
The management decides and makes an accurate system for the accomplishment of future goals in many ways. The difference between policies and methods tells about the decisions taken by the management and the appropriate system/framework given by the management to do the work in the right direction. Policies and methods are going in different directions. Policies tell about the mode of achieving the objectives and methods describe the appropriate system and the best way to do the work.
The course of action adopted by an organization is called policies. These basically guide the manager that how to acts in a certain situation. These are also known as a particular blueprint and strategy of an enterprise. In every organization policies are used for major decision making. On the other hand, we can say that policies are the standing plans made at every level because managers at every level have to decide about the way of handling the situations.
“Policies are general statements or understandings which guide managers thinking in decision making”.
-Koontz and O ‘Donnel
Methods can be defined as the systematic way of doing repetitive jobs. Managers decide in advance that in which method the work should be done and they circulate the message to the employees for doing the work with the decided method.
|
Points of differences |
Policies | Methods |
|---|---|---|
| Meaning | These are meant for how to do the work. | Methods describe the best way of going the work. |
| Nature | These are general and less rigid. | Methods are specific according to the nature of work and these can be changed as per the requirements. |
| Description | These describe what to do under different situations. | Methods help in co-ordination the activities. |
| Purpose | The purpose of policies is for decision-making and thinking. | Methods tell about the standardization. |
| Objective | The objective of making the policy is to chive the organizational objectives effectively. | The objective of Methods is to simplify the job. |
| Example | The policy of giving admission to students that they have to score more than 60%. | For example, the direct or indirect method only used to calculate the depreciation |
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Thus, Policies are generally derived from the objectives of the company On the other side, procedures are explaining the implementation of the policy. On the other hand, Methods define the systematic way of doing repetitive jobs. We can say the rule and methods are playing a vital role to enhance the productivity of the organization.
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Mrs. Amanpreet Kaur holds a BBA and MBA degree and has over 10 years of teaching experience in business studies and management concepts.
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