Noun

Singular policy

Plural policies

policy (plural policies)

1. A plan or course of action, especially one of an organization or government
   • The Communist Party has a policy of returning power to the workers
2. A course of action thought to be prudent or tactically advantageous; hence prudence or sagacity
   • Honesty is the best policy
   • Some policy players frequented policy shops
3. A statement of commitment to a broad requirement, often used in an organisation to instruct personnel as to a required outcome (note: whereas "Procedures" describe how a policy is implemented).
4. Shrewdness or artfulness
   • 1813, Jane Austen, Pride and Prejudice, Modern Library Edition (1995), page 140

     These bitter accusations might have been suppressed, had I with greater policy concealed my struggles, and flattered you...

Derived terms

• policymaker
• policy shift
• endowment policy
• fiscal policy
• honesty is the best policy
• monetary policy
• policy mix
• to implement a policy

A policy is typically described as a principle or rule to guide decisions and achieve rational outcome(s). The term is not normally used to denote what is actually done, this is normally referred to as either procedure or protocol. Whereas a policy will contain the 'what' and the 'why', procedures or protocols contain the 'what', the 'how', the 'where', and the 'when'. Policies are generally adopted by the Board of or senior governance body within an organisation where as procedures or protocols would be developed and adopted by senior executive officers.

The term may apply to government, private sector organizations and groups, and 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, management, financial, and administrative mechanisms arranged to reach explicit goals.

Impact