policy formulation and implementation

7/30/2019 Policy Formulation and Implementation

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POLICIES

FORMULATION

IMPLEMENTATION

MONITORING


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OBJECTIVES

RE-ORIENT ON THE PROCESS OF

POLICY FORMULATION

HIGHLIGHT THE IMPORTANCE OF

POLICIES IN THE OPERATION OFCOOPERATIVES

VALIDATE THAT POLICIES OF THE

COOPERATIVE ARE UPDATED ANDPROPERLY DOCUMENTED


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REINFORCE THAT POLICIES ARE

COMMUNICATED AND UNDERSTOODBY ALL

ENCOURAGE COOPERATIVE IN

ORGANIZING THE APPROVEDPOLICIES AND CODIFIED IN A

POLICY MANUAL


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BOARD OF DIRECTORS

DIRECTION SETTING

STRATEGIC PLAN

POLICY DEVELOPMENT


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GOVERNING

VSMICRO-MANAGING


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GOVERNING

SET CRITERIA, STANDARD ANDPARAMETERS TO GUIDEMANAGEMENT DECISION-MAKING

FOCUSES ON THE FUTURE (WHERETHE COOPERATIVE SHOULD GO)

DELEGATE CLEAR LEVEL OFAUTHORITY TO THE MANAGER

(MANAGER IS FREE TO MAKEDECISION WITHIN THE

BOARDS PARAMETERS)


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MANAGING BOARD

MAKING SPECIFIC DECISIONS

REGARDING THE OPERATIONS OF

THE COOPERATIVE

FOCUSES ON THE PRESENT ANDTHE PAST

RE-HASHES, REDOES

MANAGEMENT WORK AND

DECISIONS


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DISTINCTION

POLICY

PROCEDURE

RULE


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DISTINCTION

POLICY

PROCEDURE

RULE


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POLICY

A PRONOUNCEMENT/ STATEMENT

ISSUED BY THE POLICY MAKER OF

THE COOPERATIVE TO PROVIDEGENERAL GUIDELINES FOR MAKING

DECISIONS TOWARDS THE

ACCOMPLISHMENT OF GOALS


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DESCRIBE THE RULES THAT

ESTABLISH WHAT WILL OR WILL NOTBE DONE

CAN RANGE FROM BROADPHILOSOPHIES TO SPECIFIC RULES

ARE USUALLY EXPRESSED INSTANDARD SENTENCE ANDPARAGRAPH FORMAT

INCLUDE WHAT THE RULE IS, WHENIT APPLIES AND WHO IT COVERS


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PROCEDURE

A STANDARDIZED METHOD OF

PERFORMING A SPECIFIC TASK OR

WORK, EXPRESSED IN A SERIES OFRELATED STEPS.


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DESCRIBE THE CRITICAL STEPSUNDERTAKEN TO ACHIEVE POLICY

INTENT ARE SUCCINCT, FACTUAL AND TO

THE POINT

ARE USUALLY EXPRESSED USINGLIST

INCLUDE HOW TO ACHIEVE THENECESSARY RESULTS

SPECIFIC CONDUCT, METHOD,ROUTINES, PROCESSES AND

ACTIONS USED TO COMPLY WITHPOLICIES


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RULES

A STATEMENT OF SPECIFIC AND

DEFINITE ACTIONS TO BE

FOLLOWED IN THE FORM OF A

DIRECTIVE THAT USUALLYCONTAINS SANCTIONS FOR NONCOMPLIANCE.


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WHY NECESSARY

1. To ensure that decisions will be

consistent with and contributing to

objectives;

2. To pre-decide issues and avoidrepeated analysis and consideration of

general courses of action; and

3. To have a unified structure to other

types of plans.


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WHY IN WRITING

GOVERNANCE

to maintain control and describe themethod and system of management

COMPLIANCE

to comply with best managementpractice standards; to comply with the

by-laws, laws and governmentregulations


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COMMUNICATION

so members, leaders and employeescan read and understand policies

CONTINUITY

to provide for management continuity

EDUCATION

to train new leaders and employees;

to educate people about the

cooperative


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POLICIES CLASSIFIED THOSE RELATED TO MANGEMENT

FUNCTIONS

THOSE RELATED TO THE

FUNCTIONS OF ITS BUSINESS

OPERATION AS DEFINED IN THEOBJECTIVE AND PURPOSES


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RELATED TO MANAGEMENT

FUNCTIONS

a. PLANNING

*long-range planning*centralization or decentralization of

planning functions

*involvement of subordinates


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b. ORGANIZING

*decentralized or centralized structure*use of job descriptions

*organizational chart

*fixing responsibilities for eachfunctions

*following channels or lines of authority

*span of control


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c. DIRECTING

*specific vs. broad granting of authority

*degrees of delegation

*methods of handling discipline andgrievances

*one boss principled. COORDINATING

*staff planning groups

*levels of coordinating

*use of committees

*vertical vs. horizontal


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e. CONTROLLING

*annual profit budgets

*profit and responsibility centers

*preventive or corrective controls

*performance based on work standards


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RELATED TO BUSINESS

a. PROCUREMENT

*sources of raw materials

*volume

b. PRODUCTION

*make or buy

*size of products run

*production stabilization


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c. MARKETING

*products to be sold

*customers and distribution channels*prices

*sales

*promotion and advertisingd. LENDING

*processes

*facilities

* interest rate

* cost of money


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e. FINANCE

*sources of capital

*uses of capital

*owning vs. leasing

*cash and depreciation allowances

*working capital

*profit disposition

*credit


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f. MEMBERS

*surplus distribution

*protection of capital

*services and benefits

g. EMPLOYEES

*selection and training

*compensation

*promotion

*fringe benefits


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h. PUBLIC RELATIONS

*industrial relations

*community standing

*member relations


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PREPARATORY STEPS IN POLICY

FORMULATION

1. Determine the specific areas where

policies are needed.

2. Identify that specific action needs to be

done on those areas, based on:a. Objectives of the coop

b. Plans/programs of the coop

c. Anticipated and/or existingproblems


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3. Solicit suggestions or gather existing

model policies, discuss and adopt.4. Formulate the policies.

5. Approve policies implement thepolicies.

6. Communicate or disseminate theadopted policies to all concerned.

7. Amend the policies accordingly, if

necessary.


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FORMULATEPOLICY

LEGITIMATION

IMPLEMENTATION

REVIEW &

ASSESSMENT

REVISION OR

AMENDMENT

IDENTIFICATION OF

AGENDA

POLICY CYCLE


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WRITING GOOD POLICIES

POLICIES SHOULD BE IN WRITTEN

IN CLEAR, CONCISE AND SIMPLE

LANGUAGE

NOT TOO TECHNICAL SIMPLEENOUGH TO UNDERSTAND BY ALL

DONT INCLUDE INFORMATION THAT

MAY QUICKLY BE OUTDATED


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KEEP THE STRUCTURE SIMPLE

* GENDER NEUTRAL LANGUAGE

* SHORT SENTENCES

* SHORT PARAGRAPHS

* USE LIST

* REMOVE WORDS THAT DONT ADD

MEANING


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DO NOT USE ACCRONYM, SPELL

OUT

BE SPECIFIC MEAN WHAT YOU

SAY AND SAY WHAT YOU MEAN* IF ACTION IS MANDATORY, USE

MUST OR WILL

* IF RECOMMENDATORY, USESHOULD

* IF PERMISSIVE, USE MAY


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KEEP IT GENERAL PROVISIONS

NEED TO BE GENERAL ENOUGH,

CLEAR ENOUGH TO BE APPLIED

EVEN TO UNANTICIPATEDCIRCUMSTANCES


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POLICY FORMAT


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DEFINITION OF PURPOSE

CONCISE STASTEMENT OF

RATIONALE FOR THE POLICY,

INCLUDING IF APPROPRIATE,

REFERENCE TO BY-LAWS,EXTERNAL REGULATIONS, ETC

OUTLINES WHAT THE DESIRED

EFFECT OR OUTCOME OF THE

POLICY SHOULD BE


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SCOPE

DESCRIBES WHO THE POLICY

AFFECTS,

OR WHICH ACTIONS ARE IMPACTED

BY THE POLICY NEED TOCONSIDER


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POLICY STATEMENT

ADDRESSES WHAT IS THE RULERATHER THAN HOW TO IMPLEMENTTHE RULE

INDICATES THE SPECIFICREGULATIONS, REQUIREMENTS, ORMODIFICATION TO ORGANIZATIONALBEHAVIOR THAT THE POLICY ISCREATING

SHOULD BE ALIGNED WITH

THE VALUES, MISSION AND

GOALS OF THE COOPERATIVE


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RESPONSIBILITY

STATES WHO IS RESPONSIBLE FORCARRYING OUT THE POLICY, ANDTHE SCOPE OF SUCHRESPONSIBILITY

* MAY REQUIRE ESTABLISHMENT OFSOME ONGOING FUNCTION OR

ACTION

* INCLUDE IDENTIFICATION OF ANYRELEVANT OVERSIGHT OR

GOVERNANCE STRUCTURE


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IMPLEMENTATION PROCEDURE

DETAILED PROCEDURES THAT ARE

RECOMMENDED IN ORDER TO

CARRY OUT THE INTENT OF THE

POLICY DEFINES, OUTLINE THE RULES,

REGULATIONS, METHOD, TIMING,

PLACE AND PERSONNEL

REPONSIBLE FOR ACCOMPLISHINGTHE POLICY


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ADDITIONAL TIP

o CLARIFY ITS SCOPE

o EXPLAIN HOW IT IS RELATED TO

THE OVERALL MANAGEMENT

SYSTEMo PROVIDE ANY DEFINITION THAT

WILL HELP CLARIFY THE DOCUMENT

o PUT DETAILS ON ANY CONTROL

THAT MUST BE APPLIED


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o EXPLAIN HOW AUTHORITY HAS

BEEN DIVIDED AND DISTRIBUTED

o LIST THE RESPONSIBILITIES AND

TASK THAT SHOULD BE

PERFORMED

o DESCRIBE THE TASKo IDENTIFY WHO IS RESPONSIBLE

FOR PERFORMING THE TASK

o SPECIFY HOW AND WHEN THE TASK

SHOULD BE PERFORMED


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o LIST ANY MATERIALS AND SUPPLIES

THAT MUST BE USED

o LIST ANY TOOLS AND EQUIPMENT

THAT MUST BE USED


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TITLE (POLICY AREA) POLICY #DATE APPROVEDEFFECTIVITY DATE

PURPOSE

SCOPE

POLICY STATEMENT

RESPONSIBILITY

IMPLEMENTATION PROCEDURE

NAME OF COOPERATIVE


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WORKSHOP

ABC COOPERATIVE DECIDES TO

EXPAND MEMBERSHIP IN MAUNLAD

NA BAYAN CITY, A HIGHLY URBANIZED

AREA WITH SEVERAL ECONOMIC

ZONES AND LARGE BUSINESSESTABLISHMENTS. ALSO, THE AREA

HAS THREE COOPERATIVES OPERATING

THE SAME BUSINESS LINE AS THEM

WRITE POLICY THAT WILL RESULTIN FAVORABLE OUTCOME FOR THECOOPERATIVE


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E-mail add of NONIE HERNANDEZ

[email protected]

policy formulation and implementation

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