or

“will”

- if recommendatory, use “should”

- if permissive, use “may”

- avoid “shall” – confuses between

mandatory or recommended

WRITING GOOD POLICIES

Keep it general

- a policy cannot be written that will take

precise account of all possible

situations. Its provisions need to be

general enough and clear enough to be

applied to unanticipated circumstances.

WRITING GOOD POLICIES

POLICY

FORMAT

POLICIES ARE . . .

SET OF RULES AND GUIDELINES

THAT WILL GUIDE THE MANAGEMENT

IN IMPLEMENTING COOPERATIVE’S

VISION, MISSION AND GOALS

PLANS AND PROGRAMS

thoroughly discussed in the board meeting

always consistent with the vision, mission and

goals of the cooperative

always accordance with the existing laws and

regulations

reviewed and that changes or updates must be

properly discussed and documented

implemented and regularly monitored

1. SUBJECT OR TITLE

It contains the Policy Title and the Number

of the Policy

e.g. Policy No. 31-s-08-2013, A

POLICY CONTENTS

2. OBJECTIVE / PURPOSE OF THE POLICY

A concise statement of the rationale for the policy, including if

appropriate, reference to bylaws, external regulations, etc.

Outlines what the desired effect or outcome of the policy

should be.

e.g. PANECO III values its employees and recognizes

their needs for a safety and healthy work

environment. Being one of the entities that created

Occupational Safety and Health Committee became

increasingly sensitive to health and safety practices

at the workplace that protects its workforce.

To protect all individuals from exposure to

secondhand smoke.

Describes who the policy affects

Or which actions are impacted by the policy

may expressly exclude certain people, units, or actions

from the policy requirements

e.g. In Policy No. 31-s-08-2013, A

III. CONTENTS

A. Definition of Terms

B. Implementing Guidelines and Procedures

C. Penalty for Violation

IV. SEPARABILITY CLAUSE

V. RESPONSIBILITY

VI. EFFECTIVITY

SCOPE / CONTENTS

Source: Bitonio (2012)

SUMMARY OF PANELCO III

BOARD POLICIES

YEAR NUMBER OF

APPROVED

RESOLUTIONS

NUMBER OF

APPROVED

BOARD POLICIES

2012

Total

82 (I, A)

28 (F)

35 (T)

145

25 (9 amended)

2013

Total

20 (F)

25 (I)

52 (T, F)

61 (A)

158 (as of Sept. 2013)

26 (5 amended)

IN SUMMARY . . .

WE HAVE JUST LEARNED . . .

THE IMPORTANCE OF POLICY AND POLICY

FORMULATION IN OUR ORGANIZATION

CHARACTERISTICS OF A GOOD POLICY

THE POLICY MAKING PROCESS

STEPS ON HOW TO WRITE AN

EFFECTIVE POLICY

A policy is a temporary creed

liable to be changed, but while it holds

good it has got to be pursued with apostolic

zeal.

Mahatma Gandhi

THANK YOU

FOR LISTENING . . .

- LEADERSHIP & POLICY FORMULATION :CDA DEVELOPMENT COURSE 2012) - THE AUSTRALIAN POLICY HANDBOOK BY PETER BRIDGMAN AND GLYN DAVIS - WIKIPEDIA - BITONIO (2012) POLICY FORMULATION. - NATCCO (2012 )POLICY DEVELOPMENT COURSE

REFERENCES: