Policy is used to describe specific guidelines, methods, procedures, rules, forms and administrative practices established to support and encourage work toward stated goals.
Policies are the guidelines of the organizations to govern its actions. All the decisions taken and administrative practices in the organization must be taken within the limits of the organization.
There can be various types of policies like functional policy, organizational policy, originated policy, appealed policy, imposed policy, general policy, specific policy, etc.
These policies are designed by the management of the organization and have to be followed by everyone.
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